[House Report 110-197]
[From the U.S. Government Publishing Office]



110th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    110-197
======================================================================
 
 STATE, FOREIGN OPERATIONS, AND RELATED PROGRAMS APPROPRIATIONS BILL, 
                                  2008

                                _______
                                

 June 18, 2007.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

    Mrs. Lowey, from the Committee on Appropriations, submitted the 
                               following

                              R E P O R T

                             together with

                             MINORITY VIEWS

                        [To accompany H.R. 2764]

    The Committee on Appropriations submits the following 
report in explanation of the accompanying bill making 
appropriations for the Department of State, foreign operations, 
and related programs, for the fiscal year ending September 30, 
2008, and for other purposes.

                        INDEX TO BILL AND REPORT

_______________________________________________________________________


                                                            Page number

                                                            Bill Report
Summary of the Bill........................................     1

Committee Recommendations..................................
                                                                      3
Title I--Department of State and Related Agencies:
        Department of State................................     2
                                                                      6
        Administration of Foreign Affairs--Diplomatic and 
            Consular Affairs...............................     2
                                                                      6
        Worldwide Security Upgrades........................
                                                                     15
        Capital Investment Fund............................     5
                                                                     16
        Office of the Inspector General....................     5
                                                                     17
        Educational and Cultural Exchange Programs.........     5
                                                                     17
        Embassy Security Construction and Maintenance......     6
                                                                     22
        Worldwide Security Upgrades........................
                                                                     22
        Emergencies in the Diplomatic and Consular Service.     7
                                                                     26
        Payment to the American Institute of Taiwan........     8
                                                                     26
        Contributions to International Organizations.......     8
                                                                     28
        Contributions for International Peacekeeping.......     9
                                                                     32
        International Commissions:
                International Boundary and Water 
                    Commission, U.S. and Mexico............    11
                                                                     35
                American Sections, International 
                    Commissions............................    11
                                                                     35
                International Fisheries Commission.........    12
                                                                     36
        Other:
                Asia Foundation............................    12
                                                                     36
                International Center for Middle Eastern-
                    Western Dialogue.......................    12
                                                                     36
                Eisenhower Exchange Fellowship Program.....    13
                                                                     37
                Israeli Arab Scholarship Program...........    13
                                                                     37
                East-West Center...........................
                                                                     37
                National Endowment for Democracy...........    13
                                                                     38
                Broadcasting Board of Governors............
                                                                     38
                Commission for America's Heritage Abroad...    15
                                                                     41
                Commission on International Religious 
                    Freedom................................    15
                                                                     41
                Commission on Security and Cooperation in 
                    Europe.................................    16
                                                                     42
                Congressional-Executive Commission on the 
                    People's Republic of China.............    16
                                                                     43
                United States-China Economic and Security 
                    Review Commission......................    16
                                                                     43
                United States Institute of Peace...........    17
                                                                     44
Title II--Export and Investment Assistance:
        Export-Import Bank of the United States............    23
                                                                     45
        Overseas Private Investment Corporation............    26
                                                                     47
        Trade and Development Agency.......................    28
                                                                     48
Title III--Bilateral Economic Assistance:
        Child Survival and Health Programs Fund............    28
                                                                     49
        Development Assistance.............................    34
                                                                     57
        International Disaster and Famine Assistance.......    35
                                                                     65
        Transition Initiatives.............................    35
                                                                     66
        Development Credit Authority.......................    36
                                                                     66
        Operating Expenses of the United States Agency for 
            International Development......................    38
                                                                     67
        Capital Investment Fund............................    39
                                                                     67
        Operating Expenses of the USAID Office of the 
            Inspector General..............................    40
                                                                     68
        Economic Support Fund..............................    40
                                                                     68
        International Fund for Ireland.....................    43
                                                                     84
        Assistance for Eastern Europe and the Baltic States 
            (SEED).........................................    44
                                                                     85
        Assistance for the Independent States of the Former 
            Soviet Union (FSA).............................    45
                                                                     87
        Inter-American Foundation..........................    48
                                                                     90
        African Development Foundation.....................    48
                                                                     90
        Peace Corps........................................    49
                                                                     90
        Millennium Challenge Corporation...................    50
                                                                     91
        Department of State:
                Global HIV/AIDS Initiative.................    51
                                                                     92
                International Narcotics Control and Law 
                    Enforcement............................    52
                                                                     99
                Andean Counterdrug Initiative..............    53
                                                                    106
                Migration and Refugee Assistance...........    57
                                                                    110
                Emergency Refugee and Migration Assistance 
                    Fund...................................    58
                                                                    112
                Nonproliferation, Anti-terrorism, Demining 
                    and Related Programs...................    58
                                                                    112
        Department of the Treasury:
                International Affairs Technical Assistance.    60
                                                                    114
                Debt Restructuring.........................    60
                                                                    115
Title IV--Military Assistance:
        International Military Education and Training......    63
                                                                    115
        Foreign Military Financing Program.................    65
                                                                    119
        Peacekeeping Operations............................    69
                                                                    127
Title V--Multilateral Economic Assistance:
        World Bank Group:
                Global Environment Facility................    70
                                                                    130
                International Development Association (IDA)    70
                                                                    130
                Multilateral Investment Guarantee Agency...    70
                                                                    131
        Inter-American Development Bank--Multilateral 
            Investment Fund................................    70
                                                                    131
        Inter-American Investment Corporation..............
                                                                    132
        Asian Development Fund.............................    70
                                                                    132
        African Development Bank...........................    71
                                                                    133
        Contribution to the African Development Fund.......    71
                                                                    133
        European Bank for Reconstruction and Development...
                                                                    133
        International Fund for Agricultural Development....    71
                                                                    133
        International Organizations and Programs...........    72
                                                                    133
Title VI--General Provisions:
        House of Representatives Reporting Requirements....
                                                                    144

                                OVERVIEW

    The fiscal year 2008 budget request for the activities 
under the jurisdiction of the Subcommittee on State, Foreign 
Operations, and Related Programs is $34,943,720,000 in new 
discretionary budget authority. The Committee recommendation 
includes a total of $34,243,000,000 in new discretionary budget 
authority, a decrease of $700,720,000 from the President's 
request and an increase of $2,858,947,000 over the fiscal year 
2007 enacted level, excluding enacted supplemental 
appropriations. The Committee's recommendation, provided in 
this bill and detailed in the accompanying report, reflects the 
four priorities of the Committee:
         1. Oversight of foreign assistance programs
         2. Supporting our allies in the Global War on Terror
         3. Improving Aid Effectiveness by strengthening 
        Development Assistance
         4. Responding to the global HIV/AIDS pandemic and 
        other health challenges

                Oversight of Foreign Assistance Programs

    Projects.--Congress has made significant reforms in the way 
it reviews funding for the Federal Government' reforms which 
the Committee takes very seriously as it executes its 
constitutional authority. Earmarking or directed spending of 
Federal dollars does not begin with Congress. It begins with 
the Executive Branch. For example, in international affairs, 
the Administration has authority, in large measure, to 
determine grant/contract recipients of over $16.9 billion. In 
addition, the cooperative relationship developed over the years 
between the Committee, the Department of State, and the United 
States Agency for International Development (USAID) has 
provided the Administration with broad discretion to make 
awards, so long as the agencies follow the Congressional 
Notification procedures outlined in the Foreign Assistance Act 
and appropriations Acts. The Administration determines these 
projects through a process that is the functional equivalent of 
earmarking. When the Committee reviews the budget request, it 
submits these projects to rigorous review and may alter or 
modify them to reflect additional priorities.
    Contractors.--The Executive Branch also engages in another 
practice which steers or directs money to specific entities or 
purposes through a process of contracting out various 
activities and services. In all diplomatic platforms throughout 
the world, as well as at the various international affairs 
agencies in Washington, the Administration increasingly relies 
on personal service contractors and foreign nationals to such 
an extent that their number rivals that of Federal direct-hire 
employees in the service of diplomatic missions. Many of these 
positions, in fact, are non-competitive or sole-sourced. When 
added together, the Executive Branch directs far greater 
spending to specific projects or corporations than is directed 
or earmarked by Congress. The practice of non-competitive 
contracting has exploded in the past five years.
    The Committee provides no recommendation at this time for 
specific projects contained in either the Administration's 
budget or proposed by Members of Congress. Individual project 
allocations will be considered comprehensively after the 
Committee has had an opportunity to appropriately scrutinize 
all relevant information.

           Support to our Allies in the Global War on Terror

    The Committee's fiscal year 2008 recommendation includes a 
total of $2,656,506,000 for Economic Support Fund (ESF) 
programs and $4,509,236,000 for Foreign Military Financing 
(FMF) programs. The vast majority of the ESF and FMF programs 
support ongoing and new assistance for our allies in the Global 
War on Terror. These accounts support traditional methods of 
providing United States taxpayer assistance in the form of 
programs, projects, and activities to improve economic and 
social development, support of existing military systems such 
as radios and spare parts for aircraft and trucks, as well as 
the purchase of new systems such as aircraft and radar systems.

  Improving Aid Effectiveness and Strengthening Development Assistance

    The Committee's fiscal year 2008 recommendation takes the 
first step in reversing a trend of diminishing resources 
appropriated directly to USAID. The President's budget request 
cut the operating budget of USAID and transferred more USAID 
resources to accounts managed by the Department of State. The 
Committee believes that USAID is the nation's primary 
international development agency and should play the leading 
role in shaping and implementing development policy and 
programs that address global poverty and promote economic 
growth. The Committee recommendation includes $1,733,760,000 
for the Development Assistance account, an increase of 
$692,512,000 above the President's request. The increased 
resources will fund an initiative on basic education for 
developing countries as well an expansion of safe water and 
environment programs. Access to quality primary education not 
only improves an individual's chances for a better, more 
productive life, but also creates a more tolerant and informed 
citizenry. The Committee notes that operating costs for USAID 
have also been cut in the past several years and have resulted 
in the Agency proposing a scaled back plan for overseas 
presence. The Committee does not agree with this proposal to 
scale down USAID's presence overseas by closing or 
consolidating missions. The Committee is further concerned that 
the Agency has lost much of its technical expertise over the 
years. The Committee provides additional resources for the 
Agency's operating budget to help increase recruitment and 
retention of technical staff at the Agency.

 Responding to the Global HIV/AIDS Pandemic and Other Health Challenges

    The Committee recommendation includes a total of 
$6,517,650,000 for global health programs, including HIV/AIDS. 
The Committee believes that addressing global health problems, 
including tuberculosis, avian flu, and HIV/AIDS, in the 
developing world is one of the best preventive measures that 
Congress can take to protect United States citizens. To this 
end, the Committee recommendation includes $100,000,000 to 
address avian influenza; $263,500,000 to address tuberculosis 
and extremely-drug resistant tuberculosis; and $352,000,000 to 
address malaria. In these programs, USAID will work with 
developing country public health departments to strengthen 
public health infrastructure and surveillance, detect cases of 
these and other deadly diseases, and provide treatment and 
care.
    The Committee recommendation also recognizes the imperative 
of addressing the HIV/AIDS pandemic. The Committee is aware of 
the President's recent announcement calling for the extension 
of the Global HIV/AIDS Initiative for an additional 5 years at 
a funding level of $30,000,000,000 over that time. The 
Committee lauds this commitment of additional resources but 
does not believe that this pledge is adequate to stem the toll 
of the pandemic in Africa and around the world. The Committee 
provides a total of $5,082,000,000 for bilateral HIV/AIDS 
efforts, and for the Global Fund to Fight AIDS, Tuberculosis 
and Malaria. The Committee expects that the bill funding the 
Department of Health and Human Services will include an 
additional $794,223,000, for total HIV/AIDS funding of 
$5,876,223,000, $550,000,000 above the President's fiscal year 
2008 budget request.
    The Committee notes that Congress has provided 
$18,315,000,000 over the past five years for HIV/AIDS, 
including the fiscal year 2008 commitment. This is 
$3,300,000,000 over the President's pledge over that same time 
period. The Committee expects that Congress will similarly be 
above the President's commitment for the next five years as 
necessary to meet the United States commitment to fighting the 
global HIV/AIDS pandemic.

                            Funding for Iraq

    The Committee recommendation does not include funding for 
Iraq operations and reconstruction. The President's budget 
requested $456,000,000 in additional funding for these 
activities. However, the Committee notes that the emergency 
supplemental appropriations act for fiscal year 2007 (Public 
Law 110-28) included $2,862,550,000 for Iraq diplomatic 
operations and reconstruction. In addition, Congress provided 
an extension of the authority to de-obligate and re-obligate 
prior year appropriations to the Iraq Relief and Reconstruction 
Fund (IRRF), which, as of May 1, 2007, had $3,119,000,000 in 
unexpended balances. Furthermore, the Committee notes that the 
President requested $2,893,408,000 in additional fiscal year 
2008 emergency appropriations for diplomatic operations and 
reconstruction in Iraq. Therefore, the Committee has deferred 
providing appropriations for Iraq at this time.

            TITLE I--DEPARTMENT OF STATE AND RELATED AGENCY


                          DEPARTMENT OF STATE

    The Committee's fiscal year 2008 recommendation for the 
Department of State strongly supports ongoing efforts to 
strengthen diplomatic, embassy and border security, and to 
institutionalize management reforms. The Committee recommends a 
total of $9,977,192,000 for fiscal year 2008 for the Department 
of State. This amount is $36,604,000 below the request and 
$272,242,000 below the amount appropriated for fiscal year 
2007. Of the total amount provided, $9,818,292,000 is derived 
from general-purpose discretionary funds and $158,900,000 is 
scored as mandatory spending.
    The Committee recommendation includes a total of 
$6,982,357,000 for the discretionary appropriations accounts 
under Administration of Foreign Affairs; $2,656,400,000 for the 
accounts under International Organizations; $82,875,000 for 
International Commissions; and $96,750,000 for Other 
activities. The Committee's recommended priorities for the 
Department of State are detailed in the following paragraphs.

                   Administration of Foreign Affairs


                    DIPLOMATIC AND CONSULAR PROGRAMS




Fiscal year 2007 enacted level........................    $4,338,513,000
Fiscal year 2008 request..............................     4,942,700,000
Committee recommendation..............................     4,784,778,000
    Change from request...............................      -157,922,000
    Change from enacted level.........................       446,265,000



    The Committee recommends $4,784,778,000 for the Diplomatic 
and Consular Programs account, including $964,760,000 to 
continue funding for worldwide security upgrades, and 
$363,905,000 for public diplomacy international information 
programs.
    This appropriation provides for the formulation and 
execution of United States foreign policy, including the 
conduct of diplomatic and consular relations with foreign 
countries, diplomatic relations with international 
organizations, and related activities. This account includes 
funding for the regional, program, and operations bureaus and 
offices of the Department of State and the Foreign Service.
    The recommendation is $157,922,000 below the request, and 
an increase of $446,265,000 above the fiscal year 2007 level, 
excluding emergency supplemental appropriations. Within this 
total, the recommendation of $964,760,000 for worldwide 
security upgrades, which is $282,811,000 above the fiscal year 
2007 level and the same amount as requested. Security funding 
increases are described under the ``Worldwide Security 
Upgrades'' section below.

Border security program

    The recommendation includes $1,305,715,000 for the 
Department's Border Security program, of which $861,950,000 is 
funded through collection of Machine Readable Visa (MRV) fees, 
$130,200,000 is funded through the collection of the Western 
Hemisphere Travel Surcharge, $31,800,000 is funded through 
Fraud Prevention fees, and $281,765,000 is to be funded through 
the Enhanced Border Security Program Fees and Visa Fraud Fees. 
The total amount is an increase of $156,836,000 above the 
fiscal year 2007 level. This funding level includes a program 
increase of 122 new positions. The Committee understands these 
new positions are critically needed to handle the increased 
domestic passport workload as well as changes in the visa 
process, including more extensive interviewing of applicants 
and the implementation of biometric collection. The Committee 
directs the Department to continue its bimonthly reporting on 
MRV fee revenue as specified in the conference report 
accompanying the fiscal year 2003 Supplemental Appropriations 
Act (Public Law 108-11), and begin reporting on Western 
Hemisphere Travel Initiative fee revenue as provided through 
the Passport Security Enhancement Act of 2005 (Public Law 109-
167).
    The Committee urges the Department to continue to work on 
an interagency basis to strengthen the visa process to make it 
an effective anti-terrorism tool, while avoiding the creation 
of unnecessary barriers or delays to legitimate travel to the 
United States.
    The Committee requests the Department prepare and submit a 
report to the Committees on Appropriations on visa issuing 
posts that take longer than 30 days to request a personal 
interview after a non-immigrant visa request was submitted. In 
addition, the report should include information from the last 
three years on: the number and type of visa applications 
submitted to the Department; the number of visas approved; the 
number of visa applications subject to a Security Advisory 
Opinion; the percentage of visa applications rejected by type 
of visa applied for; the number of consular officers processing 
visa applications; and any new programs and initiatives to 
improve both the security and efficiency of the visa process.
    The Committee understands that the Department is examining 
the feasibility of conducting visa interviews by teleconference 
or similar electronic means. The Committee supports these 
efforts, including steps to conduct pilot demonstration 
projects.

Russian, Eurasian and East European Research and Training

    The Committee recommendation includes $5,000,000 for the 
Russian, Eurasian, and East European Research and Training 
Program (Title VIII). The programs are to be administered by 
the Bureau for International Intelligence and Research. The 
Committee encourages the use of Title VIII funds to include 
comparative research and language training concerning Eurasian 
countries critical to the war against terrorism.

Fees and transfers

    The Committee has included language in the bill, similar to 
language in prior years, which: (1) permits not to exceed 
$10,000,000 to be transferred to the Emergencies in the 
Diplomatic and Consular Service account for emergency 
evacuations and terrorism rewards; (2) provides $1,558,390 in 
fees collected from other Executive Branch agencies and 
$490,000 from reserves for lease or use of facilities at the 
International Center Complex, as authorized by law; (3) 
provides not to exceed $15,000 from reimbursements, surcharges, 
and fees for use of Blair House facilities in accordance with 
the State Department Basic Authorities Act of 1956; (4) 
requires notification of Congress before processing licenses 
for the export of satellites to China; and (5) makes not to 
exceed $6,000,000 in fee collections available until expended 
for various activities.

Interagency task force

    The recommendation continues base funding for costs 
associated with the operation of a United States Government 
interagency task force to monitor the United Nations 
headquarters renovation project.

International cooperative administrative support services system 
        (ICASS)

    The ICASS system was intended to empower all United States 
Government agencies located at an overseas post to more 
efficiently and economically provide administrative support 
services. The Committee expects that all overseas posts adopt 
the ICASS system.

Intelligence and research

    The Committee recommendation includes the full request of 
$58,175,000 for the Bureau of Intelligence and Research, which 
is $6,300,000 and 8 positions above the fiscal year 2007 level. 
The increase is provided to augment the Bureau's analytic staff 
in key areas such as terrorism, China, and Iran, and will 
strengthen the Bureau's Humanitarian Information Unit, 
enhancing its ability to produce intelligence on critical 
humanitarian issues, such as food security, health, and 
migration issues. Funds also will be used to complete the 
initiative begun in fiscal year 2007 to provide electronic 
connectivity at the desktop in order to ensure the timely and 
efficient electronic dissemination of intelligence within the 
Department.

Iraq base operations

    The Committee recommendation does not include the 
$65,000,000 requested for Iraq base operations. It is the 
Committee's intent to consider these costs at the same time it 
considers the $1,881,608,000 requested as fiscal year 2008 
emergency appropriations for Iraq operations.

Minority recruitment and hiring

    The Committee remains strongly supportive of the 
educational partnership with Hostos Community College and 
Columbia University and urges the Department to continue its 
support in fiscal year 2008. Similarly, the Committee urges the 
Department to continue support for the partnership with Howard 
University to recruit and prepare students from various 
institutions with large minority populations for positions in 
the United States Foreign Service. These programs assist the 
Department's ongoing efforts to increase minority hiring and 
diversity by facilitating the preparation of non-traditional 
and minority students for careers in the Foreign Service and 
the Department of State.

Overseas schools

    The Committee commends the consolidated Overseas Schools 
Assistance Program for its significant accomplishments in 
enhancing educational opportunities for children of American 
families living overseas and furthering mutual understanding 
between the people of the United States and the people of other 
countries. This program fulfills a dual purpose of providing a 
quality American-style education for children of United States 
citizens assigned overseas and demonstrating the best practices 
in American education to children and educators of other 
countries. The Committee also commends the Overseas Schools 
Advisory Council and its annual Program of Educational 
Assistance in generating United States corporate and foundation 
financial support and fostering volunteer activities for 
American-sponsored overseas schools.

Passport Backlogs

    The Committee understands that the Department has taken 
several steps to address the dramatic rise in demand for 
passports, including the hiring of over 250 additional passport 
adjudicators in the past two years, expanding the hours of 
operation at all passport agencies, instituting mandatory 
overtime, and suspending all non-critical training and travel 
for passport staff. Unfortunately, these steps have proven 
insufficient to meet the increased demand for passports that 
resulted from implementation in January of this year of phase I 
of the Western Hemisphere Travel Initiative (WHTI). The 
Committee is deeply troubled by this persistent and growing 
backlog of passport applications. The recent announcement to 
address the immediate crisis by allowing alternate 
identification and paperwork for citizens traveling to Canada, 
Mexico, the Caribbean, and Bermuda who have yet to receive 
their passports likely will help. However, the announcement 
will not help those traveling to other regions of the world.
    The lack of adequate preparedness to meet the projected 
passport demands associated with implementation of WHTI is of 
great concern. The Committee notes that Border Security fee 
revenue in fiscal years 2007 and 2008 is projected to rise by 
$161,000,000 and $157,000,000 respectively, or over 13 percent 
each year. The Committee expects the Department of State to 
devote a much larger percentage of fee revenue in the next 
fiscal year to passport operations to ensure that adequate 
human and physical resources are available to process 
applications in a timely fashion. The Committee encourages the 
Department to consider, if appropriate, increasing the number 
of expedited slots available to registered, hand-carried agents 
as a means of accelerating approvals and reducing agency 
workload. Finally, the Committee requests that the Department 
submit quarterly reports to the Committees on Appropriations on 
the number of passport applications received (by category of 
application), the number of applications that are pending 
approval (by category), and the average processing time per 
category of application received. The reports should also 
include data on the implementation of the passport processing 
operational plan during the period, including the number of 
passport adjudicators and contract staff on board, the number 
of new adjudicators and contract staff hired and trained, and 
any significant infrastructure improvements.

Public diplomacy programs

    The Committee remains concerned by negative perceptions 
about the United States among foreign publics. A Pew survey 
conducted in 1999 and 2000 found that more than 50 percent, and 
as high as 83 percent, of foreign populations around the world 
held favorable views of the United States. By January 2006, the 
favorability numbers had declined dramatically. A BBC World 
Service poll found that the United States was rated positively 
by respondents in only 39 percent of the 33 nations surveyed. 
Some of this decline was due to a lack of priority for public 
diplomacy activities that followed the end of the Cold War. 
But, much of the current disfavor the nation is experiencing is 
the result of unpopular policies of the United States. Still, 
the Committee believes that a robust public diplomacy program 
is an essential component for improving how America is 
perceived abroad and ultimately to strengthening our national 
security.
    To that end, the Committee again has prioritized public 
diplomacy programs within the Diplomatic and Consular Programs 
account and has included bill language designating amounts 
specifically for public diplomacy efforts. For fiscal year 
2008, the recommendation provides $363,905,000 for Public 
Diplomacy programs under this account, an increase of 
$34,171,000 above the fiscal year 2007 level. Within the 
amounts provided, $272,609,000 is for the regional bureaus, 
$50,131,000 is for the Bureau of International Information 
Programs, $34,527,000 is for the functional bureaus/other 
support costs and payments, and $5,000,000 is for an inter-
agency public diplomacy centers.
    Annual base funding for United States Government public 
diplomacy programs has increased by more than $500,000,000, or 
48 percent, since 2001. The Committee expects the Department to 
continue to lead the effort to expand these programs and adapt 
them to address the specific foreign policy challenges facing 
the Nation. To build on the progress to date, and to solidify 
the role of the Department in leading the national public 
diplomacy effort, the recommendation includes $5,000,000 for 
the Secretary to establish and begin to operate a public/
private interagency public diplomacy center which shall serve 
as a knowledge bank, and a program integration and coordination 
hub for United States public diplomacy programs. This center 
will improve interagency coordination, and better draw upon 
private sector knowledge and expertise to inform program 
strategies, to improve program results, and to apply existing 
resources in ways that are smarter, more innovative and more 
effective. The Committee notes the success of other interagency 
centers such as the National Counterterrorism Center, and 
expects the Department to promote the participation of all 
agencies whose mission areas include an international aspect. 
The recommended funding will support initial staffing and 
operational costs of establishing the center. The Committee 
expects the Department to submit a spending plan for this 
funding no later than sixty days after the enactment of this 
Act.
    The budget request focus expands public diplomacy efforts 
primarily in the Arab and Muslim world. The Committee agrees 
with that view in large measure, but cautions the Department 
not to allow the focus on high priority areas to diminish 
ongoing public diplomacy efforts outside of these areas in 
order to maintain an effective worldwide public diplomacy 
program.
    The Committee continues to believe that separately 
identifying public diplomacy resources will facilitate the 
Committee's ability to monitor funding levels and trends for 
these activities. The amount identified for public diplomacy 
programs includes the costs of personnel and programs 
throughout the Department. The Committee expects the Department 
to identify any impediments to optimal performance of public 
diplomacy programs and propose any necessary changes, including 
organizational changes, through the reprogramming process. The 
recommendation for public diplomacy will support the 
continuation of programs in the Arab and Muslim world, which 
have been expanded since fiscal year 2002. The Committee 
directs the Department to provide quarterly reports to the 
Committee, beginning three months after the enactment of this 
Act, on the steps taken to increase efforts to counter anti-
American sentiments around the world.
    The Committee supports the Department's initiative to 
encourage members of the Department of State to speak on the 
record; integrate public diplomacy into policy; strengthen the 
public diplomacy specialty; recognize public diplomacy skills 
as criteria for promotion for all Foreign Service; and 
implement a rigorous evaluation process of all public diplomacy 
programs.
    The Committee directs the Secretary of State to submit to 
the Committees on Appropriations on an annual basis a report on 
any anti-American incitement sentiment promulgated by 
government agencies and officials, government-media sources, 
government-funded universities, government-sponsored religious 
institutions, or any other governmental organs of countries 
receiving assistance from the United States.
    Further, the Committee commends the steps taken to increase 
efforts to counter disinformation and deliberate misinformation 
by monitoring hostile media and providing United States 
spokespersons and foreign media with factual information to 
respond to and to counter, malicious propaganda about the 
United States. The Department has greatly expanded United 
States media presence in Arab and regional media, and the 
number of media interviews by the Department in Arabic has 
increased more than four times over the number prior to 2005. 
The Committee strongly urges the Department to continue to 
improve United States efforts to communicate with the Arab and 
Muslim world in local languages.
    The Committee continues to support international 
broadcasting in general and efforts to expand the audience of 
listeners and viewers in the Arab and Muslim world in 
particular. Since September 11, 2001, the Committee has made 
significant investments to expand international broadcasting 
efforts, primarily in the Arab andMuslim world. However, the 
Committee is concerned about allegations of the lack of oversight and 
transparency of Middle East Broadcasting Networks, which led to the 
December 2006 broadcast of live interviews with terrorist leaders and 
al Qaeda affiliates. The Committee expects the Secretary, as a member 
of the Board of the Broadcasting Board of Governors, to ensure that 
United States broadcasting programs provide a balanced and 
comprehensive presentation of United States policy.

Right-sizing the United States Government presence overseas

    The Committee continues to define right-sizing as the 
reconfiguration of overseas United States Government staff to 
the number necessary to achieve United States foreign policy 
goals. The Committee is convinced, and agrees with the 
recommendation of the Overseas Presence Advisory Panel, that 
rationalizing staffing and operations abroad has the potential 
for significant budgetary savings. It costs two to three times 
as much to maintain an employee outside of the United States as 
it does within the United States. The notion of right-sizing as 
a desirable means to improve security and gain efficiencies 
implies that the current number of overseas staff in some 
locations is greater than the minimum number necessary, and 
that the presence of a number greater than the minimum number 
presents an unnecessary and unacceptable financial and security 
burden.
    The Committee is very concerned about the escalation in 
staffing and additional housing requirements resulting from 
much higher than projected staff requirements for the United 
States mission in Iraq. Presently, the Department reports that 
the 619 apartments included in the New Embassy Compound are 
over 260 beds short of the requirements for American staff 
assigned to critical programs in Iraq. In addition, the 
Department reports a need for housing to accommodate over 500 
third country nationals and other operational and maintenance 
staff. This is well above the estimates originally provided to 
the Committee. The Committee understands that providing a safe 
and secure work and housing environment to all embassy staff is 
essential. The Committee strongly urges the Department to use 
the most stringent criteria for determining staffing levels for 
the United States mission in Iraq.
    As part of the overall right-sizing function, the Committee 
encourages the Department to review the ICASS system and fully 
explore how ICASS can contribute to right-sizing efforts. The 
Committee has outlined its concern regarding the right-sizing 
of the United States Government presence overseas in report 
language since fiscal year 2001 and has included bill language 
designating funding for the Office of Right-Sizing the United 
States Government Overseas Presence since fiscal year 2004. The 
Committee remains frustrated by the lack of progress in meeting 
the intended results. Recognizing the difficulties inherent in 
changing world situations and conditions in specific host 
countries requiring movement of mission objectives, 
nevertheless, the Department has instances of overly optimistic 
staffing projections that have not been realized. These 
projections have led to new facilities with vacancies at the 
same time the Department is seeking ambitious growth in nearby 
posts. With increased security concerns and decreasing budgets, 
the Committee is steadfast in its belief that a more rigorous 
approach is necessary.

Science fellowship programs

    The Committee commends the Secretary for sustaining a 
variety of science fellowship programs in the Department, 
including the American Association for the Advancement of 
Science science-diplomacy fellows, the professional society 
fellows, and the recently established Jefferson Fellows 
Program. The Committee urges continued support for these 
valuable programs.
    The Committee also applauds the Office of Science and 
Technology Advisor to the Secretary of State for continuing to 
promote the essential role of science and technology in 
diplomacy, and encourages the Department to continue to 
increase science and technology capacity and literacy within 
the Department and the role of science and technology in our 
nation's foreign policy. The Committee requests that the 
Secretary be prepared to report during the hearings on the 
fiscal year 2009 request on the progress made during fiscal 
year 2008 to increase science and technology capacity and 
literacy within the Department.

Special envoy

    The Committee encourages the Secretary of State to 
establish, at an appropriate time, a location for which a 
Special Envoy for Middle East peace may operate on an ongoing 
basis.

Staffing

    The Committee believes that diplomatic and development 
programs are our first line of defense. The cornerstone of a 
robust diplomatic program is a trained and ready workforce. To 
this end, the Committee has provided increases under the 
diplomatic and consular programs account to fund and train a 
total of 2,886 new positions above attrition for the Department 
of State from fiscal years 2001 to 2007, an increase of 19 
percent.
    The fiscal year 2008 budget proposes to add another 254 
positions as part of a multi-year initiative to reposition and 
augment its diplomatic posture to transition states and other 
countries key to supporting the United States Government 
presence overseas, to improve language proficiency and enhance 
the professional skills, and increase the size of the Active 
Response Corps within the Office of the Coordinator for 
Reconstruction and Stabilization. While supportive of improving 
the diplomatic readiness of the Department, the fiscal 
constraints facing the Committee have limited the ability to 
fully support all the new positions requested.
    The Committee reiterates its strong recommendation that the 
Department strengthen and utilize all of its diplomatic tools 
to ensure a peaceful resolution to the growing regional 
instability, outstanding conflicts and humanitarian crises of 
Central and East Africa. The Committee believes that more 
diplomatic resources should be directed towards resolving the 
region's conflicts and crises, particularly in Uganda, Somalia, 
Sudan, Chad, the Democratic Republic of Congo, the Central 
African Republic, and Eritrea/Ethiopia. This would include: 
assigning, as a part of Global Repositioning, more diplomats to 
the entire Central and East Africa region so as to increase 
staffing in African embassies and to appoint field staff to 
support current and future Presidential Special Envoys; 
increasing its public diplomacy and foreign assistance 
programs; and providing added attention by the Coordinator for 
Reconstruction and Stabilization, who has the responsibility of 
both helping failed states and intervening before nations fall 
into crisis.

Stabilization and reconstruction

    The Committee recognizes the importance of improving the 
United States Government civilian capacity to conduct effective 
reconstruction and stabilization. The Committee understands 
that the Office of the Coordinator for Reconstruction and 
Stabilization will be the central entity to plan and coordinate 
United States Government civilian activities in pre- and post-
conflict environments, and to coordinate the United States 
Government reaction to complex contingencies. Further, the 
Committee understands that this office would improve 
operational response time in the areas of reconstruction, 
stabilization, and humanitarian assistance.
    Education of all participants in a stabilization and 
reconstruction environment is vital for effective operations. 
The Committee urges the Department and USAID to expand 
opportunities for Department and USAID employees to enhance 
their training in such environments, including opportunities to 
attend short course training at the Center for Stabilization 
and Reconstruction Studies at the Naval Postgraduate School.

Tibet

    The Committee recognizes the important role played by the 
Special Coordinator for Tibetan Issues in implementing this 
Act. The Committee recommendation continues at not less than 
the current service level for salaries and expenses for an 
office to support the Coordinator in carrying out the broad 
responsibilities detailed in section 621(d) of Public Law 107-
228, as well as for convening coordinating meetings for 
appropriate United States Government agencies, non-governmental 
organizations, and representatives of the Tibetan leadership.

Trafficking in persons

    The Committee continues to be concerned about the serious 
problem of international trafficking in persons. The Committee 
is troubled by the long delays in the process of considering 
and awarding grants to combat trafficking in persons. The 
Committee believes that the Trafficking in Persons (TIP) Office 
at the Department of State should control the monies 
appropriated for TIP programs and not be subject to the 
decentralized influence of field posts and to the sequential 
process of grant approvals by the TIP Office and the subsequent 
apportionment of funds by the Office of Management and Budget. 
The Committee believes that the current collection, review and 
apportionment process is hampering the TIP Office's ability to 
respond quickly to anti-trafficking program requirements.
    The Committee further believes that the Secretary should 
add six full-time equivalent (FTE) positions to the TIP office 
so that it can effectively monitor its anti-trafficking grants 
and can effectively fulfill the vital, Congressionally-assigned 
responsibility given to the Senior Policy Operating Group, 
which it chairs, of monitoring and coordinating the domestic 
and international anti-trafficking grants and policies of all 
U.S. agencies. The recommendation includes not less than 
$4,215,000 for the Office to Monitor and Combat Trafficking in 
Persons. It is the Committee's firm belief that the practice of 
modern-day slavery must receive the full attention of the 
United States Government, and that the TIP Office is uniquely 
positioned to offer the hope of freedom to trafficking victims.
    The Committee is concerned about the lack of transparency 
in the awarding of grants to combat human trafficking at the 
Department of State and USAID, as well as the lack of reporting 
data by the grantees. The Committee directs the Department of 
State, in coordination with USAID, to prepare and submit a 
report to the Committees on Appropriations on grants to combat 
human trafficking including the following: the grant, contract, 
and cooperative agreement review process; the selection 
criteria, purpose, number of applicants received and approved; 
and a summary of problems or investigations of the performance 
of any of the grants, contracts and cooperative agreements. 
This report shall be submitted to the appropriate committees 
within 90 days of enactment of this Act.

Victims of terrorism compensation

    The Committee shares the concern voiced by families victims 
of terrorism of the need for the United States Government to 
provide timely compensation. As a first step in addressing this 
concern, the Committee recommendation includes $4,000,000, to 
be available until expended, for compensation to the families 
of members of the Foreign Service or other United States 
Government employees, or their dependents, who were killed in 
terrorist attacks since 1979. The Committee believes, however, 
that providing an appropriation for compensation in the absence 
of an authorization is not an advisable course. The 
eligibility, structure and amounts of a compensation program 
need to be carefully considered prior to the provision of 
funds. Therefore, the Committee has conditioned the obligation 
of these funds upon the enactment of subsequent authorizing 
legislation. The Committee directs the Department of State to 
develop a comprehensive legislative proposal and forward it to 
the committees of jurisdiction to provide just and equitable 
compensation for victims of international terrorism and their 
surviving family members, including United States foreign 
service, military, foreign service nationals, and civil 
servants. The Committee expects this proposal to be presented 
to the Congress within 60 days of enactment of this Act.

Visa and passport security program

    The Committee remains highly interested in the Department's 
ongoing work to both detect terrorist travel and disrupt 
efforts to use fraudulent travel documents through 
strengthening the capabilities of the Diplomatic Security 
enforcement programs and enhancing their work with foreign 
partners through the Anti-Terrorism Assistance Program. The 
Committee understands that overseas program results since 
fiscal year 2004 have yielded 1,050 arrests for document fraud 
and related offenses and in excess of 3,500 visa refusals and 
revocations. The Committee is supportive of plans to add 17 new 
positions to enhance enforcement work overseas. The Committee 
also urges the Department to more aggressively implement the 
Visa and Passport Strategic Plan completed in December of 2006 
during fiscal year 2008 and expects that the fiscal year 2009 
request will more fully address the Plan's implementation 
requirements, both for personnel and resources.

Worldwide security upgrades

    The Committee recommendation includes $964,760,000 for 
worldwide security upgrades within the Diplomatic and Consular 
Programs account, which is $282,811,000 above the fiscal year 
2007 level and the same as the request. Within the amount 
provided: $886,716,000 is for ongoing security activities, 
including guard services, physical security equipment, armored 
vehicles, chemical/biological program, personnel, training, and 
wireless communications; $53,400,000 is for the protection of 
life and facilities, including creating secure environments for 
American Presence Posts, establishing an armored vehicle 
lifecycle replacement program for vehicles acquired with 
supplemental funding in fiscal years 2001 and 2002, and 
increasing regional security officer support; $23,500,000 is 
for enhancing the protection of Americans under Chief of 
Mission authority outside the mission; and $1,144,000 is to 
support the Foreign Service Modernization initiative.
    The Worldwide Security Upgrade (WSU) program provides the 
core funding for the protection of life, property, and 
information of the Department of State. WSU funding supports a 
worldwide guard force protecting overseas diplomatic missions 
and residences and domestic facilities. Security staffing of 
more than 1,300 personnel are deployed worldwide to protect 
United States Government staff and facilities. In addition, the 
WSU program appropriation supports the protection of national 
security information and the integrity of the Department of 
State's network of information systems.
    The Committee recommendation includes the increase 
requested for physical security/protective equipment. These 
funds are used to provide local guard vehicles and equipment, 
bulletproof vests, training equipment, and Chem-Bio protection. 
The Committee is aware of proposals to develop and validate a 
pilot Chem-Bio agent detection and decontamination system for 
facilities and embassies and encourages the Department to 
consider supporting these types of pilot projects.
    Maintaining secure and efficient access to United States 
embassies requires continued vigilance. The development of new 
technology can play an important part in advancing both secure 
and timely access to diplomatic facilities worldwide. The 
Committee understands that an iris recognition-based identity 
system designed to provide a secure means of matching parents 
and their children has been successfully demonstrated in a 
public school system setting. The Committee encourages the 
Department to consider support for a demonstration project to 
create and test a similar iris recognition system to identify, 
track, and log visitors at select United States missions.

                        CAPITAL INVESTMENT FUND




Fiscal year 2007 enacted level........................       $58,143,000
Fiscal year 2008 request..............................        70,743,000
Committee recommendation..............................        59,062,000
    Change from request...............................       -11,681,000
    Change from enacted level.........................           919,000



    The Committee recommends $59,062,000 for the Capital 
Investment Fund, which is $919,000 above the fiscal year 2007 
level and $11,681,000 below the request.
    In addition, the budget request estimates that $243,002,000 
in expedited passport fees will be used to support the 
information technology modernization effort, for a total fiscal 
year 2008 spending availability of $303,745,000.
    The entire amount available under this heading, including 
fees, will support investments in new information technologies 
and infrastructure to improve the efficiency of Department of 
State operations.
    Since 2001, the Committee has invested more than 
$1,976,702,000 in the Department of State's global information 
technology infrastructure to enable rapid and reliable 
communication between Washington and the more than 300 
locations worldwide, while maintaining the highest possible 
standards of security of government information. The Committee 
expects the Department of State to maintain and protect this 
investment.

                      OFFICE OF INSPECTOR GENERAL




Fiscal year 2007 enacted level........................       $29,914,000
Fiscal year 2008 request..............................        32,508,000
Committee recommendation..............................        32,508,000
    Change from request...............................                 0
    Change from enacted level.........................         2,594,000



    The Committee recommends $32,508,000 for the Office of 
Inspector General (OIG), which is the same as the request, and 
$2,594,000 above the fiscal year 2007 level excluding emergency 
supplemental appropriations. The Inspector General conducts 
oversight of the Department of State and the Broadcasting Board 
of Governors. The Committee continues to highlight the 
requirement for OIG oversight of the Department of State's 
efforts to implement worldwide security upgrades.
    The Committee recommendation includes language, as in 
previous years, waiving the statutory requirement that every 
post be inspected every five years, in order to provide greater 
flexibility to the Inspector General to use resources in the 
most critical areas.

Middle East Broadcasting Networks, including Alhurra

    The Committee is concerned about recent reports regarding 
several Alhurra broadcasts during the period of November 2006 
to March 2007. These reports involve allegations that Alhurra 
provided a platform for terrorists and those who support 
terrorists to broadcast in violation of the Middle East 
Broadcasting Networks' policy and journalistic code of conduct. 
The Committee requests that the Inspector General immediately 
review and report not later than 120 days after enactment of 
this Act to the Committees on Appropriations on: the editorial 
policy in place in 2006 and 2007 regarding broadcasts involving 
terrorists or those who support them; whether any changes were 
made to that policy or to Alhurra's journalistic code during 
the period; who was responsible for enforcing the policy; what 
action, if any, was taken against those who violated the 
policy; what management changes have been made to ensure the 
policy and journalistic code is monitored and enforced; and 
whether there are clear lines of authority at Alhurra to 
provide for accountability of journalistic decisions. The 
Committee requests the Inspector General to report on the 
findings within 120 days of enactment of this Act.

               EDUCATIONAL AND CULTURAL EXCHANGE PROGRAMS

                     [INCLUDING TRANSFER OF FUNDS]




Fiscal year 2007 enacted level........................      $445,671,000
Fiscal year 2008 request..............................       486,400,000
Committee recommendation..............................       501,400,000
    Change from request...............................        15,000,000
    Change from enacted level.........................        55,729,000



    The bill includes a total of $501,400,000 for the 
Educational and Cultural Exchange Programs of the Department of 
State. This amount is $55,729,000 above the fiscal year 2007 
level excluding emergency supplemental appropriations, and 
$15,000,000 above the request.
    Funding provided under this heading supports international 
educational, professional, and cultural exchange programs, 
including the Fulbright student and scholar exchanges and the 
International Visitors Program, as well as related staff and 
administrative costs. These exchanges are a key critical 
investment in our nation's public diplomacy effort. They 
involve one-on-one contact between American citizens and 
foreign nationals and help foster understanding and 
appreciation of other peoples and cultures.
    The following table displays the distribution of funds 
provided in the Committee recommendation:

               Educational and Cultural Exchange Programs


                    (BUDGET AUTHORITY IN THOUSANDS)

------------------------------------------------------------------------
                                      FY2007     FY2008      Committee
         Program/Activity            enacted    request   recommendation
------------------------------------------------------------------------
        Academic Exchanges
Fulbright Program.................   $198,757   $222,645      $218,757
Global Academic Exchanges.........     21,490     24,503        25,272
Special Academic Exchanges........     32,510     33,934        35,934
                                   -------------------------------------
    Subtotal, Academic Exchanges..    252,757    281,082       279,963

     Professional and Cultural
             Exchanges

International Visitor Program.....     71,275     74,255        82,255
Citizen Exchange Program..........     63,250     70,950        70,950
Special Professional and Cultural       7,418      7,683        15,802
 Programs.........................
                                   -------------------------------------
    Subtotal, Professional and        141,943    152,888       169,007
     Cultural Exchanges...........
Program Evaluation and Performance      2,475      3,170         3,170
Program Support...................     48,496     49,260        49,260
                                   -------------------------------------
    Total, Educational and            445,671    486,400       501,400
     Cultural Exchanges...........
------------------------------------------------------------------------


    The Committee recommendation includes sufficient funds to 
support at not less than the amount requested: the Congress-
Bundestag youth exchange program; the George Mitchell 
Fellowship program; the Benjamin A. Gilman International 
Scholarship program; South Pacific Exchanges, the Timor Leste 
Scholarship program; and the Ngwang Choephel Fellows program.
    The Committee urges the Secretary to continue funding of 
the disability exchange clearinghouse; the University of Miami 
Hemispheric program; the Future Leaders Exchange programs; the 
American-Serbia and Montenegro Youth Leadership Exchange; the 
Junior Faculty Development program; the Youth Exchange and 
Study--Afghanistan program; the Language, Technology, Math and 
Science Exchange; the Educational Advising Centers; and the 
Edmund Muskie Graduate Fellowship program.
    The Committee recommendation includes a transfer of 
$6,000,000, from within funds provided under this heading, to a 
Trust Fund established by section 313 of the Legislative Branch 
Appropriations Act, 2001. This fund supports professional 
exchanges with emerging political leaders from Russia, the 
independent states of the former Soviet Union and other 
eligible countries.

Tibetan Programs

    The Tibetan Fulbright Scholarship Program has provided 
support to almost 300 Tibetan students and professionals 
seeking higher education and professional training at United 
States universities. The Committee strongly supports these 
exchanges with Tibet and recommends $750,000 for the Tibetan 
Scholarship Program in fiscal year 2008. In addition, the 
Committee recommendation includes not less than $600,000 for 
the Ngwang Choephel Fellows program, the same as the request 
and the fiscal year 2007 level.

Engagement of Arab and Muslim Peoples

    The Committee recommendation continues support for programs 
to engage Arab and Muslim audiences through educational and 
cultural exchanges and concurs with the high programmatic 
priority placed on these programs within this account. The 
Committee is particularly interested in efforts to target 
promising individuals not naturally drawn to Western sources of 
information, who live outside the capital cities and do not 
attend elite institutions. The micro-scholarship program is one 
such way to reach this audience by providing English language 
training to non-elite audiences, with the hope that learning 
English will open a window to the English-speaking world, 
helping to dispel misinformation and misunderstandings that can 
breed resentment of the United States and its citizens. The 
Committee expects the Department of State to allocate adequate 
funding to continue and expand Fulbright Exchanges, English 
Language Programs, and International Visitor programs, 
(including cultural exchanges) for these critical audiences.

United States Olympic Committee

    The Committee is aware that the Bureau of Educational and 
Cultural Affairs is working with the United States Olympic 
Committee (USOC) on multiple issues ranging from expanded 
exchanges to working with the newly formed Chicago Olympic bid 
committee. The Committee urges the Bureau to continue its work 
with USOC and, when possible, to assist the USOC in promoting 
its summer or winter Olympic bid to the International Olympic 
Committee as the eventual selection site of the Olympics.

National Security Language Initiative

    The Committee supports the National Security Language 
Initiative, including the proposed expansion in fiscal year 
2008 of programs to increase the number of American students 
and teachers learning and mastering critical-need languages. 
These languages include Arabic, Chinese, Russian, Korean, Farsi 
and the Indic and Turkic languages. The Committee understands 
that this Initiative involves the expansion of programs 
supported by the Department of State, the Department of 
Education and the Department of Defense. Department of State 
programs supported through the Initiative include: the 
Intensive Language Summer Institutes; the Fulbright Language 
Teaching Assistants; the Teacher Exchange; the Fulbright 
Critical Language Scholarships; the Gilman Critical Language 
Scholarships, and the Citizen Exchange programs. The Committee 
recommendation includes sufficient funds to increase these 
critical language exchanges in fiscal year 2008.

Paul Simon Study Abroad Foundation

    The Committee understands that legislation to authorize 
several of the recommendations of the Congressionally-chartered 
Commission on the Abraham Lincoln Study Abroad Fellowship 
Program passed the House of Representatives (Public Law 108-
199). The Committee looks forward to reviewing any new 
authorities enacted into law as a result of this legislation, 
including authorities authorizing appropriations for the 
Senator Paul Simon Study Abroad Foundation.

Public information

    Thousands of young Americans, including high school 
students, travel abroad to study. The families of these 
students often have difficulty determining the merits of 
private exchange programs. The Committee expects the Department 
of State to increase awareness of the resources available to 
assist families in the selection of exchange programs.

Fee limitation

    The Committee recommendation includes a limitation of not 
to exceed $5,000,000 on the use of fees or other payments 
received from or in connection with English teaching, 
educational advising and counseling, and exchange visitor 
programs as authorized by law.

Spending plan

    The Committee expects that a proposal for the programmatic 
and geographic distribution of available resources (including 
unobligated balances and recoveries) will be submitted through 
the normal reprogramming process within 60 days from the date 
of enactment of this Act. The Committee expects that the 
overall funding distribution will conform to the programmatic 
guidance above.

Special projects

    In addition to funding provided to support academic and 
cultural exchanges requested in the budget or those funded 
annually by the Committee, the Committee recommendation 
includes $4,000,000 to support one-time special educational and 
cultural exchange projects that address an area, or areas, of 
mutual interest between the United States and the country of 
exchange. Exchange proposals should be for funding to support 
the actual exchange of people, and not for operational support 
of the organization or institution. Funding to support the 
development and expansion of critical language programs at 
colleges, universities, and institutes are supported through 
the United States Department of Education. The Department 
should review and award on a competitive basis up to $500,000 
for each award that meets appropriate guidelines and 
qualifications established by the Department of State and that 
are consistent with the underlying statutory authority. The 
Department of State should prepare and issue the solicitation 
for proposals within 60 days of enactment of this Act.

Exchanges with the Caribbean

    The Committee recommends that the Department develop 
expanded cultural, educational, and professional exchanges 
between the United States and the Caribbean. The Committee 
recognizes that such people-to-people exchanges with the region 
are an important tool for developing understanding between 
communities and enhancing regional security.

                       REPRESENTATION ALLOWANCES




Fiscal year 2007 enacted level........................        $8,175,000
Fiscal year 2008 request..............................         8,175,000
Committee recommendation..............................         8,175,000
    Change from request...............................                 0
    Change from enacted level.........................                 0



    The Committee recommends $8,175,000 for representation 
allowances authorized by section 905 of the Foreign Service Act 
of 1980, which is the same as the fiscal year 2007 level and 
the same as the request. These funds are used to reimburse 
Foreign Service Officers for expenditures incurred in their 
official capacities abroad in establishing and maintaining 
relations with officials of foreign governments and appropriate 
members of local communities. The Department shall submit a 
quarterly report to the Committees on Appropriations containing 
detailed information on the allotment and expenditure of this 
appropriation.

              PROTECTION OF FOREIGN MISSIONS AND OFFICIALS




Fiscal year 2007 enacted level........................        $9,270,000
Fiscal year 2008 request..............................        18,000,000
Committee recommendation..............................        28,000,000
    Change from request...............................        10,000,000
    Change from enacted level.........................        18,730,000



    The Committee recommends a total of $28,000,000 for the 
Protection of Foreign Missions and Officials account, which is 
$18,730,000 above the fiscal year 2007 level and $10,000,000 
above the request.
    This account reimburses local governments and communities 
for the extraordinary costs incurred in providing protection 
for international organizations, foreign missions and 
officials, and foreign dignitaries under certain circumstances. 
To be eligible for reimbursement under the regular program, the 
costs must be incurred in a city with 20 or more consular or 
diplomatic missions staffed by accredited personnel and all 
costs must be certified as eligible by the Department's Bureau 
of Diplomatic Security. In addition, funds may be used for 
reimbursement for an extraordinary event in a jurisdiction that 
does not meet the regular program eligibility requirements, 
once funds are made available for that purpose. The Committee 
expects the Department to treat all submissions diligently and 
provide reimbursement to local jurisdictions on a timely basis 
if claims are fully justified.
    The increase above the request is to provide reimbursement 
to jurisdictions with certifiable costs associated with the 
Organization of American States' (OAS) 35th General Assembly in 
June 2005. Funds also are available to reimburse eligible costs 
of providing security protection to diplomatic delegations to 
the United Nations and other international organizations that 
were incurred during 2002-2007 and where annual appropriations 
under this account were not sufficient to fully reimburse all 
certified expenses.

            EMBASSY SECURITY, CONSTRUCTION, AND MAINTENANCE




Fiscal year 2007 enacted level........................    $1,490,852,000
Fiscal year 2008 request..............................     1,599,434,000
Committee recommendation..............................     1,536,798,000
    Change from request...............................       -62,636,000
    Change from enacted level.........................        45,946,000



    The Committee recommends a total appropriation of 
$1,536,798,000 for Embassy Security, Construction, and 
Maintenance, which is $45,946,000 above the fiscal year 2007 
level and $62,636,000 below the request. The recommendation 
designates $806,900,000 as available only for priority 
worldwide security upgrades, acquisition, and construction, the 
full amount requested for such activities. The recommendation 
includes $729,898,000 for non-security related costs, which is 
$137,621,000 above the fiscal year 2007 level and $62,636,000 
below the request.
    This account provides funds to manage United States 
Government real property overseas and maintain Government-owned 
and long-term leased properties at approximately 260 posts, and 
to lease office and functional facilities and residential 
units, not only for the Department of State, but also for all 
United States employees overseas.

Worldwide security upgrades

    The Committee recommendation includes $806,900,000 for 
security projects, which is the same as the request and 
$91,675,000 below the fiscal year 2007 level, to continue the 
capital security program of constructing new secure replacement 
facilities for the Department's most vulnerable embassies and 
consulates and providing additional security measures and 
upgrades. The Committee expects that projects undertaken under 
this program will address the security of the highest priority 
facilities. In previous fiscal years, the Department has 
proposed to reprogram funds under this activity for projects 
that do not address top priority security vulnerabilities and 
for projects that will not result, when complete, in a facility 
that meets existing security standards. The Committee expects 
that worldwide security funds will be used only for projects 
that meet these specifications.
    By the end of fiscal year 2007, the Department projects 
that 41 new facilities will be completed and 36 additional 
buildings will be under design or construction. These 77 new 
facilities represent nearly 40 percent of the 195 identified 
for replacement due to security concerns following the Nairobi/
Dar es Salaam bombings in 1998. The Committee recommendation 
will support the construction of an estimated eleven new 
embassy compounds in fiscal year 2008, and the acquisition of a 
number of secure sites for future embassy compound 
construction.
    The Committee recommendation also includes $99,722,000, 
which is the same as the request, to continue the compound 
security upgrade program. The Committee understands that this 
program includes the installation of forced entry/ballistic 
resistant roof hatches, vault doors and power-assisted vehicle 
barriers, and other similar measures. The Committee expects 
that this funding will also provide physical security 
improvements to residential compounds and other locations where 
American citizens gather. Priority should be given to 
residential and compound security. The Committee continues its 
expectation for proactive action to anticipate new emerging 
security threats.
    The Committee expects that a proposed spending plan for the 
entire amount of available resources for worldwide security 
upgrades will be submitted through the normal reprogramming 
process within 60 days of enactment of this Act. The Department 
of State shall notify the Committees on Appropriations 
immediately if there are any facilities that the Department 
believes face serious security risks.
    The Committee recommendation includes a provision (sec. 
103) carried in prior years requiring all agencies and 
departments to fully meet their capital cost sharing 
obligations under subsection (e) of section 604 of the Secure 
Embassy Construction and Counterterrorism Act of 1999 in order 
to be allocated office space or other accommodations in newly 
constructed or renovated diplomatic facilities.

Capital security cost sharing program

    The Committee continues to support the Capital Security 
Cost Sharing Program. Under this program, all agencies that 
have staff overseas under Chief of Mission authority pay a fair 
share of urgent, security-driven capital projects undertaken to 
replace embassies and consulates at the most vulnerable posts. 
The goals of this program are twofold. First, the program 
accelerates the replacement of unsafe, unsecured and outdated 
diplomatic facilities that are used overseas by United States 
Government agencies. This is planned as a 14-year, 
$17,500,000,000 program to replace 150 vulnerable embassy and 
consulate facilities with new compounds that fully comply with 
statutory security requirements. Second, the program will 
create incentives within all government departments and 
agencies to scrutinize and ``right-size'' their overseas 
presence to avoid unnecessary costs and security risks. Each 
agency with staff overseas under Chief of Mission authority 
has, built into their fiscal year 2008 budget request, an 
annual contribution towards construction of new secure 
diplomatic facilities based on the number of positions overseas 
and the type of space occupied. These contributions do not take 
the place of Department of State contributions, which are also 
growing, but create a larger, shared funding pool to accelerate 
replacement.
    The recommendation assumes a total program level of 
$1,163,075,000 in fiscal year 2008 for Capital Security 
Construction, including $692,178,000 under this account, 
$109,239,000 from other reimbursements, and $361,658,000 from 
non-State agencies, based on positions worldwide. The Committee 
understands that the Capital Security Cost Sharing program will 
include agency involvement in setting priorities and in other 
aspects of the development of new embassy compounds. The 
Committee believes that the establishment of strong interagency 
coordination and cooperation will be critical to achievement of 
program goals and encourages the Department and the 
Administration to ensure that the management of this program is 
inclusive, cooperative and transparent.

Operations

    The Committee recommendation provides $729,898,000 for 
operations and maintenance activities, which is $62,636,000 
below the request, and $137,621,000 above the fiscal year 2007 
level. The Committee notes that the requested amount included 
$99,456,000 in program increases. The Committee recommendation 
also includes $11,328,000 for headquarters operations. The 
Committee directs the Department of State to prioritize 
requested funding increases and to specifically identify 
amounts above current services in a comprehensive spending plan 
to be submitted no later than 60 days after enactment of this 
Act.

Assets management

    The budget request notes that the Department expects to 
realize $57,000,000 in assets management funds over the fiscal 
year 2007 and 2008 period. The Committee expects that these 
funds will be used for opportunity purchases to replace 
uneconomical leases and for other priority capital acquisition 
purposes. In addition, as in previous years, the Committee 
expects that assets management funds will continue to be 
allocated in part to security construction needs. Any use of 
these or additional assets management funds in fiscal year 2008 
is subject to reprogramming. In addition, with respect to the 
requirement that a reprogramming for any major new start be 
submitted, the Committees on Appropriations understands that 
requirement to mean that any rehabilitation or construction 
projects involving an ambassador's residence will be subject to 
the requirement. In addition to regular reporting provided to 
the Committee on acquisition and disposal of overseas property, 
the Department shall submit a report to the Committee by 
November 6, 2007, listing all properties disposed of, or in 
process for disposal, along with associated actual or 
anticipated proceeds of sale, at posts which have had funding 
approved for the construction of a new secure compound in, or 
after, fiscal year 1999.
    The recommendation continues language carried in the bill 
in previous years that prohibits funds from being used for 
acquisition of furniture, furnishings and generators for other 
departments and agencies.
    The Committee commends the Bureau of Overseas Buildings 
Operations (OBO) for continuing its internal management 
innovations to increase performance and accountability, to 
streamline operations, and to control costs. Recognizing that 
the increased complexity of a growing program of construction, 
real estate, operations/maintenance, and planning activities 
requires greater technological and information systems 
integration, the Committee encourages OBO to pursue development 
of integrated building management systems. Such technology 
upgrades to integrate disparate legacy systems will protect the 
large and continuing investment of taxpayer resources in 
overseas properties and those who occupy them. The Committee 
has provided sufficient resources to support this effort.
    The Committee expects that new embassy projects advanced by 
the Department of State will have been properly planned and 
right-sized, with regional considerations, projecting 
anticipated needs and requirements by the date submitted to 
Congress.

Right-sizing the United States Government overseas presence

    The Committee directs the Office of Overseas Buildings 
Operation to continue to work closely with the Office on Right-
Sizing the United States Government Overseas Presence to ensure 
that projected staffing levels for new embassy compounds are 
prepared in a disciplined and realistic manner and that these 
estimates become the basis for determining the size, 
configuration and budget of new embassy compound construction 
projects. In addition, the Committee notes several instances of 
requests made to the Committee for new embassies predicated 
upon vacating dysfunctional and insecure facilities currently 
occupied, or upon the need to move to new capital cities, where 
the Department has not abided by its original commitment to 
vacate or limit the residual presence in formerly occupied 
posts and properties. The justification for all facilities 
projects funded under this account must include a full 
explanation of regional efficiency and security planning, and 
related staffing assumptions. Such projects will not be 
approved for funding absent evidence of the application of a 
uniform right-sizing methodology.

Beijing embassy

    The Committee anticipates the construction of the Beijing 
New Embassy Compound (NEC) to be completed on time and on 
budget with occupancy scheduled for the spring of 2008. With 
the 2008 Summer Olympics scheduled to be held in Beijing, 
China, the Committee expects the Department to maintain 
existing facilities in Beijing through this time period. At 
that time, the Committee shall receive an update on the plans 
concerning the currently occupied buildings to achieve the best 
value for the government. The Committee understands that long-
term growth projections demonstrate that the embassy's staffing 
needs will require more space than the current and new 
compounds combined. Therefore, the Committee encourages the 
Department to examine the possibility of maintaining a presence 
in the current compound.

Energy conservation and sustainable design

    The Committee commends the Bureau of Overseas Buildings 
Operations (OBO) for its innovative work in the area of energy 
conservation and sustainable design, including being one of the 
finalists for the Platts Global Energy Awards competition. The 
Committee is aware of the work of the National Institute of 
Sustainable Energy in the area of ``zero-energy'' innovations 
and encourages OBO to consider partnering with the Institute to 
further develop energy concepts and products that are critical 
to the self-sustainability, security, and efficiency of 
diplomatic facilities worldwide.

           EMERGENCIES IN THE DIPLOMATIC AND CONSULAR SERVICE

                     [INCLUDING TRANSFER OF FUNDS]




Fiscal year 2007 enacted level........................        $4,940,000
Fiscal year 2008 request..............................        19,000,000
Committee recommendation..............................        14,000,000
    Change from request...............................        -5,000,000
    Change from enacted level.........................         9,060,000



    The Committee recommends $14,000,000 to enable the 
Secretary of State to meet unforeseen emergencies arising in 
the Diplomatic and Consular Service. This amount is $9,060,000 
above the fiscal year 2007 level and $5,000,000 below the 
request. Funding provided in this account is available until 
expended.
    The Committee has included a provision in the bill that 
permits up to $1,000,000 to be transferred from this account to 
the Repatriation Loans Program Account, as requested in the 
budget. This provision will ensure an adequate level of 
resources for loans to American citizens through the 
Repatriation Loans Program Account should that account require 
additional funds in fiscal year 2008 due to an unanticipated 
increase in the number of loans.
    This appropriation provides resources for the Department of 
State to meet emergency requirements in the conduct of foreign 
affairs. The Committee recommendation provides funds for: (1) 
travel and subsistence expenses for relocation of American 
employees of the United States Government and their families 
from troubled areas to the United States and/or safe-haven 
posts; (2) allowances granted to Department of State employees 
and their dependents evacuated to the United States for the 
convenience of the Government; and (3) payment of rewards for 
information concerning terrorist activities.

                   REPATRIATION LOANS PROGRAM ACCOUNT

                     [INCLUDING TRANSFER OF FUNDS]




Fiscal year 2007 enacted level........................        $1,302,000
Fiscal year 2008 request..............................         1,285,000
Committee recommendation..............................         1,285,000
    Change from request...............................                 0
    Change from enacted level.........................           -17,000



    The Committee recommendation includes $678,000 for the 
subsidy cost of repatriation loans and $607,000 for 
administrative costs of the program as authorized by 22 U.S.C. 
2671, which is a combined $17,000 below the fiscal year 2007 
level and the same as the request.
    This account provides emergency loans to assist destitute 
Americans abroad who have no other source of funds to return to 
the United States.

              PAYMENT TO THE AMERICAN INSTITUTE IN TAIWAN




Fiscal year 2007 enacted level........................       $15,826,000
Fiscal year 2008 request..............................        16,351,000
Committee recommendation..............................        16,351,000
    Change from request...............................                 0
    Change from enacted level.........................           525,000



    The Committee recommendation includes $16,351,000 for the 
Payment to the American Institute in Taiwan, which is $525,000 
above the fiscal year 2007 level and the same as the request. 
The recommendation, combined with an estimated $18,000,000 
derived from visa fee revenues, will continue the amount 
available in the current year. The Institute is authorized to 
collect Machine Readable Visa fees, as well as reimbursements 
from agencies and user fees from trade show exhibitors.
    The Committee expects that the American Institute in Taiwan 
(AIT) will cover anticipated operating expenses in fiscal year 
2008 through a combination of appropriations and visa fee 
revenues. The Committee expects the Department to submit by 
November 1, 2007, an AIT spending plan for fiscal year 2008, 
indicating the total amount of estimated fee collections, the 
amount of such fee collections allocated for operating 
expenses, and the total amount planned for operating expenses 
from all funding sources.
    The Taiwan Relations Act requires that programs concerning 
Taiwan be carried out by the American Institute in Taiwan and 
authorizes funds to be appropriated to the Secretary of State 
to carry out the provisions of the Act. The Institute 
administers programs in the areas of economic and commercial 
services, cultural affairs, travel services, and logistics. The 
Department of State contracts with the American Institute in 
Taiwan to carry out these activities.

     PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND DISABILITY FUND




Fiscal year 2007 enacted level........................      $125,000,000
Fiscal year 2008 request..............................       122,500,000
Committee recommendation..............................       158,900,000
    Change from request...............................        36.400,000
    Change from enacted level.........................        33,900,000



    The Committee recommends $158,900,000 for the Payment to 
the Foreign Service Retirement and Disability Fund, which is 
$36,400,000 above the request and $33,900,000 above the fiscal 
year 2007 level. The Committee recommendation consolidates in 
one account funding for this mandatory program. The combined 
account provides the same amount requested for this program in 
fiscal year 2008. The amount provided in the Committee 
recommendation is required to amortize the unfunded liability 
in the system, as documented by the annual evaluation of Fund 
balances.
    This appropriation, which is considered mandatory for 
budget scorekeeping purposes, is authorized by the Foreign 
Service Act of 1980, which provides for an appropriation to the 
Fund in 30 equal annual installments of the amount required for 
the unfunded liability created by new benefits, new groups of 
beneficiaries, or increased salaries on which benefits are 
computed. The Retirement Fund is maintained through 
contributions made by participants, matching government 
contributions, special government contributions (including this 
account), interest on investments, and voluntary contributions.

                      INTERNATIONAL ORGANIZATIONS


              Contributions to International Organizations





Fiscal year 2007 enacted level........................    $1,151,318,000
Fiscal year 2008 request..............................     1,354,400,000
Committee recommendation..............................     1,354,400,000
    Change from request...............................                 0
    Change from enacted level.........................       203,082,000



    The Committee recommendation includes $1,354,400,000 for 
Contributions to International Organizations, which is 
$203,082,000 above the fiscal year 2007 level, excluding 
emergency supplemental appropriations and the same as the 
request.
    The Committee recommendation does not include $53,000,000 
which was requested to pay United States assessments of the 
costs for UN Assistance Missions in Afghanistan and Iraq. The 
Administration requested these funds as part of fiscal year 
2008 emergency funding; therefore the Committee recommendation 
for the United Nations Regular Budget is reduced by the same 
amount for a total of $442,778,000.
    The amount provided in the bill is intended for payment of 
obligations incurred as a result of United States membership in 
international organizations as authorized by conventions, 
treaties, or specific Acts of Congress for fiscal year 2008, to 
include payment of assessments for the United Nations (UN). The 
Committee continues the practice of providing funding in the 
bill consistent with a policy of zero nominal growth for the 
United Nations budget.
    The amount provides funding for the assessed costs of the 
48 international organizations, which includes the North 
Atlantic Treaty Organization and the related North Atlantic 
Assembly, the World Health Organization, the International 
Atomic Energy Agency, the Organization for Economic Cooperation 
and Development, the World Trade Organization, the Organization 
for the Prohibition of Chemical Weapons, the International War 
Crimes Tribunals for Rwanda and the former Yugoslavia, the 
Organization of American States, and the Pan American Health 
Organization.
    Estimates of the amount required to cover fiscal year 2008 
assessments have varied based on the most recent foreign 
currency exchange rates for the dollar, which has fluctuated 
since the budget request was formulated. The Committee expects 
that these exchange rate fluctuations may result in losses. The 
Department may propose to offset these by reprogrammings from 
other accounts, or deferring some activities included in the 
request that do not require funding in fiscal year 2008.

Accumulation of United States arrears to international organizations

    The Committee would like to acknowledge its support for the 
statement of the United States Ambassador to the UN, Zalmay 
Khalilzad, during his confirmation hearing in which he said 
that he believes the ``United States should pay its dues in 
full and on time''.
    The Committee notes that past funding shortfalls in the 
Contributions to International Organizations (CIO) account, 
including those accrued due to last year's continuing 
resolution, are forcing the Department of State into arrears. 
The fiscal year 2007 supplemental Appropriations Act, 2007 
(Public Law 110-28) provided, on an emergency basis, 
$50,000,000 to pay arrears to organizations that are involved 
in global efforts to combat international terrorism and to 
prevent the spread of avian influenza, leaving $80,000,000 in 
arrears in the CIO account.
    The Committee continues to support the comprehensive 
reassessment of United States membership in each of the 48 
international organizations for which funding is requested 
under this account, and continues to insist that the Department 
take the necessary measures to operate within the amount of 
funds provided under this account. The Committee expects the 
Department to take immediate action to evaluate and prioritize 
United States participation in, and funding for, international 
organizations. In a climate of limited resources the Committee 
continues to insist that the Department prioritize among 
organizations according to policy goals, and refrain from 
entering into new commitments without a commensurate increase 
in resources.

Reform and budget discipline

    The Committee continues to insist on reform and budget 
discipline as a priority for all of the international 
organizations, including the development of processes to 
evaluate, prioritize and terminate programs. The Committee 
believes that the onus is on each international organization 
and the Department of State representatives to those 
organizations to reduce overall budgets and eliminate 
duplicative activities, excessive administrative costs, and 
inefficient operations.

United Nations reform

    The Committee notes with approval a number of significant 
institutional and management reforms that have been carried 
forward, approved or initiated by the new Secretary General to 
include: a new ethics office; a new financial disclosure 
policy; establishment of a new whistleblower protection policy, 
which allows UN employees to report instances of waste, fraud, 
and abuse; establishment of a new peace-building commission to 
bring all key donors and recipients together to facilitate 
transition from conflict to development; and the creation of a 
central emergency response fund which allows UN humanitarian 
aid to begin to flow within hours of a natural disaster.
    The Committee continues to insist on improving 
accountability within UN organizations. Comprehensive reform of 
the UN is a very important issue for the Committee and must be 
a top priority for the Department in fiscal year 2008. 
Secretary General Ban Ki-Moon in a speech in 2007 at the Center 
for Strategic and International Studies stated that, ``there is 
a need to change the working culture of the organization [UN] 
itself. We must build a staff that is truly mobile, multi-
functional and accountable. We must hold all UN employees to 
the highest standards of integrity and ethical behavior.'' The 
Committee strongly endorses this assertion and encourages the 
Department of State to advance a multifaceted effort to address 
a wide range of activities, such as management reform, 
personnel reform, and budget and program prioritization at the 
UN. The Committee encourages the Department to revive long-
stalled talks on a review of the UN mandate in order to remove 
overlapping and duplicative mandates. The Committee continues 
to support efforts toward a more effective and efficient 
organization that works within budgetary constraints and 
further encourages the Department of State to pursue a reform 
agenda, which includes continued administrative and management 
reform, including improved internal oversight and 
accountability, identification of cost savings, and the 
allocation of resources to high priority programs and offices.

Office of Internal Oversight Services

    The Committee continues to believe the UN must be a more 
transparent organization. One way of increasing transparency is 
to strengthen the role of the Office of Internal Oversight 
Services (OIOS). The Committee directs the Department of State 
to work to ensure the OIOS has both the resources and the 
authority to provide appropriate oversight to all activities 
managed by UN personnel.

United Nations regular budget

    The Committee continues to support the United States policy 
of zero nominal growth budgets for international organizations. 
Toward this end, the Committee expects the Department of State 
to insist on the evaluation and prioritization of ongoing UN 
programs and activities, so that in the event of unanticipated 
requirements, budget offsets may be taken from activities and 
programs that have already been determined to be lower-priority 
by the organization. The Committee continues its direction to 
find appropriate offsets to accommodate such increases within a 
zero nominal growth budget. The UN Regular Budget biennium 
2008-2009 budget totals $4,173,895,900 of which the United 
States is assessed at 22 percent.
    Language is included to require that any proposal that 
would result in the 2008-2009 UN biennial budget exceeding the 
budget level of $4,173,895,900 for 2008-2009 be communicated to 
the Committee in advance of the formal notification, 
consideration, and adoption of such a proposal in the General 
Assembly. The Committee expects the Secretary to notify the 
Committee in advance of any UN action to increase funding for 
any UN program without identifying an offsetting decrease 
elsewhere in the UN budget.
    Overall, the Committee requires more detailed information 
prior to the United States agreeing to such increases without 
identifying offsetting decreases and management reforms. 
Further, the Department of State must actively pursue a 
streamlined budget that reflects the true priorities of the 
organization, without duplicative and ineffective programs.

Americans working in the United Nations

    The Committee encourages the Department of State to 
continue efforts to increase the number of qualified Americans 
employed by the UN and other international organizations. The 
Committee recognizes that Americans provide many skills that 
can contribute to making the UN more efficient, effective and 
accountable. The Committee remains dismayed that the 
representation of Americans in UN posts, in relation to 
geographic distribution, has remained relatively flat since 
2001.

North Atlantic Treaty Organization (NATO)

    The Committee notes, with approval, the efforts of the 
Department and the United States delegation to establish a cap 
on the cost of the NATO Headquarters project, and insists on 
the completion of an agreement between the Department of 
Defense and the Department of State as to the allocation of 
costs of the United States contribution to the project. To 
date, the Committee has provided $41,000,000 for the NATO 
Headquarters project. The Committee continues its direction to 
the Department to control the costs of this facility and to 
ensure the facility meets the necessary security requirements. 
The Department of State shall keep the Committee apprised of 
progress on this matter.

International Atomic Energy Agency (IAEA)

    The Committee notes, with approval, the IAEA's efforts to 
increase safeguards and efforts to provide essential assurance 
that nuclear materials used in peaceful nuclear programs are 
not diverted and misused for nuclear explosive purposes or by 
terrorists. The Committee recommendation includes full 
requested funding for the United States assessment for IAEA in 
fiscal year 2008.

Pan American Health Organization (PAHO)

    The Committee continues to support the work done by PAHO. 
PAHO has taken the lead in health issues in the Western 
Hemisphere, including border health concerns, diabetes, 
emerging diseases, and other health issues that have an impact 
on citizens of the United States and all citizens of the 
Americas. The Committee recommendation includes full requested 
funding for the United States assessment for PAHO in fiscal 
year 2008.

World Health Organization (WHO)

    The Committee continues to support WHO. The Committee 
applauds WHO for its leadership in managing pandemic influenza 
preparation. The Committee recommendation includes the full 
requested funding for the United States assessment for WHO in 
fiscal year 2008.

UN Educational, Scientific, and Cultural Organization (UNESCO)

    The Committee understands that the Department and the 
Administration are making good progress in working with UNESCO 
on areas of joint priority, including education and literacy, 
teacher training particularly in sub-Saharan Africa, clean 
water, natural disaster preparedness, including tsunami warning 
systems, civic education particularly in the Broader Middle 
East and North African countries, and press freedom. The 
Committee supports providing the necessary resources to assure 
continued progress in carrying out worthwhile programs in these 
areas. The Committee is particularly interested in UNESCO's 
work related to the quality of basic education, in particular 
the evaluation of learning outcomes and the development of 
globally acceptable standards. The Committee assumes that 
within the funding provided, sufficient resources will be 
provided for the United States assessment for UNESCO.

Voting practices of United Nations

    The Committee directs the Department of State to report to 
the Committees on Appropriations on the voting practices of 
United Nation member states for the current and past 3 years on 
matters regarding the reform of the United Nations, Israel, and 
Darfur, Sudan. The Committee expects this report no later than 
August 15, 2007.

        Contributions for International Peacekeeping Activities





Fiscal year 2007 enacted level........................    $1,135,275,000
Fiscal year 2008 request..............................     1,107,000,000
Committee recommendation..............................     1,302,000,000
    Change from request...............................       195,000,000
    Change from enacted level.........................       166,725,000



    The Committee recommendation includes $1,302,000,000 for 
Contributions for International Peacekeeping Activities (CIPA), 
which is $166,725,000 above the fiscal year 2007 level, 
excluding emergency supplemental appropriations and 
$195,000,000 above the request.
    The Committee acknowledges that the number of peacekeeping 
operations throughout the world continues to grow, increasing 
the need for the international community to respond. Currently, 
the United States provides military observers and UN police for 
eight peacekeeping missions: Liberia (UNMIL), the Democratic 
Republic of the Congo (MONUC), Sudan (UNMIS), Ethiopia/Eritrea 
(UNMEE), Haiti (MINUSTAH), Timor-Leste (UNMIT), the Middle East 
(UNTSO), and Kosovo (UNMIK). UN peacekeeping operations are 
expanding to include more missions in more locations, and a 
significant increase in personnel necessary to facilitate such 
operations.
    The Committee understands that there are currently 15 UN 
peacekeeping operations with a total of approximately 100,000 
peacekeeping personnel, including military observers and 
troops, UN police, and civilian personnel. The Committee notes 
that the United States is the largest contributor to the UN 
peacekeeping budget--providing roughly a quarter of the total 
cost to operate all peacekeeping missions. In addition, the 
United States provides military training and logistical support 
for some peacekeeping operations. The Committee encourages the 
Department of State to work closely with other UN Member States 
to ensure peacekeeping mission mandates are clear, credible, 
limited to what is achievable, and that peacekeeping personnel 
are properly prepared, able to defend themselves, and able to 
fulfill their mandate. The Committee continues to support 
efforts to improve the performance and efficiency of UN 
peacekeeping missions through structural and procedural 
reforms. The Committee also supports efforts to better limit 
and focus the goals of such missions, and to set specific 
benchmarks for performance and mission termination.
    The Committee notes that the United States is providing an 
additional $293,200,000 in bilateral funding for peacekeeping 
efforts in the Peacekeeping Operations account in title IV.
    The Committee remains concerned about disturbing 
allegations of sexual abuse of minors by UN peacekeepers and 
civilian personnel. The Committee recognizes that the 
Department of State has taken a leading role in urging the UN 
to take preventive measures in response to reports of sexual 
exploitation and abuse involving UN peacekeeping personnel. The 
Committee commends the Department for these efforts. The 
Committee notes that these efforts have led to significant 
reform in the planning and conduct of peacekeeping missions. 
The Committee continues to strongly urge the Administration, 
including the Department of State, to persist in pressing for 
further implementation of the recommendations contained in the 
Prince Zeid report, including personal accountability, and 
improvements in the systems of justice in troop contributing 
countries as a means to restore confidence in peacekeeping 
missions. Further, the Committee directs the United States to 
work to ensure adequate training is provided to peacekeeping 
personnel prior to deployment.
    The Committee is concerned that the Administration has not 
adequately planned for funding International Peacekeeping 
activities. Committee analysis has concluded that the 
Administration's budget request in fiscal year 2008 for CIPA is 
a cut of 3 percent below the fiscal year 2007 level and that 
all missions except UNMIS are taking a reduction in the 
President's request. The Committee continues to inquire as to 
the rationale used by the Secretary of State when requesting 
$28,275,000 below the fiscal year 2007 level in the CIPA 
account. The Committee is concerned that peacekeeping missions 
could be adversely affected if the requested fiscal year 2008 
funding level is enacted. The Committee notes that in the last 
year the Administration has voted for: a seven-fold expansion 
of the UN's peacekeeping mission in Lebanon; the expansion of 
the UN's peacekeeping mission in Darfur; reauthorization of the 
UN's peacekeeping mission in Haiti; and a renewed peacekeeping 
mission in East Timor.
    The Committee further notes that some non-governmental 
organizations have concluded that the Administration's budget 
request for fiscal year 2008 for CIPA could add $450,000,000 to 
the United States peacekeeping debt at the UN based upon 
expected billings for existing UN peacekeeping missions. 
Moreover, if the proposed UN missions in Chad/Central African 
Republic and Somalia are undertaken, outside experts estimate 
that the arrears would grow by another $300,000,000. This would 
bring United States debt to UN peacekeeping activities to 
approximately $1,000,000,000. The Committee is concerned that 
these debts are preventing the UN from paying the countries 
that provide troops for UN peacekeeping missions and will 
likely significantly impact India, Pakistan, and Bangladesh.
    The bill retains language carried in previous years 
requiring 15-day advance notice of any new or expanded mission, 
together with a statement of cost, duration, exit strategy, 
national interest, and source of funds to pay the cost. In 
addition, the bill continues language requiring an additional 
notification that the UN has taken appropriate measures to 
prevent UN employees, contractor personnel, and peacekeeping 
forces serving in any UN peacekeeping mission from trafficking 
in persons, exploiting victims of trafficking, or committing 
acts of illegal sexual exploitation and to hold accountable any 
such individuals who engage in any such acts while 
participating in the peacekeeping mission.
    The bill also retains language requiring certification that 
American manufacturers and suppliers are provided equal 
procurement opportunities, and language making a portion of 
appropriations under this account available for two fiscal 
years.
    The Committee continues to support the efforts of the UN's 
Office of Internal Oversight Services (OIOS) to identify waste, 
fraud and abuse, including sexual abuse in peacekeeping 
operations, and to recommend specific reforms to ensure that 
such practices are brought to an end. The Committee directs the 
Department of State to provide the necessary support to ensure 
that OIOS oversight is systematically brought to bear on every 
UN peacekeeping mission, including through the presence of 
resident auditors. The Committee directs the Department to 
request a performance report on the efforts of this Office to 
root out the causes of such waste, fraud and abuse.

Western Sahara

    The Committee remains concerned about the continuing lack 
of progress in resolving the dispute over the Western Sahara, 
despite an enormous investment of funds in the UN Mission for 
the Referendum in Western Sahara (MINURSO) peacekeeping 
mission. The Committee urges the Department of State to 
encourage a negotiated settlement to the dispute.

Peacekeeping cap

    The Committee recognizes that the Administration has 
requested an adjustment to the cap noted above for assessment 
made during calendar years 2005, 2006, 2007, and 2008, to 27.1 
percent. The Committee notes that in 1993, the United States 
recognized a lower peacekeeping assessment level than that 
applied by the UN, and since October 1, 1995, has limited 
through United States law (sec. 404 of Public Law 103-236) to a 
level of not more than 25 percent for assessments to 
Contributions for International Peacekeeping Activities.
    The Committee wishes to emphasize that UN peacekeeping is a 
cost-effective and important force multiplier and that the use 
of multilateral organizations saves the lives of our men and 
women in the Armed Forces and wear and tear as well as 
substantial cost to equipment. For example, the Committee notes 
that the United States share of UN's operations in Haiti are 
eight times cheaper than sending United States troops. 
Unfortunately, the Committee was unable to address the full 
scope of the legislative remedy requested by the President and 
consequently was only able to include a legislative provision 
addressing the adjustment of fiscal year 2008 peacekeeping cap.

Cyprus

    The Committee encourages the Department of State to 
continue the United States support for the UN peacekeeping 
operation in Cyprus (UNFICYP) at an amount no less than that 
made available to meet obligations in fiscal year 2007.

Haiti

    The Committee urges the Secretary of State to provide 
significantly greater support for the hiring of Haitian-
American and other Creole- or French-speaking police officers 
than it presently does to enhance the 50 Americans currently 
serving within the UN police contingent of the United Nations 
Stabilization Mission in Haiti (MINUSTAH). The Committee also 
urges the Secretary of State to dispatch an additional 100 
United States security professionals, up to the authorized 
level of 150, for the UN civilian police with emphasis on 
expertise in counter narcotics, vetting tactics and other areas 
that are compatible with Haiti's specific needs and MINUSTAH's 
efforts in Haiti.

                       INTERNATIONAL COMMISSIONS


 INTERNATIONAL BOUNDARY AND WATER COMMISSION, UNITED STATES AND MEXICO




Fiscal year 2007 enacted level........................       $32,950,000
Fiscal year 2008 request..............................       102,155,000
Committee recommendation..............................        46,155,000
    Change from request...............................       -56,000,000
    Change from enacted level.........................        13,205,000



    The Committee recommendation includes a total of 
$46,155,000 for the International Boundary and Water 
Commission, United States and Mexico (IBWC), which is 
$13,205,000 above the fiscal year 2007 level and $56,000,000 
below the request. The amount provided includes $30,430,000 for 
Salaries and Expenses and $15,725,000 for construction. The 
recommendation includes language authorizing not to exceed 
$6,000 for representation expenses, as requested.

                         SALARIES AND EXPENSES

    The Committee recommendation for the Salaries and Expenses 
account is $30,430,000, which is $2,712,000 above the fiscal 
year 2007 level and the same as the request. The amount 
recommended by the Committee provides additional resources for 
requested wage and price increases, and to fund the 
renegotiated contracts for continued operation and maintenance 
of several wastewater treatment plants.

                              CONSTRUCTION

    The Committee recommendation for IBWC construction provides 
$15,725,000, which is $10,493,000 above the fiscal year 2007 
level and $56,000,000 below the request.
    The recommendation provides funding for ongoing projects as 
follows: Boundary-wide construction--$175,000; and Water 
Quantity Program--$15,550,000, including funding above the 
request for Rio Grande Flood Control System Rehabilitation. The 
Committee expects that carryover funding may be available to 
supplement fiscal year 2008 appropriations. Any allocation of 
funding, including carryover funding, shall be subject to 
reprogramming procedures set forth in section 615 of this Act.

              AMERICAN SECTIONS, INTERNATIONAL COMMISSIONS




Fiscal year 2007 enacted level........................        $9,962,000
Fiscal year 2008 request..............................        10,395,000
Committee recommendation..............................        10,630,000
    Change from request...............................           235,000
    Change from enacted level.........................           668,000



    The Committee recommendation includes $10,630,000 for 
American Sections, International Commissions, which is $668,000 
above the fiscal year 2007 level and $235,000 above the 
request. Funds will support the United States share of expenses 
of the International Boundary Commission, the International 
Joint Commission, United States and Canada, and the Border 
Environment Cooperation Commission for fiscal year 2008. Of the 
amount provided, $1,530,000 is for the International Boundary 
Commission, $7,000,000 is for the International Joint 
Commission and $2,100,000 is for the Border Environment 
Cooperation Commission to improve the health and environmental 
conditions for the United States-Mexico border region.

                  INTERNATIONAL FISHERIES COMMISSIONS




Fiscal year 2007 enacted level........................       $23,694,000
Fiscal year 2008 request..............................        21,000,000
Committee recommendation..............................        26,000,000
    Change from request...............................         5,000,000
    Change from enacted level.........................         2,306,000



    The Committee recommendation includes $26,000,000 for 
International Fisheries Commissions, which is $2,306,000 above 
the fiscal year 2007 level and $5,000,000 above the request. 
Funds support the United States share of the expenses of 
International Fisheries Commissions or related organizations, 
as well as the travel expenses of the United States 
commissioners. Within the total, not less than $16,325,000 is 
for the Great Lakes Fishery Commission.
    The Committee directs the Department of State to submit a 
proposed spending plan for the total amount provided under this 
heading no later than 60 days after the enactment of this Act.

                                 Other


                     PAYMENT TO THE ASIA FOUNDATION




Fiscal year 2007 enacted level........................       $13,821,000
Fiscal year 2008 request..............................        10,000,000
Committee recommendation..............................        15,000,000
    Change from request...............................         5,000,000
    Change from enacted level.........................         1,179,000



    The Committee recommendation includes $15,000,000 for 
payment to the Asia Foundation, which is $1,179,000 above the 
fiscal year 2007 level and $5,000,000 above the request.
    The Asia Foundation is a private, nonprofit institution, 
established to stimulate Asian democratic development and 
assist the peoples of Asian countries to shape their own 
destinies. The Committee continues to support Foundation 
programs on human rights, higher education, democratic 
governance, ethnic harmony, religious tolerance and legal/
judicial reform in Afghanistan, Pakistan and Indonesia. 
Further, the Committee supports the efforts of Foundation 
programs in Cambodia.

               CENTER FOR MIDDLE EASTERN-WESTERN DIALOGUE




Fiscal year 2007 enacted level........................          $750,000
Fiscal year 2008 request..............................           875,000
Committee recommendation..............................           875,000
    Change from request...............................                 0
    Change from enacted level.........................           125,000



    The Committee recommends an appropriation for fiscal year 
2008 of interest and earnings from the Center for Middle 
Eastern-Western Dialogue, expected to total $875,000.

                 EISENHOWER EXCHANGE FELLOWSHIP PROGRAM




Fiscal year 2007 enacted level........................          $494,000
Fiscal year 2008 request..............................           500,000
Committee recommendation..............................           500,000
    Change from request...............................                 0
    Change from enacted level.........................             6,000



    The Committee recommends an appropriation for fiscal year 
2008 of interest and earnings from the Eisenhower Exchange 
Fellowship Program Trust Fund, expected to total $500,000. The 
Committee has urged the Eisenhower Exchange Fellowships, 
Incorporated (EEF) to fashion its exchange programs to reflect 
the priority within all public diplomacy programs of building 
mutual understanding with Arab and Muslim populations 
worldwide. In this regard, the Committee continues to expect 
that the selection of foreign and United States fellows will 
reflect this priority. In addition, the Committee supports a 
nation-wide, merit-based recruitment and selection process for 
United States Fellows. The Committee expects EEF and the 
Department to submit a report to the Committees on 
Appropriations by November 30, 2008, describing its 
achievements in these areas.
    The Eisenhower Exchange Fellowship Act of 1990 authorized a 
permanent endowment for the Eisenhower Exchange Fellowship 
Program to increase educational opportunities for young leaders 
in preparation for and enhancement of their professional 
careers and to advance peace through international 
understanding. The Act established the Eisenhower Exchange 
Fellowship Program Trust Fund in the United States Treasury for 
these purposes.

                    ISRAELI ARAB SCHOLARSHIP PROGRAM




Fiscal year 2007 enacted level........................          $370,000
Fiscal year 2008 request..............................           375,000
Committee recommendation..............................           375,000
    Change from request...............................                 0
    Change from enacted level.........................             5,000



    The Committee recommends an appropriation for fiscal year 
2008 of interest and earnings from the Israeli Arab Scholarship 
Endowment Fund, expected to total $375,000. A permanent 
endowment of $4,978,500 for the Fund was established in fiscal 
year 1992 with funds made available to the United States 
Information Agency under section 556(b) of the Foreign 
Operations, Export Financing, and Related Programs 
Appropriations Act, 1990, as amended. The income from the 
endowment is to be used for a program of scholarships for 
Israeli Arabs to attend institutions of higher education in the 
United States.

                            EAST-WEST CENTER




Fiscal year 2007 enacted level........................       $18,994,000
Fiscal year 2008 request..............................        10,000,000
Committee recommendation..............................                 0
    Change from request...............................       -10,000,000
    Change from enacted level.........................       -18,994,000



    The Committee recommendation does not include funding for 
the East-West Center, which is $18,994,000 below the fiscal 
year 2007 level and $10,000,000 below the request.
    The Committee notes that the Center can solicit 
contributions and can compete for other Federal grants to 
support its research and training activities. The Center 
started receiving a direct grant from the Federal government in 
fiscal year 1961.

                    NATIONAL ENDOWMENT FOR DEMOCRACY




Fiscal year 2007 enacted level........................       $74,042,000
Fiscal year 2008 request..............................        80,000,000
Committee recommendation..............................        80,000,000
    Change from request...............................                 0
    Change from enacted level.........................         5,958,000



    The Committee recommendation includes $80,000,000 for the 
National Endowment for Democracy (NED), which is $5,958,000 
above the fiscal year 2007 level and the same as the request.
    The NED is a private, non-profit corporation established to 
encourage and strengthen the development of democratic 
institutions and processes internationally through private-
sector initiatives, training, and other activities, including 
those which promote pluralism, democratic governance, civic 
education, human rights, and respect for the rule of law. The 
NED provides funding for projects which are determined to be in 
the national interest of the United States and which are 
administered by private organizations and groups.

                            Related Agencies


                    Broadcasting Board of Governors





Fiscal year 2007 enacted level........................      $646,750,000
Fiscal year 2008 request..............................       668,225,000
Committee recommendation..............................       682,380,000
    Change from request...............................        14,155,000
    Change from enacted level.........................        35,630,000



    The Committee recommendation includes $682,380,000 for the 
Broadcasting Board of Governors, which is $35,630,000 above the 
fiscal year 2007 level, excluding emergency appropriations and 
$14,155,000 above the request. The appropriation accounts under 
this heading provide operational funding for the United States 
non-military, international broadcasting programs--including 
the Voice of America (VOA), Radio Free Europe/Radio Liberty 
(RFE/RL), Radio Free Asia (RFA), Radio and Television Marti, 
the Middle East Broadcasting Networks, Inc. (MBN), including 
Radio Sawa--and the associated facilities, engineering and 
support activities.

                 INTERNATIONAL BROADCASTING OPERATIONS

    The Committee recommendation includes $671,632,000 to carry 
out United States International Broadcasting Operations, which 
is $32,506,000 above the fiscal year 2007 level and $14,155,000 
above the request, after factoring in the seperate request for 
Cuba broadcasting. This account funds the operating and 
engineering costs of Voice of America, Radio Free Europe/Radio 
Liberty, Radio Free Asia, the Middle East Broadcasting Networks 
and the Broadcasting Board of Governors (BBG). The 
recommendation also includes funding for Broadcasting to Cuba 
under this account. In the request, this funding was proposed 
under a separate account.

Middle East Broadcasting Networks, including Alhurra

    The United States continues to face an enormous challenge 
to provide the people of Arab and Muslim countries with 
accurate information about United States policies and values. 
The Committee continues to support efforts to expand the 
audience of listeners and viewers in the Arab and Muslim world. 
The Committee recommendation includes $88,362,000 for 
television and radio broadcasting in Arabic, including Middle 
East Television and Radio Sawa, which is $5,412,000 above the 
fiscal year 2007 level, excluding emergency appropriations, and 
$13,402,000 below the request. The resources will provide for 
continued news capability of 24/7 coverage, including breaking 
news.
    The Committee is deeply troubled by several programming 
decisions at Alhurra television during the period November 2006 
through March 2007. On more than one occasion, the network 
aired live, and without opposing comment, statements by 
Hezbollah and Hamas leaders that were hateful, anti-American, 
and anti-Israel. The Network's coverage of the Holocaust Denial 
Conference also evidenced a lack of journalistic judgment and 
sensitivity. While just a portion of the overall broadcast 
program, these incidents call into question the management and 
overall journalistic philosophy of the Network's leadership.
    Accordingly, the Committee recommendation has deferred 
providing the funds requested to enhance Alhurra's programming 
in fiscal year 2008. In addition, the Committee recommendation 
includes up to $2,200,000 to provide for 24/7 streaming and 60-
day archiving on the station's website of all original programs 
for the Alhurra stream. The recommendation also includes up to 
$2,080,000 for the random translation of 20 hours per week of 
Alhurra's original programming by an independent entity. All 
transcripts should be publicly available on the station's 
website in a timely fashion. The Committee believes that these 
steps should enhance the transparency and accountability of 
Alhurra.
    The Committee also has requested that the Inspector General 
of the Department of State and the Broadcasting Board of 
Governors immediately review and report to the Committees on 
Appropriations on: the editorial policy in place in 2006 and 
2007 regarding broadcasts involving terrorists or those who 
support them; whether any changes were made to that policy or 
the Alhurra's journalistic code during the period; who was 
responsible for enforcing the policy; what action, if any, was 
taken against those who violated the policy; what management 
changes have been made to ensure the policy and journalistic 
code is monitored and enforced; and whether there are clear 
lines of authority at Alhurra to provide for accountability of 
journalistic decisions.

Anti-jamming efforts

    The Committee continues to support initiatives by the BBG 
to defeat jamming and reach a wider audience for Radio Free 
Asia and Voice of America broadcasts to China, Tibet, Vietnam, 
and North Korea. The Committee is aware that new technologies 
may allow the VOA and RFA to more effectively defeat jamming 
efforts. The Committee encourages the Board to evaluate the 
usefulness of these technologies. The Committee expects the BBG 
to expand such efforts in fiscal year 2008. Further, the 
Committee supports efforts to counter internet censorship 
imposed by China and Iran.

Voice of America (VOA)

    The Committee recommendation includes $194,093,000 for VOA, 
which is $22,561,000 above the fiscal year 2007 level and 
$15,747,000 above the request. The Committee recognizes VOA for 
its essential contribution to United States public diplomacy.
    The VOA's English-language radio programming is especially 
important since it provides accurate, objective and 
comprehensive news to a potential English-speaking audience of 
1.6 billion people worldwide. The Committee recommendation 
includes $8,000,000 for VOA English, which is $798,000 above 
the fiscal year 2007 level and $5,005,000 above the request.
    The Committee recommendation includes sufficient funding to 
fully restore the reductions proposed in the fiscal year 2008 
request in the following VOA language services: Albanian; 
Bosnian; Croatian; Greek; Macedonian; Serbian; Ukrainian; 
Georgian; Uzbek; Hindi; Cantonese; Thai; and Tibetan.
    The recommendation for VOA includes the increase requested 
for broadcasting to North Korea in accordance with the North 
Korea Human Rights Act of 2004 (Public Law 108-333).

Radio Free Europe/Radio Liberty (RFE/RL)

    The Committee recommendation provides $80,471,000 for RFE/
RL, which is $5,420,000 above the fiscal year 2007 level and 
$5,326,000 above the request. Within these amounts, $4,635,000 
is for Radio Farda, $3,980,000 is for Radio Free Afghanistan, 
$1,988,000 is for Radio Free Iraq. The Committee recommendation 
includes sufficient funds to fully restore the reductions 
proposed in the fiscal year 2008 request for the following 
language services: South Slavic; Romanian; Kazakh; Russian; and 
Ukrainian.

Radio Free Asia (RFA)

    The Committee recommendation includes $35,220,000 for RFA, 
which is $3,636,000 above the fiscal year 2007 level and 
$3,763,000 above the request. The Committee strongly supports 
increased broadcasting efforts to China, Tibet, Burma, Vietnam, 
North Korea, Laos, and Cambodia. The Committee recommendation 
includes sufficient funding to fully restore the reductions 
proposed in the fiscal year 2008 request in the Tibetan and 
Cantonese language services. In addition, the recommendation 
includes the increased funding proposed for broadcasting to 
North Korea to pursue objectives outlined in the North Korea 
Human Rights Act of 2004 (Public Law 108-333).

Broadcasting to Cuba

    The Committee recommendation includes $33,681,000 for radio 
and television broadcasting to Cuba, which is the same as the 
fiscal year 2007 level and $5,019,000 below the request.

                   BROADCASTING CAPITAL IMPROVEMENTS

    The Committee recommendation includes $10,748,000 in new 
budget authority for broadcasting capital improvements, which 
is $3,124,000 above the fiscal year 2007 level and the same as 
the request. The recommendation will provide for the 
continuation of base costs for maintenance, improvements, 
replacements and repairs, digital production capability 
development, and security upgrades at transmitting stations 
overseas. In addition, the recommendation will support the 
replacement of obsolete servers and computers in order to 
better safeguard the Agency's internal communications systems 
and enhance the capabilities of Voice of America broadcasts.

      Commission for the Preservation of America's Heritage Abroad


                         SALARIES AND EXPENSES




Fiscal year 2007 enacted level........................          $493,000
Fiscal year 2008 request..............................           499,000
Committee recommendation..............................           499,000
    Change from request...............................                 0
    Change from enacted level.........................             6,000



    The recommendation includes $499,000 for the Commission for 
the Preservation of America's Heritage Abroad, which is $6,000 
above the fiscal year 2007 level and the same as the request. 
The recommendation will allow the Commission to fund its 
administrative expenses through appropriated funds while 
relying on other sources of funding for actual purchase and 
restoration of property.
    The Commission protects and preserves endangered cultural 
sites in Eastern and Central Europe important to the heritage 
of United States citizens, including cemeteries, monuments, and 
historic buildings. One of its primary tasks is to obtain 
protection and preservation assurances from the governments of 
the region.
    The Committee directs the Commission to submit its 
Congressional Budget Justification within not less than 30 days 
from the submission date of the President's budget 
recommendations for fiscal year 2009. All submissions shall 
include at minimum a five year history of appropriations, the 
appropriations language requested, and a summary of both the 
built-in and programmatic changes recommended in the request.

             Commission on International Religious Freedom


                         SALARIES AND EXPENSES




Fiscal year 2007 enacted level........................        $3,000,000
Fiscal year 2008 request..............................         3,300,000
Committee recommendation..............................         3,400,000
    Change from request...............................           100,000
    Change from enacted level.........................           400,000



    The recommendation includes $3,400,000 for the Commission 
on International Religious Freedom, which is $400,000 above the 
fiscal year 2007 level, excluding emergency supplemental 
appropriations and $100,000 above the request. The Committee 
recommendation includes funding to allow the Commission to 
increase data development, hearings, analysis of policy, 
outreach and overall operations required to fulfill the 
Commission's mandated responsibilities.
    The Committee commends the Commission on its efforts to 
promote international religious freedom in consultation with 
the Department of State, independent human rights groups, and 
other non-governmental organizations, religious leaders, 
academics, policy experts, the Intelligence Community, and 
government agencies.
    The Commission, established pursuant to the International 
Religious Freedom Act of 1998, conducts independent reviews and 
reporting of facts and circumstances of violations of religious 
freedom abroad and recommends options for United States 
policies with respect to foreign countries engaging in or 
tolerating violations of religious freedom.
    The Committee commends the Commission for its work related 
to Saudi Arabia and urges the Commission to closely monitor and 
report on steps taken by the Saudi Government to implement the 
religious freedom reforms announced by the Department of State 
in July, 2006 following bilateral discussions between the two 
countries.
    The Committee directs the Commission to submit its 
Congressional Budget Justification within not less than 30 days 
from the submission date of the President's budget 
recommendations for fiscal year 2009. All submissions shall 
include at minimum a five year history of appropriations, the 
appropriations language requested, and a summary of both the 
built-in and programmatic changes recommended in the request.

            Commission on Security and Cooperation in Europe


                         SALARIES AND EXPENSES




Fiscal year 2007 enacted level........................        $2,004,000
Fiscal year 2008 request..............................         2,037,000
Committee recommendation..............................         2,037,000
    Change from request...............................                 0
    Change from enacted level.........................            33,000



    The recommendation includes $2,037,000 for the Commission 
on Security and Cooperation in Europe, which is $33,000 above 
the fiscal year 2007 level and the same as the request. The 
Commission was established in 1976 to monitor compliance with 
the Final Act of the Conference on Security and Cooperation in 
Europe, with particular regard to provisions dealing with 
humanitarian affairs.
    The Committee directs the Commission to submit its 
Congressional Budget Justification within not less than 30 days 
from the submission date of the President's budget 
recommendations for fiscal year 2009. All submissions shall 
include at minimum a five year history of appropriations, the 
appropriations language requested, and a summary of both the 
built-in and programmatic changes recommended in the request.

  Congressional-Executive Commission on the People's Republic of China


                         SALARIES AND EXPENSES




Fiscal year 2007 enacted level........................        $1,876,000
Fiscal year 2008 request..............................         2,000,000
Committee recommendation..............................         2,000,000
    Change from request...............................                 0
    Change from enacted level.........................           124,000



    The recommendation includes $2,000,000 for the 
Congressional-Executive Commission on the People's Republic of 
China, which is $124,000 above the fiscal year 2007 level and 
the same as the request.
    The Committee commends the Commission for its ongoing 
efforts to monitor China's compliance with international human 
rights agreements and standards and for its development and 
implementation of the Political Prisoner Database (PPD) project 
in accordance with section 302(b) of Public Law 106-286. The 
Committee understands that this database was globally 
accessible via the Internet beginning in November 2004 and 
serves as a unique and powerful resource for individuals, 
educational institutions, non-governmental organizations, and 
governments that wish to research political and religious 
imprisonment in China or advocate on behalf of prisoners.
    The Committee directs the Commission to submit its 
Congressional Budget Justification within not less than 30 days 
from the submission date of the President's budget 
recommendations for fiscal year 2009. All submissions shall 
include at minimum a five year history of appropriations, the 
appropriations language requested, and a summary of both the 
built-in and programmatic changes recommended in the request.

      United States-China Economic and Security Review Commission


                         SALARIES AND EXPENSES




Fiscal year 2007 enacted level........................        $2,962,000
Fiscal year 2008 request..............................         4,000,000
Committee recommendation..............................         4,000,000
    Change from request...............................                 0
    Change from enacted level.........................         1,038,000



    The Committee recommendation includes $4,000,000 for the 
necessary expenses of the United States-China Economic and 
Security Review Commission, which is $1,038,000 above the 
fiscal year 2007 level and the same as the request. The 
recommendation includes a limitation of not more than $5,000 
for the purpose of official representation, the same as the 
fiscal year 2007 level. The recommendation includes language, 
as requested, regarding the responsibilities of the Commission. 
The Committee commends the Commission for its efforts to 
monitor the evolving U.S.-China relationship.
    The Committee directs the Commission to submit its 
Congressional Budget Justification within not less than 30 days 
from the submission date of the President's budget 
recommendations for fiscal year 2009. All submissions shall 
include at minimum a five year history of appropriations, the 
appropriations language requested, and a summary of both the 
built-in and programmatic changes recommended in the request.

                    United States Institute of Peace


                           OPERATING EXPENSES




Fiscal year 2007 enacted level........................       $22,064,000
Fiscal year 2008 request..............................        30,000,000
Committee recommendation..............................        25,000,000
    Change from request...............................        -5,000,000
    Change from enacted level.........................         2,936,000



    The recommendation includes $25,000,000 for the United 
States Institute of Peace, which is $2,936,000 above the fiscal 
year 2007 level and $5,000,000 below the request. The 
recommended funding level will support initiatives by the 
Institute to help prevent sectarian violence, train democratic 
leaders, establish the rule of law, and disseminate best 
practices in conflict management that will assist in 
confronting some of the most complex foreign policy challenges 
facing our nation.

      General Provisions--Department of State and Related Agencies

    The Committee recommends 9 of the general provisions 
carried in the fiscal year 2007 Act be deleted. These 
provisions (sections 406, 408, 409, 410, 617, 625, 634, 635, 
638) are either addressed elsewhere in permanent law, have been 
considered by the appropriate authorizing committee, or are no 
longer necessary.
    The Committee recommends the following general provisions 
for the Department of State.
    Sec. 101 of the bill includes language carried in prior 
years that permits funds appropriated in this title for the 
Department of State to be available for allowances and 
differentials as authorized by subchapter 59 of title 5 of the 
United States Code; for services as authorized by 5 U.S.C. 
3109; and for hire of passenger transportation pursuant to 5 
U.S.C. 1343(b).
    Sec. 102 of the bill includes language carried in prior 
years that requires the Department of State and the 
Broadcasting Board of Governors to submit quarterly reports on 
cumulative balances and unobligated funds.
    Sec. 103 of the bill includes language carried in prior 
years that provides certain conditions related to the 
construction of diplomatic facilities.
    Sec. 104 of the bill includes language carried in prior 
years that prohibits the use of funds for any UN peacekeeping 
mission that involves United States Armed Forces under the 
command or operational control of a foreign national unless the 
President certifies that the involvement is in the national 
interest.
    Sec. 105 of the bill includes language carried in prior 
years that extends the prohibition on the use of funds to issue 
a visa to any alien involved in extrajudicial or political 
killings in Haiti, including exemption and reporting 
requirements.
    Sec. 106 of the bill includes language carried in prior 
years that clarifies the responsibilities of the Senior Policy 
Operating Group on Trafficking in Persons. The Committee 
understands that the Operating Group is coordinating agency 
activities outlined in the Trafficking Victims Reauthorization 
Act of 2005. The Committee expects that all anti-trafficking 
policies, grants and grant policies are defined by this Act. 
The Operating Group is, and was intended to serve as, the forum 
for interagency coordination of anti-trafficking policies, even 
as final decisions regarding any such policies are necessarily 
vested with the President and the senior officials who comprise 
the Task Force. The Committee understands that the Senior 
Operating Group and its chair have successfully performed the 
coordinating functions assigned to them.
    Sec. 107 of the bill includes language carried in prior 
years regarding United States citizens born in the city of 
Jerusalem.
    Sec. 108 of the bill includes language carried in prior 
years requiring that any funding used to implement E-Government 
Initiatives shall be subject to section 615 of this Act.
    Sec. 109 of the bill includes language carried in prior 
years regarding certain consulting services.
    Sec. 110 of the bill includes language carried in prior 
years that prohibits the use of funds to expand the United 
States diplomatic presence in Vietnam beyond the level in 
effect July 11, 1995, unless the President makes a 
certification that several conditions have been met regarding 
Vietnam's cooperation with the United States on POW/MIA issues.
    Sec. 111 of the bill includes language carried in prior 
years extending certain Broadcasting Board of Governors and 
Department of State basic authorities during fiscal year 2008.
    Sec. 112 of the bill includes language carried in prior 
years that restricts the availability of funds for contribution 
to the United Nations if the United Nations imposes any 
taxation on any United States persons.
    Sec. 113 of the bill includes language carried in prior 
years regarding certain transfers of funds.
    Sec. 114 of the bill includes language carried in prior 
years regarding certain restrictions on United States 
delegations to any specialized agency, body or commission of 
the United Nations.

               TITLE II--EXPORT AND INVESTMENT ASSISTANCE


                Export-Import Bank of the United States


                           INSPECTOR GENERAL



Fiscal year 2007 enacted level........................          $990,000
Fiscal year 2008 request..............................         1,000,000
Committee recommendation..............................         1,000,000
    Change from request...............................                 0
    Change from enacted level.........................            10,000

    The Committee recommends $1,000,000 for the Inspector 
General of the Export-Import Bank of the United States, which 
is the same as the request and $10,000 above the fiscal year 
2007 level.

                         SUBSIDY APPROPRIATION
 Fiscal year 2007 enacted level........................       $26,382,000
Fiscal year 2008 request..............................        68,000,000
Committee recommendation..............................        68,000,000
    Change from request...............................                 0
    Change from enacted level.........................        41,618,000

    The Committee recommends $68,000,000 for the Subsidy 
Appropriation of the Export-Import Bank of the United States, 
which is the same as the request and $41,618,000 above the 
fiscal year 2007 level.

                        ADMINISTRATIVE EXPENSES
 Fiscal year 2007 enacted level........................       $72,468,000
Fiscal year 2008 request..............................        78,000,000
Committee recommendation..............................        78,000,000
    Change from request...............................                 0
    Change from enacted level.........................         5,532,000

    The Committee recommends $78,000,000 for the administrative 
expenses appropriation of the Export-Import Bank of the United 
States, which is the same as the request and $5,532,000 above 
the fiscal year 2007 level.
    As in prior years, the Committee directs the President of 
the Export-Import Bank to report quarterly to the Committee on 
the level of authorizations, subsidy used, and subsidy balances 
from current and prior years.
    The Committee commends the efforts of the Export-Import 
Bank to encourage the use of small businesses and recognizes 
the significant progress made. The Committee believes the 
Export-Import Bank also has a role to help increase the export 
of U.S. produced renewable energy and other environmentally 
beneficial exports. The Committee is encouraged by the 
forthcoming establishment of the Office of Renewable Energy 
Promotion, as outlined in Public Law 109-438, and looks forward 
to improvements in the Export-Import Bank's ability to 
proactively identify new opportunities for renewable energy 
financing and to promote the export of renewable energy 
technologies. The Committee directs that no later than 90 days 
following the enactment of this Act, the Export-Import Bank 
shall submit to the Committees on Appropriations, a 
comprehensive strategy to increase exports in renewable energy 
and environmentally beneficial products.
    Of the aggregate loan, guarantee and insurance authority 
available to it, not less than 10 percent should be in the area 
of renewable energy and environmentally beneficial products and 
services.
    The Committee directs further that no later than 90 days 
following the end of fiscal year 2008, the Export-Import Bank 
shall submit a report detailing all work carried out in fiscal 
year 2008 related to renewable energy and environmentally 
beneficial products and services.
    The Committee supports in principle the drive for the 
Export-Import Bank to finance its administrative and credit 
subsidy costs with its collections. However, the Committee 
would like to evaluate the accuracy of the revised subsidy 
requirements and overall performance in 2008 prior to making a 
determination on self-sufficiency.

                Overseas Private Investment Corporation


                           NONCREDIT ACCOUNT
 Fiscal year 2007 enacted level........................       $41,851,000
Fiscal year 2008 request..............................        47,500,000
Committee recommendation..............................        47,500,000
    Change from request...............................                 0
    Change from enacted level.........................         5,649,000

    The Committee recommends $47,500,000 for the Noncredit 
Account of the Overseas Private Investment Corporation (OPIC) 
for administrative expenses, which is the same as the request 
and $5,649,000 above the fiscal year 2007 level.
    As in prior years, the Committee directs OPIC to continue 
to provide on a semi-annual basis written reports including the 
following information for each investment fund: the identity, 
selection process, and professional background of current and 
past managers; the fees and compensation currently provided to 
senior management; the amount of OPIC guarantees and actual 
investments made at the end of the previous six months; and any 
additional observations that OPIC may want to include. The 
Committee commends OPIC for its judicious management of its 
investment fund portfolio.
    The Committee commends the managers of OPIC for exploring 
new ways of meeting OPIC's development mandate, but during 
times of high political risk and instability in some countries, 
OPIC also must fulfill its mandate of facilitating increased 
United States direct investment abroad and increase exports 
from the United States. The Committee is aware of OPIC's policy 
that it only provides insurance for a project after a company 
has attempted to access the private market, and this policy has 
solidified OPIC's role as insurer of last resort. With global 
risk remaining high for foreign direct investment, and 
investment's primary role in creating jobs and raising income 
levels in the developing world, the Committee expects OPIC to 
retain its strong role as insurer of last resort for political 
risk insurance, including terrorism insurance, for United 
States companies.
    The Committee directs OPIC to consult with the Committee 
before exercising local currency loan guaranty authority, and 
to provide to the Committee, prior to the consultation, 
justification for the need to exercise such authority, the use 
of OPIC subsidy required, the degree to which the United States 
would be exposed to additional risk as a result of such 
transactions, and which other United States Government agencies 
have been consulted.
    The Committee directs the President of OPIC to continue 
current policy and consult with the Committee on Appropriations 
before any future financing for nongovernmental organizations 
or private and voluntary organizations is approved.

Coordination with other United States Agencies that operate overseas

    The Committee acknowledges OPIC's efforts to improve 
coordination with other United States Government agencies that 
operate overseas but believes improvements are still required. 
The Committee directs OPIC to reach out and closely coordinate 
with USAID, the Millennium Challenge Corporation, the 
Department of the Treasury and other agencies of the United 
States Government to ensure that there is no duplication of 
effort with providing assistance and that foreign assistance 
and credit is not provided to countries on different terms by 
different agencies (including financing that could be 
considered debt by the Paris Club). Specifically, the Committee 
requests that any OPIC loan guarantee program should not 
compete with or displace any other ongoing United States 
Government loan guarantee program in the same country.

Renewable energy and environmental beneficial investments

    The Committee believes the Overseas Private Investment 
Corporation has a role in helping to increase overall 
investment in renewable energy and other environmentally 
beneficial products and services and encourages OPIC to 
increase work in this area.
    The Committee directs that no later than 90 days following 
the end of fiscal year 2008, the Overseas Private Investment 
Corporation shall submit a report detailing all work carried 
out in fiscal year 2008 related to renewable energy and 
environmentally beneficial products and services.

                            PROGRAM ACCOUNT
 Fiscal year 2007 enacted level........................       $20,073,000
Fiscal year 2008 request..............................        29,000,000
Committee recommendation..............................        20,000,000
    Change from request...............................        -9,000,000
    Change from enacted level.........................           -73,000

    The Committee recommends $20,000,000 for the subsidy 
appropriation for OPIC's direct and guaranteed loan credit 
programs, which is $9,000,000 below the request and $73,000 
below the fiscal year 2007 level.
    The Committee continues prior year language required by the 
Federal Credit Reform Act that addresses representation 
expenses and availability of funds.

                      Trade and Development Agency

 Fiscal year 2007 enacted level........................       $50,391,000
Fiscal year 2008 request..............................        50,400,000
Committee recommendation..............................        50,400,000
    Change from request...............................                 0
    Change from enacted level.........................             9,000

    The Committee recommends $50,400,000 for the Trade and 
Development Agency (TDA), which is the same as the request and 
$9,000 above the fiscal year 2007 level.
    The Committee believes TDA has a role in helping to promote 
the use of renewable energy and other environmentally 
beneficial products and services. The Committee commends the 
recent progress in this area and encourages TDA to further 
strengthen outreach efforts.
    The Committee directs that no later than 90 days following 
the end of fiscal year 2008, the United States Trade and 
Development Agency shall submit a report detailing all work 
carried out in fiscal year 2008 related to renewable energy and 
environmentally beneficial products and services.

                TITLE III--BILATERAL ECONOMIC ASSISTANCE


                  FUNDS APPROPRIATED TO THE PRESIDENT


           UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT


                Child Survival and Health Programs Fund


                     (INCLUDING TRANSFER OF FUNDS)
 Fiscal year 2007 enacted level........................    $1,718,150,000
Fiscal year 2008 request..............................     1,564,279,000
Committee recommendation..............................     1,955,150,000
    Change from request...............................       390,871,000
    Change from enacted level.........................       237,000,000

    The Committee recommendation includes $1,955,150,000 for 
the ``Child Survival and Health Programs Fund'' account, which 
is $237,000,000 above the fiscal year 2007 level excluding 
emergency supplemental appropriations and $390,871,000 above 
the request.
    The Committee has made available a total of $5,082,000,000 
in this Act for HIV/AIDS of which $600,000,000 is funded 
through the ``Child Survival and Health Programs Fund'' 
account, $4,450,000,000 is funded under the ``Global HIV/AIDS 
Initiative'' account, and $32,000,000 is provided from the 
Economic Support Fund, and regional accounts.
    The Committee has also made available a total of 
$263,500,000 for tuberculosis of which $103,000,000 is funded 
through the ``Child Survival and Health Programs Fund'' 
account, at least $150,000,000 is funded under the ``Global 
HIV/AIDS Initiative'' account, and $10,500,000 is provided from 
other accounts.

Allocation of child survival and health programs fund

    Fiscal year 2008 appropriations for the ``Child Survival 
and Health Programs Fund'' account are deemed to be allocated 
as follows:

Global health funding

        Category                                              Allocation
Child Survival and Health Programs Fund:
    Child Survival and Maternal Health..................    $374,150,000
    Vulnerable Children.................................      15,000,000
    HIV/AIDS (bilateral)................................     350,000,000
    Global Fund to Fight AIDS, Tuberculosis, and Malaria     250,000,000
    Reproductive Health/Voluntary Family Planning.......     375,000,000
    Other Infectious Diseases...........................     591,000,000
                    --------------------------------------------------------
                    ____________________________________________________
    Subtotal, Child Survival and Health Programs Fund...   1,955,150,000
Other Global Health:
    Global HIV/AIDS Initiative..........................   4,450,000,000
    Economic Support Fund...............................      57,900,000
    Regional Accounts...................................      54,600,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Global Health Funding......................   6,517,650,000

    The Committee continues to concur with the program category 
definitions and their components that 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. The Committee directs USAID to issue program 
guidance to the field on this matter in fiscal year 2008.
    The Committee continues prior year language that prohibits 
the use of certain funds in this account for non-project 
assistance, or cash grants to governments. The provision of 
cash grants as general budget support for governments is no 
longer an appropriate development tool, given current funding 
constraints. To the extent that cash grants are necessary for 
countries in transition or for specific foreign policy goals, 
funds are available through the ``Economic Support Fund'' 
account.
    The Committee directs that USAID resume publication of its 
annual report on programs and activities carried out with 
funding from the ``Child Survival and Health Programs Fund'' 
account. This report should include a thorough description of 
the health programs funded by this account by country and 
describe the impact and outcomes of these programs.
    The Committee recommendation includes a total of 
$4,562,500,000 from other accounts, including regional accounts 
for child survival and other health programs. Of this total, 
4,450,000,000 is provided in the Global HIV/AIDS Initiative 
account; $57,900,000 is provided in the ``Economic Support 
Fund'' account; $52,200,000 is found in the ``Assistance for 
the Independent States of the Former Soviet Union'' account; 
and $2,400,000 is found in the ``Assistance for Eastern Europe 
and the Baltic States'' account.

Africa and Latin America

    The Committee is concerned that the proposed fiscal year 
2008 budget shifts funds away from Africa and Latin America. 
The Committee is aware that these regions are receiving 
significant funding due to the expansion of the Global AIDS 
Initiative. The Committee does not believe that this should 
result in a reduced level of funding for child survival and 
other health programs. The Committee directs USAID to program 
fiscal year 2008 resources for these regions only after 
consultation with the Committees on Appropriations.

Child survival

    The Committee recommendation includes $374,150,000 for 
child survival and maternal health programs, which is 
$28,557,000 above the request.
    Since 2005, most developing country governments have 
committed themselves to work toward the goal of reducing child 
mortality for children under five by two thirds and they are 
working together to reach these goals by increasing resources 
and overall technical assistance. The Committee believes that 
the United States should take a leadership role in this effort 
and directs USAID to examine its current child survival and 
maternal health portfolio to ensure that the Agency's work is 
complementary to the efforts of others and that these efforts 
focus on this specific goal. The Committee further directs that 
no later than 180 days after enactment of this Act, USAID 
report to the Committees on Appropriations how its child 
survival programs are working toward the goal of reducing child 
mortality by two thirds. The report should provide specific 
information about how the funding supports country efforts to 
reduce child mortality as well as how USAID funding complements 
the work of other private and public donors. The report should 
include information about the results and impact of United 
States government funding by country in terms of lives saved, 
morbidity averted and improvements in child survival outcomes.

Maternal health

    The Committee remains concerned that nearly 500,000 women 
die during pregnancy and childbirth every year. The Committee 
commends USAID for its pioneering work and encourages it to 
continue this work.
    The Committee continues to be concerned about the impact of 
obstetric fistula, which affects an estimated three million 
women in the developing world. The Committee instructs USAID to 
consult with the Committees on Appropriations on the 
programming of fistula program funds no later than 60 days 
following enactment of this Act. In addition, the Committee 
notes Ethiopia's leading role in this area and encourages USAID 
to consider proposals from the Ethiopian North American Health 
Professionals Association for the Safe Motherhood project in 
Awassa, Ethiopia and the Fistula Foundation at the Addis Ababa 
Fistula Hospital in fiscal year 2008.
    The Committee encourages USAID to consider providing 
funding in fiscal year 2008 to rebuild JFK Women's Hospital in 
Liberia.

Micronutrients

    The Committee recommendation includes not less than 
$30,000,000 overall for USAID's micronutrient program, which is 
$30,000,000 above the request. The Committee continues to be 
supportive of USAID efforts to reduce Vitamin A deficiency, a 
cause of death for more than 2.8 million children annually.
    The Committee continues to be concerned about and 
supportive of programs that address iodine deficiency disorder 
(IDD), which is the leading preventable cause of mental 
retardation in children. The Committee is aware of the Kiwanis/
UNICEF partnership and encourages USAID to consider such work 
in fiscal year 2008.

Polio eradication

    Since 1988, the number of polio cases has fallen from an 
estimated 350,000 to less than 1,997 in 2006. The global 
partnership to eradicate polio has had significant success, but 
some of the most difficult work remains. The Committee 
recommendation includes 32,000,000 for global polio eradication 
efforts.
    The Committee directs USAID to provide not later than the 
submission of the 653(a) report for fiscal year 2008 an 
operating plan for funds provided for polio control and 
eradication. This description will include allocations and 
outcome objectives for each bilateral and central program. 
USAID will collaborate with its partner organizations, 
including Rotary International, to develop this plan.

Vaccines and immunizations

    Vaccinations and immunizations are highly effective 
interventions to reduce child deaths in the developing world. 
Since 2000, the GAVI Fund has worked to close the immunization 
gap in the developing world, saving over one million premature 
childhood deaths. The Committee recommendation includes 
$70,000,000 in fiscal year 2008 for the GAVI Fund.
    In addition, the Committee is pleased to see that research 
on a meningitis vaccine is progressing. The Committee is aware 
of efforts to distribute the meningitis vaccine in the 
``meningitis belt'' and encourages USAID to consider such 
programs in fiscal year 2008.

Other child survival activities

    The Committee is aware of the important work of the 
Hospital Bienfaisance de Pignon in Pignon, Haiti and urges 
USAID to continue providing support in fiscal year 2008. The 
Committee also encourages USAID to resume funding for Mission 
Out Reach Haiti.
    The Committee recognizes the work of Gift of Life 
International to expand its programs to assist Iraqi children, 
Operation Smile for a Global Standard of Care Initiative, and 
Creative Wellness Institute and encourages USAID to consider 
support for such efforts.

Vulnerable children

    The Committee recommendation includes $15,000,000 for 
displaced children, orphans, and blind children, which is 
$15,000,000 above the request. As in previous years, assistance 
for children affected by HIV/AIDS is addressed elsewhere in the 
bill.

Childhood blindness

    The Committee remains concerned that 1.5 million children 
are currently blind, and another 7 million suffer from poor 
vision. The Committee recommendation includes not less than 
$1,800,000 for childhood blindness programs in fiscal year 
2008.

HIV/AIDS

    The Committee recommendation includes $350,000,000 for HIV/
AIDS from this account, which is $35,722,000 above the request. 
The Committee supports the allocation of $31,000,000 from other 
accounts, in addition to funds provided under the Global HIV/
AIDS Initiative account. Additional language regarding United 
States bilateral HIV/AIDS funding is found under the ``Global 
HIV/AIDS Initiative'' account heading.
    The President's HIV/AIDS Initiative is making strides in 
addressing HIV/AIDS in the fifteen focus countries. This USAID 
funding is provided to support HIV/AIDS prevention, treatment 
and care programs in non-focus countries. The Committee is 
pleased to see the integration of non-focus countries into the 
country operating plan process and encourages USAID to continue 
this important process.

Second wave countries

    The Committee is aware that the second wave of the HIV/AIDS 
pandemic is occurring in countries such as India, China, 
Ukraine, and Russia. USAID is a global leader in HIV/AIDS 
treatment, care and prevention research and implementation and 
the Committee expects that it is providing support to these 
countries both through country-level programs as well as 
through regional efforts. In addition, the Committee encourages 
USAID to provide technical assistance, where appropriate 
through the World Health Organization and UNAIDS, to assist 
these countries in the development and implementation of their 
national HIV/AIDS plans.

Regional programs

    The Committee understands that HIV/AIDS knows no borders 
and regional efforts are key to the overall effort. The 
Committee urges USAID, in coordination with the Global HIV/AIDS 
Coordinator to expand support for regional programs, including 
supporting the work of TREAT Asia, a regional collaborative 
research, education, and training network in the Asia and 
Pacific region. TREAT Asia currently serves as the Secretariat 
for a number of USAID-supported HIV prevention projects in the 
Mekong Delta and the Committee believes that these efforts 
should be expanded into other areas in the region.
    The Committee recognizes the emerging HIV/AIDS epidemics in 
Central Asia and Eastern Europe that are being fueled by the 
increase in intravenous drug use, including heroin. Emerging 
injecting drug epidemics have also been documented in South 
Africa, Kenya, and Nigeria. The Committee encourages USAID and 
the Global HIV/AIDS Coordinator to compile best practices from 
our program in Vietnam and scale up programs that provide HIV/
AIDS and drug treatment for injecting drug users.

Media

    The Committee understands that local and national media can 
provide an effective tool for combating HIV/AIDS. The Committee 
recommends that USAID, in collaboration with the Office of the 
Global HIV/AIDS Coordinator, at a minimum sustain its current 
media programs in Kenya, Nigeria, Ethiopia, and India and 
consider expanding activities to other countries in Africa. The 
Committee is aware of the work of Global Communications 
International, Local Voices, and Madagascar World Voice and 
encourages USAID to consider such programs in fiscal year 2008.

Voluntary contribution to the Global Fund to Fight AIDS, TB, and 
        Malaria

    The Committee recommendation includes $250,000,000 from the 
``Child Survival and Health Programs Fund'' account to support 
the Global Fund to Fight AIDS, Tuberculosis, and Malaria 
(Global Fund), which is $250,000,000 above the request. Further 
information and direction about the Committee's recommendation 
is found under the heading ``Global HIV/AIDS Initiative''.
    The Committee appreciates that USAID continues to provide 
technical assistance to support Global Fund recipients and 
applicants. This work has strengthened Country Coordinating 
Mechanisms and has led to improved outcomes. The Committee 
notes that the bill language shifts technical assistance 
authority from the ``Child Survival and Health Programs Fund'' 
account to the ``Global HIV/AIDS Initiative'' account.

Other infectious diseases, including tuberculosis and malaria

    The Committee recommendation includes $591,000,000 for 
other infectious diseases, including tuberculosis (TB) and 
malaria, which is $11,500,000 below the request.

Malaria

    The Committee recommendation includes $350,000,000 for 
malaria programs from this account. The Committee supports the 
allocation of an additional $2,500,000 from the Economic 
Support Fund. Overall, the Committee recommendation includes an 
estimated $352,500,000 from all accounts for malaria programs, 
of which $270,000,000 is for the President's Malaria 
Initiative.
    The Committee is pleased to see the expansion of the United 
States Government's commitment to addressing malaria through 
the establishment of the President's Malaria Initiative. This 
comprehensive treatment, care, and prevention program has 
provided approximately one million insecticide treated bed-nets 
and has protected over two million people through indoor 
residual spraying campaigns. The Committee recognizes the need 
for increased technical assistance to improve country-level 
malaria programs and encourages USAID to work with the World 
Health Organization, where appropriate, to provide this 
assistance.

Tuberculosis (TB)

    Each year, more than 8.9 million people develop active TB, 
and at least 2.4 million die of the disease annually. The 
Committee's recommendation includes $103,000,000 for the 
prevention, care, and treatment of TB from this account, which 
is $23,760,000 above the request. The Committee supports the 
allocation of an additional $10,500,000 from other accounts, 
including regional accounts and at least $150,000,000 from the 
``Global HIV/AIDS Initiative'' account for TB/HIV activities. 
Overall, the Committee recommendation includes an estimated 
$263,500,000 from all accounts for TB programs. The Committee 
continues to support the Global TB Drug Facility, which expands 
access to, and availability of, high-quality TB drugs to 
facilitate expanded treatment against the disease.
    The Committee is concerned about the emergence of drug 
resistant strains of tuberculosis, including extensively drug 
resistant-TB (XDR-TB), which threatens to undermine progress in 
AIDS treatment scale-up and progress in TB control globally. 
The Committee urges USAID, when appropriate, to work with the 
Office of the Global HIV/AIDS Coordinator to strengthen overall 
treatment efforts and elsewhere to slow the emergence of this 
strain. The Committee recognizes the leadership role that 
USAID, along with the World Health Organization, plays in the 
global effort and has increased the global TB appropriation to 
combat this threat.

Neglected diseases and other infectious diseases

    The Committee provides an additional $38,000,000 for other 
infectious disease priorities. This Committee believes that a 
portion of this funding should be used to continue to support 
an initiative, started in fiscal year 2007, to test an 
integrated approach to the control of neglected diseases. The 
Committee is pleased with progress on this program. The 
Committee is also aware that this program must be targeted to 
those countries where these neglected diseases are endemic and 
urges the Agency to ensure that resources for this initiative 
are being used most appropriately.
    The Committee intends that these funds also be used to 
support improved surveillance, expanded efforts to address 
antimicrobial resistance, and for other emerging infectious 
disease issues.

Avian influenza

    The Committee recommendation includes $100,000,000 to 
combat avian influenza, which is the same as the request. The 
Committee remains supportive of USAID's work to assist 
developing nations to improve their capability to prevent, 
detect, and respond to a possible avian influenza pandemic. 
Over the past three years, the Committee has appropriated 
$184,000,000 to support programs to contain or prevent an avian 
influenza pandemic. In addition, the Committee included 
$161,000,000 in the fiscal year 2007 Supplemental 
Appropriations Act (Public Law 110-28).

Reproductive health/voluntary family planning

    The Committee recognizes the important role that voluntary 
family planning programs play in a comprehensive global health 
effort. The Committee recommendation includes $441,000,000 for 
reproductive health and voluntary family planning, which is 
$116,200,000 above the request. The Committee directs that not 
less than $375,000,000 of this total be from the ``Child 
Survival and Health Programs Fund'' account, and $66,000,000 be 
from other accounts, including regional accounts.
    The Committee acknowledges USAID's technical leadership in 
addressing the impact of population growth on ecologically 
sensitive areas. The Committee urges USAID to build upon its 
past investments in population-health-environment programs by 
expanding and scaling up projects in communities inhabiting 
areas rich in biodiversity, particularly in Africa and Asia.

Reproductive health/voluntary family planning restrictions

    The Committee has continued prior year language that 
requires that none of the funds appropriated in this Act, or 
any un-obligated balances, be made available to any 
organization or program, which as determined by the President, 
supports and participates in the management of a program of 
coercive abortion or involuntary sterilization. The Committee 
has included a new provision that requires the Department of 
State to prepare a comprehensive analysis of the evidence and 
criteria used if the Department should determine that an 
organization or program supports and participates in the 
management of a program of coercive abortion or involuntary 
sterilization. The language also states that funds cannot be 
used to pay for the performance of abortions as a method of 
family planning or to motivate or coerce any person to practice 
abortion. Further, the language indicates that population funds 
shall be available only to voluntary family planning projects 
that offer, either directly or through referral, information 
about access to a broad range of family planning methods and 
services. An additional provision requires that in awarding 
grants for natural family planning under section 104 of the 
Foreign Assistance Act, no applicant shall be discriminated 
against because of such applicant's religious or conscientious 
commitment to offer only natural family planning.
    The Committee also has continued prior year language that 
states that nothing in the Act is to alter any existing 
statutory prohibitions against abortion that are included under 
section 104 of the Foreign Assistance Act. Further, the 
Committee has continued prior year language, which states that 
project service providers or referral agents cannot implement 
or be subject to quotas or other numerical targets. The 
Committee has continued prior year language requiring that 
information on condom use shall be medically accurate and shall 
include the public health benefits and failure rates of such 
use.

Research and development

    The Committee believes that USAID's support for research 
and development on diseases and conditions that impact the 
developing world is important. These investments will leverage 
additional resources from foundations, private corporations and 
other country governments, including European donors.
    The Committee is aware of PATH's HealthTech partnership and 
the work of the Seattle Biomedical Research Institute and 
encourages USAID to consider support for such programs in 
fiscal year 2008. The Committee commends USAID for the research 
portfolio reports it has developed. The Committee requests that 
USAID continue to provide this annual report to the Committees 
on Appropriations no later than September 30, 2007. The 
Committee also requests USAID, after consultation with the 
Office of the Global HIV/AIDS Coordinator, and other partners, 
to include abbreviated research plan information in its 
congressional budget justification for fiscal year 2009, 
including a spending table similar to that found on page 57 of 
the May 2006 Report. The table should include funding by health 
issue and product for fiscal years 2007, 2008 and estimates for 
2009.

Malaria and TB research

    Research on new vaccines and medicines for infectious 
diseases continues to be a priority for the Committee. The 
Committee encourages the continuation of a comprehensive 
malaria program at USAID that includes funding for operational 
research as well as treatment, care and prevention. The 
Committee urges USAID to continue to include drug and vaccine 
development and applied research in their global TB efforts in 
fiscal year 2008.

HIV/AIDS and microbicides research

    The Committee recognizes the disproportionate impact of 
HIV/AIDS on women and supports continued USAID investment in 
microbicides development at not less than $45,000,000. The 
Committee is aware of the work of the International Partnership 
for Microbicides and urges USAID to consider its work. Since 
2001, USAID has supported applied research into all phases of 
HIV vaccine development. The Committee believes that a 
continued commitment to HIV/AIDS vaccine research is critical 
to the global HIV/AIDS effort. The Committee is aware of the 
work of the International AIDS Vaccine Initiative and urges 
USAID to consider its work. The Committee further requests the 
development of strategies by USAID and the Global HIV/AIDS 
Coordinator to support product introduction, distribution, and 
use once a safe and effective microbicide and HIV vaccine have 
been developed. The Committee requests that this report be 
provided to the Committees on Appropriations within 180 days of 
enactment of this Act.

                         DEVELOPMENT ASSISTANCE

 Fiscal year 2007 enacted level........................    $1,508,760,000
Fiscal year 2008 request..............................     1,041,248,000
Committee recommendation..............................     1,733,760,000
    Change from request...............................       692,512,000
    Change from enacted level.........................       225,000,000

    The Committee recommendation includes $1,733,760,000 for 
the ``Development Assistance'' account, which is $225,000,000 
above the fiscal year 2007 level and $692,512,000 above the 
request.
    Funding in this account includes agriculture and rural 
development; literacy and basic education for children and 
adults; environment and clean energy; safe water; trade 
capacity building; economic growth; democracy; conflict 
mitigation; science and technology; and other programs related 
to long-term development.
    The Committee commends USAID for the work it is doing to 
expand opportunities in the developing world. The Committee 
believes that USAID should focus on establishing and expanding 
institutional and human resource capacities of developing 
countries in order to promote long-term development and build 
institutional capacity.

Development assistance funding

    The funding assumptions included in the Committee's 
recommendation for the funds in this account are as follows:

Agriculture and Natural Resources.......................    $165,000,000
Economic Growth.........................................     400,000,000
Education and Training..................................     662,510,000
    Basic Education.....................................     519,900,000
    Higher Education....................................     142,610,000
Biodiversity and Environment............................     175,000,000
Safe Water and Water Management.........................     150,000,000
Democracy and Conflict Management.......................     209,000,000
Women's Leadership Capacity Training....................      35,000,000

    The Committee recommendation includes $365,000,000 in the 
``Development Assistance'' account, that was requested in the 
``Economic Support Fund'' account. The Committee directs that 
this funding be provided to the following countries and that it 
be in addition to the requested amounts from this account.

        Country                                       Additional Funding
Afghanistan.............................................    $150,000,000
Democratic Republic of Congo............................      10,000,000
Liberia.................................................      30,000,000
Pakistan................................................      30,000,000
Sudan...................................................     145,000,000
    Total...............................................     365,000,000

Basic education

    Education is a key building block for sustained economic 
growth and the strengthening of democratic institutions. For 
that reason, the Committee increased basic education funding 
from $126,000,000 in fiscal year 2001 to $550,000,000 in fiscal 
year 2007.
    This year, the Committee directs $519,900,000 for basic 
education in the Development Assistance account and 
$230,100,000 from other accounts for a total of $750,000,000. 
Of this total, the Committee directs that $265,000,000 should 
be used to implement assistance for developing countries for 
basic education consistent with H.R. 2092, the Education for 
All Act of 2007, as introduced on May 1, 2007. This designation 
of funds is a continuation of the program included in the 
fiscal year 2006 report, which set aside $65,000,000 to support 
Fast Track Initiative programs. The Committee includes 
additional language regarding this program in the basic 
education general provision (sec. 667).
    The Committee recognizes that USAID's education programs 
can be an important element in the United States Government's 
overall strategy to counter extremist teachings in education 
settings. This is critically important in countries such as 
Pakistan, where the Committee encourages USAID to consider 
supporting organizations such as Dosti and the LibforAll 
Foundation.
    The Committee is aware of the work of Books for Africa and 
the SABRE Foundation, and encourages USAID to consider it in 
fiscal year 2008.

Higher education

    The Committee is concerned that over the past 20 years 
USAID long-term training has declined. While these graduates 
have formed the basis for progress and economic growth in many 
developing countries, they are now at retirement age. The 
Committee supports beginning to restore long-term training to 
previous levels and directs USAID to expand this program up to 
3,000 trainees in fiscal year 2008.
    The Committee recognizes the barriers that women face 
throughout Asia and the Middle East in their quest for higher 
education and encourages USAID to consider supporting the Asian 
University for Women in Bangladesh.
    The Committee is aware of the work of the African Methodist 
University and encourages USAID to consider its work in fiscal 
year 2008.

Scholarship program in Latin America

    The Committee believes that the Cooperative Association of 
States for Scholarships (CASS) program continues to show 
success and is a very important investment. The Committee 
encourages USAID to consider the work of the Center for 
Intercultural Education and Development in fiscal year 2008 and 
to consider expanding this program in East and North Africa in 
the coming year.

American schools and hospitals abroad

    The Committee provides up to $23,000,000 for the American 
Schools and Hospitals Abroad (ASHA) program in fiscal year 
2008. The Committee recognizes the important contributions made 
by institutions funded by the American Schools and Hospitals 
Abroad program.
    The Committee expects continued support for traditional 
recipients in the Middle East. The Committee also continues to 
be impressed with the results of programs at the American 
University of Beirut; Johns Hopkins University's Centers in 
Nanjing, China, and Bologna, Italy; Hadassah Medical 
Organization; Shaare Zedek Hospital in Jerusalem; Feinberg 
Graduate School of the Weizmann Institute of Science, Tel Aviv 
University, and Lebanese American University. The Committee is 
aware of the proposed work of EARTH University in Costa Rica; 
the American University in Armenia; the American University in 
Kosovo; and the James Jordan Foundation. The Committee 
encourages USAID to consider supporting these organizations in 
fiscal year 2008.

Women's leadership training

    The Committee continues to support the Women in Development 
office and believes that it should be empowered to monitor, 
assess, and make recommendations regarding gender integration 
at USAID. The Committee continues to support an appropriation 
of $15,000,000 for women's leadership training. The Committee 
is aware of the work of Global POWER and encourages USAID to 
consider such work in fiscal year 2008.
    The Committee recommendation includes up to $20,000,000 to 
support the establishment of the GROWTH Fund, which is intended 
to enhance economic opportunities for very poor, poor, and low-
income women in developing countries. Programs supported by the 
Fund should increase women-owned enterprise development; 
property rights for women; women's access to financial 
services; women in organizational leadership positions; women's 
ability to benefit from global trade; and improve women's 
employment benefits and conditions. The Committee includes 
additional language regarding this program under title VI 
general provisions (sec. 683).

Urban programs

    The Committee is aware that urban populations in developing 
countries are growing rapidly, threatening the quality of life 
for billions of people. Within less than ten years, more people 
will be living in the world's cities than in the world's rural 
areas. The Committee is concerned that USAID staff and 
technical expertise on this issue has been declining sharply 
while urban problems globally are growing.

Trade

    The Committee recommendation includes $214,000,000 for 
trade capacity building, which is $127,000,000 above the 
request. The Committee recognizes the importance that trade 
plays in economic growth of countries. The Committee directs 
that no less than the fiscal year 2007 level be provided to 
support implementation of free trade agreements. The Committee 
encourages USAID to continue its important work in providing 
trade capacity building assistance to help poor and 
marginalized communities adapt to and benefit from bilateral 
and multilateral trade agreements in order to ensure that our 
foreign assistance continues to be transformative.
    The committee is aware of the work of Light Years IP, World 
Vision, and Volunteers for Economic Growth Alliance Ethiopia 
and encourages USAID to consider supporting such work in fiscal 
year 2008.

Microfinance

    The Committee recognizes the ability of micro-enterprise 
programs to fundamentally change the economic framework of a 
country. The Committee expects USAID's programs to reach the 
largest possible number of micro-enterprises, whether through 
grants to private, non-governmental organizations that on-lend 
to micro-enterprises or by sponsoring economic policy reforms 
that directly stimulate such enterprises. The Committee 
recommends $225,000,000 for micro-enterprise programs in fiscal 
year 2008. The Committee is aware of the work of Opportunity 
International, Esperanza International Foundation, Student in 
Free Enterprise's Africa Entrepreneurship Program, and the EHC 
Microcredit Program in Bangladesh and encourages USAID to 
consider their work in fiscal year 2008.
    The Committee is concerned that many of these programs are 
managed through large contracting mechanisms that may not reach 
those most in need. The Committee encourages USAID to work as 
often as possible with civil society organizations that have 
indigenous networks to reach those most in need, including 
those infected and affected by HIV/AIDS.

Agriculture

    The Committee believes that the agricultural sector in 
developing countries is critical to economic growth, the 
alleviation of hunger and poverty, and political and 
environmental stability The Committee has provided up to 
$165,000,000 for these programs and encourages the Agency to 
continue to make this a priority.
    The Committee encourages USAID to collaborate with the 
Department of Agriculture to promote agricultural reform 
efforts that support the needs of private small-holder farms, 
including those run by women.
    The Committee is aware of the work of the International 
Fertilizer Development Center, the Global Crop Diversity Trust, 
and Women's Campaign International and encourages USAID to 
consider such work in fiscal year 2008.

Dairy development

    The Committee remains concerned about the decline in 
overall agricultural funding, particularly for livestock and 
dairy activities, which reach large numbers of rural people. 
The Committee directs USAID to dedicate no less than 
$30,000,000 in fiscal year 2008 to dairy and livestock 
development. The Committee further encourages USAID to place 
greater emphasis on these activities whenever possible in 
Afghanistan, Sudan, and Haiti.

Collaborative research support programs

    The Committee believes the Collaborative Research Support 
Programs (CRSPs) are good investments and urges USAID to 
support efforts by CRSPs to expand their activities in Africa 
and South Asia. The Committee recommends that USAID fund CRSPs 
in fiscal year 2008 at $28,000,000. The Committee directs USAID 
to expand CRSP programs to include water, horticulture, climate 
change, or other pressing needs as determined by Congress and 
USAID.

Access to clean water and water management

    Competition for scarce fresh water is predicted to be a 
major source of international conflict during the twenty-first 
century in Africa, as it is now within the Middle East. Lack of 
access to safe drinking water and adequate sanitation is the 
leading preventable cause of death in the world and causes 
global losses of up to $380 billion in economic activity 
annually.
    The Committee provides a bill-wide total of $300,000,000 
for safe water and water management programs. The Committee has 
designated $150,000,000 from this account to be used for long-
term safe water and water management programs in Africa and the 
Middle East. This funding should be provided to high priority 
countries that are chosen based on the criteria laid out in the 
Senator Paul Simon Water for the Poor Act (Public Law 109-121) 
and the activities carries out with this funding should reflect 
the law. The Committee directs USAID to develop a strategy, as 
required in the Act, that includes the designation of high-
priority countries based on need as well as country interest 
and potential to improve water safety and management. This 
strategy should be provided to the Committees on Appropriations 
no later than 180 days after enactment of this Act. The 
Committee directs USAID to consult with the Committee prior to 
obligation of these funds.
    The Committee is aware of the work of the Millennium Water 
Alliance and encourages USAID to consider supporting such 
programs in fiscal year 2008.

Environmental programs

    The Committee is aware that much can be done through our 
foreign assistance programs to address environmental issues. As 
is described below, the Committee recommendation includes not 
less than $355,000,000 in the Development Assistance account 
for environment and clean energy programs.
    The Committee recommendation also includes in title II a 
provision that encourages the Export-Import Bank to encourage 
exports in renewable energy and other environmentally 
beneficial products. This initiative could result in an 
estimated $1,000,000,000 in additional green exports in 2008. 
The Committee recommendation also includes direction to the 
Overseas Private Investment Corporation and the United States 
Trade and Development Agency urging them to increase 
investments in this area.
    The Committee requests a report from the Department of 
State no later than 90 days of enactment of this Act that 
outlines the current actions, in all accounts that the 
Department is undertaking to improve the environment, to 
promote clean energy, and to address global climate change.

Biodiversity and environment

    The Committee strongly endorses continued USAID investment 
in conservation, biodiversity, and environmental programs, and 
directs USAID to provide $175,000,000 in fiscal year 2008. The 
Committee urges USAID to continue its important work for the 
Amazon Basin Initiative, national resource management work in 
Afghanistan, Russia, and Lebanon. In addition, the Committee 
encourages USAID to consider carrying out conservation efforts 
in marine areas, where the preservation of coral and tropical 
fish is essential. The Committee is aware of the work being 
done in the Congo Basin Forest Partnership, including programs 
to protect great apes in West and Central Africa, and urges the 
Agency to continue this work in fiscal year 2008. The Committee 
remains concerned with the destruction of orangutan habitat in 
Sumatra and Borneo and encourages USAID to consider work in 
these countries in fiscal year 2008. The Committee is concerned 
about reports that USAID directly and indirectly supports 
recreational, sport and trophy hunting in its assistance 
programs in Africa. The Committee directs USAID to provide no 
funds to programs that support or promote recreational, sport, 
or trophy hunting as a conservation tool.

Clean energy and climate change

    The Committee notes with concern recent reports regarding 
atmospheric brown clouds (ABCs, visible areas of brown colored 
atmosphere) impact on the environment and climate, particularly 
in Asia. The Committee encourages USAID to fund programs that 
increase regional cooperation in addressing climate issues, and 
build local science and policy capacity to address these 
difficult issues. The Committee is especially interested in 
USAID's plans to incorporate research showing a link between 
atmospheric pollution and agriculture yields into USAID's 
Famine Early Warning System.
    The Committee is aware of concern that USAID initiatives 
aimed at reducing global carbon emissions and providing 
reliable power at rural HIV/AIDS clinics may be having the 
unintended consequence of increasing lead poisoning in 
developing countries due to unsafe recycling of lead batteries 
and encourages USAID to support work to address this issue in 
fiscal year 2008.

Property rights

    Property rights, sound regulation of commercial activity 
and other components of the rule of law are adversely affected 
by inefficient, lengthy, and often corrupt systems of 
registering small business and land titles. The Committee 
supports programs that promote property rights and create 
private real estate markets in select countries. The Committee 
is aware of the work of the Institute for Liberty and Democracy 
and the International Real Property Foundation Program and 
encourages USAID to consider such work in fiscal year 2008.

Credit unions, cooperatives, and partnerships

    The Committee supports the essential role of credit unions 
and cooperatives working to alleviate poverty, and to promote 
economic development and democracy building in the areas of 
agriculture, financial systems, rural electricity, 
telecommunications infrastructure, housing, and health. The 
Committee expects USAID to continue its programs in fiscal year 
2008.

Western Hemisphere programs

    The Committee is concerned that the President's proposed 
budget recommended a significant cut to country programs in the 
Western Hemisphere. The Committee recommendation therefore 
includes an increase of $56,000,000 in order to restore country 
program funding levels in this region to at least the fiscal 
year 2006 levels.

India

    The Committee is concerned that the fiscal year 2008 
request significantly reduced development assistance to India. 
The Committee directs the Agency to provide a total of 
$10,000,000 for clean energy development, water and sanitation 
programs, women's rights programs, and basic education programs 
in India. The Committee directs USAID to consult with the 
Committees on Appropriations prior to programming these fiscal 
year 2008 funds.

Sudan

    The Committee recommendation includes a total of 
$558,300,000 for Sudan, which is $104,100,000 above the 
request.

                          [Amount in thousands]
------------------------------------------------------------------------
                                             Fiscal year
                                                 2008        Committee
                                               request    recommendation
------------------------------------------------------------------------
Darfur:
    International Disaster and Famine        $88,500,000    $88,500,000
     Assistance............................
    Transition Initiatives.................    2,000,000      2,000,000
    Economic Support Fund..................   20,000,000     20,000,000
    Peacekeeping Operations................            0    100,000,000
    Subtotal, Darfur.......................  110,500,000    210,500,000
North/South:
    Child Survival and Health Programs Fund            0     23,300,000
    Development Assistance.................            0    145,000,000
    Economic Support Fund..................  245,900,000     81,700,000
    International Disaster and Famine         25,000,000     25,000,000
     Assistance............................
    Non-proliferation, Anti-terrorism,         4,000,000      4,000,000
     Demining and Related Programs.........
    Transition Initiatives.................    3,000,000      3,000,000
    Peacekeeping Operations................   41,400,000     41,400,000
    Foreign Military Financing.............      100,000              0
    International Military Education and         300,000        300,000
     Training..............................
    International Narcotics Control and Law   24,000,000     24,000,000
     Enforcement...........................
    Subtotal, North/South..................  343,700,000    347,700,000
      Total, Sudan For Ops.................  454,200,000    558,200,000
------------------------------------------------------------------------

    The Committee is interested in expanding health and 
development activities in South Sudan. In particular, the 
Committee urges USAID to consider establishing an institute for 
agriculture, science and technology in southern Sudan. The 
Committee believes that this would be an opportunity to harness 
local capacity and direct it toward the reconstruction and 
development of southern Sudan by bringing the region out of 
decades of economic isolation, and to provide training and 
technical expertise from donor countries. The Committee urges 
the Agency to begin efforts to establish this Institute in 
southern Sudan and report to the Committees on Appropriations 
within 60 days of enactment of this Act as to plans for the 
fiscal year.
    The Committee encourages USAID to establish a program to 
encourage the return of the Sudanese Lost Boys and Lost Girls 
to southern Sudan for a period of no less than five years to 
contribute to post-conflict revitalization there. Many of those 
who survived were resettled in the United States. Those 
individuals who apply for and are accepted into this program 
shall retain their immigration status in the United States. The 
Lost Boys and Girls of Sudan are a group of young refugees, 
displaced during Sudan's 21-year civil war, who trekked 
hundreds of miles to escape the violence in their homeland. 
This program should provide the resources needed for them to 
return to southern Sudan. The Committee directs USAID to 
consult with the Committee prior to beginning this program.
    The Committee notes that funding for several programs in 
Sudan is provided in other accounts. The Committee remains 
concerned about the personal protective security of the 
President of Southern Sudan and Vice President of the 
Government of National Unity, Salva Kiir. The fiscal year 2007 
Supplemental Appropriations Act (P.L. 110-28) required a report 
and the Committee reiterates its interest in that report. The 
Committee supports the President's request for funding for 
security sector reform in Southern Sudan, including 
transforming and professionalizing the Southern People's 
Liberation Army (SPLA), and providing training and 
infrastructure development to the police, justice and 
corrections systems. The Committee also supports efforts to 
promote disarmament, demobilization and reintegration (DDR) of 
ex-combatants, with particular attention placed on the psycho-
social needs of former child soldiers.
    Language related to peacekeeping, the on-going genocide in 
Darfur and diplomacy efforts related to Darfur is found in the 
``Peacekeeping Operations'' account report language.
    The Committee has again included a general provision, 
section 669, conditioning funds for the Government of Sudan on 
its efforts to bring stability and security to Darfur. The 
Committee has modified the section from previous years to note 
the new definition of

Cooperation with AFRICOM

    The Committee is encouraged by ongoing cooperation between 
USAID, the Department of State and the Department of Defense to 
address the underlying factors that give rise to radicalism and 
terrorism. The Committee expects that this cooperation will 
grow with the establishment of AFRICOM and requests regular 
updates on joint planning and programming.

United States university support for developing countries

    The Committee encourages working with American institutions 
of higher education. The Committee expects that competitive 
procedures will be applied with regard to proposals. The 
Committee also expects USAID to give priority to proposals that 
have sound technical merit, well-planned budgets, and concrete 
and realistic objectives.
    No later than March 1, 2008, the Administrator of USAID 
shall submit a report to the Committee on the status of 
activities undertaken with universities (including competitive 
as well as non-competitive awards,). Such a report shall 
include: (1) the status of funding proposals by the 
organization associated with each activity; (2) the degree to 
which each proposal is consistent with United States 
development assistance and foreign policy goals for the country 
or region in which the activity would take place; (3) the 
degree to which matching or other funds would be provided by 
the organization to complement the Federal contribution; (4) to 
the extent known at the time, any decision by USAID or the 
Department of State on funding the activity, including the 
proposed funding level; and (5) any other relevant information 
deemed important by USAID or the Department of State. In 
addition, the Committee requests that USAID identify an office 
or organization within USAID, or within the Department of State 
if appropriate, to which inquiries can be directed on the 
status of university programs.

              International Disaster and Famine Assistance

 Fiscal year 2007 enacted level........................      $361,350,000
Fiscal year 2008 request..............................       297,300,000
Committee recommendation..............................       322,350,000
    Change from request...............................        25,050,000
    Change from enacted level.........................       -39,000,000

    The Committee recommendation includes $322,350,000 for the 
International Disaster Assistance and Famine Assistance 
account, which is $39,000,000 below the fiscal year 2007 level 
and $25,050,000 above the request, excluding emergency 
supplemental appropriations. The reduction below fiscal year 
2007 is due to a $51,500,000 shift from this account to the 
``Development Assistance'' account for fiscal year 2008 to 
better support development activities in Sudan. As a result, 
the Committee recommendation provides $12,500,000 above the 
fiscal year 2007 level for ongoing and emerging humanitarian 
assistance.
    The Committee encourages the Office of Foreign Disaster 
Assistance (OFDA) to coordinate with the Office of Conflict 
Response and Stabilization (CRS) at the Department of State as 
CRS develops its Active Response Corps and Civilian Reserve 
Corps. Any such corps should take into account the existing 
capacity of OFDA to respond to both man-made and natural 
emergencies and not be duplicative. The Committee requests that 
OFDA consult with the Committee regarding opportunities to 
strengthen OFDA's response capacity if the Civilian Reserve 
Corps is established, including the development of a database 
of civilian responders.

Famine prevention and relief pilot program

    The Committee recommendation includes $20,000,000 for 
famine prevention and relief, which is $20,000,000 above the 
request. The Committee directs USAID to implement a pilot study 
designed to evaluate the relative advantages of purchasing 
local food commodities and shipping commodities from abroad 
with the additional funding. The study should identify both 
benefits and drawbacks of local commodity purchase programs and 
strategies for maximizing the effectiveness of local purchases. 
USAID should consult with the Committees on Appropriations as 
it designs the study. The Committee expects that the results of 
the study will inform the fiscal year 2009 budget process and 
request.

Sudan

    The Committee recommendation includes not less than 
$113,500,000 for humanitarian assistance under this heading for 
Sudan. The Committee notes that $51,500,000 previously provided 
in this account for assistance to south Sudan is included 
within the ``Development Assistance'' account. It is the 
Committee's intent that this shift of funds will assist in the 
transition in south Sudan from a state of crisis to one of 
reconstruction. The budget request also proposed shifting these 
funds, but the shift was to the ``Economic Support Fund'' 
account.

                         Transition Initiatives

 Fiscal year 2007 enacted level........................       $39,600,000
Fiscal year 2008 request..............................        37,200,000
Committee recommendation..............................        40,000,000
    Change from request...............................         2,800,000
    Change from enacted level.........................           400,000

    The Committee recommendation includes $40,000,000 for the 
Office of Transition Initiatives (OTI), which is $400,000 above 
the fiscal year 2007 level and $2,800,000 above the request.
    The Committee requests that USAID report on a semi-annual 
basis the expenditures and specific use of OTI funds, by 
country, including organizations implementing the program.

                      Development Credit Authority


                     [INCLUDING TRANSFER OF FUNDS]
 Program Account:
Fiscal year 2007 enacted level........................       $20,790,000
Fiscal year 2008 request..............................        21,000,000
Committee recommendation..............................        21,000,000
    Change from request...............................                 0
    Change from enacted level.........................           210,000
Administrative Expenses:
Fiscal year 2007 enacted level........................        $7,920,000
Fiscal year 2008 request..............................         7,400,000
Committee recommendation..............................         7,400,000
    Change from request...............................                 0
    Change from enacted level.........................          -520,000

    The Committee recommendation includes a ceiling of 
$21,000,000, on the amount that may be transferred from 
bilateral economic assistance accounts for the subsidy cost of 
loan guarantees under the Development Credit Authority program, 
which is $210,000 above the fiscal year 2007 level and the same 
as the request.
    The Committee recommendation includes $7,400,000 for 
administrative expenses, which is $520,000 below the fiscal 
year 2007 level and the same as the request.

     Payment to the Foreign Service Retirement and Disability Fund

 Fiscal year 2007 enacted level........................       $38,700,000
Fiscal year 2008 request..............................        36,400,000
Committee recommendation..............................                 0
    Change from request...............................       -36,400,000
    Change from enacted level.........................       -38,700,000

    The Committee recommendation does not include funding for 
the mandatory Payment to the Foreign Service Retirement and 
Disability Fund within title III. Instead, all funding 
requested for the Payment to the Foreign Service Retirement and 
Disability Fund is provided within title I of this Act.

   Operating Expenses of the United States Agency for International 
                              Development


                     [INCLUDING TRANSFER OF FUNDS]
 Fiscal year 2007 enacted level........................      $626,832,000
Fiscal year 2008 request..............................       609,000,000
Committee recommendation..............................       625,700,000
    Change from request...............................        16,700,000
    Change from enacted level.........................        -1,132,000

    The Committee recommends a total of $625,700,000 for 
Operating Expenses of the United States Agency for 
International Development, which is $16,700,000 above the 
request and $1,132,000 below the fiscal year 2007 level 
excluding emergency appropriations.

Workforce model

    The Committee is encouraged by the Agency's use of the 
workforce model, which is an important tool towards 
``rationalizing'' staffing decisions. The model predicts future 
workload and staffing demands and attempts to identify 
workforce gaps and develop solutions to fill those gaps. The 
Committee expects the Agency to place greater emphasis on 
analyzing the proper mix between Headquarters vs. Overseas 
staff and direct hires vs. non-direct hires. The Committee also 
expects the Agency to increase its efforts to attract and 
retain expert technical staff and improve the ability to 
redirect staff in a timely fashion to areas of strategic 
importance. The Committee expects to see a rapid increase in 
the Agency's ability to attract, retain, and promote high 
performing staff.

Contract notification

    The Committee is concerned about sole source contract 
awards and the use of Indefinite Quantity Contracts (IQC) by 
USAID. The Committee directs USAID to notify the Committees on 
Appropriations fifteen days prior to: awarding any sole source 
contract in excess of $30,000,000; raising the ceiling on any 
IQC in an amount greater than $50,000,000; issuing a Task Order 
within an IQC in excess of $100,000,000.

                        Capital Investment Fund

 Fiscal year 2007 enacted level........................       $69,300,000
Fiscal year 2008 request..............................       126,000,000
Committee recommendation..............................        87,300,000
    Change from request...............................       -38,700,000
    Change from enacted level.........................        18,000,000

    The Committee recommendation includes $87,300,000 for the 
Capital Investment Fund, which is $38,700,000 below the request 
and $18,000,000 above the fiscal year 2007 level. In total, the 
Committee recommendation includes $75,144,500 for USAID 
participation in the Capital Security Cost-Sharing Program, 
under which all agencies with overseas staff operating under 
Chief of Mission authority contribute toward the costs of 
constructing secure embassy compounds, and $12,155,500 for 
information technology.
    All funds made available under the Capital Investment Fund, 
including the obligation of offsetting collections, and the 
capital appropriation in the Economic Support Fund, are subject 
to the regular notification procedures of the Committees on 
Appropriations. The Committee also has included bill language 
under Operating Expenses of USAID that requires congressional 
notification before USAID commits to open or close overseas 
missions.

Capital security cost-sharing program

    The President's request includes a significant increase 
over fiscal year 2007 for this program and while the Committee 
supports the concept of Capital Security Cost-Sharing (CSCS), 
such a large increase is not possible. In future Congressional 
Budget Justifications, the Committee expects the Agency to 
provide specific detail on the criteria used to assess its 
contribution to the CSCS program and the amounts, by mission, 
assumed in the request. As with all budget justifications, an 
explanation of change from the prior year level should also be 
included. In order to continue progress in this area, the 
Committee recommendation includes $75,144,500, which is 
$24,855,000 below the request.

Information technology

    The Committee recommendation includes $12,155,500 for 
information technology improvements, which is $13,845,000 below 
the request. Within that amount, the Committee recommends that 
these resources be used to support the Joint Assistance 
Management System, the Joint Financial Management System, and 
the Global Acquisition System.

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

 Fiscal year 2007 enacted level........................       $35,640,000
Fiscal year 2008 request..............................        38,000,000
Committee recommendation..............................        38,000,000
    Change from request...............................                 0
    Change from enacted level.........................         2,360,000

    The Committee recommendation includes $38,000,000 for 
USAID, Office of the Inspector General, which is $2,360,000 
above the fiscal year 2007 level excluding emergency 
supplemental appropriations and the same as the request.
    The Committee requests that the Office of the Inspector 
General provide a report to the Committees on Appropriations 
within 45 days of enactment of this Act that summarizes the 
oversight work the Office will be undertaking in fiscal year 
2008. The Committee is particularly interested in the plans in 
Afghanistan, Iraq and those related to the Global HIV/AIDS 
Initiative.

                  OTHER BILATERAL ECONOMIC ASSISTANCE


                         Economic Support Fund


                     (INCLUDING TRANSFER OF FUNDS)
 Fiscal year 2007 enacted level........................    $2,455,010,000
Fiscal year 2008 request..............................     3,319,567,000
Committee recommendation..............................     2,656,506,000
    Change from request...............................      -663,061,000
    Change from enacted level.........................      -201,496,000
     The Committee recommendation includes a total of 
$2,656,506,000 for the Economic Support Fund (ESF), which is 
$201,496,000 below the fiscal year 2007 level and $663,061,000 
below the request, excluding emergency supplemental 
appropriations.

                          ECONOMIC SUPPORT FUND
                             [In thousands]
------------------------------------------------------------------------
                                             Fiscal year
                                                 2008        Committee
                                               request    recommendation
------------------------------------------------------------------------
Africa:
    Burundi................................           $0         $3,000
    Democratic Republic of Congo...........       29,000         19,000
    Ethiopia...............................        5,000          3,000
    Kenya..................................            0          4,000
    Liberia................................       73,545         43,545
    Sierra Leone (Special Court)...........            0         13,000
    South Africa...........................       10,000          5,000
    Sudan..................................      245,900        101,700
    Tanzania...............................        3,600          3,000
    Africa Regional........................        7,250          6,000
                                            ----------------------------
      Subtotal--Africa.....................      374,295        201,245
East Asia and the Pacific:
    Burma..................................        2,790          6,000
    Cambodia...............................       12,170         12,170
    East Timor.............................        8,640         18,000
    Indonesia..............................       60,000         55,000
    Laos...................................          470            500
    Mongolia...............................        6,200          6,200
    North Korea............................        2,000              0
    Philippines............................       25,996         20,000
    Taiwan.................................          200              0
    Tibet..................................        2,000          5,000
    Vietnam................................        5,700          5,000
    Other Asia.............................       26,560         18,000
                                            ----------------------------
      Subtotal--East Asia and the Pacific..      152,726        145,870
Europe and Eurasia:
    Cyprus.................................       11,000         11,000
    Irish Visa Program.....................        1,000          1,000
    Turkey.................................          850              0
                                            ----------------------------
      Subtotal--Europe and Eurasia.........       12,850         12,000
Near East:
    Algeria................................        1,165              0
    Bahrain................................        1,100              0
    Egypt..................................      415,000        415,000
    Iran...................................       75,000         25,000
    Iraq...................................      298,000              0
    Jordan.................................      263,547        263,547
    Kuwait.................................          470              0
    Lebanon................................       42,100         45,000
    Libya..................................          500              0
    Morocco................................       15,500         16,500
    Tunisia................................          200          2,000
    West Bank/Gaza.........................       63,500         63,500
    Yemen..................................        8,450          8,450
    Middle East Partnership Initiative.....       75,000         55,000
    Middle East Regional Cooperation.......        3,800          5,000
    Other Near East........................            0          5,000
                                            ----------------------------
      Subtotal--Near East..................    1,263,332        903,997
South Asia:
    Afghanistan............................      693,000        543,000
    India..................................  ...........          3,000
    Pakistan...............................      382,900        350,000
    South Asia Regional....................          720          1,500
                                            ----------------------------
      Subtotal--South Asia.................    1,076,620        897,500
Western Hemisphere:
    Bolivia................................       17,000         17,000
    Colombia...............................      139,500        218,500
    Cuba...................................       45,700          9,000
    Dominican Republic.....................       10,000          8,000
    Ecuador................................        6,000          6,000
    Guatemala..............................       10,000         12,000
    Haiti..................................       63,394         63,394
    Mexico.................................       14,000         12,000
    Peru...................................       30,000         30,000
    Trade Capacity Building................            0         10,000
    Other Western Hemisphere...............       28,150         20,000
                                            ----------------------------
      Subtotal--Western Hemisphere.........      363,744        405,894
Global:
    Asia-Pacific Partnership...............       26,500          5,000
    Human Rights and Democracy Fund........       35,000         40,000
    OES Initiative.........................        7,800              0
    Wheelchairs............................            0          5,000
    Reconciliation Programs................            0         23,000
    Trafficking in Persons.................        6,700         14,000
    Extractive Industries Transparency.....            0          1,000
    House Democracy Assistance Program.....            0          2,000
      Subtotal--Global.....................       76,000         90,000
                                            ----------------------------
        Total ESF:.........................    3,319,567      2,656,506
------------------------------------------------------------------------

Israel

    The Committee recommendation includes no funding for 
programs in Israel in this account, which is the same as the 
request. In 1998, Israel and the United States reached an 
agreement to increase Foreign Military Financing assistance to 
Israel by $60,000,000 per year for ten years and to decrease 
Economic Support Fund assistance by $120,000,000 per year for 
ten years. Fiscal year 2008 marks the end of Economic Support 
Fund assistance for Israel under that agreement. The Committee 
recommendation includes $2,400,000,000 for Israel under the 
Foreign Military Financing program.
    The Committee is aware of negotiations between the 
Government of Israel and the Department of State on a new 
bilateral aid agreement between the United States and Israel. 
The Committee expects to consider the new framework for 
assistance to Israel in the fiscal year 2009 appropriations 
cycle. The committee is also aware of the success of the 
Binational Research and Development Funds that were established 
in the mid 1970s to foster science and technology cooperation 
between the United States and Israel and encourages the 
Administration to request additional funds in the future to 
increase the endowments for these funds through a multi-year 
process.

Economic boycott of Israel

    The Committee has continued a general provision (section 
634) from previous years that addresses the Arab League boycott 
of Israel. The Committee strongly opposes this boycott and 
believes that the Department of State must take strong action 
to combat this practice.

Egypt

    The Committee recommendation includes $415,000,000 for 
programs in Egypt, which is the same as the request. Within the 
amount provided for project assistance, not less than 
$50,000,000 shall be made available for democracy, governance 
and human rights programs and $50,000,000 shall be used for 
education programs.
    The Committee recommends that not less than 50 percent of 
the funds provided for Egypt for democracy, governance, and 
human rights be provided through nongovernmental organizations 
for the purpose of strengthening Egyptian civil society 
organizations, enhancing their participation in the political 
process, and enhancing their ability to promote and monitor 
human rights. The Committee further recommends that not less 
than 50 percent of the funds provided for Egypt for education 
be used to improve access to basic education. The remainder of 
the funds provided for education shall be used to strengthen 
institutions of higher education, promote academic freedom, and 
fund educational and cultural exchange programs.

Religious freedom in Egypt

    The Committee remains concerned about the problems faced by 
Egypt's Coptic Christian community and believes that the 
Government of Egypt needs to do everything possible to provide 
full opportunity for Coptic Christians in employment and 
education. The Committee expects the Department of State to 
make every effort to reinforce the importance of actively 
enforcing the religious freedoms that are, in fact, provided 
for in the Egyptian Constitution. The Committee further directs 
the Department of State to fund programs that advance civic 
participation and human rights in the Coptic Community.

Jordan

    The Committee recommendation includes $263,547,000 for 
programs in Jordan, which is the same as the request.
    The Committee notes, with appreciation, Jordan's strong 
support for the United States, most especially in the Global 
War on Terror and recognizes the added economic and security 
impact on Jordan, including the hardships to communities in 
Jordan resulting from the influx of refugees from Iraq. 
Furthermore, Jordan has played a leadership role in 
facilitating efforts to bring peace between Israelis and 
Palestinians. The Committee believes the amount provided for 
ESF assistance will help Jordan accommodate economic issues as 
it continues to implement economic reforms. The Committee 
expresses its continued support for Jordan and notes that in 
the fiscal year 2007 Supplemental Appropriations Act (Public 
Law 110-28), Congress provided $75,000,000 in security 
assistance for Jordan, $45,000,000 for assistance to Iraqi 
refugees, and an additional $10,300,000 in economic assistance 
for Jordanian communities hosting large refugee populations.

Morocco

    The Committee recommendation includes $16,500,000 for 
programs in Morocco, which is $1,000,000 above the request.

West Bank and Gaza

    The Committee recommendation includes $63,500,000 for 
programs in the West Bank and Gaza territories, which is the 
same as the request. However, the Committee recommendation does 
not provide any of the requested amounts under the Child 
Survival and Health Program Fund account or the Non-
proliferation, Anti-terrorism, Demining and Related Programs 
account. The Committee intends that programs requested under 
the Child Survival and Health Programs Fund account be 
supported by funding from the ESF account. The Committee 
further directs the Secretary of State to submit a report to 
the Committee on Appropriations, no later than 90 days after 
enactment of this Act, outlining a short and long term strategy 
for providing visible social service projects to the 
Palestinians by moderate and effective forces in the West Bank 
and Gaza to counter the forces of radicalism.

Iraq programs

    The Committee recommendation includes no funding in this 
account for programs in Iraq, which is $298,000,000 below the 
request. The Committee feels that the Government of Iraq should 
be assuming increasing responsibility for the reconstruction of 
Iraqi infrastructure and the provision of essential services. 
Furthermore, the Committee expects funds provided in the fiscal 
year 2007 Supplemental Appropriations Act (Public Law 110-28), 
to be fully obligated before considering requests for 
additional funds. The Committee is concerned about the plight 
of religious minorities in Iraq and intends that from within 
the unobligated amounts provided in previous years under the 
heading ``Economic Support Fund'' for Iraq, not less than 
$10,000,000 should be provided to assist religious minorities 
in the Nineveh Plain region of Iraq, of which $8,000,000 should 
be provided for internally-displaced families and $2,000,000 
should be provided for microfinance programs.

Africa programs

    The Committee recommendation includes $201,245,000 for 
programs in Africa, which is $173,050,000 below the request. 
The Committee recommendation includes an additional 
$184,200,000, which was requested under the Economic Support 
Fund for Sudan, Liberia and Congo, in the Development 
Assistance account. If this transfer is taken into account, the 
Committee recommendation is $11,150,000 above the request.

Liberia

    The Committee recommendation includes $43,545,000 for 
programs in Liberia, which is $30,000,000 below the request. 
The Committee recommendation includes an additional $30,000,000 
in the Development Assistance account. The Committee notes that 
Congress provided an additional $45,000,000 for security 
assistance to Liberia in the fiscal year 2007 Supplemental 
Appropriations Act (Public Law 110-28).
    The Committee is concerned about the lack of functional 
legal structures and the inaccessibility of justice in Liberia. 
The Committee directs the Department of State and USAID to 
develop policies and programs to promote and strengthen the 
rule of law in Liberia. Additionally, the Committee urges USAID 
to work with the Government of Liberia to establish a program 
to provide legal information services to indigent persons, and 
support national institutions and groups providing legal 
assistance. The Committee also expects United States assistance 
programs to advance human rights, including through the 
establishment of rights-based training for members of the 
judiciary, justice ministry, police, traditional leaders, and 
communities experiencing high levels of rights violations.

Sudan

    The Committee recommendation includes $101,700,000 for 
Sudan, which is $144,200,000 below the request. The Committee 
recommendation includes an additional $145,000,000 under the 
Development Assistance account.

Democratic Republic of Congo

    The Committee recommendation includes $19,000,000 for 
programs in the Democratic Republic of Congo, which is 
$10,000,000 below the request. The Committee recommendation 
includes an additional $10,000,000 in the Development 
Assistance account. The Committee notes that Congress provided 
an additional $15,000,000 for ESF programs in the Democratic 
Republic of Congo in the fiscal year 2007 Supplemental 
Appropriations Act (Public Law 110-28). The Committee intends 
for funds provided in this account to address post-conflict 
needs including demobilization, disarmament and reintegration 
of militias and armed forces, particularly child soldiers, 
reform of the justice and security sector reform, promoting 
human rights and stenghtening democratic governance.

Afghanistan programs

    The Committee recommendation includes $543,000,000 for 
programs in Afghanistan, which is $150,000,000 below the 
request. The Committee recommendation includes an additional 
$150,000,000 for Afghanistan in the Development Assistance 
account.
    The Committee has included language that limits the 
expenditure of these funds to not more than $225,000,000 until 
the Secretary of State certifies to the Committees on 
Appropriations that the Government of Afghanistan at both the 
national and provincial level is cooperating fully with United 
States funded eradication and interdiction efforts in 
Afghanistan. Understanding the certification may include 
sensitive or classified information, the Department of State 
may submit the certification to the Committee in the form of a 
classified report.
    The Committee is greatly concerned that a few provincial 
governments are not fully supporting efforts to eradicate poppy 
growth and interdict the heroin byproduct of these poppies. 
Without full cooperation and support of the government, 
especially the provincial governments, for eradication and 
interdiction programs, the Committee believes the illegal drug 
trade with Afghanistan will flourish. The Committee cannot 
condone increasing assistance for Afghanistan if the government 
is not willing to fully participate in ending the growth and 
trade of an illegal drug that tears apart the fabric of society 
and has the potential to undermine the legitimacy of the 
government.
    Within available funds, the Committee urges USAID to 
continue support for the refurbishment of the existing Wazir 
Akbar Kahn Hospital and the management of health care delivery 
in Kabul. The Committee understands that this hospital has been 
a tremendous success and is ably serving the residents of 
Kabul.
    The Committee supports the work of the Turquoise Mountain 
Foundation in Kabul's historic city center to rebuild and 
restore the cultural heritage of Afghanistan. The Kabul 
Revitalization Project aims to help the process of restoring 
stability to the capital of Afghanistan and acts as an economic 
catalyst for Kabul and other Afghan communities. The Committee 
urges USAID to consider these activities.

Afghan Women and Girls

    The Committee recommendation directs that $15,000,000 of 
the funds made available for Afghanistan be provided as grants 
to support training and equipment to improve the capacity of 
women-led Afghan nongovernmental organizations and to support 
the activities of such organizations.

Independent Human Rights Commission

    The Committee believes that the work of the Afghan 
Independent Human Rights Commission has been indispensable in 
advancing the rights of women and promoting human rights 
through out Afghanistan. The Committee strongly urges continued 
support for the Afghan Independent Human Rights Commission and 
other Afghan human rights organizations.

Afghanistan Crop Substitution Pilot Program

    The Committee is interested in determining if there are 
alternative approaches to encourage farmers ensnared in illicit 
crop production to pursue other crops. To this end, the 
Committee directs the Department of State and USAID to 
establish a pilot program to test the effectiveness of crop 
substitution, combined with an appropriate offset to encourage 
legitimate alternatives to poppy production for Afghan poppy 
farmers within an area in which poppy production is prevalent, 
such as in the Helmand or Nangarhar provinces. The Committee 
encourages the pilot program to provide seeds for alternative 
crops (for which there is internal market demand) and in areas 
in which there is adequate infrastructure for access to market; 
technical assistance to such Afghan poppy farmers on how to 
best plant, grow, and harvest the alternative crops; and an 
appropriate offset that would significantly address the 
difference in income that such Afghan poppy farmers would 
otherwise earn had they continued to grow and sell poppy.

Indonesia

    The Committee recommendation includes $55,000,000 for 
programs in Indonesia, which is $5,000,000 below the request. 
The Committee notes Indonesia's strong and continued support in 
the Global War on Terror and recognizes the progress made by 
the Government of Indonesia to advance democracy and the rule 
of law.

Irish Visa program

    The Committee recommendation includes $1,000,000 for the 
Walsh Irish Visa program, which is the same as the request. 
This program, authorized since 1998, assists young people who 
are residents of Northern Ireland and the border counties of 
Ireland with developing job skills and conflict resolution 
abilities. Eligible youth receive non-immigrant visas that 
enable them to work for up to three years in the United States.

Middle East regional programs

    The need for fresh water is a reality for all parties in 
the Middle East. Fresh water is essential for economic 
development, agriculture, health, and improving the quality of 
life for everyone in the region. Therefore, the Committee 
strongly supports the continued efforts of the International 
Arid Lands Consortium in addressing the critical issues of 
water, energy, and agriculture and land use in the Middle East 
and Central Asia, and urges USAID to continue such work. This 
support should be allocated from bilateral, centrally managed 
or regional programs either in this account or in other 
accounts funded by this Act.

Lebanon

    The Committee recommendation includes $45,000,000 for 
programs in Lebanon, which is $2,900,000 above the request. The 
Committee directs that not less than $10,000,000 should be used 
for scholarships and other direct support of the American 
educational institutions in Lebanon. Providing an American 
education to the young people of Lebanon and the region makes a 
unique contribution to the long term development of political 
and economic stability in that country. Broadening 
understanding of American values in the Middle East is 
particularly important to the efforts of the United States to 
counter violence and terrorism.

Iran

    The Committee recommendation includes $25,000,000 for 
programs in Iran, which is $50,000,000 below the request. The 
Committee is concerned that of the $25,000,000 appropriated for 
democracy programs in Iran in fiscal year 2006, less than 
$2,000,000 had been expended as of the end of May 2007. The 
Committee is further concerned at the lack of adequate 
justification for the funds that have been requested in fiscal 
year 2008. The Committee urges that within the amount provided, 
$5,000,000 be provided for women's rights and support programs 
with a particular focus on minority communities. The Committee 
is aware of the work of the National Endowment for Democracy on 
these issues and encourages support for such programs.
    The Committee encourages the Department of State to assess 
and report back within 90 days of enactment of this Act on the 
feasibility, the cost and impact of implementing efforts to 
restrict the supply of refined gasoline to Iran to prevent the 
acquisition of nuclear weapons by Iran under cover of its 
nuclear program and provide a plan to implement such actions if 
deemed necessary by the Executive branch with approval from 
Congress.

Middle East partnership initiative

    The Committee recommendation includes $55,000,000 for the 
Middle East Partnership Initiative (MEPI), which is $20,000,000 
below the request.
    The Committee directs that within the funds provided for 
MEPI, up to $6,000,000 be for a scholarship program to educate 
students from countries with significant Muslim populations at 
the American educational institutions in those countries. The 
American educational institutions are uniquely positioned to 
improve understanding and strengthen shared values with the 
Muslim world. The Committee notes the work of the Middle East 
Media Research Institute (MEMRI) in providing timely 
translations of Arabic, Farsi, and Turkish media, as well as 
original analysis of political, ideological, intellectual, 
social, cultural, and religious trends in the Middle East. The 
Committee urges support for the work of organizations which 
provide accurate translations and balanced analysis.
    The Committee urges consideration of programs in the higher 
education sector that engage scientists in the Middle East to 
establish new international partnerships through cooperative 
research and development activities, provide former weapons 
scientists the opportunity to participate in scientific 
research with their civilian counterparts and to develop the 
skills for sustainable success in the civilian scientific 
world. The United States Civilian Research and Development 
Foundation has a proven track record in this arena and the 
Committee urges consideration of their work under MEPI.
    The Committee recognizes the importance of efforts to 
promote democratic governance and civic participation in the 
Arab world, and commends the Department of State for supporting 
``Street Law'' in its creation of an Arab-language curriculum, 
``Islam and Democracy: Toward Effective Citizenship.'' The 
Committee urges the Department of State, through the Middle 
East Partnership Initiative, the Bureau of Democracy, Human 
Rights, and Labor, or another appropriate program, to support 
the establishment of a Global Center for Education about 
Democracy and Islam to adopt and disseminate the curriculum in 
various countries throughout the Arab world.
    The Committee is aware of the work of the Education for 
Employment Foundation and the Sesame Workshop and encourages 
consideration of their work in fiscal year 2008.

Middle East Regional Cooperation Program

    The Committee believes that the Middle East Regional 
Cooperation Program, a peer-reviewed competitive grants program 
that is specifically focused on promoting technical cooperation 
between Arab and Israeli scientists, students, and communities 
on topics relevant to development in the Middle East, plays an 
important role in fostering Arab-Israeli cooperation. The 
Committee recommendation includes $5,000,000, which is 
$1,200,000 above the request.

East Timor

    The Committee recommendation includes $18,000,000 for 
programs in East Timor, which is $9,360,000 above the request, 
to support income producing projects and other reconstruction 
activities.

Tibet

    The Committee recommendation includes not less than 
$5,000,000 in assistance for programs that preserve cultural 
traditions, and promote economic development and environmental 
conservation in Tibetan communities. The Committee encourages 
the Special Coordinator for Tibetan Issues to take a leadership 
role in allocating and monitoring these activities.
    The Committee is 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 in Tibet and recommends continued funding 
for this program.
    The Committee recommendation includes $250,000 to be made 
available through a nongovernmental organization for the 
purpose of providing training and education of Tibetans in 
democracy activities, and monitoring the human rights situation 
in Tibet. The Committee supports the use of a greater portion 
of the funds made available, for activities that have a primary 
impact inside Tibet, to the extent practicable. The Committee 
encourages USAID to work closely with the Office of the Special 
Coordinator on Tibetan Issues in carrying out these programs. 
The Committee is aware of the work of the National Endowment 
for Democracy on these issues and encourages support for such 
programs.
    The Committee encourages organizations involved in China 
rule of law programs to seek out opportunities to conduct 
programs that can improve the human rights situation and the 
administration of justice in Tibetan areas, including Tibetan 
areas outside the Tibetan Autonomous Region (TAR).
    The Committee is also aware of a proposal by the China Aid 
Association to train human rights defenders and democracy 
activists in Chinese society and produce necessary tools, 
including books, DVDs, and website materials to raise awareness 
of basic freedoms and rights and encourages its consideration. 
The project would also conduct training seminars on the issue 
of democracy, free and fair elections, and rule of law for key 
activists.

Cyprus

    The Committee recommendation includes $11,000,000 for 
Cyprus, which is the same as the request. The Committee is 
concerned that funds used for programs on Cyprus have been 
obligated without appropriate advanced consultation with the 
Government of the Republic of Cyprus. The Committee intends 
that United States funds support measures aimed at 
reunification of the island and the Committee expects the 
Administration to consult with the Government of the Republic 
of Cyprus on the obligation of funds and to assure maximum 
transparency in their allocation. The Committee requires that 
the Department of State submit to the Committee on 
Appropriations a report on the obligation and expenditure of 
all bilateral funds made available for Cyprus in this Act 
including the recipients of funds, the uses to which they are 
being put, and their role in helping achieve the reunification 
of the island.

Human Rights and Democracy Fund

    The Committee recommendation includes $40,000,000 for the 
Human Rights and Democracy Fund, which is $5,000,000 above the 
request. The Committee further directs that up to $5,000,000 of 
this amount be provided for the promotion of international 
religious freedom through groups that are able to develop legal 
protections and promote cultural and societal understanding of 
international norms of religious freedom. The Committee further 
directs that up to $2,000,000 of funds under this heading 
should be made available for democracy programs in Syria. The 
Committee is aware of the work of the Center for International 
Media Assistance of the National Endowment for Democracy and 
encourages the Department of State to consider support for such 
programs.

Democracy programs

    The Committee is concerned about the effectiveness of the 
democracy programs funded in this Act and the continued 
fragmentation of the administration of such programs across 
United States Government entities. The Committee therefore 
directs the Government Accountability Office to initiate a 
comprehensive assessment of the capacity of the United States 
Government to effectively administer democracy programs 
worldwide. This shall include a review of the respective 
capacities of the following entities with respect to their 
ability to effectively administer grants and/or contracts and 
provide effective strategic direction and support to such 
programs: the Bureau of Democracy, Conflict, and Humanitarian 
Assistance at USAID; the Bureau of Democracy, Human Rights, and 
Labor at the Department of State; the Middle East Partnership 
Initiative at the Department of State; and the National 
Endowment for Democracy. The report should be delivered to the 
Committees on Appropriations no later than 180 days following 
enactment of this Act.

Trade Capacity Building Program

    The Committee recommendation includes $10,000,000 for Trade 
Capacity Building in this account, which is $10,000,000 above 
the request.

Labor programs

    The Committee recognizes the important role of labor 
programs, including trade union strengthening programs, in the 
promotion of democracy, the rule of law, economic development, 
poverty reduction, and international trade programs overseas. 
The Committee requests that the Office of the Director of 
Foreign Assistance integrate labor programs into the 
transformational development framework and provide a report to 
the Committees on Appropriations on this effort within 180 days 
of passage of this Act.
    The Committee is concerned about the potential loss of 
capacity of current programs prior to them being fully 
integrated into global, regional, or country-based strategies. 
The Committee is aware of the work of the American Center for 
International Labor Solidarity and encourages USAID to consider 
such work in fiscal year 2008.

Internet freedom

    The Committee believes that ensuring the freedom of 
Internet communication in dictatorships and autocracies 
throughout the world is a high and critical national interest 
priority of the United States. In this regard, the Committee 
notes that Chinese president Hu Jintao recently announced the 
establishment of an urgent initiative to ``purify'' the 
Internet via further monitoring and censorship of Internet use 
and further punishment of persons engaged in uncensored 
Internet communication, and further notes that similar 
initiatives have recently been mounted by the Governments of 
Cuba and Russia. The Committee anticipates that USAID will 
underake the Internet freedom initiative established by this 
section as among its highest priorities, and anticipates that 
the funds provided for the initiative will be obligated with 
all deliberate speed to those that best meet the standards 
established by the section. The Committee further anticipates 
that reports and regular briefings will be provided by senior 
USAID officials to Members and staff of the Committee on the 
progress made by the Agency in fulfilling the above objectives 
commencing with an initial briefing 30 days from the date of 
enactment of this Act.

Kimberley Process

    To strengthen the Kimberley Process (KP) and tighten 
restrictions blocking conflict diamonds from the world market, 
KP signatory countries require sustained assistance to 
implement enforcement of the certification scheme within their 
own borders. The Committee has provided adequate funds to 
handle the increasing problems in Africa and Latin American 
including massive fraud in Brazil and Guyana, conflict diamonds 
entering the world market from Cote d'Ivoire via Mali and 
Ghana, and credible reports of smuggling from Zimbabwe through 
South Africa and DRC. The Committee has also provided funding 
for implementation of the Clean Diamond Trade Act (CDTA) based 
on GAO recommendations submitted in 2006 to correct poor 
enforcement, inadequate resources, better statistics, and the 
need for independent audits of the KP here in the United 
States.

Foundation for Environmental Security and Sustainability

    The Committee continues to support the work of the 
Foundation for Environmental Security and Sustainability (FESS) 
in its critical efforts at safeguarding U.S. national security 
interests through a focus on the environmental components of 
security in pursuit of transformational development in 
rebuilding and developing countries. The Committee recognizes 
the achievements of FESS in promoting peace and security, 
democracy and just governance, and economic growth to mitigate 
problems in some of the most troubled and conflicted areas of 
the world before they become intractable to intervention.

Pakistan program

    The Committee recommendation includes $350,000,000 for 
programs in Pakistan, which is $32,900,000 below the request. 
This reduction shall be applied to the request designated as 
budget support.
    The Committee acknowledges the strong support that the 
Government of Pakistan has provided in the Global War on Terror 
and notes the toll that terrorism has exacted on the Pakistani 
people. The robust levels of aid contained in this and prior 
Acts for Pakistan are an indication of the importance of 
Pakistan as an ally to the United States.
    However, the Committee is concerned about human rights in 
Pakistan, especially women's rights, and the pace of reform on 
democratic governance and rule of law. The Committee also notes 
the importance of the upcoming elections and international 
expectations for a free and fair process. The Committee 
therefore directs that from within the recommended funding 
level, $15,000,000 be provided through local and international 
NGOs working on human rights, independent and free media, 
women's empowerment, political party development and justice 
sector reform issues in Pakistan.
    The Committee further notes the importance of education in 
creating a more prosperous and tolerant society and urges that 
funding for primary and secondary education, particularly for 
girls and focused in rural areas, be a primary objective of 
bilateral United States assistance to Pakistan.
    The Committee notes that the Administration's request 
includes $90,000,000 for assistance to the Federally 
Administered Tribal Areas (FATA). The Committee notes that 
Congress provided authority to transfer up to $110,000,000 from 
the Department of Defense for this purpose in the fiscal year 
2007 Supplemental Appropriations Act (Public Law 110-28). The 
Committee expects that performance benchmarks, oversight 
mechanisms and implementation processes required of that 
assistance shall also apply to funds in this Act for FATA 
territories. The Committee urges that $20,000,000 of the funds 
designated for FATA be provided for rural access, health and 
education needs in South and North Waziristan Provinces.

Western Hemisphere programs

    The Committee continues to be concerned about falling 
assistance levels to Latin America. The fiscal year 2008 budget 
request for foreign operations to Latin America decreases by 
8.9 percent. The administration shifted funding from one 
account to another and placed an emphasis on free trade, to the 
exclusion of social issues and policies that would help solve 
the region's widespread poverty and unequal distribution of 
wealth. The Committee believes that USAID must make a concerted 
effort to attack the underlying and pervasive poverty that is 
the root of the problems in the region.

Colombia

    The Committee acknowledges that Colombia is a vital partner 
and ally of the United States. The Committee recognizes the 
strategic importance of Colombia, and therefore the Committee 
has taken the significant step to ``restructure'' the way it 
provides assistance to Colombia. The Committee recommendation 
includes $218,500,000 for ESF programs in Colombia, which is 
$79,000,000 above the request. The Committee includes language 
in the Colombia general provision (section 649) that these 
funds be apportioned directly to USAID for continued support of 
new and ongoing development programs, with permissive language 
under the ESF heading allowing funds to be transferred to the 
Development Assistance (DA) account as necessary to accomplish 
programs designed for specific assistance programs. The 
Committee directs USAID to develop a plan to bring a more 
comprehensive rural development strategy that extends the reach 
of government, services and livelihoods into the rural areas.
    The Committee believes that USAID should provide support 
for alternative crop programs such as cocoa diversification 
projects, coffee, hearts of palm and other high value crops in 
Colombia and strengthen the ability of farmers to form 
cooperatives and improve their access to markets.
    The Committee expects that the increased resources provided 
for Colombia will result in an increase of funding for 
internally displaced persons (IDP) organizations such as civil 
society organization, and for such organizations in 
municipalities and departments that have a high IDP population.

Guatemala

    The Committee recommendation includes $12,000,000 for ESF 
programs in Guatemala which is $2,000,000 above the request. 
The Committee is gravely concerned with reports detailing the 
frequency of human rights abuses against girls and women. 
According to human rights groups following this issue, more 
than 2500 women and girls have been killed since 2001. The 
Committee notes that the Guatemalan legal system has been slow 
to proceed and bring the responsible parties to justice. The 
Committee recommends that $1,000,000 be made available for 
programs and activities to combat crimes of violence 
specifically targeting women and girls, and to support 
initiatives for legal reform to bring domestic Guatemalan law 
in line with international standards on violence and 
discrimination against women.

Bolivia

    The Committee recommendation includes $17,000,000 for ESF 
programs in Bolivia, which is equal to the request. The 
Committee notes that the Administration has shifted alternative 
development assistance, formerly funded within the Andean 
Counterdrug Initiative (ACI), to ESF. The Committee further 
notes that the shifting of accounts was not accompanied with a 
comparable increase in the request. The Committee expects that 
these funds will be allocated to USAID for continued support of 
ongoing programs.

Ecuador

    The Committee recommendation includes $6,000,000 for ESF 
programs in Ecuador, which is the same as the request. The 
Committee notes that the Administration has shifted alternative 
development assistance, formerly funded within the Andean 
Counterdrug Initiative (ACI), to ESF. The Committee further 
notes that the shifting of accounts was not accompanied with a 
comparable increase in the request. The Committee expects that 
these funds will be allocated to USAID for continued support of 
ongoing programs.

Peru

    The Committee recommendation includes $30,000,000 for ESF 
programs in Peru, which is the same as to the request. The 
Committee notes that the Administration has shifted alternative 
development assistance, formerly funded within the Andean 
Counterdrug Initiative (ACI), to ESF. The Committee further 
notes that the shifting of accounts was not accompanied with a 
comparable increase in the request. The Committee expects that 
these funds will be allocated to USAID for continued support of 
ongoing programs.

Haiti

    The Committee believes that the development of an 
effective, autonomous legislative branch of government in Haiti 
is critical to that country's democratization and stability. 
The Committee is encouraged by the free and fair elections of 
the Haitian Parliament in April 2006 and by the Parliament's 
work on critical issues such as justice sector reform. However, 
the Committee is concerned by the lack of basic infrastructure 
needed to enable the Parliament to effectively carry out its 
work, most notably the lack of space within which to hold 
public hearings, house professional staff, and establish key 
legislative resources such as a legislative library and 
archives. While the Committee typically prefers to direct U.S. 
foreign assistance to supporting the development of 
capabilities and institutions rather than the procurement of 
physical space, the Committee finds that, in this case, 
physical space appears to be the singularly pressing need to 
enable the development of the Parliament as an institution. The 
Committee directs the Secretary to review the Parliament's 
current facility needs and to consider granting an exception to 
current Department policy and allow a portion of the 
$23,900,000 requested for activities to improve governance in 
Haiti to be used by the Government of Haiti to purchase the 
U.S. Embassy property adjacent to the Haitian Parliament for 
transer to, and ownership by, the Haitian Parliament.

Cuba

    The Committee recognizes the challenges to implementing, 
monitoring, and evaluating democracy assistance programs in 
Cuba. The Committee notes with great concern the November, 2006 
GAO report (GAO-07-147) which identifies problems with internal 
controls--both over the awarding of Cuba program grants and 
oversight of grantees--and that grant funds are being used 
properly and that grantees are in compliance with applicable 
laws and regulations. The Committee is concerned with the 
efficacy of this program and therefore provides not more than 
$9,000,000 for ESF programs in Cuba, which is $36,700,000 below 
the request and requires a spending plan and strategy for how 
these funds will be utilized prior to obligation of any funds. 
Furthermore, the Committee is concerned that communication 
between the Department of State and USAID is ineffective and 
lacking with regard to grantees' in-country activities. The 
Committee encourages the Secretary of State and USAID 
Administrator to work jointly to improve communication between 
responsible State and USAID bureaus and offices and urges the 
USAID Administrator to work to improve USAID's management and 
oversight of grantees.

Burma programs

    The Committee recommendation includes $6,000,000 for 
programs in Burma, which is $3,210,000 above the request. These 
funds are critical to supporting democracy activities in Burma, 
including continuation of newspapers, publications and media 
activities, programs along the Burma-Thailand border, 
activities of Burmese student groups and other organizations 
located outside Burma.

Conflict resolution and reconciliation programs

    The Committee recommendation includes $12,000,000 for 
Conflict Resolution and Reconciliation Programs. In addition, 
the Committee recommendation indicates that not less than 
$11,000,000 be used to establish a new reconciliation program, 
the Middle East People-to-People Coexistence Program. All funds 
for the Middle East People-to-People Coexistence Program shall 
be distributed through a competitive grant program organized by 
the Department of State. The Department of State shall develop 
application and evaluation procedures for selecting NGO 
entities for grants as well as for reviewing program 
accomplishments.
    The Committee recognizes the importance of conflict 
resolution and reconciliation programs as a tool for creating a 
climate of peace in regions of conflict. The Conflict 
Resolution and Reconciliation Programs bring together 
individuals of different ethnic, religious, and political 
backgrounds from areas of civil conflict and war. Within the 
amounts provided for these programs, funding should be made 
available through an established process for organizations that 
provide such programming.
    With the establishment of the Middle East People-to-People 
Coexistence Program, the Committee recognizes that the 
historical application of funds for Conflict Resolution and 
Reconciliation Programs will change. Therefore, the Committee 
requests the Department of State devise an equitable funding 
distribution of these funds to ensure that the grant 
application and award process recognizes projects that fall 
into the category of Middle East People-to-People Coexistence 
Program and other areas of conflict.
    The Committee requests that the Department of State 
initiate an annual report on the status of applications and 
funding for these and other organizations supported through 
this program. Such report should be provided to the Committee 
not later than May 1 of each year.

Child survival, reproductive health, HIV/AIDS, and other infectious 
        diseases funding

    The Committee notes the strong support of the 
Administration for programs to address adverse child, maternal, 
reproductive, and environmental health and the increasing 
incidence of tuberculosis and HIV/AIDS co-infection. The 
Committee has included not less than $57,900,000 for health and 
child survival activities in the Economic Support Fund.

Trafficking in persons program

    The Committee recommendation includes $14,000,000 for the 
Trafficking in Persons program, which is $5,300,000 above the 
request.

Asia-Pacific Partnership Program

    The Committee recommendation includes not more than 
$5,000,000 for the Asia-Pacific Partnership Program, which is 
$21,500,000 below the request.

Energy partnerships

    The Committee directs the Secretary of State to pursue 
strategic energy partnerships with major energy-producing and 
energy-consuming nations in an effort to increase international 
energy security and decrease the United States current energy 
dependence on volatile regions. Whereas the Secretary of State, 
or his/her designee, in conjunction with the Secretary of 
Energy, or his/her designee, is required to report back to the 
Committee, within 120 days of enactment the status of fostered 
relationships among international energy organizations, whether 
they be state or privately owned. This report shall include, 
though is not limited to, the amount of energy dependence the 
United States has on said region, as well as the amount of 
international aid provided by the United States to the region. 
Within the report, the Secretary is required to outline any 
possible security threats to the energy relationship between 
the United States and the identified region or regions. The 
report shall include, but is not limited to, the Middle East 
region, the African region, and the Southeast Asian region.

Parliamentary exchanges

    The Committee recommendation includes $2,000,000 for the 
House Democracy Assistance Commission, which is $2,000,000 
above the request.
    The Committee notes that this program is not included in 
the fiscal year 2008 justification material and is therefore 
subject to the notification requirements of section 615.

                     International Fund for Ireland

 Fiscal year 2007 enacted level........................       $13,365,000
Fiscal year 2008 request..............................                 0
Committee recommendation..............................        15,000,000
    Change from request...............................        15,000,000
    Change from enacted level.........................         1,635,000
    The Committee recommends a total of $15,000,000 for the 
International Fund for Ireland in support of the Anglo-Irish 
Accord, which is $15,000,000 above the request and $1,635,000 
below the 2007 level. The Committee encourages the Fund to 
address the important issue of social reintegration by 
promoting long-term development and education.

          Assistance for Eastern Europe and the Baltic States

 Fiscal year 2007 enacted level........................      $273,900,000
Fiscal year 2008 request..............................       289,322,000
Committee recommendation..............................       297,332,000
    Change from request...............................         8,010,000
    Change from enacted level.........................        23,432,000

    The Committee recommends a total of $297,332,000 for 
Assistance for Eastern Europe and the Baltic States, which is 
$8,010,000 above the request and $23,432,000 above the fiscal 
year 2007 level.
    The Committee notes that funds provided from this account 
shall be used for assistance and for related programs for 
Eastern Europe and the Baltic States. Programs which 
predominantly benefit other regions of the world shall not be 
funded from this account.
    The Committee has recommended the same bill language as in 
previous Acts that authorizes the President to withhold funds 
for economic revitalization for Bosnia if he determines that 
Bosnia is not in compliance with the Dayton Accord regarding 
the presence of foreign forces and has not terminated 
intelligence cooperation with Iranian officials. All funds are 
subject to the provisions of section 628 of this Act.
    The following table compares fiscal year 2008 funding for 
the programs covered by this account, as well as the 
President's request for fiscal year 2008 and the Committee 
recommendation:

       ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC STATES (SEED)
                            [$ in thousands]
------------------------------------------------------------------------
                                               FY 2008       Committee
                                               request    recommendation
------------------------------------------------------------------------
Albania....................................      $16,200        $20,200
Bosnia and Herzegovina.....................       22,900         28,900
Bulgaria...................................            0              0
Croatia....................................            0              0
Kosovo.....................................      151,246        144,232
Macedonia..................................       18,900         25,000
Montenegro.................................        7,572          8,000
Romania....................................            0              0
Serbia.....................................       51,300         56,000
Europe Regional............................       21,204         15,000
    OSCE...................................      [5,565]        [5,565]
    Southern...............................     [15,639]        [9,435]
                                            ----------------------------
      Total................................      289,322        297,332
------------------------------------------------------------------------

Regional programs

    The Committee recommendation includes $15,000,000 for 
regional programs. This category funds environmental 
infrastructure, independent media support, civil society and 
rule of law, health promotion and care, economic development 
and other programs. The Committee supports programs that 
provide distance learning opportunities for students in the 
Balkans and urges consideration of programs such as the 
International Center for Entrepreneurial Studies.

Rule of law

    The Committee views efforts to promote the rule of law 
worldwide as a critical component of United States foreign 
policy. The Committee strongly supports the public service 
projects initiated by the American Bar Association (ABA) to 
strengthen democracy through programs that promote the rule of 
law in transitional countries. These effective programs rely 
predominantly on the volunteer efforts of American lawyers and 
have achieved sustainable results. The Committee recommends 
continued funding through cooperative agreements for the ABA's 
programs. The Committee continues to note that ABA should not 
rely upon United States funding to renovate or build 
facilities, but should instead use private financing as agreed 
in 2003.
    The ABA has expanded its legal reform efforts into Asia, 
Africa, Latin America and the Caribbean, and the Middle East, 
with programs in Jordan, Bahrain, Morocco, Iraq, Afghanistan, 
Rwanda, Kenya, Liberia, China, Indonesia, the Philippines, 
Ecuador, Costa Rica, and Mexico. The Committee recommends 
support for such programs from the appropriate accounts. The 
Committee continues to support the use of cooperative 
agreements for funding such programs.

Training and exchanges

    The Committee urges continued support for the East Central 
European Scholarship Program (ECESP) cooperative agreement in 
both Albania and Macedonia during fiscal year 2008.
    The Committee recommendation does not include funding for 
the Russian, Eurasian and Eastern European Research and 
Training Program (Title VIII) under this heading. The Committee 
provides funding for these programs under Title I of this Act.

Kosovo

    The Committee continues to support programs that help 
Kosovo to develop the human and institutional resources needed 
for self-government, particularly programs that help meet the 
pressing need for the modern administrative and technical 
skills required to transform Kosovo into a prosperous and 
democratic state. The Committee encourages the Department of 
State to consider a proposal by the American University in 
Kosovo to establish a United States School of Public Service 
that will train Kosovars to build and manage their own public 
services and infrastructure.

Child survival, reproductive health, HIV/AIDS, and other infectious 
        diseases funding

    The Committee notes the strong support of the 
Administration for programs to address adverse child, maternal, 
reproductive, and environmental health and the increasing 
incidence of tuberculosis and HIV/AIDS co-infection in Eastern 
Europe. As this account is phasing down, the Administration 
should be developing strategies to continue these important 
programs from other accounts. In order to demonstrate its 
support for these high priority activities, the Committee has 
allocated not less than $2,400,000 for health and child 
survival activities.
    Of this amount, the Committee recommendation includes 
$700,000 for child survival and maternal health; and $1,700,000 
for family planning/reproductive health programs.

    Assistance for the Independent States of the Former Soviet Union

 Fiscal year 2007 enacted level........................      $452,000,000
Fiscal year 2008 request..............................       351,585,000
Committee recommendation..............................       397,585,000
    Change from request...............................        46,000,000
    Change from enacted level.........................       -54,415,000
    The Committee recommends a total of $397,585,000 for the 
Independent States of the Former Soviet Union, which is 
$46,000,000 above the request and $54,415,000 below the fiscal 
year 2007 level.
    The Committee notes that funds provided from this account 
shall be used for assistance and for related programs for 
states of the former Soviet Union. Programs which predominantly 
benefit other regions of the world shall not be funded from 
this account. The Committee continues in subsection (a) prior 
year language applying the provisions of section 498B(j) of the 
Foreign Assistance Act. A general provision (section 617) also 
includes long-standing language on human rights and non-use of 
funds for enhancing military capacities, and provides all funds 
subject to separate notification.
    The following table compares fiscal year 2008 funding for 
the programs covered by this account with the President's 
request for fiscal year 2008:

     ASSISTANCE FOR INDEPENDENT STATES OF FORMER SOVIET UNION (FSA)
                            [$ in thousands]
------------------------------------------------------------------------
                                             Fiscal year
                                                 2008        Committee
                                               request    recommendation
------------------------------------------------------------------------
Europe and Eurasia:
    Armenia................................      $35,000        $68,000
    Azerbaijan.............................       18,000         18,000
    Belarus................................       10,000         11,000
    Georgia................................       50,500         50,500
    Moldova................................       13,300         13,300
    Russia.................................       50,000         60,000
    Ukraine................................       71,000         77,000
    Regional FSA...........................       19,284         14,000
    OSCE Regional..........................        2,935          4,000
      Subtotal, Europe and Eurasia.........      270,019        315,800
South and Central Asia:
    Kazakhstan.............................       14,397         15,470
    Kyrgyz Republic........................       23,815         23,841
    Tajikistan.............................       26,880         26,000
    Turkmenistan...........................        5,500          5,500
    Uzbekistan.............................        8,474          8,474
    Central Asia Regional..................        2,500          2,500
                                            ----------------------------
      Subtotal, South and Central Asia.....       81,566         81,785
                                            ----------------------------
    Total..................................      351,585        397,585
------------------------------------------------------------------------

Child survival, reproductive health, HIV/AIDS, and other infectious 
        diseases funding

    The Committee notes the strong support of the 
Administration for programs to address adverse child, maternal, 
reproductive, and environmental health and the increasing 
incidence of tuberculosis and HIV/AIDS co-infection in Russia, 
Ukraine, and the Central Asian Republics. As this account is 
phasing down, the Administration should be developing 
strategies to continue these important programs from other 
accounts. In order to demonstrate its support for these high 
priority activities, the Committee has allocated not less than 
$52,200,000 for health and child survival activities.
    Of this amount, the Committee recommendation includes 
$5,100,000 for child survival and maternal health; $11,100,000 
for family planning/reproductive health; $26,000,000 for HIV/
AIDS in non-focus countries; and $10,000,000 for tuberculosis 
programs.
    The Committee is aware of the work of Hellenicare (formerly 
the World Council of Hellenes' Primary Health Care Initiative) 
and the Eurasian Medical Education Program of the American 
College of Physicians and the Committee encourages USAID to 
consider such work in fiscal year 2008.
    The Committee supports the work of the Institute for Global 
Health to reduce high rates of teen pregnancy and infant 
mortality, in addition to the prevention of non-communicable 
diseases, in the former Soviet Union.

United States-Russia Investment Fund

    It is the Committee's view that all of the reflows from the 
United States-Russia Investment Fund (TUSRIF) should be used to 
endow a new foundation called the ``United States-Russia 
Foundation for Economic Advancement and the Rule of Law.'' 
Given the overwhelming importance of the United States-Russia 
relationship and the strong United States interest in Russia's 
future development as a stable, prosperous, market-oriented, 
and democratic state, the Committee is convinced that TUSRIF 
should be treated as an exception and that all of the reflows 
should be available to endow this foundation. While supporting 
the stated goals and objectives of this foundation, the 
Committee strongly believes that the foundation must strive for 
balance in the activities it will support. At least as much 
attention should be devoted to supporting rule of law, civil 
society, transparency and access to information, as to 
supporting business education, economic reform, and technology 
development.

Energy security

    The Committee notes the ongoing efforts by the Russian 
Federation to control and manipulate energy supplies in central 
Asia and Eastern Europe, including those which support the 
economies of United States allies in Europe. The Committee 
encourages the efforts of the Department of State to 
diplomatically support the development of alternate energy 
sources and supply lines outside of the control of the Russian 
Federation. The Committee also supports the Department's 
efforts to ensure that funds accruing to a government from 
energy sales are transparently collected and disbursed. The 
Committee in particular notes efforts in Chad and Azerbaijan.
    The President's recent initiatives to support alternative 
sources of energy, including biofuels, open new possiblities 
for diplomatic engagement. The Committee requests that the 
Department be prepared to report to the Committee, not later 
than 60 days following enactment of this Act, regarding its 
efforts to improve the diversity and reliability of energy 
supplies to the United States and Europe.

Russia-Iran

    The Committee has carried for several years language 
restricting assistance for the government of Russia due to its 
support for the Iranian nuclear program. Russian cooperation 
with Iran has, at the minimum, contributed to Iran's uranium 
enrichment capability. In addition, Russia's continued support 
for Iran's ballistic missile capacity has directly contributed 
to increasing regional instability. The Committee continues its 
restrictions on funding for the Russian government again this 
year.

Support of peaceful resolution of South Caucasus conflicts

    The Committee continues its strong support for confidence-
building measures among the parties to the Nagorno-Karabakh 
conflict. The Committee expects the Department of State to use 
its authority under section 498B of the Foreign Assistance Act 
as necessary to carry out such programs. The Committee 
continues to be concerned about the plight of the victims of 
the Nagorno-Karabakh conflict, and recommends that up to 
$6,000,000 should be made available to address ongoing 
humanitarian needs in Nagorno-Karabakh. The Committee has 
included renewed authority for the President to provide 
humanitarian assistance to the region, notwithstanding the 
restrictions of section 907 of the FREEDOM Support Act. The 
bill language is unchanged from previous years.

Democracy and human rights

    The Committee recognizes the excellent work of the Eurasia 
Foundation in promoting democratic change at the grass roots 
level throughout the independent states of the former Soviet 
Union and urges USAID to consider such work in fiscal year 
2008. The Committee recommends continued funding of the 
Foundation. The Committee also notes the many accomplishments 
of the Civilian Research and Development Foundation (CRDF), 
which has, for the last decade, helped to channel the research 
activities of weapons scientists in the Former Soviet Union 
(FSU) in constructive directions. The Committee encourages 
continued funding for CRDF from this account. CRDF is expanding 
its activities globally, including work with scientists and 
engineers from the Middle East, North Africa, and elsewhere 
outside the FSU region, and the Committee encourages the 
Administration to fund these activities from the appropriate 
accounts.
    The Committee recognizes the value of the work that the 
Moscow School of Political Studies has done to educate young 
Russian professionals and public servants on how to participate 
honestly and productively in running their own country and 
supports continued funding.

Ukraine

    The Committee believes that the greatest hope for Ukrainian 
democracy rests with realizing the economic aspirations of the 
Ukrainian people. The Committee thus supports the 
Administration's emphasis on strengthening Ukrainian economic 
growth. The Committee strongly supports United States efforts 
to strengthen Ukraine's democratic institutions and encourages 
the Office of the Director of Foreign Assistance to prioritize 
funding for such programs which are selected through a 
competitive process and are consistent with United States 
policy. The Committee supports the work of the Ukrainian 
Congress Committee of America and the U.S.-Ukraine Foundation.

Belarus

    The Committee is deeply concerned with the increasingly 
repressive regime in Belarus and encourages the government of 
Belarus to return to the democratic community. The Committee 
supports the efforts of the Department of State, USAID, and the 
European states to help the Belarusian people access accurate 
and timely information.

                          INDEPENDENT AGENCIES


                       Inter-American Foundation

 Fiscal year 2007 enacted level........................       $19,305,000
Fiscal year 2008 request..............................        19,000,000
Committee recommendation..............................        19,000,000
    Change from request...............................                 0
    Change from enacted level.........................          -305,000

    The Committee recommends $19,000,000 for the Inter-American 
Foundation (IAF), which is the same as the request and $305,000 
below the fiscal year 2007 level. The Committee notes that the 
IAF has $300,000 in carry over balances.

                     African Development Foundation

 Fiscal year 2007 enacted level........................       $22,770,000
Fiscal year 2008 request..............................        30,000,000
Committee recommendation..............................        30,000,000
    Change from request...............................                 0
    Change from enacted level.........................         7,230,000

    The Committee recommendation includes $30,000,000 for the 
African Development Foundation, which is $7,230,000 above the 
fiscal year 2007 level and the same as the request.
    The Committee continues to support the African Development 
Foundation's efforts to identify and leverage non-appropriated 
resources. The Committee requests the President of the 
Foundation to include this data in the congressional budget 
justification accompanying the fiscal year 2009 budget request.
    The Committee maintains bill language carried in prior 
years on investments authorized by the Foundation's Board; 
interest earned; ability of the Board to waive the $250,000 cap 
on grants in exceptional circumstances; a requirement to report 
to the Committee if such authority is exercised; and the 
ability to permit a project for which the Board has waived the 
cap if the increase is due solely to foreign currency 
fluctuations.

                              Peace Corps


                      (INCLUDING TRANFER OF FUNDS)
 Fiscal year 2007 enacted level........................      $319,640,000
Fiscal year 2008 request..............................       333,500,000
Committee recommendation..............................       333,500,000
    Change from request...............................                 0
    Change from enacted level.........................        13,860,000

    The Committee recommends $333,500,000 for the Peace Corps, 
which is $13,860,000 above the fiscal year 2007 level and the 
same as the request.
    The Committee again has included language permitting the 
Peace Corps Director to transfer up to $2,000,000 to establish 
an account to help mitigate the effects of currency exchange 
fluctuation. The Committee also expects the Peace Corps to 
transfer into this account net gains due to beneficial currency 
fluctuations when applicable.

                    Millennium Challenge Corporation

 Fiscal year 2007 enacted level........................    $1,752,300,000
Fiscal year 2008 request..............................     3,000,000,000
Committee recommendation..............................     1,800,000,000
    Change from request...............................    -1,200,000,000
    Change from enacted level.........................        47,700,000

    The Committee recommendation includes $1,800,000,000 for 
the Millennium Challenge Corporation (MCC), which is 
$47,700,000 above the fiscal year 2007 level and $1,200,000,000 
below the request. The recommended reduction reflects the 
constrained budgetary situation in fiscal year 2008. A funding 
limitation of $95,000,000 is set for administrative expenses.
    The Committee continues its support for the MCC and regards 
it as a significant step forward in the provision of 
accountable and transformative foreign assistance. The 
Committee appreciates the MCC's early and frequent 
consultations regarding potential compact and threshold 
assistance and expects this to continue in fiscal year 2008.
    The Committee does not believe that MCC assistance is a 
substitute for USAID programs and is concerned that this 
appears to be the trend in the fiscal year 2008 proposed 
budget. The Committee believes that MCC investments should be a 
complement to current aid programs.

Donor coordination

    The Committee commends the MCC for its progress 
coordinating with other United States development programs in-
country and encourages additional improvements in this area. 
The Committee places considerable importance on the MCC's 
compliance with the Paris Declaration on Aid Effectiveness and 
expects the MCC to reach out to other United States Government 
programs and bi-lateral and multi-lateral donors to ensure that 
MCC programs are closely coordinated and build local capacity 
to the greatest extent possible. The Committee directs that no 
later than 90 days following the end of fiscal year 2008, the 
Millennium Challenge Corporation shall submit a report 
detailing its progress towards compliance with the principles 
in the Paris Declaration on Aid Effectiveness.

Civil society consultation

    The Committee is concerned that MCA-eligible governments 
are not consulting adequately with civil society prior to 
compact design. The Committee encourages MCC to work with 
governments to require consultation prior to the submission of 
a proposal.

Threshold countries

    The Committee has again included a provision authorizing 10 
percent of funds for threshold country programs. The Committee 
notes that countries can be simultaneously eligible for 
compacts and for threshold programs. However, the Committee 
notes that the primary purpose of threshold assistance is to 
help countries ineligible for compacts address the deficiencies 
which prevent them from becoming eligible. The Committee 
expects the MCC to clarify its threshold program guidance to 
reflect the circumstances under which countries may be eligible 
for both compact and threshold funding.

Multi-year compacts

    The Committee includes once again a provision that requires 
the MCC to only enter into compacts for which it has complete 
funding available from existing appropriations. The Committee 
will not allow the MCC to commit future Congresses to funding 
prior year compacts.

Lower middle income countries

    The Committee reiterates its support for the provisions 
under section 609(b)(2) of the Millennium Challenge Act of 2003 
which requires lower middle income countries to make an 
incremental contribution relative to their national budget in 
support of the poverty reduction objectives of the compact. The 
Committee expects this information to be detailed in each 
appropriate compact.

Compacts with regional governments

    As in previous years, the Committee requires the MCC to 
consult with the Committee immediately upon determining that 
the national government of an eligible country is not an 
appropriate partner with which to negotiate compacts, and that 
engagement with a regional or other sub-national entity is 
required.

Funding

    The Committee is concerned that the flexibilities of 609(g) 
may be misinterpreted by some Compact-eligible countries. 
Congress provided 609(g) authority as a last resort to overcome 
otherwise insurmountable obstacles to compact development and 
implementation. The Committee directs the MCC to include in its 
country notification paperwork guidance on the 609(g) function. 
The Committee directs the MCC to include in any congressional 
notification for 609(g) funding a description of the matching 
funding, in-kind contribution, or other complementary support 
provided by the eligible country.

                          DEPARTMENT OF STATE


                       Global HIV/AIDS Initiative

 Fiscal year 2007 enacted level........................    $3,246,520,000
Fiscal year 2008 request..............................     4,150,000,000
Committee recommendation..............................     4,450,000,000
    Change from request...............................       300,000,000
    Change from enacted level.........................     1,203,480,000

    The Committee recommendation includes $4,450,000,000 for 
the ``Global HIV/AIDS Initiative'' account, which is 
$1,203,480,000 above the fiscal year 2007 level and 
$300,000,000 above the request. As in previous years, the 
Committee appropriates all funding for the fifteen focus 
countries in this account.
    This account is the primary source of funding for the 
Emergency Plan for AIDS Relief (PEPFAR). Amounts under the 
``Child Survival and Health Programs Fund'' account, other 
accounts in this Act, and funding provided from other 
appropriations Acts are also included in PEPFAR.
    The Committee recommendation includes total Emergency Plan 
funding of $5,082,000,000 as outlined in the table below, which 
is $1,835,000,000 above the fiscal year 2007 level and 
$585,722,000 above the request. In addition to the amounts 
within this Act, the Committee notes that the President's 
budget request includes $794,000,000, including $300,000,000 
for the Global Fund, within the Department of Health and Human 
Services. The Committee recommendation includes $550,000,000 
for the United States contribution to the Global Fund in this 
Act, $250,000,000 within the ``Child Survival and Health 
Programs Fund'' account and $300,000,000 within this account, 
which is $550,000,000 above the request.

        Global HIV/AIDS Funding Category                      Allocation
Global HIV/AIDS Initiative (bilateral)..................  $4,150,000,000
CSHF--HIV/AIDS (bilateral)..............................     350,000,000
Global Fund (CSH account)...............................     250,000,000
Global Fund (GHAI account)..............................     300,000,000
Other Accounts..........................................      32,000,000
                    --------------------------------------------------------
                    ____________________________________________________
Subtotal--Foreign Operations............................   5,082,000,000
HHS--Programs (request).................................     794,223,000
                    --------------------------------------------------------
                    ____________________________________________________
Total--PEPFAR...........................................   5,876,223,000

    The Committee requests the submission of quarterly 
obligation and transfer reports as required in prior years.

Non-focus countries

    The Committee is concerned that the fiscal year 2008 
Congressional Budget Justification did not provide adequate 
information on activities in the non-focus countries. These 
include countries such as Russia, China, and India that are 
experiencing rapid growth of their HIV/AIDS epidemics. The 
Committee directs that the fiscal year 2009 budget request 
provide more specific information about the types of activities 
that will be carried out in both the focus and non-focus 
countries.

TB/HIV co-infection

    The Committee notes that TB is a leading killer of people 
with HIV/AIDS, and urges the Global HIV/AIDS Coordinator 
(Coordinator) to take steps to increase the priority for TB/HIV 
co-infection programs in country operating plans. XDR-TB is 
worsening in sub-Saharan Africa and the Committee encourages 
the Coordinator to work with USAID to ensure that the Global 
HIV/AIDS Initiative (GHAI) activities are complementary to 
USAID's overall efforts to reduce global TB incidence. The 
Committee is pleased that joint HIV/TB programs were funded at 
approximately $120,000,000 in fiscal year 2007 and directs the 
Coordinator to support these programs at a level of 
$150,000,000 in fiscal year 2008.

Prevention Programs

    The Committee believes that the United States must 
significantly increase its funding and support for evidence-
based HIV/AIDS prevention to slow the global HIV/AIDS pandemic. 
The Institute of Medicine's report entitled ``PEPFAR 
Implemention: Progress and Promise'' found that the thirty-
three percent set-aside for abstinence-until-marriage 
prevention programs has had a detrimental impact on the ability 
of the GHAI to reach its targets. Therefore, the Committee 
includes bill language that provides the Administration with 
flexibility to implement HIV/AIDS prevention programs without 
this limitation in funding. The Committee expects the 
Coordinator to be prepared to present information to the 
Committees on Appropriations regarding the impact of this 
policy change on its ability to reach its targets at the fiscal 
year 2009 hearings.

Human capacity issues

    The Committee understands that the GHAI has undertaken 
significant efforts to train health care workers, including 
community health care workers, doctors, nurses, and other 
health professionals, as part of the overall effort. The 
Committee supports these activities and encourages the 
continuation and expansion of them to include pediatric 
training in fiscal year 2008. The Committee requests a report 
from the Coordinator no later than 90 days after passage of 
this Act that outlines the plans for health care worker 
training in fiscal year 2008 and provides information about how 
this training will impact overall health programs in the 15 
focus countries. The Committee is aware of the work of 
Physicians for Peace; the TOUCH Foundation; the Orotta School 
of Medicine in Eritrea; and Catholic Medical Mission Board and 
encourages the GHAI to consider such work in fiscal year 2008.

UNAIDS and technical assistance

    To this end, the Committee has previously noted the 
importance of AIDS coordination at the country-level, as 
articulated in the ``Three Ones'' principles spearheaded by 
UNAIDS. Worldwide, UNAIDS plays an invaluable role in `making 
the money work' through in-country coordination, capacity 
building, technical assistance, and monitoring and evaluation 
activities. These are critical functions which must be expanded 
to keep pace with both the AIDS epidemic and the growing global 
response to it. The Committee therefore urges the Coordinator 
to continue support for UNAIDS in fiscal year 2008.

Treatment and use of generic medications

    The Committee notes the contribution the United States has 
made by making HIV/AIDS treatment a GHAI priority. As a result 
of United States funded initiatives, including the Global Fund, 
nearly one million people are currently receiving treatment. 
Unfortunately, this achievement is overshadowed by the slow 
uptake of generic HIV/AIDS drugs by the GHAI. The Committee 
directs the GHAI to take every step possible to expand the use 
of generic drugs in fiscal year 2008. The Committee understands 
that developing country regulatory systems are hindering the 
use of generics and the Committee directs the GHAI to work with 
governments, civil society organizations, and others in focus 
and non-focus countries to strengthen and improve the drug 
regulatory systems in order to ensure the rapid review and 
approval of new and generic life-saving medications.
    The Committee directs the Coordinator to provide the 
Committees on Appropriations with a report on the use of 
generic drugs in the focus and non-focus countries no later 
than 60 days after enactment of this Act. The report should 
provide specific information about first-line, second-line and 
pediatric formulations purchased by the GHAI by country, 
including a list of medications (generic and name brand) 
purchased, the unit price, the total cost by medication, their 
manufacturer and the per patient annual cost. The report should 
include a list of the regimens (generic and name brand) 
currently supported by PEPFAR and a comparison of these 
regimens to the nationally approved regimens in the focus 
countries for comparison purposes. The report should also 
include information by country about the current state of 
regulatory systems in the focus and non-focus countries and the 
steps that the GHAI will take in fiscal year 2008 to strengthen 
these systems.

Future HIV medications

    The Committee shares the concern of leading HIV/AIDS 
specialists that our current repertoire of anti-HIV medications 
will increasingly fail in the coming decades. Development of 
the next generation of drugs will depend upon significant 
investments in research and development. The Committee requests 
that the Coordinator report not later than 180 days following 
enactment of this Act on sources of market risk that hinder 
private sector investment in new drug development.
    The Committee requests that the Coordinator and the 
Partnership for Supply Chain Management Systems work with 
clinical and research experts, industry, other significant 
purchasers, and distributors of anti-HIV medications in the 
developing world, such as the Global Fund to Fight AIDS, TB, 
and Malaria, to assess the capacity of the current HIV 
formulary to treat HIV/AIDS over the next twenty to thirty 
years. Once the assessment is complete, the Committee requests 
that the Coordinator work with its partners to issue a joint 
report on the total amounts, types, and desired capabilities 
for the next generation of anti-HIV medications. The Committee 
requests that the Coordinator update the Committee quarterly on 
the progress of these reports.

New technologies

    As the pandemic continues to grow, the Committee is pleased 
to see progress on medically-based prevention methods. Recent 
research on microbicides and male circumcision raises questions 
as to whether the GHAI is flexible enough to respond to these 
new opportunities. The Committee urges the Coordinator to 
provide resources to efforts to expand access to new and 
effective prevention technologies. As part of this effort, the 
Committee urges the Coordinator to consider allocating 
additional GHAI funds to support treatment in settings where 
clinical trials are underway or where the population is being 
prepared for a clinical trial, including those trials related 
to an HIV/AIDS vaccine and microbicides.

Nutritional support

    Food and nutrition are important components of a 
comprehensive approach to HIV/AIDS. However, many PEPFAR 
programs operate in areas of chronic food insecurity. Report 
language in previous years has requested a strategy as well as 
a report on current GHAI activities related to food security. 
The Committee has not been satisfied with the reports or the 
actions taken by the GHAI to improve food security for those 
they serve.
    The Committee notes the GHAI's efforts to enhance reporting 
of food and nutritional support and requests that data on 
resources allocated for food and nutritional support and 
numbers of people served be included in the next Annual Report 
to Congress.
    Understanding that providing direct food aid does not fit 
within the immediate mandate or expertise of the Initiative, 
the Committee requests a report within 45 days of enactment of 
this Act that outlines the specific steps that the GHAI will 
take in fiscal year 2008 to work with other agencies, 
multilateral organizations, and the private sector to ensure 
that those served by the GHAI are food secure. Of the funds 
provided, the Committee directs that no less than $100,000,000 
be used to support sustainable approaches to long-term food 
security and food assistance programs, including livelihood 
programs, where feasible, linking with sustainable agriculture 
programs.

HIV/AIDS and education

    The Committee believes that education is a highly cost 
effective HIV/AIDS prevention intervention. Educated girls tend 
to delay sexual debut and men and women who are educated make 
better life decisions. The Committee is aware of the work of 
the International Foundation for Education and Self-Help and 
encourages the GHAI to consider such work in fiscal year 2008.

Orphans and vulnerable children

    The Committee supports programs that support orphans and 
vulnerable children and urges the Coordinator to meet the ten 
percent statutory mandate. The Committee expects that these 
resources will be used to build the long-term capacity of local 
organizations, including faith-based organizations, and 
communities to support and deliver services and the capacity of 
families to identify, locate, protect, and care for orphans and 
vulnerable children affected by HIV/AIDS.

Gender and HIV/AIDS

    The Committee is alarmed by the dramatic increase in HIV 
infections among girls and women. The Committee commends the 
recent steps that the Coordinator has taken to address the 
complexities of gender within its program, including the 
development of three strategies to address gender-based 
violence, changing social norms among men and boys, and the 
vulnerabilities of adolescent girls.
    The Committee is concerned that the reproductive health 
needs of women and girls are not being adequately addressed by 
the GHAI and requests that the Coordinator report within 90 
days of the enactment of this Act on the steps it will take in 
fiscal year 2008 to address this gap.

Mother-to-child transmission

    The Committee continues to support funding for programs to 
prevent mother-to-child transmission (MTCT) of HIV as an 
integral component of a comprehensive approach to fighting HIV/
AIDS. The Committee also understands that expanding MTCT 
services in the focus countries will require a new effort to 
reach women in their homes, where they choose to give birth, 
rather than in medical facilities. The Committee encourages the 
Coordinator to work with USAID's maternal health programs, 
which have been working to improve these services for many 
years. In addition, the Committee encourages the Coordinator to 
provide the resources and technical assistance necessary to 
expand access to MTCT services, improve the ability of programs 
to offer the most effective drug regimens possible in all 
instances, and encourage stronger linkages between MTCT and 
care and treatment programs.

Pediatric HIV/AIDS treatment and prevention

    The Committee commends the Coordinator for emphasizing 
treatment for children in the GHAI. The Committee notes that 
the GHAI is striving to reach a 15 percent treatment goal for 
children that is not legislatively mandated.The Committee 
directs the Coordinator to continue this work and develop a 
plan for reaching the 15 percent treatment goal for children. 
The Committee requests that the Coordinator submit a detailed 
plan no later than 90 days after enactment of this Act for 
reaching this goal, including a description of the resources 
required; possible incentives for programs to treat children; 
and specific steps to identify and treat HIV-exposed and 
infected children.

Safe blood program

    The Committee remains concerned about the problem of unsafe 
or contaminated blood as a source of HIV infection in the 
developing world. The Committee is encouraged that the GHAI has 
made safe blood programs a central part of its strategy and 
recommends continued funding for such programs. The Committee 
expects the Coordinator to consider joint funding for multi-
country programs that provide blood free of malaria, HIV, and 
other blood-borne diseases, and to train health care 
professionals in proper medical procedures and practices for 
blood transfusions.

New partners initiative

    The Committee commends the Coordinator for the 
establishment of the ``New Partners Initiative''. The 
Initiative's purpose is to increase the number of partners by 
establishing a competitive grants process for organizations 
which may have little or no experience in working with the 
federal government. The Committee expects that a competitive 
process will be put in place to review these proposals. 
Priority should be given to proposals that have technical 
merit, cost-effective budgets, and achievable objectives.
    Additionally, the Initiative is intended to develop 
indigenous capacity so that affected countries can address HIV/
AIDS on their own and decrease dependence on foreign 
organizations and skills. The Committee is aware of the work of 
Hiwot HIV/AIDS Prevention Care and Support Program, African 
Services Committee, and Project DREAM and encourages GHAI to 
consider such work in fiscal year 2008.

Voluntary contribution to the Global Fund to Fight AIDS, Tuberculosis, 
        and Malaria

    The fiscal year 2008 budget request for the United States 
contribution to the Global Fund totals $300,000,000. Of that 
amount, no funding is requested from this Act and $300,000,000 
is requested for the Act providing appropriations for the 
Department of Health and Human Services. The Committee 
recommendation includes $250,000,000 from the ``Child Survival 
and Health Programs Fund'' account, and $300,000,000 from this 
account, for a total of $550,000,000 for the United States 
contribution to the Global Fund from this Act.
    This funding is subject to provisions in Public Law 108-25. 
Any funding not released to the Global Fund due to the 
provisions in this Act or Public Law 108-25 should be used by 
the Coordinator for programs to strengthen the Global Fund and 
for additional funding to ``non-focus'' countries. The 
Committee expects the Coordinator to consult with the Committee 
on the use of such funds.

Oversight and management of the Global Fund

    The Committee is concerned that the President's request did 
not include an allocation from this Act for the Global Fund. 
Since the establishment of the Global Fund, this Committee has 
been responsible for oversight of the Global Fund and intends 
to continue this engagement. In the past few months, the 
Committee has been concerned about reports of alleged 
mismanagement of Global Fund resources by the previous 
Executive Director. The Committee was pleased to see immediate 
action by the Board and commends the Board for its decision to 
quickly appoint a new Inspector General.
    The Committee remains concerned that the Global Fund is not 
providing adequate information about commitments and 
disbursements. The Committee directs the Coordinator to report 
within 45 days of enactment of this Act on the actions that the 
Global Fund will be taking in the coming year to provide more 
specific oversight information. Specifically, the Committee is 
interested in receiving regular audits of administrative 
expenditures, and detailed information on principal recipients 
and sub-recipients, including the identity of sub-recipients, 
the relationship of sub-recipients to principal recipients, the 
amount and nature of sub-recipient grants, and periodic reports 
on the results achieved by recipients and sub-recipients.
    The Committee continues to include a provision that 
conditions twenty percent of the United States contribution to 
the Global Fund on certain steps that the Global Fund needs to 
take to improve its efficiency, transparency, and 
accountability.
    The provision requires that the Global Fund establish a 
permanent, full time Inspector General and the Committee 
expects that this position will be filled by November 30, 2007.

Future of the Global Fund

    The Committee applauds the Global Fund and its Board for 
undertaking a strategic planning process, which is setting 
forward a vision for the next five years. The Committee 
continues to include language that urges the Coordinator to 
underscore the United States commitment to funding a 
performance-based, results-oriented, financing instrument to 
combat HIV/AIDS, tuberculosis, and malaria. The Committee 
directs the Coordinator to notify the Committee of any proposal 
and/or action that would move the Global Fund from project 
support to budget support, erode the Global Fund's results-
based disbursement structure, or lessen the role of the 
technical review panel.

Technical assistance

    The Committee is pleased with interagency coordination and 
cooperation in the provision of technical assistance to Global 
Fund recipients. The Committee continues to support this effort 
and encourages attention to efforts that help establish and 
sustain Country Coordinating Mechanisms and Principal 
Recipients, monitor grants, and otherwise improve the 
performance of Global Fund grants. The Committee includes 
permissive authority for the Coordinator to use up to five 
percent of the funds made available in this Act for 
contribution to the Global Fund to provide technical assistance 
to Global Fund grants, working through the World Health 
Organization and UNAIDS, where appropriate. Finally, the 
Committee notes that this authority has been shifted from the 
``Child Survival and Health Programs Fund'' account to the 
``Global HIV/AIDS Initiative'' account in the fiscal year 2008 
bill language.

          International Narcotics Control and Law Enforcement

 Fiscal year 2007 enacted level........................      $472,616,000
Fiscal year 2008 request..............................       634,600,000
Committee recommendation..............................       568,475,000
    Change from request...............................       -66,125,000
    Change from enacted level.........................        95,859,000

    The Committee recommends $568,475,000 for International 
Narcotics Control and Law Enforcement (INCLE), which is 
$66,125,000 below the request. A limitation of $38,000,000 is 
recommended for administrative expenses. The Committee 
expressly does not provide $10,000,000 in administrative 
expenses for Iraq in fiscal year 2008. The Committee notes that 
$7,000,000 was provided for such requirements in the fiscal 
year 2007 Supplemental Appropriations Act (Public Law 110-28).
    The Committee continues the requirement in the bill that 
the Director of Foreign Assistance shall provide to the 
Committees on Appropriations not later than 45 days after the 
date of the enactment of this Act and prior to the initial 
obligation of funds appropriated under this heading, a report 
on the proposed uses of all funds under this heading on a 
country-by-country basis for each proposed program, project, or 
activity.

                 Narcotics, Gangs, Terrorism and Crime


Criminal youth gangs

    The Committee provides not less than $8,000,000 for 
programs to combat transnational crime and criminal youth 
gangs, which is $3,000,000 above the request. The Committee 
notes with alarm the rise in violent crime in Central American 
countries where the ``mara'' or gang problem is overwhelming 
the law enforcement capabilities of many governments. The 
Committee is concerned that collaboration between criminal 
groups and drug traffickers, underfunded and sometimes corrupt 
police forces, and deportations from the United States are 
contributing to this problem. The Committee encourages the 
Administration to reevaluate current policy with regard to the 
``maras'' and recommends that the Department of State and USAID 
report back to the Committee within 90 days after enactment of 
this Act regarding steps taken by their agencies that will 
reduce criminal gang activity in Central America and have an 
immediate impact of the daily lives of those citizens, 
especially the poor, who are the most frequent victims of 
violent crime.

INL anti-crime programs

    Organized crime and terrorist groups throughout the world 
have long used narcotics as a means to generate revenues to 
support armed conflict and spread turmoil. The Committee 
continues to support a strong United States counternarcotics 
assistance program in order to protect United States 
communities from the ravages of drugs, but increasingly to deny 
drug profits. The Committee recommendation includes $12,000,000 
for anti-crime programs, which is $2,000,000 below the request.

Intellectual property

    The Committee recommendation supports funding from within 
this heading for programs to combat intellectual property 
piracy.

International demand reduction programs

    The Committee strongly supports demand reduction programs. 
The Committee directs that within the funds provided for 
International Narcotics Control and Law Enforcement, 
$12,000,000 shall be provided for the drug demand reduction 
program. Such funding will be available to reduce worldwide 
drug abuse. The Committee commends the Department of State on 
their efforts, specifically with regard to activities 
undertaken in Afghanistan and Central America. The Committee 
encourages the Department to expand the program into more 
communities.

International law enforcement academies (ILEA)

    The Committee recommendation includes $15,000,000 for 
funding for the academies, which is $1,500,000 below the 
request. The Committee notes that this cut was taken without 
prejudice, and due entirely to budget constraints and should 
not be seen as a reflection on the work accomplished at the 
various academies.

International organizations (IO)

    The Committee recommendation includes $4,000,000 for 
international organizations, which is $1,500,000 below the 
request. The Committee notes that the Organization of American 
States is receiving an additional $3,000,000 in assistance 
provided within the Andean Counterdrug Initiative (ACI) account 
in fiscal year 2008.

Inter-agency interdiction efforts

    The Committee directs the Bureau of International Narcotics 
and Law Enforcement Affairs at the Department of State to 
report to the Committees on Appropriations not later than 45 
days from the date of enactment of this Act on the use of 
aerial assets to include fixed and rotary wing aircraft in 
coordination with and in support of Drug Enforcement 
Administration (DEA) counternarcotics operations in Colombia 
and Afghanistan.

Police training

    The Committee recognizes that the United States plays an 
important role in training and professionalizing foreign police 
around the world. United States training promotes high quality, 
standardized civilian police, justice sector and corrections 
training in operating procedures, code of conduct, ethics 
standards, and human and civil rights. The Committee notes that 
such training is critical to eliminating the mistreatment and 
violence that occurs to those in need of protection. 
Furthermore, the Committee is gravely concerned with the 
treatment of women and girls and urges the Department of State 
to focus training on how to prevent and respond to gender-based 
violence against women and girls. The Committee directs the 
Secretary of State to report to the Committees on 
Appropriations not later than March 1, 2008 on efforts to 
provide United States assistance to foreign police to address 
gender-based violence. This report should include: (1) an 
overview of all the Department's efforts to develop and provide 
such assistance to foreign police on gender-based violence; (2) 
information on the curriculum/training developed to provide or 
incorporate into said assistance; (3) the specific types of 
United States assistance provided to foreign police forces; (4) 
the number of countries/security forces that have received 
training and the cost of these trainings; and (5) the 
challenges encountered in pursuing this policy.

Program development and support (PD&S)

    The Committee recommendation includes up to $15,000,000 for 
PD&S, which is $4,550,000 below the request. The reduction is 
commensurate with the overall reduction to the INCLE account. 
Further the Committee is concerned that the Department of State 
has not provided an overall accounting of PD&S for all 
activities and directs the Department of State not later than 
45 days after enactment of this Act to provide a report on all 
PD&S for fiscal years 2006, 2007 and 2008. This report shall 
include a detailed listing of activities associated with the 
expenditure of such funds and any possible overlap of resources 
from other accounts such as the Andean Counterdrug Initiative 
and supplemental funding.

Trafficking in persons (TIP)

    The Committee recommendation includes $6,000,000 in INCLE 
funding for activities to prevent trafficking in persons (TIP), 
which is $1,050,000 above the request.

                                 Africa

    The Committee recommendation includes $33,730,000 in INCLE 
funding for the Africa region, which is $450,000 below the 
request.

Democratic Republic of Congo

    The Committee recommendation includes $1,500,000 in INCLE 
funding for the Democratic Republic of Congo, which is $250,000 
below the request.

Ghana

    The Committee recommendation includes $300,000 in INCLE 
funding for Ghana, which is $200,000 below the request.

                           Western Hemisphere

    The Committee recommendation includes $71,535,000 in INCLE 
funding for the Western Hemisphere region, which is $21,005,000 
above the request. The Committee is concerned that the 
Administration continues to pledge help to our neighbors in the 
Americas, but the budget request fails to reflect these 
pledges. The Committee notes that assistance as a whole to the 
region has decreased by 8.9 percent in the request. The 
Committee is concerned that this downward funding trend will be 
seen as the underlying precept of President Bush's ``revolution 
in expectations.'' The Committee is dedicated to fundamentally 
transforming the security agenda of the Americas. The funding 
provided in the INCLE account is a vital tool in confronting 
nontraditional, multidimensional threats to security and 
prosperity such as organized crime, terrorism and gang/drug 
related activities. The Committee is gravely concerned that the 
Administration's request is a retrenchment of United States 
diplomatic efforts and will inevitably cause a lessening of our 
political and commercial engagement in the region. The 
Committee understands the need to secure and strengthen our 
relationship with the region and therefore has increased the 
funding levels in the INCLE account for this region by 11 
percent over the fiscal year 2006 level.

Colombia

    The Committee recommendation is part of a bill wide 
strategy to restructure the way the United States provides 
assistance to Colombia. The Committee has redistributed 
assistance to help the Colombian government focus on justice 
and rule of law as well as address the underlying and pervasive 
poverty that is the root of many of the problems in Colombia as 
well as the region.
    The recommendation moves Rule of Law programs (except 
funding for judicial reforms) from the Andean Counterdrug 
Initiative (ACI) account to the INCLE account. The bill 
provides $22,250,000 for Rule of Law programs in Colombia. 
Without funding for judicial reform which is funded within the 
Economic Support Fund (ESF) account, this appears to be a small 
increase of $407,000 from the fiscal year 2008 budget request. 
However, when human rights activities and judicial reform 
programs in Colombia funded in ESF are included, the Committee 
has funded rule of law programs for Colombia at a total level 
of $38,750,000, which is $10,907,000 above the request.

Mexico

    The Committee recommendation includes $27,500,000 for 
programs in Mexico, which is $316,000 below the request.
    The Committee remains concerned about increasing 
instability along the Texas/Mexico border, including illegal 
trafficking of drugs, arms, cash, and people. The Committee 
continues to monitor reports that members of drug cartels have 
crossed the border wearing Mexican military uniforms and 
carrying and firing assault weapons. The Committee requests 
that the Department of State consult with the Committee on the 
use of funds made available for Mexico under ``INCLE'' to 
ensure such funds are used only to support the fight against 
human, drug, and weapon smuggling. The Committee directs the 
Department of State to work with the Department of Homeland 
Security to obtain reports of investigations into incursions 
and to make those available to the Committee.

Violence against women in Mexico

    The Committee is concerned about violence against women in 
Mexico. The Committee encourages the Department of State to 
support ongoing efforts to identify unknown women murder 
victims in Ciudad Juarez and Chihuahua, Mexico through forensic 
analysis, including DNA testing, conducted by independent, 
impartial experts already working in the state who are 
sensitive to the special needs and concerns of the victims' 
families, as well as support for efforts to encourage families 
from Chihuahua and other Mexican states who have women or girls 
missing in their families to report these cases to the Attorney 
General's office of Chihuahua and the federal Special 
Prosecutor's Office for violent crimes against women. 

Dominican Republic

    The Committee recommendation includes $1,000,000 in INCLE 
funding for the Dominican Republic, which is $150,000 below the 
request.

Bolivia

    The Committee recommendation includes $500,000 in INCLE 
funding for Bolivia, which is $100,000 below the request.

Haiti

    The Committee is encouraged that the political situation in 
Haiti seems to have stabilized, and gang violence seems to have 
decreased. Yet the Committee is gravely concerned that Haiti 
has become a major transshipment point for drugs that are 
shipped from Colombia via Venezuela. Additionally, Haiti does 
not seem to be any more economically viable as a result of 
hundreds of millions of dollars in aid it has received from the 
United States and other nations.

Guatemala

    The Committee recommendation includes $4,000,000 in INCLE 
funding for Guatemala, which is $1,320,000 below the request.

Jamaica

    The Committee recommendation includes $1,000,000 in INCLE 
funding for Jamaica, which is $9,000 below the request.

Western hemisphere regional

    The Committee recommendation includes $1,000,000 in INCLE 
funding for the western hemisphere regional, which is 
$1,000,000 above the request.

Eastern Caribbean

    The Committee recommendation includes $250,000 in INCLE 
funding for the eastern Caribbean, which is $250,000 below the 
request.

South and Central Asia

    The Committee recommendation includes $307,850,000 in INCLE 
funding for the South and Central Asia region, which is 
$3,900,000 below the request.

Afghanistan

    The Committee recommendation includes $274,800,000 for 
counternarcotics programs in Afghanistan, which is the same as 
the request. The Committee fully supports the program.
    The Committee includes a limitation on the use of funds for 
aerial eradication through the spraying of herbicides.
    The Committee directs the Secretary of State to report to 
the Committees on Appropriations not later than 45 days from 
the date of enactment of this Act on the extradition status of 
Afghan drug kingpins and narco terrorists, the destruction of 
Afghan heroin laboratories, local Afghan prosecutions of 
heroin-related crimes, and illegal border crossings by foreign 
nationals from Pakistan into Afghanistan.

Bangladesh

    The Committee recommendation includes $1,000,000 in INCLE 
funding for the Bangladesh, which is $500,000 below the 
request.

India

    The Committee recommendation includes $2,000,000 in INCLE 
funding for India, which is $1,600,000 above the request. The 
Committee remains supportive of efforts to assist law 
enforcement agencies within the Government of India with 
respect to disaster management and response, access to justice 
for women, and trafficking of persons. The Committee continues 
to urge the Administrator of USAID to seek authority to support 
such programs if such authority does not currently exist.

Pakistan

    The Committee recommendation includes $27,000,000 in INCLE 
funding for Pakistan, which is $5,000,000 below the request.

                               Near East

    The Committee recommendation includes $11,800,000 in INCLE 
funding for the Near East region, which is $76,500,000 below 
the request.

Jordan

    The Committee recommendation includes $2,500,000 in INCLE 
funding for Jordan, which is $1,000,000 above the request. The 
Committee commends the efforts of the Kingdom of Jordan in 
police training and supporting United States efforts in Iraq. 
The Committee notes that Jordan is an essential and unwavering 
partner and ally of the United States.

Iraq

    The Committee recommendation does not include funding for 
Iraq.

United Arab Emirates

    The Committee recommendation includes $400,000 in INCLE 
funding for the United Arab Emirates (UAE), which is $100,000 
above the request.

Lebanon

    The Committee recommendation does not include funding for 
Lebanon. The Committee strongly supports the Government of 
Lebanon, but notes that the fiscal year 2007 Supplemental 
Appropriations Act (Public Law 110-28) included $60,000,000 in 
INCLE funding for similar activities.

                       East Asia and the Pacific

    The Committee recommendation includes $13,960,000 in INCLE 
funding for the East Asia and the Pacific region, which is 
$4,280,000 below the request. The Committee does not include 
funding for Thailand as they are subject to section 608 
Military Coup restrictions.

Cambodia

    The Committee recommendation includes $100,000 in INCLE 
funding for Cambodia, which is $100,000 below the request.

Indonesia

    The Committee recommendation includes $8,000,000 in INCLE 
funding for Indonesia, which is $2,050,000 below the request.

Laos

    The Committee recommendation includes $1,000,000 in INCLE 
funding for Laos, which is $580,000 below the request.

Malaysia

    The Committee recommendation includes $400,000 in INCLE 
funding for Malaysia, which is $400,000 below the request.

Mongolia

    The Committee recommendation includes $350,000 in INCLE 
funding for Mongolia, which is $320,000 below the request.

Philippines

    The Committee recommendation includes $2,000,000 in INCLE 
funding for the Philippines, which is $850,000 above the 
request.

Vietnam

    The Committee recommendation includes $100,000 in INCLE 
funding for Vietnam, which is $100,000 below the request.

East Asia and Pacific Regional

    The Committee recommendation includes $1,000,000 in INCLE 
funding for the East Asia and Pacific region, which is $720,000 
above the request.

                     ANDEAN COUNTERDRUG INITIATIVE
 Fiscal year 2007 enacted level........................      $721,500,000
Fiscal year 2008 request..............................       442,812,000
Committee recommendation..............................       312,460,000
    Change from request...............................      -130,352,000
    Change from enacted level.........................      -409,040,000

    The Committee recommendation includes $312,460,000 for the 
Andean Counterdrug Initiative, which is $130,352,000 below the 
request.
    The Andean Counterdrug Initiative account is the 
continuation of an initial three-year counterdrug assistance 
effort, which has primarily funded United States assistance to 
Colombia and to a lesser extend other regional follow-on 
activities since 2000. This assistance is part of an ongoing, 
comprehensive, regional effort to stem the flow of drugs from 
the Andes into the United States and to support regional 
stability. At first glance, the amount provided in this account 
for fiscal year 2008 would appear to be a cut of approximately 
29 percent. In reality this is not the case, as the Committee 
has not reduced its commitment to the Andean Region, but rather 
has redistributed assistance in a number of ways. For example, 
in fiscal year 2008 the funds to support economic development, 
alternative development programs and democratic institution 
building efforts in the countries of Latin America, including: 
Colombia, Peru, Bolivia, Ecuador, Brazil, Venezuela, and Panama 
will be funded under the International Narcotics Control and 
Law Enforcement (INCLE) and Economic Support Fund (ESF) 
accounts instead of from this account; if these funds were 
added back to the ACI account, the overall cut would be less 
than 5 percent.
    The Committee has embraced and enhanced the restructuring 
of the ACI account as proposed by the Administration in the 
fiscal year 2008 request in order to begin ``normalizing'' our 
relationship with Colombia and the other countries of the 
region. To begin this ``normalization'', the Committee has 
moved $79,000,000 from the ACI account to the ESF account. This 
is in addition to the $192,500,000 carried within the budget 
request for a total of $271,500,000 in ESF of funds formerly 
funded within the ACI account. The Committee has also 
transferred $22,250,000 of funding out of the ACI account for 
rule of law activities and moved these funds to the INCLE 
account. The Committee notes that this is a total of 
$293,750,000 of funding that was previously funded within the 
ACI account.
    The Committee continues the requirement in the bill that 
USAID provide to the Committees on Appropriations not later 
than 45 days after the date of the enactment of this Act and 
prior to the initial obligation of funds appropriated under 
this heading, a report on the proposed uses of all funds under 
this heading on a country-by-country basis for each proposed 
program, project, or activity.
    The Committee requests that USAID submit to the Committees 
on Appropriations a semi-annual report with respect to the 
Andean Counterdrug Initiative, including those funds for 
Colombia in ESF and INCLE. Each report shall include an 
accounting of all aircraft, vehicles, boats and lethal 
equipment (other than ammunition) transferred to the militaries 
or police of any nation with funds made available under this 
heading. Additionally, the Committee requires that the 
personnel cap and Plan Colombian reports as required in the 
fiscal year 2000 emergency supplemental also be submitted to 
the Committees on the Appropriations.
    A limitation of $17,000,000 is recommended for 
administrative expenses for the Department of State and 
$7,800,000 for USAID.

Funding by Country and Activity

    From funds appropriated under this heading, the Committee 
directs the following amounts for each activity by country:

                      ANDEAN COUNTERDRUG INITIATIVE
                            [$ in thousands]
------------------------------------------------------------------------
                                                FY 2008      Committee
                                                request   recommendation
------------------------------------------------------------------------
Bolivia:
    Bolivia--Alternative Development/           [17,000]           \1\
     Institution Building....................
    Bolivia--Interdiction....................     30,000        30,000
    Subtotal--Bolivia........................     30,000        30,000
Colombia:
    Colombia--Alternative Development/         [139,500]           \1\
     Institution Building....................
    Colombia--Interdiction...................    366,968       236,616
    Subtotal--Colombia.......................    366,968       236,616
Ecuador:
    Ecuador--Alternative Development/            [6,000]           \1\
     Institution Building....................
    Ecuador--Interdiction....................      7,000         7,000
    Subtotal--Ecuador........................      7,000         7,000
Peru:
    Peru--Alternative Development/Institution   [30,000]           \1\
     Building................................
    Peru--Interdiction.......................     36,844        36,844
    Subtotal--Peru...........................     36,844        36,844
Brazil.......................................      1,000         1,000
Panama.......................................      1,000         1,000
Critical Flight Safety Program...............   [50,000]  \2\ [39,300]
Administrative Expenses......................   [17,000]      [17,000]
Total moved to ESF...........................    192,500       271,500
Total with ESF transfer......................    442,812      312,460
------------------------------------------------------------------------
\1\ Funded within ESF.
\2\ Funded within Colombia allocation.

Colombia

    Since fiscal year 2000, funding for Colombia provided by 
this Committee totals more than $4,300,000,000. Approximately 
76 percent of that amount--$3,300,000,000, over one million 
dollars per day for the past seven years--has gone to the 
Colombian security forces. The Committee observes that the 
President's fiscal year 2008 budget summary for the National 
Drug Control Strategy indicates that the primary mission for 
the Department of State's Bureau of International Narcotics and 
Law Enforcement Affairs (INL) is to reduce the entry of illegal 
drugs into the United States, yet the Committee is disappointed 
to note that since the beginning of Plan Colombia in 2000 the 
amount of hectares of coca cultivated in Colombia has gone up, 
not down and the area involved in illicit drug production has 
increased by over 42 percent. Furthermore, the Committee 
observes that the Justice Department's 2007 National Drug 
Threat Assessment stated that there have been no sustained 
cocaine shortages or indications of stretched supplies in the 
United States. An analysis performed for the Office of National 
Drug Control Policy (ONDCP) by the RAND Corporation states that 
the cocaine supply and availability remains robust. This fact 
is reinforced by estimates of cocaine's low retail-level price 
and high level of product purity within the United States. The 
Committee is concerned that the perennial goal of reducing 
Colombia's cultivation, processing and distribution to restrict 
supplies enough to drive up prices and diminish purity has not 
worked and the drug economy continues to grow--further 
weakening the fabric of Colombian society. The Committee notes 
that this is now year eight of an ever more evolving multi-year 
plan. This program is not working and the Administration's 
fiscal year 2008 request for Colombia is virtually identical to 
previous requests, which contradicts assurances that the 
Administration has provided to Congress over the years that the 
social component to Colombian aid would be significantly 
increased and that gradual ``Colombianization'' of the program 
would take effect.
    The Committee recommendation includes $236,616,000 for 
counterdrug activities for Colombia, which is $130,352,000 
below the request. The Committee acknowledges that Colombia is 
a vital partner and ally of the United States. The Committee 
recognizes the strategic importance of Colombia, and therefore 
the Committee has taken the significant step to restructure the 
way it provides assistance to Colombia, for a number of 
reasons; specifically the Committee believes that there must be 
a concerted effort to attack the underlying and pervasive 
poverty that is the root of the problems in Colombia as well as 
the region.
    The Committee would be remiss if it did not acknowledge the 
successes in Colombia and the measurable improvements that have 
resulted in the everyday lives of the Colombian people. 
Clearly, Colombia has made remarkable progress. The Committee 
believes it is time to fund assistance to Colombia through the 
same mechanisms used to fund other strategic partners. In a 
budget sense, that means providing funding for some of the 
activities, carried out by Plan Colombia, in the ESF and INCLE 
accounts. It is from these two accounts that the other United 
States strategic partners receive funding for similar 
activities. Of the funds transferred $218,500,000 will be 
funded under ESF and $22,250,000 will be funded under INCLE. 
The Committee observes that in total, Colombia will receive 
$530,608,000, which is $59,102,000 below the request, for 
activities once funded solely in the ACI account.
    It is important, however, to note that the Committee 
continues to provide significant funding for Colombia through 
this account. The Committee provides, through the ACI account, 
a total of $236,616,000 for Colombia, of which $229,016,000 is 
for Interdiction and Eradication activities. This is 
$130,352,000 below the request. The Committee believes that it 
is important to maintain our efforts on this front. In 
addition, the Committee provides, within the ACI account, 
$39,300,000 for the Critical Flight Safety Program, which is a 
commensurate reduction to the package of assistance. The 
Committee directs the Secretary of State, in consultation with 
the Secretary of Defense, to report to the Committees on 
Appropriations no later than 60 days after enactment of this 
Act on the future, multiyear strategy of the United States 
assistance program to Colombia. The strategy should include all 
aspects of current and future United States assistance. In 
addition, the Committee directs the Director of Foreign 
Assistance to carefully review all Colombian activities to 
determine the most appropriate appropriation account for 
funding. Specifically, the fiscal year 2009 Congressional 
Budget Justification should provide, as appropriate, funding 
for Alternative Development in the ``Development Assistance'' 
and the ``Economic Support Fund'' accounts and, as appropriate, 
funding for Interdiction/Eradication in the ``Foreign Military 
Financing'' or the ``International Narcotics Control and Law 
Enforcement'' accounts.
    The Committee continues to have grave concerns with the 
current aid package that emphasizes hard-side assistance over 
development assistance. The Committee remains concerned about 
the Administration's follow up program. The Committee's funding 
plan emphasizes a more balanced strategy shifting aid from the 
military and strengthening civilian governance, humanitarian 
assistance and rural development. The Committee also intends to 
initiate a plan to transition more of the military operations 
from the United States responsibility to the Colombian 
Government. The Committee expects a follow up strategy on steps 
to normalize funding for Colombia, similar to the approach used 
in this bill, which leads towards an eventual 
``nationalization'' of the Colombian program. Within the 
funding provided in this bill the Committee intends to:
         Realign the funding from a 76 percent 
        (military/police aid)--24 percent (alternative 
        development) closer to a 55 percent (military/police 
        aid)--45 percent (alternative development) split.
         Increase aid to strengthen the justice sector, 
        providing more prosecutors and training for the 
        Fiscalia and the Attorney General's office.
         Increase the social component of aid to 
        Colombia. Begin a gradual-managed ``Colombianization'' 
        of the military package. Transition away from United 
        States military operations to the government of 
        Colombia, with a greater emphasis on interdiction 
        rather than eradication.

Colombia/Human rights

    The Committee is aware of reports alleging that the head of 
Colombia's army collaborated extensively with militias that the 
Department of State considers terrorist organizations, 
including a militia headed by one of the country's leading drug 
traffickers. The Committee is concerned about allegations that 
the Uribe government may be implicated in links between 
militias and top military, police and ministry officials and 
directs the Secretary of State to report to the Committees on 
Appropriations not later than 45 days from enactment of this 
Act on the veracity of such allegations. Understanding the 
contents of such a report may include sensitive or classified 
information, the Department of State may submit the report to 
the Committee in the form of a classified report.

Peru

    The Committee directs that not less than $36,844,000 from 
funds under this heading shall be available for Peru. The 
Committee continues to believe that there is a very real danger 
of increased coca production and of drug trafficking through 
Peru through the so called ``balloon effect'' which can be seen 
in the increased number of hectares of coca production in Peru.
    The most recent United States Government estimates are that 
there are 38,000 hectares of coca cultivation in Peru, 
including 4,000 hectares in new areas. There are reports that 
the coca farmers are becoming more violent and better organized 
and that terrorist organizations have openly identified with 
the coca growers. Of the funds provided for Peru in this 
account, $33,044,000 shall be available for Interdiction/
Eradication. The Committee notes that $30,000,000 is provided 
for Alternative Development/Institution Building from within 
the ESF account. The Committee directs that not less than the 
amount provided in fiscal year 2006 in funding for Demand 
Reduction programs, previously funding with ACI funds, shall be 
available for programs in Peru within the INCLE account.
    The Committee urges USAID to consider extending its 
agreement with The Field Museum of Chicago on the Cordillera 
Azul National Park project in central Peru after the original 
agreement period ends in 2007. The Committee understands that 
this alternative community development and conservation 
education project has already demonstrated effective use of ACI 
funds to prevent coca cultivation and urges USAID to consider 
entering into similar agreements elsewhere in the region.

Human rights

    The Committee calls on the Department of State to ensure 
that all United States laws regarding human rights, including 
section 651 of this Act, are strictly applied in Colombia and 
each of the Andean nations. The Committee includes a general 
provision, modified from previous years, requiring that the 
Secretary of State certify that certain human rights conditions 
have been met before 35 percent of funds may be made available 
for assistance for the Colombian Armed Forces.

                    Migration and Refugee Assistance

 Fiscal year 2007 enacted level........................      $833,033,000
Fiscal year 2008 request..............................       773,500,000
Committee recommendation..............................       829,900,000
    Change from request...............................        56,400,000
    Change from enacted level.........................        -3,133,000

    The Committee recommends a total of $829,900,000 for 
Migration and Refugee Assistance, $3,133,000 below the fiscal 
year 2007 level, excluding emergency supplemental 
appropriations and $56,400,000 above the request. A limitation 
of $22,500,000 is recommended for administrative expenses. The 
Committee notes that the fiscal year 2007 Supplemental 
appropriations Act (Public Law 110-28) included $130,500,000 
for this account which is available for obligation through 
fiscal year 2008. The Committee will continue to monitor the 
availability of these no-year funds to ensure there is adequate 
funding for these essential humanitarian assistance activities.

GAO Review of Cash Assistance Programs

    The Committee provides up to $2,000,000 to the U.S. 
Government Accountability Office (GAO) for a comprehensive 
review of all Cash Assistance and Emergency Cash Assistance 
programs operated by the United Nations Relief and Works 
Agency. The Committee directs the GAO to report to the 
Committees on Appropriations no later than eight months after 
enactment of this Act on whether any refugee who is receiving 
military training as a member of the so-called Palestine 
Liberation Army or any other guerilla type organization or who 
has engaged in any act of terrorism has received payments from 
the UNRWA Cash Assistance or Emergency Cash Assistance 
programs; whether UNRWA has control mechanisms in place to 
prevent such payments; and whether it is possible to certify 
UNRWA's compliance with section 301(c) of the Foreign 
Assistance Act.

Migration to Israel

    The Committee's recommendation includes not less than 
$40,000,000 for refugees from the former Soviet Union and 
Eastern Europe and other refugees resettling in Israel.

Tibetan refugees

    The Committee recommends not less than $2,500,000 from this 
account for Tibetan refugees in Nepal and India. The Committee 
remains concerned about the situation of Tibetan refugees 
transiting through Nepal to resettlement in India, and in 
particular the decision by Nepal to bar the reopening of the 
Tibetan-run offices in Kathmandu that provide vital services to 
refugees. In light of recent events in Nepal, the Committee 
expects that the Government of Nepal will fulfill its 
commitment to provide safe passage to Tibetans fleeing 
repression in their homeland, and respect the rights of the 
legally resident Tibetan refugee community that lives in Nepal.

Gender-based violence

    Sexual exploitation and violence against women and girls is 
an ongoing problem among internally displaced and refugee 
populations. The Committee notes that despite stated Committee 
intent, the Department of State did not scale up resources and 
target funding for programs to address these issues in fiscal 
year 2006. The Committee urges the Department to prioritize 
funding to address these critical issues. The Committee directs 
the Department to provide a report within 120 days of enactment 
of this Act on United States Government funding from this 
account during fiscal year 2006 and 2007 for programs that 
target gender-based violence.

Unaccompanied refugee minors

    The Committee is concerned by the dearth of referrals for 
refugee processing of unaccompanied minors, including orphans 
and children who are developmentally disabled and who 
ultimately spend their childhoods in refugee camps at risk of 
harm and without any available parent or guardian to care for 
them. The Committee urges the Bureau of Population, Refugees, 
and Migration to work with experienced refugee resettlement 
agencies, the Department of Homeland Security, and the Office 
of the UN High Commissioner for Refugees on a strategy to 
appropriately prioritize screening and identify vulnerable 
unaccompanied refugee minors for expeditious resettlement to 
the United States.

Western Sahara

    The Committee understands that the United Nations Security 
Council extended the UN peacekeeping mission in the Western 
Sahara for six months on April 30th, 2007 and called upon 
Member States to consider funding confidence building measures 
permitting increased contact between those who have been 
separated from their families. The Committee encourages the 
Department to give careful consideration to this request.

     United States Emergency Refugee and Migration Assistance Fund

 Fiscal year 2007 enacted level........................       $55,000,000
Fiscal year 2008 request..............................        55,000,000
Committee recommendation..............................        45,000,000
    Change from request...............................       -10,000,000
    Change from enacted level.........................       -10,000,000

    The Committee recommends $45,000,000 for the Emergency 
Refugee and Migration Assistance Fund, which is $10,000,000 
below both the fiscal year 2007 level, excluding emergency 
supplemental appropriations and the request. The Committee 
notes that the fiscal year 2007 Supplemental Appropriations Act 
(Public Law 110-28) included an additional $55,000,000 for this 
account in fiscal year 2007. The Committee will continue to 
monitor the availability of these no-year funds to ensure there 
is adequate reserve in this emergency account.
    The Committee recommendation does not include the language 
requested in the budget to override the $100,000,000 cumulative 
limit on this account in the Migration and Refugee Assistance 
Act of 1962.

    Nonproliferation, Anti-Terrorism, Demining and Related Programs

 Fiscal year 2007 enacted level........................      $405,999,000
Fiscal year 2008 request..............................       464,000,000
Committee recommendation..............................       467,000,000
  Change from request.................................         3,000,000
  Change from enacted level...........................        61,001,000

    The Committee recommendation includes $467,000,000 for 
Nonproliferation, Anti-terrorism, Demining and Related Programs 
(NADR), which is $3,000,000 above the fiscal year 2007 level, 
excluding emergency supplemental appropriations and $61,000,000 
above the request.
    The following table compares the President's fiscal year 
2008 request and the Committee recommendation:

                            [$ in thousands]
------------------------------------------------------------------------
                                                FY 2008      Committee
                   Programs                     request   recommendation
------------------------------------------------------------------------
Nonproliferation Programs:
    Nonproliferation and Disarmament Fund....    $30,000       $38,000
    Export Control and Related Border             41,270        41,270
     Security Assistance.....................
    Global Threat Reduction (formerly NWMDE).     53,500        53,500
    IAEA Voluntary Contribution..............     50,000        50,000
    CTBT International Monitoring System.....     18,000        10,000
Subtotal--Nonproliferation Programs..........    192,770       192,770
Anti-Terrorism Programs:
    Anti-terrorism Assistance................    124,311       124,311
    Terrorist Interdiction Program...........     18,345        18,345
    CT Engagement with Allies................      1,000         1,000
    Counterterrorism Financing...............      6,368         6,368
Subtotal--Anti-Terrorism Programs............    150,024       150,024
Regional Stability & Humanitarian Assistance:
    Humanitarian Demining Program............     66,485        66,485
    International Trust Fund.................     10,000        13,000
    Small Arms/Light Weapons Destruction.....     44,721        44,721
Subtotal--Regional Stability & Humanitarian      121,206       124,206
 Assistance..................................
Total........................................    464,000       467,000
------------------------------------------------------------------------

Inter-agency cooperation on nonproliferation activities

    The President has requested $192,770,000 under this account 
for fiscal year 2008 non-proliferation activities. The 
Committee recognizes the Department of Energy's lead role in 
the prioritization of resources and considers the non-
proliferation programs of the Departments of State, Energy, 
Defense, and Homeland Security critical components of 
protecting the United States and supporting international 
security.
    The Committee is particularly concerned that the United 
States government invests strategically to secure material of 
special concern. The Committee requests a report, not later 
than 60 days following enactment of this Act, describing the 
joint non-proliferation activities of the Department of State 
with its partner agencies and international organizations, 
including a detailed description and assessment of past and 
ongoing efforts to catalogue special nuclear, chemical, and 
biological material. This report shall be classified at an 
appropriate level.

Counterterrorism financing

    The Committee recognizes that Counterterrorism Financing is 
a valuable asset in assisting foreign countries' efforts to 
identify, freeze, and prevent the use of financial 
institutions, businesses, and charitable organizations as 
conduits for money to terrorist organizations, including giving 
countries an investigative ability to follow the money trail 
and arrest terrorists preemptively.
    The Committee continues to support the work of the 
Department of State, the Department of Justice and the 
Department of Treasury in assisting countries who are at risk 
to terrorist financing. However, overall budgetary constraints 
did not provide sufficient opportunity for the Committee to 
increase the funding level.

International trust fund

    The Committee recommends $13,000,000 for the International 
Trust Fund, which is $3,000,000 above the request. The 
Committee recognizes the significance of the assistance 
provided by the Trust Fund for assistance to victims.

Small arms/light weapons destruction--manpads

    The Committee strongly supports the Small Arms/Light 
Weapons Destruction program for its clear and effective results 
in aiding participants in the elimination of grenades, guns, 
and man-portable air defense systems (MANPADS). Already, the 
program has destroyed more than 800,000 weapons, 80 million 
rounds of ammunition and 17,000 MANPADS. The Committee 
recommendation includes $44,721,000 for the program, which is 
the same as the request. This recommendation is based on the 
Committee's concern that the increase in the proliferation of 
small arms and light weapons by terrorists, criminals and human 
rights abusing governments contributes to an increase in 
violence and instability in conflict regions around the world, 
putting American security interests at risk. The Committee 
believes that the program has proven to be highly successful, 
thus requiring increased support and funding.

Voluntary contribution to the International Atomic Energy Agency (IAEA)

    The Committee recommends $50,000,000, which is the same as 
the request, for the International Atomic Energy Agency (IAEA). 
These funds are essential to assist in the development and 
implementation of safeguards and expanding nuclear safety 
activities.

                       DEPARTMENT OF THE TREASURY


               International Affairs Technical Assistance

 Fiscal year 2007 enacted level........................       $19,800,000
Fiscal year 2008 request..............................        24,800,000
Committee recommendation..............................        18,000,000
  Change from request.................................        -6,800,000
  Change from enacted level...........................        -1,800,000

    The Committee recommendation includes $18,000,000 for 
international technical assistance by the Department of the 
Treasury, which is $1,800,000 below the fiscal year 2007 level 
and $6,800,000 below the request. In operation since 1991, 
Treasury's Office of Technical Assistance (OTA) provides expert 
fiscal and monetary policy advisors to developing and in-
transition countries. The Committee notes that in any given 
year, requests for assistance and expertise provided by OTA far 
exceed either the budget request or the Committee's ability to 
fund. The Committee directs the Department to include more 
useful information in its future budget requests, including the 
countries, projects, project costs assumed in the request 
level, and an explanation of change from the prior year. The 
Committee directs the OTA to notify the Committee prior to the 
obligation of funds for the compensation or travel expenses of 
any individual who is not an employee of the Department of the 
Treasury.

                           Debt Restructuring

 Fiscal year 2007 enacted level........................       $64,350,000
Fiscal year 2008 request..............................       207,300,000
Committee recommendation..............................       200,300,000
    Change from request...............................        -7,000,000
    Change from enacted level.........................       135,950,000

    The Committee recommendation includes $200,300,000 for 
international debt restructuring by the Department of the 
Treasury, which is $135,950,000 above the fiscal year 2007 
level and $7,000,000 below the request. The Committee makes 
$20,000,000 under this heading available for the Tropical 
Forest Conservation Act (TFCA) programs and does not fund the 
enhanced HIPC initiative request. Funds in this account are 
subject to the regular notification procedures of the 
Committees on Appropriations.

                TROPICAL FOREST CONSERVATION ACT (TFCA)

    The Committee directs the Department to provide a report by 
December 15, 2007, on potential debt reduction/restructuring 
initiatives for any unallocated balances remaining at the end 
of fiscal year 2007. The Committee expects the Department of 
the Treasury to consult with the Committee 15 days prior to the 
Treasury determination that additional countries are found 
eligible for TFCA.

                     TITLE IV--MILITARY ASSISTANCE


                  FUNDS APPROPRIATED TO THE PRESIDENT


             International Military Education and Training

 Fiscal year 2007 enacted level........................       $85,877,000
Fiscal year 2008 request..............................        89,500,000
Committee recommendation..............................        85,076,000
    Change from request...............................        -4,424,000
    Change from enacted level.........................          -801,000

    The Committee recommends $85,076,000 for the International 
Military Education and Training (IMET) program, which is 
$4,424,000 below the request.
    IMET is part of the overall United States security 
assistance program, and through it the United States Government 
provides training to predominantly military students from 
allied and friendly nations. The IMET program exposes students 
to the United States professional military establishment and 
the American way of life, including democratic values and rule 
of law, and respect for individual and human rights. In 1990, 
Congress directed the Department of Defense to establish a 
program within IMET--called Expanded-IMET or ``E-IMET''--
focused on training foreign civilian and military officials in 
three areas: managing and administering military establishments 
and budgets; creating and maintaining effective military 
judicial systems and military codes of conduct; and fostering 
greater respect for the principle of civilian control of the 
military.

Expanded International Military Education and Training

    The Committee recommends $175,000 in E-IMET assistance for 
Libya and $350,000 in E-IMET assistance for Angola.

Combined Military Training--Egypt and Israel

    The Committee notes that since 2000 Egypt has sent 4,082 
students to receive United States Military training and Israel 
has sent 1,726 to receive similar training. The Committee 
further notes that Egypt has had 151 students who have taken 
training that included Israeli students and Israel has had 120 
students who have taken training including Egyptian students. 
The Committee is encouraged by this noting that soldiers who 
train together are more likely to foster cooperation in future 
operations. The Committee urges the Department of State to 
establish a program to promote such joint training.

Western Hemisphere Institute for Security Cooperation

    The Committee has included a requirement that not later 
than 60 days after enactment of this Act, the Department of 
State submit a report addressing how the Western Hemisphere 
Institute for Security Cooperation program contributes to the 
promotion of human rights, respect for civilian authority and 
the rule of law, the establishment of legitimate judicial 
mechanisms for the military, and achieving the goal of right 
sizing military forces.

Guatemala

    The Committee recommendation includes $500,000 for regular 
IMET programs for Guatemala. The Committee has included 
language that provides training, other than E-IMET, only for 
the Guatemalan Air Force and Navy and also provides IMET 
training for the Guatemalan Army Corps of Engineers entirely 
for training to improve disaster response capabilities and to 
participate in international peacekeeping operations. The 
Committee notes that this assistance may only be provided if 
the Secretary of State certifies that the Guatemalan Air Force, 
Navy and Army Corps of Engineers are respecting human rights, 
and that civilian judicial authorities are investigating and 
prosecuting, with the military's cooperation, military 
personnel who have been implicated in gross violations of human 
rights.
    The Committee notes that providing regular IMET assistance 
for the Guatemalan Navy, Air Force and Army Corp of Engineers 
will provide the United States the ability to support the 
Government of Guatemala's efforts at defense reform, to control 
its borders against illicit drug trafficking, and to build its 
disaster response capability. Specifically, access to the full 
range of IMET courses, from professional military education to 
technical training, would help in the prevention of loss of 
military expertise due to attrition. The Committee is aware 
that the Guatemalan Air Force has received no technical 
training for 14 years. The Committee is concerned that the 
Government of Guatemala cannot maintain and field an effective 
force against narcotics trafficking and other illicit activity, 
or protect their borders without this training. IMET for the 
Guatemalan Navy is critical to enhancing its professional 
development, interdiction capability. Such training will 
strengthen the Guatemalan Navy's ability to counter narcotics 
trafficking along the riverine network, as well as along the 
Pacific and Atlantic coastlines that are increasingly heavy 
transit zones for drugs.
    The Committee continues to monitor the Guatemalan 
Government's implementation of military reforms guaranteed by 
the 1996 Peace Accords. The Committee notes that since the 
signing of the 1996 Peace Accords, the Guatemalan Army has made 
some progress in reduction of force size and reduction of the 
military budget. The Committee acknowledges efforts by the 
Guatemalan military to deemphasize the internal security 
mission that was part in parcel of its training, doctrine, and 
education.

Equatorial Guinea

    The Committee recommendation includes no funding for 
Equatorial Guinea.

Democratic Republic of Congo

    The Committee recommendation includes $300,000 for IMET 
programs for Democratic Republic of Congo (DROC), which is 
$200,000 below the request. The Committee understands that the 
Department is focusing on security sector reform and post-
conflict activities. The Committee supports these activities.

Kenya

    The Committee recommendation includes $350,000 for IMET 
programs for Kenya, which is $200,000 below the request. The 
Committee notes that this is the first year Kenya has not been 
subject to American Servicemembers' Protection Act (ASPA) 
restrictions and recommends a gradual increase in training 
activities.

Mozambique

    The Committee recommendation includes $250,000 for IMET 
programs for Mozambique, which is $50,000 below the request. 
The Committee supports efforts to promote coastal security in 
the southwest Indian Ocean region.

Mali

    The Committee recommendation includes $150,000 for IMET 
programs for Mali, which is $100,000 below the request. The 
Committee notes that this is the first year Mali has not been 
subject to American Servicemembers' Protection Act (ASPA) 
restrictions and recommends a gradual increase in training 
activities.

Sudan

    The Committee recommendation includes $300,000 for IMET 
programs for Sudan, which is the same as the request.

Tanzania

    The Committee recommendation includes $150,000 for IMET 
programs for Tanzania, which is $150,000 below the request.

Iraq

    The Committee recommendation does not include funding for 
Iraq IMET programs, which is $2,000,000 below the request.

Indonesia

    The Committee recommendation includes $974,000,000 for IMET 
programs for Indonesia, which is the same as the request.

Kyrgyz Republic

    The Committee recommendation includes $1,100,000 for IMET 
programs for the Kyrgyz Republic, which is $100,000 below the 
request.

Argentina

    The Committee notes that although Argentina is subject to 
Brooke sanctions and unable to receive other military 
assistance, section 638(b) of the Foreign Assistance Act 
provides authority for training activities. Therefore, the 
Committee recommendation includes $947,000 for Argentina IMET 
programs, which is the same as the request.
    The Committee is aware that the Government of Argentina has 
not implemented Federal Court orders including two default 
judgments and daily sanctions rendered by the United States 
District Court of Northern Illinois. Should the Government of 
Argentina fail to comply with these court orders in a timely 
fashion, the Department of State, in consultation with the 
Department of Defense, should withhold funds provided for 
Argentina's IMET program.

East Timor

    The Committee recommendation includes $400,000 for IMET 
programs for East Timor, which is the same as the request.

Bulgaria

    The Committee recommendation includes $1,500,000 for IMET 
programs for Bulgaria, which is $200,000 below the request.

Armenia and Azerbaijan

    The Committee recommendation includes IMET assistance 
levels of $500,000 for each of the countries of Armenia and 
Azerbaijan.

Fiji and Thailand

    The Committee recommends no IMET assistance for each of the 
countries of Fiji and Thailand due to section 608 Military Coup 
restrictions. Should the President determine and certify to the 
Committees on Appropriations that a democratically elected 
government has taken office, the Committee will entertain a 
reprogramming of funds.

International training programs

    The Committee understands that IMET assistance provides 
grants for military education and training to military and 
civilian students from foreign countries to help these 
countries move toward self-sufficiency in defending themselves. 
The Committee appreciates that in addition to providing 
training this program is intended to also expose foreign 
students to American democratic values, particularly military 
respect for civilian control of the military and the government 
and for internationally recognized standards of individual and 
human rights. With this in mind, the Committee is gravely 
concerned that there may be a significant overlap and 
duplication of efforts between the Department of State and the 
Department of Defense in the conduct of training the military 
of foreign nations. The Committee is concerned that the 
Counterterrorism Fellowship Program (CTFP) security cooperation 
program is in fact being used to circumvent Congressionally 
mandated restrictions with regard to human rights. The 
Committee directs the Department of State to produce a report 
on the differences between IMET and CTFP. In development of the 
report the Secretary of State shall collaborate with the 
Secretary of Defense and the Office of Management and Budget.

                   Foreign Military Financing Program

 Fiscal year 2007 enacted level........................    $4,550,800,000
Fiscal year 2008 request..............................     4,536,000,000
Committee recommendation..............................     4,509,236,000
    Change from request...............................       -26,764,000
    Change from enacted level.........................       -41,564,000

    The Committee recommends $4,509,236,000 for the Foreign 
Military Financing Program, which is $41,564,000 below the 
fiscal year 2007 level and $26,764,000 below the request.
    The Foreign Military Financing (FMF) assistance program 
provides grants for the acquisition of United States defense 
equipment, services and training. The FMF program enables key 
allies and friendly nations to improve defensive capabilities, 
and fosters bilateral military relationships with the United 
States and interoperability with United States forces.

Unallocated flexibility fund

    The Committee believes that foreign policy decisions rest 
with the Secretary of State as the principal advisor to the 
President on international discourse and proceedings and that 
this authority should not be delegated or abdicated by the 
Department of State nor superseded by other departments or 
agencies within the Executive branch. The Committee is very 
concerned that the Department of State has relinquished the 
responsibility to provide continuous supervision and general 
direction of sales of military articles and the provision of 
services and training. The Committee notes that pursuant to 
sections 1 and 2 of Chapter 1 of the Arms Export Control Act 
(Public Law 90-629) it remains the policy of the United States 
to enter into international arrangements with friendly 
countries which further the foreign policy objectives of the 
United States to achieve specific national defense goals and 
objectives of mutual concern. The Committee notes that it is 
the Secretary of State's responsibility to ensure all such 
sales and training shall only be approved when it is consistent 
with the foreign policy interests of the United States, as 
embodied in the Foreign Assistance Act of 1961, and to the 
extent the military requirement necessitates and the economic 
and financial capability of the recipient country allows--with 
particular regard being given to the proper balance among 
military assistance and economic assistance, particularly as to 
the impact the military assistance will have on programs of 
social and economic development in the recipient country. The 
Committee further notes the law states that under the direction 
of the President, the Secretary of State, taking into account 
other activities abroad, such as military operations, food and 
economic assistance, shall be responsible for the general 
direction of sales, leases, financing, cooperative projects, 
and exports, including determining whether there will be a sale 
to, or financing for, a country and the amount and scope 
thereof and whether such activities can and will be integrated 
with other United States actions which best serve the foreign 
policy of the United States. With this in mind, the Committee 
is concerned that the Department of Defense is seeking to make 
permanent and expand to other countries some security and 
foreign assistance programs know as ``Section 1206 authority'' 
which have traditionally been under the supervision of the 
Department of State and USAID under the pretext that ``speed 
and efficiency'' in training and equipping other countries 
provides the ability to keep pace with adversaries and act 
quickly when circumstances require change.
    The Committee does not dispute that a failure to act 
rapidly and early increases the risk to vital United States 
security interests and likely brings about a need for direct 
United States intervention, but the Committee notes that the 
Departments of State and Defense have vastly different 
missions, and although they are not mutually exclusive they 
cannot be substituted for, or replace one another. Therefore, 
the Committee has included a new provision within the FMF 
account to allow the Secretary of State the flexibility to 
respond quickly to emerging needs and seize foreign policy 
opportunities. This proposed new flexibility fund is intended 
to assist the Secretary of State to quickly and effectively 
respond to contingencies in foreign countries or regions 
providing resources that can be drawn upon immediately to 
address a range of needs including training, procurement and 
capacity building of a foreign country's national military 
forces to conduct, among other activities, counterterrorist 
operations or participate in or support military and stability 
operations.
    The Committee is therefore providing $5,000,000 of 
unallocated FMF which shall remain available until expended. 
The Committee intends that these funds should be coordinated 
through a joint Department of State and Department of Defense 
review. The Committee further directs that these funds shall 
not be used to replenish or backfill any funds that were 
specifically denied by the Committee. The Committee further 
expects that the Department of State will not prejudice the 
availability of these funds by pre-programming and use this new 
ability in the spirit it was provided. The Committee further 
expects that any use of these funds shall be subject to the 
regular notification procedures of the Committees on 
Appropriations.

Administrative expenses

    The Committee recommends $43,500,000 for FMF administrative 
expenses, of which $1,600,000, as requested, is for African 
Military Health Affairs and $41,900,000, as requested, is for 
DSCA administrative costs.

                          Near East Countries

    The Committee recommendation includes $3,934,736,000 for 
countries funded within the Near East region, which is $336,000 
above the request.

Israel

    The Committee recommends a total FMF program of not less 
than $2,400,000,000 in grants for Israel, which shall be 
available within 30 days of enactment of this Act. Of this 
amount, approximately $1,507,500,000 is for continuation and 
maintenance of ongoing acquisition programs, $892,500,000 is 
for potential new acquisition programs, and $631,200,000 is for 
off shore procurement of military equipment.
    This recommendation is the same as the request.
    The Committee remains committed to helping Israel maintain 
sovereignty and security. Therefore, the Committee is convinced 
that the United States must make every effort to carry out its 
long-standing policy of assisting our ally Israel to maintain 
its technological advantage.

Jordan

    The Committee recommends a total FMF program of 
$200,000,000 for Jordan, which is the same as the request.
    The Committee strongly supports the Administration's 
efforts to improve Jordanian security and to this end provided 
$45,000,000 in the fiscal year 2007 Supplemental Appropriations 
Act (Public Law 110-28). Under the leadership of King Abdullah, 
Jordan plays a critical role in supporting peace and security 
in the Middle East.
    The Committee is well aware that Jordan's security 
requirements are extensive, particularly in the areas of ground 
force modernization and border security. The Committee 
recommendation includes $73,000,000 to sustain equipment 
previously furnished and $127,000,000 for potential new 
programs in Jordan.

Egypt

    The Committee recommends a total FMF program of 
$1,300,000,000 for Egypt, which shall be transferred within 30 
days of enactment of this Act. Of this amount, $526,769,000 is 
for continuation and maintenance of ongoing acquisition 
programs and $773,231,000 is for potential new acquisition 
programs. This recommendation is the same as the request.
    The Committee notes that section 699 of the general 
provisions includes additional language with respect to 
conditionality of FMF funding. Additional explanatory language 
is included in description of section 699 in this report.
    The Committee is convinced that continued military 
cooperation between Egypt and the United States remains in the 
national security interests of both countries. However, the 
Committee believes that Egypt must initiate a significant 
modernization of its military structure to transform it to a 
modern, professional, and efficient military force. The 
Committee notes that United States military representatives 
from the United States Central Command (USCENTCOM) have been 
encouraging the Egyptian military to initiate programs designed 
to transform its military force but these programs have not yet 
been embraced by the Egyptians. The Committee strongly 
recommends that the Egyptian military work with the USCENTCOM 
to develop and implement programs that will lead to a more 
modern and professional Egyptian military. Furthermore, the 
Committee directs the Department of State, to include with the 
fiscal year 2009 budget request, a list of the projects 
included in the request for such transformational efforts.

Lebanon

    The Committee recommendation includes $7,000,000 in FMF 
program funds for Lebanon in FY 2008, which is $2,600,000 below 
the request. The Committee notes that the fiscal year 2007 
Supplemental Appropriations Act (Public Law 110-28) provided 
$220,000,000 for Lebanon. The Committee further notes that on 
May 24, 2007 the Under Secretary of Defense for Policy notified 
the Congress that $30,600,000 was being transferred under 
section 1206 authority for training and equipment.
    The Committee is encouraged that the United States is 
reaching out to the Lebanese government to assist with the 
purchase of spare parts, maintenance, and training for its 
military. However, the Committee is mindful that areas of the 
country, most particularly in the south, remain under the 
influence of both Syria and Iran. The Committee continues to 
direct the Departments of State and Defense to work closely 
together to ensure that the FMF or section 1206 programs for 
Lebanon supports equipment and training for the Lebanese 
military that will not support in any way terrorist groups that 
continue to operate in certain parts of the country and that no 
assistance from either supplemental funding or section 1206 is 
provided to or through any individual, or private or government 
entity, that advocates, plans, sponsors, engages in, or has 
engaged in, terrorist activity.
    The Committee notes that it is in the national security 
interests of the United States to achieve a variety of goals in 
Lebanon, including the disarmament of all militias in Lebanon 
and the extension of Lebanese sovereignty throughout the 
country. The Committee directs the Secretary of State, in 
consultation with the Secretary of Defense, to submit a report 
to the Committee on Appropriations no later than 45 days after 
enactment of this Act, on progress made on advancing these 
goals and protecting Lebanon's eastern border.

Tunisia

    The Committee recommendation includes a total FMF program 
for Tunisia of $5,000,000, which is $2,936,000 above the 
request. The Committee notes that the United States and Tunisia 
have enjoyed a longstanding relationship of cooperation and 
friendship based on shared values. Tunisia is an important ally 
of the United States and a valued partner in the global war on 
terror. The Committee supports Tunisia's efforts to transform 
their military and the increased emphasis Tunisia has placed on 
counter-terrorism and international peacekeeping. The Committee 
notes that the Tunisian army has actively joined in 
humanitarian relief efforts, participating in earthquake relief 
in India and Pakistan, as well as contributing in peacekeeping 
activities in Congo, Cambodia, Rwanda, Ethiopia and Eritrea.
    The Committee understands that the Tunisian armed forces 
are relying on outdated equipment which does not allow it to 
take full advantage of the joint military exercises conducted 
with the United States armed forces. The Committee would have 
liked to provide more resources, however overall budgetary 
constraints did not provide sufficient opportunity and 
encourages the State Department to allocate the additional 
resources to the highest priority cases.
    Further, the Committee wants to recognize that Tunisia has 
truly been a pioneer and visionary in establishing rights for 
women and the Committee commends these efforts.

                            Africa Countries

    The Committee recommendation includes $10,550,000 for 
countries funded within the Africa region, which is $1,750,000 
above the request. The recommendation provides full funding for 
all requested countries and $1,750,000 in regional funding.

                    South and Central Asia Countries

    The Committee recommendation includes $255,900,000 for 
countries funded within the South and Central Asia region, 
which is $50,000,000 below the request.

Pakistan

    The Committee recommends a total FMF program of 
$300,000,000 for Pakistan, which is the same as the request. 
The Committees notes that Pakistan has been an important ally 
of the United States in the War on Terrorism and this reduction 
is not a reflection of a lessening of the Committee's 
appreciation for Pakistan's support. While the Committee 
remains concerned about Pakistan's slow progress with regard to 
democracy reforms and human rights, the reduction to FMF 
programs is non-prejudicial and due to overall budgetary 
constraints. The Committee is gravely concerned that the 
Administration's management of the FMF program for Pakistan may 
be incurring future debt and commitments to which the Committee 
has not previously agreed.

                  East Asia and the Pacific Countries

    The Committee recommendation includes $23,575,000 for 
countries funded within the East Asia and the Pacific region, 
which is $7,700,000 below the request. The recommendation does 
not include funding requested for Fiji and Thailand, as both 
countries are under section 608 coup sanctions. These funds are 
appropriated within regional funding.

Philippines--Extrajudicial Activities

    The Committee recognizes the robust network of civil 
society organizations in the Philippines, which are critical to 
sustaining the country's tradition of advocacy and public 
debate. The Committee is highly concerned with reports of 
extrajudicial killings by the Armed Forces of the Philippines 
(AFP) and the Philippine National Police (PNP), noting reports 
of more than 800 extrajudicial killings since 2001. The 
Committee is deeply concerned with the effect these killings 
may be having on the work of civil society organizations. The 
Committee directs the Department of State to report to the 
Committees on Appropriations not later than 90 days after the 
enactment of this Act on the status of investigations into 
extrajudicial killings and gross violations of human rights by 
the AFP and PNP.

Indonesia

    The Committee recommends a total FMF program for Indonesia 
of $8,000,000, which is $7,700,000 below the request.
    The Committee provides that of the $8,000,000 recommended 
for Indonesia, not more than $6,000,000 may be available prior 
to the Secretary of State making the certification contained in 
section 682 of this Act.
    The Committee makes this recommendation mindful of 
continuing concern about the professionalism of the Indonesian 
military and strongly supports the efforts of the civilian 
authorities in Indonesia to promote the rule of law, including 
efforts to exert control over the Indonesian military forces 
(TNI). This funding in no way signals decreased concern about 
the poor human rights record of the Indonesian military forces 
and is intended only as a sign of measured support for the 
continuing efforts of the civilian Government of Indonesia.
    The government of Indonesia is a strategic ally of the 
United States, especially in the continuing Global War on 
Terror and these funds will be used to purchase such things as 
spare parts and communications equipment. The Committee is 
encouraged and supportive of the efforts of United States 
military representatives of the United States Pacific Command 
(USPACOM) to work with the Indonesian military to transform its 
structure into a modern, professional and efficient military 
force.
    In addition to the report required in sec. 687 of this Act, 
the Committee directs that not later than 90 days after 
enactment of this Act, the Secretary of State shall submit a 
report to the Committees on Appropriations that describes the 
following: the utilization of any United States supplied 
equipment to Indonesian security forces, including the 
military, police, and other security agencies and any 
connection to human rights violations since 2000; any 
connections between United States trained Indonesian 
individuals and units, including the military, police, and 
other security agencies and human rights violations since 2000; 
ongoing efforts to monitor the use of United States supplied 
equipment and training in Indonesia; and any strategy linking 
United States military assistance to Indonesia to progress on 
human rights.

                      Western Hemisphere Countries

    The Committee recommendation includes $62,750,000 for 
countries funded within the Western Hemisphere region, which is 
$20,050,000 below the request. The Committee is concerned that 
the Administration has dramatically pulled away from security 
assistance in the region. The following table compares the 
President's request for fiscal year 2008 and the Committee 
recommendation:

                             [In thousands]
------------------------------------------------------------------------
                                                FY 2008      Committee
                   Country                      request   recommendation
------------------------------------------------------------------------
Bahamas......................................         $0           $80
Belize.......................................          0           100
Bolivia......................................          0            25
Chile........................................          0           300
Colombia.....................................     78,000        48,000
Dominican Republic...........................          0           725
Ecuador......................................          0            25
El Salvador..................................      4,800         4,800
Guatemala....................................          0           250
Guyana.......................................          0            75
Haiti........................................          0           990
Honduras.....................................          0           500
Jamaica......................................          0           500
Nicaragua....................................          0           500
Panama.......................................          0           775
Peru.........................................          0            25
Suriname.....................................          0            80
Eastern Caribbean............................          0         1,000
Western Hemisphere...........................          0         4,000
                                              --------------------------
      Subtotal--Western Hemisphere...........     82,800        62,750
------------------------------------------------------------------------

Argentina

    The Committee recommendation does not include funding for 
Argentina as they are currently in default in payment of 
principal and interest of more than six months of a loan to the 
United States.

Colombia

    The Committee is restructuring the assistance package. 
Colombia is a vital partner and ally of the United States. The 
Committee has grave concerns with the current aid package that 
overwhelmingly emphasizes hard-side assistance over development 
assistance. The Committee believes that any new Plan Colombia 
must be a more balanced strategy that shifts the aid from the 
military and strengthens civilian governance, humanitarian 
assistance and rural development and transitions more of the 
military operations to the government of Colombia. The 
Committee fully recognizes the strategic importance Colombia 
plays in the hemisphere and therefore instructs the Bureau of 
Political Military Affairs at the Department of State in 
consultation with the Bureau of Western Hemisphere Affairs at 
the Department of State, Southern Command and the Defense 
Security Cooperation Agency (DSCA) to provided a strategy no 
later than 120 days from enactment of this Act for reducing 
military assistance to Colombia in a gradual-managed approach 
to ``Colombianization'' of the military package. To this end 
the Committee recommendation includes $48,000,000 for the FMF 
program in Colombia, which is $30,000,000 below the request. 
The Committee instructs that within the funds provided the 
Riverine interdiction efforts (boats, bases, training and spare 
parts) should be fully funded at $12,250,000 and Naval aviation 
operations and interdiction/security operations at $5,000,000.

Guatemala

    The Committee recommendation provides $250,000 for FMF 
programs for Guatemala and carries language to allow FMF for 
the Air Force and Navy to obtain spare parts only if the 
Secretary of State certifies that the Guatemalan Air Force, 
Navy and Army Corp of Engineers is respecting human rights, and 
civilian judicial authorities are investigating and 
prosecuting, with the military's cooperation, military 
personnel who have been implicated in gross violations of human 
rights and the Guatemala Congress has adopted and the 
Guatemalan President and Vice President have approved the 
International Commission Against Impunity in Guatemala (CICIG). 
The Committee understands that there is uncertainty as to 
whether the Guatemalan Congress will embrace and pass the 
International Commission Against Impunity in Guatemala (CICIG) 
to investigate clandestine groups who have made threats and 
carried out attacks against human rights defenders. The 
Committee has been informed that the Constitutional Court in 
Guatemala on May 10, 2007 issued an opinion that there is 
nothing unconstitutional about the CICIG agreement, and that it 
does not affect the autonomy of the Prosecutor General. 
Additionally, the Committee has been told that the court will 
rule that approval of the CICIG only requires a simple majority 
of 80 votes in the 158 member Guatemalan Congress. The 
Committee notes the Constitutional Court's ruling is a 
significant boost for CICIG, since it neutralizes the 
``constitutional'' arguments of CICIG's opponents and it lowers 
the votes required for approval. The Committee notes that on 
Tuesday, May 22nd, 2007 the Guatemalan Congress held an 
extraordinary session during which the Constitutional Court's 
favorable opinion on the CICIG was formally presented to the 
Guatemalan Congress. The Committee is encouraged by this ruling 
and is hopeful that the Guatemalan Congress will approve the 
CICIG.
    Access to FMF funding, particularly for spare parts for the 
Guatemalan Air Force and Navy, would be used to support the 
Government of Guatemala's efforts to combat transnational crime 
on the sea, on the rivers, and in the air. Guatemala is a 
strategic chokepoint for the flow of drugs and other threats 
towards the United States. Funding will also strengthen the 
Navy's ability to counter narcotics trafficking along the 
riverine network, as well as along the coastline of the Pacific 
and Atlantic sides that are increasingly heavy transit zones 
for drugs. Funding for FMF will also increase Guatemala's 
disaster response and peacekeeping capabilities. The Committee 
continues to call attention to the fact that the language still 
restricts funding from the Guatemala Army.

                      Europe and Eurasia Countries

    The Committee recommendation includes $123,225,000 for 
countries funded within the Europe and Eurasia region, which is 
$6,100,000 below the request.

Bosnia and Herzegovina

    The Committee recommendation includes a total FMF program 
for Bosnia and Herzegovina of $7,000,000, which is $800,000 
below the request.

Bulgaria

    The Committee recommendation includes a total FMF program 
for Bulgaria of $11,200,000, which is $2,000,000 below the 
request. The Committee's reduction is based on insufficient 
budget justification for the integrated logistics system 
($1,000,000) and the personnel management system ($1,000,000).

Georgia

    The Committee recommendation includes a total FMF program 
for Georgia of $9,000,000, which is $1,000,000 below the 
request. The Committee does not believe it is appropriate to 
provide $1,150,000 for ``Cubic Defense Transformation 
Advisors'' from within FMF. The Committee recommends that the 
remaining $150,000 be used for vehicle or helicopter support.

Romania

    The Committee recommendation includes a total FMF program 
for Romania of $18,400,000, which is $3,975,000 above the 
request.

Armenia and Azerbaijan

    The Committee recommends a FMF program of $3,000,000 for 
each of the countries of Armenia and Azerbaijan.

                        Peacekeeping Operations

 Fiscal year 2007 enacted level........................      $223,250,000
Fiscal year 2008 request..............................       221,200,000
Committee recommendation..............................       293,200,000
    Change from request...............................        72,000,000
    Change from enacted level.........................        69,950,000

    The Committee recommendation includes $293,200,000 for 
Peacekeeping Operations (PKO), which is $72,000,000 above the 
request.
    Funding provided under the PKO account is intended for 
activities that are not funded through mechanisms of the UN 
peacekeeping activities account. The PKO account funds United 
States assistance to international efforts to monitor and 
maintain the peace in areas of special concern to the United 
States, and provides funds to other related programs carried 
out in furtherance of the national security interests of the 
United States. In fiscal year 2008, contributions are planned 
for programs in Africa, the Multinational Force and Observers 
(MFO) Mission in the Sinai, and the Global Peacekeeping 
Operations Initiative (GPOI), and other activities. The 
Committee recommendation includes no funding and no authority 
for the Administration to use up to $25,000,000 for 
stabilization and reconstruction activities (Conflict Response 
Fund). The Committee does not believe that the PKO account is 
the appropriate funding source for such a wide ranging 
initiative.
    The Committee observes with great concern that the fiscal 
year 2008 request for the PKO account appears to overwhelmingly 
prioritize Security Sector Reform programs over other 
activities. The Committee agrees that security sector reform is 
an important initiative for the United States to address, but 
notes that the Administration leaves little flexibility in case 
of an emergency in addressing regions of instability, where 
peace remains tenuous, instability remains a constant and where 
conflicts continue to flare up.

Denial of expansion of extraordinary authorities

    While the Committee recognizes the need for flexibility to 
respond to emerging threats, the Committee notes that the 
President currently possesses extraordinary authorities 
provided within the Foreign Assistance Act of 1961, and 
therefore the Committee is specifically not including language 
to expand already broad authorities which the Committee notes 
already provides for quick disbursement of funding for 
international crises. Additionally, the Committee 
recommendation does not include authorization for PKO funds to 
be used notwithstanding section 660 of the Foreign Assistance 
Act. The Administration requested this authority to provide 
support to the Center of Excellence for Stability Police Units, 
a center in Italy at which GPOI partners can build a 
professional gendarme capacity. The Committee supports the 
proposed program and expects other G8 nations to support this 
program, or the Administration to use funding from other 
accounts with the necessary authority, such as the 
International Narcotics Control and Law Enforcement account.

Africa

    The Committee recommendation includes $176,000,000 for PKO 
activities in Africa, which is $96,000,000 above the request. 
The Committee is supportive of PKO activities in Africa.
    Within the amount provided, not less than $41,400,000 is 
included for programs in South Sudan, which is the same as the 
request. The Committee recommendation includes no funding for 
the Africa Regional Account, which is $4,000,000 below the 
request. This level does not include operations to be funded 
from the Global Peace Operations Initiative (GPOI).

Darfur

    The Committee recommendation includes $100,000,000 for 
voluntary peacekeeping activities in Darfur. The Committee is 
distressed that the Administration did not request any funding 
for the continued support of the African Union Mission in Sudan 
(AMIS) within this account and has requested an inadequate 
amount within the Contribution for International Peacekeeping 
Account (CIPA) for the UN peacekeeping efforts. The Committee 
is disappointed that there is no clear and defined timeline for 
a transition to a UN/AMIS hybrid force. However, the Committee 
believes that the Department should be planning for any 
contingency and is gravely concerned that no funding requested 
for AMIS, and inadequate funding within CIPA for a future UN 
peacekeeping force, is indicative of a lack of commitment on 
the part of the Administration to the vital needs of a strong 
and robust peacekeeping mission to protect civilians in Darfur. 
The Committee urges the Administration to submit a budget 
amendment to meet any future peacekeeping needs.
    The Committee finds that global diplomacy to end the 
ongoing genocide in Darfur has been tragically ineffective. 
United States diplomatic leadership efforts have been uncertain 
and erratic. International diplomacy has been marked by 
sporadic and uncoordinated engagement by many governments and 
multilateral organizations. Contact Groups, comprised of 
representatives of key governments and multinational entities, 
proved invaluable to bringing peace to South Sudan in 2005 and 
to the Balkans in the 1990s. The Committee strongly urges the 
Department of State to exercise a stronger leadership role 
internationally, including by working with key partners to 
establish a structured international diplomatic coalition in 
the form of a Contact Group encompassing countries with 
substantial influence, to pressure Sudan to end the genocide in 
Darfur, stop blocking the UN peacekeepers called for in 
Security Council Resolution 1706, and conclude a viable and 
sustainable peace agreement with all the stakeholders in 
Darfur.

Trans-Sahara counter terrorism initiative

    Within the recommendation for Africa, the Committee 
includes $10,000,000 for the Trans-Sahara Counter Terrorism 
Initiative, which is the same as the request. The Committee 
directs the Department of State and USAID to submit a report 
detailing the funding and operations of the Trans-Sahara 
Counter Terrorism Initiative. This report should describe how 
programs funded from this account are complemented by programs 
funded from USAID's development accounts.

Multinational force observers (MFO)

    The Committee is aware that the MFO adjusted its mission in 
the Sinai after the Israeli Defense Force (IDF) withdrew from 
Gaza, including the ``Philadelphi'' corridor along the Egyptian 
boundary and that since September 1, 2005 the MFO has 
undertaken the additional responsibility of monitoring the 
deployment of Border Guards along the Egyptian side of the 
border between Egypt and Gaza to combat acts of terrorism, 
smuggling and border infiltration and to ensure that deployment 
is consistent with the terms of the agreement between Egypt and 
Israel. The Committee further notes that since October, 2004, 
there have been five terrorist incidents in the Sinai, with two 
directly targeting MFO personnel. Within the amount provided, 
not less than $22,000,000, which is $1,000,000 above the 
request, is provided for the MFO. Of the funds provided, the 
Committee directs that $21,000,000 is for the MFO program to 
support, among other initiatives, the ongoing peace efforts in 
the Middle East and $1,000,000 is for force protection to 
purchase additional fully armored vehicles (FAVs).

Global peace operations initiative (GPOI)

    The Committee acknowledges that the number of peacekeeping 
operations throughout the world continues to grow, increasing 
the need for the international community to respond with 
military and related complex security operations to bring the 
stability and security that is fundamental to social, economic, 
and political progress in countries in crisis. Africa is facing 
greater peacekeeping needs, and the international community 
recognizes the importance of more comprehensive measures for 
ensuring peace.
    The GPOI program incorporates previous capabilities-
building programs at the State Department for Africa--the 
African Crisis Response Initiative (ACRI) and its successor, 
the African Crisis Operations Training (ACOTA). From fiscal 
years 1997-2005, the United States spent just over $121,000,000 
on GPOI's predecessor programs. In fiscal year 2005, the Group 
of Eight Nations launched a new collaboration, the GPOI. The 
goal of this five-year program is to increase the capacity of 
countries to deploy to international peace support operations 
by training 75,000 peace support troops worldwide by 2010 (with 
an emphasis on Africa), develop transportation and logistics 
support, increase the number of gendarme units deployable to 
international operations and facilitate deployments for these 
peacekeeping units. The Committee recognizes that under GPOI 
the Department of State has expanded the activities to include 
18 partners and is helping to strengthen strategic and 
operational management capacities at the African Union (AU) and 
the Economic Community of West African States (ECOWAAS). To 
date, GPOI program funds have been used to train approximately 
19,191 troops, including 1,218 trainers around the world. In 
addition, in order for GPOI countries to be effective partners 
in multinational operations, their military leaders should be 
educated in the same core competencies and curriculum. The 
Committee strongly encourages the Secretary of State to 
consider sending GPOI participants to common educational 
programs in the United States.
    The Committee recommendation includes $95,200,000 for these 
efforts, which is the same as the request. In addition to 
activities in Africa, the Committee commends GPOI's performance 
in the Asia-Pacific Area and encourages the Department of State 
to build on these successes in other regions.
    The Committee expects the fiscal year 2009 budget request 
for GPOI to include a detailed summary of the achievements of 
GPOI to date and specific information linking the budget 
request to fiscal year 2009 performance objectives. The 
Administration is encouraged, if possible, to submit the 
achievement summary before the fiscal year 2009 budget request.

               TITLE V--MULTILATERAL ECONOMIC ASSISTANCE


                  FUNDS APPROPRIATED TO THE PRESIDENT


                  INTERNATIONAL FINANCIAL INSTITUTIONS


                      Global Environment Facility

 Fiscal year 2007 enacted level........................       $79,200,000
Fiscal year 2008 request..............................       106,763,000
Committee recommendation..............................       106,763,000
    Change from request...............................                 0
    Change from enacted level.........................        27,563,000

    The Committee recommendation includes $106,763,000 for the 
Global Environment Facility (GEF), administered by the World 
Bank, which is $27,563,000 above the fiscal year 2007 level and 
the same as the request. The Committee recommendation includes 
$80,000,000 as the second scheduled payment of five to the 
fourth replenishment of the GEF.

       Contribution to the International Development Association

 Fiscal year 2007 enacted level........................      $940,500,000
Fiscal year 2008 request..............................     1,060,000,000
Committee recommendation..............................       950,000,000
    Change from request...............................      -110,000,000
    Change from enacted level.........................         9,500,000

    The Committee recommendation includes $950,000,000 for the 
regularly scheduled United States contribution to the 
International Development Association (IDA), which is 
$9,500,000 above the fiscal year 2007 level and $110,000,000 
below the request. The Committee provides full funding for the 
current year contribution to the International Development 
Association. The Committee does not provide fuding to pay for 
arrears as requested.

           CONCERNS ABOUT THE MULTILATERAL DEVELOPMENT BANKS

Availability of information

    The Committee again requests copies of all annual reports 
and information about the basic functions of each institution 
as they become available, including the European Bank for 
Reconstruction and Development and the International Fund for 
Agricultural Development. Future and continued support for the 
banks cannot be guaranteed unless future requests are justified 
by the Department of the Treasury as well as the management of 
each individual institution.

Budget support

    The Committee continues to be concerned about the recent 
trend of providing World Bank loans and grants through budget 
support in lieu of project level support. The Committee 
believes that providing assistance by means of budget support 
should be employed only as an emergency measure and, if 
excessive or frequent, can undermine the principle of 
encouraging countries to become fiscally responsible and good 
stewards of internal resources. Furthermore, it thwarts the 
Committee's ability to effectively monitor implementation of 
foreign assistance to ensure effective expenditure of 
appropriated dollars. Future support for funding increases of 
the World Bank and the other Multilateral Development Banks 
(MDBs) cannot be guaranteed if the MDBs increase their reliance 
further on budget support. The Committee directs the Secretary 
of the Treasury to consult with the Committee before any 
changes in budget support ceilings are adopted by any of the 
MDBs.

Anticorruption provisions

    The Committee has been pleased at the level of transparency 
reforms that the Secretary of the Treasury has instigated at 
the multilateral development banks. Specifically these reforms 
have been key in the fight against corruption at all levels of 
the Bank's operations. The Committee was encouraged by recent 
efforts by the Inter-American Development Bank and the Asian 
Development Bank to begin adopting these standard procedures. 
However, the Committee is dismayed to learn that the Department 
of the Treasury has yet to receive sufficient information from 
the World Bank to allow the Secretary to certify World Bank 
compliance with the Anti-corruption general provision included 
in the fiscal year 2007 appropriations bill. The Committee has 
modified this provision and included language in section 681.

      Contribution to the Multilateral Investment Guarantee Agency

 Fiscal year 2007 enacted level........................                $0
Fiscal year 2008 request..............................         1,082,000
Committee recommendation..............................                 0
    Change from request...............................                 0
    Change from enacted level.........................        -1,082,000

    The Committee recommendation includes no funding for the 
Multilateral Investment Guaranty Agency, which is $1,082,000 
below the request. The Administration has made all scheduled 
annual commitments to the most recent capital increases.

       Contribution to the Inter-American Investment Corporation

 Fiscal year 2007 enacted level........................                $0
Fiscal year 2008 request..............................         7,264,000
Committee recommendation..............................                 0
    Change from request...............................        -7,264,000
    Change from enacted level.........................                 0

    The Committee recommendation includes no funding for the 
Inter-American Investment Corporation. The Committee is 
encouraged that the IIC has adopted new operating policies and 
a new information disclosure policy. Since the United States is 
the largest single shareholder of the IIC, the Committee is 
pleased with the new transparency concerning information.

Contribution to the Enterprise for the Americas Multilateral Investment 
                                  Fund

 Fiscal year 2007 enacted level........................        $1,725,000
Fiscal year 2008 request..............................        29,232,000
Committee recommendation..............................        25,000,000
    Change from request...............................        -4,232,000
    Change from enacted level.........................        23,275,000

    The Committee recommendation includes $25,000,000 for the 
Enterprise for the Americas Multilateral Investment Fund, which 
is $23,275,000 above the fiscal year 2007 level and $4,232,000 
below the request. The Committee recommendation includes 
$25,000,000 as the second of six installments of the MIF-II 
replenishment. The Committee is encouraged by the MIF's 
progress in improving transparency and adopting reforms. The 
Committee notes that MIF's plan to make public its Project 
Performance Monitoring Reports and Project Completion Reports 
is a first for a multilateral development institution.

               Contribution to the Asian Development Fund

 Fiscal year 2007 enacted level........................       $99,000,000
Fiscal year 2008 request..............................       133,906,000
Committee recommendation..............................       115,306,000
    Change from request...............................       -18,600,000
    Change from enacted level.........................        16,306,000

    The Committee recommendation includes $115,306,000 for the 
Asian Development Fund, the concessional facility of the Asian 
Development Bank, which is $16,306,000 above the fiscal year 
2007 level and the $18,600,0000 below the request. The 
Committee recommends $115,306,000 be made available for the 
third scheduled payment of four to the ninth replenishment of 
the Asian Development Fund.

              Contribution to the African Development Bank

 Fiscal year 2007 enacted level........................        $3,602,000
Fiscal year 2008 request..............................         2,037,000
Committee recommendation..............................         2,037,000
    Change from request...............................                 0
    Change from enacted level.........................        -1,565,000

    The Committee recommendation includes $2,037,000 for 
African Development Bank, which is $1,565,000 below the fiscal 
year 2007 level and the same as the request.

              Contribution to the African Development Fund

 Fiscal year 2007 enacted level........................      $134,343,000
Fiscal year 2008 request..............................       140,584,000
Committee recommendation..............................       135,684,000
    Change from request...............................        -4,900,000
    Change from enacted level.........................         1,341,000

    The Committee recommendation includes $135,684,000 for the 
concessional facility for the African Development Bank, which 
is $1,341,000 above the fiscal year 2007 level and $4,900,000 
below the request. This amount is for the final payment of a 
three-year commitment under the agreement for the tenth 
replenishment of African Development Fund.

  Contribution to the European Bank for Reconstruction and Development

 Fiscal year 2007 enacted level........................                $0
Fiscal year 2008 request..............................            10,000
Committee recommendation..............................                 0
    Change from request...............................           -10,000
    Change from enacted level.........................                 0

    The Committee recommendation includes no funding for the 
European Bank for Reconstruction and Development, which is the 
same as the fiscal year 2007 level and $10,000 below the 
request. The United States has made all scheduled annual 
commitments to the most recent capital increases.

  Contribution to the International Fund for Agricultural Development

 Fiscal year 2007 enacted level........................       $14,850,000
Fiscal year 2008 request..............................        18,072,000
Committee recommendation..............................        18,072,000
    Change from the request...........................                 0
    Change from the enacted level.....................         3,222,000
    The Committee recommendation includes $18,072,000 for the 
International Fund for Agricultural Development (IFAD), which 
is $3,222,000 above the fiscal year 2007 level and the same as 
the request. This amount is for the second of three payments 
for the seventh replenishment of IFAD.

                International Organizations and Programs

 Fiscal year 2007 enacted level........................      $326,163,000
Fiscal year 2008 request..............................       289,400,000
Committee recommendation..............................       333,400,000
    Change from request...............................        44,000,000
    Change from enacted level.........................         7,237,000

    The Committee recommendation includes $333,400,000 for 
International Organizations and Programs, which is $7,237,000 
above the fiscal year 2007 level and $44,000 above the request.
    The following table compares the President's request for 
fiscal year 2008 and the Committee recommendation:

------------------------------------------------------------------------
                                                FY 2008      Committee
       Organization Amount in thousands         proposed  recommendation
------------------------------------------------------------------------
Center for Human Settlements (UN--HABITAT)...     $1,000          $900
International Civil Aviation Organization....        950           900
International Conservation Programs..........      6,000         6,200
International Contributions for Scientific,        1,000         1,000
 Educational & Cultural Activities...........
International Development Law Organization...        300           300
IMO Maritime Security Programs...............        400           400
International Panel of Climate Change/UN           5,320         5,320
 Framework Convention on Climate Change......
Montreal Protocol Multilateral Fund..........     19,000        19,000
OAS Development Assistance Programs..........      5,225         5,000
OAS Fund for Strengthening Democracy.........      2,500         2,500
Organization for Security & Cooperation in         4,000         4,000
 Europe......................................
UN Children's Fund (UNICEF)..................    123,000       128,000
UN Democracy Fund (UNDEF)....................     14,000             0
UN Development Program (UNDP)................     75,300       110,000
UN Environment Program (UNEP)................      9,524        10,500
UN Innovation and Entrepreneurship Initiative     10,000             0
UN Office of Coordinator of Humanitarian           2,000         1,500
 Affairs (OCHA)..............................
UN Population Fund (UNFPA)...................          0        23,000
UN Voluntary Fund for Technical Cooperation        1,425         1,485
 in the Field of Human Rights................
UN Voluntary Fund for Victims of Torture.....      4,750         5,200
UN Women's Fund (UNIFEM).....................        950         3,600
UNIFEM Trust Fund............................          0         1,800
World Meteorological Organization............      1,900         1,900
World Trade Organization Technical Assistance        950           900
                                              --------------------------
      Total..................................    243,799       330,405
------------------------------------------------------------------------

United Nations Development Program (UNDP)

    UNDP is an essential and effective United States partner in 
confronting the major global challenges facing the 
international community, especially in the areas of democratic 
governance, conflict prevention and recovery, poverty 
reduction, and HIV/AIDS. The Committee recommendation includes 
not less than $110,000,000 as the United States contribution to 
UNDP's core budget for fiscal year 2008.

United Nations Children's Fund (UNICEF)

    UNICEF is an essential United States partner in achieving 
child survival and health objectives, especially those in the 
areas of immunization, HIV/AIDS, and early childhood 
development. The Committee recommendation includes not less 
than $128,000,000 for a contribution to UNICEF. The Committee 
is aware of UNICEF's new accelerated child survival initiative 
and encourages USAID to consider their successful model in 
implementing its own programs. This provision of core support 
does not preclude USAID from providing additional funding for 
specific UNICEF projects.

United Nations Development Fund for Women (UNIFEM)

    UNIFEM is an essential United States partner in global 
efforts to provide economic, social and political opportunities 
to women. The Committee recommendation includes a total of 
$3,600,000 for UNIFEM, and a $1,800,000 contribution to the 
Trust Fund in Support of Actions to Eliminate Violence Against 
Women.

                      TITLE VI--GENERAL PROVISIONS

    The restructuring undertaken by the Committee at the 
beginning of the 110th Congress incorporated State Department 
operations, commissions and related agency within the 
appropriations for foreign assistance and operations. 
Commensurate with the additional resources the committee has 
included an additional title which thereby adjusts the section 
numbers of the general provisions accordingly.
    The Committee recommends 16 of the general provisions 
carried in the fiscal year 2007 Act be deleted. These 
provisions (sections 526, 554, 572, 578, 580, 582, 587, 588, 
591, 592, 594, 595, 598, 599A, 599B, 599C) are either addressed 
elsewhere in permanent law, have been considered by the 
appropriate authorizing committee, or are no longer necessary.
    The Committee recommends the following new and revised 
general provisions:
    Sec. 607. ``Prohibition Against Direct Funding for Certain 
Countries'' is modified by lifting the restriction on 
``International Military Education and Training'' (IMET) for 
Libya.
    Sec. 609. ``Transfer Authority'' is modified by combining 
section 402 of the fiscal year 2007 Science, State, Justice and 
Commerce Appropriations Act with sections 519 and 509 of the 
fiscal year 2007 Foreign Operations Appropriations Act; making 
them subsection (a), (b), and (c) respectively. No other 
substantive changes have been applied.
    Sec. 611. ``Availability of Funds'' is modified by 
combining section 602 of the fiscal year 2007 Science, State, 
Justice and Commerce Appropriations Act with section 511 of the 
fiscal year 2007 Foreign Operations Appropriations Act and 
adding ``International Military Education and Training'' to the 
extension of availability of funds.
    Sec. 615. ``Reprogramming Notification Requirements'' is 
modified by combining section 605 of the fiscal year 2007 
Science, State, Justice and Commerce Appropriations Act with 
section 515 of the fiscal year 2007 Foreign Operations 
Appropriations Act; making them subsection (a) (b), and (c) (d) 
respectively. The Committee intends to extend the human health 
and welfare exemption to all funding in this bill.
    Sec. 617. ``Independent States of the Former Soviet Union'' 
is modified to be similar to the fiscal year 2007 House passed 
Foreign Operations bill by deleting ``Kazakhstan'' from the 
list of notification counties.
    Sec. 619. ``Statement'' is modified by striking tables for 
``Child Survival and Health Programs Fund'', ``Global HIV/AIDS 
Initiative'', ``Democracy Fund'', ``Andean Counterdrug 
Initiative'' and ``International Narcotics Control and Law 
Enforcement''.
    Sec. 622. ``Child Survival and Health Activities'' is 
revised by changing the dollar amount to $441,000,000 and 
including a provision which exempts funding for the provision 
of contraceptives in developing countries from the March 28, 
2001 Memorandum to the Administrator of the United States 
Agency for International Development.
    Sec. 623. ``Afghanistan'' is modified by changing 
``should'' to ``shall'' with regard to humanitarian, 
reconstruction and related assistance as well as with regard to 
programs to directly address the needs of Afghan women and 
girls.
    Sec. 625. ``Global Fund to Fight AIDS, Tuberculosis, and 
Malaria'' is modified by including additional benchmarks upon 
which the Global Fund contribution is conditioned.
    Sec. 630. ``Financial Market Assistance'', is modified by 
deleting ``In Transition Countries'' from the header and 
modifying the last sentence to read countries eligible to 
receive United States assistance.
    Sec. 633. ``Special Authorities'', is modified by deleting 
subsection(f), (i), and (l) of the fiscal year 2007 Act. 
Subsection (i), Middle East Foundation'', has been modified to 
exclude the provision that a majority of the board of directors 
be United States citizens.
    Sec. 637. ``Ceilings and Designated Funding Levels'', is 
modified by combining section 417 of the fiscal year 2007 
Science, State, Justice and Commerce Appropriations Act with 
section 538 of the fiscal year 2007 Foreign Operations 
Appropriations Act. Additionally the word ``earmark'' has been 
substituted with ``designated funding level'' wherever it 
appeared. There are no other substantive changes to the 
provision.
    Sec. 638. ``Prohibition on Publicity or Propaganda'' is 
modified by combining section 601 of the fiscal year 2007 
Science, State, Justice and Commerce Appropriations Act with 
section 539 of the fiscal year 2007 Foreign Operations 
Appropriations Act.
    Sec. 648. ``Haiti'' funding levels have been modified.
    Sec. 649. ``Colombia'' is a new general provision providing 
not more than $530,608,000 shall be provided for assistance to 
Colombia, of which $218,500,000 shall be directly apportioned 
to USAID for alternative development programs, of which 
$15,000,000 is for Afro-Colombian and indigenous communities 
and not more than $49,500,000 is available for military 
assistance and training and $22,250,000 is for rule of law 
programs funded under the heading ``International Narcotics 
Control and Law Enforcement'' (INCLE). The provision includes 
language formerly contained under the heading ``Andean 
Counterdrug Initiative'' (ACI) which extends the availability 
of funds provided for assistance for Colombia to support a 
unified campaign against narcotics trafficking, against 
activities by organizations designated as terrorist 
organizations, and to take actions to protect health and human 
welfare and adds language to the proviso to include ``illegal 
self-defense groups'' and ``illegal security cooperatives''. It 
continues the language directing the Secretary of State to 
consult with the Committee if the implementation of the 
expanded authorities changes from that described in the May 
2003 report to Congress.
    Sec. 654. ``Libya'' is a new general provision which 
provides that no funds under this Act may be for any diplomatic 
operations in Libya until the President certifies to Congress 
that the Government of Libya has taken ``irrevocable'' steps to 
pay the settlement to the surviving families of Pan Am Flight 
103 bombing and works in good faith to resolve the La Belle 
Discotheque bombing and other unresolved acts of terrorism.
    Sec. 656. ``Limitations on Assistance to Colombia'' is 
similar to section 556 of the 2007 Act and is modified by 
changing the amount of assistance withheld from the Colombian 
armed forces prior to a written certification from the 
Secretary of State from 25 percent to 35 percent. The provision 
adds two new requirements: 1) that the Government of Colombia 
is ensuring that the armed forces are not violating land and 
property rights of indigenous and Afro-Colombian communities 
and 2) that civilian judicial authorities are making 
demonstrable progress in dismantling paramilitary networks. 
Additionally, funding for critical flight safety and or any 
alternative development programs are exempted from the 
withholding. Additionally, the term ``paramilitary groups'' is 
broadened to include successor groups that have demobilized but 
continue illegal operations.
    Sec. 657. ``Prohibition on Assistance to the Palestinian 
Broadcasting Corporation'' is modified by combining section 403 
of the fiscal year 2007 Science, State, Justice and Commerce 
Appropriations Act with section 558 of the fiscal year 2007 
Foreign Operations Appropriations Act; making the provision 
applicable to all funding within the Act. No other substantive 
changes have been applied.
    Sec. 658. ``Support of Peace Process and Demobilization in 
Colombia'' is similar to the ``Assistance for Demobilization 
and Disarmament of Former Irregular Combatants in Colombia'' 
general provision contained in the fiscal year 2007 Act. 
Subsection (a) of the provision provides $23,000,000 in ESF for 
demobilization activities, subject to certain conditions. 
Subsection (b) provides $3,000,000 for the OAS mission to 
support peace in Colombia and retains language requiring 
consultation and notification before the obligation of funds 
for demobilization of paramilitaries.
    Sec. 659. ``West Bank and Gaza Programs'' is modified by a 
new paragraph which restricts security assistance contingent 
upon the establishment and compliance with benchmarks for such 
assistance.
    Sec. 660. ``Contributions to the United Nations Population 
Fund'' is modified by changing the dollar figure, inserting new 
funding limitations and reiterating the application of current 
law. The Committee finds that there are no provisions in this 
bill that shall be construed to deny funding to any 
organization or program solely because the organization 
operates in a country where the government of such country 
engages in coercive abortion or involuntary sterilization. The 
Committee believes that the United Nations Population Fund 
(UNFPA) provides critically needed assistance to women around 
the world. UNFPA operates in more than 140 countries and 
complements USAID's population programs in 60 countries. United 
States government engagement with UNFPA is an essential part of 
our effort to reduce maternal and child mortality and improve 
the lives of women overseas.
    The Committee is concerned that the Administration has 
withheld funding approved by Congress for UNFPA in each of the 
last five years. The Committee does not believe that any 
provisions included in this bill justify withholding this 
funding. Additionally, the Committee is concerned that there is 
a lack of methodology, consistent criteria, and transparency in 
formulating the decision. In fact, the Department of State 
continues to ignore the recommendations of its own hand-
selected investigation and assessment team, which found, in 
2002, that there was no evidence that UNFPA knowingly supported 
or participated in the management of a program of coercive 
abortion or involuntary sterilization in China. The team 
recommended that United States Government funds be made 
available to UNFPA. This report additionally recommended that 
unless and until all forms of coercion in Chinese law and 
practice are eliminated, no United States Government funds 
should be allocated directly for population programs in China. 
This bill contains provisions prohibiting any United States 
contribution to UNFPA from being used in China, requires the 
United States contribution to UNFPA to be held in a segregated 
account and reduces funding to UNFPA by one dollar for each 
dollar of its own funding it spends on programs in China. These 
provisions are included to ensure that no funds may be spent on 
population programs in China. However, consistent with the 
recommendations of the 2002 Department of State assessment 
team, the Committee strongly supports UNFPA's critical work 
around the world and increases funding to $40,000,000 for these 
efforts.
    Sec. 663. ``Funding for Serbia'' is modified by deleting 
the determination and certification requirement regarding 
Radovan Karadzic and differentiates between Montenegro and 
Serbia.
    Sec. 667. ``Basic Education'' is modified by changing the 
dollar figure. The Committee provides a total of $750,000,000 
for United States government programs for assistance in 
developing countries for basic education. Of this total, 
$265,000,000 should be used to implement assistance in 
developing countries for basic education consistent with H.R. 
2092, the Education for All Act of 2007, as introduced on May 
1, 2007. This designation of funds is a continuation of the 
program included in the fiscal year 2006 report, which provided 
$65,000,000 to support Fast Track Initiative programs.
    For those programs being implemented consistent with H.R. 
2092, the Committee believes that program funds should be 
implemented in such a way that supports an international effort 
to provide all children with a quality basic education in order 
to achieve the goal of universal basic education by 2015 as 
agreed to at the World Education Forum held in Dakar, Senegal 
in 2000. Funds should be used to support programs in countries 
in conflict, emerging from conflict, or experiencing 
humanitarian crisis.
    The Committee intends that these funds should be used to 
ensure an adequate supply of trained teachers; to promote 
programs that expand training and implementation of effective 
curricula; to provide adequate infrastructure; to build systems 
to provide continuing support, training, and professional 
development for all educators; to eliminate fees for 
educational services, including fees for tuition, uniforms, and 
materials, and provide access to education without additional 
costs to families through simplified multilateral mechanisms; 
to identify and replicate successful interventions that improve 
access to education and the quality of education, such as 
scholarships, school lunch, and school health programs; to 
build systems to ensure continuing information collection, 
monitoring, and evaluation of education services and financing; 
to ensure that schools are not incubators for violent 
extremism; to provide human rights and conflict-resolution 
education; to promote programs that teach civic education and 
life skills; to support other initiatives that have 
demonstrated success in increasing access, improving learning 
outcomes and increasing educational opportunities for the most 
disadvantaged populations, such as children in remote or rural 
areas, religious or ethnic minorities, orphans and children 
impacted by HIV/AIDS, child laborers or victims of trafficking, 
children affected by conflict, and children living with 
disabilities; to increase the number of comprehensive schools; 
and to carry out other activities to further the goals of the 
Education for All Fast-Track Initiative.
    The Committee believes that schools can serve as the center 
of communities--bringing together parents, students, teachers, 
and government officials. Therefore, the Committee encourages 
USAID to ensure that schools supported through our programs 
include school lunch and health programs.
    Within these schools, the Committee is concerned about the 
quality of the education and believes that students should 
receive a quality education, including reading, writing, and 
math skills appropriate to the age of the students. The 
Committee is aware of efforts currently being undertaken by 
USAID, the World Bank, the William and Flora Hewlett Foundation 
and others to establish international basic education standards 
and to measure learning outcomes. The Committee supports these 
efforts and encourages USAID to continue this collaboration to 
further the implementation of this work. The Committee is also 
concerned about national curricula. In particular, the 
Committee is concerned about the content of national 
curriculums and encourages USAID to take every action possible 
to ensure that national curriculums in countries supported by 
the United States promote tolerance, understanding of others 
and respect, and do not promote hatred. Additionally, the 
Committee encourages USAID to take every action possible to 
ensure that schools in countries supported by the United States 
government are not incubators for violent extremism.
    The Committee intends that country education programs be 
managed by program officers with a background and competency in 
education. The Committee also mandates the establishment of a 
Coordinator of United States Government Activities to provide 
basic education assistance in developing countries, to be 
responsible for implementation of United States government 
assistance for developing countries for basic education.
    The Committee requires the President to send a new 
comprehensive basic education strategy to the Committee within 
90 days of enactment of this bill. The strategy shall include 
specific objectives, indicators and approaches to increase 
access and quality of basic education; outline how the United 
States government will ensure a smooth transition and continuum 
of educational activities in countries affected by armed 
conflict; assign priorities and responsibilities to relevant 
executive branch agencies; and outline how coordination will be 
improved both within the United States government and with 
other donors.
    The Committee requests a report on the implementation of 
the United States government assistance for basic education 
programs, including country specific information on programs 
and activities being funded, schools supported, capacity 
building being provided to the federal, regional, and local 
government representatives, as well as information about how 
these activities support the overall basic education strategy 
requested in this Act. The Committee requests that this report 
also include information about how our programs complement and 
support the national education plans in the countries where we 
work. The Committee requests a report within 60 days of 
enactment of the Act that provides a summary of the national 
curriculum being taught in each country where United States 
assistance for basic education is being provided. In the 
report, the Committee requests information about whether these 
standards and curriculum are being followed and what steps 
USAID will be taking to ensure that they are being followed in 
every school being supported with United States funding.
    The Committee requires that USAID consult with the 
Committee on Appropriations prior to obligation of assistance 
in developing countries for basic education.
    Sec. 668. ``Reconciliation Programs'' is modified by 
changing the funding level to $12,000,000 and directing 
$11,000,000 to MEPDCP.
    Sec. 669. ``Sudan'' is modified to note a new definition of 
the Government of Sudan, to ensure that the regional government 
of South Sudan is not subject to the same restrictions, and to 
facilitate implementation to the Darfur Peace Agreement.
    Sec. 670. ``Trade Capacity Building'' is modified by 
changing the dollar figure to $525,000,000.
    Sec. 671. ``Excess Defense Articles for Central and South 
European Countries and Certain Other Countries'' is modified by 
deleting ``Uzbekistan''.
    Sec. 672. ``Assistance to Colombia Law Enforcement to 
Combat Illegal Armed Groups'' is a new provision which in 
subsection (a) withholds funds if the Secretary of State 
determines that Colombian law enforcement or intelligence 
agency have been infiltrated by illegal groups. Subsection (b) 
continues a provision carried in prior Acts that denies visas 
to supporters of illegal groups.
    Sec. 675. ``Limitation on Economic Support Fund Assistance 
for Certain Foreign Governments That Are Parties to the 
International Criminal Court'' is modified by deleting 
subsection (e) of the fiscal year 2007 Act.
    Sec. 676. ``Tibet'' is modified by increasing the funding 
directive from $4,000,000 to $5,000,000.
    Sec. 677. ``Western Hemisphere'' is similar to section 576 
of the 2007 Act except subsection (b) is stricken and replace 
by FMF funding levels for Colombia, El Salvador, Honduras, 
Bolivia, Guatemala, and Belize.
    Sec. 682. ``Indonesia'' is modified by deleting prior 
restrictions that are no longer applicable and requiring a 
report instead of a certification.
    Sec. 683. ``Enhancing Women's Economic Opportunities'' is 
modified by including a new provision. The Committee 
recommendation includes a total of $35,000,000, specifically 
targeted to women's leadership and capacity-building. Of that 
amount, $15,000,000 is intended to support women's leadership 
training and up to $20,000,000 in intended to support the 
establishment of the GROWTH Fund. The GROWTH Fund shall be 
available to USAID missions as additional funding to support 
specific activities that enhance women's economic opportunities 
or to integrate gender into existing economic opportunity 
programs. Funds should also be used to provide technical 
assistance and capacity-building to local, indigenous civil 
society, with a strong focus on women's organizations, 
particularly to carry out activities to enhance women's 
economic opportunity.
    The Secretary of State shall submit within 180 days an 
annual report on the implementation of this fund to the 
Committees on Appropriations. The report shall identify the 
amount provided to each recipient, including contractors, sub-
contractors, grantees, and sub-grantees; whether such 
recipients are local indigenous or international entities; and 
whether such entities are non-governmental organizations, 
community-based organizations, private entities or government 
entities. The report shall also disaggregate recipient entities 
by sex, where appropriate. Such reports shall be made available 
to the public on the Internet websites of USAID.
    Appropriations to the GROWTH Fund are in addition to other 
funds available for such purposes and shall remain available 
until expended.
    Sec. 684. ``Peacekeeping Cap'' is a new general provision 
that lifts the congressional restrictions on assessed costs of 
United Nations peacekeeping missions from 25 percent to 27.1 
percent for fiscal year 2008.
    Sec. 685. ``Limitation on Basing in Iraq'' is a new general 
provision to this bill and similar to a provision (section 627) 
of the House-passed 2007 Science, State, Justice, and Commerce 
appropriations bill. The provision restricts funds from this 
Act to be used to enter into a basing agreement between Iraq 
and the United States.
    Sec. 687. ``Report on Indonesian Cooperation'' is a 
Secretary of State reporting requirement analogous to section 
599G of the 2007 Act. It is modified to apply only to IMET 
training and includes four new requirements.
    Sec. 688. ``Limitation on Assistance to Foreign Countries 
that Refuse to Extradite to the United States Any Individual 
Accused in the United States of Killing a Law Enforcement 
Officer'' is modified by removing the waiver.
    Sec. 689. ``Governments That Have Failed to Permit Certain 
Extraditions'' is modified by removing the waiver.
    Sec. 690. ``International Monetary Fund Budget and Hiring 
Ceilings'' is a new provision to this bill. It is similar to a 
provision (section 579) of the House-passed 2007 Foreign 
Operations appropriations bill. The provision acknowledges that 
a sound fiscal position is necessary for macroeconomic 
stability and poverty reduction. In this regard, the Committee 
is concerned that country authorities, in response to 
International Monetary Fund (IMF) efforts to promote prudent 
fiscal positions, may limit the hiring of new teachers and 
health workers, as well as the building of new schools and 
health facilities. The Committee directs the United States 
Executive Director to urge IMF management and staff to 
encourage governments to protect social spending on poor people 
while keeping overall budget spending within a level that does 
not undermine economic stability.
    Sec. 691. ``Environment Programs'' is modified by changing 
the dollar figure to $501,000,000 and deleting programmatic 
earmarks from the provision.
    Sec. 694. ``War Crimes in Africa'' is modified by deleting 
subsection (d).
    Sec. 696. ``Oversight of Iraq Reconstruction'' is modified 
to apply the authority to all reconstruction funds in Iraq in 
fiscal years 2006, 2007, and 2008.
    Sec. 698. ``Neglected Diseases'' is modified by increasing 
the funding level allotted from $15,000,000 to $18,000,000.
    Sec. 699. ``Assistance for Egypt'' is a new provision to 
this bill. The Committee is concerned that Egypt has failed to 
take adequate steps to promote and protect human rights. Recent 
actions encroaching on the independence of the Judiciary, 
including Egypt's highest court, and abuses by the police in 
detaining and arresting demonstrators have called into question 
Egypt's commitment in this area. The Committee is also 
concerned about the smuggling of weapons and illicit goods into 
Gaza through tunnels and such networks along Egypt's border 
with Gaza. Therefore, the Committee conditions $200,000,000 of 
the $1,300,000,000 in military assistance for Egypt to a 
certification by the Secretary of State that the Government of 
Egypt is taking concrete and measurable steps to address these 
concerns and reports to the Committee. The Committee expects 
the report to contain the following elements: (1) steps towards 
enactment of a new judicial law, including the principal 
components of the law and the separation of the budget of the 
judiciary from that of the Ministry of Justice; (2) steps to 
review criminal procedures and train police leadership in 
modern policing to curb abuses including training on handling 
mass demonstrations, crowd control, arrest procedures and mass 
detentions, on human rights and on criminal procedures and due 
process; and (3) steps to detect and destroy the smuggling 
network into Gaza including but the number of arrests made, 
amount of illegal cash seized, number of individuals sentenced, 
number of tunnels detected and number of tunnels destroyed.
    Sec. 699A. ``Relief for the Hmong and Montagnards'' is a 
new section which amends the Immigration and Nationality Act 
with regard to the admission qualifications for certain Hmong 
and Montagnard refugees.
    Sec. 699B. ``Report on Anti-Corruption Activities'' is a 
new section requiring a report on the level of corruption 
activities in each country receiving assistance under the 
headings ``Development Assistance'', ``Assistance for Eastern 
Europe and the Baltic States'', and ``Assistance for the States 
of the Former Soviet Union''.
    Sec. 699C. ``Programs to Improve Democracy, the Rule of 
Law, and Governance in Iran'' is a new section which provides 
that $50,000,000 should be available for democracy, rule of law 
and governance programs in Iran.

             PROVISIONS RETAINED FROM FISCAL YEAR 2007 ACT

    The following general provisions from the fiscal year 2007 
bill were retained in the fiscal year 2008 bill unchanged 
except for technical corrections, references to prior fiscal 
years, and new section numbers where appropriate:
    Sec. 601. ``Compensation for United States Executive 
Directors to International Financial Institutions''.
    Sec. 602. ``Restrictions on Voluntary Contributions to 
United Nations Agencies''.
    Sec. 603. ``Limitation on Residence Expenses''.
    Sec. 604. ``Unobligated Balances Report''.
    Sec. 605. ``Limitation on Representational Allowances''.
    Sec. 606. ``Prohibition on Taxation of United States 
Assistance''.
    Sec. 608. ``Military Coups''.
    Sec. 610. ``Commercial Leasing of Defense Articles''.
    Sec. 612. ``Limitation on Assistance to Countries in 
Default''.
    Sec. 613. ``Commerce and Trade''.
    Sec. 614. ``Surplus Commodities''.
    Sec. 616. ``Limitation on Availability of Funds for 
International Organizations and Programs''.
    Sec. 618. ``Prohibition on Funding for Abortions and 
Involuntary Sterilization''.
    Sec. 620. ``Special Notification Requirements''.
    Sec. 621. ``Definition of Program, Project, and Activity''.
    Sec. 624. ``Notification of Excess Defense Equipment''.
    Sec. 626. ``Prohibition on Bilateral Assistance to 
Terrorist Countries''.
    Sec. 627. ``Debt-For-Development''.
    Sec. 628. ``Separate Accounts''.
    Sec. 629. ``Enterprise Fund Restrictions''.
    Sec. 631. ``Authorities for the Peace Corps, Inter-American 
Foundation and African Development Foundation''.
    Sec. 632. ``Impact on Jobs in the United States''.
    Sec. 634. ``Arab League Boycott of Israel''.
    Sec. 635. ``Eligibility for Assistance''.
    Sec. 636. ``Reservations of Funds''.
    Sec. 639. ``Prohibition of Payments to United Nations 
Members''.
    Sec. 640. ``Nongovernmental Organizations--Documentation''.
    Sec. 641. ``Prohibition on Assistance to Foreign 
Governments that Export Lethal Military Equipment to Countries 
Supporting International Terrorism''.
    Sec. 642. ``Withholding of Assistance for Parking Fines 
Owed by Foreign Governments''.
    Sec. 643. ``Limitation on Assistance for the PLO for the 
West Bank and Gaza''.
    Sec. 644. ``War Crimes Tribunals Drawdown''.
    Sec. 645. ``Landmines''.
    Sec. 646. ``Restrictions Concerning the Palestinian 
Authority''.
    Sec. 647. ``Prohibition of Payment of Certain Expenses''.
    Sec. 650. ``Limitation on Assistance to the Palestinian 
Authority''.
    Sec. 651. ``Limitation on Assistance to Security Forces''.
    Sec. 652. ``Foreign Military Training Report''.
    Sec. 653. ``Authorization Requirement''.
    Sec. 655. ``Palestinian Statehood''.
    Sec. 659. ``West Bank and Gaza Program''.
    Sec. 661. ``War Criminals''.
    Sec. 662. ``User Fees''.
    Sec. 664. ``Community Based Police Assistance''.
    Sec. 665. ``Special Debt Relief for the Poorest''.
    Sec. 666. ``Authority to Engage in Debt Buybacks or 
Sales''.
    Sec. 673. ``Cuba''.
    Sec. 674. ``Gender-Based Violence Training''.
    Sec. 678. ``United States Agency for International 
Development Management''.
    Sec. 679. ``OPIC Transfer Authority''.
    Sec. 680. ``Reporting Requirement''.
    Sec. 681. ``Anticorruption Provisions''.
    Sec. 686. ``Prohibition on Use of Torture''.
    Sec. 692. ``Uzbekistan''.
    Sec. 693. ``Discrimination Against Minority Religious 
Faiths in the Russian Federation''.
    Sec. 695. ``Combating Piracy of United States Copyrighted 
Materials''.
    Sec. 697. ``United Nations Headquarters Renovation''.

            House of Representatives Reporting Requirements


                              Rescissions

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

               Changes in the Application of Existing Law

    Pursuant to clause 3(f)(1)(A) of rule XIII of the Rules of 
the House of Representatives, the following statements are 
submitted describing the effect of provisions in the 
accompanying bill that directly or indirectly change the 
application of existing law.
    Language is included in various parts of the bill to 
continue ongoing activities in fiscal year 2008 which require 
annual authorization or additional legislation, which to date 
has not been enacted.
    The bill includes provisions which place limitations on the 
use of funds in the bill or change existing limitations and 
which might under some circumstances be construed as changing 
the application of existing law.
    The bill includes a number of provisions, which have been 
virtually unchanged for many years, which are technically 
considered legislation.
    The bill provides that several of the appropriations shall 
remain available for obligation beyond the current fiscal year. 
In all cases it is deemed desirable to carry such language in 
order to provide for orderly administration of such programs 
and effective use of funds.
    In various places in the bill, the Committee recommendation 
continues the prior year's practice of designating amounts 
within appropriation accounts in order to fund specific 
programs, and in some places made adjustments to designations.
    The bill contains a number of general provisions and other 
language provisos that have been carried in prior years which 
include limitations and conditions on funding provided in the 
Act.
    Additional changes in the fiscal year 2008 bill, which may 
be construed as changing existing law, are as follows:
    Under ``Diplomatic and Consular Programs'' language is 
included designating funding, transfer authority, and 
limitations on certain programs, offices and activities.
    Under ``Diplomatic and Consular Programs'' language, 
carried in prior years, is included designating the 
availability and use of certain fees.
    Under ``Capital Investment Fund'' language, carried in 
prior years, is included stating that section 135(e) of Public 
Law 103-236 shall not apply.
    Under ``Office of Inspector General'' language, carried in 
prior years, is included that notwithstands section 209(a)(1) 
of Public Law 96-465.
    Under ``Educational and Cultural Exchange Programs'', 
language, carried in prior years, is included designating the 
availability and use of certain fees.
    Under ``Emergencies in the Diplomatic and Consular 
Service'' language, carried in prior years, is included 
permitting the transfer of not to exceed $1,000,000 to the 
``Repatriation Loans Program Account''.
    Under ``Contributions to International Organizations'', 
includes language carried in prior years requiring notification 
of any increase in the United Nations biennial budget.
    Under ``Contributions to International Peacekeeping 
Activities'', language, carried in prior years, is included 
regarding extended availability of funds. Language is included 
prohibiting funds to be obligated for any new or expanded 
United Nations peacekeeping mission unless the United Nations 
has taken appropriate measures to prevent sexual exploitation 
and to hold accountable individual who engage in such activity.
    Under ``International Broadcasting Operations'' language, 
carried in prior years, is included setting limitations on 
funds available for certain expenses and receipts.
    Under ``United States-China Economic and Security Review 
Commission'' language is included regarding printing, 
compensation, and other issues related to the Commission's work 
and authority.
    Sec. 101 includes language, carried in prior years, 
regarding allowances and differentials.
    Sec. 102 includes language, carried in prior years, 
requiring the Department of State and the Broadcasting Board of 
Governors to provide quarterly reports on the cumulative 
balances of any unobligated funds.
    Sec. 103 includes language, carried in prior years, 
requiring inter-agency cost sharing with respect to the 
construction and use of diplomatic facilities.
    Sec. 104 includes language, carried in prior years, placing 
certain limitations on funds available for peacekeeping 
missions.
    Sec. 105 includes language, carried in prior years, 
regarding the denial of certain visa requests.
    Sec. 106 includes language, carried in prior years, 
regarding certain limitations with respect to the Senior Policy 
Operating Group on Trafficking in Persons.
    Sec. 107 includes language, carried in prior years, 
regarding United States Citizens born in Jerusalem.
    Sec. 108 includes language, similar to language in prior 
years, making E-Government Initiatives subject to the 
reprogramming procedures in section 615 of the Act.
    Sec. 109 includes language, carried in prior years, 
regarding limitations on expenditures for consulting services.
    Sec. 110 includes language, carried in prior years, 
prohibiting the expenditure of funds in violation of section 
609 of the Departments of Commerce, Justice, and State, the 
Judiciary, and Related Agencies Appropriations Act, 1999.
    Sec. 111 includes language, carried in prior years, 
extending certain authorities of the Department of State and 
Broadcasting Board of Governors for fiscal year 2008.
    Sec. 112 includes language, carried in prior years, 
regarding the taxation of United States persons and 
restrictions in contributions to United Nations Delegations.
    Sec. 113 includes language, carried in prior years, 
regarding the treatment of certain personnel actions.
    Sec. 114 includes language, carried in prior years, 
establishing limitations on funds for United Nations 
Delegations chaired or presided over by certain prohibited 
countries.
    Under ``Export-Import Bank of the United States'', 
authority is provided for Sections 1(a) and (b) of Public Law 
103-428 to remain in effect until October 1, 2008. Under 
``Export-Import Bank of the United States, Subsidy 
Appropriations'', funds are appropriated for the cost of direct 
loans, loan guarantees, insurance, and tied-aid grants. Such 
costs shall be as defined in section 502 of the Congressional 
Budget Act of 1974 and may be used for the disbursement of 
direct loans, loan guarantees, and insurance and tied-aid 
grants obligated in fiscal years 2008, 2009, 2010, and 2011. 
These funds are available for obligation until September 30, 
2026. Under ``Export-Import Bank of the United States, 
Administrative Expenses'', authority is provided to extend 
subsection (a) of section 117 of the Export Enhancement Act of 
1992 until October 1, 2008; and a directive is included under 
the program account that not less than 10 percent of the 
aggregate loan, guarantee, and insurance authority available to 
the Export-Import Bank under this or any prior Act for 
renewable energy and environmentally beneficial products and 
services.
    Under ``Overseas Private Investment Corporation, Program 
Account'', funds are appropriated for the cost of direct and 
guaranteed loans, to be derived by transfer from the Overseas 
Private Investment Corporation Noncredit Account. Such costs 
shall be as defined in section 502 of the Congressional Budget 
Act of 1974 and may be used for direct loan and loan guaranty 
commitments incurred or made during fiscal years 2008, 2009, 
and 2010. These funds are available for obligation until 2016, 
2017, and 2018, depending on the initial date of obligation. 
Authority is provided for OPIC to undertake programs in Iraq.
    Under ``Child Survival and Health Programs Fund'' language 
is provided that designates how the funds should be allocated 
among various activities; not to exceed $350,000, in addition 
to funds otherwise available for such purposes, may be used to 
monitor and provide oversight of programs for displaced and 
orphaned children and victims of war; $70,000,000 is made 
available for a contribution to The GAVI Fund; and language is 
included that provides not less than $250,000,000, subject to 
matching contributions, for a contribution to the Global Fund 
to Fight AIDS, Tuberculosis and Malaria, which shall be 
expended at the minimum rate necessary to make timely payments 
for projects and activities.
    Under ``Development Assistance'', language is provided that 
designates how the funds should be allocated among various 
activities, including $519,000,000 for basic education, 
$300,000,000 for safe water; and $175,000,000 for biodiversity. 
Language is included designating $35,000,000 shall be made 
available only for programs to improve women's leadership 
capacity in recipient countries.
    Under ``Development Credit Authority'', authorized 
transfers, when added to the funds transferred pursuant to the 
authority contained under this heading in Public Law 107-115, 
shall not exceed $21,000,000. Such costs shall be as defined in 
section 502 of the Congressional Budget Act of 1974. The 
Provisions of section 107A(d) 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.
    Under ``Operating Expenses of the United States Agency for 
International Development'', USAID is prohibited from entering 
into domestic leases, except when necessary for continuity of 
operations, and to terminate a lease executed on September 30, 
2005. Language is included permitting the Secretary of State to 
utilize sections 610 and 109 of the Foreign Assistance Act to 
transfer funds to this account from funds appropriated to carry 
out chapter 1 of part I of that Act.
    Under ``Capital Investment Fund'', the Administrator of 
USAID is authorized to charge fair and reasonable rent in 
buildings constructed using funds appropriated under this 
heading, and such rental payments are designated as offsetting 
collections; and the assignment of employees or contractors to 
buildings is subject to the concurrence of the Administrator of 
USAID. Language is included that limits funding for 
implementing the Capital Security Cost Sharing Program to 
$75,144,500.
    Under ``Economic Support Fund'', not less than $415,000,000 
is made available only for Egypt of which not less than 
$135,000,000 shall be for project assistance, of which 
$50,000,000 is for democracy programs and not less than 
$50,000,000 is for education; not more than $300,000,000 may be 
available for Afghanistan subject to certification on poppy 
eradication and interdiction efforts; $218,500,000 is available 
only for Colombia alternative development assistance; 
$263,547,000 should be made available only for assistance for 
Jordan; not more than $63,500,000 may be made available for 
West Bank and Gaza; not less than $45,000,000 should be 
available for Lebanon of which not less than $10,000,000 should 
be available for American educational institutions for 
scholarships and other programs; $11,000,000 should be 
available for Cyprus; $1,000,000 is available for 
administrative expenses from funds available for Timor-Leste; 
funds may be spent for programs and activities for the Central 
Highlands of Vietnam; and funding made available for Middle 
East Financing Facility, Middle East Enterprise Fund, or any 
other similar entity shall be subject to regular notification 
procedures.
    Under ``Assistance for Eastern Europe and the Baltic 
States'' does not carry provision and funding on rule of law 
programs for training and judges.
    Under ``Assistance for the Independent States of the Former 
Soviet Union'', limits to administrative expenses for programs 
under section 807 of Public Law 102-511 to 6 percent, and 
directs that not less than $52,150,000 should be made available 
for assistance for child survival and health activities.
    Under ``African Development Foundation'', funds made 
available to grantees may be invested for project purposes when 
authorized by the Board of Directors, instead of by the 
President as in current law; authorizes the limitation in 
section 505(a)(2) of $250,000 to be waived in exceptional 
circumstances, but only up to $10,000.
    Under ``Peace Corps'', language, carried in prior years, is 
included that permits the Director to transfer up to $2,000,000 
to help mitigate exchange rate losses.
    Under ``Millennium Challenge Corporation'', language is 
included allowing up to 10 percent of funds for assistance to 
threshold countries but restricting the availability of funds 
until after the submission of a report describing the proposed 
implementation of the threshold program for fiscal year 2007. 
Section 605(e)(4) of the relevant authorization act is also 
applied to funds appropriated under this heading. 
Administrative expenses are limited to $95,000,000. Language is 
included requiring the MCC to fully fund compacts.
    Under ``Global HIV/AIDS Initiative'', not less than 
$300,000,000 is made available for a contribution to the Global 
Fund to Fight AIDS, Tuberculosis and Malaria, which shall be 
expended at the minimum rate necessary to make timely payments 
for projects and activities. Language is also included to 
provide up to five percent of the Global Fund contribution to 
be used for technical assistance related to the activities of 
the Global Fund.
    Under ``International Narcotics Control and Law 
Enforcement'', the Department of State is given the authority 
to use section 608 of the Foreign Assistance Act of 1961 to 
provide excess property to a foreign country; provides not less 
than $15,000,000 for International Law Enforcement Academies; 
funds demand reduction programs at $12,000,000; not less than 
$8,000,000 for programs to combat transnational crime and 
criminal youth gangs; a limitation of $38,000,000 is placed on 
administrative expenses; and a limitation that no funds shall 
be available for aerial eradication programs in Afghanistan.
    Under ``Andean Counterdrug Initiative'', assistance for 
Colombia is made available consistent with the provisions 
authorizing and limiting such assistance as are contained in 
Public Law 107-206; section 482(b) of the Foreign Assistance 
Act is waived, subject to notification; the Secretary of State, 
in consultation with the Administrator of USAID, shall provide 
to the Committee 45 days after the date of enactment a report 
on the proposed uses of all funds under this heading on a 
country-by-country basis for each proposed program, project or 
activity; not less than $5,000,000 for programs to protect 
biodiversity, indigenous reserves and Afro-Colombian lands from 
aerial spraying; not more than 10 percent of funds for aerial 
fumigation may be provided before a certification; 
determination that no effect alternatives exist to reduce drug 
cultivation and spraying is conduced in accordance with 
Colombian laws; not less than 10 percent of funds provided for 
interdiction is allocated for major drug interdiction 
operations; a limitation of $17,000,000 is placed on 
administrative expenses of the Department of State; requires a 
certification in order to provide assistance for the Bolivian 
military; and not more than $7,800,000 may be available for 
administrative expenses of the United States Agency for 
International Development. Provision providing support for 
unified campaign carried under section 649.
    Under ``Migration and Refugee Assistance'', limits 
administrative expenses to $22,500,000; provides $40,000,000 to 
resettle humanitarian migrants to Israel.
    Under ``Nonproliferation, Anti-terrorism, Demining, and 
Related Programs'', a limitation of $38,000,000 is placed on 
funding for the Nonproliferation and Disarmament Fund with 
authority to use such funds outside of the Independent States 
of the former Soviet Union and international organizations when 
it is in the national security interests of the United States 
to do so; conditions a contribution to the IAEA on a 
determination that Israel is not denied the right to 
participate or otherwise being discriminated against in that 
Agency; administrative expenses for operation and management of 
the demining program are limited to $700,000; and extends 
availability of ``Anti- terrorism Assistance'' and ``Export 
Control and Border Security'' funding to 2009.
    Under ``International Affairs Technical Assistance'', 
provides funds notwithstanding any other provision of law that 
restricts assistance to foreign countries.
    Under ``Debt Restructuring'' funds are provided for the 
cost of selling, reducing or canceling debts owed to the United 
States, of modifying concessional credit agreements with least 
developed countries, and of canceling amounts owed as a result 
of loans or guarantees; provides $20,000,000 to carry out part 
V of the Foreign Assistance Act of 1961; funds are provided for 
the Secretary of Treasury to pay the Heavily Indebted Poor 
Countries Trust Fund amounts for the benefits of countries that 
are eligible for debt reduction; provides that section 411 of 
the Agricultural Trade Development and Assistance Act of 1954 
shall not apply to funds under this heading; denies funding for 
Sudan or Burma until a determination that a democratically 
elected government has taken office.
    Under ``International Military Education and Training'', 
provides up to $3,000,000 available until expended; requires 
human rights certification of that Guatemalan Air Force, Navy 
and Army Corp of Engineers; provides only expanded military 
education and training for Libya and Angola; reporting 
requirement on Western Hemisphere Institute for Security 
Cooperation.
    Under ``Foreign Military Financing Program'' not less than 
$2,400,000,000 is appropriated for Israel, of which not less 
than $631,200,000 shall be available for the procurement in 
Israel of defense articles and defense services and that all 
funds for Israel must be disbursed within 30 days of enactment 
of this Act; $1,300,000,000 shall be made available for grants 
only for Egypt; a limitation of $41,900,000 is provided for 
administrative expenses; $200,000,000 shall be made available 
for Jordan; and a limitation of $395,000,000 from certain other 
funds may be obligated for expenses incurred pursuant to 
section 43(b) of the Arms Export Control Act; $5,000,000 is 
available until expended; provides funding for Guatemala in 
accordance with certification requirements on human rights, 
judicial authorities ability to investigate implications to 
gross violations of human rights and the International 
Commission Against Impunity in Guatemala (CICIG) has become 
law.
    Under title IV, funds for a number of international 
financial institutions are made available for contributions; 
funds are made available for the United States share of the 
paid-in portion of the increase in capital stock of certain 
institutions; and limitations are placed on callable capital 
subscriptions.
    Under ``General Provisions'':
    Sec. 607. ``Prohibition Against Direct Funding for Certain 
Countries'', includes language, carried in prior years but 
modified by lifting the restriction on ``International Military 
Education and Training'' (IMET) for Libya.
    Sec. 611. ``Availability of Funds'' includes language, 
carried in prior years but is modified by combining section 602 
of the fiscal year 2007 Science, State, Justice and Commerce 
Appropriations Act with section 511 of the fiscal year 2007 
Foreign Operations Appropriations Act and adding 
``International Military Education and Training'' to the 
extension of availability of funds.
    Sec. 615. ``Reprogramming Notification Requirements'' 
includes language, carried in prior years but is modified by 
combining section 605 of the fiscal year 2007 Science, State, 
Justice and Commerce Appropriations Act with section 515 of the 
fiscal year 2007 Foreign Operations Appropriations Act; making 
them subsection (a)(b), and (c)(d) respectively. The Committee 
intends to extend the human health and welfare exemption all 
funding in this bill.
    Sec. 617, ``Independent States of the Former Soviet Union'' 
includes language, carried in prior years but deletes 
``Kazakhstan'' from the list of notification countries.
    Sec. 622, ``Child Survival and Health Activities'' includes 
language, carried in prior years but is revised by making 
technical corrections, by reverting to prior year bill language 
on family planning/reproductive health spending, and adding a 
provision on contraceptives.
    Sec. 623, ``Afghanistan'' includes language, carried in 
prior years but is modified by changing ``should'' to ``shall'' 
and by removing provisions related to a specific Afghan human 
rights organization and capacity building.
    Sec. 625, ``Global Fund to Fight AIDS, Tuberculosis, and 
Malaria'' includes language, carried in prior years but is 
modified to include benchmarks upon which the Global Fund 
contribution is conditioned.
    Sec. 630, ``Financial Market Assistance'' includes 
language, carried in prior years but is modified by deleting 
``In Transition Countries'' from the header striking the 
funding level and making applicable to countries eligible to 
receive United States assistance.
    Sec. 633, ``Special Authorities'', includes language, 
carried in prior years which is modified by deleting subsection 
(f), (i), and (l) of the fiscal year 2007 Act. Subsection (i), 
Middle East Foundation'', has been modified to exclude the 
provision that a majority of the board of directors be United 
States citizens.
    Sec. 637, ``Ceilings and Designated Funding Levels'', 
includes language, carried in prior years which is modified by 
combining section 417 of the fiscal year 2007 Science, State, 
Justice and Commerce Appropriations Act with section 538 of the 
fiscal year 2007 Foreign Operations Appropriations Act. 
Additionally the word ``earmark'' has been substituted with 
``designated funding level'' wherever it appeared. There are no 
other substantive changes to the provision.
    Sec. 638, ``Prohibition on Publicity or Propaganda'' 
includes language, carried in prior years but which is modified 
by combining section 601 of the fiscal year 2007 Science, 
State, Justice and Commerce Appropriations Act with section 539 
of the fiscal year 2007 Foreign Operations Appropriations Act.
    Sec. 649, ``Colombia'' is a new general provision providing 
capped funding for Colombia at $530,608,000, and setting 
funding limits for the various accounts that provided funding 
to make up the overall funding level. Provision also provides 
funding for alternative development programs, military 
assistance and training, and rule of law programs. The 
provision includes language formerly contained under the 
heading ``Andean Counterdrug Initiative'' (ACI) which extends 
the availability of funds provided for assistance for Colombia 
to support a unified campaign against narcotics trafficking, 
against activities by organizations designated as terrorist 
organizations, and to take actions to protect health and human 
welfare. It continues the language directing the Secretary of 
State to consult with the Committee if implementing the 
expanded authorities.
    Sec. 654, ``Libya'' is a new general provision providing no 
funds may be made available for any diplomatic operations in 
Libya until Presidential certification that settlements to the 
surviving families of Pan Am Flight 103 bombing have been paid.
    Sec. 656, ``Limitations on Assistance to Colombia'' is 
similar to section 556 of the 2007 Act and is modified by 
changing the amount of assistance withheld from the Colombian 
armed forces prior to a written certification from 25 percent 
to 35 percent. Funding for critical flight safety and or any 
alternative development programs are exempted from the 
withholding.
    Sec. 657, ``Prohibition on Assistance to the Palestinian 
Broadcasting Corporation'' includes language, carried in prior 
years but is modified by combining section 403 of the fiscal 
year 2007 Science, State, Justice and Commerce Appropriations 
Act with section 558 of the fiscal year 2007 Foreign Operations 
Appropriations Act; making the provision applicable to all 
funding within the Act. No other substantive changes have been 
applied.
    Sec. 658, ``Support of Peace Process and Demobilization in 
Colombia'' is a new general provision which modifies the 
section 599E, Assistance for Demobilization and Disarmament of 
Former Irregular Combatants in Colombia, contained in the 
fiscal year 2007 Act. Provides funding in ESF for 
demobilization and OAS activities and retains language 
requiring consultation and notification before the obligation 
of funds for demobilization of paramilitaries.
    Sec. 659, ``West Bank and Gaza Programs'' includes 
language, carried in prior years which includes an additional 
prohibition on obligation for security assistance.
    Sec. 660, ``Contributions to the United Nations Population 
Fund'' includes language, carried in prior years and includes 
new language directing a dollar-for-dollar reduction for 
programs in China.
    Sec. 663, ``Funding for Serbia'' includes language, carried 
in prior years but deletes the determination and certification 
requirement regarding Radovan Karadzic and includes language 
which differentiates between Serbia and Montenegro.
    Sec. 667, ``Basic Education'' includes language, carried in 
prior years but provides new language with regard to direction 
on programs in developing countries.
    Sec. 669, ``Sudan'' includes language, carried in prior 
years but is modified by removing subsection (a) of the fiscal 
year 2006 Act, exempting support for the Darfur Peace Agreement 
from restrictions under this section, and updating the 
certification provision to include ceasefire commitments made 
in the Darfur Peace Agreement.
    Sec. 671, ``Excess Defense Articles for Central and South 
European Countries and Certain Other Countries'' includes 
language, carried in prior years but is modified by deleting 
``Uzbekistan''.
    Sec. 673, ``Cuba'' is the same general provision as 
included in the House-passed Foreign Operations, Export 
Financing and Related Programs Bill, fiscal year 2007 bill and 
prohibits counternarcotics assistance in this Act to the 
Government of Cuba.
    Sec. 674, ``Limitation on Economic Support Fund Assistance 
for Certain Foreign Governments That Are Parties to the 
International Criminal Court'' includes language, carried in 
prior years but is modified by deleting subsection (e) of the 
fiscal year 2007 Act.
    Sec. 677, ``Western Hemisphere'' is similar to section 576 
of the 2007 Act except subsection (b) is stricken and replaced 
by FMF funding levels for Colombia, El Salvador, Honduras, 
Bolivia, Guatemala, and Belize.
    Sec. 682, ``Indonesia'' includes language, carried in prior 
years but is modified by deleting prior restrictions that are 
no longer applicable.
    Sec. 684, ``Peacekeeping Cap'' is a new general provision 
that lifts the congressional restrictions on assessed costs of 
UN peacekeeping missions from 25 percent to 27.1 percent for 
fiscal year 2008.
    Sec. 685, ``Limitation on Basing in Iraq'' is a new general 
provision to this bill and similar to a provision (section 627) 
of the House-passed 2007 Science, State, Justice, and Commerce 
appropriations bill. The provision restricts funds from this 
Act to be used to enter into a basing agreement between Iraq 
and the United States.
    Sec. 687, ``Report on Indonesian Cooperation'' is a 
Secretary of State reporting requirement analogous to section 
599G of the 2007 Act which applies only to IMET training and 
includes new requirements.
    Sec. 688, ``Limitation on Assistance to Foreign Countries 
that Refuse to Extradite to the United States and Individual 
Accused in the United States of Killing a Law Enforcement 
Officer'' includes language, carried in prior years but deletes 
the waiver.
    Sec. 689, ``Governments That Have Failed to Permit Certain 
Extraditions'' includes language, carried in prior years but 
removes the waiver.
    Sec. 690, ``International Monetary Fund Budget and Hiring 
Ceilings'' is a new provision to this bill. It is similar to a 
provision (section 579) of the House passed fiscal year 2007 
Foreign Operations appropriations bill. The provision directs 
the United States Executive Director to urge IMF management and 
staff to encourage governments to protect social spending on 
poor people while keeping overall budget spending within a 
level that does not undermine economic stability.
    Sec. 694, ``War Crimes in Africa'' includes language, 
carried in prior years but deletes subsection (d) from the 2007 
Act.
    Sec. 696, ``Oversight of Iraq Reconstruction'' includes 
language which applies the authority to all reconstruction 
funds in Iraq in fiscal years 2006, 2007, and 2008.
    Sec. 699, ``Assistance for Egypt'' is a new general 
provision which conditions a portion of FMF subject to 
certification and report.
    Sec. 699A, ``Relief for the Hmong and Montagnards'' is a 
new section amending the Immigration and Nationality Act with 
regard to the admission qualifications for certain Hmong and 
Montagnard refugees.
    Sec. 699B, ``Report on Anti-Corruption Activities'' is a 
new section providing for a report with regard to countries 
receiving assistance under the headings ``Development 
Assistance'', ``Assistance for Eastern Europe and the Baltic 
States'', and ``Assistance for the States of the Former Soviet 
Union'' on the level of corruption activities in such 
countries.
    Sec. 699C, ``Programs to Improve Democracy, the Rule of 
Law, and Governance in Iran'' is a new section providing 
$50,000,000 for democracy, rule of law and governance programs 
in Iran.

                  Appropriations Not Authorized by Law

    Pursuant to clause 3(f)(1)(B) of rule XIII of the Rules of 
the House of Representatives, the following table lists the 
appropriations in the accompanying bill which are not 
authorized by law for the period concerned:

----------------------------------------------------------------------------------------------------------------
                                                                            Appropriations in
           Agency/Activity                Last Year        Authorization       Last Year of    Appropriations in
                                          Authorized           Level          Authorization         the Bill
----------------------------------------------------------------------------------------------------------------
Department of State/Administration                 2003     $5,290,390,000     $5,874,914,000     $7,141,257,000
 of Foreign Affairs.................
Department of State/International                  2003     $1,529,702,000     $1,672,000,000     $2,656,400,000
 Organizations......................
Department of Stat/International                   2003        $71,385,000        $57,730,000       $148,785,000
 Commissions........................
Department of State/Other...........               2003        $72,000,000        $69,986,000        $96,750,000
Broadcasting Board of Governors.....               2003       $644,486,000       $599,560,000       $682,380,000
Commission on International                        2003         $3,000,000         $3,000,000         $3,400,000
 Religious Freedom..................
U.S. Institute of Peace.............               2003   Such sums as may        $16,256,000        $25,000,000
                                                              be necessary
Export/Import Bank Subsidy                         2006       $100,000,000        $74,000,000        $68,000,000
 Appropriation......................
Export/Import Bank Administrative                  2006        $73,200,000        $72,468,000        $78,000,000
 Expenses...........................
Export/Import Bank Inspector General               2006         $1,000,000           $990,000         $1,000,000
Overseas Private Investment                        2003   Such sums as may        $39,626,000        $47,500,000
 Corporation Administrative Expenses                          be necessary
Overseas Private Investment                        2003   Such sums as may        $23,844,000        $20,000,000
 Corporation Noncredit Account......                          be necessary
Child Survival and Health Programs           Population         Population         Population     $1,957,150,000
 Fund (see note below)..............            (1987);    ($290,000,000);    ($234,625,000);          (includes
                                             Health and         Health and         Health and   $375,000,000 for
                                                Disease            Disease            Disease        Population)
                                             Prevention         Prevention         Prevention
                                          (1987); Child    ($180,000,000);    ($166,762,000);
                                          Survival Fund     Child Survival     Child Survival
                                                 (1987)               Fund  Fund (75,000,000)
                                                             ($75,000,000)
Development Assistance (see note            Agriculture        Agriculture        Agriculture     $1,733,760,000
 below).............................            (1987);    ($760,000,000);    ($693,613,000);         (includes:
                                      Education (1987);          Education          Education   $519,000,000 for
                                             Energy and    ($180,000,000);    ($155,000,000);   basic education;
                                               selected         Energy and         Energy and     other programs
                                            development           selected           selected       difficult to
                                      activities (1987)        development        development   determine due to
                                                                activities         activities           changing
                                                            ($207,000,000)     ($149,990,000)        definitions
                                                                                                  programs since
                                                                                                last authorized)
International Disaster and Famine                  1987        $25,000,000        $70,000,000       $322,350,000
 Assistance.........................
Transition Initiatives..............         None (same                 NA                 NA        $40,000,000
                                         authorities as
                                          International
                                               Disaster
                                            Assistance)
Development Credit Authority........               None                 NA                 NA    $21,000,000 (by
                                                                                                       transfer)
Development Credit Authority--                     None                 NA                 NA         $7,400,000
 administrative expenses............
Operating Expenses of the United                   1987       $387,000,000       $340,600,000       $625,700,000
 States Agency for International
 Development........................
Capital Investment Fund.............               None                 NA                 NA        $87,300,000
Operating Expenses of the United                   1987        $21,750,000        $21,000,000        $38,000,000
 States Agency for International
 Development--Inspector General.....
Economic Support Fund...............               1987     $3,800,000,000     $3,555,000,000     $2,656,506,000
International Fund for Ireland......               1988        $35,000,000        $35,000,000        $15,000,000
Assistance for Eastern Europe and                  None                 NA                 NA       $297,332,000
 the Baltic States (see note below).
Assistance for the Independent                     1993       $410,000,000       $417,000,000       $397,585,000
 States of the Former Soviet Union..
Inter-American Foundation...........               1993        $31,000,000        $30,960,000        $19,000,000
African Development Foundation......               1987         $3,872,000         $6,500,000        $30,000,000
Peace Corps.........................               2003       $365,000,000       $295,069,000       $333,500,000
Millennium Challenge Corporation....               2005   Such sums as may     $1,488,000,000     $1,800,000,000
                                                              be necessary
International Narcotics Control and                1994       $171,500,000       $100,000,000       $568,475,000
 Law Enforcement....................
Andean Counterdrug Initiative.......               None                 NA                 NA       $312,460,000
Migration and Refugee Assistance....               2003       $820,000,000       $781,884,000       $813,900,000
U.S. Emergency Refugee and Migration               1962    Such amounts as                 NA        $45,000,000
 Assistance Fund (see note below)...                      may be necessary
Nonproliferation, Anti-terrorism,                  2003           $226,200                 NA       $467,000,000
 Demining and Related Programs (see
 note below)........................
Debt Restructuring..................               2004   Such sums as may        $94,440,000       $200,300,000
                                                              be necessary
International Affairs Technical                    1999         $5,000,000         $1,500,000        $18,000,000
 Assistance.........................
International Military Education and               2003        $85,000,000        $79,480,000        $85,076,000
 Training...........................
Foreign Military Financing..........               2003     $4,107,000,000     $6,104,632,000     $4,459,236,000
Peacekeeping Operations.............               1999        $83,000,000        $76,500,000       $293,200,000
Multilateral Investment Fund........               1997       $100,000,000        $27,500,000       $25,000,000
----------------------------------------------------------------------------------------------------------------
Note: Programs recommended herein under ``Child Survival and Health Programs Fund'' and ``Development
  Assistance'' were last authorized under a different account structure than that recommended in this bill; the
  account structure included a number functional accounts, as described above. Microenterprise programs were
  reauthorized in 2004, covering the period through 2009.
Note: Programs recommended herein under ``Support for Eastern Europe and the Baltic States'' were last
  authorized in the Support for East European Democracy (SEED) Act 1989; however, these funds were authorized
  for discrete programs and not for the account as a whole. In fiscal year 1991, the first general
  appropriations act after enactment the SEED Act included $369,675,000 for this account.
Note: Funds for the United States Emergency Refugee and Migration Assistance Program (ERMA) are authorized in
  such amounts as may be necessary; however, appropriations which would result in a balance in the fund more
  than $100,000,000 are prohibited (22 U.S.C. 2601(c)) absent a waiver this provision law.
Note: Programs recommended herein under ``Nonproliferation, Anti-terrorism, Demining, and Related Programs''
  include some major programs for which authorizations appropriations were provided for fiscal year 2002; these
  programs include $73,000,000 authorized for antiterrorism assistance and $142,000,000 authorized for
  nonproliferation activities. In addition, some programs now in this account were previously in accounts which
  had authorizations of appropriations in prior years.
Note: The Tropical Forest Conservation Act 1998 was reauthorized in 2004, including program authorization
  through 2007.

                           Transfer of Funds

    Pursuant to clause 3(f)(2) of rule XIII of the Rules of the 
House of Representatives, the following table lists the 
transfers of funds included in the accompanying bill.

            Appropriation Transfers Recommended in the Bill


----------------------------------------------------------------------------------------------------------------
                                                                 Account to which the transfer
    Account to which the transfer is made           Amount                  is made                   Amount
----------------------------------------------------------------------------------------------------------------
Diplomatic and Consular Programs.............      $10,000,000  Emergencies in the Diplomatic        $10,000,000
                                                                 and Consular Service.
Emergencies in the Diplomatic and Consular          $1,000,000  Repatriation Loans Program            $1,000,000
 Service.                                                        Account.
Child Survival and Health Programs Fund......       $6,000,000  Operating Expenses of the             $6,000,000
                                                                 United States Agency for
                                                                 International Development.
Funds appropriated in the Act to carry out         $21,000,000  Development Credit Authority...      $21,000,000
 part I of the Foreign Assistance Act of 1961
 and under ``Assistance for eastern Europe
 and the Baltic States''.
Economic Support Fund........................     $218,500,000  Development Assistance.........     $218,500,000
Peace Corps..................................       $2,000,000  Foreign Currency Fluctuations         $2,000,000
                                                                 Account.
Funds appropriated under title III of this         $20,000,000  Overseas Private Investment          $20,000,000
 Act.                                                            Corporation Program Account.
----------------------------------------------------------------------------------------------------------------

                 Comparison With the Budget Resolution

    Pursuant to clause 3(c)(2) of rule XIII of the Rules of the 
House of Representatives and section 308(a)(1)(A) of the 
Congressional Budget and Impoundment Control Act of 1974 
(Public Law 93-344), as amended, the following table compares 
the levels of new budget authority provided in the bill with 
the appropriate allocation under section 302(b) of the Budget 
Act.

                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                            302(b)
                                        allocations--                          This bill--
----------------------------------------------------------------------------------------------
General purpose discretionary.......             34,243             33,351             34,243         \1\ 33,225
Mandatory...........................                159                159                159                159
----------------------------------------------------------------------------------------------------------------
\1\ Includes outlays from prior-year budget authority.

                      Five-Year Outlay Projections

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

                        [In millions of dollars]
 Budget Authority......................................            34,402
Outlays:
    2008..............................................            16,984
    2009..............................................             8,971
    2010..............................................             3,473
    2011..............................................             2,171
    2012..............................................             2,441
               Assistance to State and Local Governments

    Pursuant to section 308(a)(1)(C) of the Congressional 
Budget and Impoundment Control Act of 1974 (Public Law 93-344), 
as amended, the financial assistance to State and local 
governments is as follows:

                        [In millions of dollars]
 Budget Authority...................................... not applicable 
Fiscal Year 2008 outlays resulting therefrom..........  not applicable 
                        Constitutional Authority 

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

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

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

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

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

         Statement of General Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, the following is a statement of 
general performance goals and objectives for which this measure 
authorizes funding:
    The Committee on Appropriations considers program 
performance, including a program's success in developing and 
attaining outcome-related goals and objectives, in developing 
funding recommendations.

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

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

SECTION 1238 OF THE FLOYD D. SPENCE NATIONAL DEFENSE AUTHORIZATION FOR 
                            FISCAL YEAR 2001

SEC. 1238. UNITED STATES-CHINA ECONOMIC AND SECURITY REVIEW COMMISSION.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Duties.--
          (1) Annual report.--Not later than [June] December 1 
        each year (beginning in 2002), the Commission shall 
        submit to Congress a report, in both unclassified and 
        classified form, regarding the national security 
        implications and impact of the bilateral trade and 
        economic relationship between the United States and the 
        People's Republic of China. The report shall include a 
        full analysis, along with conclusions and 
        recommendations for legislative and administrative 
        actions, if any, of the national security implications 
        for the United States of the trade and current balances 
        with the People's Republic of China in goods and 
        services, financial transactions, and technology 
        transfers. The Commission shall also take into account 
        patterns of trade and transfers through third countries 
        to the extent practicable.

           *       *       *       *       *       *       *

  [(g) Applicability of FACA.--The provisions of the Federal 
Advisory Committee Act (5 U.S.C. App.) shall apply to the 
activities of the Commission.]
                              ----------                              


       FOREIGN OPERATIONS EXPORT FINANCING, AND RELATED PROGRAMS 
APPROPRIATIONS ACT, 1990

           *       *       *       *       *       *       *


TITLE V--GENERAL PROVISIONS

           *       *       *       *       *       *       *


       establishing categories of aliens for purposes of refugee 
                             determinations

  Sec. 599D. (a) * * *
      (b) Establishment of Categories.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Within the number of admissions of refugees 
        allocated for each of fiscal years 1990, 1991, and 1992 
        for refugees who are nationals of the Soviet Union 
        under section 207(a)(3) of the Immigration and 
        Nationality Act and within the number of such 
        admissions allocated for each of fiscal years 1993, 
        1994, 1995, 1996, 1997, 1998, 1999, 2000, 2001, 2002, 
        2003, 2004, 2005, 2006, [and] 2007 , and 2008 for 
        refugees who are nationals of the independent states of 
        the former Soviet Union, Estonia, Latvia, and Lithuania 
        under such section, notwithstanding any other provision 
        of law, the President shall allocate one thousand of 
        such admissions for such fiscal year to refugees who 
        are within the category of aliens described in 
        paragraph (2)(B).

           *       *       *       *       *       *       *

      (e) Period of Application.--
          (1) Subsections (a) and (b) shall take effect on the 
        date of the enactment of this Act and shall only apply 
        to applications for refugee status submitted before 
        October 1, [2007] 2008.
          (2) Subsection (c) shall apply to decisions made 
        after the date of the enactment of this Act and before 
        October 1, [2007] 2008.
          (3) Subsection (d) shall take effect on the date of 
        the enactment of this Act and shall only apply to 
        reapplications for refugee status submitted before 
        October 1, [2007] 2008.

           *       *       *       *       *       *       *


    adjustment of status for certain soviet and indochinese parolees

  Sec. 599E. (a) * * *
    (b) Aliens Eligible for Adjustment of Status.--The benefits 
provided in subsection (a) shall only apply to an alien who--
          (1) * * *
          (2) was inspected and granted parole into the United 
        States during the period beginning on August 15, 1988, 
        and ending on September 30, [2007] 2008, after being 
        denied refugee status.

           *       *       *       *       *       *       *

                              ----------                              


 SECTION 404 OF THE FOREIGN RELATIONS AUTHORIZATION ACT, FISCAL YEARS 
                             1994 AND 1995

SEC. 404. ASSESSED CONTRIBUTIONS FOR UNITED NATIONS PEACEKEEPING 
                    OPERATIONS.

  (a) * * *
  (b) Limitation on United States Contributions.--
          (1) * * *
          (2) Subsequent fiscal years.--(A) * * *
                  (B) Reduction in united states share of 
                assessed contributions.--Notwithstanding the 
                percentage limitation contained in subparagraph 
                (A), the United States share of assessed 
                contributions for each United Nations 
                peacekeeping operation during the following 
                periods is authorized to be as follows:
                          (i) * * *

           *       *       *       *       *       *       *

                          (v) For assessments made during 
                        calendar year 2008, 27.1 percent.

           *       *       *       *       *       *       *

                              ----------                              


   SECTION 3001 OF THE EMERGENCY SUPPLEMENTAL APPROPRIATIONS ACT FOR 
    DEFENSE AND FOR THE RECONSTRUCTION OF IRAQ AND AFGHANISTAN, 2004

SEC. 3001. SPECIAL INSPECTOR GENERAL FOR IRAQ RECONSTRUCTION.

  (a) * * *

           *       *       *       *       *       *       *

  (h) Personnel, Facilities, and Other Resources.--(1) The 
Inspector General may select, appoint, and employ such officers 
and employees as may be necessary for carrying out the duties 
of the Inspector General, subject to the provisions of title 5, 
United States Code, governing appointments in the competitive 
service, and the provisions of chapter 51 and subchapter III of 
chapter 53 of such title, relating to classification and 
General Schedule [pay rates.] pay rates, and may exercise the 
authorities of subsections (b) through (i) of section 3161 of 
title 5, United States Code (without regard to subsection (a) 
of such section).

           *       *       *       *       *       *       *

  (o) Termination.--(1)(A) * * *
  (B) For purposes of calculating the termination of the Office 
of the Inspector General under this subsection, any United 
States funds appropriated or otherwise made available for 
[fiscal year 2006 or fiscal year 2007] fiscal years 2006 
through 2008 for the reconstruction of Iraq, irrespective of 
the designation of such funds, shall be deemed to be amounts 
appropriated or otherwise made available to the Iraq Relief and 
Reconstruction Fund.

           *       *       *       *       *       *       *

  (p) Rule of Construction.--For the purposes of carrying out 
the duties of the Inspector General, any United States funds 
appropriated or otherwise made available for fiscal years 2006 
through 2008 for the reconstruction of Iraq, irrespective of 
the designation of such funds, shall be deemed to be amounts 
appropriated or otherwise made available to the Iraq Relief and 
Reconstruction Fund.

SECTION 1054 OF THE JOHN WARNER NATIONAL DEFENSE AUTHORIZATION ACT FOR 
                            FISCAL YEAR 2007

                          (Public Law 109-364)

SEC. 1054. MODIFICATION OF AUTHORITIES RELATING TO THE SPECIAL 
                    INSPECTOR GENERAL FOR IRAQ RECONSTRUCTION.

  (a) Duties.--For purposes of carrying out the duties of the 
Special Inspector General for Iraq Reconstruction under section 
3001(f) of the Emergency Supplemental Appropriations Act for 
Defense and for the Reconstruction of Iraq and Afghanistan, 
2004 (Public Law 108-106; 117 Stat. 1235 et seq.; 5 U.S.C. 
App., note to section 8G of Public Law 95-452), any United 
States funds appropriated or otherwise made available for 
[fiscal year 2006] fiscal years 2006 through 2008 for the 
reconstruction of Iraq, irrespective of the designation of such 
funds, shall be deemed to be amounts appropriated or otherwise 
made available to the Iraq Relief and Reconstruction Fund.

           *       *       *       *       *       *       *

                              ----------                              


           SECTION 212 OF THE IMMIGRATION AND NATIONALITY ACT

 GENERAL CLASSES OF ALIENS INELIGIBLE TO RECEIVE VISAS AND INELIGIBLE 
               FOR ADMISSION; WAIVERS OF INADMISSIBILITY

      Sec. 212. (a) Classes of Aliens Ineligible for Visas or 
Admission.--Except as otherwise provided in this Act, aliens 
who are inadmissible under the following paragraphs are 
ineligible to receive visas and ineligible to be admitted to 
the United States:
          (1) * * *

           *       *       *       *       *       *       *

          (3) Security and related grounds.--
                  (A) * * *
                  (B) Terrorist activities.--
                          (i) * * *
                          (ii) Exception.--Subclause [(VII)] 
                        (IX) of clause (i) does not apply to a 
                        spouse or child--
                                  (I) * * *

           *       *       *       *       *       *       *

                          (vii) Clause (vi) shall not apply to 
                        the Hmong or Montagnards on the basis 
                        of any act or event occurring in or 
                        before 1975.

           *       *       *       *       *       *       *


                                Earmarks

    Pursuant to clause 9 of rule XXI of the Rules of the House 
of Representatives, this bill, as reported, contains no 
congressional earmarks, limited tax benefits, or limited tariff 
benefits as defined in clause 9(d), 9(e), or 9(f) of rule XXI.
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       MINORITY VIEWS OF THE HON. JERRY LEWIS AND HON. FRANK WOLF

    Chairwoman Lowey is to be commended for the reasonable and 
thoughtful manner in which she conducted the business of the 
subcommittee in her first year as Chairwoman. The 
subcommittee's work this year has been a bipartisan, 
collaborative effort. In spite of the comity reflected in much 
of the subcommittee's work, however, we have genuine policy 
differences with the Democrat majority and a divergence in 
views over the level of funding necessary to address the 
critical needs of this bill.
    The State, Foreign Operations, and Related Programs 
Appropriations Bill provides $34,243,000,000 in discretionary 
budget authority, which is $700,000,000 below the President's 
budget request, and $2,966,000,000 above fiscal year 2007. The 
bill provides funding for the Department of State, the United 
States Agency for International Development, the Millennium 
Challenge Corporation, the export finance agencies, the Peace 
Corps, various international organizations including the United 
Nations, the Department of Treasury's international programs, 
bilateral and multilateral assistance to foreign countries, and 
the World Bank and other multilateral development banks. While 
the bill provides significant increases for many of these 
activities, in total the bill provides funding below the level 
requested by the Administration.
    We appreciate that the Subcommittee Chairwoman allowed the 
Minority to provide input into drafting the bill. Specifically, 
we commend the Chairwoman's commitment to the protection of 
human rights and to improving the lives of children and 
families around the world. We fully support the Chairwoman's 
efforts to increase funding for embassy security, public 
diplomacy, educational and cultural exchanges, for the 
protection of human rights, assistance for those afflicted with 
HIV/AIDs and to prevent the spread of this and other diseases, 
and for refugee assistance.

                            Items of Concern

    While Chairwoman Lowey's committee mark is positive in many 
respects, we would be remiss if we did not outline several 
specific areas where we would have written this bill 
differently.

                                  IRAQ

    We are disappointed that the bill does not provide any of 
the President's Budget Request of $391,800,000 for assistance 
for Iraq for fiscal year 2008. We believe that this decision 
sends a terrible message to our troops fighting in Iraq and to 
the Foreign Service Officers and civilians working for the 
Department of State and USAID who are risking their lives 
trying to help the Iraqi people.
    We have a number of specific concerns. First, we believe 
that not providing the requested $16,000,000 for 
counterterrorism and de-mining activities is shortsighted and 
potentially dangerous. This program has trained more than 1,000 
Iraqis in explosive detection and removal, therefore helping to 
protect the lives of our military and also improving public 
safety to reduce insurgent access to deadly munitions.
    Second, no funds are provided as requested to continue the 
development of effective civilian law enforcement anti-
terrorism organizations in Iraq, specifically focusing on 
strengthening terrorist financing and money laundering 
programs.
    Third, no funds are provided for the International Military 
Education and Training program that would continue English-
language training and professional military training for Iraqi 
military officers in the United States. This training improves 
the Iraqi military's awareness of international human rights 
norms, fostering respect for the principle of civilian control 
of the military and the rule of law. Such funding is crucial if 
public statements by Members about wanting the Iraqis to be 
able to defend themselves are in fact accurate and not purely 
rhetorical.
    Fourth, a total of $90,000,000 would improve Iraq's ability 
to execute its national budget, a crucial step towards Iraq's 
self-reliance. Funding is requested for economic policy, 
subsidy, legal and regulatory reform, which is crucial to 
enable Iraq to stimulate local economies to counter the impact 
of the insurgents. Additionally, this assistance would help 
Iraq create jobs in the agricultural sector and increase food 
production, thereby stimulating Iraq's second largest economic 
sector. These funds would directly weaken the insurgent base in 
rural areas.
    Finally, a total of $25,000,000 would bolster national 
reconciliation and political reform as well as support fair 
provincial elections in 2008 and fair national elections in 
2009. An increase of $25,000,000 would assist the development 
of the Iraqi criminal justice system. These necessary funds 
would allow the Iraqi government to identify, bring to justice, and 
incarcerate insurgents and terrorists who are trying to destabilize the 
country.
    Given the extensive debate in the Congress over the last 
few months, a decision not to provide funding in the State, 
Foreign Operations bill for Iraq sends a signal that all 
statements by Members of Congress who want Iraqi's to be able 
to take control of their own country are purely rhetorical.

                    MILLENNIUM CHALLENGE CORPORATION

    The President requested $3 billion for the fifth year of 
operations of the Millennium Challenge Corporation (MCC). The 
request reflects the strong demand from countries already 
eligible for MCC funding and those countries likely to become 
newly eligible in fiscal year 2008. We are disappointed that 
the bill only provides $1.8 billion for the MCC, a level that 
is a 40 percent cut from the President's request.
    Congressional action this year will be the deciding factor 
on the future of MCC assistance. We are especially concerned 
that many Members of the majority see the MCC mostly as a 
Presidential priority and as a partisan issue. We believe the 
majority would have a different view of a program if they were 
to ask the citizens of the MCC countries--not just the 
recipients of the funds, but the beneficiaries of the good 
governance and anticorruption policies instilled by the MCC.
    The primary argument made by the majority for not providing 
increases to MCC funding is that MCC disbursements are too 
slow. Therefore, additional funds are not needed. The MCC was 
designed to provide assistance for a country for a 5-year 
period and must be funded entirely by Congress up front in the 
first year. The MCC is different from the traditional 
development assistance programs in that it does not receive 
incremental, precarious funding. The premise of the MCC is that 
there is a commitment between the United States and developing 
countries that the developing country would receive U.S. 
assistance only if they govern justly, contribute their own 
funding to invest in their citizens, and root out corruption. 
These are requirements that traditional development assistance 
programs do not have.
    Additionally, lost in the debate is the fact that seven of 
the next eight agreements, or compacts, awaiting MCC funding 
are with African nations. By cutting MCC assistance, this bill 
effectively cuts development assistance to Africa; these are 
African nations which have improved governance, increased 
funding for education, and fought corruption.
    MCC funding is not channeled through the normal foreign 
assistance nongovernmental organizations, and this may be 
another reason that MCC funding is controversial. The 
Republicans would argue that the developing world is ready and 
waiting for a new opportunity to fight poverty and generate 
economic growth. The status quo approach has not worked. The 
MCC is a results-driven approach to development assistance 
which combines many of the lessons learned from our efforts 
over the last few decades. This is a critically important 
program, a new way to create partnerships with countries, and 
these partnerships are based on accountability, country 
ownership, and a commitment to economic growth.
    We appreciate the Chairwoman's verbal commitment to work 
toward higher levels of funding for the MCC as this bill moves 
through the appropriations process.

                                COLOMBIA

    We remain deeply concerned about the future of the 
relationship between the U.S. and Colombia as a result of 
provisions and funding decisions in this bill. President Uribe 
won his presidential election with an 84 percent approval 
rating. The citizens of Colombia support him overwhelmingly yet 
that level of support is not reflected in language included in 
the bill and accompanying report. The Colombian Government has 
been a critical ally of the United States in the fight against 
narcotics production and trafficking. However, instead of 
recognizing the progress that Colombia has made over the past 
decade, this bill cuts funding. Moreover, it shakes the very 
basis of the cooperative relationship that the U.S. has 
developed with the Colombian government. This is no way to 
treat such an important ally.
    Additionally, there is a $100,000,000 shift in focus of 
U.S. counter-narcotics and counterterrorism policy for Colombia 
from eradication and interdiction towards alternative 
development. The United States is the only partner of Colombia 
providing external support for eradication and 
counterterrorism, while international organizations and other 
donor countries assist with alternative development programs. 
Therefore, such a shift would have significant effects on the 
ability of the Colombian Government to continue its commitment 
to fight coca cultivation, the primary source of funding of 
terrorism in the Western Hemisphere.
    Human rights violations by members of the Colombian 
Government and military have been included in recent press 
reports and through several indictments of high level 
officials. It is apparent that the very reason these people 
have been indicted in Colombia is that President Uribe has 
cleared the way for investigations and provided support for 
their resolution. We believe that to criticize the Government 
of Colombia because of past and ongoing investigations and 
prosecutions of corrupt officials and human rights abusers is 
counterproductive. Yet, Republicans are steadfast in our belief 
that human rights abuses cannot be tolerated by any country, 
including an ally of the United States.
    The provision of U.S. assistance has been directly 
responsible for bringing stability to Colombia. When Plan 
Colombia started, the country was torn by civil war. The 
Colombian people couldn't travel freely throughout the country. 
Since Plan Colombia began, kidnappings have fallen by 75 
percent, the Gross Domestic Product of Colombia has increased 
from 1.5 percent a year to 7 percent annually, and U.S. exports 
to Colombia have grown from $3.6 billion to $5.4 billion a 
year.
    In summary, we appreciate the Chairwoman's efforts to 
recognize our interest in minimizing cuts to assistance for 
Colombia. However we are still concerned that provisions in the 
bill reshape a long-standing program that has helped to 
stabilize and develop a country into one that is unproven, and 
different from what the Government of Colombia or its people 
desire.

                                  CUBA

    We are disappointed that the bill falls short of the 
President's request to fund the program recommendations made in 
July 2006 by the Commission for Assistance to a Free Cuba. The 
Castro regime is the only non-democratically elected government 
in the Western Hemisphere. It exerts absolute control over all 
media. As a result, the Cuban people do not have access to 
reliable, independent information. Now is the time to 
demonstrate a commitment to a future of freedom for Cuba and to 
fund programs that will facilitate a peaceful democratic 
transition. Specifically, we believe that the bill should do 
more to support broadcasting to Cuba. Additional investments in 
transmission capabilities to overcome jamming will result in 
larger audiences for our television and radio broadcasts. In 
addition, the bill provides only 20 percent of the requested 
funding for civil society and democratic development programs, 
including programs to break the regime's information blockade. 
We will work to increase this funding as the bill moves 
forward.

                           EXPORT-IMPORT BANK

    We are disappointed that the majority chose to not include 
the President's fiscal year 2008 proposal that allows the 
Export-Import Bank to directly utilize its offsetting 
collections for its administrative and credit subsidy costs. We 
believe this budgetary change is good for the U.S. taxpayer and 
good for U.S. exporters. We are pleased that the Chairwoman 
committed to working with us and other Members on this issue as 
the bill moves along in the process and towards conference.

                       ANTI-CORRUPTION AMENDMENT

    We are pleased that the Chairwoman accepted an amendment by 
the Ranking Member requiring the reporting by the Secretary of 
State on the degree of corruption in countries that receive 
U.S. foreign assistance. Corruption robs countries of their 
rightful economic growth, deters investment in areas that need 
it most and, at its very worst, condemns its people to life 
without hope.
    For purposes of this bill, corruption can in many ways make 
our foreign assistance ineffective. Unfortunately, we have seen 
the impact of corruption in many places around the world. We 
are convinced that corruption can be measured and can be 
fought. Unfortunately, there is a resistance by many in the 
development community to make fighting corruption a requirement 
for a country to receive our assistance.
    The Millennium Challenge Corporation is one way the United 
States has begun to change that. The MCC requires that 
recipient countries score better than their peer group on the 
issue of corruption. This requirement provides incentives for 
countries to reform entire institutions, prosecute corrupt 
officials, and instill long-term policies that will help all 
levels of their societies. This is one part of the so-called 
``MCC effect''.
    Republicans are convinced that those governments that 
receive U.S. assistance must understand that fighting 
corruption begins with their governments, and we appreciate the 
efforts of the Chairwoman in supporting these goals.

                         EFFECTIVENESS OF USAID

    The minority agrees with the report language accompanying 
this bill regarding the need to strengthen the United States 
Agency for International Development, the nation's primary 
international development agency. Yet, focusing solely on 
providing U.S. foreign assistance the way it has been done for 
40 years is neither progressive nor realistic. We also support 
the Millennium Challenge Corporation's approach to development 
assistance by requiring country-ownership of their aid package, 
and we recognize that countries with good governance and low 
corruption may have a better ability of lifting their people 
out of poverty through economic growth.

                          VICTIMS OF TERRORISM

    The minority is pleased that the majority has included 
language regarding a comprehensive approach to compensating 
dependents of victims of terrorism.

                            FAMILY PLANNING

    Republicans are opposed to new language provisions included 
in the bill regarding funding for family planning programs 
overseas. The President of the United States clearly stated in 
his May 3, 2007, letter to the Speaker of the House that he 
would veto any legislation that weakens current Federal 
policies and laws on abortion. Despite receiving the letter 
well before the bill was crafted, the majority chose to include 
four separate provisions on this issue. As a result of these 
language provisions alone, we do believe that this bill will be 
vetoed. While we support strongly the President's position on 
these policies, we question the decision of the majority to 
effectively place in jeopardy humanitarian assistance and 
assistance to our partners in the Global War on Terror.

                               CONCLUSION

    In closing, while we have real policy differences and 
spending concerns relating to this legislation, it is our hope 
that between now and conference negotiations with the Senate 
later this year, we can address the most contentious issues. 
Our sincere desire is to work with Chairwoman Lowey to fashion 
a responsible, balanced conference report worthy of broad, 
bipartisan support.

                                  
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