[House Report 115-814]
[From the U.S. Government Publishing Office]


115th Congress    }                                    {        Report
                        HOUSE OF REPRESENTATIVES
 2d Session       }                                    {       115-814

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



 
  BETTER UTILIZATION OF INVESTMENTS LEADING TO DEVELOPMENT ACT OF 2018

                                _______
                                

 July 11, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

    Mr. Royce of California, from the Committee on Foreign Affairs, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 5105]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Foreign Affairs, to whom was referred the 
bill (H.R. 5105) to establish the United States International 
Development Finance Corporation, and for other purposes, having 
considered the same, reports favorably thereon with an 
amendment and recommends that the bill as amended do pass.

                           TABLE OF CONTENTS

                                                                   Page
The Amendment....................................................     2
Summary and Purpose..............................................    24
Background and Need for the Legislation..........................    24
Hearings.........................................................    30
Committee Consideration..........................................    30
Committee Oversight Findings.....................................    30
New Budget Authority, Tax Expenditures, and Federal Mandates.....    30
Congressional Budget Office Cost Estimate........................    31
Directed Rule Making.............................................    39
Non-Duplication of Federal Programs..............................    39
Performance Goals and Objectives.................................    39
Congressional Accountability Act.................................    40
New Advisory Committees..........................................    40
Earmark Identification...........................................    40
Section-by-Section Analysis......................................    40
Changes in Existing Law Made by the Bill, as Reported............    46

                             The Amendment

    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Better Utilization 
of Investments Leading to Development Act of 2018'' or the ``BUILD Act 
of 2018''.
  (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.

                         TITLE I--ESTABLISHMENT

Sec. 101. Statement of policy.
Sec. 102. United States International Development Finance Corporation.
Sec. 103. Management of Corporation.
Sec. 104. Inspector General of the Corporation.
Sec. 105. Independent accountability mechanism.

                         TITLE II--AUTHORITIES

Sec. 201. Authorities relating to provision of support.
Sec. 202. Terms and conditions.
Sec. 203. Payment of losses.
Sec. 204. Termination.

            TITLE III--ADMINISTRATIVE AND GENERAL PROVISIONS

Sec. 301. Operations.
Sec. 302. Corporate powers.
Sec. 303. Maximum contingent liability.
Sec. 304. Corporate funds.
Sec. 305. Coordination with other development agencies.

            TITLE IV--MONITORING, EVALUATION, AND REPORTING

Sec. 401. Establishment of risk and audit committees.
Sec. 402. Performance measures.
Sec. 403. Annual report.
Sec. 404. Publicly available project information.
Sec. 405. Engagement with investors.
Sec. 406. Notification of support to be provided by the Corporation.

          TITLE V--CONDITIONS, RESTRICTIONS, AND PROHIBITIONS

Sec. 501. Limitations and preferences.
Sec. 502. Additionality and avoidance of market distortion.
Sec. 503. Prohibition on support in sanctioned countries and with 
sanctioned persons.
Sec. 504. Penalties for misrepresentation, fraud, and bribery.

                   TITLE VI--TRANSITIONAL PROVISIONS

Sec. 601. Definitions.
Sec. 602. Reorganization plan.
Sec. 603. Transfer of functions.
Sec. 604. Termination of Overseas Private Investment Corporation and 
other superceded authorities.
Sec. 605. Transitional authorities.
Sec. 606. Savings provisions.
Sec. 607. Other terminations.
Sec. 608. Incidental transfers.
Sec. 609. Reference.
Sec. 610. Conforming amendments.

SEC. 2. DEFINITIONS.

  In this Act:
          (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                  (A) the Committee on Foreign Relations and the 
                Committee on Appropriations of the Senate; and
                  (B) the Committee on Foreign Affairs and the 
                Committee on Appropriations of the House of 
                Representatives.
          (2) Less developed country.--The term ``less developed 
        country'' means a country with a low-income economy, lower-
        middle-income economy, or upper-middle-income economy, as 
        defined by the International Bank for Reconstruction and 
        Development and the International Development Association 
        (collectively referred to as the ``World Bank'').
          (3) Predecessor authority.--The term ``predecessor 
        authority'' means authorities repealed by title VI.
          (4) Qualifying sovereign entity.--The term ``qualifying 
        sovereign entity'' means--
                  (A) any agency or instrumentality of a foreign state 
                (as defined in section 1603 of title 28, United States 
                Code) that has a purpose that is similar to the purpose 
                of the Corporation as described in section 102(b); and
                  (B) any international financial institution (as 
                defined in section 1701(c) of the International 
                Financial Institutions Act (22 U.S.C. 262r(c))).

                         TITLE I--ESTABLISHMENT

SEC. 101. STATEMENT OF POLICY.

  It is the policy of the United States to facilitate market-based 
private sector development and economic growth in less developed 
countries through the provision of credit, capital, and other financial 
support--
          (1) to mobilize private capital in support of sustainable, 
        broad-based economic growth, poverty reduction, and development 
        through demand-driven partnerships with the private sector that 
        further the foreign policy interests of the United States;
          (2) to finance development in a way that builds and 
        strengthens civic institutions, promotes competition, provides 
        for public accountability and transparency;
          (3) to help private sector actors overcome identifiable 
        market gaps and inefficiencies without distorting markets;
          (4) to achieve clearly defined economic and social 
        development outcomes;
          (5) to coordinate with institutions with purposes similar to 
        the purposes of the Corporation to leverage resources of those 
        institutions to produce the greatest impact;
          (6) to provide countries a robust alternative to state-
        directed investments by authoritarian governments and United 
        States strategic competitors using high standards of 
        transparency, environmental and social safeguards, and which 
        take into account the debt sustainability of partner countries;
          (7) to leverage private sector capabilities and innovative 
        development tools to help countries currently receiving United 
        States assistance to transition from their status as recipients 
        of traditional forms of assistance in order to decrease their 
        reliance on such assistance over time;
          (8) to complement and be guided by overall United States 
        foreign policy, development, and national security objectives, 
        taking into account the priorities and needs of countries 
        receiving support.

SEC. 102. UNITED STATES INTERNATIONAL DEVELOPMENT FINANCE CORPORATION.

  (a) Establishment.--There is established in the Executive branch the 
United States International Development Finance Corporation (in this 
Act referred to as the ``Corporation''), which shall be a wholly owned 
Government corporation (as defined in section 9101 of title 31, United 
States Code) under the foreign policy guidance of the Secretary of 
State.
  (b) Purpose.--The purpose of the Corporation shall be to mobilize and 
facilitate the participation of private sector capital and skills in 
the economic development of less developed countries, as described in 
subsection (c), and countries in transition from nonmarket to market 
economies, in order to complement the development assistance 
objectives, and advance the foreign policy interests, of the United 
States. In carrying out its purpose, the Corporation, utilizing broad 
criteria, shall take into account in its financing operations the 
economic and financial soundness of projects for which it provides 
support under title II.
  (c) Less Developed Country Focus.--
          (1) In general.--The Corporation shall prioritize the 
        provision of support under title II in less developed countries 
        with a low-income economy or a lower-middle-income economy.
          (2) Support in upper-middle-income countries.--The 
        Corporation shall restrict the provision of support under title 
        II in a less developed country with an upper-middle-income 
        economy unless--
                  (A) the President certifies to the appropriate 
                congressional committees that such support furthers the 
                national economic or foreign policy interests of the 
                United States; and
                  (B) such support is likely to be highly developmental 
                or provide developmental benefits to the poorest 
                population of that country.

SEC. 103. MANAGEMENT OF CORPORATION.

  (a) Structure of Corporation.--There shall be in the Corporation a 
Board of Directors (in this Act referred to as the ``Board''), a Chief 
Executive Officer, a Deputy Chief Executive Officer, a Chief Risk 
Officer, Chief Development Officer, and such other officers as the 
Board may determine.
  (b) Board of Directors.--
          (1) Duties.--All powers of the Corporation shall vest in and 
        be exercised by or under the authority of the Board. The 
        Board--
                  (A) shall perform the functions specified to be 
                carried out by the Board in this Act;
                  (B) may prescribe, amend, and repeal bylaws, rules, 
                regulations, policies, and procedures governing the 
                manner in which the business of the Corporation may be 
                conducted and in which the powers granted to the 
                Corporation by law may be exercised; and
                  (C) shall develop, in consultation with stakeholders 
                and other interested parties, a publicly-available 
                policy with respect to consultations, hearings, and 
                other forms of engagement in order to provide for 
                meaningful public participation in the Board's 
                activities.
          (2) Membership of board.--
                  (A) In general.--The Board shall consist of--
                          (i) the Chief Executive Officer of the 
                        Corporation;
                          (ii) the officers specified in subparagraph 
                        (B); and
                          (iii) four other individuals who shall be 
                        appointed by the President, by and with the 
                        advice and consent of the Senate, of which--
                                  (I) one individual should be 
                                appointed from among a list of at least 
                                five individuals submitted by the 
                                majority leader of the Senate after 
                                consultation with the chairman of the 
                                Committee on Foreign Relations of the 
                                Senate;
                                  (II) one individual should be 
                                appointed from among a list of at least 
                                five individuals submitted by the 
                                minority leader of the Senate after 
                                consultation with the ranking member of 
                                the Committee on Foreign Relations of 
                                the Senate;
                                  (III) one individual should be 
                                appointed from among a list of at least 
                                five individuals submitted by the 
                                Speaker of the House of Representatives 
                                after consultation with the chairman of 
                                the Committee on Foreign Affairs of the 
                                House of Representatives; and
                                  (IV) one individual should be 
                                appointed from among a list of at least 
                                five individuals submitted by the 
                                minority leader of the House of 
                                Representatives after consultation with 
                                the ranking member of the Committee on 
                                Foreign Affairs of the House of 
                                Representatives.
                  (B) Officers specified.--
                          (i) In general.--The officers specified in 
                        this subparagraph are the following:
                                  (I) The Secretary of State or a 
                                designee of the Secretary.
                                  (II) The Administrator of the United 
                                States Agency for International 
                                Development or a designee of the 
                                Administrator.
                                  (III) The Secretary of the Treasury 
                                or a designee of the Secretary.
                                  (IV) The Secretary of Commerce or a 
                                designee of the Secretary.
                          (ii) Requirements for designees.--A designee 
                        under clause (i) shall be selected from among 
                        officers--
                                  (I) appointed by the President, by 
                                and with the advice and consent of the 
                                Senate;
                                  (II) whose duties relate to the 
                                programs of the Corporation; and
                                  (III) who is designated by and 
                                serving at the pleasure of the 
                                President.
                  (C) Requirements for non-government members.--A 
                member of the Board described in subparagraph 
                (A)(iii)--
                          (i) may not be an officer or employee of the 
                        United States Government;
                          (ii) shall have relevant experience, which 
                        may include experience relating to the private 
                        sector, international environment, labor 
                        organizations, or international development, to 
                        carry out the purposes of the Corporation;
                          (iii) shall be appointed for a term of 3 
                        years and may be reappointed for one additional 
                        term;
                          (iv) shall serve until the member's successor 
                        is appointed and confirmed;
                          (v) shall be compensated at a rate equivalent 
                        to that of level IV of the Executive Schedule 
                        under section 5315 of title 5, United States 
                        Code, when engaged in the business of the 
                        Corporation; and
                          (vi) may be paid per diem in lieu of 
                        subsistence at the applicable rate under the 
                        Federal Travel Regulation under subtitle F of 
                        title 41, Code of Federal Regulations, from 
                        time to time, while away from the home or usual 
                        place of business of the member.
          (3) Chairperson.--There shall be a Chairperson of the Board 
        designated by the President from among the individuals 
        described in paragraph (2)(A).
          (4) Vice chairperson.--The Administrator of the United States 
        Agency for International Development, or the designee of the 
        Administrator under paragraph (2)(B)(i)(II), shall serve as the 
        Vice Chairperson of the Board.
          (5) Quorum.--Five members of the Board shall constitute a 
        quorum for the transaction of business by the Board.
  (c) Public Hearings.--
          (1) Public hearings by the board.--The Board shall hold at 
        least one public hearing each year in order to afford an 
        opportunity for any person to present views with respect to 
        whether--
                  (A) the Corporation is carrying out its activities in 
                accordance with this Act; and
                  (B) any support provided by the Corporation under 
                title II in any country should have been or should be 
                extended.
          (2) Additional public hearings.--In conjunction with each 
        meeting of the Board, the Corporation shall hold a public 
        hearing in order to afford an opportunity for any person to 
        present views regarding the activities of the Corporation. Such 
        views shall be made part of the record.
  (d) Chief Executive Officer.--
          (1) Appointment.--There shall be in the Corporation a Chief 
        Executive Officer, who shall be appointed by the President, by 
        and with the advice and consent of the Senate, and who shall 
        serve at the pleasure of the President.
          (2) Authorities and duties.--The Chief Executive Officer 
        shall be responsible for the management of the Corporation and 
        shall exercise the powers and discharge the duties of the 
        Corporation subject to the bylaws, rules, regulations, and 
        procedures established by the Board.
          (3) Relationship to board.--The Chief Executive Officer shall 
        report to and be under the direct authority of the Board.
          (4) Compensation.--Section 5313 of title 5, United States 
        Code, is amended by adding at the end the following:
          ``Chief Executive Officer, United States International 
        Development Finance Corporation.''.
  (e) Deputy Chief Executive Officer.--There shall be in the 
Corporation a Deputy Chief Executive Officer, who shall be appointed by 
the President, by and with the advice and consent of the Senate, and 
who shall serve at the pleasure of the President.
  (f) Chief Risk Officer.--
          (1) Appointment.--Subject to the approval of the Board, the 
        Chief Executive Officer of the Corporation shall appoint a 
        Chief Risk Officer, from among individuals with experience at a 
        senior level in financial risk management, who--
                  (A) shall report directly to the Board; and
                  (B) shall be removable only by a majority vote of the 
                Board.
          (2) Duties.--The Chief Risk Officer shall, in coordination 
        with the audit committee of the Board established under section 
        401, develop, implement, and manage a comprehensive process for 
        identifying, assessing, monitoring, and limiting risks to the 
        Corporation, including the overall portfolio diversification of 
        the Corporation.
  (g) Chief Development Officer.--
          (1) Appointment.--Subject to the approval of the Board, the 
        Chief Executive Officer, in conjunction with the Administrator 
        of the United States Agency for International Development, 
        shall appoint a Chief Development Officer, from among 
        individuals with experience in development, who--
                  (A) shall report directly to the Board; and
                  (B) shall be removable only by a majority vote of the 
                Board.
          (2) Duties.--The Chief Development Officer shall--
                  (A) coordinate the Corporation's development policies 
                and implementation efforts with the United States 
                Agency for International Development, the Millennium 
                Challenge Corporation, and other relevant United State 
                Government departments and agencies, including directly 
                liaising with missions of the United States Agency for 
                International Development, to ensure that departments, 
                agencies, and missions have training, awareness, and 
                access to the Corporation's tools in relation to 
                development policy and projects in countries;
                  (B) under the guidance of the Chief Executive 
                Officer, manage employees of the Corporation that are 
                dedicated to structuring, monitoring and evaluating 
                transactions and projects co-designed with the United 
                States Agency for International Development and other 
                relevant United State Government departments and 
                agencies;
                  (C) authorize and coordinate transfers of funds or 
                other resources to and from such agencies, departments, 
                or missions upon the concurrence of those institutions 
                in support of the Corporation's projects or activities; 
                and
                  (D) coordinate and implement the activities of the 
                Corporation under section 405.
  (h) Officers and Employees.--
          (1) In general.--Except as otherwise provided in this 
        section, officers, employees, and agents shall be selected and 
        appointed by the Corporation, and shall be vested with such 
        powers and duties as the Corporation may determine.
          (2) Administratively determined employees.--
                  (A) Appointment; compensation; removal.--Of officers 
                and employees employed by the Corporation under 
                paragraph (1), not to exceed 50 may be appointed, 
                compensated, or removed without regard to title 5, 
                United States Code.
                  (B) Reinstatement.--Under such regulations as the 
                President may prescribe, officers and employees 
                appointed to a position under subparagraph (A) may be 
                entitled, upon removal from such position (unless the 
                removal was for cause), to reinstatement to the 
                position occupied at the time of appointment or to a 
                position of comparable grade and salary.
                  (C) Additional positions.--Positions authorized by 
                subparagraph (A) shall be in addition to those 
                otherwise authorized by law, including positions 
                authorized under section 5108 of title 5, United States 
                Code.
                  (D) Rates of pay for officers and employees.--The 
                Corporation may set and adjust rates of basic pay for 
                officers and employees appointed under subparagraph (A) 
                without regard to the provisions of chapter 51 or 
                subchapter III of chapter 53 of title 5, United States 
                Code, relating to classification of positions and 
                General Schedule pay rates, respectively.
          (3) Liability of employees.--
                  (A) In general.--An individual who is a member of the 
                Board or an officer or employee of the Corporation has 
                no liability under this Act with respect to any claim 
                arising out of or resulting from any act or omission by 
                the individual within the scope of the employment of 
                the individual in connection with any transaction by 
                the Corporation.
                  (B) Rule of construction.--Subparagraph (A) shall not 
                be construed to limit personal liability of an 
                individual for criminal acts or omissions, willful or 
                malicious misconduct, acts or omissions for private 
                gain, or any other acts or omissions outside the scope 
                of the individual's employment.
                  (C) Savings provision.--This paragraph shall not be 
                construed--
                          (i) to affect--
                                  (I) any other immunities and 
                                protections that may be available to an 
                                individual described in subparagraph 
                                (A) under applicable law with respect 
                                to a transaction described in that 
                                subparagraph; or
                                  (II) any other right or remedy 
                                against the Corporation, against the 
                                United States under applicable law, or 
                                against any person other than an 
                                individual described in subparagraph 
                                (A) participating in such a 
                                transaction; or
                          (ii) to limit or alter in any way the 
                        immunities that are available under applicable 
                        law for Federal officers and employees not 
                        described in this paragraph.

SEC. 104. INSPECTOR GENERAL OF THE CORPORATION.

  The President shall appoint and maintain an Inspector General in the 
Corporation, in accordance with the Inspector General Act of 1978 (5 
U.S.C. App.).

SEC. 105. INDEPENDENT ACCOUNTABILITY MECHANISM.

  (a) In General.--The Board shall establish a transparent and 
independent accountability mechanism.
  (b) Functions.--The independent accountability mechanism established 
pursuant to subsection (a) shall--
          (1) annually evaluate and report to the Board and Congress 
        regarding compliance with environmental, social, labor, human 
        rights, and transparency standards, consistent with Corporation 
        statutory mandates;
          (2) provide a forum for resolving concerns regarding the 
        impacts of specific Corporation-supported projects with respect 
        to such standards; and
          (3) provide advice regarding Corporation projects, policies, 
        and practices.

                         TITLE II--AUTHORITIES

SEC. 201. AUTHORITIES RELATING TO PROVISION OF SUPPORT.

  (a) In General.--The authorities in this title should only be 
exercised to--
          (1) carry out of the policy of the United States in section 
        101 and the purpose of the Corporation in section 102;
          (2) mitigate risks to United States taxpayers by sharing 
        risks with the private sector and qualifying sovereign entities 
        through co-financing and structuring of tools; and
          (3) ensure that support provided under this title is 
        additional to private sector resources by mobilizing private 
        capital that would otherwise not be deployed without such 
        support.
  (b) Lending and Guaranties.--
          (1) In general.--The Corporation may make loans or guaranties 
        upon such terms and conditions as the Corporation may 
        determine.
          (2) Denomination.--Loans and guaranties issued under 
        paragraph (1) may be denominated and repayable in United States 
        dollars or foreign currencies. Foreign currency denominated 
        loans and guaranties should only be provided if the Board 
        determines there is a substantive policy rationale for such 
        loans and guaranties.
          (3) Applicability of federal credit reform act of 1990.--
        Loans and guaranties issued under paragraph (1) shall be 
        subject to the requirements of the Federal Credit Reform Act of 
        1990 (2 U.S.C. 661 et seq.).
  (c) Equity Investments.--
          (1) In general.--The Corporation may, as a minority investor, 
        support projects with funds or use other mechanisms for the 
        purpose of purchasing, and may make and fund commitments to 
        purchase, invest in, make pledges in respect of, or otherwise 
        acquire, equity or quasi-equity securities or shares or 
        financial interests of any entity, including as a limited 
        partner or other investor in investment funds, upon such terms 
        and conditions as the Corporation may determine.
          (2) Denomination.--Support provided under paragraph (1) may 
        be denominated and repayable in United States dollars or 
        foreign currency. Foreign currency denominated support provided 
        by paragraph (1) should only be provided if the Board 
        determines there is a substantive policy rationale for such 
        support.
          (3) Guidelines and criteria.--The Corporation shall develop 
        guidelines and criteria to require that the use of the 
        authority provided by paragraph (1) with respect to a project 
        has a clearly defined development and foreign policy rationale, 
        taking into account the following objectives:
                  (A) The support for the project would be more likely 
                than not to substantially reduce or overcome the effect 
                of an identified market failure in the country in which 
                the project is carried out.
                  (B) The project would not have proceeded or would 
                have been substantially delayed without the support.
                  (C) The support will meaningfully contribute to 
                transforming local conditions to promote the 
                development of markets.
                  (D) The support can be shown to be aligned with 
                commercial partner incentives.
                  (E) The support can be shown to have significant 
                developmental impact and will contribute to long-term 
                commercial sustainability.
                  (F) The support furthers the policy of the United 
                States described in section 101.
          (4) Limitations on equity investments.--
                  (A) Per project limit.--The aggregate amount of 
                support provided under this subsection with respect to 
                any project shall not exceed 30 percent of the 
                aggregate amount of all equity investment made from any 
                source to the project at the time that the Corporation 
                approves support of the project.
                  (B) Total limit.--Support provided pursuant to this 
                subsection shall be limited to not more than 35 percent 
                of the Corporation's aggregate exposure on the date 
                that such support is provided.
          (5) Sales and liquidation of position.--The Corporation shall 
        seek to sell and liquidate any support for a project provided 
        under this subsection as soon as commercially feasible, 
        commensurate with other similar investors in the project and 
        taking into consideration the national security interests of 
        the United States.
          (6) Timetable.--The Corporation shall create a project-
        specific timetable for support provided under paragraph (1).
  (d) Insurance and Reinsurance.--The Corporation may issue insurance 
or reinsurance, upon such terms and conditions as the Corporation may 
determine, to private sector entities and qualifying sovereign entities 
assuring protection of their investments in whole or in part against 
any or all political risks such as currency inconvertibility and 
transfer restrictions, expropriation, war, terrorism, and civil 
disturbance, breach of contract, or non-honoring of financial 
obligations.
  (e) Promotion of and Support for Private Investment Opportunities.--
          (1) In general.--In order to carry out the purposes of the 
        Corporation described in section 102(b), the Corporation may 
        initiate and support, through financial participation, 
        incentive grant, or otherwise, and on such terms and conditions 
        as the Corporation may determine, feasibility studies for the 
        planning, development, and management of, and procurement for, 
        potential bilateral and multilateral development projects 
        eligible for support under this title, including training 
        activities undertaken in connection with such projects, for the 
        purpose of promoting investment in such projects and the 
        identification, assessment, surveying, and promotion of private 
        investment opportunities, utilizing wherever feasible and 
        effective, the facilities of private investors.
          (2) Contributions to costs.--The Corporation shall, to the 
        maximum extent practicable, require any person receiving funds 
        under the authorities of this subsection to--
                  (A) share the costs of feasibility studies and other 
                project planning services funded under this subsection; 
                and
                  (B) reimburse the Corporation those funds provided 
                under this section, if the person succeeds in project 
                implementation.
  (f) Special Projects and Programs.--The Corporation may administer 
and manage special projects and programs in support of specific 
transactions undertaken by the Corporation, including programs of 
financial and advisory support that provide private technical, 
professional, or managerial assistance in the development of human 
resources, skills, technology, capital savings, and intermediate 
financial and investment institutions and cooperatives and including 
the initiation of incentives, grants, and studies for renewable energy, 
microenterprise households, women's economic empowerment, 
microenterprise households, and other small business activities.
  (g) Enterprise Funds.--
          (1) In general.--The Corporation may, following consultation 
        with the Secretary of State, the Administrator of the United 
        States Agency for International Development, and the heads of 
        other relevant departments or agencies, establish and operate 
        enterprise funds in accordance with this subsection.
          (2) Procedures and requirements.--The provisions of section 
        201 of the Support for East European Democracy (SEED) Act of 
        1989 (22 U.S.C. 5421) (other than the provisions of subsections 
        (a), (b), (c), (d)(1), (d)(3), (e), (f), and (j) of that 
        section), shall be deemed to apply with respect to any 
        enterprise fund established by the Corporation under this 
        subsection and to funds made available to any such enterprise 
        fund in the same manner and to the same extent as such 
        provisions apply with respect to enterprise funds established 
        pursuant to such section 201 or to funds made available to 
        enterprise funds established under that section.
          (3) Purposes for which support may be provided.--The 
        Corporation, subject to the approval of the Board, may 
        designate private, nonprofit organizations as eligible to 
        receive support under this subsection for the following 
        purposes:
                  (A) To promote development of economic freedom and 
                private sectors, including small- and medium-sized 
                enterprises and joint ventures with the United States 
                and host country participants.
                  (B) To facilitate access to the credit to small- and 
                medium-sized enterprises with sound business plans in 
                countries where there is limited means of accessing 
                credit on market terms.
                  (C) To promote policies and practices conducive to 
                economic freedom and private sector development.
                  (D) To attract foreign direct investment capital to 
                further promote private sector development and economic 
                freedom.
                  (E) To complement the work of the United States 
                Agency for International Development and other donors 
                to improve the overall business-enabling environment, 
                financing the creation and expansion of the private 
                business sector.
                  (F) To make financially sustainable investments 
                designed to generate measurable social benefits and 
                build technical capacity in addition to financial 
                returns.
          (4) Operation of funds.--
                  (A) Expenditures.--Funds made available to an 
                enterprise fund shall be expended at the minimum rate 
                necessary to make timely payments for projects and 
                activities carried out under this subsection.
                  (B) Administrative expenses.--Not more than 3 percent 
                of the funds made available to an enterprise fund may 
                be obligated or expended for the administrative 
                expenses of the enterprise fund.
          (5) Board of directors.--Each enterprise fund established 
        under this subsection should be governed by a Board of 
        Directors comprised of private citizens of the United States or 
        the host country, who--
                  (A) shall be appointed by the President after 
                consultation with the chairmen and ranking members of 
                the appropriate congressional committees; and
                  (B) have pursued careers in international business 
                and have demonstrated expertise in international and 
                emerging market investment activities.
          (6) Majority member requirement.--The majority of the members 
        of the Board of Directors shall be United States citizens who 
        shall have relevant experience relating to the purposes 
        described in paragraph (3).
          (7) Reports.--Not later than one year after the date of the 
        establishment of an enterprise fund under this subsection, and 
        annually thereafter until the enterprise fund terminates in 
        accordance with paragraph (10), the Board of Directors of the 
        enterprise fund shall--
                  (A) submit to the appropriate congressional 
                committees a report--
                          (i) detailing the administrative expenses of 
                        the enterprise fund during the year preceding 
                        the submission of the report;
                          (ii) describing the operations, activities, 
                        engagement with civil society and relevant 
                        local private sector entities, development 
                        objectives and outcomes, financial condition, 
                        and accomplishments of the enterprise fund 
                        during that year;
                          (iii) describing the results of the audit 
                        conducted under paragraph (8) during that year; 
                        and
                          (iv) describing how audits conducted under 
                        paragraph (8) are informing the operations and 
                        activities of the enterprise fund; and
                  (B) publish, on a publicly available internet website 
                of the enterprise fund, each report required by 
                subparagraph (A).
          (8) Oversight.--
                  (A) Inspector general performance audits.--
                          (i) In general.--The Inspector General of the 
                        Corporation shall conduct periodic audits of 
                        the activities of each enterprise fund 
                        established under this subsection.
                          (ii) Consideration.--In conducting an audit 
                        under clause (i), the Inspector General shall 
                        assess whether the activities of the enterprise 
                        fund--
                                  (I) support the purposes described in 
                                paragraph (3);
                                  (II) result in profitable private 
                                sector investing; and
                                  (III) generate measurable social 
                                benefits.
                  (B) Recordkeeping requirements.--The Corporation 
                shall ensure that each enterprise fund receiving 
                support under this subsection--
                          (i) keeps separate accounts with respect to 
                        such support; and
                          (ii) maintains such records as may be 
                        reasonably necessary to facilitate effective 
                        audits under this paragraph.
          (9) Return of funds to treasury.--Any funds resulting from 
        any liquidation, dissolution, or winding up of an enterprise 
        fund, in whole or in part, shall be returned to the Treasury of 
        the United States.
          (10) Termination.--The authority of an enterprise fund to 
        provide support under this subsection shall terminate on the 
        earlier of--
                  (A) the date that is 7 years after the date of the 
                first expenditure of amounts from the enterprise fund; 
                or
                  (B) the date on which the enterprise fund is 
                liquidated.
  (h) Supervision of Support.--Support provided under this title shall 
be subject to section 622(c) of the Foreign Assistance Act of 1961 (22 
U.S.C. 2382(c)).

SEC. 202. TERMS AND CONDITIONS.

  (a) In General.--Except as provided in subsection (b), support 
provided by the Corporation under this title shall be on such terms and 
conditions as the Corporation may prescribe.
  (b) Requirements.--The following requirements apply to support 
provided by the Corporation under this title:
          (1) The Corporation shall provide support using authorities 
        under this title only if it is necessary--
                  (A) to alleviate a credit market imperfection; or
                  (B) to achieve specified development or foreign 
                policy objectives of the United States Government by 
                providing support in the most efficient way to meet 
                those objectives on a case-by-case basis.
          (2) The final maturity of a loan made or guaranteed by the 
        Corporation shall not exceed the lesser of--
                  (A) 25 years; or
                  (B) debt servicing capabilities of the project to be 
                financed by the loan (as determined by the 
                Corporation).
          (3) The Corporation shall, with respect to providing any loan 
        guaranty to a project, require the parties to the project to 
        bear the risk of loss in an amount equal to at least 20 percent 
        of the guaranteed support by the Corporation in the project.
          (4) The Corporation may not make or guarantee a loan unless 
        the Corporation determines that the borrower or lender is 
        responsible and that adequate provision is made for servicing 
        the loan on reasonable terms and protecting the financial 
        interest of the United States.
          (5) The interest rate for direct loans and interest 
        supplements on guaranteed loans shall be set by reference to a 
        benchmark interest rate (yield) on marketable Treasury 
        securities or other widely recognized or appropriate benchmarks 
        with a similar maturity to the loans being made or guaranteed, 
        as determined in consultation with the Director of the Office 
        of Management and Budget and the Secretary of the Treasury. The 
        Corporation shall establish appropriate minimum interest rates 
        for loans, guaranties, and other instruments as necessary.
          (6) The minimum interest rate for new loans as established by 
        the Corporation shall be adjusted periodically to take account 
        of changes in the interest rate of the benchmark financial 
        instrument.
          (7)(A) The Corporation shall set fees or premiums for support 
        provided under this title at levels that minimize the cost to 
        the Government while supporting achievement of the objectives 
        of support.
          (B) The Corporation shall review fees for loan guaranties 
        periodically to ensure that the fees assessed on new loan 
        guaranties are at a level sufficient to cover the Corporation's 
        most recent estimates of its costs.
          (8) Any loan guaranty provided by the Corporation shall be 
        conclusive evidence that--
                  (A) the guaranty has been properly obtained;
                  (B) the loan qualified for the guaranty; and
                  (C) but for fraud or material misrepresentation by 
                the holder of the guaranty, the guaranty is presumed to 
                be valid, legal, and enforceable.
          (9) The Corporation shall prescribe explicit standards for 
        use in periodically assessing the credit risk of new and 
        existing direct loans or guaranteed loans.
          (10) The Corporation may not make loans or loan guaranties 
        except to the extent that budget authority to cover the costs 
        of the loans or guaranties is provided in advance in an 
        appropriations Act, as required by section 504 of the Federal 
        Credit Reform Act of 1990 (2 U.S.C. 661c).
          (11) The Corporation shall rely upon specific standards to 
        assess the developmental and strategic value of projects for 
        which it provides support and should only provide the minimum 
        level of support necessary in order to support such projects.
          (12) Any loan or loan guaranty made by the Corporation should 
        be provided on a senior basis or pari passu with other senior 
        debt unless there is a substantive policy rationale to provide 
        such support otherwise.

SEC. 203. PAYMENT OF LOSSES.

  (a) Payments for Defaults on Guaranteed Loans.--
          (1) In general.--If the Corporation determines that the 
        holder of a loan guaranteed by the Corporation suffers a loss 
        as a result of a default by a borrower on the loan, the 
        Corporation shall pay to the holder the percent of the loss, as 
        specified in the guaranty contract after the holder of the loan 
        has made such further collection efforts and instituted such 
        enforcement proceedings as the Corporation may require.
          (2) Subrogation.--Upon making a payment described in 
        paragraph (1), the Corporation shall ensure the Corporation 
        will be subrogated to all the rights of the recipient of the 
        payment.
          (3) Recovery efforts.--The Corporation shall pursue recovery 
        from the borrower of the amount of any payment made under 
        paragraph (1) with respect to the loan.
  (b) Limitation on Payments.--
          (1) In general.--Except as provided by paragraph (2), 
        compensation for insurance, reinsurance, or a guaranty issued 
        under this title shall not exceed the dollar value of the 
        tangible or intangible contributions or commitments made in the 
        project, plus interest, earnings, or profits actually accrued 
        on such contributions or commitments, to the extent provided by 
        such insurance, reinsurance, or guaranty.
          (2) Exception.--
                  (A) In general.--The Corporation may provide that--
                          (i) appropriate adjustments in the insured 
                        dollar value be made to reflect the replacement 
                        cost of project assets; and
                          (ii) compensation for a claim of loss under 
                        insurance of an equity investment under section 
                        201(b) may be computed on the basis of the net 
                        book value attributable to the equity 
                        investment on the date of loss.
          (3) Additional limitation.--
                  (A) In general.--Notwithstanding paragraph (2)(A)(ii) 
                and except as provided in subparagraph (B), the 
                Corporation shall limit the amount of direct insurance 
                and reinsurance issued under section 201 with respect 
                to a project so as to require that the insured and its 
                affiliates bear the risk of loss for at least 10 
                percent of the amount of the Corporation's exposure to 
                that insured and its affiliates in the project.
                  (B) Exception.--The limitation under subparagraph (A) 
                shall not apply to direct insurance or reinsurance of 
                loans provided by banks or other financial institutions 
                to unrelated parties.
  (c) Actions by Attorney General.--The Attorney General shall take 
such action as may be appropriate to enforce any right accruing to the 
United States as a result of the issuance of any loan or guaranty under 
this title.
  (d) Rule of Construction.--Nothing in this section shall be construed 
to preclude any forbearance for the benefit of a borrower that may be 
agreed upon by the parties to a loan guaranteed by the Corporation if 
budget authority for any resulting costs to the United States 
Government (as defined in section 502 of the Federal Credit Reform Act 
of 1990 (2 U.S.C. 661a)) is available.

SEC. 204. TERMINATION.

  (a) In General.--The authorities provided under this title terminate 
on the date that is 7 years after the date of the enactment of this 
Act.
  (b) Termination of Corporation.--The Corporation shall terminate on 
the date on which the portfolio of the Corporation is liquidated.

            TITLE III--ADMINISTRATIVE AND GENERAL PROVISIONS

SEC. 301. OPERATIONS.

  (a) Bilateral Agreements.--The Corporation may provide support under 
title II in connection with projects in any country the government of 
which has entered into an agreement with the United States authorizing 
the Corporation to provide such support in that country.
  (b) Claims Settlement.--
          (1) In general.--Claims arising as a result of support 
        provided under title II or under predecessor authority may be 
        settled, and disputes arising as a result thereof may be 
        arbitrated with the consent of the parties, on such terms and 
        conditions as the Corporation may determine.
          (2) Settlements conclusive.--Payment made pursuant to any 
        settlement pursuant to paragraph (1), or as a result of an 
        arbitration award, shall be final and conclusive 
        notwithstanding any other provision of law.
  (c) Presumption of Compliance.--Each contract executed by such 
officer or officers as may be designated by the Board shall be 
conclusively presumed to be issued in compliance with the requirements 
of this Act.
  (d) Electronic Payments and Documents.--The Corporation shall 
implement policies to accept electronic documents and electronic 
payments in all of its programs.

SEC. 302. CORPORATE POWERS.

  (a) In General.--The Corporation--
          (1) may adopt, alter, and use a seal, to include an 
        identifiable symbol of the United States;
          (2) may make and perform such contracts, including no-cost 
        contracts (as defined by the Corporation), grants, and other 
        agreements notwithstanding division C of subtitle I of title 
        41, United States Code, with any person or government however 
        designated and wherever situated, as may be necessary for 
        carrying out the functions of the Corporation;
          (3) may lease, purchase, or otherwise acquire, improve, and 
        use such real property wherever situated, as may be necessary 
        for carrying out the functions of the Corporation;
          (4) may accept cash gifts or donations of services or of 
        property (real, personal, or mixed), tangible or intangible, 
        for the purpose of carrying out the functions of the 
        Corporation;
          (5) may use the United States mails in the same manner and on 
        the same conditions as the Executive departments (as defined in 
        section 101 of title 5, United States Code);
          (6) may contract with individuals for personal services, who 
        shall not be considered Federal employees for any provision of 
        law administered by the Director of the Office of Personnel 
        Management;
          (7) may hire or obtain passenger motor vehicles;
          (8) may sue and be sued in its corporate name;
          (9) may acquire, hold, or dispose of, upon such terms and 
        conditions as the Corporation may determine, any property, 
        real, personal, or mixed, tangible or intangible, or any 
        interest in such property;
          (10) may lease office space for the Corporation's own use, 
        the obligation of amounts for such lease is limited to the 
        current fiscal year for which payments are due until the 
        expiration of the current lease of the predecessor authority, 
        as of the day before the date of the enactment of this Act;
          (11) may indemnify directors, officers, employees, and agents 
        of the Corporation for liabilities and expenses incurred in 
        connection with their activities on behalf of the Corporation;
          (12) notwithstanding any other provision of law, may 
        represent itself or contract for representation in all legal 
        and arbitral proceedings;
          (13) may exercise any priority of the Government of the 
        United States in collecting debts from bankrupt, insolvent, or 
        decedents' estates;
          (14) may collect, notwithstanding section 3711(g)(1) of title 
        31, United States Code, or compromise any obligations assigned 
        to or held by the Corporation, including any legal or equitable 
        rights accruing to the Corporation;
          (15) may make arrangements with foreign governments 
        (including agencies, instrumentalities, or political 
        subdivisions of such governments) or with multilateral 
        organizations or institutions for sharing liabilities;
          (16) may sell direct investments of the Corporation to 
        private investors upon such terms and conditions as the 
        Corporation may determine; and
          (17) shall have such other powers as may be necessary and 
        incident to carrying out the functions of the Corporation.
  (b) Treatment of Property.--Notwithstanding any other provision of 
law relating to the acquisition, handling, or disposal of property by 
the United States, the Corporation shall have the right in its 
discretion to complete, recondition, reconstruct, renovate, repair, 
maintain, operate, or sell any property acquired by the Corporation 
pursuant to the provisions of this Act.

SEC. 303. MAXIMUM CONTINGENT LIABILITY.

  (a) In General.--The maximum contingent liability of the Corporation 
outstanding at any one time shall not exceed in the aggregate the 
amount specified in subsection (b).
  (b) Amount Specified.--
          (1) Initial 5-year period.--The amount specified in this 
        subsection for the 5-year period beginning on the date of the 
        enactment of this Act, is $60,000,000,000.
          (2) Subsequent 5-year periods.--Not later than 5 years after 
        the date of the enactment of this Act, and not less frequently 
        than every 5 years thereafter, the amount specified in 
        paragraph (1) shall be adjusted to reflect the percentage of 
        the increase (if any) in the average of the Consumer Price 
        Index during the preceding 5-year period.
          (3) Consumer price index defined.--In this subsection, the 
        term ``Consumer Price Index'' means the most recent Consumer 
        Price Index for All Urban Consumers published by the Bureau of 
        Labor Statistics of the Department of Labor.

SEC. 304. CORPORATE FUNDS.

  (a) Corporate Capital Account.--There is established in the Treasury 
of the United States a fund to be known as the ``Corporate Capital 
Account'' to carry out the purposes of the Corporation.
  (b) Funding.--The Corporate Capital Account shall consist of--
          (1) fees charged and collected pursuant to subsection (c);
          (2) any amounts received pursuant to subsection (e);
          (3) investments and returns on such investments pursuant to 
        subsection (g);
          (4) unexpended balances transferred to the Corporation 
        pursuant to subsection (h);
          (5) payments received in connection with settlements of all 
        insurance and reinsurance claims of the Corporation; and
          (6) all other collections transferred to or earned by the 
        Corporation, excluding the cost, as defined in section 502 of 
        the Federal Credit Reform Act of 1990, of loans and loan 
        guaranties.
  (c) Collections.--Fees may be charged and collected for providing 
services in amounts to be determined by the Corporation as provided in 
advance in appropriations Acts.
  (d) Uses.--
          (1) In general.--Subject to Acts making appropriations, the 
        Corporation is authorized to pay--
                  (A) the cost, as defined in section 502 of the 
                Federal Credit Reform Act of 1990, of loans and loan 
                guaranties;
                  (B) administrative expenses of the Corporation; and
                  (C) for the cost of providing support authorized by 
                subsections (c), (e), (f), and (g) of section 201.
          (2) Income and revenue.--In order to carry out the purposes 
        of the Corporation, all collections transferred to or earned by 
        the Corporation, excluding the cost, as defined in section 502 
        of the Federal Credit Reform Act of 1990, of loans and loan 
        guaranties, shall be deposited into the Corporate Capital 
        Account and shall be available to carry out its purpose, 
        including without limitation--
                  (A) payment of all insurance and reinsurance claims 
                of the Corporation;
                  (B) repayments to the Treasury of amounts borrowed 
                under subsection (e);
                  (C) dividend payments to the Treasury under 
                subsection (f); and
                  (D) project-specific transaction costs.
  (e) Full Faith and Credit.--
          (1) In general.--All support provided pursuant to predecessor 
        authorities or title II shall continue to constitute 
        obligations of the United States, and the full faith and credit 
        of the United States is hereby pledged for the full payment and 
        performance of such obligations.
          (2) Authority to borrow.--The Corporation is authorized to 
        borrow from the Treasury such sums as may be necessary to 
        fulfill such obligations of the United States and any such 
        borrowing shall be at a rate determined by the Secretary of the 
        Treasury, taking into consideration the current average market 
        yields on outstanding marketable obligations of the United 
        States of comparable maturities, for a period jointly 
        determined by the Corporation and the Secretary, and subject to 
        such terms and conditions as the Secretary may require.
  (f) Dividends.--The Board, in consultation with the Director of the 
Office of Management and Budget, shall annually assess a dividend 
payment to the Treasury if the Corporation's insurance portfolio is 
more than 100 percent reserved.
  (g) Investment Authority.--
          (1) In general.--The Corporation may request the Secretary of 
        the Treasury to invest such portion of the Corporate Capital 
        Account as is not, in the Corporation's judgement, required to 
        meet the current needs of the Corporate Capital Account.
          (2) Form of investments.--Such investments shall be made by 
        the Secretary of the Treasury in public debt obligations, with 
        maturities suitable to the needs of the Corporate Capital 
        Account, as determined by the Corporation, and bearing interest 
        at rates determined by the Secretary, taking into consideration 
        current market yields on outstanding marketable obligations of 
        the United States of comparable maturities.
  (h) Transfer From Predecessor Agencies and Programs.--By the date end 
of the transition period described in title VI, the unexpended 
balances, assets, and responsibilities of any agency specified in the 
plan required by section 602 shall be transferred to the Corporation.
  (i) Transfer of Funds.--In order to carry out this Act, funds 
authorized to be appropriated to carry out the Foreign Assistance Act 
of 1961 may be transferred to the Corporation and funds authorized 
appropriated to the Corporation may be transferred to the Department of 
State and the United States Agency for International Development.
  (j) Definition.--In this section, the term ``project-specific 
transaction costs''--
          (1) means those costs incurred by the Corporation for travel, 
        legal expenses, and direct and indirect costs incurred in 
        claims settlements associated with the provision of support 
        under title II and shall not be considered administrative 
        expenses for the purposes of this section; and
          (2) does not include information technology (as such term is 
        defined in section 11101 of title 40, United States Code).

SEC. 305. COORDINATION WITH OTHER DEVELOPMENT AGENCIES.

  It is the sense of Congress that the Corporation should use relevant 
data of the Department of State, Millennium Challenge Corporation, 
United States Agency for International Development, and other 
departments and agencies that have development functions to better 
inform the decisions of the Corporation with respect to providing 
support under title II.

            TITLE IV--MONITORING, EVALUATION, AND REPORTING

SEC. 401. ESTABLISHMENT OF RISK AND AUDIT COMMITTEES.

  (a) In General.--To assist the Board to fulfill its duties and 
responsibilities under section 201(a), the Corporation shall establish 
a risk committee and an audit committee.
  (b) Duties and Responsibilities of Risk Committee.--Subject to the 
direction of the Board, the risk committee established under subsection 
(a) shall have oversight responsibility of--
          (1) formulating risk management policies of the operations of 
        the Corporation;
          (2) reviewing and providing guidance on operation of the 
        Corporation's global risk management framework;
          (3) developing policies for enterprise risk management, 
        monitoring, and management of strategic, reputational, 
        regulatory, operational, developmental, environmental, social, 
        and financial risks;
          (4) developing the risk profile of the Corporation, including 
        a risk management and compliance framework and governance 
        structure to support such framework; and
          (5) developing policies and procedures for assessing, prior 
        to providing, and during any period during which the 
        Corporation provides, support to any foreign entities, whether 
        such entities have in place sufficient enhanced due diligence 
        policies and practices to prevent money laundering and 
        corruption to ensure the Corporation does not provide support 
        to persons that are--
                  (A) knowingly engaging in acts of corruption;
                  (B) knowingly providing material or financial support 
                for terrorism, drug trafficking, or human trafficking; 
                or
                  (C) responsible for ordering or otherwise directing 
                serious or gross violations of human rights.
  (c) Duties and Responsibilities of Audit Committee.--Subject to the 
direction of the Board, the audit committee established under 
subsection (a) shall have the oversight responsibility of--
          (1) the integrity of the Corporation's financial reporting 
        and systems of internal controls regarding finance and 
        accounting;
          (2) the integrity of the Corporation's financial statements;
          (3) the performance of the Corporation's internal audit 
        function; and
          (4) compliance with legal and regulatory requirements related 
        to the finances of the Corporation.

SEC. 402. PERFORMANCE MEASURES.

  (a) In General.--The Corporation shall develop a performance 
measurement system to evaluate and monitor projects supported by the 
Corporation under title II and to guide future projects of the 
Corporation.
  (b) Considerations.--In developing the performance measurement system 
required by subsection (a), the Corporation shall--
          (1) develop a successor for the development impact 
        measurement system of the Overseas Private Investment 
        Corporation (as such system was in effect on the day before the 
        date of enactment of this Act);
          (2) develop a mechanism for ensuring that support provided by 
        the Corporation under title II is in addition to private 
        investment;
          (3) develop standards for, and a method for ensuring, 
        appropriate financial performance of the Corporation's 
        portfolio; and
          (4) develop standards for, and a method for ensuring, 
        appropriate development performance of the Corporation's 
        portfolio, including--
                  (A) measurement of the projected and ex post 
                development impact of a project; and
                  (B) the information necessary to comply with section 
                403.
  (c) Public Availability of Certain Information.--The Corporation 
shall make available to the public on a regular basis information about 
support provided by the Corporation under title II and performance 
metrics about such support on a country-by-country basis.
  (d) Collaboration.--In developing the performance measurement system 
required by subsection (a), the Corporation shall consult with 
stakeholders and other interested parties engaged in sustainable 
economic growth and development.

SEC. 403. ANNUAL REPORT.

  (a) In General.--After the end of each fiscal year, the Corporation 
shall submit to the appropriate congressional committees a complete and 
detailed report of its operations during that fiscal year, including an 
assessment of--
          (1) the economic and social development impact, including 
        with respect to matters described in subsections (d) and (e) of 
        section 501, of projects supported by the Corporation under 
        title II;
          (2) the extent to which the operations of the Corporation 
        complement or are compatible with the development assistance 
        programs of the United States and qualifying sovereign 
        entities;
          (3) the Corporation's institutional linkages with other 
        relevant United States Government department and agencies, 
        including efforts to strengthen such linkages; and
          (4) the compliance of projects supported by the Corporation 
        under title II with all relevant human rights, environmental, 
        labor, and social policies, or other such related policies that 
        govern the Corporation's support for projects, promulgated or 
        otherwise administered by the Corporation.
  (b) Elements.--Each annual report required by subsection (a) shall 
include projections of the effects of projects supported by the 
Corporation under title II, including--
          (1) reviews and analysis of--
                  (A) the desired development and whether or not the 
                Corporation is meeting the associated metrics, goals, 
                and development objectives, including, to the extent 
                practicable, in the years after conclusion of projects; 
                and
                  (B) the effect of the Corporation's support on access 
                to capital and ways in which the Corporation is 
                addressing identifiable market gaps or inefficiencies 
                and what impact, if any, such support has on access to 
                credit for a specific project, country, or sector;
          (2) an explanation of any partnership arrangement or 
        cooperation with a qualifying sovereign entity in support of 
        each project;
          (3) projections of--
                  (A) development outcomes, and whether or not support 
                for projects are meeting the associated performance 
                measures, both during the start-up phase and over the 
                duration of the support, and to the extent practicable, 
                measures of such development outcomes should be on a 
                gender-disaggregated basis, such as changes in 
                employment, access to financial services, enterprise 
                development and growth, and composition of executive 
                boards and senior leadership of enterprises receiving 
                support under title II; and
                  (B) the amount of private sector assets brought to 
                bear relative to the amount of support provided by the 
                Corporation and any other public sector support; and
          (4) an assessment of the extent to which lessons learned from 
        the monitoring and evaluation activities of the Corporation, 
        and from annual reports from previous years compiled by the 
        Corporation, have been applied to projects.

SEC. 404. PUBLICLY AVAILABLE PROJECT INFORMATION.

  The Corporation shall--
          (1) maintain a user-friendly, publicly available, machine-
        readable database with detailed country-level information, 
        including a description of the support provided by the 
        Corporation under title II; and
          (2) include a clear link to information about each project 
        supported by the Corporation under title II on the internet 
        website of the Department of State, ``ForeignAssistance.gov'', 
        or a successor website or other online publication.

SEC. 405. ENGAGEMENT WITH INVESTORS.

  (a) In General.--The Corporation, acting through the Chief 
Development Officer, shall, in cooperation with the Administrator of 
the United States Agency for International Development--
          (1) develop a strategic relationship with private sector 
        entities focused at the nexus of business opportunities and 
        development priorities;
          (2) engage such entities and reduce business risks primarily 
        through direct transaction support and facilitating investment 
        partnerships;
          (3) develop and support tools, approaches, and intermediaries 
        that can mobilize private finance at scale in the developing 
        world;
          (4) pursue projects of all sizes, especially those that are 
        small but designed for work in the most underdeveloped areas, 
        including countries with chronic suffering as a result of 
        extreme poverty, fragile institutions, or a history of 
        violence; and
          (5) pursue projects consistent with the policy of the United 
        States described in section 101 and the Joint Strategic Plan 
        and the Mission Country Development Cooperation Strategies of 
        the United States Agency for International Development.
  (b) Assistance.--To achieve the goals described in subsection (a), 
the Corporation shall--
          (1) develop risk mitigation tools;
          (2) provide transaction structuring support for blended 
        finance models;
          (3) support intermediaries linking capital supply and demand;
          (4) coordinate with other Federal agencies to support or 
        accelerate transactions;
          (5) convene financial, donor, civil society, and public 
        sector partners around opportunities for private finance within 
        development priorities;
          (6) offer strategic planning and programming assistance to 
        catalyze investment into priority sectors;
          (7) provide transaction structuring support;
          (8) deliver training and knowledge management tools for 
        engaging private investors;
          (9) partner with private sector entities that provide access 
        to capital and expertise; and
          (10) identify and screen new investment partners.
  (c) Technical Assistance.--The Corporation shall coordinate with the 
United States Agency for International Development and other agencies 
and departments, as necessary, on projects and programs supported by 
the Corporation that include technical assistance.

SEC. 406. NOTIFICATION OF SUPPORT TO BE PROVIDED BY THE CORPORATION.

  (a) In General.--Not later than 15 days prior to the Corporation 
making a financial commitment associated with the provision of support 
under title II in an amount in excess of $10,000,000, the Chief 
Executive Officer of the Corporation shall submit to the Committee on 
Foreign Affairs and the Committee on Appropriations of the House of 
Representatives and the Committee on Foreign Relations and the 
Committee on Appropriations of the Senate a report in writing that 
contains the information required by subsection (b).
  (b) Information Required.--The information required by this 
subsection includes--
          (1) the amount of each such financial commitment;
          (2) an identification of the recipient or beneficiary; and
          (3) a description of the project, activity, or asset and the 
        development goal or purpose to be achieved by providing support 
        by the Corporation.

          TITLE V--CONDITIONS, RESTRICTIONS, AND PROHIBITIONS

SEC. 501. LIMITATIONS AND PREFERENCES.

  (a) Limitation on Support for Single Entity.--No entity receiving 
support from the Corporation under title II may receive more than an 
amount equal to 5 percent of the Corporation's maximum contingent 
liability authorized under section 303.
  (b) Preference for Support for Projects Sponsored by United States 
Persons.--
          (1) In general.--The Corporation should give preferential 
        consideration to projects sponsored by or involving private 
        sector entities that are United States persons.
          (2) United states person defined.--In this subsection, the 
        term ``United States person'' means--
                  (A) a United States citizen; or
                  (B) an entity significantly beneficially owned by 
                individuals described in subparagraph (A).
  (c) Preference for Support in Countries in Compliance With 
International Trade Obligations.--
          (1) Consultations with united states trade representative.--
        Not less frequently than annually, the Corporation shall 
        consult with the United States Trade Representative with 
        respect to the status of countries eligible to receive support 
        from the Corporation under title II and the compliance of those 
        countries with their international trade obligations.
          (2) Preferential consideration.--The Corporation shall give 
        preferential consideration to providing support under title II 
        for projects in countries in compliance with or making 
        substantial progress coming into compliance with their 
        international trade obligations.
  (d) Worker Rights.--
          (1) In general.--The Corporation should support projects 
        under title II in countries that are taking steps to adopt and 
        implement laws that extend internationally recognized worker 
        rights (as defined in section 507 of the Trade Act of 1974 (19 
        U.S.C. 2467)) to workers in that country, including any 
        designated zone in that country.
          (2) Required contract language.--The Corporation shall also 
        include the following language, in substantially the following 
        form, in all contracts which the Corporation enters into with 
        eligible investors to provide support under title II: ``The 
        investor agrees not to take actions to prevent employees of the 
        foreign enterprise from lawfully exercising their right of 
        association and their right to organize and bargain 
        collectively. The investor further agrees to observe applicable 
        laws relating to a minimum age for employment of children, 
        acceptable conditions of work with respect to minimum wages, 
        hours of work, and occupational health and safety, and not to 
        use forced labor or the worst forms of child labor (as defined 
        in section 507 of the Trade Act of 1974 (19 U.S.C. 2467(6))). 
        The investor is not responsible under this paragraph for the 
        actions of a foreign government.''.
  (e) Environmental and Social Impact.--The Board shall not vote in 
favor of any project proposed to be supported by the Corporation under 
title II that is likely to have significant adverse environmental or 
social impacts that are sensitive, diverse, or unprecedented, unless--
          (1) at least 60 days before the date of the vote, an 
        environmental and social impact assessment or initial 
        environmental and social audit, analyzing the environmental and 
        social impacts of the proposed project and of alternatives to 
        the proposed project, is completed; and
          (2) such assessment or audit has been made available to the 
        public of the United States, locally affected groups in the 
        country in which the project will be carried out, and 
        nongovernmental organizations in that country.
  (f) Women's Economic Empowerment.--In utilizing its authorities under 
title II, the Corporation should consider the impacts of its support on 
women's economic opportunities and outcomes and make efforts to 
mitigate gender gaps and maximize development impact by working to 
improve women's economic opportunities.
  (g) Preference for Provision of Support in Countries Embracing 
Private Enterprise.--
          (1) In general.--The Corporation should give preferential 
        consideration to projects for which support under title II may 
        potentially be provided in countries the governments of which 
        are making continual progress toward economic policies that 
        promote the development of private enterprise, both domestic 
        and foreign, and maintaining the conditions that enable private 
        enterprise to make its full contribution to the development of 
        such countries, including--
                  (A) market-based economies;
                  (B) protecting private property rights;
                  (C) respect for the rule of law; and
                  (D) systems to combat corruption and bribery.
          (2) Sources of information.--The Corporation should rely on 
        both third-party indicators and United States Government 
        information, such as the Department of State's Investment 
        Climate Statements, the Department of Commerce's Country 
        Commercial Guides, or the Millennium Challenge Corporation's 
        Constraints Analysis, to assess whether countries meet the 
        conditions described in paragraph (1).
  (h) Consideration of Foreign Boycott Participation.--In providing 
support under for projects under title II, the Corporation shall 
consider, using information readily available, whether the project is 
sponsored by or substantially affiliated with any person taking or 
knowingly agreeing to take actions, or having taken or knowingly agreed 
to take actions within the past three years, which demonstrate or 
otherwise evidence intent to comply with, further, or support any 
boycott fostered or imposed by any foreign country, or request to 
impose any boycott by any foreign country, against a country which is 
friendly to the United States and which is not itself the object of any 
form of boycott pursuant to United States law or regulation.

SEC. 502. ADDITIONALITY AND AVOIDANCE OF MARKET DISTORTION.

  (a) In General.--Before the Corporation provides support for a 
project under title II, the Corporation shall ensure that private 
sector entities are afforded an opportunity to support the project.
  (b) Safeguards, Policies, and Guidelines.--The Corporation shall 
develop appropriate safeguards, policies, and guidelines to ensure that 
support provided by the Corporation under title II--
          (1) supplements and encourages, but does not compete with, 
        private sector support;
          (2) operates according to internationally recognized best 
        practices and standards with respect to ensuring the avoidance 
        of market distorting government subsidies and the crowding out 
        of private sector lending; and
          (3) does not have a significant adverse impact on United 
        States employment.

SEC. 503. PROHIBITION ON SUPPORT IN SANCTIONED COUNTRIES AND WITH 
                    SANCTIONED PERSONS.

  (a) In General.--The Corporation is prohibited from providing support 
under title II in a country the government of which the Secretary of 
State has determined has repeatedly provided support for acts of 
international terrorism for purposes of--
          (1) section 6(j)(1)(A) of the Export Administration Act of 
        1979 (50 U.S.C. 4605(j)(1)(A)) (as continued in effect pursuant 
        to the International Emergency Economic Powers Act (50 U.S.C. 
        1701 et seq.));
          (2) section 620A(a) of the Foreign Assistance Act of 1961 (22 
        U.S.C. 2371(a));
          (3) section 40(d) of the Arms Export Control Act (22 U.S.C. 
        2780(d)); or
          (4) any other provision of law.
  (b) Prohibition on Support of Sanctioned Persons.--The Corporation is 
prohibited from supporting a project under title II that directly 
benefits any entity subject to sanctions imposed by the United States.
  (c) Prohibition on Support of Activities Subject to Sanctions.--The 
Corporation shall require any entity or party receiving support under 
title II to certify it, any entity owned or controlled by the entity or 
party, or any entity or party which owns or otherwise manages the 
entity or party receiving support, does not conduct any activities 
subject to sanctions imposed by the United States.

SEC. 504. PENALTIES FOR MISREPRESENTATION, FRAUD, AND BRIBERY.

  Subsections (g), (l), and (n) of section 237 of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2197) shall apply with respect to the 
Corporation to the same extent and in the same manner as such 
subsections applied with respect to the Overseas Private Investment 
Corporation on the day before the date of the enactment of this Act.

                   TITLE VI--TRANSITIONAL PROVISIONS

SEC. 601. DEFINITIONS.

  In this title:
          (1) Agency.--The term ``agency'' includes any entity, 
        organizational unit, program, or function.
          (2) Transition period.--The term ``transition period'' means 
        the period--
                  (A) beginning on the date of the enactment of this 
                Act; and
                  (B) ending on the effective date of the 
                reorganization plan required by section 602(e).

SEC. 602. REORGANIZATION PLAN.

  (a) Submission of Plan.--
          (1) In general.--Not later than 120 days after the date of 
        the enactment of this Act, the President shall transmit to the 
        appropriate congressional committees a reorganization plan 
        regarding the following:
                  (A) The transfer of agencies, personnel, assets, and 
                obligations to the Corporation pursuant to this title.
                  (B) Any consolidation, reorganization, or 
                streamlining of agencies transferred to the Corporation 
                pursuant to this title.
                  (C) Any efficiencies or cost savings achieved as a 
                result of the transfer of agencies, personnel, assets, 
                and obligations to the Corporation pursuant to this 
                title, including reductions in unnecessary or 
                duplicative operations, assets, and personnel.
          (2) Consultation.--Not later than 15 days before the date on 
        which the plan is transmitted pursuant to this subsection, the 
        President shall consult with the appropriate congressional 
        committees on such plan.
  (b) Plan Elements.--The plan transmitted under subsection (a) shall 
contain, consistent with this Act, such elements as the President deems 
appropriate, including the following:
          (1) Identification of any functions of agencies transferred 
        to the Corporation pursuant to this title that will not be 
        transferred to the Corporation under the plan.
          (2) Specification of the steps to be taken to organize the 
        Corporation, including the delegation or assignment of 
        functions transferred to the Corporation among officers of the 
        Corporation in order to permit the Corporation to carry out the 
        functions transferred under the plan.
          (3) Specification of the funds available to each agency that 
        will be transferred to the Corporation as a result of transfers 
        under the plan.
          (4) Specification of the proposed allocations within the 
        Corporation of unexpended funds transferred in connection with 
        transfers under the plan.
          (5) Specification of any proposed disposition of property, 
        facilities, contracts, records, and other assets and 
        obligations of agencies transferred under the plan.
  (c) Report on Coordination.--
          (1) In general.--The transfer of functions authorized by this 
        section may occur only after the President and Chief Executive 
        Officer of the Overseas Private Investment Corporation and the 
        Administrator of the United States Agency for International 
        Development jointly submit to the Committee on Foreign Affairs 
        and Committee on Appropriations of the House of Representatives 
        and Committee on Foreign Relations and Committee on 
        Appropriations of the Senate a report in writing that contains 
        the information required by paragraph (2).
          (2) Information required.--The information required by this 
        paragraph includes a description in detail of the procedures to 
        be followed after the transfer of functions authorized by this 
        section have occurred to coordinate between the Corporation and 
        the United States Agency for International Development in 
        carrying out the functions so transferred.
  (d) Modification of Plan.--The President may, on the basis of 
consultations with the appropriate congressional committees, modify or 
revise any part of the plan until that part of the plan becomes 
effective in accordance with subsection (e).
  (e) Effective Date.--
          (1) In general.--The reorganization plan described in this 
        section, including any modifications or revisions of the plan 
        under subsection (c), shall become effective for an agency on 
        the date specified in the plan (or the plan as modified 
        pursuant to subsection (d)), except that such date may not be 
        earlier than 90 days after the date the President has 
        transmitted the reorganization plan to the appropriate 
        congressional committees pursuant to subsection (a).
          (2) Statutory construction.--Nothing in this subsection may 
        be construed to require the transfer of functions, personnel, 
        records, balances of appropriations, or other assets of an 
        agency on a single date.

SEC. 603. TRANSFER OF FUNCTIONS.

  (a) In General.--Effective at the end of the transition period, there 
shall be transferred to the Corporation the functions, personnel, 
assets, and liabilities of--
          (1) the Overseas Private Investment Corporation, as in 
        existence on the day before the date of the enactment of this 
        Act; and
          (2) the following elements of the United States Agency for 
        International Development:
                  (A) The Development Credit Authority.
                  (B) The existing Legacy Credit portfolio under the 
                Urban Environment Program and any other direct loan 
                programs and non-Development Credit Authority guaranty 
                programs authorized by the Foreign Assistance Act of 
                1961 (22 U.S.C. 2151 et seq.) or other predecessor 
                Acts, as in existence on the date of the enactment of 
                this Act, other than any sovereign loan guaranties.
  (b) Additional Transfer Authority.--Effective at the end of the 
transition period, there is authorized to be transferred to the 
Corporation the functions, personnel, assets, and liabilities of the 
following elements of the United States Agency for International 
Development:
          (1) The Office of Private Capital and Microenterprise.
          (2) The enterprise funds.
  (c) Sovereign Loan Guaranty Transfer.--
          (1) In general.--Effective at the end of the transition 
        period, there is authorized to be transferred to the 
        Corporation or any other appropriate department or agency of 
        the United States Government the loan accounts and the legal 
        rights and responsibilities for the sovereign loan guaranty 
        portfolio held by the United States Agency for International 
        Development as in existence on the day before the date of the 
        enactment of this Act.
          (2) Inclusion in reorganization plan.--The President shall 
        include in the reorganization plan submitted under section 602 
        a description of the transfer authorized under paragraph (1).
  (d) Bilateral Agreements.--Any bilateral agreement of the United 
States in effect on the date of the enactment of this Act that serves 
as the basis for programs of the Overseas Private Investment 
Corporation and the Development Credit Authority shall be considered as 
satisfying the requirements of section 301(a).
  (e) Transition.--During the transition period, the agencies specified 
in subsection (a) shall--
          (1) continue to administer the assets and obligations of 
        those agencies; and
          (2) carry out such programs and activities authorized under 
        this Act as may be determined by the President.

SEC. 604. TERMINATION OF OVERSEAS PRIVATE INVESTMENT CORPORATION AND 
                    OTHER SUPERCEDED AUTHORITIES.

  Effective at the end of the transition period--
          (1) the Overseas Private Investment Corporation is 
        terminated; and
          (2) title IV of chapter 2 of part I of the Foreign Assistance 
        Act of 1961 (22 U.S.C. 2191 et seq.) (other tan subsections 
        (g), (l), and (n) of section 237 of that Act) is repealed.

SEC. 605. TRANSITIONAL AUTHORITIES.

  (a) Provision of Assistance by Officials.--Until the transfer of an 
agency to the Corporation under section 603, any official having 
authority over or functions relating to the agency immediately before 
the date of the enactment of this Act shall provide to the Corporation 
such assistance, including the use of personnel and assets, as the 
Corporation may request in preparing for the transfer and integration 
of the agency into the Corporation.
  (b) Services and Personnel.--During the transition period, upon the 
request of the Corporation, the head of any executive agency may, on a 
reimbursable or non-reimbursable basis, provide services or detail 
personnel to assist with the transition.
  (c) Acting Officials.--
          (1) In general.--During the transition period, pending the 
        advice and consent of the Senate to the appointment of an 
        officer required by this Act to be appointed by and with such 
        advice and consent, the President may designate any officer 
        whose appointment was required to be made by and with such 
        advice and consent and who was such an officer immediately 
        before the date of the enactment of this Act (and who continues 
        in office) or immediately before such designation, to act in 
        such office until the same is filled as provided in this Act. 
        While so acting, such officers shall receive compensation at 
        the higher of--
                  (A) the rates provided by this Act for the respective 
                offices in which they act; or
                  (B) the rates provided for the offices held at the 
                time of designation.
          (2) Rule of construction.--Nothing in this Act shall be 
        construed to require the advice and consent of the Senate to 
        the appointment by the President to a position in the 
        Corporation of any officer whose agency is transferred to the 
        Corporation pursuant to this title and whose duties following 
        such transfer are germane to those performed before such 
        transfer.
  (d) Transfer of Personnel, Assets, Obligations, and Functions.--Upon 
the transfer of an agency to the Corporation under section 603--
          (1) the personnel, assets, and obligations held by or 
        available in connection with the agency shall be transferred to 
        the Corporation for appropriate allocation, subject to the 
        approval of the Director of the Office of Management and Budget 
        and in accordance with section 1531(a)(2) of title 31, United 
        States Code; and
          (2) the Corporation shall have all functions--
                  (A) relating to the agency that any other official 
                could by law exercise in relation to the agency 
                immediately before such transfer; and
                  (B) vested in the Corporation by this Act or other 
                law.

SEC. 606. SAVINGS PROVISIONS.

  (a) Completed Administrative Actions.--
          (1) In general.--Completed administrative actions of an 
        agency shall not be affected by the enactment of this Act or 
        the transfer of such agency to the Corporation under section 
        603, but shall continue in effect according to their terms 
        until amended, modified, superseded, terminated, set aside, or 
        revoked in accordance with law by an officer of the United 
        States or a court of competent jurisdiction, or by operation of 
        law.
          (2) Completed administrative action defined.--In this 
        subsection, the term ``completed administrative action'' 
        includes orders, determinations, rules, regulations, personnel 
        actions, permits, agreements, grants, contracts, certificates, 
        policies, licenses, registrations, and privileges.
  (b) Pending Proceedings.--
          (1) In general.--Pending proceedings in an agency, including 
        notices of proposed rulemaking, and applications for licenses, 
        permits, certificates, grants, and financial assistance, shall 
        continue notwithstanding the enactment of this Act or the 
        transfer of the agency to the Corporation, unless discontinued 
        or modified under the same terms and conditions and to the same 
        extent that such discontinuance could have occurred if such 
        enactment or transfer had not occurred.
          (2) Orders.--Orders issued in proceedings described in 
        paragraph (1), and appeals therefrom, and payments made 
        pursuant to such orders, shall issue in the same manner and on 
        the same terms as if this Act had not been enacted or the 
        agency had not been transferred, and any such orders shall 
        continue in effect until amended, modified, superseded, 
        terminated, set aside, or revoked by an officer of the United 
        States or a court of competent jurisdiction, or by operation of 
        law.
  (c) Pending Civil Actions.--Pending civil actions shall continue 
notwithstanding the enactment of this Act or the transfer of an agency 
to the Corporation, and in such civil actions, proceedings shall be 
had, appeals taken, and judgments rendered and enforced in the same 
manner and with the same effect as if such enactment or transfer had 
not occurred.
  (d) References.--References relating to an agency that is transferred 
to the Corporation under section 603 in statutes, Executive orders, 
rules, regulations, directives, or delegations of authority that 
precede such transfer or the date of the enactment of this Act shall be 
deemed to refer, as appropriate, to the Corporation, to its officers, 
employees, or agents, or to its corresponding organizational units or 
functions. Statutory reporting requirements that applied in relation to 
such an agency immediately before the effective date of this Act shall 
continue to apply following such transfer if they refer to the agency 
by name.
  (e) Employment Provisions.--
          (1) Regulations.--The Corporation may, in regulations 
        prescribed jointly with the Director of the Office of Personnel 
        Management, adopt the rules, procedures, terms, and conditions, 
        established by statute, rule, or regulation before the date of 
        the enactment of this Act, relating to employment in any agency 
        transferred to the Corporation under section 603.
          (2) Effect of transfer on conditions of employment.--Except 
        as otherwise provided in this Act, or under authority granted 
        by this Act, the transfer pursuant to this title of personnel 
        shall not alter the terms and conditions of employment, 
        including compensation, of any employee so transferred.
  (f) Statutory Reporting Requirements.--Any statutory reporting 
requirement that applied to an agency transferred to the Corporation 
under this title immediately before the date of the enactment of this 
Act shall continue to apply following that transfer if the statutory 
requirement refers to the agency by name.

SEC. 607. OTHER TERMINATIONS.

  Except as otherwise provided in this Act, whenever all the functions 
vested by law in any agency have been transferred pursuant to this 
title, each position and office the incumbent of which was authorized 
to receive compensation at the rates prescribed for an office or 
position at level II, III, IV, or V of the Executive Schedule under 
subchapter II of chapter 53 of title 5, United States Code, shall 
terminate.

SEC. 608. INCIDENTAL TRANSFERS.

  The Director of the Office of Management and Budget, in consultation 
with the Corporation, is authorized and directed to make such 
additional incidental dispositions of personnel, assets, and 
liabilities held, used, arising from, available, or to be made 
available, in connection with the functions transferred by this title, 
as the Director may determine necessary to accomplish the purposes of 
this Act.

SEC. 609. REFERENCE.

  With respect to any function transferred under this title (including 
under a reorganization plan under section 602) and exercised on or 
after the date of the enactment of this Act, reference in any other 
Federal law to any department, commission, or agency or any officer or 
office the functions of which are so transferred shall be deemed to 
refer to the Corporation or official or component of the Corporation to 
which that function is so transferred.

SEC. 610. CONFORMING AMENDMENTS.

  (a) Exempt Programs.--Section 255(g)(2) of the Balanced Budget and 
Emergency Deficit Control Act of 1985 (2 U.S.C. 905(g)(2)) is amended 
by striking ``Overseas Private Investment Corporation, Noncredit 
Account (71-4184-0-3-151).'' and inserting ``United States 
International Development Finance Corporation.''.
  (b) Executive Schedule.--Title 5, United States Code, is amended--
          (1) in section 5314, by striking ``President, Overseas 
        Private Investment Corporation.'';
          (2) in section 5315, by striking ``Executive Vice President, 
        Overseas Private Investment Corporation.''; and
          (3) in section 5316, by striking ``Vice Presidents, Overseas 
        Private Investment Corporation (3).''.
  (c) Office of International Trade of the Small Business 
Administration.--Section 22 of the Small Business Act (15 U.S.C. 649) 
is amended--
          (1) in subsection (b), in the matter preceding paragraph (1), 
        by striking ``the President of the Overseas Private Investment 
        Corporation, Director'' and inserting ``the Board of Directors 
        of the United States International Development Finance 
        Corporation, the Director''; and
          (2) by striking ``Overseas Private Investment Corporation'' 
        each place it appears and inserting ``United States 
        International Development Finance Corporation''.
  (d) United States and Foreign Commercial Service.--Section 2301 of 
the Export Enhancement Act of 1988 (15 U.S.C. 4721) is amended by 
striking ``Overseas Private Investment Corporation'' each place it 
appears and inserting ``United States International Development Finance 
Corporation''.
  (e) Trade Promotion Coordinating Committee.--Section 2312(d)(1)(K) of 
the Export Enhancement Act of 1988 (15 U.S.C. 4727(d)(1)(K)) is amended 
by striking ``Overseas Private Investment Corporation'' and inserting 
``United States International Development Finance Corporation''.
  (f) Interagency Trade Data Advisory Committee.--Section 5402(b) of 
the Omnibus Trade and Competitiveness Act of 1988 (15 U.S.C. 4902(b)) 
is amended by striking ``the President of the Overseas Private 
Investment Corporation'' and inserting ``the Chief Executive Officer of 
the United States International Development Finance Corporation''.
  (g) Misuse of Names of Federal Agencies.--Section 709 of title 18, 
United States Code, is amended by striking ```Overseas Private 
Investment', `Overseas Private Investment Corporation', or `OPIC','' 
and inserting ```United States International Development Finance 
Corporation' or `DFC'''.
  (h) Engagement on Currency Exchange Rate and Economic Policies.--
Section 701(c)(1)(A) of the Trade Facilitation and Trade Enforcement 
Act of 2015 (19 U.S.C. 4421(c)(1)(A)) is amended by striking ``Overseas 
Private Investment Corporation'' and inserting ``United States 
International Development Finance Corporation''.
  (i) Internships With Institute for International Public Policy.--
Section 625(a) of the Higher Education Act of 1965 (20 U.S.C. 1131c(a)) 
is amended by striking ``Overseas Private Investment Corporation'' and 
inserting ``United States International Development Finance 
Corporation''.
  (j) Foreign Assistance Act of 1961.--The Foreign Assistance Act of 
1961 (22 U.S.C. 2151 et seq.) is amended--
          (1) in section 499B(b)(2) (22 U.S.C. 2296b(b)(2)), by 
        striking ``Overseas Private Investment Corporation'' and 
        inserting ``United States International Development Finance 
        Corporation''; and
          (2) in section 481(e)(4)(A) (22 U.S.C. 2291(e)(4)(A)), in the 
        matter preceding clause (i), by striking ``(including programs 
        under title IV of chapter 2, relating to the Overseas Private 
        Investment Corporation)'' and inserting ``(and any support 
        under title II of the Better Utilization of Investments Leading 
        to Development Act of 2018, relating to the United States 
        International Development Finance Corporation)''.
  (k) Electrify Africa Act of 2015.--Sections 5 and 7 of the Electrify 
Africa Act of 2015 (Public Law 114-121; 22 U.S.C. 2293 note) are 
amended by striking ``Overseas Private Investment Corporation'' each 
place it appears and inserting ``United States International 
Development Finance Corporation''.
  (l) Foreign Aid Transparency and Accountability Act of 2016.--Section 
2(3) of the Foreign Aid Transparency and Accountability Act of 2016 
(Public Law 114-191; 22 U.S.C. 2394c note) is amended--
          (1) in subparagraph (A), by striking ``except for'' and all 
        that follows through ``chapter 3'' and inserting ``except for 
        chapter 3'';
          (2) in subparagraph (C), by striking ``and'' at the end;
          (3) in subparagraph (D), by striking the period at the end 
        and insert ``; and''; and
          (4) by adding at the end the following:
                  ``(E) the Better Utilization of Investments Leading 
                to Development Act of 2018.''.
  (m) Support for East European Democracy (SEED) Program.--The Support 
for East European Democracy (SEED) Act of 1989 (22 U.S.C. 5401 et seq.) 
is amended--
          (1) in section 2(c) (22 U.S.C. 5401(c)), by striking 
        paragraph (12) and inserting the following:
          ``(12) United states international development finance 
        corporation.--Programs of the United States International 
        Development Finance Corporation.''; and
          (2) in section 201(e) (22 U.S.C. 5421(e)), by striking 
        ``Agency for International Development'' and inserting ``United 
        States International Development Finance Corporation''.
  (n) Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996.--
Section 202(b)(2)(B)(iv) of the Cuban Liberty and Democratic Solidarity 
(LIBERTAD) Act of 1996 (22 U.S.C. 6062(b)(2)(B)(iv)) is amended by 
striking ``Overseas Private Investment Corporation'' and inserting 
``United States International Development Finance Corporation''.
  (o) International Religious Freedom Act of 1998.--Section 405(a)(10) 
of the International Religious Freedom Act of 1998 (22 U.S.C. 
6445(a)(10)) is amended by striking ``Overseas Private Investment 
Corporation'' and inserting ``United States International Development 
Finance Corporation''.
  (p) Trafficking Victims Protection Act of 2000.--Section 103(8)(A) of 
the Trafficking Victims Protection Act of 2000 (22 U.S.C. 7102(8)(A)) 
is amended by amending clause (viii) to read as follows:
                          ``(viii) any support under title II of the 
                        Better Utilization of Investments Leading to 
                        Development Act of 2018 relating to the United 
                        States International Development Finance 
                        Corporation; and''.
  (q) Technology Deployment in Developing Countries.--Section 732(b) of 
the Global Environmental Protection Assistance Act of 1989 (22 U.S.C. 
7902(b)) is amended by striking ``Overseas Private Investment 
Corporation'' and inserting ``United States International Development 
Finance Corporation''.
  (r) Expanded Nonmilitary Assistance for Ukraine.--Section 7(c)(3) of 
the Ukraine Freedom Support Act of 2014 (22 U.S.C. 8926(c)(3)) is 
amended--
          (1) in the matter preceding subparagraph (A), by striking 
        ``Overseas Private Investment Corporation'' and inserting 
        ``United States International Development Finance 
        Corporation''; and
          (2) in subparagraph (B), by striking ``by eligible investors 
        (as defined in section 238 of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2198))''.
  (s) Global Food Security Act of 2016.--Section 4(7) of the Global 
Food Security Act of 2016 (22 U.S.C. 9303(7)) is amended by striking 
``Overseas Private Investment Corporation'' and inserting ``United 
States International Development Finance Corporation''.
  (t) Sense of Congress on European and Eurasian Energy Security.--
Section 257(c)(2)(B) of the Countering Russian Influence in Europe and 
Eurasia Act of 2017 (22 U.S.C. 9546(c)(2)(B)) is amended by striking 
``Overseas Private Investment Corporation'' and inserting ``United 
States International Development Finance Corporation''.
  (u) Wholly Owned Government Corporation.--Section 9101(3) of title 
31, United States Code, is amended by striking ``Overseas Private 
Investment Corporation'' and inserting ``United States International 
Development Finance Corporation''.
  (v) Energy Independence and Security Act of 2007.--Title IX of the 
Energy Independence and Security Act of 2007 (42 U.S.C. 17321 et seq.) 
is amended--
          (1) in section 914 (42 U.S.C. 17334)--
                  (A) in the section heading, by striking ``overseas 
                private investment corporation'' and inserting ``united 
                states international development finance corporation'';
                  (B) in subsection (a), in the matter preceding 
                paragraph (1), by striking ``Overseas Private 
                Investment Corporation'' and inserting ``United States 
                International Development Finance Corporation''; and
                  (C) in subsection (b), in the matter preceding 
                paragraph (1), by striking ``Overseas Private 
                Investment Corporation shall include in its annual 
                report required under section 240A of the Foreign 
                Assistance Act of 1961 (22 U.S.C. 2200a)'' and 
                inserting ``United States International Development 
                Finance Corporation shall include in its annual report 
                required under section 403 of the Better Utilization of 
                Investments Leading to Development Act of 2018''; and
          (2) in section 916(a)(2)(I) (42 U.S.C. 17336(a)(2)(I)), by 
        striking ``Overseas Private Investment Corporation:'' and 
        inserting ``United States International Development Finance 
        Corporation;''.
  (w) Effective Date.--The amendments made by this section shall take 
effect at the end of the transition period.

                          Summary and Purpose

    H.R. 5105, the bipartisan and bicameral Better Utilization 
of Investments Leading to Development Act of 2018 (or the BUILD 
Act of 2018), as amended, would reform and consolidate the 
authorities of the Overseas Private Investment Corporation 
(OPIC), the United States Agency for International Development 
(USAID), Development Credit Authority (DCA), and the Enterprise 
Funds into a single full-service, self-sustaining United States 
International Development Finance Corporation (DFC). Through 
the provision of loans, guaranties, limited equity investments, 
feasibility studies, political risk insurance, and other 
instruments of support, the new DFC will mobilize private 
capital in furtherance of America's foreign policy and 
development objectives in the world's less developed countries.

                Background and Need for the Legislation

    Across the globe, lack of access to capital often 
constrains economic growth--especially in the world's least 
developed countries. According to the International Finance 
Corporation, micro-, small- and medium-sized enterprises in 
emerging markets have unmet financing needs of $5.2 trillion 
every year. This lack of access to capital limits their ability 
to grow. Foreign investment is critical to empowering 
entrepreneurs, creating jobs and reducing poverty.
    America has an undeniable interest in supporting the 
development of vibrant and stable economies around the world. 
Healthy private sectors promote good governance, support 
thriving civil societies, and help reduce civil strife. The 
resulting stability is good for our national security, and also 
benefits U.S. exports and jobs.
    Increasingly, other countries are working to advance their 
economic and political interests by shaping overseas markets. 
China's ``One Belt, One Road'' (OBOR) initiative, which has 
been estimated at $1 trillion or more, dwarfs the size of the 
Marshall Plan which rebuilt war-torn Europe in the 1940s and 
1950s. Across Africa, Asia and beyond, Beijing is making 
massive investments in new construction and infrastructure 
projects--from the headquarters of the African Union to a port 
in Djibouti--a strategically located nation where both the U.S. 
and China have military bases and whose foreign debt is 80 
percent owned by Beijing. As Ray Washburne, the President and 
CEO of OPIC, testified to the Foreign Affairs Committee on 
April 11, 2018, ``a condition of many of these loans is that 
Chinese firms--and labor--get the business. . . . This state-
directed approach is not consistent with our values, which 
incorporate the high standards of international financial 
institutions related to governance, transparency, debt 
sustainability, environmental, and social safeguards.''
    Chinese development practices have in some cases left 
countries worse off. A study by the Center for Global 
Development, which assessed the likelihood of debt problems in 
68 countries identified as potential OBOR borrowers, concluded 
that eight countries are at particular risk of debt distress 
based on an identified pipeline of project lending associated 
with OBOR. For example, in December 2017, Sri Lanka gave 
control of the strategic Sri Lankan port of Hambantota to 
Beijing for 99 years after it could not repay the Chinese-
backed loans to fund it, granting China a foothold in the 
Indian Ocean and its critical shipping lanes.
    In short, the committee is deeply concerned that China's 
approach in the developing world is fueling debt dependency, 
undermining good governance and human rights, and taking an 
illiberal approach to regions that contain about 65 percent of 
the world's population and one-third of its economic output.
    In November 2017, at the Asia-Pacific Economic Cooperation 
(APEC) Summit in Vietnam, the President committed to reforming 
U.S. development-finance institutions ``so they better 
incentivize private-sector investment'' and ``provide strong 
alternatives to state-directed initiatives that come with many 
strings attached.'' The President's National Security Strategy 
also prioritized efforts to catalyze private sector activity 
and the mobilization of resources to developing countries:

          ``Today, the United States must compete for positive 
        relationships around the world. China and Russia target 
        their investments in the developing world to expand 
        influence and gain competitive advantages against the 
        United States. China is investing billions of dollars 
        in infrastructure across the globe. Russia, too, 
        projects its influence economically, through the 
        control of key energy and other infrastructure 
        throughout parts of Europe and Central Asia.--The 
        United States provides an alternative to state-directed 
        investments, which often leave developing countries 
        worse off. The United States pursues economic ties not 
        only for market access but also to create enduring 
        relationships to advance common political and security 
        interests. . . .
          ``Across Africa, Latin America, and Asia, states are 
        eager for investments and financing to develop their 
        infrastructure and propel growth. The United States and 
        its partners have opportunities to work with countries 
        to help them realize their potential as prosperous and 
        sovereign states that are accountable to their people. 
        Such states can become trading partners that buy more 
        American-made goods and create more predictable 
        business environments that benefit American companies. 
        American-led investments represent the most sustainable 
        and responsible approach to development and offer a 
        stark contrast to the corrupt, opaque, exploitive, and 
        low-quality deals offered by authoritarian states.''

    The U.S. cannot and should not match China's investments 
dollar-for-dollar, but the committee believes we can and should 
do more to support international economic development with 
partners who have embraced the private sector-driven 
development model. However, America's existing development 
finance toolkit--which is spread across multiple agencies--is 
limited, duplicative, disjointed and uncoordinated. The BUILD 
Act will address these shortcomings and modernizes America's 
antiquated development finance capabilities to address the 
challenges of the 21st century. As Secretary of State Pompeo 
testified before the committee, ``this is a very important 
piece of legislation. I think there's real opportunity for the 
United States . . . this bill hits it perfectly.''
    Limitations. OPIC--America's development finance 
institution (DFI)--operates under authorities that have changed 
very little since it was created by Congress more than 45 years 
ago. The Corporation provides direct loans, guaranties and 
political risk insurance, but it lacks the authority to make 
equity investments--an authority held by every other DFI around 
the world. Because OPIC only provides a debt financing 
instrument and must be repaid as a senior creditor, the U.S. is 
often locked out of co-investment opportunities with like-
minded DFIs. This discourages other countries--such as the 
United Kingdom and Japan--from partnering with OPIC on 
projects. For this reason, the BUILD Act authorizes the new DFC 
to make limited equity investments as a minority investor in 
projects provided that certain conditions enumerated in the 
bill are met, including selling equity investments as quickly 
as is economically feasible. Further, the bill establishes a 30 
percent per-project cap on equity authority and a total limit 
on equity of not more than 35 percent of the Corporation's 
aggregate exposure.
    Additionally, OPIC lacks the ability to support feasibility 
studies, project-related technical-assistance grants, and other 
kinds of ``wrap around'' services for projects potentially 
eligible for financing. The BUILD Act would authorize these new 
activities.
    The BUILD Act would also set the new DFC's maximum 
contingent liability (MCL) at $60 billion--slightly more than 
double OPIC's current statutory cap, which was set at $29 
billion in 1997. This is necessary for three reasons. First, 
OPIC is quickly nearing its cap. According to its FY 2017 
Annual Report, OPIC had a total portfolio exposure of $23.2 
billion, or 80 percent of its MCL. If OPIC's annual commitments 
are consistent with its recent 5 year average (approximately 
$3.7 billion), it should reach its MCL by FY 2019. Second, the 
new MCL is critical to being able to compete with China. Even 
if adjusted for inflation, OPIC's current cap would be 
approximately $45 billion which still pales in comparison to 
the China Development Bank's $1.6 trillion portfolio. Third, 
the BUILD Act would automatically add approximately $3.6 
billion in legacy liabilities from USAID on top of OPIC's $23.2 
billion portfolio to the new DFC--totaling more than $26.8 
billion in inherited liabilities. Thus, if the new MCL was 
unchanged from OPIC's current exposure limit, the DFC would hit 
the cap within its first year of existence. With a 7 year 
authorization, the $60 billion cap will ensure that the new DFC 
can continue to extend annual commitments consistent with its 
recent 5 year average and provides for a modest buffer to 
account for the Corporation's new instruments of support and 
strong mandate.

[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    Duplication. America's development finance toolkit is 
duplicative across Federal agencies. For example, USAID's 
Development Credit Authority and Enterprise Funds have the 
ability to make guaranties and direct loans, respectively, 
which are duplicative of OPIC's own authorities. Consolidating 
these disparate functions under a single Development Finance 
Corporation will improve efficiencies.
    Disjointed and Uncoordinated. The committee has learned in 
the course of its oversight activities that OPIC and USAID 
staff have at times been unaware of what the other agency is 
doing in a particular country. Moreover, effective use of DCA's 
risk sharing program is often entirely dependent on whether 
USAID's in-country Mission Director is aware of and understands 
DCA's offerings. In order to ensure that the DFC and USAID are 
not working at cross-purposes and support America's development 
interests, the BUILD Act requires the Administrator of USAID to 
serve as the Vice Chair of the DFC's Board of Directors. It 
also establishes a Chief Development Officer, whose duties 
include coordination with USAID (and other relevant agencies), 
directly liaising with USAID missions, and ensuring that all 
relevant departments, agencies, and missions have awareness of, 
training with respect to, and access to the Corporation's tools 
in relation to development policy and projects. This is 
especially important since OPIC currently has just three staff 
posted overseas. The new DFC will therefore empower USAID's 
employees in the field with awareness of and access to the 
DFC's full-suite of financial tools for developmental projects. 
Similarly, the new DFC will have stronger linkages to Foreign 
Service Officers and other employees of USAID, the State 
Department, the Commerce Department, and the Agriculture 
Department working in countries where DFC support will be 
provided.
    BUILD Act Reforms. The President's FY 2019 Budget proposes 
to consolidate U.S. development finance agencies and functions, 
such as OPIC and DCA into a single, consolidated DFI with more 
modern and effective tools and reforms to protect taxpayer 
dollars. The BUILD Act, as amended, will help effectuate this 
proposal and also includes critical reforms to OPIC and USAID's 
current functions in order to protect taxpayers, improve 
accountability to Congress, and ensure that the DFC can 
effectively carry out its mandate, including:

         1) LA clear statement of policy that the United States 
        will facilitate private sector development and economic 
        growth to provide countries a robust alternative to 
        state-directed investments by authoritarian governments 
        and United States strategic competitors (such as China) 
        using high standards of transparency, environmental, 
        and social safeguards, and which take into account the 
        debt sustainability of partner countries;

         2) LRequiring that the Corporation prioritizes its 
        support in less developed countries with a low-income 
        economy or a low-middle-income economy according to 
        World Bank standards;

         3) LRequiring that non-government members of the 
        Corporation's Board of Directors are appointed by the 
        President from among a list of individuals submitted by 
        the congressional leadership;

         4) LEstablishing a Chief Development Officer to ensure 
        strong institutional linkages between the new DFC, 
        USAID, and other relevant departments and agencies;

         5) LCreating an independent Inspector General of the 
        Corporation;

         6) LMandating that foreign currency-denominated 
        support may only be provided if there is a substantive 
        policy rationale;

         7) LAuthorizing the Corporation to make limited equity 
        investments as a minority investor in order to ensure 
        that the Corporation is economically interoperable with 
        allies such as the United Kingdom, Japan, and 
        multilateral institutions like the International 
        Finance Corporation, in which the United States is the 
        largest shareholder;

         8) LAuthorizing the Corporation to conduct feasibility 
        studies, project-related technical-assistance grants, 
        and other kinds of ``wrap around'' services, as long as 
        they do not duplicate work being done by the U.S. Trade 
        and Development Agency;

         9) LAuthorizing the Corporation to establish and 
        operate enterprise funds provided that such funds are 
        terminated not later than 7 years after their first 
        expenditure of funds;

        10) LSubjecting the Corporation's lending activities to 
        the Federal Credit Reform Act;

        11) LKeeping the Corporation subject to the regular 
        authorization and appropriations process to make its 
        spending transparent to taxpayers and accountable to 
        Congress;

        12) LRequiring the Corporation's Board to annually 
        assess whether it should pay a dividend to the Treasury 
        if its insurance reserves exceed 100 percent;

        13) LRestricting the Corporation from using fees to pay 
        for information technology or anything except travel 
        and legal expenses;

        14) LEstablishing Risk and Audit Committees to ensure 
        appropriate oversight of the Corporation's investment 
        strategies and finances;

        15) LRequiring the Corporation to establish clear 
        performance measures to evaluate and monitor its 
        projects;

        16) LRequiring the Corporation to notify the committee 
        not later than 15 days prior to making a financial 
        commitment of $10 million or more;

        17) LRequiring the Corporation to give preference to 
        projects sponsored by or involving United States 
        persons;

        18) LRequiring the Corporation to consider the impacts 
        of its support on women's economic opportunities;

        19) LRequiring the Corporation to give preference to 
        projects in countries the governments of which are 
        making continual progress toward economic policies that 
        support free enterprise;

        20) LRequiring the Corporation to ensure that private 
        sector entities are afforded an opportunity to support 
        projects before any Corporation support may be 
        provided, which will ensure that Corporation support is 
        additional to--and does not compete with--the private 
        sector;

        21) LConsolidating OPIC, DCA, and USAID's existing 
        Legacy Credit portfolio and other direct loans into 
        standalone Development Finance Corporation, after joint 
        coordination between USAID and OPIC; and

        22) LAuthorizing the transfer of USAID's Office of 
        Private Capital and Microenterprise, legacy enterprise 
        funds, and sovereign loan guaranty portfolio to the new 
        DFC.

    In addition to these reforms, the BUILD Act will carry 
forward several important elements of OPIC. For example, by 
taking into account the economic and financial soundness of 
projects for which it provides support, the new DFC will 
continue to be self-sustaining. In FY 2017, OPIC returned $262 
million to the Treasury--generating returns for taxpayers for 
the 40th straight year. Since its inception, OPIC estimates it 
has contributed to about $80 billion in U.S. exports and 
supported over 280,000 U.S. jobs. In addition, the BUILD Act 
will carry forward all Corporation policies, including those 
regarding prohibitions on investments in China, Russia, 
countries facing U.S. sanctions, and any state-owned 
enterprises.
    With the right leadership and authorities, the new U.S. 
International Development Finance Corporation can be a powerful 
instrument to create opportunities in countries hungry for 
growth and jobs. Its creation would also send a strong signal 
about America's commitment to international economic engagement 
in uncertain times.

                                Hearings

    Most recently, the Foreign Affairs Committee held a hearing 
on April 11, 2018, entitled ``Financing Overseas Development: 
The Administration's Proposal,'' with Honorable Ray W. 
Washburne, President and Chief Executive Officer of the 
Overseas Private Investment Corporation, related to the 
contents of H.R. 5105. The legislation was also the topic of 
discussion on March 21, 2018, at a hearing entitled ``The FY 
2019 Foreign Assistance Budget'' with the Honorable Mark Green, 
Administrator of the United States Agency for International 
Development. Previously, the Subcommittee on Asia and the 
Pacific held a hearing on November 15, 2017, entitled 
``Development Finance in Asia: U.S. Economic Strategy Amid 
China's Belt and Road.''

                        Committee Consideration

    On May 9, 2018, the Committee on Foreign Affairs marked up 
H.R. 5105 in open session, pursuant to notice. An amendment in 
the nature of a substitute (offered by Chairman Royce) and 14 
other amendments to the amendment in the nature of a substitute 
were considered en bloc with the underlying bill, and all were 
agreed to by voice vote.

                      Committee Oversight Findings

    In compliance with clause 3(c)(1) of rule XIII of Rules of 
the House of Representatives, the committee reports that 
findings and recommendations of the committee, based on 
oversight activities under clause 2(b)(1) of House Rule X, are 
incorporated in the descriptive portions of this report, 
particularly in the ``Background and Need for the Legislation'' 
and ``Section-by-Section Analysis'' sections.

      New Budget Authority, Tax Expenditures, and Federal Mandates

    In compliance with clause 3(c)(2) of House Rule XIII and 
the Unfunded Mandates Reform Act (Public Law 104-4), the 
committee adopts as its own the estimate of new budget 
authority, entitlement authority, tax expenditure or revenues, 
and Federal mandates contained in the cost estimate prepared by 
the Director of the Congressional Budget Office pursuant to 
section 402 of the Congressional Budget Act of 1974.

               Congressional Budget Office Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                      Washington, DC, July 9, 2018.

Hon. Edward R. Royce, Chairman,
Committee on Foreign Affairs,
House of Representatives, Washington, DC.

    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 5105, the BUILD 
Act of 2018.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Sunita 
D'Monte, who can be reached at 226-2840.
            Sincerely,
                                                Keith Hall.
Enclosure

cc:
        Honorable Eliot L. Engel
        Ranking Member

H.R. 5105--BUILD Act of 2018.
    As ordered reported by the House Committee on Foreign 
Affairs on May 9, 2018

                                SUMMARY

    H.R. 5105 would authorize the establishment of a new 
development finance institution for the United States: the U.S. 
International Development Finance Corporation (USIDFC). USIDFC 
would promote economic development in less developed countries 
by providing loans, equity, insurance, and other forms of 
assistance to U.S. companies and other entities that want to 
invest and expand in those countries. CBO estimates that, on 
net, implementing the legislation would reduce federal costs by 
$77 million over the 2019-2023 period, assuming appropriation 
actions consistent with the bill.
    CBO estimates that enacting H.R. 5105 would increase direct 
spending by $113 million over the 2019-2028 period. Because the 
bill would affect direct spending, pay-as-you-go procedures 
apply. The bill would not affect revenues.
    CBO estimates that enacting H.R. 5105 would not increase 
net direct spending by more than $2.5 billion or on-budget 
deficits by more than $5 billion in any of the four consecutive 
10-year periods beginning in 2029.
    H.R. 5105 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA).

                ESTIMATED COST TO THE FEDERAL GOVERNMENT

    The estimated budgetary effect of H.R. 5105 is shown in 
Table 1. The costs of the legislation fall within budget 
function 150 (international affairs).

     TABLE 1. BUDGETARY EFFECTS OF H.R. 5105, THE BUILD ACT OF 2018

                                     By Fiscal Year, in Millions of Dollars
----------------------------------------------------------------------------------------------------------------
                                                                                                          2019-
                                                     2018     2019     2020     2021     2022     2023     2023
----------------------------------------------------------------------------------------------------------------
INCREASES OR DECREASES (-) IN SPENDING SUBJECT TO APPROPRIATION
 
Estimated Authorization Level                            0        0       -1      -20       28      114      122
Estimated Outlays                                        0        0      -89      -67       -8       86      -77
 
 
INCREASES IN DIRECT SPENDING\1\
 
Estimated Budget Authority                               0        0       12       12       13       13       50
Estimated Outlays                                        0        0       12       12       13       13       50
----------------------------------------------------------------------------------------------------------------
\1\H.R. 5105 would change direct spending as shown here (an increase of $50 million over the 2019-2023 period)
  and also would have effects beyond 2023. CBO estimates that enacting the bill would increase direct spending
  by $113 million over the 2019-2028 periods (see Table 3).
Details may not sum to totals because of rounding.


                           BASIS OF ESTIMATE

    For this estimate, CBO assumes that H.R. 5105 will be 
enacted by the end of 2018, that the estimated amounts will be 
appropriated each fiscal year, and that outlays will match 
historical spending patterns for similar activities.
Spending Subject to Appropriation
    H.R. 5105 would consolidate several existing development 
finance, credit, and foreign assistance programs into the new 
USIDFC and provide it with new and broader authority. The 
agency's authority to enter into new agreements would expire 
seven years after enactment of the legislation. The 
Administration requested funding in 2019 for a similar new 
institution.
    The bill would require the Overseas Private Investment 
Corporation (OPIC), the Development Credit Authority (DCA), and 
several smaller legacy credit programs of the U.S. Agency for 
International Development (USAID) to be folded into USIDFC. 
Under the bill, USIDFC would have a $60 billion ceiling on 
outstanding liability--roughly double the current combined 
total liability for those programs. Under current law, OPIC's 
outstanding liability is roughly $23 billion, and CBO expects 
that within the next two years it will reach the currently 
authorized $29 billion ceiling.
    The Administration would be authorized to transfer other 
programs to USIDFC, such as enterprise funds, sovereign loan 
guarantees, and microenterprise credit. The Administration 
indicated that it is unlikely to do so, however, and this 
estimate does not include any effects related to those 
programs. Finally, H.R. 5105 would institutionalize 
coordination between USIDFC and USAID, thereby allowing USAID 
staff overseas to identify potential projects and promote 
USIDFC.
    Under current law, OPIC helps U.S. companies expand and 
invest overseas, primarily by providing direct loans, loan 
guarantees, and insurance; DCA promotes commercial lending in 
developing countries by guaranteeing the timely repayment of 
loans made by local lenders. Although the authority of both 
entities to enter into new contracts expires at the end of 
fiscal year 2018, they will continue to operate for some years 
after that date to service existing contracts.
    Under the bill, USIDFC would continue the existing programs 
run by OPIC and DCA and would be newly authorized to invest in 
projects, either directly or through investment funds. The bill 
would loosen an existing requirement on OPIC to work with U.S. 
citizens and corporations. H.R. 5105 also would require USIDFC 
to focus primarily on less developed countries, whereas current 
programs also operate in higher-income countries transitioning 
to market economies. On the basis of information from the 
Administration about how USIDFC would implement that focus, CBO 
estimates that in comparison to current programs, a greater 
proportion of loans and loan guarantees would have a positive 
subsidy cost (that is, they increase net costs), as defined in 
the Federal Credit Reform Act of 1990 (FCRA).\1\ In addition, 
on the basis of information from the Administration about 
USAID's legacy credit portfolio, CBO anticipates little, if 
any, effect on those programs under the bill.
---------------------------------------------------------------------------
    \1\Under FCRA, the subsidy cost of a direct loan or loan guarantee 
is the net present value of estimated payments by the government to 
cover defaults and delinquencies, interest subsidies, or other 
expenses, offset by any payments to the government, including 
origination fees, other fees, penalties, and recoveries on defaulted 
loans. (A present value expresses a flow of past and future income or 
payments as a single amount received or paid at a specific time.) The 
net present value does not include the cost of market risk. Such 
subsidy costs are recorded in the budget when loans are disbursed.
---------------------------------------------------------------------------
    On the basis of information from the Administration about 
how it would implement the transition plan detailed in H.R. 
5105, CBO expects that USIDFC would begin operations in 2020. 
In total, after accounting for OPIC and DCA costs to complete 
current contracts, and assuming appropriation actions 
consistent with the bill, CBO estimates that implementing H.R. 
5105 would reduce costs by $77 million, on net, over the 2019-
2023 period. The components of that estimate are discussed 
below and shown in Table 2.

       TABLE 2. CHANGES IN SPENDING SUBJECT TO APPROPRIATION IN 
                    H.R. 5105, THE BUILD ACT OF 2018

                                     By Fiscal Year, in Millions of Dollars
----------------------------------------------------------------------------------------------------------------
                                                                                                          2019-
                                                     2018     2019     2020     2021     2022     2023     2023
----------------------------------------------------------------------------------------------------------------
 
INCREASES OR DECREASES (-) IN SPENDING SUBJECT TO APPROPRIATION
 
Administrative Expenses
  Estimated Authorization Level                          0        0       51       56       59       64      230
  Estimated Outlays                                      0        0       31       52       58       62      204
 
Positive Subsidy Costs for Loans
  Estimated Authorization Level                          0        0       85       87       89       91      353
  Estimated Outlays                                      0        0       25       44       55       65      189
 
Negative Subsidies for Loans
  Estimated Authorization Level                          0        0     -170     -221     -253     -272     -916
  Estimated Outlays                                      0        0     -170     -221     -253     -272     -916
 
Equity Investments
  Estimated Authorization Level                          0        0       50       75      150      250      525
  Estimated Outlays                                      0        0       50       75      150      250      525
 
Other Assistance
  Estimated Authorization Level                          0        0       15       15       16       16       62
  Estimated Outlays                                      0        0        7       15       15       16       53
 
Fees for Activities Related to Specific Projects
  Estimated Authorization Level                          0        0      -34      -34      -35      -36     -139
  Estimated Outlays                                      0        0      -34      -34      -35      -36     -139
 
Inspector General
  Estimated Authorization Level                          0        0        3        3        3        3       12
  Estimated Outlays                                      0        0        3        3        3        3       12
 
Insurance Premiums
  Estimated Authorization Level                          0        0       -1       -1       -1       -2       -5
  Estimated Outlays                                      0        0       -1       -1       -1       -2       -5
 
  Total Changes
  Estimated Authorization Level                          0        0       -1      -20       28      114      122
  Estimated Outlays                                      0        0      -89      -67       -8       86      -77
----------------------------------------------------------------------------------------------------------------
Details may not sum to totals because of rounding.


    Administrative Expenses. Under current law, OPIC and DCA 
will be unable to enter into new contracts starting in 2019; 
however, they will continue to service their existing 
portfolios for some time. CBO estimates they will begin 
reducing staffing in 2019 but that severance payments will keep 
appropriations required for administrative expenses at the 
current amount ($89 million) in that year. In 2020, CBO 
estimates, that amount will decline to $46 million and will 
continue to fall in following years.
    On the basis of information from the Administration about 
its budget request for 2019 and staffing requirements to 
implement the new authority granted under H.R. 5105, CBO 
estimates that USIDFC would consolidate existing personnel from 
OPIC and DCA and hire three additional employees (primarily to 
implement equity investments); those activities would require 
appropriations in 2020 totaling $97 million. Over the 2020-2023 
period, CBO estimates, total administrative expenses would grow 
by about 2 percent each year.
    After adjusting for ongoing costs of OPIC and DCA, CBO 
estimates that, on net, implementing H.R. 5105 would require 
additional appropriations of $51 million in 2020 and would 
increase administrative expenses by $204 million over the 2020-
2023 period, assuming appropriation of the necessary amounts.
    Positive Subsidy Costs for Loans. On the basis of 
information from the Administration and after adjusting for 
projected growth under the higher ceiling on outstanding 
liability authorized by H.R. 5105, CBO estimates that 
appropriations required for the subsidy costs of new loans and 
loan guarantees would amount to $85 million in 2020 and total 
about $350 million over the 2020-2023 period. (In 2018, OPIC 
and DCA received total appropriations of $75 million for 
subsidy costs.) Assuming appropriation of the necessary 
amounts, CBO estimates that outlays for those subsidy costs 
would increase by $189 million over the 2020-2023 period. 
(Outlays would lag behind appropriations, reflecting the 
expected pace of disbursements of new loans.)
    Negative Subsidies for Loans. Some of the loans OPIC 
currently provides yield a net budgetary savings under the cost 
formula specified in FCRA, which requires that the expected 
government cash flows be discounted using the rates on Treasury 
securities of comparable maturity. Those loans have lower 
default rates and higher fees than other products and, thus, 
yield net savings to the government. In 2018, CBO estimates, 
OPIC will generate $250 million in negative subsidies. Under 
current law, starting in 2019 when OPIC will be unable to enter 
into new contracts, CBO estimates that negative subsidies will 
begin to decline and will disappear by 2025.
    On the basis of information from the Administration and 
adjusting for projected growth under the higher ceiling on 
outstanding liability, CBO estimates that under H.R. 5105 
negative subsidies would total $265 million in 2020--$170 
million above the current-law amount for that year and $916 
million for the 2020-2023 period.
    Equity Investments. H.R. 5105 would authorize USIDFC to 
invest, either directly or through investment funds, in 
projects in less developed countries. Under the bill, the 
proceeds from the eventual sale of those investments, including 
any accumulated earnings, would be returned to USIDFC. H.R. 
5105 does not specify, and CBO cannot determine, whether those 
proceeds would be available for further spending. If they 
became available, CBO would treat those effects as direct 
spending.
    The current budgetary treatment of investing federal funds 
in nonfederal securities is specified in Circular A-11, 
published by the Office of Management and Budget.\2\ Under that 
treatment, the purchase of private securities is to be recorded 
as an outlay at the time of purchase and in the amount of the 
face value of the purchase. Upon the sale of such securities, 
CBO expects that the proceeds would be recorded as 
discretionary offsetting collections.
---------------------------------------------------------------------------
    \2\See Office of Management and Budget, Preparation, Submission, 
and Execution of the Budget, Circular A-11 (June 2018), 
www.whitehouse.gov/omb/circulars.
---------------------------------------------------------------------------
    CBO expects investments in private securities probably 
would accrue earnings over the period they are held. With the 
potential for greater rates of return, government investments 
in private securities could increase the expected value of 
budgetary resources, but such investments also would expose the 
government, future taxpayers, and beneficiaries of federal 
programs to greater risk. Investments in less developed 
countries may be riskier than investments in other private 
securities. When that risk is taken into account, the returns 
on private securities would be no greater than the returns on 
government securities, CBO estimates. In addition, the 
Department of the Treasury would have to pay interest on the 
additional borrowing necessary to purchase private securities. 
In CBO's view, any earnings that result from private 
investments are equivalent to changes in net interest costs; 
such earnings are not shown in this estimate because, based on 
long-standing precedents, CBO does not include in cost 
estimates the net interest costs associated with the estimated 
budgetary effects of legislation.
    OPIC currently provides loan guarantees to investment 
funds, and the Administration indicated that it would build on 
that experience by implementing equity investing through 
investment funds, rather than through direct investments. The 
Administration also indicated that it could eventually invest 
up to a few hundred million dollars a year. On the basis of 
that information and adjusting for a phase-in period, CBO 
estimates that implementing the authority to invest in equities 
would require additional appropriations of $50 million in 2020, 
growing to $250 million in 2023, for a total cost of $525 
million over the 2020-2023 period. CBO expects that USIDFC 
would retain those investments for a period of 8 to 10 years 
before deciding to sell; thus, the proceeds from such sales 
would probably not be returned to USIDFC until after 2028.
    Other Assistance. The bill would authorize USIDFC to 
undertake business promotion activities such as feasibility 
studies and technical assistance to help projects acquire 
USIDFC financing. H.R. 5105 also would allow USIDFC to 
administer ancillary programs and projects to support its 
financing activities, such as providing grants or technical 
support for small businesses. On the basis of information from 
the Administration about its 2019 budget request for such 
activities, CBO estimates that implementing those provisions 
would require additional appropriations of about $15 million a 
year and cost $53 million over the 2020-2023 period.
    Fees for Activities Related to Specific Projects. H.R. 5105 
would authorize USIDFC to charge and retain fees for services, 
subject to future appropriations action. In addition to its 
fees for loans and insurance, OPIC charges fees for certain 
administrative transactions related to specific projects, such 
as travel and legal work. The vast majority of the fees are 
collected at the start of the project and under current law CBO 
expects such collections will end starting in 2019. Under 
current practice, fees for insurance products are treated as 
discretionary offsetting collections; however, fees for loans 
and loan guarantees are currently deposited into loan financing 
accounts, which are off-budget. Under the bill, both types of 
fees would be treated as discretionary offsetting collections. 
On the basis of information about fees collected in recent 
years, CBO estimates that those collections under the bill 
would total $34 million in 2020 and $139 million over the 2020-
2023 period. Under H.R. 5105, spending on the underlying 
activity associated with these fees would be treated as direct 
spending and is discussed under that heading below.
    Inspector General. Section 104 would establish an inspector 
general (IG) for USIDFC. Currently, the IG for USAID covers the 
programs being folded into USIDFC. Based on information from 
the Administration about costs for personnel, contract staff, 
office space, travel, and other expenses and adjusting for 
reduced costs for the USAID IG, CBO estimates that implementing 
that requirement would have a net cost of $3 million a year 
over the 2020-2023 period, assuming appropriation of the 
necessary amounts.
    Insurance Premiums. OPIC's current insurance programs offer 
protection against political risks associated with investing 
overseas, such as expropriation, terrorism, political violence 
or civil strife, and currency inconvertibility. The average 
policy term is about 11 years, and collections from premiums 
are $10 million each year. Under the bill, in addition to 
absorbing OPIC's insurance portfolio, USIDFC would be allowed 
to sell insurance to international financial institutions and 
development finance institutions from other countries. On the 
basis of information from the Administration, and adjusting for 
projected growth under the bill, CBO estimates that under this 
provision USIDFC would collect an additional $5 million in 
insurance premiums over the 2020-2023 period. Payments made for 
insurance claims are treated as direct spending and are 
discussed under that heading below.
Direct Spending
    CBO estimates that enacting H.R. 5105 would increase direct 
spending by $113 million over the 2019-2028 period (see Table 3 
below).

 TABLE 3. CHANGES IN DIRECT SPENDING UNDER H.R. 5105, THE BUILD ACT OF 
                                  2018

                                     By Fiscal Year, in Millions of Dollars
----------------------------------------------------------------------------------------------------------------
                                                                                                    2019-  2019-
                                  2018  2019  2020  2021  2022  2023  2024  2025  2026  2027  2028   2023   2028
----------------------------------------------------------------------------------------------------------------
 
INCREASES IN DIRECT SPENDING
 
Activities Related to Specific
Projects
  Estimated Budget Authority        0     0    12    12    13    13    14    14    14    11     9     50    112
  Estimated Outlays                 0     0    12    12    13    13    14    14    14    11     9     50    112
Insurance Claim
  Estimated Budget Authority        0     0     *     *     *     *     *     *     *     *     *      *      1
  Estimated Outlays                 0     0     *     *     *     *     *     *     *     *     *      *      1
 
  Total Changes in Direct
  Spending
  Estimated Budget
  Authority                         0     0    12    12    13    13    14    14    14    11     9     50    113
  Estimated Outlays                 0     0    12    12    13    13    14    14    14    11     9     50    113
----------------------------------------------------------------------------------------------------------------
Components may not sum to totals because of rounding; * = between zero and $500,000.


    Activities Related to Specific Projects. As described under 
Spending Subject to Appropriation, H.R. 5105 would authorize 
USIDFC to undertake certain administrative transactions related 
to specific projects. Under current law, OPIC has spent roughly 
$24 million a year on such transactions; however, starting in 
2019 when OPIC's authorization expires, CBO expects that 
spending will end. The bill would narrow the scope of such 
activity to travel, legal expenses, and claims settlement. CBO 
estimates that fees charged for those purposes would exceed 
spending. Although the bill clearly specifies that the fees 
would be collected subject to appropriation, it would allow 
USIDFC to perform underlying activities without prior 
appropriation action. On the basis of information about such 
activity in recent years, CBO estimates that USIDFC would spend 
$12 million in 2020; that amount would grow to $14 million in 
2024 and start to decline in 2025 when USIDF's authorization 
would expire. In total, CBO estimates, enacting the bill would 
increase direct spending by $112 million over the 2020-2028 
period.
    Insurance Claims. Using information from the Administration 
about OPIC's current insurance portfolio and adjusting for new 
insurance policies under the bill, CBO estimates that USIDFC 
would pay small amounts each year in additional claims, 
resulting in an increase in direct spending of less than 
$500,000 each year and totaling $1 million over the 2020-2028 
period.
    Interest Earned on Treasury Securities. Section 304 would 
authorize the USIDFC to invest balances in securities of the 
federal government and to use the resulting interest earnings 
for its ongoing programs. Under current law, OPIC has similar 
authority. Under a long-standing convention, OPIC's interest 
earnings are credited to the House and Senate Appropriations 
Committees as discretionary offsetting collections, thereby 
reducing OPIC's need for appropriations.
    Under the bill, CBO would treat interest earnings from 
OPIC's reinvestments and new investments made by USIDFC as 
mandatory offsetting collections, in accordance with the 
principle that interest on federal securities is an 
intragovernmental transfer (the interest is paid by the 
Treasury and thus appears as an offsetting payment elsewhere in 
the federal budget).
    USIDFC would spend its interest earnings on project-
specific transactions and insurance claims, as described above. 
That spending would be treated as direct spending.
    Other Provisions. H.R. 5105 would allow USIDFC to accept 
gifts and donations to carry out its functions and would 
require the agency to seek cost sharing or reimbursements for 
business promotion activities such as feasibility studies and 
technical assistance. CBO estimates that enacting those 
provisions would have insignificant net effects on direct 
spending.

                      PAY-AS-YOU-GO CONSIDERATIONS

    The Statutory Pay-As-You-Go Act of 2010 establishes budget-
reporting and enforcement procedures for legislation affecting 
direct spending or revenues. The net changes in outlays that 
are subject to those pay-as-you-go procedures are shown in 
Table 4.

TABLE 4. CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 5105 AS ORDERED 
   REPORTED BY THE HOUSE COMMITTEE ON FOREIGN AFFAIRS ON MAY 9, 2018

                                     By Fiscal Year, in Millions of Dollars
----------------------------------------------------------------------------------------------------------------
                                                                                                    2018-  2018-
                                  2018  2019  2020  2021  2022  2023  2024  2025  2026  2027  2028   2023   2028
----------------------------------------------------------------------------------------------------------------
 
NET INCREASE IN THE DEFICIT
 
Statutory Pay-As-You-Go Effect      0     0    12    12    13    13    14    14    14    11     9     50    113
----------------------------------------------------------------------------------------------------------------


           INCREASE IN LONG-TERM DIRECT SPENDING AND DEFICITS

    CBO estimates that enacting H.R. 5105 would not increase 
net direct spending by more than $2.5 billion or on-budget 
deficits by more than $5 billion in any of the four consecutive 
10-year periods beginning in 2029.

                                MANDATES

    H.R. 5105 contains no intergovernmental or private-sector 
mandates as defined in UMRA.

                          ESTIMATE PREPARED BY

Federal Costs: Sunita D'Monte
Mandates: Jon Sperl

                          ESTIMATE REVIEWED BY

Sarah Jennings
Chief, Defense, International Affairs, and Veterans' Affairs 
        Cost Estimate Unit
Leo Lex
Deputy Assistant Director for Budget Analysis
Theresa Gullo
Assistant Director for Budget Analysis

                          Directed Rule Making

    Pursuant to clause 3(c) of House Rule XIII, as modified by 
section 3(i) of H. Res. 5 during the 115th Congress, the 
committee notes that H.R. 5105 contains no directed rule-making 
provisions.

                  Non-Duplication of Federal Programs

    Pursuant to clause 3(c)(5) of House Rule XIII, the 
committee states that no provision of this bill establishes or 
reauthorizes a program of the Federal Government known to be 
duplicative of another Federal program, a program that was 
included in any report from the Government Accountability 
Office to Congress pursuant to section 21 of Public Law 111-
139, or a program related to a program identified in the most 
recent Catalog of Federal Domestic Assistance.

                    Performance Goals and Objectives

    The objective of this legislation is to mobilize and 
facilitate the participation of private sector capital and 
skills in the economic development of less developed countries, 
and countries in transition from nonmarket to market economies, 
through the provision of credit, capital, and other financial 
support in order to complement the development assistance 
objectives, and advance the foreign policy interests, of the 
United States. To ensure appropriate performance of the new 
Corporation's activities and proper oversight by Congress, 
Section 103 establishes a Chief Risk Officer of the U.S. 
International Development Finance Corporation to limit risks to 
the Corporation's portfolio. Section 104 requires the President 
to appoint and maintain an independent Inspector General of the 
Corporation. Section 304 subjects the Corporation's lending 
activities to the Federal Credit Reform Act to make its 
spending transparent to taxpayers and accountable to Congress. 
Section 401 establishes Risk and Audit Committees at the 
Corporation to ensure appropriate oversight of the 
Corporation's investment strategies and finances. Section 402 
requires the Corporation to develop a performance measurement 
system to evaluate and monitor projects supported by the 
Corporation. Section 403 requires the Corporation to submit a 
detailed report to Congress of its operations each year. 
Section 404 requires the Corporation to make detailed country-
level information available to the public, including 
descriptions of any support provided by the Corporation to 
projects in those countries. Section 406 requires the 
Corporation to notify Congress not later than 15 days prior to 
making a financial commitment of $10 million or more. Section 
502 requires the Corporation to ensure that private sector 
entities are afforded an opportunity to support projects before 
any Corporation support may be provided in order to ensure that 
Corporation support is additional to--and does not compete 
with--the private sector.

                    Congressional Accountability Act

    H.R. 5105 does not apply to terms and conditions of 
employment or to access to public services or accommodations 
within the legislative branch.

                        New Advisory Committees

    H.R. 5105 does not establish or authorize any new advisory 
committees.

                         Earmark Identification

    H.R. 5105 contains no congressional earmarks, limited tax 
benefits, or limited tariff benefits as described in clauses 
9(e), 9(f), and 9(g) of House Rule XXI.

                      Section-by-Section Analysis

Section 1. Short Title; Table of Contents.
    States that this Act may be cited as ``The Better 
Utilization of Investments Leading to Development Act of 2018'' 
or the ``BUILD Act of 2018.''
Section. 2. Definitions.
    Defines four terms used throughout the bill.

                         TITLE I--ESTABLISHMENT

Section 101. Statement of Policy.
    States that it is the policy of the United States to 
facilitate market-based private sector development and economic 
growth in less developed countries through the provision of 
credit, capital, and other financial support to further U.S. 
foreign policy interests, help private sector actors overcome 
market gaps without distorting markets, and help lessen the 
reliance on traditional forms of foreign assistance over time.
    The committee recognizes the importance of private 
investment, with its accompanying skills, to economic progress 
in developing countries. Private investment's role in the 
growth of private enterprise in developing countries must be 
more fully realized in order to achieve the objectives of this 
Act.
Section 102. United States International Development Finance 
        Corporation.
    Establishes the U.S. International Development Finance 
Corporation (the ``Corporation'') under the general policy 
guidance of the Secretary of State.
    The purpose of the Corporation is to promote and support 
the active participation of private enterprise in providing 
capital and skills to help further the development of less 
developed countries. The Corporation's activities will 
therefore complement the development assistance objective 
pursued by USAID and other developmental agencies of the United 
States Government.
    In its support of private sector projects under Title II, 
the Corporation is expected to operate on a self-sustaining 
basis. In deciding whether to assist in the financing of a 
project, the Corporation will consider the economic and 
financial soundness of the proposal.
    This section also sets the Corporation's focus on 
supporting private sector investment in low income and lower-
middle income countries as defined by the World Bank.
Section 103. Management of Corporation.
    Establishes the positions of Chief Executive Officer (CEO), 
Deputy Chief Executive Officer, Chief Development Officer, and 
Chief Risk Officer. Also establishes a Board of Directors for 
the Corporation composed of officers from the Departments of 
State, Treasury, and Commerce, the U.S. Agency for 
International Development (USAID), and the CEO of the 
Corporation. The President shall select a Chairman of the Board 
from among these individuals, while the USAID representative 
will serve as Vice Chair of the Board. Four other non-
government individuals will be appointed by the President 
selected from lists submitted by congressional leadership.
    Subsection (b) vests the powers of the Corporation in the 
Board of Directors. The latter may delegate authority to 
Corporation officers, such as the CEO, who may then exercise 
corporate powers under authority of the Board in accordance 
with the terms of such delegations. Subsection (d) provides 
that the CEO of the Corporation shall be appointed by the 
President of the United States subject to Senate confirmation. 
In making this appointment the President shall take into 
account the appointee's private business experience. The CEO of 
the Corporation is charged with the Corporation's management 
and operations under bylaws and policies established by the 
Board of Directors.
    The committee carefully considered how to solidify strong 
institutional linkages between the Corporation and USAID. This 
relationship is embodied by the establishment of a Chief 
Development Officer (CDO) in subsection (g). The CDO's central 
role will be to ensure that USAID officers have ``training, 
awareness and access to'' the Corporations financial tools, and 
that the DFC has access to USAID resources in pursuit of 
development projects. While the CDO will report directly to the 
Board, much of these day to day responsibilities will occur 
under the guidance of the Chief Executive Officer.
Section 104. Inspector General of the Corporation.
    Establishes an Inspector General for the Corporation 
pursuant to the Inspector General Act of 1978.
Section 105. Independent Accountability Mechanism.
    Requires the Board to establish a transparency and 
independent accountability mechanism to annually evaluate and 
report to the Board and Congress regarding compliance with the 
Board's statutory mandates and provide a forum to resolve 
concerns regarding the impacts of specific Corporation-
supported projects.
    The committee is aware of the establishment in recent years 
of various mechanisms within other DFIs to increase 
accountability and transparency. This section establishes a 
similar office for the Corporation. However, recognizing under 
the Inspector General Act that agency compliance and reporting 
is a core Inspector General duty, the committee expects that 
the Inspector General of the Corporation and independent 
accountability mechanism established by this section shall not 
overlap and result in duplicate work or reporting to the 
committee.

                         TITLE II--AUTHORITIES

Section 201. Authorities Relating to Provision of Support.
    Authorizes the Corporation to make loans, guaranties, 
limited equity investments, and to issue political risk 
insurance. Requires a clearly defined development rationale for 
equity investments and limits equity investments to no more 
than 30 percent of the aggregate equity investments for a 
project and no more than 35 percent of the Corporation's 
aggregate exposure. Authorizes feasibility studies for the 
planning, development, and management of potential bilateral 
and multilateral development projects.
    Subsection (e) provides the Corporation with the authority 
to carry out a range of investment promotion activities, 
utilizing where appropriate, private organizations and 
investors. These activities, which may include incentive grants 
and other financing arrangements, are concerned with the 
identification, evaluation, and development of private 
investment opportunities. They will include pre-investment 
studies and other investigations at various stages of project 
development. This subsection thus incorporates activities 
previously carried out under the Foreign Assistance Act by 
OPIC. As in the past, these techniques may include financial 
participation which would be repayable to the Corporation if 
the investor went forward with the project.
    Subsection (f) authorizes the Corporation to administer 
special private enterprise projects and programs relating to 
its objectives, for which purpose it can also accept and use 
funds which may be transferred to it. The Corporation might, 
for example, be asked to administer on behalf of USAID, 
technical or capital assistance programs relating to private 
enterprise or concerning institutions, such as intermediate 
credit institutions and cooperatives, closely related to 
private enterprise activities. USAID funds, which may be 
transferred to the Corporation for this purpose, would be used 
in accordance with the terms and conditions governing USAID's 
use of such funds.
    Subsection (g) also authorizes the Corporation to establish 
and operate enterprise funds subject to safeguards and 
oversight mechanisms. Sets forth the purposes for which such 
funds may be established, including the promotion of economic 
freedom and private sector development. May establish boards of 
directors for enterprise funds, reporting requirements, and 
regular auditing procedures. Caps the authority of each 
enterprise fund at 7 years after the first expenditure of the 
fund.
Section 202. Terms and Conditions.
    Imposes terms and conditions on support provided by the 
Corporation. The final maturity of loans and loan guaranties is 
capped at 25 years. Limits loan guaranties to transactions 
involving lenders determined to be responsible by the 
Corporation. Requires the Corporation to prescribe standards 
for use in periodically assessing the credit risk of new and 
existing loans or loan guaranties.
Section 203. Payment of Losses.
    Provides for payment for default on a guaranteed loan to 
the holder of the loan. Directs the Corporation to pursue 
recovery of the loss from the borrower and the Attorney General 
to take appropriate action to enforce any rights accruing to 
the United States under the Act.
Section 204. Termination.
    Title II authorities are authorized to continue until 7 
years after the date of enactment of this Act, by which time 
sufficient experience should be gained for reassessment by the 
committee of the Corporation's programs.

            TITLE III--ADMINISTRATIVE AND GENERAL PROVISIONS

Section 301. Operations.
    Requires bilateral investment agreements and claims 
settlement procedures.
Section 302. Corporate Powers.
    Provides those general corporate powers which are 
appropriate to the operations of a government corporation 
carrying out the purposes and activities specified in this 
title.
Section 303. Maximum Contingent Liability.
    Sets forth the maximum contingent liability of the 
Corporation at $60 billion, adjusted according to the Consumer 
Price Index over time.
Section 304. Corporate Funds.
    Establishes a Corporate Capital Account in the Treasury to 
consist of funds made available to the Corporation to discharge 
its liabilities. Authorizes transfer of revenues collected by 
the Overseas Private Investment Corporation (OPIC) to the 
Corporation. Requires the Corporation to annually assess a 
dividend to the Treasury if the Corporation's insurance 
portfolio is more than 100 percent reserved.
Section 305. Coordination with Other Development Agencies.
    Encourages the Corporation to use MCC's constraints 
analysis and other relevant data of the Department of State, 
and other departments or agencies with a development function 
to better inform the Corporation's decisions regarding the 
provision of support under Title II.

            TITLE IV--MONITORING, EVALUATION, AND REPORTING

Section 401. Establishment of Risk and Audit Committees.
    Establishes risk and audit committees to carry out 
oversight of the Corporation and its risk governance structure.
Section 402. Performance Measures.
    Establishes a performance measurement system to evaluate 
and monitor investment projects of the Corporation.
Section 403. Annual Report.
    Requires annual reports to appropriate congressional 
committees, including assessments of the economic and social 
development impacts of projects supported by the Corporation.
Section 404. Publicly Available Project Information.
    Requires the Corporation to make information about projects 
supported by the Corporation publicly available.
Section 405. Engagement with Investors.
    Requires the Corporation, in cooperation with USAID, to 
develop a strategic relationship with private entities focused 
on the nexus of business opportunities and development 
priorities to pursue projects consistent with State Department 
and USAID goals.
Section 406. Notification of Support to be Provided by the Corporation.
    Not later than 15 days prior to the Corporation making a 
financial commitment over $10 million, the CEO shall submit a 
written notification to the committee. Such notifications will 
allow the committee to monitor the overall portfolio of the 
Corporation's support and its development objectives. The 
committee recognizes that given the Corporation's interaction 
with the private sector, time certainty in the congressional 
notification process is critical.

          TITLE V--CONDITIONS, RESTRICTIONS, AND PROHIBITIONS

Section 501. Limitations and Preferences.
    Sets a ceiling of 5 percent of the maximum contingent 
liability of the Corporation to be issued to any single entity. 
Establishes preferences for projects sponsored by or involving 
U.S. persons, for countries in compliance with international 
trade obligations, and for countries that are making progress 
toward economic policies that promote private investment.
Section 502. Additionality and Avoidance of Market Distortion.
    Requires the Corporation to ensure private sector entities 
are afforded opportunities to support the project instead of 
the project receiving support from the Corporation. Requires 
the Corporation to develop appropriate safeguards, policies, 
and guidelines to ensure that Corporation investments 
supplement but do not compete with or crowd out private sector 
entities.
Section 503. Prohibition on Support in Sanctioned Countries and with 
        Sanctioned Persons.
    Prohibits the Corporation from supporting projects in a 
country the government of which has repeatedly provided support 
for acts of international terrorism. Prohibits the Corporation 
from supporting a project that benefits any entity subject to 
sanctions imposed by the United States.
Section 504. Penalties for Misrepresentation, Fraud, and Bribery.
    Prohibits payments under the Act for losses arising out of 
fraud or misrepresentation. Imposes criminal penalties for acts 
of fraud against the Corporation. Prohibits insurance payments 
in connection with final judgments concluding certain acts 
constituted a violation of the Foreign Corrupt Practices Act.

                   TITLE VI--TRANSITIONAL PROVISIONS

Section 601. Definitions.
    Defines two terms used throughout this title.
Section 602. Reorganization Plan.
    Requires the President to transmit to congressional 
committees within 120 days of enactment a reorganization plan 
regarding the transfer and consolidation or reorganization of 
agencies under this Act.
Section 603. Transfer of Functions.
    Transfers functions, personnel, assets, and liabilities of 
the OPIC, USAID's Development Credit Authority, and the 
existing Legacy Credit portfolio under the Urban Environment 
Program and any other direct loan programs and non-Development 
Credit Authority guaranty programs authorized by the Foreign 
Assistance Act. Authorizes the transfer of USAID's Office of 
Private Capital and Microenterprise, the enterprise funds and 
all sovereign loan accounts.
Section 604. Termination of Overseas Private Investment Corporation and 
        Other Superseded Authorities.
    Provides for the termination of OPIC and associated 
statutory authorities.
Section 605. Transitional Authorities.
    Authorizes non-Corporation officials to assist the 
Corporation with the transfer and integration of agency 
elements into the Corporation. Establishes authority for acting 
officials at the Corporation during the transition period and 
for the transfer of personnel, assets, and obligations from 
existing agencies to the Corporation.
Section 606. Savings Provisions.
    States that completed administrative actions of an agency 
shall not be affected by the enactment of this Act or the 
transfer of such agency to the Corporation. Provides for the 
continuance of pending proceedings notwithstanding the transfer 
of operations to the Corporation.
Section 607. Other Terminations.
    Terminates offices for transferred positions.
Section 608. Incidental Transfers.
    Authorizes the Director of the Office of Management and 
Budget to make additional dispositions of personnel, assets, 
and liabilities in connection with functions transferred by the 
Act.
Section 609. Reference.
    States that references in Federal law to transferred 
offices shall be deemed to refer to the appropriate component 
of the Corporation.
Section 610. Conforming Amendments.
    Makes a series of conforming amendments to existing 
statutory authorities.

         Changes in Existing Law Made by the Bill, as Reported

  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, and existing law in which no 
change is proposed is shown in roman):

                      TITLE 5, UNITED STATES CODE



           *       *       *       *       *       *       *
PART III--EMPLOYEES

           *       *       *       *       *       *       *


SUBPART D--PAY AND ALLOWANCES

           *       *       *       *       *       *       *


CHAPTER 53--PAY RATES AND SYSTEMS

           *       *       *       *       *       *       *


SUBCHAPTER II--EXECUTIVE SCHEDULE PAY RATES

           *       *       *       *       *       *       *


Sec. 5313. Positions at level II

  Level II of the Executive Schedule applies to the following 
positions, for which the annual rate of basic pay shall be the 
rate determined with respect to such level under chapter 11 of 
title 2, as adjusted by section 5318 of this title:
          Deputy Secretary of Defense.
          Deputy Secretary of State.
          Deputy Secretary of State for Management and 
        Resources.
          Administrator, Agency for International Development.
          Administrator of the National Aeronautics and Space 
        Administration.
          Deputy Secretary of Veterans Affairs.
          Deputy Secretary of Homeland Security.
          Under Secretary of Homeland Security for Management.
          Deputy Secretary of the Treasury.
          Deputy Secretary of Transportation.
          Chairman, Nuclear Regulatory Commission.
          Chairman, Council of Economic Advisers.
          Director of the Office of Science and Technology.
          Director of the Central Intelligence Agency.
          Secretary of the Air Force.
          Secretary of the Army.
          Secretary of the Navy.
          Administrator, Federal Aviation Administration.
          Director of the National Science Foundation.
          Deputy Attorney General.
          Deputy Secretary of Energy.
          Deputy Secretary of Agriculture.
          Director of the Office of Personnel Management.
          Administrator, Federal Highway Administration.
          Administrator of the Environmental Protection Agency.
          Chief Management Officer of the Department of 
        Defense.
          Deputy Secretary of Labor.
          Deputy Director of the Office of Management and 
        Budget.
          Independent Members, Thrift Depositor Protection 
        Oversight Board.
          Deputy Secretary of Health and Human Services.
          Deputy Secretary of the Interior.
          Deputy Secretary of Education.
          Deputy Secretary of Housing and Urban Development.
          Deputy Director for Management, Office of Management 
        and Budget.
          Director of the Federal Housing Finance Agency.
          Deputy Commissioner of Social Security, Social 
        Security Administration.
          Administrator of the Community Development Financial 
        Institutions Fund.
          Deputy Director of National Drug Control Policy.
          Members, Board of Governors of the Federal Reserve 
        System.
          Under Secretary of Transportation for Policy.
          Chief Executive Officer, Millennium Challenge 
        Corporation.
          Principal Deputy Director of National Intelligence.
          Director of the National Counterterrorism Center.
          Administrator of the Federal Emergency Management 
        Agency.
          Federal Transit Administrator.
          Chief Executive Officer, United States International 
        Development Finance Corporation.

Sec. 5314. Positions at level III

  Level III of the Executive Schedule applies to the following 
positions, for which the annual rate of basic pay shall be the 
rate determined with respect to such level under chapter 11 of 
title 2, as adjusted by section 5318 of this title:
          Solicitor General of the United States.
          Under Secretary of Commerce, Under Secretary of 
        Commerce for Economic Affairs, Under Secretary of 
        Commerce for Export Administration, and Under Secretary 
        of Commerce for Travel and Tourism.
          Under Secretaries of State (6).
          Under Secretaries of the Treasury (3).
          Administrator of General Services.
          Administrator of the Small Business Administration.
          Deputy Administrator, Agency for International 
        Development.
          Chairman of the Merit Systems Protection Board.
          Chairman, Federal Communications Commission.
          Chairman, Board of Directors, Federal Deposit 
        Insurance Corporation.
          Chairman, Federal Energy Regulatory Commission.
          Chairman, Federal Trade Commission.
          Chairman, Surface Transportation Board.
          Chairman, National Labor Relations Board.
          Chairman, Securities and Exchange Commission.
          Chairman, National Mediation Board.
          Chairman, Railroad Retirement Board.
          Chairman, Federal Maritime Commission.
          Comptroller of the Currency.
          Commissioner of Internal Revenue.
          Under Secretary of Defense for Acquisition and 
        Sustainment.
          Under Secretary of Defense for Policy.
          Under Secretary of Defense (Comptroller).
          Under Secretary of Defense for Personnel and 
        Readiness.
          Under Secretary of Defense for Intelligence.
          Deputy Chief Management Officer of the Department of 
        Defense.
          Under Secretary of the Air Force.
          Under Secretary of the Army.
          Under Secretary of the Navy.
          Deputy Administrator of the National Aeronautics and 
        Space Administration.
          Deputy Director of the Central Intelligence Agency.
          Director of the Office of Emergency Planning.
          Director of the Peace Corps.
          Deputy Director, National Science Foundation.
          President of the Export-Import Bank of Washington.
          Members, Nuclear Regulatory Commission.
          Members, Defense Nuclear Facilities Safety Board.
          Director of the Federal Bureau of Investigation, 
        Department of Justice.
          Administrator of the National Highway Traffic Safety 
        Administration.
          Administrator of the Federal Motor Carrier Safety 
        Administration.
          Administrator, Federal Railroad Administration.
          Chairman, National Transportation Safety Board.
          Chairman of the National Endowment for the Arts the 
        incumbent of which also serves as Chairman of the 
        National Council on the Arts.
          Chairman of the National Endowment for the 
        Humanities.
          Director of the Federal Mediation and Conciliation 
        Service.
          [President, Overseas Private Investment Corporation.]
          Chairman, Postal Regulatory Commission.
          Chairman, Occupational Safety and Health Review 
        Commission.
          Governor of the Farm Credit Administration.
          Chairman, Equal Employment Opportunity Commission.
          Chairman, Consumer Product Safety Commission.
          Under Secretaries of Energy (3).
          Chairman, Commodity Futures Trading Commission.
          Deputy United States Trade Representatives (3).
          Chief Agricultural Negotiator, Office of the United 
        States Trade Representative.
          Chief Innovation and Intellectual Property 
        Negotiator, Office of the United States Trade 
        Representative.
          Chairman, United States International Trade 
        Commission.
          Under Secretary of Commerce for Oceans and 
        Atmosphere, the incumbent of which also serves as 
        Administrator of the National Oceanic and Atmospheric 
        Administration.
          Under Secretary of Commerce for Standards and 
        Technology, who also serves as Director of the National 
        Institute of Standards and Technology.
          Associate Attorney General.
          Chairman, Federal Mine Safety and Health Review 
        Commission.
          Chairman, National Credit Union Administration Board.
          Deputy Director of the Office of Personnel 
        Management.
          Under Secretary of Agriculture for Farm and Foreign 
        Agricultural Services.
          Under Secretary of Agriculture for Food, Nutrition, 
        and Consumer Services.
          Under Secretary of Agriculture for Natural Resources 
        and Environment.
          Under Secretary of Agriculture for Research, 
        Education, and Economics.
          Under Secretary of Agriculture for Food Safety.
          Under Secretary of Agriculture for Marketing and 
        Regulatory Programs.
          Director, Institute for Scientific and Technological 
        Cooperation.
          Under Secretary of Agriculture for Rural Development.
          Administrator, Maritime Administration.
          Executive Director Property Review Board.
          Deputy Administrator of the Environmental Protection 
        Agency.
          Archivist of the United States.
          Executive Director, Federal Retirement Thrift 
        Investment Board.
          Principal Deputy Under Secretary of Defense for 
        Acquisition, Technology, and Logistics.
          Director, Trade and Development Agency.
          Under Secretary for Health, Department of Veterans 
        Affairs.
          Under Secretary for Benefits, Department of Veterans 
        Affairs.
          Under Secretary for Memorial Affairs, Department of 
        Veterans Affairs.
          Under Secretaries, Department of Homeland Security.
          Director of the Bureau of Citizenship and Immigration 
        Services.
          Director of the Office of Government Ethics.
          Administrator for Federal Procurement Policy.
          Administrator, Office of Information and Regulatory 
        Affairs, Office of Management and Budget.
          Director of the Office of Thrift Supervision.
          Chairperson of the Federal Housing Finance Board.
          Executive Secretary, National Space Council.
          Controller, Office of Federal Financial Management, 
        Office of Management and Budget.
          Administrator, Office of the Assistant Secretary for 
        Research and Technology of the Department of 
        Transportation.
          Deputy Director for Demand Reduction, Office of 
        National Drug Control Policy.
          Deputy Director for Supply Reduction, Office of 
        National Drug Control Policy.
          Deputy Director for State and Local Affairs, Office 
        of National Drug Control Policy.
          Under Secretary of Commerce for Intellectual Property 
        and Director of the United States Patent and Trademark 
        Office.
          Register of Copyrights.
          Commissioner of U.S. Customs and Border Protection, 
        Department of Homeland Security
          Under Secretary of Education
          Administrator of the Centers for Medicare & Medicaid 
        Services.
          Administrator of the Office of Electronic Government.
          Administrator, Pipeline and Hazardous Materials 
        Safety Administration.
          Director, Pension Benefit Guaranty Corporation.
          Deputy Administrators, Federal Emergency Management 
        Agency.
          Chief Executive Officer, International Clean Energy 
        Foundation.
          Independent Member of the Financial Stability 
        Oversight Council (1).
          Director of the Office of Financial Research.

Sec. 5315. Positions at level IV

  Level IV of the Executive Schedule applies to the following 
positions, for which the annual rate of basic pay shall be the 
rate determined with respect to such level under chapter 11 of 
title 2, as adjusted by section 5318 of this title:
          Deputy Administrator of General Services.
          Associate Administrator of the National Aeronautics 
        and Space Administration.
          Assistant Administrators, Agency for International 
        Development (6).
          Regional Assistant Administrators, Agency for 
        International Development (4).
          Assistant Secretaries of Agriculture (3).
          Assistant Secretaries of Commerce (11).
          Assistant Secretaries of Defense (14).
          Assistant Secretaries of the Air Force (4).
          Assistant Secretaries of the Army (5).
          Assistant Secretaries of the Navy (4).
          Assistant Secretaries of Health and Human Services 
        (6).
          Assistant Secretaries of the Interior (6).
          Assistant Attorneys General (11).
          Assistant Secretaries of Labor (10), one of whom 
        shall be the Assistant Secretary of Labor for Veterans' 
        Employment and Training.
          Administrator, Wage and Hour Division, Department of 
        Labor.
          Assistant Secretaries of State (24) and 4 other State 
        Department officials to be appointed by the President, 
        by and with the advice and consent of the Senate.
          Assistant Secretaries of the Treasury (10).
          Members, United States International Trade Commission 
        (5).
          Assistant Secretaries of Education (10).
          General Counsel, Department of Education.
          Director of Civil Defense, Department of the Army.
          Deputy Director of the Office of Emergency Planning.
          Deputy Director of the Office of Science and 
        Technology.
          Deputy Director of the Peace Corps.
          Assistant Directors of the Office of Management and 
        Budget (3).
          General Counsel of the Department of Agriculture.
          General Counsel of the Department of Commerce.
          General Counsel of the Department of Defense.
          General Counsel of the Department of Health and Human 
        Services.
          Solicitor of the Department of the Interior.
          Solicitor of the Department of Labor.
          General Counsel of the National Labor Relations 
        Board.
          General Counsel of the Department of the Treasury.
          First Vice President of the Export-Import Bank of 
        Washington.
          Members, Council of Economic Advisers.
          Members, Board of Directors of the Export-Import Bank 
        of Washington.
          Members, Federal Communications Commission.
          Member, Board of Directors of the Federal Deposit 
        Insurance Corporation.
          Directors, Federal Housing Finance Board.
          Members, Federal Energy Regulatory Commission.
          Members, Federal Trade Commission.
          Members, Surface Transportation Board.
          Members, National Labor Relations Board.
          Members, Securities and Exchange Commission.
          Members, Merit Systems Protection Board.
          Members, Federal Maritime Commission.
          Members, National Mediation Board.
          Members, Railroad Retirement Board.
          Director of Selective Service.
          Associate Director of the Federal Bureau of 
        Investigation, Department of Justice.
          Members, Equal Employment Opportunity Commission (4).
          Director, Community Relations Service.
          Members, National Transportation Safety Board.
          General Counsel, Department of Transportation.
          Deputy Administrator, Federal Aviation 
        Administration.
          Assistant Secretaries of Transportation (5).
          Deputy Federal Highway Administrator.
          Administrator of the Saint Lawrence Seaway 
        Development Corporation.
          Assistant Secretary for Science, Smithsonian 
        Institution.
          Assistant Secretary for History and Art, Smithsonian 
        Institution.
          Deputy Administrator of the Small Business 
        Administration.
          Assistant Secretaries of Housing and Urban 
        Development (8).
          General Counsel of the Department of Housing and 
        Urban Development.
          Commissioner of Interama.
          Federal Insurance Administrator, Federal Emergency 
        Management Agency.
          [Executive Vice President, Overseas Private 
        Investment Corporation.]
          Members, National Credit Union Administration Board 
        (2).
          Members, Postal Regulatory Commission (4).
          Members, Occupational Safety and Health Review 
        Commission.
          Deputy Under Secretaries of the Treasury (or 
        Assistant Secretaries of the Treasury) (2).
          Members, Consumer Product Safety Commission (4).
          Members, Commodity Futures Trading Commission.
          Director of Nuclear Reactor Regulation, Nuclear 
        Regulatory Commission.
          Director of Nuclear Material Safety and Safeguards, 
        Nuclear Regulatory Commission.
          Director of Nuclear Regulatory Research, Nuclear 
        Regulatory Commission.
          Executive Director for Operations, Nuclear Regulatory 
        Commission.
          President, Government National Mortgage Association, 
        Department of Housing and Urban Development.
          Assistant Secretary of Commerce for Oceans and 
        Atmosphere, the incumbent of which also serves as 
        Deputy Administrator of the National Oceanic and 
        Atmospheric Administration.
          Director, Bureau of Prisons, Department of Justice.
          Assistant Secretaries of Energy (8).
          General Counsel of the Department of Energy.
          Administrator, Economic Regulatory Administration, 
        Department of Energy.
          Administrator, Energy Information Administration, 
        Department of Energy.
          Director, Office of Indian Energy Policy and 
        Programs, Department of Energy.
          Director, Office of Science, Department of Energy.
          Assistant Secretary of Labor for Mine Safety and 
        Health.
          Members, Federal Mine Safety and Health Review 
        Commission.
          President, National Consumer Cooperative Bank.
          Special Counsel of the Merit Systems Protection 
        Board.
          Chairman, Federal Labor Relations Authority.
          Assistant Secretaries, Department of Homeland 
        Security.
          General Counsel, Department of Homeland Security.
          Officer for Civil Rights and Civil Liberties, 
        Department of Homeland Security.
          Chief Financial Officer, Department of Homeland 
        Security.
          Chief Information Officer, Department of Homeland 
        Security.
          Deputy Director, Institute for Scientific and 
        Technological Cooperation.
          Director of the National Institute of Justice.
          Director of the Bureau of Justice Statistics.
          Chief Counsel for Advocacy, Small Business 
        Administration.
          Assistant Administrator for Toxic Substances, 
        Environmental Protection Agency.
          Assistant Administrator, Office of Solid Waste, 
        Environmental Protection Agency.
          Assistant Administrators, Environmental Protection 
        Agency (8).
          Director of Operational Test and Evaluation, 
        Department of Defense.
          Director of Cost Assessment and Program Evaluation, 
        Department of Defense.
          Special Representatives of the President for arms 
        control, nonproliferation, and disarmament matters, 
        Department of State.
          Ambassadors at Large.
          Assistant Secretary of Commerce and Director General 
        of the United States and Foreign Commercial Service.
          Assistant Secretaries, Department of Veterans Affairs 
        (7).
          General Counsel, Department of Veterans Affairs.
          Commissioner of Food and Drugs, Department of Health 
        and Human Services
          Chairman, Board of Veterans' Appeals.
          Administrator, Office of Juvenile Justice and 
        Delinquency Prevention.
          Director, United States Marshals Service.
          Chairman, United States Parole Commission.
          Director, Bureau of the Census, Department of 
        Commerce.
          Director of the Institute of Museum and Library 
        Services.
          Chief Financial Officer, Department of Agriculture.
          Chief Financial Officer, Department of Commerce.
          Chief Financial Officer, Department of Education.
          Chief Financial Officer, Department of Energy.
          Chief Financial Officer, Department of Health and 
        Human Services.
          Chief Financial Officer, Department of Housing and 
        Urban Development.
          Chief Financial Officer, Department of the Interior.
          Chief Financial Officer, Department of Justice.
          Chief Financial Officer, Department of Labor.
          Chief Financial Officer, Department of State.
          Chief Financial Officer, Department of 
        Transportation.
          Chief Financial Officer, Department of the Treasury.
          Chief Financial Officer, Department of Veterans 
        Affairs.
          Chief Financial Officer, Environmental Protection 
        Agency.
          Chief Financial Officer, National Aeronautics and 
        Space Administration.
          Commissioner, Office of Navajo and Hopi Indian 
        Relocation.
          Deputy Under Secretary of Defense for Research and 
        Engineering.
          Deputy Under Secretary of Defense for Acquisition and 
        Sustainment.
          Deputy Under Secretary of Defense for Policy.
          Deputy Under Secretary of Defense for Personnel and 
        Readiness.
          Deputy Under Secretary of Defense (Comptroller).
          Deputy Under Secretary of Defense for Intelligence.
          General Counsel of the Department of the Army.
          General Counsel of the Department of the Navy.
          General Counsel of the Department of the Air Force.
          Liaison for Community and Junior Colleges, Department 
        of Education.
          Director of the Office of Educational Technology.
          Director of the International Broadcasting Bureau.
          The Commissioner of Labor Statistics, Department of 
        Labor.
          Administrator, Rural Utilities Service, Department of 
        Agriculture.
          Chief Information Officer, Department of Agriculture.
          Chief Information Officer, Department of Commerce.
          Chief Information Officer, Department of Defense 
        (unless the official designated as the Chief 
        Information Officer of the Department of Defense is an 
        official listed under section 5312, 5313, or 5314 of 
        this title).
          Chief Information Officer, Department of Education.
          Chief Information Officer, Department of Energy.
          Chief Information Officer, Department of Health and 
        Human Services.
          Chief Information Officer, Department of Housing and 
        Urban Development.
          Chief Information Officer, Department of the 
        Interior.
          Chief Information Officer, Department of Justice.
          Chief Information Officer, Department of Labor.
          Chief Information Officer, Department of State.
          Chief Information Officer, Department of 
        Transportation.
          Chief Information Officer, Department of the 
        Treasury.
          Chief Information Officer, Department of Veterans 
        Affairs.
          Chief Information Officer, Environmental Protection 
        Agency.
          Chief Information Officer, National Aeronautics and 
        Space Administration.
          Chief Information Officer, Agency for International 
        Development.
          Chief Information Officer, Federal Emergency 
        Management Agency.
          Chief Information Officer, General Services 
        Administration.
          Chief Information Officer, National Science 
        Foundation.
          Chief Information Officer, Nuclear Regulatory Agency.
          Chief Information Officer, Office of Personnel 
        Management.
          Chief Information Officer, Small Business 
        Administration.
          Chief Information Officer of the Intelligence 
        Community.
          General Counsel of the Central Intelligence Agency.
          Principal Deputy Administrator, National Nuclear 
        Security Administration.
          Additional Deputy Administrators of the National 
        Nuclear Security Administration (3), but if the Deputy 
        Administrator for Naval Reactors is an officer of the 
        Navy on active duty, (2).
          Deputy Under Secretary of Commerce for Intellectual 
        Property and Deputy Director of the United States 
        Patent and Trademark Office.
          General Counsel of the Office of the Director of 
        National Intelligence.
          Chief Medical Officer, Department of Homeland 
        Security.

Sec. 5316. Positions at level V

  Level V of the Executive Schedule applies to the following 
positions, for which the annual rate of basic pay shall be the 
rate determined with respect to such level under chapter 11 of 
title 2, as adjusted by section 5318 of this title:
          Administrator, Bonneville Power Administration, 
        Department of the Interior.
          Administrator of the National Capital Transportation 
        Agency.
          Associate Administrators of the Small Business 
        Administration (4).
          Associate Administrators, National Aeronautics and 
        Space Administration (7).
          Associate Deputy Administrator, National Aeronautics 
        and Space Administration.
          Deputy Associate Administrator, National Aeronautics 
        and Space Administration.
          Archivist of the United States.
          Assistant Secretary of Health and Human Services for 
        Administration.
          Assistant Attorney General for Administration.
          Assistant and Science Adviser to the Secretary of the 
        Interior.
          Chairman, Foreign Claims Settlement Commission of the 
        United States, Department of Justice.
          Chairman of the Renegotiation Board.
          Chairman of the Subversive Activities Control Board.
          Chief Counsel for the Internal Revenue Service, 
        Department of the Treasury.
          Commissioner, Federal Acquisition Service, General 
        Services Administration.
          Director, United States Fish and Wildlife Service, 
        Department of the Interior.
          Commissioner of Indian Affairs, Department of the 
        Interior.
          Commissioners, Indian Claims Commission (5).
          Commissioner, Public Buildings Service, General 
        Services Administration.
          Commissioner of Reclamation, Department of the 
        Interior.
          Commissioner of Vocational Rehabilitation, Department 
        of Health and Human Services.
          Commissioner of Welfare, Department of Health and 
        Human Services.
          Director, Bureau of Mines, Department of the 
        Interior.
          Director, Geological Survey, Department of the 
        Interior.
          Deputy Commissioner of Internal Revenue, Department 
        of the Treasury.
          Associate Director of the Federal Mediation and 
        Conciliation Service.
          Associate Director for Volunteers, Peace Corps.
          Associate Director for Program Development and 
        Operations, Peace Corps.
          Assistants to the Director of the Federal Bureau of 
        Investigation, Department of Justice (2).
          Assistant Directors, Office of Emergency Planning 
        (3).
          Fiscal Assistant Secretary of the Treasury.
          General Counsel of the Agency for International 
        Development.
          General Counsel of the Nuclear Regulatory Commission.
          General Counsel of the National Aeronautics and Space 
        Administration.
          Manpower Administrator, Department of Labor.
          Members, Renegotiation Board.
          Members, Subversive Activities Control Board.
          Assistant Administrator of General Services.
          Director, United States Travel Service, Department of 
        Commerce.
          Assistant Director (Program Planning, Analysis and 
        Research), Office of Economic Opportunity.
          Deputy Director, National Security Agency.
          Director, Bureau of Land Management, Department of 
        the Interior.
          Director, National Park Service, Department of the 
        Interior.
          National Export Expansion Coordinator, Department of 
        Commerce.
          Staff Director, Commission on Civil Rights.
          Assistant Secretary for Administration, Department of 
        Transportation.
          Director, United States National Museum, Smithsonian 
        Institution.
          Director, Smithsonian Astrophysical Observatory, 
        Smithsonian Institution.
          Administrator of the Environmental Science Services 
        Administration.
          Associate Directors of the Office of Personnel 
        Management (5).
          Assistant Federal Highway Administrator.
          Deputy Administrator of the National Highway Traffic 
        Safety Administration.
          Deputy Administrator of the Federal Motor Carrier 
        Safety Administration.
          Assistant Federal Motor Carrier Safety Administrator.
          Director, Bureau of Narcotics and Dangerous Drugs, 
        Department of Justice.
          [Vice Presidents, Overseas Private Investment 
        Corporation (3).]
          Deputy Administrator, Federal Transit Administration, 
        Department of Transportation.
          General Counsel of the Equal Employment Opportunity 
        Commission.
          Executive Director, Advisory Council on Historic 
        Preservation.
          Additional Officers, Department of Energy (14).
          Additional officers, Nuclear Regulatory Commission 
        (5).
          Assistant Administrator for Coastal Zone Management, 
        National Oceanic and Atmospheric Administration.
          Assistant Administrator for Fisheries, National 
        Oceanic and Atmospheric Administration.
          Assistant Administrators (3), National Oceanic and 
        Atmospheric Administration.
          General Counsel, National Oceanic and Atmospheric 
        Administration.
          Members, Federal Labor Relations Authority (2) and 
        its General Counsel.
          Additional officers, Institute for Scientific and 
        Technological Cooperation (2).
          Additional officers, Office of Management and Budget 
        (6).
          Chief Scientist, National Oceanic and Atmospheric 
        Administration.
          Director, Indian Health Service, Department of Health 
        and Human Services.
          Commissioners, United States Parole Commission (8).
          Commissioner, Administration on Children, Youth, and 
        Families.
          Chairman of the Advisory Council on Historic 
        Preservation.

           *       *       *       *       *       *       *

                              ----------                              


                     FOREIGN ASSISTANCE ACT OF 1961



           *       *       *       *       *       *       *
PART I

           *       *       *       *       *       *       *


CHAPTER 2--OTHER PROGRAMS

           *       *       *       *       *       *       *


           Title IV--OVERSEAS PRIVATE INVESTMENT CORPORATION]

  [Sec. 231. Creation, Purpose and Policy.-- To mobilize and 
facilitate the participation of United States private capital 
and skills in the economic and social development of less 
developed countries and areas, and countries in transition from 
nonmarket to market economies, thereby complementing the 
development assistance objectives of the United States, there 
is hereby created the Overseas Private Investment Corporation 
(hereinafter called the ``Corporation''), which shall be an 
agency of the United States under the policy guidance of the 
Secretary of State.
   [The Corporation, in determining whether to provide 
insurance, financing, or reinsurance for a project, shall 
especially--
          [(1) be guided by the economic and social development 
        impact and benefits of such a project and the ways in 
        which such a project complements, or is compatible 
        with, other development assistance programs or projects 
        of the United States or other donors;
          [(2) give preferential consideration to investment 
        projects in less developed countries that have per 
        capita incomes of $984 or less in 1986 United States 
        dollars, and restrict its activities with respect to 
        investment projects in less developed countries that 
        have per capita incomes of $4,269 or more in 1986 
        United States dollars (other than countries designated 
        as beneficiary countries under section 212 of the 
        Caribbean Basin Economic Recovery Act (19 U.S.C. 2702), 
        Ireland, and Northern Ireland); and
          [(3) ensures that the project is consistent with the 
        provisions of section 117 (as so redesignated by the 
        Special Foreign Assistance Act of 1986), section 118, 
        and section 119 of this Act relating to the environment 
        and natural resources of, and tropical forests and 
        endangered species in, developing countries, and 
        consistent with the intent of regulations issued 
        pursuant to sections 118 and 119 of this Act.In 
        carrying out its purpose, the Corporation, utilizing 
        broad criteria, shall undertake--
          [(a) to conduct financing, insurance, and reinsurance 
        operations on a self-sustaining basis, taking into 
        account in its financing operations the economic and 
        financial soundness of projects;
          [(b) to utilize private credit and investment 
        institutions and the Corporation's guaranty authority 
        as the principal means of mobilizing capital investment 
        funds;
          [(c) to broaden private participation and revolve its 
        funds through selling its direct investments to private 
        investors whenever it can appropriately do so on 
        satisfactory terms;
          [(d) to conduct its insurance operations with due 
        regard to principles of risk management including 
        efforts to share its insurance risks and reinsurance 
        risks;
          [(e) to the maximum degree possible consistent with 
        its purposes--
                  [(1) to give preferential consideration in 
                its investment insurance, reinsurance, and 
                guaranty activities to investment projects 
                sponsored by or involving United States small 
                business; and
                  [(2) to increase the proportion of projects 
                sponsored by or significantly involving United 
                States small business to at least 30 percent of 
                all projects insured, reinsured, or guaranteed 
                by the Corporation;
          [(f) to consider in the conduct of its operations the 
        extent to which less developed country governments are 
        receptive to private enterprise, domestic and foreign, 
        and their willingness and ability to maintain 
        conditions which enable private enterprise to make its 
        full contribution to the development process;
          [(g) to foster private initiative and competition and 
        discourage monopolistic practices;
          [(h) to further to the greatest degree possible, in a 
        manner consistent with its goals, the balance-of-
        payments and employment objectives of the United 
        States;
          [(i) to conduct its activities in consonance with the 
        activities of the agency primarily responsible for 
        administering part I and the international trade, 
        investment, and financial policies of the United States 
        Government, and to seek to support those developmental 
        projects having positive trade benefits for the United 
        States;
          [(j) to advise and assist, within its field of 
        competence, interested agencies of the United States 
        and other organizations, both public and private, 
        national and international, with respect to projects 
        and programs relating to the development of private 
        enterprise in less developed countries and areas;
          [(k)(1) to decline to issue any contract of insurance 
        or reinsurance, or any guaranty, or to enter into any 
        agreement to provide financing for an eligible 
        investor's proposed investment if the Corporation 
        determines that such investment is likely to cause such 
        investor (or the sponsor of an investment project in 
        which such investor is involved) significantly to 
        reduce the number of his employees in the United States 
        because he is replacing his United States production 
        with production from such investment which involves 
        substantially the same product for substantially the 
        same market as his United States production; and (2) to 
        monitor conformance with the representations of the 
        investor on which the Corporation relied in making the 
        determination required by clause (1);
          [(l) to decline to issue any contract of insurance or 
        reinsurance, or any guaranty, or to enter into any 
        agreement to provide financing for an eligible 
        investor's proposed investment if the Corporation 
        determines that such investment is likely to cause a 
        significant reduction in the number of employees in the 
        United States;
          [(m) to refuse to insure, reinsure, or finance any 
        investment subject to performance requirements which 
        would reduce substantially the positive trade benefits 
        likely to accrue to the United States from the 
        investment; and
          [(n) to refuse to insure, reinsure, guarantee, or 
        finance any investment in connection with a project 
        which the Corporation determines will pose an 
        unreasonable or major environmental, health, or safety 
        hazard, or will result in the significant degradation 
        of national parks or similar protected areas.
  [Sec. 231A. Additional Requirements.--(a) Worker Rights.--
          [(1) Limitation on OPIC Activities.--The Corporation 
        may insure, reinsure, guarantee, or finance a project 
        only if the country in which the project is to be 
        undertaken is taking steps to adopt and implement laws 
        that extend internationally recognized worker rights, 
        as defined in section 507(4) of the Trade Act of 1974, 
        to workers in that country (including any designated 
        zone in that country). The Corporation shall also 
        include the following language, in substantially the 
        following form, in all contracts which the Corporation 
        enters into with eligible investors to provide 
        financial support under this title:
          ``The investor agrees not to take actions to prevent 
        employees of the foreign enterprise from lawfully 
        exercising their right of association and their right 
        to organize and bargain collectively. The investor 
        further agrees to observe applicable laws relating to a 
        minimum age for employment of children, acceptable 
        conditions of work with respect to minimum wages, hours 
        of work, and occupational health and safety, and not to 
        use forced labor. The investor is not responsible under 
        this paragraph for the actions of a foreign 
        government.''
          [(2) Use of Annual Reports on Workers Rights.--The 
        Corporation shall, in making its determinations under 
        paragraph (1), use the reports submitted to the 
        Congress pursuant to section 504 of the Trade Act of 
        1974. The restriction set forth in paragraph (1) shall 
        not apply until the first such report is submitted to 
        the Congress.
          [(3) Waiver.--Paragraph (1) shall not prohibit the 
        Corporation from providing any insurance, reinsurance, 
        guaranty, or financing with respect to a country if the 
        President determines that such activities by the 
        Corporation would be in the national economic interests 
        of the United States. Any such determination shall be 
        reported in writing to the Congress, together with the 
        reasons for the determination.
          [(4) In making a determination under this section for 
        the People's Republic of China, the Corporation shall 
        discuss fully and completely the justification for 
        making such determination with respect to each item set 
        forth in subparagraphs (A) through (E) of section 
        507(4) of the Trade Act of 1974.
  [(b) Environmental Impact.--The Board of Directors of the 
Corporation shall not vote in favor of any action proposed to 
be taken by the Corporation that is likely to have significant 
adverse environmental impacts that are sensitive, diverse, or 
unprecedented, unless for at least 60 days before the date of 
the vote--
          [(1) an environmental impact assessment or initial 
        environmental audit, analyzing the environmental 
        impacts of the proposed action and of alternatives to 
        the proposed action has been completed by the project 
        applicant and made available to the Board of Directors; 
        and
          [(2) such assessment or audit has been made available 
        to the public of the United States, locally affected 
        groups in the host country, and host country 
        nongovernmental organizations.
  [(c) Public Hearings.--(1) The Board shall hold at least one 
public hearing each year in order to afford an opportunity for 
any person to present views as to whether the Corporation is 
carrying out its activities in accordance with section 231 and 
this section or whether any investment in a particular country 
should have been or should be extended insurance, reinsurance, 
guarantees, or financing under this title.
  [(2) In conjunction with each meeting of its Board of 
Directors, the Corporation shall hold a public hearing in order 
to afford an opportunity for any person to present views 
regarding the activities of the Corporation. Such views shall 
be made part of the record.
  [Sec. 232. Capital of the Corporation.-- The President is 
authorized to pay in as capital of the Corporation, out of 
dollar receipts made available through the appropriation 
process from loans made pursuant to this part and from loans 
made under the Mutual Security Act of 1954, as amended, for the 
fiscal year 1970 not to exceed $20,000,000 and for the fiscal 
year 1971 not to exceed $20,000,000. Upon the payment of such 
capital by the President, the Corporation shall issue an 
equivalent amount of capital stock to the Secretary of the 
Treasury.
  [Sec. 233. Organization and Management.--(a) Structure of the 
Corporation.--The Corporation shall have a Board of Directors, 
a President, an Executive Vice President, and such other 
officers and staff as the Board of Directors may determine.
  [(b) Board of Directors.--All powers of the Corporation shall 
vest in and be exercised by or under the authority of its Board 
of Directors (``the Board'') which shall consist of fifteen 
Directors, including the Chairman, with eight Directors 
constituting a quorum for the transaction of business. Eight 
Directors shall be appointed by the President of the United 
States, by and with the advice and consent of the Senate, and 
shall not be officials or employees of the Government of the 
United States. At least two of the eight Directors appointed 
under the preceding sentence shall be experienced in small 
business, one in organized labor, and one in cooperatives. Each 
such Director shall be appointed for a term of no more than 
three years. The terms of no more than three such Directors 
shall expire in any one year. Such Directors shall serve until 
their successors are appointed and qualified and may be 
reappointed.The other Directors shall be principal officers of 
the Government of the United States whose duties relate to the 
programs of the Corporation, including the President of the 
Corporation, the Administrator of the Agency for International 
Development, the United States Trade Representative, and one 
such officer of the Department of Labor, designated by and 
serving at the pleasure of the President of the United States. 
The United States Trade Representative may designate a Deputy 
United States Trade Representative to serve on the Board in 
place of the United States Trade Representative.There shall be 
a Chairman and a Vice Chairman of the Board, both of whom shall 
be designated by the President of the United States from among 
the Directors of the Board other than those appointed under the 
second sentence of the first paragraph of this subsection.All 
Directors who are not officers of the Corporation or officials 
of the Government of the United States shall be compensated at 
a rate equivalent to that of level IV of the Executive Schedule 
(5 U.S.C. 5315) when actually engaged in the business of the 
Corporation and may be paid per diem in lieu of subsistence at 
the applicable rate prescribed in the standardized Government 
travel regulations, as amended, from time to time, while away 
from their homes or usual places of business.
  [(c) President of the Corporation.--The President of the 
Corporation shall be appointed by the President of the United 
States, by and with the advice and consent of the Senate, and 
shall serve at the pleasure of the President. In making such 
appointment, the President shall take into account private 
business experience of the appointee. The President of the 
Corporation shall be its Chief Executive Officer and 
responsible for the operations and management of the 
Corporation, subject to bylaws and policies established by the 
Board.
  [(d) Officers and Staff.--The Executive Vice President of the 
Corporation shall be appointed by the President of the United 
States, by and with the advice and consent of the Senate, and 
shall serve at the pleasure of the President. Other officers, 
attorneys, employees, and agents shall be selected and 
appointed by the Corporation, and shall be vested with such 
powers and duties as the Corporation may determine. Of such 
persons employed by the Corporation, not to exceed twenty may 
be appointed, compensated, or removed without regard to the 
civil service laws and regulations: Provided, That under such 
regulations as the President of the United States may 
prescribe, officers and employees of the United States 
Government who are appointed to any of the above positions may 
be entitled, upon removal from such position, except for cause, 
to reinstatement to the position occupied at the time of 
appointment or to a position of comparable grade and salary. 
Such positions shall be in addition to those otherwise 
authorized by law, including those authorized by section 5108 
of title 5 of the United States Code.
  [Sec. 234. Investment Insurance and Other Programs.--  The 
Corporation is hereby authorized to do the following:
  [(a) Investment Insurance.--(1) To issue insurance, upon such 
terms and conditions as the Corporation may determine, to 
eligible investors assuring protection in whole or in part 
against any or all of the following risks with respect to 
projects which the Corporation has approved--
          [(A) inability to convert into United States dollars 
        other currencies, or credits in such currencies, 
        received as earnings or profits from the approved 
        project, as repayment or return of the investment 
        therein, in whole or in part, or as compensation for 
        the sale or disposition of all or any part thereof;
          [(B) loss of investment, in whole or in part, in the 
        approved project due to expropriation or confiscation 
        by action of a foreign government or any political 
        subdivision thereof;
          [(C) loss due to war, revolution, insurrection or 
        civil strife; and
          [(D) loss due to business interruption caused by any 
        of the risks set forth in subparagraphs (A), (B), and 
        (C).
  [(2) Recognizing that major private investments in less 
developed friendly countries or areas are often made by 
enterprises in which there is multinational participation, 
including significant United States private participation, the 
Corporation may make arrangements with foreign governments 
(including agencies, instrumentalities, or political 
subdivisions thereof) or with multilateral organizations and 
institutions for sharing liabilities assumed under investment 
insurance for such investments and may in connection therewith 
issue insurance to investors not otherwise eligible hereunder, 
except that liabilities assumed by the Corporation under the 
authority of this subsection shall be consistent with the 
purposes of this title and that the maximum share of 
liabilities so assumed shall not exceed the proportionate 
participation by eligible investors in the project.
  [(3) Not more than 10 per centum of the maximum contingent 
liability of investment insurance which the Corporation is 
permitted to have outstanding under section 235(a)(1) shall be 
issued to a single investor.
  [(4) Before issuing insurance for the first time for loss due 
to business interruption, and in each subsequent instance in 
which a significant expansion is proposed in the type of risk 
to be insured under the definition of ``civil strife'' or 
``business interruption'', the Corporation shall, at least 
sixty days before such insurance is issued, submit to the 
Committee on Foreign Relations of the Senate and the Committee 
on Foreign Affairs of the House of Representatives a report 
with respect to such insurance, including a thorough analysis 
of the risks to be covered, anticipated losses, and proposed 
rates and reserves and, in the case of insurance for loss due 
to business interruption, an explanation of the underwriting 
basis upon which the insurance is to be offered. Any such 
report with respect to insurance for loss due to business 
interruption shall be considered in accordance with the 
procedures applicable to reprogramming notifications pursuant 
to section 634A of this Act.
  [(b) Investment Guaranties.--To issue to eligible investors 
guaranties of loans and other investments made by such 
investors assuring against loss due to such risks and upon such 
terms and conditions as the Corporation may determine: 
Provided, however, That such guaranties on other than loan 
investments shall not exceed 75 per centum of such investment: 
Provided further, That except for loan investments for credit 
unions made by eligible credit unions or credit union 
associations, the aggregate amount of investment (exclusive of 
interest and earnings) so guaranteed with respect to any 
project shall not exceed, at the time of issuance of any such 
guaranty, 75 per centum of the total investment committed to 
any such project as determined by the Corporation, which 
determination shall be conclusive for purposes of the 
Corporation's authority to issue any such guaranty: Provided 
further, That not more than 15 per centum of the maximum 
contingent liability of investment guaranties which the 
Corporation is permitted to have outstanding under section 
235(a)(2) shall be issued to a single investor.
  [(c) Direct Investment.--To make loans in United States 
dollars repayable in dollars or loans in foreign currencies 
(including, without regard to section 1415 of the Supplemental 
Appropriation Act, 1953, such foreign currencies which the 
Secretary of the Treasury may determine to be excess to the 
normal requirements of the United States and the Director of 
the Bureau of the Budget may allocate) to firms privately owned 
or of mixed private and public ownership upon such terms and 
conditions as the Corporation may determine. Loans may be made 
under this subsection only for projects that are sponsored by 
or significantly involve United States small business or 
cooperatives.The Corporation may designate up to 25 percent of 
any loan under this subsection for use in the development or 
adaptation in the United States of new technologies or new 
products or services that are to be used in the project for 
which the loan is made and are likely to contribute to the 
economic or social development of less developed countries.No 
loan may be made under this subsection to finance any operation 
for the extraction of oil or gas. The aggregate amount of loans 
under this subsection to finance operations for the mining or 
other extraction of any deposit of ore or other nonfuel 
minerals may not in any fiscal year exceed $4,000,000.
  [(d) Investment Encouragement.--To initiate and support 
through financial participation, incentive grant, or otherwise, 
and on such terms and conditions as the Corporation may 
determine, the identification, assessment, surveying and 
promotion of private investment opportunities, utilizing 
wherever feasible and effective the facilities of private 
investors, except that--
          [(1) the Corporation shall not finance any survey to 
        ascertain the existence, location, extent, or quality 
        of, or to determine the feasibility of undertaking 
        operations for the extraction of, oil or gas; and
          [(2) expenditures financed by the Corporation during 
        any fiscal year on surveys to ascertain the existence, 
        location, extent, or quality of, or to determine the 
        feasibility of undertaking operations for the 
        extraction of nonfuel minerals may not exceed $200,000.
  [(e) Special Activities.--To administer and manage special 
projects and programs, including programs of financial and 
advisory support which provide private technical, professional, 
or managerial assistance in the development of human resources, 
skills, technology, capital savings and intermediate financial 
and investment institutions and cooperatives and including the 
initiation of incentives, grants, and studies for renewable 
energy and other small business activities. The funds for these 
projects and programs may, with the Corporation's concurrence, 
be transferred to it for such purposes under the authority of 
section 632(a) or from other sources, public or private. 
Administrative funds may not be made available for incentives, 
grants, and studies for renewable energy and other small 
business activities.
  [(f) Other Insurance Functions.--(1) To make and carry out 
contracts of insurance or reinsurance, or agreements to 
associate or share risks, with insurance companies, financial 
institutions, any other persons, or groups thereof, and 
employing the same where appropriate, as its agent, or acting 
as their agent, in the issuance and servicing of insurance, the 
adjustment of claims, the exercise of subrogation rights, the 
ceding and accepting of reinsurance, and in any other matter 
incident to an insurance business; except that such agreements 
and contracts shall be consistent with the purposes of the 
Corporation set forth in section 231 of this Act and shall be 
on equitable terms.
  [(2) To enter into pooling or other risk-sharing agreements 
with multinational insurance or financing agencies or groups of 
such agencies.
  [(3) To hold an ownership interest in any association or 
other entity established for the purposes of sharing risks 
under investment insurance.
  [(4) To issue, upon such terms and conditions as it may 
determine, reinsurance of liabilities assumed by other insurers 
or groups thereof in respect of risks referred to in subsection 
(a)(1).The amount of reinsurance of liabilities under this 
title which the Corporation may issue shall not in the 
aggregate exceed at any one time an amount equal to the amount 
authorized for the maximum contingent liability outstanding at 
any one time under section 235(a)(1). All reinsurance issued by 
the Corporation under this subsection shall require that the 
reinsured party retain for his own account specified portions 
of liability, whether first loss or otherwise.
  [(g) Pilot Equity Finance Program.--
          [(1) Authority for pilot program.--In order to study 
        the feasibility and desirability of a program of equity 
        financing, the Corporation is authorized to establish a 
        4-year pilot program under which it may, on the limited 
        basis prescribed in paragraphs (2) through (5), 
        purchase, invest in, or otherwise acquire equity or 
        quasi-equity securities of any firm or entity, upon 
        such terms and conditions as the Corporation may 
        determine, for the purpose of providing capital for any 
        project which is consistent with the provisions of this 
        title except that--
                  [(A) the aggregate amount of the 
                Corporation's equity investment with respect to 
                any project shall not exceed 30 percent of the 
                aggregate amount of all equity investment made 
                with respect to such project at the time that 
                the Corporation's equity investment is made, 
                except for securities acquired through the 
                enforcement of any lien, pledge, or contractual 
                arrangement as a result of a default by any 
                party under any agreement relating to the terms 
                of the Corporation's investment; and
                  [(B) the Corporation's equity investment 
                under this subsection with respect to any 
                project, when added to any other investments 
                made or guaranteed by the Corporation under 
                subsection (b) or (c) with respect to such 
                project, shall not cause the aggregate amount 
                of all such investment to exceed, at the time 
                any such investment is made or guaranteed by 
                the Corporation, 75 percent of the total 
                investment committed to such project as 
                determined by the Corporation.
The determination of the Corporation under subparagraph (B) 
shall be conclusive for purposes of the Corporation's authority 
to make or guarantee any such investment.
          [(2) Limitation to projects in sub-saharan africa and 
        caribbean basin.--Equity investments may be made under 
        this subsection only in projects in countries eligible 
        for financing under this title that are countries in 
        sub-Saharan Africa or countries designated as 
        beneficiary countries under section 212 of the 
        Caribbean Basin Economy Recovery Act.
          [(3) Additional criteria.--In making investment 
        decisions under this subsection, the Corporation shall 
        give preferential consideration to projects sponsored 
        by or significantly involving United States small 
        business or cooperatives. The Corporation shall also 
        consider the extent to which the Corporation's equity 
        investment will assist in obtaining the financing 
        required for the project.
          [(4) Disposition of equity interest.--Taking into 
        consideration, among other things, the Corporations' 
        financial interests and the desirability of fostering 
        the development of local capital markets in less 
        developed countries, the Corporation shall endeavor to 
        dispose of any equity interest it may acquire under 
        this subsection within a period of 10 years from the 
        date of acquisition of such interest.
          [(6) Consultations with congress.--The Corporation 
        shall consult annually with the Committee on Foreign 
        Affairs of the House of Representatives and the 
        Committee on Foreign Relations of the Senate on the 
        implementation of the pilot equity finance program 
        established under this subsection.
  [(h) Local Currency Guaranties for Eligible Investors.--To 
issue to--
          [(1) eligible investors, or
          [(2) local financial institutions, guaranties,
denominated in currencies other than United States dollars, of 
loans and other investments made to projects sponsored by or 
significantly involving eligible investors, assuring against 
loss due to such risks and upon such terms and conditions as 
the Corporation may determine, for projects that the 
Corporation determines to have significant developmental 
effects or as the Corporation determines to be necessary or 
appropriate to carry out the purposes of this title.
  [Sec. 234A. Enhancing Private Political Risk Insurance 
Industry.
  [(a) Cooperative Programs.--In order to encourage greater 
availability of political risk insurance for eligible investors 
by enhancing the private political risk insurance industry in 
the United States, and to the extent consistent with this 
title, the Corporation shall under take programs of cooperation 
with such industry, and in connection with such programs may 
engage in the following activities:
          [(1) Utilizing its statutory authorities, encourage 
        the development of associations, pools, or consortia of 
        United States private political risk insurers.
          [(2) Share insurance risks (through coinsurance, 
        contingent insurance, or other means) in a manner that 
        is conducive to the growth and development of the 
        private political risk insurance industry in the United 
        States.
          [(3) Notwithstanding section 237(e), upon the 
        expiration of insurance provided by the Corporation for 
        an investment, enter into risk-sharing agreements with 
        United States private political risk insurers to insure 
        any such investment; except that, in cooperating in the 
        offering of insurance under this paragraph, the 
        Corporation shall not assume responsibility for more 
        than 50 percent of the insurance being offered in each 
        separate transaction.
  [(b) Advisory Group.--
          [(1) Establishment and membership.--The Corporation 
        shall establish a group to advise the Corporation on 
        the development and implementation of the cooperative 
        programs under this section. The group shall be 
        appointed by the Board and shall be composed of up to 
        12 members, including the following:
                  [(A) Up to seven persons from the private 
                political risk insurance industry, of whom no 
                fewer than two shall represent private 
                political risk insurers, one shall represent 
                private political risk reinsurers, and one 
                shall represent insurance or reinsurance 
                brokerage firms.
                  [(B) Up to four persons, other than persons 
                described in subparagraph (A), who are 
                purchasers of political risk insurance.
          [(2) Functions.--The Corporation shall call upon 
        members of the advisory group, either collectively or 
        individually, to advise it regarding the capability of 
        the private political risk insurance industry to meet 
        the political risk insurance needs of United States 
        investors, and regarding the development of cooperative 
        programs to enhance such capability.
          [(3) Meetings.--The advisory group shall meet not 
        later than September 30, 1989, and at least annually 
        thereafter. The Corporation may from time to time 
        convene meetings of selected members of the advisory 
        group to address particular questions requiring their 
        specialized knowledge.
          [(4) Federal advisory committee act.--The advisory 
        group shall not be subject to the Federal Advisory 
        Committee Act (5 U.S.C. App.).
  [Sec. 235. Issuing Authority, Direct Investment Authority and 
Reserves.--
  [(a) Issuing Authority.--
          [(1) Insurance and financing.--(A) The maximum 
        contingent liability outstanding at any one time 
        pursuant to insurance issued under section 234(a), and 
        the amount of financing issued under sections 234(b) 
        and (c), shall not exceed in the aggregate 
        $29,000,000,000.
          [(B) Subject to spending authority provided in 
        appropriations Acts pursuant to section 504(b) of the 
        Federal Credit Reform Act of 1990, the Corporation is 
        authorized to transfer such sums as are necessary from 
        its noncredit activities to pay for the subsidy and 
        administrative costs of the investment guaranties and 
        direct loan programs under subsections (b) and (c) of 
        section 234.
          [(2) Termination of authority.--The authority of 
        subsections (a), (b), and (c) of section 234 shall 
        continue until September 30, 2007.
  [(c) There shall be established in the Treasury of the United 
States a noncredit account revolving fund, which shall be 
available for discharge of liabilities, as provided in 
subsection (d) of this section until such time as all such 
liabilities have been discharged or have expired or until all 
of the fund has been expended in accordance with the provisions 
of this section. Such fund shall be funded by: (1) the funds 
heretofore available to discharge liabilities under predecessor 
guaranty authority (including housing guaranty authorities), 
less both the amount made available for housing guaranty 
programs pursuant to section 223(b) and the amount made 
available to the Corporation pursuant to subsection (e) of this 
section and (2) such sums as shall be appropriated pursuant to 
subsection (f) of this section for such purposes. Additional 
amounts may thereafter be transferred to such fund pursuant to 
section 236.
  [(d) Any payment made to discharge liabilities under 
investment insurance or reinsurance issued under section 234 
under similar predecessor guaranty authority or under section 
234A, shall be paid first out of the noncredit account 
revolving fund, as long as such fund remains available, and 
thereafter out of funds made available pursuant to subsection 
(f) of this section. Any payments made to discharge liabilities 
under guaranties issued under section 234(b) or 234(c) shall be 
paid in accordance with the Federal Credit Reform Act of 1990.
  [(e) There is hereby authorized to be transferred to the 
Corporation at its call, for the purposes specified in section 
236, all fees and other revenues collected under predecessor 
guaranty authority from December 31, 1968, available as of the 
date of such transfer.
  [(f) There are authorized to be appropriated to the 
Corporation, to remain available until expended, such amounts 
as may be necessary from time to time to replenish or increase 
the noncredit account revolving fund, to discharge the 
liabilities under insurance, reinsurance, or guaranties issued 
by the Corporation or issued under predecessor guaranty 
authority, or to discharge obligations of the Corporation 
purchased by the Secretary of the Treasury pursuant to this 
subsection. However, no appropriations shall be made to augment 
the noncredit account revolving fund until the amount of funds 
in the noncredit account revolving fund is less than 
$25,000,000. Any appropriations to augment the noncredit 
account revolving fund shall then only be made either pursuant 
to specific authorization enacted after the date of enactment 
of the Overseas Private Investment Corporation Amendments Act 
of 1974, or to satisfy the full faith and credit provision of 
section 237(c). In order to discharge liabilities under 
investment insurance or reinsurance, the Corporation is 
authorized to issue from time to time for purchase by the 
Secretary of the Treasury its notes, debentures, bonds, or 
other obligations; but the aggregate amount of such obligations 
outstanding at any one time shall not exceed $100,000,000. Any 
such obligation shall be repaid to the Treasury within one year 
after the date of issue of such obligation. Any such obligation 
shall bear interest at a rate determined by the Secretary of 
the Treasury, taking into consideration the current average 
market yield on outstanding marketable obligations of the 
United States of comparable maturities during the month 
preceding the issuance of any obligation authorized by this 
subsection. The Secretary of the Treasury shall purchase any 
obligation of the Corporation issued under this subsection, and 
for such purchase he may use as a public debt transaction the 
proceeds of the sale of any securities issued under the Second 
Liberty Bond Act after the date of enactment of the Overseas 
Private Investment Corporation Amendments Act of 1974. The 
purpose for which securities may be issued under such Bond Act 
shall include any such purchase.
          [(1) $8,128,000 for fiscal year 1993; and
          [(2) $11,000,000 for fiscal year 1994.
  [Sec. 236. Income and Revenues.-- In order to carry out the 
purposes of the Corporation, all revenues and income 
transferred to or earned by the Corporation, from whatever 
source derived, shall be held by the Corporation and shall be 
available to carry out its purposes, including without 
limitation--
          [(a) payment of all expenses of the Corporation, 
        including investment promotion expenses;
          [(b) transfers and additions to the insurance or 
        guaranty reserves, the Direct Investment Fund 
        established pursuant to section 235, and such other 
        funds or reserves as the Corporation may establish, at 
        such time and in such amounts as the Board may 
        determine; and
          [(c) payment of dividends, on capital stock, which 
        shall consist of and be paid from net earnings of the 
        Corporation after payments, transfers, and additions 
        under subsections (a) and (b) hereof.]
  Sec. 237. General Provisions Relating to Insurance Guaranty, 
and Financing Program.--[(a) Insurance guaranties, and 
reinsurance issued under this title shall cover investment made 
in connection with projects in any less developed friendly 
country or area with the government to which the President of 
the United States has agreed to institute a program for 
insurance, guaranties, or reinsurance.
  [(b) The Corporation shall determine that suitable 
arrangements exist for protecting the interest of the 
Corporation in connection with any insurance, guaranty or 
reinsurance issued under this title, including arrangements 
concerning ownership, use, and disposition of the currency, 
credits, assets, or investments on account of which payment 
under such insurance, guaranty, or reinsurance is to be made, 
and right, title, claim, or cause of action existing in 
connection therewith.
  [(c) All guaranties issued prior to July 1, 1956, all 
guaranties issued under sections 202(b) and 413(b) of the 
Mutual Security Act of 1954, as amended, all guaranties 
heretofore issued pursuant to prior guaranty authorities 
repealed by the Foreign Assistance Act of 1969, and all 
insurance, reinsurance, and guaranties issued pursuant to this 
title shall constitute obligations, in accordance with the 
terms of such insurance, reinsurance, or guaranties, of the 
United States of America and the full faith and credit of the 
United States of America is hereby pledged for the full payment 
and performance of such obligations.
  [(d) Fees.--
          [(1) In general.--Fees may be charged for providing 
        insurance, reinsurance, financing, and other services 
        under this title in amounts to be determined by the 
        Corporation. In the event fees charged for insurance, 
        reinsurance, financing, or other services are reduced, 
        fees to be paid under existing contracts for the same 
        type of insurance, reinsurance, financing, or services 
        and for similar guarantees issued under predecessor 
        guarantee authority may be reduced.
          [(2) Credit transaction costs.--Project-specific 
        transaction costs incurred by the Corporation relating 
        to loan obligations or loan guarantee commitments 
        covered by the provisions of the Federal Credit Reform 
        Act of 1990, including the costs of project-related 
        travel and expenses for legal representation provided 
        by persons outside the Corporation and other similar 
        expenses which are charged to the borrower, shall be 
        paid out of the appropriate finance account established 
        pursuant to section 505(b) of such Act.
          [(3) Noncredit transaction costs.--Fees paid for the 
        project-specific transaction costs and other direct 
        costs associated with services provided to specific 
        investors or potential investors pursuant to section 
        234 (other than those covered in paragraph (2)), 
        including financing, insurance, reinsurance, missions, 
        seminars, conferences, and other preinvestment 
        services, shall be available for obligation for the 
        purposes for which they were collected, notwithstanding 
        any other provision of law.
  [(e) No insurance, guaranty, or reinsurance of any equity 
investment shall extend beyond twenty years from the date of 
issuance.
  [(f) Compensation for insurance, reinsurance, or guaranties 
issued under this title shall not exceed the dollar value, as 
of the date of the investment, of the investment made in the 
project with the approval of the Corporation plus interest, 
earnings, or profits actually accrued on such investment to the 
extent provided by such insurance, reinsurance, or guaranty, 
except that the Corporation may provide that (1) appropriate 
adjustments in the insured dollar value be made to reflect the 
replacement cost of project assets, and (2) compensation for a 
claim of loss under insurance of an equity investment may be 
computed on the basis of the net book value attributable to 
such equity investment on the date of loss. Notwithstanding the 
preceding sentence, the Corporation shall limit the amount of 
direct insurance and reinsurance issued by it under section 234 
or 234A so that risk of loss as to at least 10 per centum of 
the total investment of the insured and its affiliates in the 
project is borne by the insured and such affiliates, except 
that limitation shall not apply to direct insurance or 
reinsurance of loans by banks or other financial institutions 
to unrelated parties and (3) compensation for loss due to 
business interruption may be computed on a basis to be 
determined by the Corporation which reflects amounts lost.]
  (g) No payment may be made under any guaranty, insurance or 
reinsurance issued pursuant to this title for any loss arising 
out of fraud or misrepresentation for which the party seeking 
payment is responsible.
  [(h) Insurance, guaranties, or reinsurance of a loan or 
equity investment of an eligible investor in a foreign bank, 
finance company, or other credit institution shall extend only 
to such loan or equity investment and not to any individual 
loan or equity investment made by such foreign bank, finance 
company, or other credit institution.
  [(i) Claims arising as a result of insurance, reinsurance or 
guaranty operations under this title or under predecessor 
guaranty authority may be settled, and disputes arising as a 
result thereof may be arbitrated with the consent of the 
parties, on such terms and conditions as the Corporation may 
determine. Payment made pursuant to any such settlement, or as 
a result of an arbitration award, shall be final and conclusive 
notwithstanding any other provision of law.
  [(j) Each guaranty contract executed by such officer or 
officers as may be designated by the Board shall be 
conclusively presumed to be issued in compliance with the 
requirements of this Act.
  [(k) In making a determination to issue insurance, 
guaranties, or reinsurance under this title, the Corporation 
shall consider the possible adverse effect of the dollar 
investment under such insurance, guaranty, or reinsurance upon 
the balance of payments of the United States.]
  (l)(1) No payment may be made under any insurance or 
reinsurance which is issued under this title on or after the 
date of enactment of this subsection for any loss occurring 
with respect to a project, if the preponderant cause of such 
loss was an act by the investor seeking payment under this 
title, by a person possessing majority ownership and control of 
the investor at the time of the act, or by any agent of such 
investor or controlling person, and a court of the United 
States has entered a final judgment that such act constituted a 
violation under the Foreign Corrupt Practices Act of 1977.
  (2) Not later than 120 days after the date of enactment of 
this subsection, the Corporation shall adopt regulations 
setting forth appropriate conditions under which any person 
convicted under the Foreign Corrupt Practices Act of 1977 for 
an offense related to a project insured or otherwise supported 
by the Corporation shall be suspended, for a period of not more 
than five years, from eligibility to receive any insurance, 
reinsurance, guaranty, loan, or other financial support 
authorized by this title.
  [(m)(1) Before finally providing insurance, reinsurance, 
guarantees, or financing under this title for any 
environmentally sensitive investment in connection with a 
project in a country, the Corporation shall notify appropriate 
government officials of that country of--
          [(A) all guidelines and other standards adopted by 
        the International Bank for Reconstruction and 
        Development and any other international organization 
        relating to the public health or safety or the 
        environment which are applicable to the project; and
          [(B) to the maximum extent practicable, any 
        restriction under any law of the United States relating 
        to public health or safety or the environment that 
        would apply to the project if the project were 
        undertaken in the United States.
The notification under the preceding sentence shall include a 
summary of the guidelines, standards, and restrictions referred 
to in subparagraphs (A) and (B), and may include any 
environmental impact statement, assessment, review, or study 
prepared with respect to the investment pursuant to section 
239(g).
  [(2) Before finally providing insurance, reinsurance, 
guarantees, or financing for any investment subject to 
paragraph (1), the Corporation shall take into account any 
comments it receives on the project involved.
  [(3) On or before September 30, 1986, the Corporation shall 
notify appropriate government officials of a country of the 
guidelines, standards, and legal restrictions described in 
paragraph (1) that apply to any project in that country--
          [(A) which the Corporation identifies as potentially 
        posing major hazards to public health and safety or the 
        environment; and
          [(B) for which the Corporation provided insurance, 
        reinsurance, guarantees, or financing under this title 
        before the date of enactment of this subsection and 
        which is in the Corporation's portfolio on that date.]
  (n) Penalties for Fraud.--Whoever knowingly makes any false 
statement or report, or willfully overvalues any land, 
property, or security, for the purpose of influencing in any 
way the action of the Corporation with respect to any 
insurance, reinsurance, guarantee, loan, equity investment, or 
other activity of the Corporation under section 234 or any 
change or extension of any such insurance, reinsurance, 
guarantee, loan, equity investment, or activity, by renewal, 
deferment of action or otherwise, or the acceptance, release, 
or substitution of security therefor, shall be fined not more 
than $1,000,000 or imprisoned not more than 30 years, or both.
  [(o) Use of Local Currencies.--Direct loans or investments 
made in order to preserve the value of funds received in 
inconvertible foreign currency by the Corporation as a result 
of activities conducted pursuant to section 234(a) shall not be 
considered in determining whether the Corporation has made or 
has outstanding loans or investments to the extent of any 
limitation on obligations and equity investment imposed by or 
pursuant to this title. The provisions of section 504(b) of the 
Federal Credit Reform Act of 1990 shall not apply to direct 
loan obligations made with funds described in this subsection.]
  [Sec. 238. Definitions.-- As used in this title--
          [(a) the term ``investment'' includes any 
        contribution or commitment of funds, commodities, 
        services, patents, processes, or techniques, in the 
        form of (1) a loan or loans to an approved project, (2) 
        the purchase of a share of ownership in any such 
        project, (3) participation in royalties, earnings, or 
        profits of any such project, and (4) the furnishing of 
        commodities or services pursuant to a lease or other 
        contract;
          [(b) the term ``expropriation'' includes, but is not 
        limited to, any abrogation, repudiation, or impairment 
        by a foreign government, a political subdivision of a 
        foreign government, or a corporation owned or 
        controlled by a foreign government, of its own contract 
        with an investor with respect to a project, where such 
        abrogation, repudiation, or impairment is not caused by 
        the investor's own fault or misconduct, and materially 
        adversely affects the continued operation of the 
        project;
          [(c) the term ``eligible investor'' means: (1) United 
        States citizens; (2) corporations, partnerships, or 
        other associations including nonprofit associations, 
        created under the laws of the United States any State 
        or territory thereof, or the District of Columbia, and 
        substantially beneficially owned by United States 
        citizens; and (3) foreign corporations, partnerships, 
        or other associations wholly owned by one or more such 
        United States citizens, corporations, partnerships, or 
        other associations: Provided however, That the 
        eligibility of such foreign corporation shall be 
        determined without regard to any shares, in aggregate 
        less than 5 per centum of the total issued and 
        subscribed share capital, held by other than the United 
        States owners: Provided further, That in the case of 
        any loan investment a final determination of 
        eligibility may be made at the time the insurance or 
        guaranty is issued; in all other cases, the investor 
        must be eligible at the time a claim arises as well as 
        the time the insurance or guaranty is issued;
          [(d) the term ``noncredit account revolving fund'' 
        means the account in which funds under section 236 and 
        all funds from noncredit activities are held;
          [(e) the term ``noncredit activities'' means all 
        activities of the Corporation other than its loan 
        guarantee program under section 234(b) and its direct 
        loan program under section 234(c);
          [(f) the term ``predecessor guaranty authority'' 
        means prior guaranty authorities (other than housing 
        guaranty authorities) repealed by the Foreign 
        Assistance Act of 1969, section 202(b) and 413(b) of 
        the Mutual Security Act of 1954, as amended, and 
        section 111(b)(3) of the Economic Cooperation Act of 
        1948, as amended (exclusive of authority relating to 
        informational media guaranties); and
          [(g) the term ``local financial institution''--
                  [(1) means any bank or financial institution 
                that is organized under the laws of any country 
                or area in which the Corporation operates; but
                  [(2) does not include a branch, however 
                organized, of a bank or other financial 
                institution that is organized under the laws of 
                a country in which the Corporation does not 
                operate.
  [Sec. 239. General Provisions and Powers.--(a) The 
Corporation shall have its principal office in the District of 
Columbia and shall be deemed, for purposes of venue in civil 
actions, to be resident thereof.
  [(b) The President shall transfer to the Corporation, at such 
time as he may determine, all obligations, assets and related 
rights and responsibilities arising out of, or related to, 
predecessor programs and authorities similar to those provided 
for in section 234 (a), (b), and (d). Until such transfer, the 
agency heretofore responsible for such predecessor programs 
shall continue to administer such assets and obligations, and 
such programs and activities authorized under this title as may 
be determined by the President.
  [(c)(1) The Corporation shall be subject to the applicable 
provisions of chapter 91 of title 31, United States Code, 
except as otherwise provided in this title.
  [(2) An independent certified public accountant shall perform 
a financial and compliance audit of the financial statements of 
the Corporation at least once every three years, in accordance 
with generally accepted Government auditing standards for a 
financial and compliance audit, as issued by the Comptroller 
General. The independent certified public accountant shall 
report the results of such audit to the Board. The financial 
statements of the Corporation shall be presented in accordance 
with generally accepted accounting principles. These financial 
statements and the report of the accountant shall be included 
in a report which contains, to the extent applicable, the 
information identified in section 9106 of title 31, United 
States Code, and which the Corporation shall submit to the 
Congress not later than six and one-half months after the end 
of the last fiscal year covered by the audit. The General 
Accounting Office may review the audit conducted by the 
accountant and the report to the Congress in the manner and at 
such times as the General Accounting Office considers 
necessary.
  [(3) In lieu of the financial and compliance audit required 
by paragraph (2), the General Accounting Office shall, if the 
Office considers it necessary or upon the request of the 
Congress, audit the financial statements of the Corporation in 
the manner provided in paragraph (2). The Corporation shall 
reimburse the General Accounting Office for the full cost of 
any audit conducted under this paragraph.
  [(4) All books, accounts, financial records, reports, files, 
workpapers, and property belonging to or in use by the 
Corporation and the accountant who conducts the audit under 
paragraph (2), which are necessary for purposes of this 
subsection, shall be made available to the representatives of 
the General Accounting Office.
  [(d) To carry out the purposes of this title, the Corporation 
is authorized to adopt and use a corporate seal, which shall be 
judicially noticed; to sue and be sued in its corporate name; 
to adopt, amend, and repeal bylaws governing the conduct of its 
business and the performance of the powers and duties granted 
to or imposed upon it by law; to acquire, hold or dispose of, 
upon such terms and conditions as the Corporation may 
determine, any property, real, personal, or mixed, tangible or 
intangible, or any interest therein; to invest funds derived 
from fees and other revenues in obligations of the United 
States and to use the proceeds therefrom, including earnings 
and profits, as it shall deem appropriate; to indemnify 
directors, officers, employees and agents of the Corporation 
for liabilities and expenses incurred in connection with their 
Corporation activities; to require bonds of officers, 
employees, and agents and pay the premiums therefor; 
notwithstanding any other provision of law, to represent itself 
or to contract for representation in all legal and arbitral 
proceedings; to enter into limited-term contracts with 
nationals of the United States for personal services to carry 
out activities in the United States and abroad under 
subsections (d) and (e) of section 234; to purchase, discount, 
rediscount, sell, and negotiate, with or without its 
endorsement or guaranty, and guarantee notes, participation 
certificates, and other evidence of indebtedness (provided that 
the Corporation shall not issue its own securities, except 
participation certificates for the purpose of carrying out 
section 231(c) or participation certificates as evidence of 
indebtedness held by the Corporation in connection with 
settlement of claims under section 237(i)); to make and carry 
out such contracts and agreements as are necessary and 
advisable in the conduct of its business; to exercise the 
priority of the Government of the United States in collecting 
debts from bankrupt, insolvent, or decedents' estates; to 
determine the character of and the necessity for its 
obligations and expenditures, and the manner in which they 
shall be incurred, allowed, and paid, subject to provisions of 
law specifically applicable to Government corporations; to 
collect or compromise any obligations assigned to or held by 
the Corporation, including any legal or equitable rights 
accruing to the Corporation; and to take such actions as may be 
necessary or appropriate to carry out the powers herein or 
hereafter specifically conferred upon it.
  [(e) The Inspector General of the Agency for International 
Development (1) may conduct reviews, investigations, and 
inspections of all phases of the Corporation's operations and 
activities and (2) shall conduct all security activities of the 
Corporation relating to personnel and the control of classified 
material. With respect to his responsibilities under this 
subsection, the Inspector General shall report to the Board. 
The agency primarily responsible for administering part I shall 
be reimbursed by the Corporation for all expenses incurred by 
the Inspector General in connection with his responsibilities 
under this subsection.
  [(f) Except for the provisions of this title, no other 
provision of this or any other law shall be construed to 
prohibit the operation in Yugoslavia, Poland, Hungary, or any 
other East European country, or the People's Republic of China, 
or Pakistan of the programs authorized by this title, if the 
President determines that the operation of such program in such 
country is important to the national interest.
  [(g) The requirements of section 117(c) of this Act relating 
to environmental impact statements and environmental 
assessments shall apply to any investment which the Corporation 
insures, reinsures, guarantees, or finances under this title in 
connection with a project in a country.
  [(h) In order to carry out the policy set forth in paragraph 
(1) of the second undesignated paragraph of section 231 of this 
Act, the Corporation shall prepare and maintain for each 
investment project it insures, finances, or reinsures, a 
development impact profile consisting of data appropriate to 
measure the projected and actual effects of such project on 
development. Criteria for evaluating projects shall be 
developed in consultation with the Agency for International 
Development.
  [(i) The Corporation shall take into account in the conduct 
of its programs in a country, in consultation with the 
Secretary of State, all available information about observance 
of and respect for human rights and fundamental freedoms in 
such country and the effect the operation of such programs will 
have on human rights and fundamental freedoms in such country. 
The provisions of section 116 of this Act shall apply to any 
insurance, reinsurance, guaranty, or loan issued by the 
Corporation for projects in a country, except that in addition 
to the exception (with respect to benefiting needy people) set 
forth in subsection (a) of such section, the Corporation may 
support a project if the national security interest so 
requires.
  [(j) The Corporation, including its franchise, capital, 
reserves, surplus, advances, intangible property, and income, 
shall be exempt from all taxation at any time imposed by the 
United States, by any territory, dependency, or possession of 
the United States, or by any State, the District of Columbia, 
or any county, municipality, or local taxing authority.
  [(k) The Corporation shall publish, and make available to 
applicants for insurance, reinsurance, guarantees, financing, 
or other assistance made available by the Corporation under 
this title, the policy guidelines of the Corporation relating 
to its programs.
  [Sec. 240. Small Business Development.--(a) In General.--The 
Corporation shall undertake, in cooperation with appropriate 
departments, agencies, and instrumentalities of the United 
States as well as private entities and others, to broaden the 
participation of United States small business, cooperatives, 
and other small United States investors in the development of 
small private enterprise in less developed friendly countries 
or areas. The Corporation shall allocate up to 50 percent of 
its annual net income, after making suitable provision for 
transfers and additions to reserves, to assist and facilitate 
the development of projects consistent with the provisions of 
this section. Such funds may be expended, notwithstanding the 
requirements of section 231(a), on such terms and conditions as 
the Corporation may determine, through loans, grants, or other 
programs authorized by section 234 and section 234A.
  [(b) Outreach to Minority-Owned and Women-Owned Businesses.--
The Corporation shall collect data on the involvement of 
minority- and women-owned businesses in projects supported by 
the Corporation, including--
          [(1) the amount of insurance and financing provided 
        by the Corporation to such businesses in connection 
        with projects supported by the Corporation; and
          [(2) to the extent such information is available, the 
        involvement of such businesses in procurement 
        activities conducted or supported by the Corporation.
The Corporation shall include, in its annual report submitted 
to the Congress under section 240A, the aggregate data 
collected under this paragraph, in such form as to quantify the 
effectiveness of the Corporation's outreach activities to 
minority- and women-owned businesses.
  [Sec. 240A. Reports to the Congress.-- After (a) the end of 
each fiscal year, the Corporation shall submit to the Congress 
a complete and detailed report of its operations during such 
fiscal year. Such report shall include--
          [(1) an assessment, based upon the development impact 
        profiles required by section 239(h), of the economic 
        and social development impact and benefits of the 
        projects with respect to which such profiles are 
        prepared, and of the extent to which the operations of 
        Corporation complement or are compatible with the 
        development assistance programs of the United States 
        and other donors; and
          [(2) a description of any project for which the 
        Corporation--
                  [(A) refused to provide any insurance, 
                reinsurance, guaranty, financing, or other 
                financial support, on account of violations of 
                human rights referred to in section 239(i); or
                  [(B) notwithstanding such violations, 
                provided such insurance, reinsurance, guaranty, 
                financing, or financial support, on the basis 
                of a determination (i) that the project will 
                directly benefit the needy people in the 
                country in which the project is located, or 
                (ii) that the national security interest so 
                requires.
  [(b)(1) Each annual report required by subsection (a) shall 
contain projections of the effects on employment in the United 
States of all projects for which, during the preceding fiscal 
year, the Corporation initially issued any insurance, 
reinsurance, or guaranty or made any direct loan. Each such 
report shall include projections of--
          [(A) the amount of United States exports to be 
        generated by those projects, both during the start-up 
        phase and over a period of years;
          [(B) the final destination of the products to be 
        produced as a result of those projects; and
          [(C) the impact such production will have on the 
        production of similar products in the United States 
        with regard to both domestic sales and exports.
  [(2) The projections required by this subsection shall be 
based on an analysis of each of the projects described in 
paragraph (1).
  [(3) In reporting the projections on employment required by 
this subsection, the Corporation shall specify, with respect to 
each project--
          [(A) any loss of jobs in the United States caused by 
        the project, whether or not the project itself creates 
        other jobs;
          [(B) any jobs created by the project; and
          [(C) the country in which the project is located, and 
        the economic sector involved in the project.
No proprietary information may be disclosed under this 
paragraph.
  [(d) The Corporation shall maintain as part of its records--
          [(1) all information collected in preparing the 
        report required by subsection (c) (as in effect before 
        the enactment of the Overseas Private Investment 
        Corporation Amendments Act of 1988), whether the 
        information was collected by the Corporation itself or 
        by a contractor; and
          [(2) a copy of the analysis of each project analyzed 
        in preparing the reports required by either subsection 
        (b) or (c) (as in effect before the enactment of the 
        Overseas Private Investment Corporation Amendments Act 
        of 1988).
  [(e) Each annual report required by subsection (a) shall 
include an assessment of programs implemented by the 
Corporation under section 234A(a), including the following 
information, to the extent such information is available to the 
Corporation:
          [(1) The nature and dollar value of political risk 
        insurance provided by private insurers in conjunction 
        with the Corporation, which the Corporation was not 
        permitted to provide under this title.
          [(2) The nature and dollar value of political risk 
        insurance provided by private insurers in conjunction 
        with the Corporation, which the Corporation was 
        permitted to provide under this title.
          [(3) The manner in which such private insurers and 
        the Corporation cooperated in recovery efforts and 
        claims management.
  [(f) Subsections (b) and (e) do not require the inclusion in 
any report submitted pursuant to those subsections of any 
information which would not be required to be made available to 
the public pursuant to section 552 of title 5, United States 
Code (relating to freedom of information).

[SEC. 240B. PROHIBITION ON NONCOMPETITIVE AWARDING OF INSURANCE 
                    CONTRACTS ON OPIC SUPPORTED EXPORTS.

  [(a) Requirement for Certification.--
          [(1) In general.--Except as provided in paragraph 
        (3), the investor on whose behalf insurance, 
        reinsurance, guaranties, or other financing is provided 
        under this title with respect to a project shall be 
        required to certify to the Corporation that any 
        contract for the export of goods as part of that 
        project will include a clause requiring that United 
        States insurance companies have a fair and open 
        competitive opportunity to provide insurance against 
        risk of loss of such export.
          [(2) When certification must be made.--The investor 
        shall be required, in every practicable case, to so 
        certify before the insurance, reinsurance, guarantee, 
        or other financing is provided. In any case in which 
        such a certification is not made in advance, the 
        investor shall include in the certification the reasons 
        for the failure to make a certification in advance.
          [(3) Exception.--Paragraph (1) does not apply with 
        respect to an investor who does not, because of the 
        nature of the investment, have a controlling interest 
        in fact in the project in question.
  [(b) Reports by the United States Trade Representative.--The 
United States Trade Representative shall review the actions of 
the Corporation under subsection (a) and, after consultation 
with representatives of United States insurance companies, 
shall report to the Congress in the report required by section 
181(b) of the Trade Act of 1974 with respect to such actions.
  [(c) Definitions.--For purposes of this section--
          [(1) the term ``United States insurance company'' 
        includes--
                  [(A) an individual, partnership, corporation, 
                holding company, or other legal entity which is 
                authorized, or in the case of a holding 
                company, subsidiaries of which are authorized, 
                by a State to engage in the business of issuing 
                insurance contracts or reinsuring the risk 
                underwritten by insurance companies; and
                  [(B) foreign operations, branches, agencies, 
                subsidiaries, affiliates, or joint ventures of 
                any entity described in subparagraph (A);
          [(2) United States insurance companies shall be 
        considered to have had a ``fair and open competitive 
        opportunity to provide insurance'' if they--
                  [(A) have received notice of the opportunity 
                to provide insurance; and
                  [(B) have been evaluated on a 
                nondiscriminatory basis; and
          [(3) the term ``State'' includes the District of 
        Columbia and any commonwealth, territory, or possession 
        of the United States.]

           *       *       *       *       *       *       *


TITLE XII--FAMINE PREVENTION AND FREEDOM FROM HUNGER

           *       *       *       *       *       *       *


               Chapter 8--International Narcotics Control

SEC. 481. POLICY, GENERAL AUTHORITIES, COORDINATION, FOREIGN POLICE 
                    ACTIONS, DEFINITIONS, AND OTHER PROVISIONS.

  (a) Policy and General Authorities.--
          (1) Statements of policy.--(A) International 
        narcotics trafficking poses an unparalleled 
        transnational threat in today's world, and its 
        suppression is among the most important foreign policy 
        objectives of the United States.
          (B) Under the Single Convention on Narcotic Drugs, 
        1961, and under the United Nations Convention Against 
        Illicit Traffic in Narcotic Drugs and Psychotropic 
        Substances, the parties are required to criminalize 
        certain drug-related activities, provide appropriately 
        severe penalties, and cooperate in the extradition of 
        accused offenders.
          (C) International narcotics control programs should 
        include, as priority goals, the suppression of the 
        illicit manufacture of and trafficking in narcotic and 
        psychotropic drugs, money laundering, and precursor 
        chemical diversion, and the progressive elimination of 
        the illicit cultivation of the crops from which 
        narcotic and psychotropic drugs are derived.
          (D) International criminal activities, particularly 
        international narcotics trafficking, money laundering, 
        and corruption, endanger political and economic 
        stability and democratic development, and assistance 
        for the prevention and suppression of international 
        criminal activities should be a priority for the United 
        States.
          (E) The international community should provide 
        assistance, where appropriate, to those producer and 
        transit countries which require assistance in 
        discharging these primary obligations.
          (F) The objective of the United States in dealing 
        with the problem of international money laundering is 
        to ensure that countries adopt comprehensive domestic 
        measures against money laundering and cooperate with 
        each other in narcotics money laundering 
        investigations, prosecutions, and related forfeiture 
        actions.
          (G) Effective international cooperation is necessary 
        to control the illicit cultivation, production, and 
        smuggling of, trafficking in, and abuse of narcotic and 
        psychotropic drugs.
  (2) In order to promote such cooperation, the President is 
authorized to conclude agreements, including reciprocal 
maritime agreements, with other countries to facilitate control 
of the production, processing, transportation, and distribution 
of narcotics analgesics, including opium and its derivatives, 
other narcotic and psychotropic drugs, and other controlled 
substances.
  (3) In order to promote international cooperation in 
combating international trafficking in illicit narcotics, it 
shall be the policy of the United States to use its voice and 
vote in multilateral development banks to promote the 
development and implementation in the major illicit drug 
producing countries of programs for the reduction and eventual 
eradication of narcotic drugs and other controlled substances, 
including appropriate assistance in conjunction with effective 
programs of illicit crop eradication.
  (4) Notwithstanding any other provision of law, the President 
is authorized to furnish assistance to any country or 
international organization, or such terms and conditions as he 
may determine, for the control of narcotic and psychotropic 
drugs and other controlled substances, or for other anticrime 
purposes.
  (b) Coordination of All United States Antinarcotics 
Assistance to Foreign Countries.--
          (1) Responsibility of secretary of state.--Consistent 
        with subtitle A of title I of the Anti-Drug Abuse Act 
        of 1988, the Secretary of State shall be responsible 
        for coordinating all assistance provided by the United 
        States Government to support international efforts to 
        combat illicit narcotics production or trafficking.
          (2) Rule of construction.--Nothing contained in this 
        subsection or section 489(b) shall be construed to 
        limit or impair the authority or responsibility of any 
        other Federal agency with respect to law enforcement, 
        domestic security operations, or intelligence 
        activities as defined in Executive Order 12333.
  (c) Participation in Foreign Police Actions.--
          (1) Prohibition on effecting an arrest.--No officer 
        or employee of the United States may directly effect an 
        arrest in any foreign country as part of any foreign 
        police action with respect to narcotics control 
        efforts, notwithstanding any other provision of law.
          (2) Participation in arrest actions.--Paragraph (1) 
        does not prohibit an officer or employee of the United 
        States, with the approval of the United States chief of 
        mission, from being present when foreign officers are 
        effecting an arrest or from assisting foreign officers 
        who are effecting an arrest.
          (3) Exception for exigent, threatening 
        circumstances.--Paragraph (1) does not prohibit an 
        officer or employee from taking direct action to 
        protect life or safety if exigent circumstances arise 
        which are unanticipated and which pose an immediate 
        threat to United States officers or employees, officers 
        or employees of a foreign government, or members of the 
        public.
          (4) Exception for maritime law enforcement.--With the 
        agreement of a foreign country, paragraph (1) does not 
        apply with respect to maritime law enforcement 
        operations in the territorial sea or archipelagic 
        waters of that country.
          (5) Interrogations.--No officer or employee of the 
        United States may interrogate or be present during the 
        interrogation of any United States person arrested in 
        any foreign country with respect to narcotics control 
        efforts without the written consent of such person.
          (6) Exception for status of forces arrangements.--
        This subsection does not apply to the activities of the 
        United States Armed Forces in carrying out their 
        responsibilities under applicable Status of Forces 
        Arrangements.
  (d) Use of Herbicides for Aerial Eradication.--
          (1) Monitoring.--The President, with the assistance 
        of appropriate Federal agencies, shall monitor any use 
        under this chapter of a herbicide for aerial 
        eradication in order to determine the impact of such 
        use on the environment and on the health of 
        individuals.
          (2) Annual reports.--In the annual report required by 
        section 489(a), the President shall report on the 
        impact on the environment and the health of individuals 
        of the use under this chapter of a herbicide for aerial 
        eradication.
          (3) Report upon determination of harm to environment 
        or health.--If the President determines that any such 
        use is harmful to the environment or the health of 
        individuals, the President shall immediately report 
        that determination to the Committee on Foreign Affairs 
        of the House of Representatives and the Committee on 
        Foreign Relations of the Senate, together with such 
        recommendations as the President deems appropriate.
  (e) Definitions.--For purposes of this chapter and other 
provisions of this Act relating specifically to international 
narcotics matters--
          (1) the term ``legal and law enforcement measures'' 
        means--
                  (A) the enactment and implementation of laws 
                and regulations or the implementation of 
                existing laws and regulations to provide for 
                the progressive control, reduction, and gradual 
                elimination of the illicit cultivation, 
                production, processing, transportation, and 
                distribution of narcotic drugs and other 
                controlled substances; and
                  (B) the effective organization, staffing, 
                equipping, funding, and activation of those 
                governmental authorities responsible for 
                narcotics control;
          (2) the term ``major illicit drug producing country'' 
        means a country in which--
                  (A) 1,000 hectares or more of illicit opium 
                poppy is cultivated or harvested during a year;
                  (B) 1,000 hectares or more of illicit coca is 
                cultivated or harvested during a year; or
                  (C) 5,000 hectares or more of illicit 
                cannabis is cultivated or harvested during a 
                year, unless the President determines that such 
                illicit cannabis production does not 
                significantly affect the United States;
          (3) the term ``narcotic and psychotropic drugs and 
        other controlled substances'' has the same meaning as 
        is given by any applicable international narcotics 
        control agreement or domestic law of the country of 
        countries concerned;
          (4) the term ``United States assistance'' means--
                  (A) any assistance under this Act [(including 
                programs under title IV of chapter 2, relating 
                to the Overseas Private Investment 
                Corporation)] (and any support under title II 
                of the Better Utilization of Investments 
                Leading to Development Act of 2018, relating to 
                the United States International Development 
                Finance Corporation), other than--
                          (i) assistance under this chapter,
                          (ii) any other narcotics-related 
                        assistance under this part (including 
                        chapter 4 of part II), but any such 
                        assistance provided under this clause 
                        shall be subject to the prior 
                        notification procedures applicable to 
                        reprogrammings pursuant to section 634A 
                        of this Act,
                          (iii) disaster relief assistance, 
                        including any assistance under chapter 
                        9 of this part,
                          (iv) assistance which involves the 
                        provision of food (including 
                        monetization of food) or medicine, and
                          (v) assistance for refugees;
                  (B) sales, or financing on any terms, under 
                the Arms Export Control Act;
                  (C) the provision of agricultural 
                commodities, other than food, under the Food 
                for Peace Act; and
                  (D) financing under the Export-Import Bank 
                Act of 1945;
          (5) the term ``major drug-transit country'' means a 
        country--
                  (A) that is a significant direct source of 
                illicit narcotic or psychotropic drugs or other 
                controlled substances significantly affecting 
                the United States; or
                  (B) through which are transported such drugs 
                or substances;;
          (6) the term ``precursor chemical'' has the same 
        meaning as the term ``listed chemical'' has under 
        paragraph (33) of section 102 of the Controlled 
        Substances Act (21 U.S.C. 802(33));
          (7) the term ``major money laundering country'' means 
        a country whose financial institutions engage in 
        currency transactions involving significant amounts of 
        proceeds from international narcotics trafficking; and
          (8) the term ``appropriate congressional committees'' 
        means the Committee on Foreign Affairs and the 
        Committee on Appropriations of the House of 
        Representatives and the Committee on Foreign Relations 
        and the Committee on Appropriations of the Senate.

           *       *       *       *       *       *       *


CHAPTER 12--SUPPORT FOR THE ECONOMIC AND POLITICAL INDEPENDENCE OF THE 
COUNTRIES OF THE SOUTH CAUCASUS AND CENTRAL ASIA

           *       *       *       *       *       *       *


SEC. 499B. DEVELOPMENT OF INFRASTRUCTURE.

  (a) Purpose of Programs.--The purposes of programs under this 
section include--
          (1) to develop the physical infrastructure necessary 
        for regional cooperation among the countries of the 
        South Caucasus and Central Asia; and
          (2) to encourage closer economic relations and to 
        facilitate the removal of impediments to cross-border 
        commerce among those countries and the United States 
        and other developed nations.
  (b) Authorization for Programs.--To carry out the purposes of 
subsection (a), the following types of programs for the 
countries of the South Caucasus and Central Asia may be used to 
support the activities described in subsection (c):
          (1) Activities by the Export-Import Bank to complete 
        the review process for eligibility for financing under 
        the Export-Import Bank Act of 1945.
          (2) The provision of insurance, reinsurance, 
        financing, or other assistance by the [Overseas Private 
        Investment Corporation] United States International 
        Development Finance Corporation.
          (3) Assistance under section 661 of this Act 
        (relating to the Trade and Development Agency).
  (c) Activities Supported.--Activities that may be supported 
by programs under subsection (b) include promoting actively the 
participation of United States companies and investors in the 
planning, financing, and construction of infrastructure for 
communications, transportation, including air transportation, 
and energy and trade including highways, railroads, port 
facilities, shipping, banking, insurance, telecommunications 
networks, and gas and oil pipelines.

           *       *       *       *       *       *       *

                              ----------                              


       BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT OF 1985

  PART C--EMERGENCY POWERS TO ELIMINATE DEFICITS IN EXCESS OF MAXIMUM 
DEFICIT AMOUNT

           *       *       *       *       *       *       *


SEC. 255. EXEMPT PROGRAMS AND ACTIVITIES.

  (a) Social Security Benefits and Tier I Railroad Retirement 
Benefits.--Benefits payable under the old-age, survivors, and 
disability insurance program established under title II of the 
Social Security Act (42 U.S.C. 401 et seq.), and benefits 
payable under sections 3 and 4 of the Railroad Retirement Act 
of 1937 (45 U.S.C. 231 et seq.), shall be exempt from reduction 
under any order issued under this part.
  (b) Veterans Programs.--The following programs shall be 
exempt from reduction under any order issued under this part:
          All programs administered by the Department of 
        Veterans Affairs.
          Special Benefits for Certain World War II Veterans 
        (28-0401-0-1-701).
  (c) Net Interest.--No reduction of payments for net interest 
(all of major functional category 900) shall be made under any 
order issued under this part.
  (d) Refundable Income Tax Credits.--Payments to individuals 
made pursuant to provisions of the Internal Revenue Code of 
1986 establishing refundable tax credits shall be exempt from 
reduction under any order issued under this part.
  (e) Non-defense Unobligated Balances.--Unobligated balances 
of budget authority carried over from prior fiscal years, 
except balances in the defense category, shall be exempt from 
reduction under any order issued under this part.
  (f) Optional Exemption of Military Personnel.--
          (1) In general.--The President may, with respect to 
        any military personnel account, exempt that account 
        from sequestration or provide for a lower uniform 
        percentage reduction than would otherwise apply.
          (2) Limitation.--The President may not use the 
        authority provided by paragraph (1) unless the 
        President notifies the Congress of the manner in which 
        such authority will be exercised on or before the date 
        specified in section 254(a) for the budget year.
  (g) Other Programs and Activities.--
          (1)(A) The following budget accounts and activities 
        shall be exempt from reduction under any order issued 
        under this part:
                  Activities resulting from private donations, 
                bequests, or voluntary contributions to the 
                Government.
                  Activities financed by voluntary payments to 
                the Government for goods or services to be 
                provided for such payments.
                  Administration of Territories, Northern 
                Mariana Islands Covenant grants (14-0412-0-1-
                808).
                  Advances to the Unemployment Trust Fund and 
                Other Funds (16-0327-0-1-600).
                  Black Lung Disability Trust Fund Refinancing 
                (16-0329-0-1-601).
                  Bonneville Power Administration Fund and 
                borrowing authority established pursuant to 
                section 13 of Public Law 93-454 (1974), as 
                amended (89-4045-0-3-271).
                  Claims, Judgments, and Relief Acts (20-1895-
                0-1-808).
                  Compact of Free Association (14-0415-0-1-
                808).
                  Compensation of the President (11-0209-01-1-
                802).
                  Comptroller of the Currency, Assessment Funds 
                (20-8413-0-8-373).
                  Continuing Fund, Southeastern Power 
                Administration (89-5653-0-2-271).
                  Continuing Fund, Southwestern Power 
                Administration (89-5649-0-2-271).
                  Dual Benefits Payments Account (60-0111-0-1-
                601).
                  Emergency Fund, Western Area Power 
                Administration (89-5069-0-2-271).
                  Exchange Stabilization Fund (20-4444-0-3-
                155).
                  Farm Credit Administration Operating Expenses 
                Fund (78-4131-0-3-351).
                  Farm Credit System Insurance Corporation, 
                Farm Credit Insurance Fund (78-4171-0-3-351).
                  Federal Deposit Insurance Corporation, 
                Deposit Insurance Fund (51-4596-0-4-373).
                  Federal Deposit Insurance Corporation, FSLIC 
                Resolution Fund (51-4065-0-3-373).
                  Federal Deposit Insurance Corporation, 
                Noninterest Bearing Transaction Account 
                Guarantee (51-4458-0-3-373).
                  Federal Deposit Insurance Corporation, Senior 
                Unsecured Debt Guarantee (51-4457-0-3-373).
                  Federal Home Loan Mortgage Corporation 
                (Freddie Mac).
                  Federal Housing Finance Agency, 
                Administrative Expenses (95-5532-0-2-371).
                  Federal National Mortgage Corporation (Fannie 
                Mae).
                  Federal Payment to the District of Columbia 
                Judicial Retirement and Survivors Annuity Fund 
                (20-1713-0-1-752).
                  Federal Payment to the District of Columbia 
                Pension Fund (20-1714-0-1-601).
                  Federal Payments to the Railroad Retirement 
                Accounts (60-0113-0-1-601).
                  Federal Reserve Bank Reimbursement Fund (20-
                1884-0-1-803).
                  Financial Agent Services (20-1802-0-1-803).
                  Foreign Military Sales Trust Fund (11-8242-0-
                7-155).
                  Hazardous Waste Management, Conservation 
                Reserve Program (12-4336-0-3-999).
                  Host Nation Support Fund for Relocation (97-
                8337-0-7-051).
                  Internal Revenue Collections for Puerto Rico 
                (20-5737-0-2-806).
                  Intragovernmental funds, including those from 
                which the outlays are derived primarily from 
                resources paid in from other government 
                accounts, except to the extent such funds are 
                augmented by direct appropriations for the 
                fiscal year during which an order is in effect.
                  Medical Facilities Guarantee and Loan Fund 
                (75-9931-0-3-551).
                  National Credit Union Administration, Central 
                Liquidity Facility (25-4470-0-3-373).
                  National Credit Union Administration, 
                Corporate Credit Union Share Guarantee Program 
                (25-4476-0-3-376).
                  National Credit Union Administration, Credit 
                Union Homeowners Affordability Relief Program 
                (25-4473-0-3-371).
                  National Credit Union Administration, Credit 
                Union Share Insurance Fund (25-4468-0-3-373).
                  National Credit Union Administration, Credit 
                Union System Investment Program (25-4474-0-3-
                376).
                  National Credit Union Administration, 
                Operating fund (25-4056-0-3-373).
                  National Credit Union Administration, Share 
                Insurance Fund Corporate Debt Guarantee Program 
                (25-4469-0-3-376).
                  National Credit Union Administration, U.S. 
                Central Federal Credit Union Capital Program 
                (25-4475-0-3-376).
                  Office of Thrift Supervision (20-4108-0-3-
                373).
                  Panama Canal Commission Compensation Fund 
                (16-5155-0-2-602).
                  Payment of Vietnam and USS Pueblo prisoner-
                of-war claims within the Salaries and Expenses, 
                Foreign Claims Settlement account (15-0100-0-1-
                153).
                  Payment to Civil Service Retirement and 
                Disability Fund (24-0200-0-1-805).
                  Payment to Department of Defense Medicare-
                Eligible Retiree Health Care Fund (97-0850-0-1-
                054).
                  Payment to Judiciary Trust Funds (10-0941-0-
                1-752).
                  Payment to Military Retirement Fund (97-0040-
                0-1-054).
                  Payment to the Foreign Service Retirement and 
                Disability Fund (19-0540-0-1-153).
                  Payments to Copyright Owners (03-5175-0-2-
                376).
                  Payments to Health Care Trust Funds (75-0580-
                0-1-571).
                  Payment to Radiation Exposure Compensation 
                Trust Fund (15-0333-0-1-054).
                  Payments to Social Security Trust Funds (28-
                0404-0-1-651).
                  Payments to the United States Territories, 
                Fiscal Assistance (14-0418-0-1-806).
                  Payments to trust funds from excise taxes or 
                other receipts properly creditable to such 
                trust funds.
                  Payments to widows and heirs of deceased 
                Members of Congress (00-0215-0-1-801).
                  Postal Service Fund (18-4020-0-3-372).
                  Radiation Exposure Compensation Trust Fund 
                (15-8116-0-1-054).
                  Reimbursement to Federal Reserve Banks (20-
                0562-0-1-803).
                  Salaries of Article III judges.
                  Soldiers and Airmen's Home, payment of claims 
                (84-8930-0-7-705).
                  Tennessee Valley Authority Fund, except 
                nonpower programs and activities (64-4110-0-3-
                999).
                  Tribal and Indian trust accounts within the 
                Department of the Interior which fund prior 
                legal obligations of the Government or which 
                are established pursuant to Acts of Congress 
                regarding Federal management of tribal real 
                property or other fiduciary responsibilities, 
                including but not limited to Tribal Special 
                Fund (14-5265-0-2-452), Tribal Trust Fund (14-
                8030-0-7-452), White Earth Settlement (14-2204-
                0-1-452), and Indian Water Rights and Habitat 
                Acquisition (14-5505-0-2-303).
                  United Mine Workers of America 1992 Benefit 
                Plan (95-8260-0-7-551).
                  United Mine Workers of America 1993 Benefit 
                Plan (95-8535-0-7-551).
                  United Mine Workers of America Combined 
                Benefit Fund (95-8295-0-7-551).
                  United States Enrichment Corporation Fund 
                (95-4054-0-3-271).
                  Universal Service Fund (27-5183-0-2-376).
                  Vaccine Injury Compensation (75-0320-0-1-
                551).
                  Vaccine Injury Compensation Program Trust 
                Fund (20-8175-0-7-551).
          (B) The following Federal retirement and disability 
        accounts and activities shall be exempt from reduction 
        under any order issued under this part:
                  Black Lung Disability Trust Fund (20-8144-0-
                7-601).
                  Central Intelligence Agency Retirement and 
                Disability System Fund (56-3400-0-1-054).
                  Civil Service Retirement and Disability Fund 
                (24-8135-0-7-602).
                  Comptrollers general retirement system (05-
                0107-0-1-801).
                  Contributions to U.S. Park Police annuity 
                benefits, Other Permanent Appropriations (14-
                9924-0-2-303).
                  Court of Appeals for Veterans Claims 
                Retirement Fund (95-8290-0-7-705).
                  Department of Defense Medicare-Eligible 
                Retiree Health Care Fund (97-5472-0-2-551).
                  District of Columbia Federal Pension Fund 
                (20-5511-0-2-601).
                  District of Columbia Judicial Retirement and 
                Survivors Annuity Fund (20-8212-0-7-602).
                  Energy Employees Occupational Illness 
                Compensation Fund (16-1523-0-1-053).
                  Foreign National Employees Separation Pay 
                (97-8165-0-7-051).
                  Foreign Service National Defined 
                Contributions Retirement Fund (19-5497-0-2-
                602).
                  Foreign Service National Separation Liability 
                Trust Fund (19-8340-0-7-602).
                  Foreign Service Retirement and Disability 
                Fund (19-8186-0-7-602).
                  Government Payment for Annuitants, Employees 
                Health Benefits (24-0206-0-1-551).
                  Government Payment for Annuitants, Employee 
                Life Insurance (24-0500-0-1-602).
                  Judicial Officers' Retirement Fund (10-8122-
                0-7-602).
                  Judicial Survivors' Annuities Fund (10-8110-
                0-7-602).
                  Military Retirement Fund (97-8097-0-7-602).
                  National Railroad Retirement Investment Trust 
                (60-8118-0-7-601).
                  National Oceanic and Atmospheric 
                Administration retirement (13-1450-0-1-306).
                  Pensions for former Presidents (47-0105-0-1-
                802).
                  Postal Service Retiree Health Benefits Fund 
                (24-5391-0-2-551).
                  Public Safety Officer Benefits (15-0403-0-1-
                754).
                  Rail Industry Pension Fund (60-8011-0-7-601).
                  Retired Pay, Coast Guard (70-0602-0-1-403).
                  Retirement Pay and Medical Benefits for 
                Commissioned Officers, Public Health Service 
                (75-0379-0-1-551).
                  September 11th Victim Compensation Fund (15-
                0340-0-1-754).
                  Special Benefits for Disabled Coal Miners 
                (16-0169-0-1-601).
                  Special Benefits, Federal Employees' 
                Compensation Act (16-1521-0-1-600).
                  Special Workers Compensation Expenses (16-
                9971-0-7-601).
                  Tax Court Judges Survivors Annuity Fund (23-
                8115-0-7-602).
                  United States Court of Federal Claims Judges' 
                Retirement Fund (10-8124-0-7-602).
                  United States Secret Service, DC Annuity (70-
                0400-0-1-751).
                  Victims Compensation Fund established under 
                section 410 of the Air Transportation Safety 
                and System Stabilization Act (49 U.S.C. 40101 
                note).
                  United States Victims of State Sponsored 
                Terrorism Fund.
                  Voluntary Separation Incentive Fund (97-8335-
                0-7-051).
                  World Trade Center Health Program Fund (75-
                0946-0-1-551).
          (2) Prior legal obligations of the Government in the 
        following budget accounts and activities shall be 
        exempt from any order issued under this part:
                  Biomass Energy Development (20-0114-0-1-271).
                  Check Forgery Insurance Fund (20-4109-0-3-
                803).
                  Credit liquidating accounts.
                  Credit reestimates.
                  Employees Life Insurance Fund (24-8424-0-8-
                602).
                  Federal Aviation Insurance Revolving Fund 
                (69-4120-0-3-402).
                  Federal Crop Insurance Corporation Fund (12-
                4085-0-3-351).
                  Federal Emergency Management Agency, National 
                Flood Insurance Fund (58-4236-0-3-453).
                  Geothermal resources development fund (89-
                0206-0-1-271).
                  Low-Rent Public Housing--Loans and Other 
                Expenses (86-4098-0-3-604).
                  Maritime Administration, War Risk Insurance 
                Revolving Fund (69-4302-0-3-403).
                  Natural Resource Damage Assessment Fund (14-
                1618-0-1-302).
                   [Overseas Private Investment Corporation, 
                Noncredit Account (71-4184-0-3-151).] United 
                States International Development Finance 
                Corporation.
                  Pension Benefit Guaranty Corporation Fund 
                (16-4204-0-3-601).
                  San Joaquin Restoration Fund (14-5537-0-2-
                301).
                  Servicemembers' Group Life Insurance Fund 
                (36-4009-0-3-701).
                  Terrorism Insurance Program (20-0123-0-1-
                376).
  (h) Low-income Programs.--The following programs shall be 
exempt from reduction under any order issued under this part:
          Academic Competitiveness/Smart Grant Program (91-
        0205-0-1-502).
          Child Care Entitlement to States (75-1550-0-1-609).
          Child Enrollment Contingency Fund (75-5551-0-2-551).
          Child Nutrition Programs (with the exception of 
        special milk programs) (12-3539-0-1-605).
          Children's Health Insurance Fund (75-0515-0-1-551).
          Commodity Supplemental Food Program (12-3507-0-1-
        605).
          Contingency Fund (75-1522-0-1-609).
          Family Support Programs (75-1501-0-1-609).
          Federal Pell Grants under section 401 of title IV of 
        the Higher Education Act.
          Grants to States for Medicaid (75-0512-0-1-551).
          Payments for Foster Care and Permanency (75-1545-0-1-
        609).
          Supplemental Nutrition Assistance Program (12-3505-0-
        1-605).
          Supplemental Security Income Program (28-0406-0-1-
        609).
          Temporary Assistance for Needy Families (75-1552-0-1-
        609).
  (i) Economic Recovery Programs.--The following programs shall 
be exempt from reduction under any order issued under this 
part:
          GSE Preferred Stock Purchase Agreements (20-0125-0-1-
        371).
          Office of Financial Stability (20-0128-0-1-376).
          Special Inspector General for the Troubled Asset 
        Relief Program (20-0133-0-1-376).
  (j) Split Treatment Programs.--Each of the following programs 
shall be exempt from any order under this part to the extent 
that the budgetary resources of such programs are subject to 
obligation limitations in appropriations bills:
  Federal-Aid Highways (69-8083-0-7-401).
  Highway Traffic Safety Grants (69-8020-0-7-401).
  Operations and Research NHTSA and National Driver Register 
(69-8016-0-7-401).
  Motor Carrier Safety Operations and Programs (69-8159-0-7-
401).
  Motor Carrier Safety Grants (69-8158-0-7-401).
  Formula and Bus Grants (69-8350-0-7-401).
  Grants-In-Aid for Airports (69-8106-0-7-402).
  (k) Identification of Programs.--For purposes of subsections 
(b), (g), and (h), each account is identified by the designated 
budget account identification code number set forth in the 
Budget of the United States Government 2010-Appendix, and an 
activity within an account is designated by the name of the 
activity and the identification code number of the account.

           *       *       *       *       *       *       *

                              ----------                              


                           SMALL BUSINESS ACT



           *       *       *       *       *       *       *
SEC. 22. OFFICE OF INTERNATIONAL TRADE.

  (a) Establishment.--
          (1) Office.--There is established within the 
        Administration an Office of International Trade which 
        shall implement the programs pursuant to this section 
        for the primary purposes of increasing--
                  (A) the number of small business concerns 
                that export; and
                  (B) the volume of exports by small business 
                concerns.
          (2) Associate administrator.--The head of the Office 
        shall be the Associate Administrator for International 
        Trade, who shall be responsible to the Administrator.
  (b) Trade Distribution Network.--The Associate Administrator, 
working in close cooperation with the Secretary of Commerce, 
the United States Trade Representative, the Secretary of 
Agriculture, the Secretary of State, the President of the 
Export-Import Bank of the United States, [the President of the 
Overseas Private Investment Corporation, Director] the Board of 
Directors of the United States International Development 
Finance Corporation, the Director of the United States Trade 
and Development Agency, and other relevant Federal agencies, 
small business development centers engaged in export promotion 
efforts, Export Assistance Centers, regional and district 
offices of the Administration, the small business community, 
and relevant State and local export promotion programs, shall--
          (1) maintain a distribution network, using regional 
        and district offices of the Administration, the small 
        business development center network, networks of 
        women's business centers, the Service Corps of Retired 
        Executives authorized by section 8(b)(1), and Export 
        Assistance Centers, for programs relating to--
                  (A) trade promotion;
                  (B) trade finance;
                  (C) trade adjustment assistance;
                  (D) trade remedy assistance; and
                  (E) trade data collection;
          (2) aggressively market the programs described in 
        paragraph (1) and disseminate information, including 
        computerized marketing data, to small business concerns 
        on exporting trends, market-specific growth, industry 
        trends, and international prospects for exports;
          (3) promote export assistance programs through the 
        district and regional offices of the Administration, 
        the small business development center network, Export 
        Assistance Centers, the network of women's business 
        centers, chapters of the Service Corps of Retired 
        Executives, State and local export promotion programs, 
        and partners in the private sector; and
          (4) give preference in hiring or approving the 
        transfer of any employee into the Office or to a 
        position described in subsection (c)(9) to otherwise 
        qualified applicants who are fluent in a language in 
        addition to English, to--
                  (A) accompany small business concerns on 
                foreign trade missions; and
                  (B) translate documents, interpret 
                conversations, and facilitate multilingual 
                transactions, including by providing referral 
                lists for translation services, if required.
  (c) Promotion of Sales Opportunities.--The Associate 
Administrator shall promote sales opportunities for small 
business goods and services abroad. To accomplish this 
objective the office shall--
          (1) establish annual goals for the Office relating 
        to--
                  (A) enhancing the exporting capability of 
                small business concerns and small 
                manufacturers;
                  (B) facilitating technology transfers;
                  (C) enhancing programs and services to assist 
                small business concerns and small manufacturers 
                to compete effectively and efficiently in 
                foreign markets;
                  (D) increasing the ability of small business 
                concerns to access capital; and
                  (E) disseminating information concerning 
                Federal, State, and private programs and 
                initiatives;
          (2) in cooperation with the Department of Commerce, 
        other relevant agencies, regional and local 
        Administration offices, the Small Business Development 
        Center network, and State programs, develop a mechanism 
        for--
                  (A) identifying subsectors of the small 
                business community with strong export 
                potential;
                  (B) identifying areas of demand in foreign 
                markets;
                  (C) prescreening foreign buyers for 
                commercial and credit purposes; and
                  (D) assisting in increasing international 
                marketing by disseminating relevant information 
                regarding market leads, linking potential 
                sellers and buyers, and catalyzing the 
                formation of joint ventures, where appropriate;
          (3) in cooperation with the Department of Commerce, 
        actively assist small business concerns in forming and 
        using export trading companies, export management 
        companies and research and development pools authorized 
        under section 9 of this Act;
          (4) work in conjunction with other Federal agencies, 
        regional and district offices of the Administration, 
        the small business development center network, and the 
        private sector to identify and publicize translation 
        services, including those available through colleges 
        and universities participating in the small business 
        development center program;
          (5) work closely with the Department of Commerce and 
        other relevant Federal agencies to--
                  (A) collect, analyze and periodically update 
                relevant data regarding the small business 
                share of United States exports and the nature 
                of State exports (including the production of 
                Gross State Product figures) and disseminate 
                that data to the public and to Congress;
                  (B) make recommendations to the Secretary of 
                Commerce and to Congress regarding revision of 
                the North American Industry Classification 
                System codes to encompass industries currently 
                overlooked and to create North American 
                Industry Classification System codes for export 
                trading companies and export management 
                companies;
                  (C) improve the utility and accessibility of 
                existing export promotion programs for small 
                business concerns; and
                  (D) increase the accessibility of the Export 
                Trading Company contact facilitation service;
          (6) make available to the small business community 
        information regarding conferences on exporting and 
        international trade sponsored by the public and private 
        sector;
          (7) provide small business concerns with access to up 
        to date and complete export information by--
                  (A) making available, at the regional and 
                district offices of the Administration through 
                cooperation with the Department of Commerce, 
                export information, including, but not limited 
                to, the worldwide information and trade system 
                and world trade data reports;
                  (B) maintaining a list of financial 
                institutions that finance export operations;
                  (C) maintaining a directory of all Federal, 
                regional, State and private sector programs 
                that provide export information and assistance 
                to small business concerns; and
                  (D) preparing and publishing such reports as 
                it determines to be necessary concerning market 
                conditions, sources of financing, export 
                promotion programs, and other information 
                pertaining to the needs of small business 
                export firms so as to insure that the maximum 
                information is made available to small business 
                concerns in a readily usable form;
          (8) encourage through cooperation with the Department 
        of Commerce, greater small business participation in 
        trade fairs, shows, missions, and other domestic and 
        overseas export development activities of the 
        Department of Commerce;
          (9) facilitate decentralized delivery of export 
        information and assistance to small business concerns 
        by assigning primary responsibility for export 
        development to one individual in each district office 
        and providing each Administration regional office with 
        a full-time export development specialist, who shall--
                  (A) assist small business concerns in 
                obtaining export information and assistance 
                from other Federal departments and agencies;
                  (B) maintain a directory of all programs 
                which provide export information and assistance 
                to small business concerns in the region;
                  (C) encourage financial institutions to 
                develop and expand programs for export 
                financing;
                  (D) provide advice to personnel of the 
                Administration involved in making loans, loan 
                guarantees, and extensions and revolving lines 
                of credit, and providing other forms of 
                assistance to small business concerns engaged 
                in exports;
                  (E) within one hundred and eighty days of 
                their appointment, participate in training 
                programs designed by the Administrator, in 
                conjunction with the Department of Commerce and 
                other Federal departments and agencies, to 
                study export programs and to examine the needs 
                of small business concerns for export 
                information and assistance;
                  (F) participate, jointly with employees of 
                the Office, in an annual training program that 
                focuses on current small business needs for 
                exporting; and
                  (G) develop and conduct training programs for 
                exporters and lenders, in cooperation with the 
                Export Assistance Centers, the Department of 
                Commerce, the Department of Agriculture, small 
                business development centers, women's business 
                centers, the Export-Import Bank of the United 
                States, the [Overseas Private Investment 
                Corporation] United States International 
                Development Finance Corporation, and other 
                relevant Federal agencies;
          (10) make available on the website of the 
        Administration the name and contact information of each 
        individual described in paragraph (9);
          (11) carry out a nationwide marketing effort using 
        technology, online resources, training, and other 
        strategies to promote exporting as a business 
        development opportunity for small business concerns;
          (12) disseminate information to the small business 
        community through regional and district offices of the 
        Administration, the small business development center 
        network, Export Assistance Centers, the network of 
        women's business centers, chapters of the Service Corps 
        of Retired Executives authorized by section 8(b)(1), 
        State and local export promotion programs, and partners 
        in the private sector regarding exporting trends, 
        market-specific growth, industry trends, and prospects 
        for exporting; and
          (13) establish and carry out training programs for 
        the staff of the regional and district offices of the 
        Administration and resource partners of the 
        Administration on export promotion and providing 
        assistance relating to exports.
  (d) Export Financing Programs.--
          (1) In general.--The Associate Administrator shall 
        work in cooperation with the Export-Import Bank of the 
        United States, the Department of Commerce, other 
        relevant Federal agencies, and the States to develop a 
        program through which export specialists in the 
        regional offices of the Administration, regional and 
        local loan officers, and Small Business Development 
        Center personnel can facilitate the access of small 
        businesses to relevant export financing programs of the 
        Export-Import Bank of the United States and to export 
        and pre-export financing programs available from the 
        Administration and the private sector.
          (2) Trade finance specialist.--To accomplish the goal 
        established under paragraph (1), the Associate 
        Administrator shall--
                  (A) designate at least 1 individual within 
                the Administration as a trade finance 
                specialist to oversee international loan 
                programs and assist Administration employees 
                with trade finance issues; and
                  (B) work in cooperation with the Export-
                Import Bank and the small business community, 
                including small business trade associations, 
                to--
                          (i) aggressively market existing 
                        Administration export financing and 
                        pre-export financing programs;
                          (ii) identify financing available 
                        under various Export-Import Bank 
                        programs, and aggressively market those 
                        programs to small businesses;
                          (iii) assist in the development of 
                        financial intermediaries and facilitate 
                        the access of those intermediaries to 
                        existing financing programs;
                          (iv) promote greater participation by 
                        private financial institutions, 
                        particularly those institutions already 
                        participating in loan programs under 
                        this Act, in export finance; and
                          (v) provide for the participation of 
                        appropriate Administration personnel in 
                        training programs conducted by the 
                        Export-Import Bank.
  (e) Trade Remedies.--The Associate Administrator shall--
          (1) work in cooperation with other Federal agencies 
        and the private sector to counsel small businesses with 
        respect to initiating and participating in any 
        proceedings relating to the administration of the 
        United States trade laws; and
          (2) work with the Department of Commerce, the Office 
        of the United States Trade Representative, and the 
        International Trade Commission to increase access to 
        trade remedy proceedings for small businesses.
  (f) Reporting Requirement.--The Associate Administrator shall 
submit an annual report to the Committee on Small Business and 
Entrepreneurship of the Senate and the Committee on Small 
Business of the House of Representatives that contains--
          (1) a description of the progress of the Office in 
        implementing the requirements of this section;
          (2) a detailed account of the results of export 
        growth activities of the Administration, including the 
        activities of each district and regional office of the 
        Administration, based on the performance measures 
        described in subsection (i);
          (3) an estimate of the total number of jobs created 
        or retained as a result of export assistance provided 
        by the Administration and resource partners of the 
        Administration;
          (4) for any travel by the staff of the Office, the 
        destination of such travel and the benefits to the 
        Administration and to small business concerns resulting 
        from such travel; and
          (5) a description of the participation by the Office 
        in trade negotiations.
  (g) Studies.--The Associate Administrator, in cooperation, 
where appropriate, with the Division of Economic Research of 
the Office of Advocacy, and with other Federal agencies, shall 
undertake studies regarding the following issues and shall 
report to the Committees on Small Business of the House of 
Representatives and the Senate, and to other relevant 
Committees of the House and Senate within 6 months after the 
date of enactment of the Small Business International Trade and 
Competitiveness Act with specific recommendations on--
          (1) the viability and cost of establishing an annual, 
        competitive small business export incentive program 
        similar to the Small Business Innovation Research 
        program and alternative methods of structuring such a 
        program;
          (2) methods of streamlining trade remedy proceedings 
        to increase access for, and reduce expenses incurred 
        by, smaller firms;
          (3) methods of improving the current small business 
        foreign sales corporation tax incentives and providing 
        small businesses with greater benefits from this 
        initiative;
          (4) methods of identifying potential export markets 
        for United States small businesses; maintaining and 
        disseminating current foreign market data; and devising 
        a comprehensive export marketing strategy for United 
        States small business goods and services, and shall 
        include data on the volume and dollar amount of goods 
        and services, identified by type, imported by United 
        States trading partners over the past 10 years; and
          (5) the results of a survey of major United States 
        trading partners to identify the domestic policies, 
        programs and incentives, and the private sector 
        initiatives, which exist to encourage the formation and 
        growth of small business.
  (h) Discharge of International Trade Responsibilities of 
Administration.--The Administrator shall ensure that--
          (1) the responsibilities of the Administration 
        regarding international trade are carried out by the 
        Associate Administrator;
          (2) the Associate Administrator has sufficient 
        resources to carry out such responsibilities; and
          (3) the Associate Administrator has direct 
        supervision and control over--
                  (A) the staff of the Office; and
                  (B) any employee of the Administration whose 
                principal duty station is an Export Assistance 
                Center, or any successor entity.
  (i) Export and Trade Counseling.--
          (1) Definition.--In this subsection--
                  (A) the term ``lead small business 
                development center'' means a small business 
                development center that has received a grant 
                from the Administration; and
                  (B) the term ``lead women's business center'' 
                means a women's business center that has 
                received a grant from the Administration.
          (2) Certification program.--The Administrator shall 
        establish an export and trade counseling certification 
        program to certify employees of lead small business 
        development centers and lead women's business centers 
        in providing export assistance to small business 
        concerns.
          (3) Number of certified employees.--The Administrator 
        shall ensure that the number of employees of each lead 
        small business development center who are certified in 
        providing export assistance is not less than the lesser 
        of--
                  (A) 5; or
                  (B) 10 percent of the total number of 
                employees of the lead small business 
                development center.
          (4) Reimbursement for certification.--
                  (A) In general.--Subject to the availability 
                of appropriations, the Administrator shall 
                reimburse a lead small business development 
                center or a lead women's business center for 
                costs relating to the certification of an 
                employee of the lead small business center or 
                lead women's business center in providing 
                export assistance under the program established 
                under paragraph (2).
                  (B) Limitation.--The total amount reimbursed 
                by the Administrator under subparagraph (A) may 
                not exceed $350,000 in any fiscal year.
  (j) Performance Measures.--
          (1) In general.--The Associate Administrator shall 
        develop performance measures for the Administration to 
        support export growth goals for the activities of the 
        Office under this section that include--
                  (A) the number of small business concerns 
                that--
                          (i) receive assistance from the 
                        Administration;
                          (ii) had not exported goods or 
                        services before receiving the 
                        assistance described in clause (i); and
                          (iii) export goods or services;
                  (B) the number of small business concerns 
                receiving assistance from the Administration 
                that export goods or services to a market 
                outside the United States into which the small 
                business concern did not export before 
                receiving the assistance;
                  (C) export revenues by small business 
                concerns assisted by programs of the 
                Administration;
                  (D) the number of small business concerns 
                referred to an Export Assistance Center or a 
                small business development center by the staff 
                of the Office;
                  (E) the number of small business concerns 
                referred to the Administration by an Export 
                Assistance Center or a small business 
                development center; and
                  (F) the number of small business concerns 
                referred to the Department of Commerce, the 
                Department of Agriculture, the Department of 
                State, the Export-Import Bank of the United 
                States, the [Overseas Private Investment 
                Corporation] United States International 
                Development Finance Corporation, or the United 
                States Trade and Development Agency by the 
                staff of the Office, an Export Assistance 
                Center, or a small business development center.
          (2) Joint performance measures.--The Associate 
        Administrator shall develop joint performance measures 
        for the district offices of the Administration and the 
        Export Assistance Centers that include the number of 
        export loans made under--
                  (A) section 7(a)(16);
                  (B) the Export Working Capital Program 
                established under section 7(a)(14);
                  (C) the Preferred Lenders Program, as defined 
                in section 7(a)(2)(C)(ii); and
                  (D) the export express program established 
                under section 7(a)(34).
          (3) Consistency of tracking.--The Associate 
        Administrator, in coordination with the departments and 
        agencies that are represented on the Trade Promotion 
        Coordinating Committee established under section 2312 
        of the Export Enhancement Act of 1988 (15 U.S.C. 4727) 
        and the small business development center network, 
        shall develop a system to track exports by small 
        business concerns, including information relating to 
        the performance measures developed under paragraph (1), 
        that is consistent with systems used by the departments 
        and agencies and the network.
  (k) Export Assistance Centers.--
          (1) Export finance specialists.--
                  (A) Minimum number of export finance 
                specialists.--On and after the date that is 90 
                days after the date of enactment of this 
                subsection, the Administrator, in coordination 
                with the Secretary of Commerce, shall ensure 
                that the number of export finance specialists 
                is not less than the number of such employees 
                so assigned on January 1, 2003.
                  (B) Export finance specialists assigned to 
                each region of the administration.--On and 
                after the date that is 2 years after the date 
                of enactment of this subsection, the 
                Administrator, in coordination with the 
                Secretary of Commerce, shall ensure that there 
                are not fewer than 3 export finance specialists 
                in each region of the Administration.
          (2) Placement of export finance specialists.--
                  (A) Priority.--The Administrator shall give 
                priority, to the maximum extent practicable, to 
                placing employees of the Administration at any 
                Export Assistance Center that--
                          (i) had an Administration employee 
                        assigned to the Export Assistance 
                        Center before January 2003; and
                          (ii) has not had an Administration 
                        employee assigned to the Export 
                        Assistance Center during the period 
                        beginning January 2003, and ending on 
                        the date of enactment of this 
                        subsection, either through retirement 
                        or reassignment.
                  (B) Needs of exporters.--The Administrator 
                shall, to the maximum extent practicable, 
                strategically assign Administration employees 
                to Export Assistance Centers, based on the 
                needs of exporters.
                  (C) Rule of construction.--Nothing in this 
                subsection may be construed to require the 
                Administrator to reassign or remove an export 
                finance specialist who is assigned to an Export 
                Assistance Center on the date of enactment of 
                this subsection.
          (3) Goals.--The Associate Administrator shall work 
        with the Department of Commerce, the Export-Import Bank 
        of the United States, and the [Overseas Private 
        Investment Corporation] United States International 
        Development Finance Corporation to establish shared 
        annual goals for the Export Assistance Centers.
          (4) Oversight.--The Associate Administrator shall 
        designate an individual within the Administration to 
        oversee all activities conducted by Administration 
        employees assigned to Export Assistance Centers.
  (l) State Trade Expansion Program.--
          (1) Definitions.--In this subsection--
                  (A) the term ``eligible small business 
                concern'' means a business concern that--
                          (i) is organized or incorporated in 
                        the United States;
                          (ii) is operating in the United 
                        States;
                          (iii) meets--
                                  (I) the applicable industry-
                                based small business size 
                                standard established under 
                                section 3; or
                                  (II) the alternate size 
                                standard applicable to the 
                                program under section 7(a) of 
                                this Act and the loan programs 
                                under title V of the Small 
                                Business Investment Act of 1958 
                                (15 U.S.C. 695 et seq.);
                          (iv) has been in business for not 
                        less than 1 year, as of the date on 
                        which assistance using a grant under 
                        this subsection commences; and
                          (v) has access to sufficient 
                        resources to bear the costs associated 
                        with trade, including the costs of 
                        packing, shipping, freight forwarding, 
                        and customs brokers;
                  (B) the term ``program'' means the State 
                Trade Expansion Program established under 
                paragraph (2);
                  (C) the term ``rural small business concern'' 
                means an eligible small business concern 
                located in a rural area, as that term is 
                defined in section 1393(a)(2) of the Internal 
                Revenue Code of 1986;
                  (D) the term ``socially and economically 
                disadvantaged small business concern'' has the 
                meaning given that term in section 8(a)(4)(A) 
                of the Small Business Act (15 U.S.C. 
                637(a)(4)(A)); and
                  (E) the term ``State'' means each of the 
                several States, the District of Columbia, the 
                Commonwealth of Puerto Rico, the Virgin 
                Islands, Guam, the Commonwealth of the Northern 
                Mariana Islands, and American Samoa.
          (2) Establishment of program.--The Associate 
        Administrator shall establish a trade expansion 
        program, to be known as the ``State Trade Expansion 
        Program'', to make grants to States to carry out 
        programs that assist eligible small business concerns 
        in--
                  (A) participation in foreign trade missions;
                  (B) a subscription to services provided by 
                the Department of Commerce;
                  (C) the payment of website fees;
                  (D) the design of marketing media;
                  (E) a trade show exhibition;
                  (F) participation in training workshops;
                  (G) a reverse trade mission;
                  (H) procurement of consultancy services 
                (after consultation with the Department of 
                Commerce to avoid duplication); or
                  (I) any other initiative determined 
                appropriate by the Associate Administrator.
          (3) Grants.--
                  (A) Joint review.--In carrying out the 
                program, the Associate Administrator may make a 
                grant to a State to increase the number of 
                eligible small business concerns in the State 
                exploring significant new trade opportunities.
                  (B) Considerations.--In making grants under 
                this subsection, the Associate Administrator 
                may give priority to an application by a State 
                that proposes a program that--
                          (i) focuses on eligible small 
                        business concerns as part of a trade 
                        expansion program;
                          (ii) demonstrates intent to promote 
                        trade expansion by--
                                  (I) socially and economically 
                                disadvantaged small business 
                                concerns;
                                  (II) small business concerns 
                                owned or controlled by women; 
                                and
                                  (III) rural small business 
                                concerns;
                          (iii) promotes trade facilitation 
                        from a State that is not 1 of the 10 
                        States with the highest percentage of 
                        eligible small business concerns that 
                        are engaged in international trade, 
                        based upon the most recent data from 
                        the Department of Commerce; and
                          (iv) includes--
                                  (I) activities which have 
                                resulted in the highest return 
                                on investment based on the most 
                                recent year; and
                                  (II) the adoption of shared 
                                best practices included in the 
                                annual report of the 
                                Administration.
                  (C) Limitations.--
                          (i) Single application.--A State may 
                        not submit more than 1 application for 
                        a grant under the program in any 1 
                        fiscal year.
                          (ii) Proportion of amounts.--The 
                        total value of grants made under the 
                        program during a fiscal year to the 10 
                        States with the highest percentage of 
                        eligible small business concerns, based 
                        upon the most recent data available 
                        from the Department of Commerce, shall 
                        be not more than 40 percent of the 
                        amounts appropriated for the program 
                        for that fiscal year.
                          (iii) Duration.--The Associate 
                        Administrator shall award a grant under 
                        this program for a period of not more 
                        than 2 years.
                  (D) Application.--
                          (i) In general.--A State desiring a 
                        grant under the program shall submit an 
                        application at such time, in such 
                        manner, and accompanied by such 
                        information as the Associate 
                        Administrator may establish.
                          (ii) Consultation to reduce 
                        duplication.--A State desiring a grant 
                        under the program shall--
                                  (I) before submitting an 
                                application under clause (i), 
                                consult with applicable trade 
                                agencies of the Federal 
                                Government on the scope and 
                                mission of the activities the 
                                State proposes to carry out 
                                using the grant, to ensure 
                                proper coordination and reduce 
                                duplication in services; and
                                  (II) document the 
                                consultation conducted under 
                                subclause (I) in the 
                                application submitted under 
                                clause (i).
          (4) Competitive basis.--The Associate Administrator 
        shall award grants under the program on a competitive 
        basis.
          (5) Federal share.--The Federal share of the cost of 
        a trade expansion program carried out using a grant 
        under the program shall be--
                  (A) for a State that has a high trade volume, 
                as determined by the Associate Administrator, 
                not more than 65 percent; and
                  (B) for a State that does not have a high 
                trade volume, as determined by the Associate 
                Administrator, not more than 75 percent.
          (6) Non-federal share.--The non-Federal share of the 
        cost of a trade expansion program carried out using a 
        grant under the program shall be comprised of not less 
        than 50 percent cash and not more than 50 percent of 
        indirect costs and in-kind contributions, except that 
        no such costs or contributions may be derived from 
        funds from any other Federal program.
          (7) Reports.--
                  (A) Initial report.--Not later than 120 days 
                after the date of enactment of this subsection, 
                the Associate Administrator shall submit to the 
                Committee on Small Business and 
                Entrepreneurship of the Senate and the 
                Committee on Small Business of the House of 
                Representatives a report, which shall include--
                          (i) a description of the structure of 
                        and procedures for the program;
                          (ii) a management plan for the 
                        program; and
                          (iii) a description of the merit-
                        based review process to be used in the 
                        program.
                  (B) Annual reports.--
                          (i) In general.--The Associate 
                        Administrator shall publish on the 
                        website of the Administration an annual 
                        report regarding the program, which 
                        shall include--
                                  (I) the number and amount of 
                                grants made under the program 
                                during the preceding year;
                                  (II) a list of the States 
                                receiving a grant under the 
                                program during the preceding 
                                year, including the activities 
                                being performed with each 
                                grant;
                                  (III) the effect of each 
                                grant on the eligible small 
                                business concerns in the State 
                                receiving the grant;
                                  (IV) the total return on 
                                investment for each State; and
                                  (V) a description of best 
                                practices by States that showed 
                                high returns on investment and 
                                significant progress in helping 
                                more eligible small business 
                                concerns.
                          (ii) Notice to congress.--On the date 
                        on which the Associate Administrator 
                        publishes a report under clause (i), 
                        the Associate Administrator shall 
                        notify the Committee on Small Business 
                        and Entrepreneurship of the Senate and 
                        the Committee on Small Business of the 
                        House of Representatives that the 
                        report has been published.
          (8) Reviews by inspector general.--
                  (A) In general.--The Inspector General of the 
                Administration shall conduct a review of--
                          (i) the extent to which recipients of 
                        grants under the program are measuring 
                        the performance of the activities being 
                        conducted and the results of the 
                        measurements; and
                          (ii) the overall management and 
                        effectiveness of the program.
                  (B) Reports.--
                          (i) Pilot program.--Not later than 6 
                        months after the date of enactment of 
                        this subsection, the Inspector General 
                        of the Administration shall submit to 
                        the Committee on Small Business and 
                        Entrepreneurship of the Senate and the 
                        Committee on Small Business of the 
                        House of Representatives a report 
                        regarding the use of amounts made 
                        available under the State Trade and 
                        Export Promotion Grant Program under 
                        section 1207 of the Small Business Jobs 
                        Act of 2010 (15 U.S.C. 649b note).
                          (ii) New step program.--Not later 
                        than 18 months after the date on which 
                        the first grant is awarded under this 
                        subsection, the Inspector General of 
                        the Administration shall submit to the 
                        Committee on Small Business and 
                        Entrepreneurship of the Senate and the 
                        Committee on Small Business of the 
                        House of Representatives a report 
                        regarding the review conducted under 
                        subparagraph (A).
          (9) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out the program 
        $30,000,000 for each of fiscal years 2016 through 2020.
  (m) Definitions.--In this section--
          (1) the term ``Associate Administrator'' means the 
        Associate Administrator for International Trade 
        described in subsection (a)(2);
          (2) the term ``Export Assistance Center'' means a 
        one-stop shop for United States exporters established 
        by the United States and Foreign Commercial Service of 
        the Department of Commerce pursuant to section 
        2301(b)(8) of the Omnibus Trade and Competitiveness Act 
        of 1988 (15 U.S.C. 4721(b)(8));
          (3) the term ``export finance specialist'' means a 
        full-time equivalent employee of the Office assigned to 
        an Export Assistance Center to carry out the duties 
        described in subsection (e); and
          (4) the term ``Office'' means the Office of 
        International Trade established under subsection 
        (a)(1).

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                              ----------                              


                     EXPORT ENHANCEMENT ACT OF 1988

                      TITLE II--EXPORT ENHANCEMENT

SEC. 2001. SHORT TITLE.

  This title may be referred to as the ``Export Enhancement Act 
of 1988''.

           *       *       *       *       *       *       *


Subtitle C--Export Promotion

           *       *       *       *       *       *       *


SEC. 2301. UNITED STATES AND FOREIGN COMMERCIAL SERVICE.

  (a) Establishment.--
          (1) In general.--The Secretary of Commerce shall 
        establish, within the International Trade 
        Administration, the United States and Foreign 
        Commercial Service. The Secretary shall, to the 
        greatest extent practicable, transfer to the Commercial 
        Service the functions and personnel of the United 
        States and Foreign Commercial Services.
          (2) Assistants Secretary of commerce and director 
        general; other personnel.--The head of the Commercial 
        Service shall be the Assistant Secretary of Commerce 
        and Director General of the Commercial Service, who 
        shall be appointed by the President, by and with the 
        advice and consent of the Senate. The Assistant 
        Secretary of Commerce and Director General of the 
        Commercial Service may appoint Commercial Service 
        Officers and such other personnel as may be necessary 
        to carry out the activities of the Commercial Service.
          (3) Coordination with foreign policy objectives.--The 
        Secretary shall take the necessary steps to ensure that 
        the activities of the Commercial Service are carried 
        out in a manner consistent with United States foreign 
        policy objectives, and the Secretary shall consult 
        regularly with the Secretary of State in order to 
        comply with this paragraph.
          (4) Authority of chief of mission.--All activities of 
        the Commercial Service shall be subject to section 207 
        of the Foreign Service Act of 1980 (22 U.S.C. 3927).
  (b) Statement of Purpose.--The Commercial Service shall place 
primary emphasis on the promotion of exports of goods and 
services from the United States, particularly by small 
businesses and medium-sized businesses, and on the protection 
of United States business interests abroad by carrying out 
activities such as--
          (1) identifying United States businesses with the 
        potential to export goods and services and providing 
        such businesses with advice and information on 
        establishing export businesses;
          (2) providing United States exporters with 
        information on economic conditions, market 
        opportunities, the status of the intellectual property 
        system in such country, and the legal and regulatory 
        environment within foreign countries;
          (3) providing United States exporters with 
        information and advice on the necessary adaptation of 
        product design and marketing strategy to meet the 
        differing cultural and technical requirements of 
        foreign countries;
          (4) providing United States exporters with actual 
        leads and an introduction to contacts within foreign 
        countries;
          (5) assisting United States exporters in locating 
        reliable sources of business services in foreign 
        countries;
          (6) assisting United States exporters in their 
        dealings with foreign governments and enterprises owned 
        by foreign governments;
          (7) assisting the coordination of the efforts of 
        State and local agencies and private organizations 
        which seek to promote United States business interests 
        abroad so as to maximize their effectiveness and 
        minimize the duplication of efforts;
          (8) utilizing district and foreign offices as one-
        stop shops for United States exporters by providing 
        exporters with information on all export promotion and 
        export finance activities of the Federal Government, 
        assisting exporters in identifying which Federal 
        programs may be of greatest assistance, and assisting 
        exporters in making contact with the Federal programs 
        identified; and
          (9) providing United States exporters and export 
        finance institutions with information on all financing 
        and insurance programs of the Export-Import Bank of the 
        United States, the [Overseas Private Investment 
        Corporation] United States International Development 
        Finance Corporation, the Trade and Development Program, 
        and the Small Business Administration, including 
        providing assistance in completing applications for 
        such programs and working with exporters and export 
        finance institutions to address any deficiencies in 
        such applications that have been submitted.
  (c) Offices.--
          (1) In general.--The Commercial Service shall conduct 
        its activities at a headquarters office, district 
        offices located in major United States cities, and 
        foreign offices located in major foreign cities.
          (2) Headquarters.--The headquarters of the Commercial 
        Service shall provide such managerial, administrative, 
        research, and other services as the Secretary considers 
        necessary to carry out the purposes of the Commercial 
        Service.
          (3) District offices.--The Secretary shall establish 
        district offices of the Commercial Service in any 
        United States city in a region in which the Secretary 
        determines that there is a need for Federal Government 
        export assistance.
  (4) Foreign offices.--(A) The Secretary may, after 
consultation with the Secretary of State, establish foreign 
offices of the Commercial Service. These offices shall be 
located in foreign cities in regions in which the Secretary 
determines there are significant business opportunities for 
United States exporters.
          (B) The Secretary may, in consultation with the 
        Secretary of State, assign to the foreign offices 
        Commercial Service Officers and such other personnel as 
        the Secretary considers necessary. In employing 
        Commercial Service Officers and such other personnel, 
        the Secretary shall use the Foreign Service personnel 
        system in accordance with the Foreign Service Act of 
        1980. The Secretary shall designate a Commercial 
        Officer as head of each foreign office.
          (C) Upon the request of the Secretary, the Secretary 
        of State shall attach the Commercial Service Officers 
        and other employees of each foreign office to the 
        diplomatic mission of the United States in the country 
        in which that foreign office is located, and shall 
        obtain for them diplomatic privileges and immunities 
        equivalent to those enjoyed by Foreign Service 
        personnel of comparable rank and salary.
          (D) For purposes of official representation, the 
        senior Commercial Service Officer in each country shall 
        be considered to be the senior commercial 
        representative of the United States in that country, 
        and the United States chief of mission in that country 
        shall accord that officer all privileges and 
        responsibilities appropriate to the position of senior 
        commercial representative of other countries.
          (E) The Secretary of State is authorized, upon the 
        request of the Secretary, to provide office space, 
        equipment, facilities, and such other administrative 
        and clerical services as may be required for the 
        operation of the foreign offices. The Secretary is 
        authorized to reimburse or advance funds to the 
        Secretary of State for such services.
          (F) The authority of the Secretary under this 
        paragraph shall be subject to section 103 of the 
        Diplomatic Security Act (22 U.S.C. 4802).
  (d) Rank of Commercial Service Officers in Foreign 
Missions.--
          (1) Minister-counselor.--Notwithstanding any other 
        provision of law, the Secretary is authorized to 
        designate up to 16 United States missions abroad at 
        which the senior Commercial Service Officer will be 
        able to use the diplomatic title of Minister Counselor. 
        The Secretary of State shall accord the diplomatic 
        title of Minister-Counselor to the senior Commercial 
        Service Officer assigned to a United States mission so 
        designated.
          (2) Consul general.--In any United States consulate 
        in which a vacancy occurs in the position of Consul 
        General, the Secretary of State, in consultation with 
        the Secretary, shall consider filling that vacancy with 
        a Commercial Service Officer if the primary functions 
        of the consulate are of a commercial nature and if 
        there are significant business opportunities for United 
        States exporters in the region in which the consulate 
        is located.
  (e) Information Dissemination.--In order to carry out 
subsection (b)(7), to lessen the cost of distribution of 
information produced by the Commercial Service, and to make 
that information more readily available, the Secretary should 
establish a system for distributing that information in those 
areas where no district offices of the Commercial Service are 
located. Distributors of the information should be State export 
promotion agencies or private export and trade promotion 
associations. The distribution system should be consistent with 
cost recovery objectives of the Department of Commerce.
  (f) Cooperation in Federal Financing and Insurance 
Programs.--To assist the Commercial Service in carrying out 
subsection (b)(9), and consistent with the provisions of 
section 13 of the Export-Import Bank Act of 1945, the Export-
Import Bank of the United States, the [Overseas Private 
Investment Corporation] United States International Development 
Finance Corporation, the Trade and Development Program, and the 
Small Business Administration shall each--
          (1) provide to the Commercial Service complete and 
        current information on all of its programs and 
        financing practices; and
          (2) undertake a training program regarding such 
        programs and practices for Commercial Service Officers 
        who are designated by the Assistant Secretary of 
        Commerce and Director General of the Commercial 
        Service.
  (g) Audits.--The Inspector General of the Department of 
Commerce shall perform periodic audits of the operations of the 
Commercial Service, but at least once every 3 years. The 
Inspector General shall report to the Congress the results of 
each such audit. In addition to an overview of the activities 
and effectiveness of Commercial Service operations, the audit 
shall include--
          (1) an evaluation of the current placement of 
        domestic personnel and recommendations for transferring 
        personnel among district offices;
          (2) an evaluation of the current placement of 
        foreign-based personnel and recommendations for 
        transferring such personnel in response to newly 
        emerging business opportunities for United States 
        exporters; and
          (3) an evaluation of the personnel system and its 
        management, including the recruitment, assignment, 
        promotion, and performance appraisal of personnel, the 
        use of limited appointees, and the ``time-in-class'' 
        system.
  (h) Report by the Secretary.--Nol tater than 1 year after the 
date of the enactment of this Act, the Secretary shall submit a 
report to the Congress on the feasibility and desirability, the 
progress to date, the present status, and the 5-year outlook, 
of the comprehensive integration of the functions and personnel 
of the foreign and domestic export promotion operations within 
the International Trade Administration of the Department of 
Commerce.
  (i) Pay of Assistant Secretary and Director General.--Section 
5315 of title 5, United States Code, is amended by adding at 
the end the following: ``Assistant Secretary of Commerce and 
Director General of the United States and Foreign Commercial 
Service.''.
  (j) Definitions.--For purposes of this Section--
          (1) the term ``Secretary'' means the Secretary of 
        Commerce;
          (2) the term ``Commercial Service'' means the United 
        States and Foreign Commercial Service;
          (3) the term ``United States exporter'' means--
                  (A) a United States citizen;
                  (B) a corporation, partnership, or other 
                association created under the laws of the 
                United States or of any State; or
                  (C) a foreign corporation, partnership, or 
                other association, more than 95 percent of 
                which is owned by persons described in 
                subparagraphs (A) and (B), that exports, or 
                seeks to export, goods or services produced in 
                the United States;
          (4) the term ``small business'' means any small 
        business concern as defined under section 3 of the 
        Small Business Act (15 U.S.C. 632);
          (5) the term ``State'' means any of the several 
        States, the District of Columbia, or any commonwealth, 
        territory, or possession of the United States; and
          (6) the term ``United States'' means the several 
        States, the District of Columbia, and any commonwealth, 
        territory, or possession of the United States.

           *       *       *       *       *       *       *


SEC. 2312. TRADE PROMOTION COORDINATING COMMITTEE.

  (a) Establishment and Purpose.--The President shall estab 
lish the Trade Promotion Coordinating Committee (hereafter in 
this section referred to as the ``TPCC''). The purpose of the 
TPCC shall be--
          (1) to provide a unifying framework to coordinate the 
        export promotion and export financing activities of the 
        United States Government; and
          (2) to develop a governmentwide strategic plan for 
        carrying out Federal export promotion and export cing 
        programs.
  (b) Duties.--The TPCC shall--
          (1) coordinate the development of the trade promotion 
        policies and programs of the Umted States Government;
          (2) provide a central source of information for the 
        business community on Federal export promotion and 
        export financing programs;
          (3) coordinate official trade promotion efforts to 
        ensure better delivery of services to United States 
        businesses, including--
                  (A) information and counseling on United 
                States export promotion and export financing 
                programs and opportunities in foreign markets;
                  (B) representation of United States business 
                interests abroad; and
                  (C) assistance with foreign business contacts 
                and projects,
          (4) prevent unnecessary duplication in Federal export 
        promotion and export financing activities;
          (5) assess the appropriate levels and allocation of 
        resources among agencies in support of export promotion 
        and export financing and provide recommendations to the 
        President based on its assessment; and
          (6) carry out such other duties as are deemed to be 
        appropriate, consistent with the purpose of the TPCC.
  (c) Strategic Plan.--To carry out subsection (b), the TPCC 
shall develop and implement a governmentwide strategic plan for 
Federal trade promotion efforts. Such plan shall--
          (1) establish a set of priorities for Federal 
        activities in support of United States exports and 
        explain the rationale for the priorities;
          (2) review current Federal programs designed to 
        promote the sale of United States exports in light of 
        the priorities established under paragraph 8) and 
        develop a plan to bring such activities into line with 
        the priorities and to improve coordination of such 
        activities;
          (3) identify areas of overlap and duplication among 
        Federal export promotion activities and propose means 
        of eliminating them;
          (4) propose to the President an annual unified 
        Federal trade promotion budget that supports the plan 
        for priority activities and improved coordination 
        established under paragraph (2) and eliminates funding 
        for the areas of overlap and duplication identified 
        under paragraph (3);
          (5) review efforts by the States (as defined in 
        section 2301(i)) to promote United States exports and 
        propose means of developing cooperation between State 
        and Federal efforts, including co-location, cost-
        sharing between Federal and State export promotion 
        programs, and sharing of market research data;
          (6) reflect the recommendations of the United States 
        National Tourism Organization to the degree considered 
        appropriate by the TPCC; and
          (7) in coordination with State trade promotion 
        agencies, include a survey and analysis regarding the 
        overall effectiveness of Federal-State coordination and 
        export promotion goals on an annual basis, to further 
        include best practices, recommendations to better 
        assist small businesses, and other relevant matters.
  (d) Membership.--
          (1) In general.--Members of the TPCC shall include 
        representatives from--
                  (A) the Department of Commerce;
                  (B) the Department of State;
                  (C) the Department of the Treasury;
                  (E) the Department of Energy;
                  (F) the Department of Transportation;
                  (G) the Office of the United States Trade 
                Representative;
                  (H) the Small Business Administration;
                  (I) the Agency for International Development;
                  (J) the Trade and Development Program;
                  (K) the [Overseas Private Investment 
                Corporation] United States International 
                Development Finance Corporation;
                  (L) the Export-Import Bank of the United 
                States; and
                  (M) at the discretion of the President, such 
                other departments or agencies as may be 
                necessary.
          (2) Representatives from state trade promotion 
        agencies.--The TPCC shall also include 1 or more 
        members appointed by the President who are 
        representatives of State trade promotion agencies.
          (3) Chairperson.--The Secretary of Commerce shall 
        serve as the chairperson of the TPCC.
  (e) Member Qualifications.--Members of the TPCC (other than 
members described in subsection (d)(2)) shall be appointed by 
the heads of their respective departments or agencies. Such 
members, as well as alternates designated by any members unable 
to attend a meeting of the TPCC, shall be individuals who 
exercise significant decisionmaking authority in their 
respective departments or agencies.
  (f) Report to the Congress.--The chairperson of the TPCC 
shall prepare and submit to the Committee on Banking, Housing, 
and Urban Affairs of the Senate, and the Committee on 
International Relations of the House of Representatives, not 
later than March 30 of each year, a report describing--
          (1) the strategic plan developed by the TPCC pursuant 
        to subsection (c), the implementation of such plan 
        (including implementation of the survey and analysis 
        described in paragraph (7) of that subsection), and any 
        revisions thereto; and
          (2) the implementation of sections 303 and 304 of the 
        Freedom for Russia and Emerging Democracies and Open 
        Markets Support Act of 1992 (22 U.S.C. 5823 and 5824) 
        concerning funding for export promotion activities and 
        the interagency working groups on energy of the TPCC.

           *       *       *       *       *       *       *

                              ----------                              


   SECTION 5402 OF THE OMNIBUS TRADE AND COMPETITIVENESS ACT OF 1988

SEC. 5402. INTERAGENCY TRADE DATA ADVISORY COMMITTEE.

  (a) Establishment.--There is established the Interagency 
Trade Data Advisory Committee.
  (b) Membership.--The Committee shall consist of--
          (1) the United States Trade Representative;
          (2) the Secretary of Agriculture;
          (3) the Secretary of Defense;
          (4) the Secretary of Commerce;
          (5) the Secretary of Labor;
          (6) the Secretary of the Treasury;
          (7) the Secretary of State;
          (8) the Director of the Office of Management and 
        Budget;
          (9) the Director of Central Intelligence;
          (10) the Chairman of the Federal Reserve Board;
          (11) the Chairman of the International Trade 
        Commission;
          (12) the President of the Export-Import Bank;
          (13) [the President of the Overseas Private 
        Investment Corporation] the Chief Executive Officer of 
        the United States International Development Finance 
        Corporation; and
          (14) such other members as may be appointed by the 
        President from full-time officers or employees of the 
        Federal Government.
  (c) Chairman.--The Secretary of Commerce shall be Chajrman of 
the Committee.
  (d) Designees.--Any member of the Committee may appoint a 
designee to serve in place of such member on the Committee.
                              ----------                              


                      TITLE 18, UNITED STATES CODE

PART I--CRIMES

           *       *       *       *       *       *       *


CHAPTER 33--EMBLEMS, INSIGNIA, AND NAMES

           *       *       *       *       *       *       *


Sec. 709. False advertising or misuse of names to indicate Federal 
                    agency

   Whoever, except as permitted by the laws of the United 
States, uses the words ``national'', ``Federal'', ``United 
States'', ``reserve'', or ``Deposit Insurance'' as part of the 
business or firm name of a person, corporation, partnership, 
business trust, association or other business entity engaged in 
the banking, loan, building and loan, brokerage, factorage, 
insurance, indemnity, savings or trust business; or
   Whoever falsely advertises or represents, or publishes or 
displays any sign, symbol or advertisement reasonably 
calculated to convey the impression that a nonmember bank, 
banking association, firm or partnership is a member of the 
Federal reserve system; or
   Whoever, except as expressly authorized by Federal law, uses 
the words ``Federal Deposit'', ``Federal Deposit Insurance'', 
or ``Federal Deposit Insurance Corporation'' or a combination 
of any three of these words, as the name or a part thereof 
under which he or it does business, or advertises or otherwise 
represents falsely by any device whatsoever that his or its 
deposit liabilities, obligations, certificates, or shares are 
insured or guaranteed by the Federal Deposit Insurance 
Corporation, or by the United States or by any instrumentality 
thereof, or whoever advertises that his or its deposits, 
shares, or accounts are federally insured, or falsely 
advertises or otherwise represents by any device whatsoever the 
extent to which or the manner in which the deposit liabilities 
of an insured bank or banks are insured by the Federal Deposit 
Insurance Corporation; or
   Whoever, other than a bona fide organization or association 
of Federal or State credit unions or except as permitted by the 
laws of the United States, uses as a firm or business name or 
transacts business using the words ``National Credit Union'', 
``National Credit Union Administration'', ``National Credit 
Union Board'', ``National Credit Union Share Insurance Fund'', 
``Share Insurance'', or ``Central Liquidity Facility'', or the 
letters ``NCUA'', ``NCUSIF'', or ``CLF'', or any other 
combination or variation of those words or letters alone or 
with other words or letters, or any device or symbol or other 
means, reasonably calculated to convey the false impression 
that such name or business has some connection with, or 
authorization from, the National Credit Union Administration, 
the Government of the United States, or any agency thereof, 
which does not in fact exist, or falsely advertises or 
otherwise represents by any device whatsoever that his or its 
business, product, or service has been in any way endorsed, 
authorized, or approved by the National Credit Union 
Administration, the Government of the United States, or any 
agency thereof, or falsely advertises or otherwise represents 
by any device whatsoever that his or its deposit liabilities, 
obligations, certificates, shares, or accounts are insured 
under the Federal Credit Union Act or by the United States or 
any instrumentality thereof, or being an insured credit union 
as defined in that Act falsely advertises or otherwise 
represents by any device whatsoever the extent to which or the 
manner in which share holdings in such credit union are insured 
under such Act; or
   Whoever, not being organized under chapter 7 of Title 12, 
advertises or represents that it makes Federal Farm loans or 
advertises or offers for sale as Federal Farm loan bonds any 
bond not issued under chapter 7 of Title 12, or uses the word 
``Federal'' or the words ``United States'' or any other words 
implying Government ownership, obligation or supervision in 
advertising or offering for sale any bond, note, mortgage or 
other security not issued by the Government of the United 
States under the provisions of said chapter 7 or some other Act 
of Congress; or
   Whoever uses the words ``Federal Home Loan Bank'' or any 
combination or variation of these words alone or with other 
words as a business name or part of a business name, or falsely 
publishes, advertises or represents by any device or symbol or 
other means reasonably calculated to convey the impression that 
he or it is a Federal Home Loan Bank or member of or subscriber 
for the stock of a Federal Home Loan Bank; or
   Whoever uses the words ``Federal intermediate credit bank'' 
as part of the business or firm name for any person, 
corporation, partnership, business trust, association or other 
business entity not organized as an intermediate credit bank 
under the laws of the United States; or
   Whoever uses as a firm or business name the words 
``Department of Housing and Urban Development'', ``Housing and 
Home Finance Agency'', ``Federal Housing Administration'', 
``Government National Mortgage Association'', ``United States 
Housing Authority'', or ``Public Housing Administration'' or 
the letters ``HUD'', ``FHA'', ``PHA'', or ``USHA'', or any 
combination or variation of those words or the letters ``HUD'', 
``FHA'', ``PHA'', or ``USHA'' alone or with other words or 
letters reasonably calculated to convey the false impression 
that such name or business has some connection with, or 
authorization from, the Department of Housing and Urban 
Development, the Housing and Home Finance Agency, the Federal 
Housing Administration, the Government National Mortgage 
Association, the United States Housing Authority, the Public 
Housing Administration, the Government of the United States, or 
any agency thereof, which does not in fact exist, or falsely 
claims that any repair, improvement, or alteration of any 
existing structure is required or recommended by the Department 
of Housing and Urban Development, the Housing and Home Finance 
Agency, the Federal Housing Administration, the Government 
National Mortgage Association, the United States Housing 
Authority, the Public Housing Administration, the Government of 
the United States, or any agency thereof, for the purpose of 
inducing any person to enter into a contract for the making of 
such repairs, alterations, or improvements, or falsely 
advertises or falsely represents by any device whatsoever that 
any housing unit, project, business, or product has been in any 
way endorsed, authorized, inspected, appraised, or approved by 
the Department of Housing and Urban Development, the Housing 
and Home Finance Agency, the Federal Housing Administration, 
the Government National Mortgage Association, the United States 
Housing Authority, the Public Housing Administration, the 
Government of the United States, or any agency thereof; or
   Whoever, except with the written permission of the Director 
of the Federal Bureau of Investigation, knowingly uses the 
words ``Federal Bureau of Investigation'' or the initials 
``F.B.I.'', or any colorable imitation of such words or 
initials, in connection with any advertisement, circular, book, 
pamphlet or other publication, play, motion picture, broadcast, 
telecast, or other production, in a manner reasonably 
calculated to convey the impression that such advertisement, 
circular, book, pamphlet or other publication, play, motion 
picture, broadcast, telecast, or other production, is approved, 
endorsed, or authorized by the Federal Bureau of Investigation; 
or
   Whoever, except with written permission of the Director of 
the United States Secret Service, knowingly uses the words 
``Secret Service'', ``Secret Service Uniformed Division'', the 
initials ``U.S.S.S.'', ``U.D.'', or any colorable imitation of 
such words or initials, in connection with, or as a part of any 
advertisement, circular, book, pamphlet or other publication, 
play, motion picture, broadcast, telecast, other production, 
product, or item, in a manner reasonably calculated to convey 
the impression that such advertisement, circular, book, 
pamphlet or other publication, product, or item, is approved, 
endorsed, or authorized by or associated in any manner with, 
the United States Secret Service, or the United States Secret 
Service Uniformed Division; or
   Whoever, except with the written permission of the Director 
of the United States Mint, knowingly uses the words ``United 
States Mint'' or ``U.S. Mint'' or any colorable imitation of 
such words, in connection with any advertisement, circular, 
book, pamphlet, or other publication, play, motion picture, 
broadcast, telecast, or other production, in a manner 
reasonably calculated to convey the impression that such 
advertisement, circular, book, pamphlet, or other publication, 
play, motion picture, broadcast, telecast, or other production, 
is approved, endorsed, or authorized by or associated in any 
manner with, the United States Mint; or
   Whoever uses the words [``Overseas Private Investment'', 
``Overseas Private Investment Corporation'', or ``OPIC'',] 
``United States International Development Finance Corporation'' 
or ``DFC'' as part of the business or firm name of a person, 
corporation, partnership, business trust, association, or 
business entity; or
   Whoever, except with the written permission of the 
Administrator of the Drug Enforcement Administration, knowingly 
uses the words ``Drug Enforcement Administration'' or the 
initials ``DEA'' or any colorable imitation of such words or 
initials, in connection with any advertisement, circular, book, 
pamphlet, software or other publication, play, motion picture, 
broadcast, telecast, or other production, in a manner 
reasonably calculated to convey the impression that such 
advertisement, circular, book, pamphlet, software or other 
publication, play, motion picture, broadcast, telecast, or 
other production is approved, endorsed, or authorized by the 
Drug Enforcement Administration; or
   Whoever, except with the written permission of the Director 
of the United States Marshals Service, knowingly uses the words 
``United States Marshals Service'', ``U.S. Marshals Service'', 
``United States Marshal'', ``U.S. Marshal'', ``U.S.M.S.'', or 
any colorable imitation of any such words, or the likeness of a 
United States Marshals Service badge, logo, or insignia on any 
item of apparel, in connection with any advertisement, 
circular, book, pamphlet, software, or other publication, or 
any play, motion picture, broadcast, telecast, or other 
production, in a manner that is reasonably calculated to convey 
the impression that the wearer of the item of apparel is acting 
pursuant to the legal authority of the United States Marshals 
Service, or to convey the impression that such advertisement, 
circular, book, pamphlet, software, or other publication, or 
such play, motion picture, broadcast, telecast, or other 
production, is approved, endorsed, or authorized by the United 
States Marshals Service;
   Shall be punished as follows: a corporation, partnership, 
business trust, association, or other business entity, by a 
fine under this title; an officer or member thereof 
participating or knowingly acquiescing in such violation or any 
individual violating this section, by a fine under this title 
or imprisonment for not more than one year, or both.
   This section shall not make unlawful the use of any name or 
title which was lawful on the date of enactment of this title.
   This section shall not make unlawful the use of the word 
``national'' as part of the name of any business or firm 
engaged in the insurance or indemnity business, whether such 
firm was engaged in the insurance or indemnity business prior 
or subsequent to the date of enactment of this paragraph.
   A violation of this section may be enjoined at the suit of 
the United States Attorney, upon complaint by any duly 
authorized representative of any department or agency of the 
United States.

           *       *       *       *       *       *       *

                              ----------                              


          TRADE FACILITATION AND TRADE ENFORCEMENT ACT OF 2015



           *       *       *       *       *       *       *
 TITLE VII--ENGAGEMENT ON CURRENCY EXCHANGE RATE AND ECONOMIC POLICIES

SEC. 701. ENHANCEMENT OF ENGAGEMENT ON CURRENCY EXCHANGE RATE AND 
                    ECONOMIC POLICIES WITH CERTAIN MAJOR TRADING 
                    PARTNERS OF THE UNITED STATES.

  (a) Major Trading Partner Report.--
          (1) In general.--Not later than 180 days after the 
        date of the enactment of this Act, and not less 
        frequently than once every 180 days thereafter, the 
        Secretary shall submit to the appropriate committees of 
        Congress a report on the macroeconomic and currency 
        exchange rate policies of each country that is a major 
        trading partner of the United States.
          (2) Elements.--
                  (A) In general.--Each report submitted under 
                paragraph (1) shall contain--
                          (i) for each country that is a major 
                        trading partner of the United States--
                                  (I) that country's bilateral 
                                trade balance with the United 
                                States;
                                  (II) that country's current 
                                account balance as a percentage 
                                of its gross domestic product;
                                  (III) the change in that 
                                country's current account 
                                balance as a percentage of its 
                                gross domestic product during 
                                the 3-year period preceding the 
                                submission of the report;
                                  (IV) that country's foreign 
                                exchange reserves as a 
                                percentage of its short-term 
                                debt; and
                                  (V) that country's foreign 
                                exchange reserves as a 
                                percentage of its gross 
                                domestic product; and
                          (ii) an enhanced analysis of 
                        macroeconomic and exchange rate 
                        policies for each country that is a 
                        major trading partner of the United 
                        States that has--
                                  (I) a significant bilateral 
                                trade surplus with the United 
                                States;
                                  (II) a material current 
                                account surplus; and
                                  (III) engaged in persistent 
                                one-sided intervention in the 
                                foreign exchange market.
                  (B) Enhanced analysis.--Each enhanced 
                analysis under subparagraph (A)(ii) shall 
                include, for each country with respect to which 
                an analysis is made under that subparagraph--
                          (i) a description of developments in 
                        the currency markets of that country, 
                        including, to the greatest extent 
                        feasible, developments with respect to 
                        currency interventions;
                          (ii) a description of trends in the 
                        real effective exchange rate of the 
                        currency of that country and in the 
                        degree of undervaluation of that 
                        currency;
                          (iii) an analysis of changes in the 
                        capital controls and trade restrictions 
                        of that country; and
                          (iv) patterns in the reserve 
                        accumulation of that country.
          (3) Assessment factors.--Not later than 90 days after 
        the date of the enactment of this Act, the Secretary 
        shall publicly describe the factors used to assess 
        under paragraph (2)(A)(ii) whether a country has a 
        significant bilateral trade surplus with the United 
        States, has a material current account surplus, and has 
        engaged in persistent one-sided intervention in the 
        foreign exchange market.
  (b) Engagement on Exchange Rate and Economic Policies.--
          (1) In general.--The President, through the 
        Secretary, shall commence enhanced bilateral engagement 
        with each country for which an enhanced analysis of 
        macroeconomic and currency exchange rate policies is 
        included in the report submitted under subsection (a), 
        in order to, as appropriate--
                  (A) urge implementation of policies to 
                address the causes of the undervaluation of its 
                currency, its significant bilateral trade 
                surplus with the United States, and its 
                material current account surplus, including 
                undervaluation and surpluses relating to 
                exchange rate management;
                  (B) express the concern of the United States 
                with respect to the adverse trade and economic 
                effects of that undervaluation and those 
                surpluses;
                  (C) advise that country of the ability of the 
                President to take action under subsection (c); 
                and/or
                  (D) develop a plan with specific actions to 
                address that undervaluation and those 
                surpluses.
          (2) Waiver.--
                  (A) In general.--The Secretary may waive the 
                requirement under paragraph (1) to commence 
                enhanced bilateral engagement with a country if 
                the Secretary determines that commencing 
                enhanced bilateral engagement with the 
                country--
                          (i) would have an adverse impact on 
                        the United States economy greater than 
                        the benefits of such action; or
                          (ii) would cause serious harm to the 
                        national security of the United States.
                  (B) Certification and report.--The Secretary 
                shall promptly certify to Congress a 
                determination under subparagraph (A) and 
                promptly submit to Congress a report that 
                describes in detail the reasons for the 
                Secretary's determination under subparagraph 
                (A).
  (c) Remedial Action.--
          (1) In general.--If, on or after the date that is one 
        year after the commencement of enhanced bilateral 
        engagement by the President, through the Secretary, 
        with respect to a country under subsection (b)(1), the 
        Secretary determines that the country has failed to 
        adopt appropriate policies to correct the 
        undervaluation and surpluses described in subsection 
        (b)(1)(A) with respect to that country, the President 
        shall take one or more of the following actions:
                  (A) Prohibit the [Overseas Private Investment 
                Corporation] United States International 
                Development Finance Corporation from approving 
                any new financing (including any insurance, 
                reinsurance, or guarantee) with respect to a 
                project located in that country on and after 
                such date.
                  (B) Except as provided in paragraph (3), and 
                pursuant to paragraph (4), prohibit the Federal 
                Government from procuring, or entering into any 
                contract for the procurement of, goods or 
                services from that country on and after such 
                date.
                  (C) Instruct the United States Executive 
                Director of the International Monetary Fund to 
                call for additional rigorous surveillance of 
                the macroeconomic and exchange rate policies of 
                that country and, as appropriate, formal 
                consultations on findings of currency 
                manipulation.
                  (D) Instruct the United States Trade 
                Representative to take into account, in 
                consultation with the Secretary, in assessing 
                whether to enter into a bilateral or regional 
                trade agreement with that country or to 
                initiate or participate in negotiations with 
                respect to a bilateral or regional trade 
                agreement with that country, the extent to 
                which that country has failed to adopt 
                appropriate policies to correct the 
                undervaluation and surpluses described in 
                subsection (b)(1)(A).
          (2) Waiver.--
                  (A) In general.--The President may waive the 
                requirement under paragraph (1) to take 
                remedial action if the President determines 
                that taking remedial action under paragraph (1) 
                would--
                          (i) have an adverse impact on the 
                        United States economy greater than the 
                        benefits of taking remedial action; or
                          (ii) would cause serious harm to the 
                        national security of the United States.
                  (B) Certification and report.--The President 
                shall promptly certify to Congress a 
                determination under subparagraph (A) and 
                promptly submit to Congress a report that 
                describes in detail the reasons for the 
                President's determination under subparagraph 
                (A).
          (3) Exception.--The President may not apply a 
        prohibition under paragraph (1)(B) in a manner that is 
        inconsistent with United States obligations under 
        international agreements.
          (4) Consultations.--
                  (A) Office of management and budget.--Before 
                applying a prohibition under paragraph (1)(B), 
                the President shall consult with the Director 
                of the Office of Management and Budget to 
                determine whether such prohibition would 
                subject the taxpayers of the United States to 
                unreasonable cost.
                  (B) Congress.--The President shall consult 
                with the appropriate committees of Congress 
                with respect to any action the President takes 
                under paragraph (1)(B), including whether the 
                President has consulted as required under 
                subparagraph (A).
  (d) Definitions.--In this section:
          (1) Appropriate committees of congress.--The term 
        ``appropriate committees of Congress'' means--
                  (A) the Committee on Banking, Housing, and 
                Urban Affairs and the Committee on Finance of 
                the Senate; and
                  (B) the Committee on Financial Services and 
                the Committee on Ways and Means of the House of 
                Representatives.
          (2) Country.--The term ``country'' means a foreign 
        country, dependent territory, or possession of a 
        foreign country, and may include an association of 2 or 
        more foreign countries, dependent territories, or 
        possessions of countries into a customs union outside 
        the United States.
          (3) Real effective exchange rate.--The term ``real 
        effective exchange rate'' means a weighted average of 
        bilateral exchange rates, expressed in price-adjusted 
        terms.
          (4) Secretary.--The term ``Secretary'' means the 
        Secretary of the Treasury.

           *       *       *       *       *       *       *

                              ----------                              


                      HIGHER EDUCATION ACT OF 1965



           *       *       *       *       *       *       *
TITLE VI--INTERNATIONAL EDUCATION PROGRAMS

           *       *       *       *       *       *       *


PART C--INSTITUTE FOR INTERNATIONAL PUBLIC POLICY

           *       *       *       *       *       *       *


SEC. 625. INTERNSHIPS.

  (a) In General.--The Institute shall enter into agreements 
with historically Black colleges and universities, tribally 
controlled colleges or universities, Alaska Native-serving, 
Native Hawaiian-serving, and Hispanic-serving institutions, 
other institutions of higher education with significant numbers 
of minority students, and institutions of higher education with 
programs in training foreign service professionals, to provide 
academic year internships during the junior and senior year and 
summer internships following the sophomore and junior academic 
years, by work placements with international, voluntary or 
government organizations or agencies, including the Agency for 
International Development, the Department of State, the 
International Monetary Fund, the National Security Council, the 
Organization of American States, the Export-Import Bank, the 
[Overseas Private Investment Corporation] United States 
International Development Finance Corporation, the Department 
of State, Office of the United States Trade Representative, the 
World Bank, and the United Nations.
  (b) Postbaccalaureate Internships.--The Institute shall enter 
into agreements with institutions of higher education described 
in the first sentence of subsection (a) to conduct internships 
for students who have completed study for a baccalaureate 
degree. The internship program authorized by this subsection 
shall--
          (1) assist the students to prepare for a master's 
        degree program;
          (2) be carried out with the assistance of the Woodrow 
        Wilson International Center for Scholars; and
          (3) contain work experience for the students designed 
        to contribute to the students' preparation for a 
        master's degree program.
  (c) Interagency Committee on Minority Careers in 
International Affairs.--
          (1) Establishment.--There is established in the 
        executive branch of the Federal Government an 
        Interagency Committee on Minority Careers in 
        International Affairs composed of not less than 7 
        members, including--
                  (A) the Under Secretary for Farm and Foreign 
                Agricultural Services of the Department of 
                Agriculture, or the Under Secretary's designee;
                  (B) the Assistant Secretary and Director 
                General, of the United States and Foreign 
                Commercial Service of the Department of 
                Commerce, or the Assistant Secretary and 
                Director General's designee;
                  (C) the Under Secretary of Defense for 
                Personnel and Readiness of the Department of 
                Defense, or the Under Secretary's designee;
                  (D) the Assistant Secretary for Postsecondary 
                Education in the Department of Education, or 
                the Assistant Secretary's designee;
                  (E) the Director General of the Foreign 
                Service of the Department of State, or the 
                Director General's designee; and
                  (F) the General Counsel of the Agency for 
                International Development, or the General 
                Counsel's designee.
          (2) Functions.--The Interagency Committee established 
        by this section shall--
                  (A) on an annual basis inform the Secretary 
                and the Institute regarding ways to advise 
                students participating in the internship 
                program assisted under this section with 
                respect to goals for careers in international 
                affairs;
                  (B) locate for students potential internship 
                opportunities in the Federal Government related 
                to international affairs; and
                  (C) promote policies in each department and 
                agency participating in the Committee that are 
                designed to carry out the objectives of this 
                part.

           *       *       *       *       *       *       *

                              ----------                              


                      ELECTRIFY AFRICA ACT OF 2015



           *       *       *       *       *       *       *
SEC. 5. PRIORITIZATION OF EFFORTS AND ASSISTANCE FOR POWER PROJECTS IN 
                    SUB-SAHARAN AFRICA BY KEY UNITED STATES 
                    INSTITUTIONS.

  (a) In general.--In pursuing the policy goals described in 
section 3, the Administrator of the United States Agency for 
International Development, the Director of the Trade and 
Development Agency, the [Overseas Private Investment 
Corporation] United States International Development Finance 
Corporation, and the Chief Executive Officer and Board of 
Directors of the Millennium Challenge Corporation should, as 
appropriate, prioritize and expedite institutional efforts and 
assistance to facilitate the involvement of such institutions 
in power projects and markets, both on- and off-grid, in sub-
Saharan Africa and partner with other investors and local 
institutions in sub-Saharan Africa, including private sector 
actors, to specifically increase access to reliable, 
affordable, and sustainable power in sub-Saharan Africa, 
including through--
          (1) maximizing the number of people with new access 
        to power and power services;
          (2) improving and expanding the generation, 
        transmission and distribution of power;
          (3) providing reliable power to people and businesses 
        in urban and rural communities;
          (4) addressing the energy needs of marginalized 
        people living in areas where there is little or no 
        access to a power grid and developing plans to 
        systematically increase coverage in rural areas;
          (5) reducing transmission and distribution losses and 
        improving end-use efficiency and demand-side 
        management;
          (6) reducing energy-related impediments to business 
        productivity and investment; and
          (7) building the capacity of countries in sub-Saharan 
        Africa to monitor and appropriately and transparently 
        regulate the power sector and encourage private 
        investment in power production and distribution.
  (b) Effectiveness Measurement.--In prioritizing and 
expediting institutional efforts and assistance pursuant to 
this section, as appropriate, such institutions shall use 
clear, accountable, and metric-based targets to measure the 
effectiveness of such guarantees and assistance in achieving 
the goals described in section 3.
  (c) Promotion of Use of Private Financing and Assistance.--In 
carrying out policies under this section, such institutions 
shall promote the use of private financing and assistance and 
seek ways to remove barriers to private financing for projects 
and programs under this Act, including through charitable 
organizations.
  (d) Rule of Construction.--Nothing in this section may be 
construed to authorize modifying or limiting the portfolio of 
the institutions covered by subsection (a) in other developing 
regions.

           *       *       *       *       *       *       *


SEC. 7. PROGRESS REPORT.

  (a) In general.--Not later than three years after the date of 
the enactment of this Act, the President shall transmit to the 
Committee on Foreign Affairs of the House of Representatives 
and the Committee on Foreign Relations of the Senate a report 
on progress made toward achieving the strategy described in 
section 4 that includes the following:
          (1) A report on United States programs supporting 
        implementation of policy and legislative changes 
        leading to increased power generation and access in 
        sub-Saharan Africa, including a description of the 
        number, type, and status of policy, regulatory, and 
        legislative changes initiated or implemented as a 
        result of programs funded or supported by the United 
        States in countries in sub-Saharan Africa to support 
        increased power generation and access after the date of 
        the enactment of this Act.
          (2) A description of power projects receiving United 
        States Government support and how such projects, 
        including off-grid efforts, are intended to achieve the 
        strategy described in section 4.
          (3) For each project described in paragraph (2)--
                  (A) a description of how the project fits 
                into, or encourages modifications of, the 
                national energy plan of the country in which 
                the project will be carried out, including 
                encouraging regulatory reform in that county;
                  (B) an estimate of the total cost of the 
                project to the consumer, the country in which 
                the project will be carried out, and other 
                investors;
                  (C) the amount of financing provided or 
                guaranteed by the United States Government for 
                the project;
                  (D) an estimate of United States Government 
                resources for the project, itemized by funding 
                source, including from the [Overseas Private 
                Investment Corporation] United States 
                International Development Finance Corporation, 
                the United States Agency for International 
                Development, the Department of the Treasury, 
                and other appropriate United States Government 
                departments and agencies;
                  (E) an estimate of the number and regional 
                locations of individuals, communities, 
                businesses, schools, and health facilities that 
                have gained power connections as a result of 
                the project, with a description of how the 
                reliability, affordability, and sustainability 
                of power has been improved as of the date of 
                the report;
                  (F) an assessment of the increase in the 
                number of people and businesses with access to 
                power, and in the operating electrical power 
                capacity in megawatts as a result of the 
                project between the date of the enactment of 
                this Act and the date of the report;
                  (G) a description of efforts to gain 
                meaningful local consultation for projects 
                associated with this Act and any significant 
                estimated noneconomic effects of the efforts 
                carried out pursuant to this Act; and
                  (H) a description of the participation by 
                small and medium enterprises based in sub-
                Saharan Africa on projects associated with this 
                Act.
                              ----------                              


        FOREIGN AID TRANSPARENCY AND ACCOUNTABILITY ACT OF 2016



           *       *       *       *       *       *       *
SEC. 2. DEFINITIONS.

  In this Act:
          (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                  (A) the Committee on Foreign Relations of the 
                Senate;
                  (B) the Committee on Appropriations of the 
                Senate;
                  (C) the Committee on Foreign Affairs of the 
                House of Representatives; and
                  (D) the Committee on Appropriations of the 
                House of Representatives.
          (2) Evaluation.--The term ``evaluation'' means, with 
        respect to a covered United States foreign assistance 
        program, the systematic collection and analysis of 
        information about the characteristics and outcomes of 
        the program, including projects conducted under such 
        program, as a basis for--
                  (A) making judgments and evaluations 
                regarding the program;
                  (B) improving program effectiveness; and
                  (C) informing decisions about current and 
                future programming.
          (3) Covered united states foreign assistance.--The 
        term ``covered United States foreign assistance'' means 
        assistance authorized under--
                  (A) part I of the Foreign Assistance Act of 
                1961 (22 U.S.C. 2151 et seq.), [except for--]
                          [(i) title IV of chapter 2 of such 
                        part (relating to the Overseas Private 
                        Investment Corporation); and
                          [(ii) chapter 3] except for chapter 3 
                        of such part (relating to International 
                        Organizations and Programs);
                  (B) chapter 4 of part II of the Foreign 
                Assistance Act of 1961 (22 U.S.C. 2346 et seq.; 
                relating to Economic Support Fund);
                  (C) the Millennium Challenge Act of 2003 (22 
                U.S.C. 7701 et seq.); [and]
                  (D) the Food for Peace Act (7 U.S.C. 1721 et 
                seq.)[.]; and
                  (E) the Better Utilization of Investments 
                Leading to Development Act of 2018.

           *       *       *       *       *       *       *

                              ----------                              


         SUPPORT FOR EAST EUROPEAN DEMOCRACY (SEED) ACT OF 1989



           *       *       *       *       *       *       *
SEC. 2. SUPPORT FOR EAST EUROPEAN DEMOCRACY (SEED) PROGRAM.

  (a) SEED Program.--The United States shall implement, 
beginning in fiscal year 1990, a concerted Program of Support 
for East European Democracy (which may also be referred to as 
the ``SEED Program''). The SEED Program shall be comprised of 
diverse undertakings designed to provide cost-effective 
assistance to those countries of Eastern Europe that have taken 
substantive steps toward institutionalizing political democracy 
and economic pluralism.
  (b) Objectives of Seed Assistance.--The President should 
ensure that the assistance provided to East European countries 
pursuant to this Act is designed--
          (1) to contribute to the development of democratic 
        institutions and political pluralism characterized by--
                  (A) the establishment of fully democratic and 
                representative political systems based on free 
                and fair elections,
                  (B) effective recognition of fundamental 
                liberties and individual freedoms, including 
                freedom of speech, religion, and association,
                  (C) termination of all laws and regulations 
                which impede the operation of a free press and 
                the formation of political parties,
                  (D) creation of an independent judiciary, and
                  (E) establishment of non-partisan military, 
                security, and police forces;
          (2) to promote the development of a free market 
        economic system characterized by--
                  (A) privatization of economic entities,
                  (B) establishment of full rights to acquire 
                and hold private property, including land and 
                the benefits of contractual relations,
                  (C) simplification of regulatory controls 
                regarding the establishment and operation of 
                businesses,
                  (D) dismantlement of all wage and price-
                controls,
                  (E) removal of trade restrictions, including 
                on both unports and exports,
                  (F) liberalization of investment and capital, 
                including the repatriation of profits by 
                foreign investors;
                  (G) tax policies which provide incentives for 
                economic activity and investment,
                  (H) establishment of rights to own and 
                operate private banks and other financial 
                service firms, as well as unrestricted access 
                to private sources of credit, and
                  (I) access to a market for stocks, bonds, and 
                other instruments through which individuals may 
                invest in the private sector; and
          (3) not to contribute any substantial benefit--
                  (A) to Communist or other political parties 
                or organizations which are not committed to 
                respect for the democratic process, or
                  (B) to the defense or security forces of any 
                member country of the Warsaw Pact.
  (c) SEED Actions.--Assistance and other activities under the 
SEED Program (which may be referred to as ``SEED Actions'') 
shall include activities such as the following:
          (1) Leadership in the world bank and international 
        monetary fund.--United States leadership in 
        supporting--
                  (A) loans by the International Bank for 
                Reconstruction and Development and its 
                affiliated institutions in the World Bank group 
                that are designed to modernize 
                industry,agriculture, and infrastructure, and
                  (B) International Monetary 9und programs 
                designed to stimulate sound economic growth.
          (2) Currency stabilization loans.--United States 
        leadership in supporting multilateral agreement to 
        provide government-to-government loans for currency 
        stabilization where such loans can reduce inflation and 
        thereby foster conditions necessary for the effective 
        implementation of economic reforms.
          (3) Debt reduction and rescheduling.--Participation 
        in multilateral activities aimed at reducing and 
        rescheduling a country's international debt, when 
        reduction and deferral of debt payments can assist the 
        process of political and economic transition.
          (4) Agricultural assistance.--Assistance through the 
        grant and concessional sale of food and other 
        agricultural commodities and products when such 
        assistance can ease critical shortages but not inhibit 
        agricultural production and marketing in the recipient 
        country.
          (5) Enterprise funds.--Grants to support private, 
        nonprofit ``Enterprise Funds'', designated by the 
        President pursuant to law and governed by a Board of 
        Directors, which undertake loans, grants, equity 
        investments, feasibility studies, technical assistance, 
        training, and other forms of assistance to private 
        enterprise activities in the Eastern European country 
        for which the Enterprise Fund so is designated.
          (6) Labor market-oriented technical assistance.--
        Technical assistance programs directed at promoting 
        labor market reforms and facilitating economic 
        adjustment.
          (7) Technical training.--Programs to provide 
        technical skills to assist in the development of a 
        market economy.
          (8) Peace corps.--Establishment of Peace Corps 
        programs.
          (9) Support for indigenous credit unions.--Support 
        for the establishment of indigenous credit unions.
          (10) Generalized system of preferences.--Eligibility 
        for trade benefits under the Generalized System of 
        Preferences.
          (11) Normal trade relations.--The granting of 
        temporary or permanent nondiscriminatory treatment to 
        the products of an East European country through the 
        application of the criteria and procedures established 
        by section 402 of the Trade Act of 1974 (19 U.S.C. 
        2432; commonly referred to as the ``Jackson-Vanik 
        amendment'').
          [(12) Overseas private investment corporation.--
        Programs of the Overseas Private Investment 
        Corporation.]
          (12) United states international development finance 
        corporation.--Programs of the United States 
        International Development Finance Corporation.
          (13) Export-import bank programs.--Programs of the 
        Export-Import Bank of the United States.
          (14) Trade and development program activities.--Trade 
        and Development Program activities under the Foreign 
        Assistance Act of 1961.
          (15) Investment treaties.--Negotiation of bilateral 
        investment treaties.
          (16) Special tax treatment of below-market loans.--
        Exempting bonds from Internal Revenue Code rules 
        relating to below-market loans.
          (17) Exchange activities.--Expanded exchange 
        activities under the Fulbright, International Visitors, 
        and other programs conducted by the United States 
        Information Agency.
          (18) Cultural centers.--Contributions toward the 
        establishment of reciprocal cultural centers that can 
        facilitate educational and cultural exchange and 
        expanded understanding of Western social democracy.
          (19) Sister institutions.--Establishment of sister 
        institution programs between American and East European 
        schools and universities, towns and cities, and other 
        organizations in such fields as medicine and health 
        care, business management, environmental protection, 
        and agriculture.
          (20) Scholarships.--Scholarships to enable students 
        to study in the United States.
          (21) Science and technology exchanges.--Grants for 
        the implementation of bilateral agreements providing 
        for cooperation in science and technology exchange.
          (22) Assistance for democratic institutions.--
        Assistance designed to support the development of 
        legal, legislative, electoral, journalistic, and other 
        institutions of free, pluralist societies.
          (23) Environmental asssistance.--Environmental 
        assistance directed at overcoming crucial deficiencies 
        in air and water quality and other determinants of a 
        healthful society.
          (24) Medical assistance.--Medical assistance 
        specifically targeted to overcome severe deficiencies 
        in pharmaceuticals and other basic health supplies.
          (25) Encouragement for private investment and 
        voluntary assistance.--Encouraging private investment 
        and voluntary private assistance, using a variety of 
        means including a SEED Information Center System and 
        the provision by the Department of Defense of 
        transportation for private nonfinancial contributions.

           *       *       *       *       *       *       *


                  TITLE II--PRIVATE SECTOR DEVELOPMENT

SEC. 201. ENTERPRISE FUNDS FOR POLAND AND HUNGARY.

  (a) Purposes.--The purposes of this section are to promote--
          (1) development of the Polish and Hungarian private 
        sectors, including small businesses, the agricultural 
        sector, and joint ventures with United States and host 
        country participants, and
          (2) policies and practices conducive to private 
        sector development in Poland and Hungary,
through loans, grants, equity investments, feasibility studies, 
technical assistance, training, insurance, guarantees, and 
other measures.
  (b) Authorization of Appropriations.--To carry out the 
purposes specified in subsection (a), there are authorized to 
be appropriated to the President--
          (1) $240,000,000 to support the Polish-American 
        Enterprise Fund; and
          (2) $60,000,000 to support the Hungarian-American 
        Enterprise Fund.
Such amounts are authorized to be made available until 
expended.
  (c) Nonapplicability of Other Laws.--The funds appropriated 
under subsection (b) may be made available to the Polish-
American Enterprise Fund and the Hungarian-American Enterprise 
Fund and used for the purposes of this section notwithstanding 
any other provision of law.
  (d) Designation of Enterprise Funds.--
          (1) Designation.--The President is authorized to 
        designate two private, nonprofit organizations as 
        eligible to receive funds and support pursuant to this 
        section upon determining that such organizations have 
        been established for the purposes specified in 
        subsection (a). For purposes of this Act, the 
        organizations so designated shall be referred to as the 
        Polish-American Enterprise Fund and the Hungarian-
        American Enterprise Fund (hereinafter in this section 
        referred to as the ``Enterprise Funds'').
          (2) Consultation with congress.--The President shall 
        consult with the leadership of each House of Congress 
        before designating an organization pursuant to 
        paragraph (1).
          (3) Board of directors.--(A) Each Enterprise Fund 
        shall be governed by a Board of Directors comprised of 
        private citizens of the United States, and citizens of 
        the respective host country, who have demonstrated 
        experience and expertise in those areas of private 
        sector development in which the Enterprise Fund is 
        involved.
          (B) A majority of the members of the Board of 
        Directors of each Enterprise Fund shall be United 
        States citizens.: Provided, That, as to Enterprise 
        Funds established with respect to more than one host 
        country, such Enterprise Fund may, in lieu of the 
        appointment of citizens of the host countries to its 
        Board of Directors, establish an advisory council for 
        the host region comprised of citizens of each of the 
        host countries or establish separate advisory councils 
        for each of the host countries (hereinafter in this 
        section referred to as the 'Advisory Councils'), with 
        which the Enterprise Fund's policies and proposed 
        activities and such host country citizens shall satisfy 
        the experience and expertise requirements of this 
        clause.
          (C) A host country citizen who is not committed to 
        respect for democracy and a free market economy may not 
        serve as a member of the Board of Directors of an 
        Enterprise Fund.
          (4) Eligibility of enterprise funds for grants.--
        Grants may be made to an Enterprise Fund under this 
        section only if the Enterprise Fund agrees to comply 
        with the requirements specified in this section.
          (5) Private character of enterprise funds.--Nothing 
        in this section shall be construed to make an 
        Enterprise Fund an agency or establishment of the 
        United States Government, or to make the officers, 
        employees, or members of the Board of Directors of an 
        Enterprise Fund officers or employees of the United 
        States for purposes of title 5, United States Code.
  (e) Grants to Enterprise Funds.--Funds appropriated to the 
President pursuant to subsection (b) shall be granted to the 
Enterprise Funds by the [Agency for International Development] 
United States International Development Finance Corporation to 
enable the Enterprise Funds to carry out the purposes specified 
in subsection (a) and for the administrative expenses of each 
Enterprise Fund.
  (f) Eligible Programs and Projects.--
          (1) In general.--The Enterprise Funds may provide 
        assistance pursuant to this section only for programs 
        and projects which are consistent with the purposes set 
        forth in subsection (a).
          (2) Employee stock ownership plans.--Funds available 
        to the Enterprise Funds may be used to encourage the 
        establishment of Employee Stock Ownership Plans (ESOPs) 
        in Poland and Hungary.
          (3) Indigenous credit unions.--Funds available to the 
        Enterprise Funds may be used for technical and other 
        assistance to support the development of indigenous 
        credit unions in Poland and Hungary. As used in this 
        paragraph, the term ``credit union'' means a member-
        owned, nonprofit, cooperative depository institution--
                  (A) which is formed to permit individuals in 
                the field of membership specified in such 
                institution's charter to pool their savings, 
                lend the savings to one another, and own the 
                organization where they save, borrow, and 
                obtain related financial services; and
                  (B) whose members are united by a common bond 
                and democratically operate the institution.
          (4) Telecommunication modernization in poland.--The 
        Polish-American Enterprise Fund may use up to 
        $25,000,000 for grants for projects providing for the 
        early introduction in Poland of modern telephone 
        systems and telecommunications technology, which are 
        crucial in establishing the conditions for successful 
        transition to political democracy and economic 
        pluralism.
          (5) Economic foundation of nszz solidarnosc.--Funds 
        available to the Polish-American Enterprise Fund may be 
        used to support the Economic Foundation of NSZZ 
        Solidarnosc.
  (g) Matters To Be Considered by Enterprise Funds.--In 
carrying out this section, each Enterprise Fund shall take into 
account such considerations as internationally recognized 
worker rights and other internationally recognized human 
rights, environmental factors, United States economic and 
employment effects, and the likelihood of commercial viability 
of the activity receiving assistance from the Enterprise Fund.
  (h) Retention of Interest.--An Enterprise Fund may hold funds 
granted to it pursuant to this section in interest-bearing 
accounts, prior to the disbursement of such funds for purposes 
specified in subsection (a), and may retain for such program 
purposes any interest earned on such deposits without returning 
such interest to the Treasury of the United States and without 
further appropriation by the Congress.
  (i) Use of United States Private Venture Capital.--In order 
to maximize the effectiveness of the activities of the 
Enterprise Funds, each Enterprise Fund may conduct public 
offerings or private placements for the purpose of soliciting 
and accepting United States venture capital which may be used, 
separately or together with funds made available pursuant to 
this section, for any lawful investment purpose that the Board 
of Directors of the Enterprise Fund may determine in carrying 
out this section. Financial returns on Enterprise Fund 
investments that include a component of private venture capital 
may be distributed, at such times and in such amounts as the 
Board of Directors of the Enterprise Fund may determine, to the 
investors of such capital.
  (j) Financial Instruments for Individual Investment in 
Poland.--In order to maximize the effectiveness of the 
activities of the Polish-American Enterprise Fund, that 
Enterprise Fund should undertake all possible efforts to 
establish financial instruments that will enable individuals to 
invest in the private sectors of Poland and that will thereby 
have the effect of multiplying the impact of United States 
grants to that Enterprise Fund.
  (k) Nonapplicability of Other Laws.--Executive branch 
agencies may conduct programs and activities and provide 
services in support of the activities of the Enterprise Funds 
notwithstanding any other provision of law.
  (l) Limitation on Payments to Enterprise Fund Personnel.--
          (1) No part of the funds of an Enterprise Fund shall 
        inure to the benefit of any board member, officer, or 
        employee of such Enterprise Fund, except as salary or 
        reasonable compensation for services subject to 
        paragraph (2).
          (2) An Enterprise Fund shall not pay compensation for 
        services to--
                  (A) any board member of the Enterprise Fund, 
                except for services as a board member; or
                  (B) any firm, association, or entity in which 
                a board member of the Enterprise Fund serves as 
                partner, director, officer, or employee.
          (3) Nothing in paragraph (2) shall preclude payment 
        for services performed before the date of enactment of 
        this subsection nor for arrangements approved by the 
        grantor and notified in writing to the Committees on 
        Appropriations.
  (m) Independent Private Audits.--The accounts of each 
Enterprise Fund shall be audited annually in accordance with 
generally accepted auditing standards by independent certified 
public accountants or independent licensed public accountants 
certified or licensed by a regulatory authority of a State or 
other political subdivision of the United States. The report of 
each such independent audit shall be included in the annual 
report required by this section.
  (n) GAO Audits.--The financial transactions undertaken 
pursuant to this section by each Enterprise Fund may be audited 
by the General Accounting Office in accordance with such 
principles and procedures and under such rules and regulations 
as may be prescribed by the Comptroller General of the United 
States, so long as the Enterprise Fund is in receipt of United 
States Government grants.
  (o) Recordkeeping Requirements.--The enterprise Funds 
shallensure--
          (1) that each recipient of assistance provided 
        through the Enterprise Funds under this section keeps--
                  (A) separate accounts with respect to such 
                assistance;
                  (B) such records as may be reasonably 
                necessary to disclose fully the amount and the 
                disposition by such recipient of the proceeds 
                of such assistance, the total cost of the 
                project or undertaking in connection with which 
                such assistance is given or used, and the 
                amount and nature of that portion of the cost 
                of the project or undertaking supplied by other 
                sources; and
                  (C) such other records as will facilitate an 
                effective audit; and
          (2) that the Enterprise Funds, or any of their duly 
        authorized representatives, have access for the purpose 
        of audit and examination to any books, documents, 
        papers, and records of the recipient that are pertinent 
        to assistance provided through the Enterprise Funds 
        under this section.
  (p) Annual Reports.--Each Enterprise Fund shall publish an 
annual report, which shall include a comprehensive and detailed 
description of the Enterprise Fund's operations, activities, 
financial condition, and accomplishments under this section for 
the preceding fiscal year. This report shall be published not 
later than January 31 each year, beginning in 1991.

           *       *       *       *       *       *       *

                              ----------                              


 SECTION 202 OF THE CUBAN LIBERTY AND DEMOCRATIC SOLIDARITY (LIBERTAD) 
                              ACT OF 1996

SEC. 202. ASSISTANCE FOR THE CUBAN PEOPLE.

  (a) Authorization.--
          (1) In general.--The President shall develop a plan 
        for providing economic assistance to Cuba at such time 
        as the President determines that a transition 
        government or a democratically elected government in 
        Cuba (as determined under section 203(c)) is in power.
          (2) Effect on other laws.--Assistance may be provided 
        under this section subject to an authorization of 
        appropriations and subject to the availability of 
        appropriations.
  (b) Plan for assistance.--
          (1) Development of plan.--The President shall develop 
        a plan for providing assistance under this section--
                  (A) to Cuba when a transition government in 
                Cuba is in power; and
                  (B) to Cuba when a democratically elected 
                government in Cuba is in power.
          (2) Types of assistance.--Assistance under the plan 
        developed under paragraph (1) may, subject to an 
        authorization of appropriations and subject to the 
        availability of appropriations, include the following:
                  (A) Transition government(i) Except as 
                provided in clause (ii), assistance to Cuba 
                under a transition government shall, subject to 
                an authorization of appropriations and subject 
                to the availability of appropriations, be 
                limited to--
                                  (I) such food, medicine, 
                                medical supplies and equipment, 
                                and assistance to meet 
                                emergency energy needs, as is 
                                necessary to meet the basic 
                                human needs of the Cuban 
                                people; and
                                  (II) assistance described in 
                                subparagraph (C).
                          (ii) Assistance in addition to 
                        assistance under clause (i) may be 
                        provided, but only after the President 
                        certifies to the appropriate 
                        congressional committees, in accordance 
                        with procedures applicable to 
                        reprogramming notifications under 
                        section 634A of the Foreign Assistance 
                        Act of 1961, that such assistance is 
                        essential to the successful completion 
                        of the transition to democracy.
                          (iii) Only after a transition 
                        government in Cuba is in power, freedom 
                        of individuals to travel to visit their 
                        relatives without any restrictions 
                        shall be permitted.
                  (B) Democratically elected government.--
                Assistance to a democratically elected 
                government in Cuba may, subject to an 
                authorization of appropriations and subject to 
                the availability of appropriations, consist of 
                economic assistance in addition to assistance 
                available under subparagraph (A), together with 
                assistance described in subparagraph (C). Such 
                economic assistance may include--
                          (i) assistance under chapter 1 of 
                        part I (relating to development 
                        assistance), and chapter 4 of part II 
                        (relating to the economic support 
                        fund), of the Foreign Assistance Act of 
                        1961;
                          (ii) assistance under the Food for 
                        Peace Act;
                          (iii) financing, guarantees, and 
                        other forms of assistance provided by 
                        the Export-Import Bank of the United 
                        States;
                          (iv) financial support provided by 
                        the [Overseas Private Investment 
                        Corporation] United States 
                        International Development Finance 
                        Corporation for investment projects in 
                        Cuba;
                          (v) assistance provided by the Trade 
                        and Development Agency;
                          (vi) Peace Corps programs; and
                          (vii) other appropriate assistance to 
                        carry out the policy of section 201.
                  (C) Military adjustment assistance.--
                Assistance to a transition government in Cuba 
                and to a democratically elected government in 
                Cuba shall also include assistance in preparing 
                the Cuban military forces to adjust to an 
                appropriate role in a democracy.
  (c) Strategy for Distribution.--The plan developed under 
subsection (b) shall include a strategy for distributing 
assistance under the plan.
  (d) Distribution.--Assistance under the plan developed under 
subsection (b) shall be provided through United States 
Government organizations and nongovernmental organizations and 
private and voluntary organizations, whether within or outside 
the United States, including humanitarian, educational, labor, 
and private sector organizations.
  (e) International Efforts.--The President shall take the 
necessary steps--
          (1) to seek to obtain the agreement of other 
        countries and of international financial institutions 
        and multilateral organizations to provide to a 
        transition government in Cuba, and to a democratically 
        elected government in Cuba, assistance comparable to 
        that provided by the United States under this Act; and
          (2) to work with such countries, institutions, and 
        organizations to coordinate all such assistance 
        programs.
  (f) Communication with the Cuban people.--The President shall 
take the necessary steps to communicate to the Cuban people the 
plan for assistance developed under this section.
  (g) Report to Congress.--Not later than 180 days after the 
date of the enactment of this Act, the President shall transmit 
to the appropriate congressional committees a report describing 
in detail the plan developed under this section.
  (h) Report on Trade and Investment Relations.--
          (1) Report to congress.--The President, following the 
        transmittal to the Congress of a determination under 
        section 203(c)(3) that a democratically elected 
        government in Cuba is in power, shall submit to the 
        Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the 
        Senate and the appropriate congressional committees a 
        report that describes--
                  (A) acts, policies, and practices which 
                constitute significant barriers to, or 
                distortions of, United States trade in goods or 
                services or foreign direct investment with 
                respect to Cuba;
                  (B) policy objectives of the United States 
                regarding trade relations with a democratically 
                elected government in Cuba, and the reasons 
                therefor, including possible--
                          (i) reciprocal extension of 
                        nondiscriminatory trade treatment 
                        (most-favored-nation treatment);
                          (ii) designation of Cuba as a 
                        beneficiary developing country under 
                        title V of the Trade Act of 1974 
                        (relating to the Generalized System of 
                        Preferences) or as a beneficiary 
                        country under the Caribbean Basin 
                        Economic Recovery Act, and the 
                        implications of such designation with 
                        respect to trade with any other country 
                        that is such a beneficiary developing 
                        country or beneficiary country or is a 
                        party to the North American Free Trade 
                        Agreement; and
                          (iii) negotiations regarding free 
                        trade, including the accession of Cuba 
                        to the North American Free Trade 
                        Agreement;
                  (C) spccific trade negotiating objectives of 
                the United States with respect tc Cuba, 
                including the objectives described in section 
                108(b)(5) of the North American Free Trade 
                Agreement Implementation Act (19 
                U.S.C.3317(b)(5)); and
                  (D) actions proposed or anticipated to be 
                undertaken, and any proposed legislation 
                necessary or appropriate, to achieve any of 
                such policy and negotiating objectives.
          (2) Consultation.--The President shall consult with 
        the Committee on Ways and Means of the House of 
        Representatives and the Committee on Finance of the 
        Senate and the appropriate congressional committees and 
        shall seek advice from the appropriate advisory 
        committees established under section 135 of the Trade 
        Act of 1974 regarding the policy and negotiating 
        objectives and the legislative proposals described in 
        paragraph (1).
                              ----------                              


              INTERNATIONAL RELIGIOUS FREEDOM ACT OF 1998



           *       *       *       *       *       *       *
                     TITLE IV--PRESIDENTIAL ACTIONS

   Subtitle I--Targeted Responses to Violations of Religious Freedom 
Abroad

           *       *       *       *       *       *       *


SEC. 405. DESCRIPTION OF PRESIDENTIAL ACTIONS.

  (a) Description of Presidential Actions.--Except as 
provided in subsection (d), the Presidential actions referred 
to in this subsection are the following:
          (1) A private demarche.
          (2) An official public demarche.
          (3) A public condemnation.
          (4) A public condemnation within one or more 
        multilateral fora.
          (5) The delay or cancellation of one or more 
        scientific exchanges.
          (6) The delay or cancellation of one or more cultural 
        exchanges.
          (7) The denial of one or more working, official, or 
        state visits.
          (8) The delay or cancellation of one or more working, 

        official, or state visits.
          (9) The withdrawal, limitation, or suspension of 
        United States development assistance in accordance with 
        section 116 of the Foreign Assistance Act of 1961.
          (10) Directing the Export-Import Bank of the United 
        States, the [Overseas Private Investment Corporation] 
        United States International Development Finance 
        Corporation, or the Trade and Development Agency not to 
        approve the issuance of any (or a specified number of) 
        guarantees, insurance, extensions of credit, or 
        participations in the extension of credit with respect 
        to the specific government, agency, instrumentality, or 
        official found or determined by the President to be 
        responsible for violations under section 401 or 402.
          (11) The withdrawal, limitation, or suspension of 
        United States security assistance in accordance with 
        section 502B of the Foreign Assistance Act of 1961.
          (12) Consistent with section 701 of the International 
        Financial Institutions Act of 1977, directing the 
        United States executive directors of international 
        financial institutions to oppose and vote against loans 
        primarily benefiting the specific foreign government, 
        agency, instrumentality, or official found or 
        determined by the President to be responsible for 
        violations under section 401 or 402.
          (13) Ordering the heads of the appropriate United 
        States agencies not to issue any (or a specified number 
        of) specific licenses, and not to grant any other 
        specific authority (or a specified number of 
        authorities), to export any goods or technology to the 
        specific foreign government, agency, instrumentality, 
        or official found or determined by the President to be 
        responsible for violations under section 401 or 402, 
        under--
                  (A) the Export Administration Act of 1979;
                  (B) the Arms Export Control Act;
                  (C) the Atomic Energy Act of 1954; or
                  (D) any other statute that requires the prior 
                review and approval of the United States 
                Government as a condition for the export or 
                reexport of goods or services.
          (14) Prohibiting any United States financial 
        institution from making loans or providing credits 
        totaling more than $10,000,000 in any 12-month period 
        to the specific foreign government, agency, 
        instrumentality, or official found or determined by the 
        President to be responsible for violations under 
        section 401 or 402.
          (15) Prohibiting the United States Government from 
        procuring, or entering into any contract for the 
        procurement of, any goods or services from the foreign 
        government, entities, or officials found or determined 
        by the President to be responsible for violations under 
        section 401 or 402.
  (b) Commensurate Action.--Except as provided in subsection 
(d), the President may substitute any other action authorized 
by law for any action described in paragraphs (1) through (15) 
of subsection (a) if such action is commensurate in effect to 
the action substituted and if the action would further the 
policy of the United States set forth in section 2(b) of this 
Act. The President shall seek to take all appropriate and 
feasible actions authorized by law to obtain the cessation of 
the violations. If commensurate action is taken, the President 
shall report such action, together with an explanation for 
taking such action, to the appropriate congressional 
committees.
  (c) Binding Agreements.--The President may negotiate and 
enter into a binding agreement with a foreign government that 
obligates such government to cease, or take substantial steps 
to address and phase out, the act, policy, or practice 
constituting the violation of religious freedom. The entry into 
force of a binding agreement for the cessation of the 
violations shall be a primary objective for the President in 
responding to a foreign government that has engaged in or 
tolerated particularly severe violations of religious freedom.
  (d) Exceptions.--Any action taken pursuant to subsection (a) 
or (b) may not prohibit or restrict the provision of medicine, 
medical equipment or supplies, food, or other humanitarian 
assistance.

           *       *       *       *       *       *       *

                              ----------                              


               TRAFFICKING VICTIMS PROTECTION ACT OF 2000



           *       *       *       *       *       *       *
DIVISION A--TRAFFICKING VICTIMS PROTECTION ACT OF 2000

           *       *       *       *       *       *       *


SEC. 103. DEFINITIONS.

   In this division:
          (1) Abuse or threatened abuse of law or legal 
        process.--The term ``abuse or threatened abuse of the 
        legal process'' means the use or threatened use of a 
        law or legal process, whether administrative, civil, or 
        criminal, in any manner or for any purpose for which 
        the law was not designed, in order to exert pressure on 
        another person to cause that person to take some action 
        or refrain from taking some action.
          (2) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the 
        Committee on Foreign Relations and the Committee on the 
        Judiciary of the Senate and the Committee on Foreign 
        Affairs and the Committee on the Judiciary of the House 
        of Representatives.
          (3) Coercion.--The term ``coercion'' means--
                  (A) threats of serious harm to or physical 
                restraint against any person;
                  (B) any scheme, plan, or pattern intended to 
                cause a person to believe that failure to 
                perform an act would result in serious harm to 
                or physical restraint against any person; or
                  (C) the abuse or threatened abuse of the 
                legal process.
          (4) Commercial sex act.--The term ``commercial sex 
        act'' means any sex act on account of which anything of 
        value is given to or received by any person.
          (5) Debt bondage.--The term ``debt bondage'' means 
        the status or condition of a debtor arising from a 
        pledge by the debtor of his or her personal services or 
        of those of a person under his or her control as a 
        security for debt, if the value of those services as 
        reasonably assessed is not applied toward the 
        liquidation of the debt or the length and nature of 
        those services are not respectively limited and 
        defined.
          (6) Involuntary servitude.--The term ``involuntary 
        servitude'' includes a condition of servitude induced 
        by means of--
                  (A) any scheme, plan, or pattern intended to 
                cause a person to believe that, if the person 
                did not enter into or continue in such 
                condition, that person or another person would 
                suffer serious harm or physical restraint; or
                  (B) the abuse or threatened abuse of the 
                legal process.
          (7) Minimum standards for the elimination of 
        trafficking.--The term ``minimum standards for the 
        elimination of trafficking'' means the standards set 
        forth in section 108.
          (8) Nonhumanitarian, nontrade-related foreign 
        assistance.--The term ``nonhumanitarian, nontrade-
        related foreign assistance'' means--
                  (A) any assistance under the Foreign 
                Assistance Act of 1961, other than--
                          (i) assistance under chapter 4 of 
                        part II of that Act in support of 
                        programs of nongovernmental 
                        organizations that is made available 
                        for any program, project, or activity 
                        eligible for assistance under chapter 1 
                        of part I of that Act;
                          (ii) assistance under chapter 8 of 
                        part I of that Act;
                          (iii) any other narcotics-related 
                        assistance under part I of that Act or 
                        under chapter 4 or 5 part II of that 
                        Act, but any such assistance provided 
                        under this clause shall be subject to 
                        the prior notification procedures 
                        applicable to reprogrammings pursuant 
                        to section 634A of that Act;
                          (iv) disaster relief assistance, 
                        including any assistance under chapter 
                        9 of part I of that Act;
                          (v) antiterrorism assistance under 
                        chapter 8 of part II of that Act;
                          (vi) assistance for refugees;
                          (vii) humanitarian and other 
                        development assistance in support of 
                        programs of nongovernmental 
                        organizations under chapters 1 and 10 
                        of that Act;
                          [(viii) programs under title IV of 
                        chapter 2 of part I of that Act, 
                        relating to the Overseas Private 
                        Investment Corporation; and]
                          (viii) any support under title II of 
                        the Better Utilization of Investments 
                        Leading to Development Act of 2018 
                        relating to the United States 
                        International Development Finance 
                        Corporation; and
                          (ix) other programs involving trade-
                        related or humanitarian assistance; and
                  (B) sales, or financing on any terms, under 
                the Arms Export Control Act, other than sales 
                or financing provided for narcotics-related 
                purposes following notification in accordance 
                with the prior notification procedures 
                applicable to reprogrammings pursuant to 
                section 634A of the Foreign Assistance Act of 
                1961.
          (9) Severe forms of trafficking in persons.--The term 
        ``severe forms of trafficking in persons'' means--
                  (A) sex trafficking in which a commercial sex 
                act is induced by force, fraud, or coercion, or 
                in which the person induced to perform such act 
                has not attained 18 years of age; or
                  (B) the recruitment, harboring, 
                transportation, provision, or obtaining of a 
                person for labor or services, through the use 
                of force, fraud, or coercion for the purpose of 
                subjection to involuntary servitude, peonage, 
                debt bondage, or slavery.
          (10) Sex trafficking.--The term ``sex trafficking'' 
        means the recruitment, harboring, transportation, 
        provision, obtaining, patronizing, or soliciting of a 
        person for the purpose of a commercial sex act.
          (11) State.--The term ``State'' means each of the 
        several States of the United States, the District of 
        Columbia, the Commonwealth of Puerto Rico, the United 
        States Virgin Islands, Guam, American Samoa, the 
        Commonwealth of the Northern Mariana Islands, and 
        territories and possessions of the United States.
          (12) Task force.--The term ``Task Force'' means the 
        Interagency Task Force to Monitor and Combat 
        Trafficking established under section 105.
          (13) United states.--The term ``United States'' means 
        the fifty States of the United States, the District of 
        Columbia, the Commonwealth of Puerto Rico, the Virgin 
        Islands, American Samoa, Guam, the Commonwealth of the 
        Northern Mariana Islands, and the territories and 
        possessions of the United States.
          (14) Victim of a severe form of trafficking.--The 
        term ``victim of a severe form of trafficking'' means a 
        person subject to an act or practice described in 
        paragraph (9).
          (15) Victim of trafficking.--The term ``victim of 
        trafficking'' means a person subjected to an act or 
        practice described in paragraph (9) or (10).

           *       *       *       *       *       *       *

                              ----------                              


 SECTION 732 OF THE GLOBAL ENVIRONMENTAL PROTECTION ASSISTANCE ACT OF 
                                  1989

SEC. 732. REDUCTION OF GREENHOUSE GAS INTENSITY.

  (a) Lead Agency.--
          (1) In general.--The Department of State shall act as 
        the lead agency for integrating into United States 
        foreign policy the goal of reducing greenhouse gas 
        intensity in developing countries.
          (2) Reports.--
                  (A) Initial report.--Not later than 180 days 
                after August 8, 2005, the Secretary of State 
                shall submit to the appropriate authorizing and 
                appropriating committees of Congress an initial 
                report, based on the most recent information 
                available to the Secretary from reliable public 
                sources, that identifies the 25 developing 
                countries that are the largest greenhouse gas 
                emitters, including for each country--
                          (i) an estimate of the quantity and 
                        types of energy used;
                          (ii) an estimate of the greenhouse 
                        gas intensity of the energy, 
                        manufacturing, agricultural, and 
                        transportation sectors;
                          (iii) a description 1 the progress of 
                        any significant projects undertaken to 
                        reduce greenhouse gas intensity;
                          (iv) a description of the potential 
                        for undertaking projects to reduce 
                        greenhouse gas intensity;
                          (v) a description of any obstacles to 
                        the reduction of greenhouse gas 
                        intensity; and
                          (vi) a description of the best 
                        practices learned by the Agency for 
                        International Development from 
                        conducting previous pilot and 
                        demonstration projects to reduce 
                        greenhouse gas intensity.
                  (B) Update.--Not later than 18 months after 
                the date on which the initial report is 
                submitted under subparagraph (A), the Secretary 
                shall submit to the appropriate authorizing and 
                appropriating committees of Congress, based on 
                the best information available to the 
                Secretary, an update of the information 
                provided in the initial report.
                  (C) Use.--
                          (i) Initial report.--The Secretary of 
                        State shall use the initial report 
                        submitted under subparagraph (A) to 
                        establish baselines for the developing 
                        countries identified in the report with 
                        respect to the information provided 
                        under clauses (i) and (ii) of that 
                        subparagraph.
                          (ii) Annual reports.--The Secretary 
                        of State shall use the annual reports 
                        prepared under subparagraph (B) and any 
                        other information available to the 
                        Secretary to track the progress of the 
                        developing countries with respect to 
                        reducing greenhouse gas intensity.
  (b) Projects.--- The Secretary of State, in coordination with 
Administrator of the United States Agency for International 
Development, shall (directly or through agreements with the 
World Bank, the International Monetary Fund, the [Overseas 
Private Investment Corporation] United States International 
Development Finance Corporation, and other development 
institutions) provide assistance to developing countries 
specifically for projects to reduce greenhouse gas intensity, 
including projects to--
          (1) leverage, through bilateral agreements, funds for 
        reduction of greenhouse gas intensity;
          (2) increase private investment in projects and 
        activities to reduce greenhouse gas intensity; and
          (3) expedite the deployment of technology to reduce 
        greenhouse gas intensity.
  (c) Focus.--In providing assistance under subsection (b), the 
Secretary of State shall focus on--
          (1) promoting the rule of law, property rights, 
        contract protection, and economic freedom; and
          (2) increasing capacity, infrastructure, and 
        training.
  (d) Priority.--In providing assistance under subsection (b), 
the Secretary of State shall give priority to projects in the 
25 developing countries identified in the report submitted 
under subsection (a)(2)(A).
                              ----------                              


                  UKRAINE FREEDOM SUPPORT ACT OF 2014



           *       *       *       *       *       *       *
SEC. 7. EXPANDED NONMILITARY ASSISTANCE FOR UKRAINE.

  (a) Assistance to Internally Displaced People in Ukraine.--
          (1) In general.--Not later than 30 days after the 
        date of the enactment of this Act, the Secretary of 
        State shall submit a plan, including actions by the 
        United States Government, other governments, and 
        international organizations, to meet the need for 
        protection of and assistance for internally displaced 
        persons in Ukraine, to--
                  (A) the Committee on Foreign Relations, the 
                Committee on Appropriations, and the Committee 
                on Energy and Natural Resources of the Senate; 
                and
                  (B) the Committee on Foreign Affairs, the 
                Committee on Appropriations, and the Committee 
                on Energy and Commerce of the House of 
                Representatives.
          (2) Elements.--The plan required by paragraph (1) 
        should include, as appropriate, activities in support 
        of--
                  (A) helping to establish a functional and 
                adequately resourced central registration 
                system in Ukraine that can ensure coordination 
                of efforts to provide assistance to internally 
                displaced persons in different regions;
                  (B) encouraging adoption of legislation in 
                Ukraine that protects internally displaced 
                persons from discrimination based on their 
                status and provides simplified procedures for 
                obtaining the new residency registration or 
                other official documentation that is a 
                prerequisite to receiving appropriate social 
                payments under the laws of Ukraine, such as 
                pensions and disability, child, and 
                unemployment benefits; and
                  (C) helping to ensure that information is 
                available to internally displaced persons 
                about--
                          (i) government agencies and 
                        independent groups that can provide 
                        assistance to such persons in various 
                        regions; and
                          (ii) evacuation assistance available 
                        to persons seeking to flee armed 
                        conflict areas.
          (3) Assistance through international organizations.--
        The President shall instruct the United States 
        permanent representative or executive director, as the 
        case may be, to the relevant United Nations voluntary 
        agencies, including the United Nations High 
        Commissioner for Refugees and the United Nations Office 
        for the Coordination of Humanitarian Affairs, and other 
        appropriate international organizations, to use the 
        voice and vote of the United States to support 
        appropriate assistance for internally displaced persons 
        in Ukraine.
  (b) Assistance to the Defense Sector of Ukraine.--The 
Secretary of State and the Secretary of Defense should assist 
entities in the defense sector of Ukraine to reorient exports 
away from customers in the Russian Federation and to find 
appropriate alternative markets for those entities in the 
defense sector of Ukraine that have already significantly 
reduced exports to and cooperation with entities in the defense 
sector of the Russian Federation.
  (c) Assistance To Address the Energy Crisis in Ukraine.--
          (1) Emergency energy assistance.--
                  (A) Plan required.--The Secretary of State 
                and the Secretary of Energy, in collaboration 
                with the Administrator of the United States 
                Agency for International Development and the 
                Administrator of the Federal Emergency 
                Management Agency, shall work with officials of 
                the Government of Ukraine to develop a short-
                term emergency energy assistance plan designed 
                to help Ukraine address the potentially severe 
                short-term heating fuel and electricity 
                shortages facing Ukraine in 2014 and 2015.
                  (B) Elements.--The plan required by 
                subparagraph (A) should include strategies to 
                address heating fuel and electricity shortages 
                in Ukraine, including, as appropriate--
                          (i) the acquisition of short-term, 
                        emergency fuel supplies;
                          (ii) the repair or replacement of 
                        infrastructure that could impede the 
                        transmission of electricity or 
                        transportation of fuel;
                          (iii) the prioritization of the 
                        transportation of fuel supplies to the 
                        areas where such supplies are needed 
                        most;
                          (iv) streamlining emergency 
                        communications throughout national, 
                        regional, and local governments to 
                        manage the potential energy crisis 
                        resulting from heating fuel and 
                        electricity shortages;
                          (v) forming a crisis management team 
                        within the Government of Ukraine to 
                        specifically address the potential 
                        crisis, including ensuring coordination 
                        of the team's efforts with the efforts 
                        of outside governmental and 
                        nongovernmental entities providing 
                        assistance to address the potential 
                        crisis; and
                          (vi) developing a public outreach 
                        strategy to facilitate preparation by 
                        the population and communication with 
                        the population in the event of a 
                        crisis.
                  (C) Assistance.--The Secretary of State, the 
                Secretary of Energy, and the Administrator of 
                the United States Agency for International 
                Development are authorized to provide 
                assistance in support of, and to invest in 
                short-term solutions for, enabling Ukraine to 
                secure the energy safety of the people of 
                Ukraine during 2014 and 2015, including 
                through--
                          (i) procurement and transport of 
                        emergency fuel supplies, including 
                        reverse pipeline flows from Europe;
                          (ii) provision of technical 
                        assistance for crisis planning, crisis 
                        response, and public outreach;
                          (iii) repair of infrastructure to 
                        enable the transport of fuel supplies;
                          (iv) repair of power generating or 
                        power transmission equipment or 
                        facilities;
                          (v) procurement and installation of 
                        compressors or other appropriate 
                        equipment to enhance short-term natural 
                        gas production;
                          (vi) procurement of mobile 
                        electricity generation units;
                          (vii) conversion of natural gas 
                        heating facilities to run on other 
                        fuels, including alternative energy 
                        sources; and
                          (viii) provision of emergency 
                        weatherization and winterization 
                        materials and supplies.
          (2) Reduction of ukraine's reliance on energy 
        imports.--
                  (A) Plans required.--The Secretary of State, 
                in collaboration with the Secretary of Energy 
                and the Administrator of the United States 
                Agency for International Development, shall 
                work with officials of the Government of 
                Ukraine to develop medium- and long-term plans 
                to increase energy production and efficiency to 
                increase energy security by helping Ukraine 
                reduce its dependence on natural gas imported 
                from the Russian Federation.
                  (B) Elements.--The medium- and long-term 
                plans required by subparagraph (A) should 
                include strategies, as appropriate, to--
                          (i) improve corporate governance and 
                        unbundling of state-owned oil and gas 
                        sector firms;
                          (ii) increase production from natural 
                        gas fields and from other sources, 
                        including renewable energy;
                          (iii) license new oil and gas blocks 
                        transparently and competitively;
                          (iv) modernize oil and gas upstream 
                        infrastructure; and
                          (v) improve energy efficiency.
                  (C) Prioritization.--The Secretary of State, 
                the Administrator of the United States Agency 
                for International Development, and the 
                Secretary of Energy should, during fiscal years 
                2015 through 2018, work with other donors, 
                including multilateral agencies and 
                nongovernmental organizations, to prioritize, 
                to the extent practicable and as appropriate, 
                the provision of assistance from such donors to 
                help Ukraine to improve energy efficiency, 
                increase energy supplies produced in Ukraine, 
                and reduce reliance on energy imports from the 
                Russian Federation, including natural gas.
                  (D) Authorization of Appropriations.--There 
                are authorized to be appropriated $50,000,000 
                in the aggregate for fiscal years 2016 through 
                2018 to carry out activities under this 
                paragraph.
          (3) Support from the overseas private investment 
        corporation.--The [Overseas Private Investment 
        Corporation] United States International Development 
        Finance Corporation shall--
                  (A) prioritize, to the extent practicable, 
                support for investments to help increase energy 
                efficiency, develop domestic oil and natural 
                gas reserves, improve and repair electricity 
                infrastructure, and develop renewable and other 
                sources of energy in Ukraine; and
                  (B) implement procedures for expedited review 
                and, as appropriate, approval, of applications 
                [by eligible investors (as defined in section 
                238 of the Foreign Assistance Act of 1961 (22 
                U.S.C. 2198))] for loans, loan guarantees, and 
                insurance for such investments.
          (4) Support by the world bank group and the european 
        bank for reconstruction and development.--The President 
        shall, to the extent practicable and as appropriate, 
        direct the United States Executive Directors of the 
        World Bank Group and the European Bank for 
        Reconstruction and Development to use the voice, vote, 
        and influence of the United States to encourage the 
        World Bank Group and the European Bank for 
        Reconstruction and Development and other international 
        financial institutions--
                  (A) to invest in, and increase their efforts 
                to promote investment in, projects to improve 
                energy efficiency, improve and repair 
                electricity infrastructure, develop domestic 
                oil and natural gas reserves, and develop 
                renewable and other sources of energy in 
                Ukraine; and
                  (B) to stimulate private investment in such 
                projects.
  (d) Assistance to Civil Society in Ukraine.--
          (1) In general.--The Secretary of State and the 
        Administrator of the United States Agency for 
        International Development shall, directly or through 
        nongovernmental or international organizations, such as 
        the Organization for Security and Co-operation in 
        Europe, the National Endowment for Democracy, and 
        related organizations--
                  (A) strengthen the organizational and 
                operational capacity of democratic civil 
                society in Ukraine;
                  (B) support the efforts of independent media 
                outlets to broadcast, distribute, and share 
                information in all regions of Ukraine;
                  (C) counter corruption and improve 
                transparency and accountability of institutions 
                that are part of the Government of Ukraine; and
                  (D) provide support for democratic organizing 
                and election monitoring in Ukraine.
          (2) Strategy required.--Not later than 60 days after 
        the date of the enactment of this Act, the President 
        shall submit a strategy to carry out the activities 
        described in paragraph (1) to--
                  (A) the Committee on Foreign Relations and 
                the Committee on Appropriations of the Senate; 
                and
                  (B) the Committee on Foreign Affairs and the 
                Committee on Appropriations of the House of 
                Representatives.
          (3) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary of State 
        $20,000,000 for fiscal year 2016 to carry out this 
        subsection.
          (4) Transparency Requirements.--Any assistance 
        provided pursuant to this subsection shall be conducted 
        in as transparent of a manner as possible, consistent 
        with the nature and goals of this subsection. The 
        President shall provide a briefing on the activities 
        funded by this subsection at the request of the 
        committees specified in paragraph (2).

           *       *       *       *       *       *       *

                              ----------                              


                    GLOBAL FOOD SECURITY ACT OF 2016



           *       *       *       *       *       *       *
SEC. 4. DEFINITIONS.

  In this Act:
          (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                  (A) the Committee on Foreign Relations of the 
                Senate;
                  (B) the Committee on Agriculture, Nutrition, 
                and Forestry of the Senate;
                  (C) the Committee on Appropriations of the 
                Senate;
                  (D) the Committee on Foreign Affairs of the 
                House of Representatives;
                  (E) the Committee on Agriculture of the House 
                of Representatives; and
                  (F) the Committee on Appropriations of the 
                House of Representatives.
          (2) Feed the future innovation labs.--The term ``Feed 
        the Future Innovation Labs'' means research 
        partnerships led by United States universities that 
        advance solutions to reduce global hunger, poverty, and 
        malnutrition.
          (3) Food and nutrition security.--The term ``food and 
        nutrition security'' means access to, and availability, 
        utilization, and stability of, sufficient food to meet 
        caloric and nutritional needs for an active and healthy 
        life.
          (4) Global food security strategy.--The term ``Global 
        Food Security Strategy'' means the strategy developed 
        and implemented pursuant to section 5(a).
          (5) Key stakeholders.--The term ``key stakeholders'' 
        means actors engaged in efforts to advance global food 
        security programs and objectives, including--
                  (A) relevant Federal departments and 
                agencies;
                  (B) national and local governments in target 
                countries;
                  (C) other bilateral donors;
                  (D) international and regional organizations;
                  (E) international, regional, and local 
                financial institutions;
                  (F) international, regional, and local 
                private voluntary, nongovernmental, faith-
                based, and civil society organizations;
                  (G) the private sector, including 
                agribusinesses and relevant commodities groups;
                  (H) agricultural producers, including farmer 
                organizations, cooperatives, small-scale 
                producers, and women; and
                  (I) agricultural research and academic 
                institutions, including land-grant universities 
                and extension services.
          (6) Malnutrition.--The term ``malnutrition'' means 
        poor nutritional status caused by nutritional 
        deficiency or excess.
          (7) Relevant federal departments and agencies.--The 
        term ``relevant Federal departments and agencies'' 
        means the United States Agency for International 
        Development, the Department of Agriculture, the 
        Department of Commerce, the Department of State, the 
        Department of the Treasury, the Millennium Challenge 
        Corporation, the [Overseas Private Investment 
        Corporation] United States International Development 
        Finance Corporation, the Peace Corps, the Office of the 
        United States Trade Representative, the United States 
        African Development Foundation, the United States 
        Geological Survey, and any other department or agency 
        specified by the President for purposes of this 
        section.
          (8) Resilience.--The term ``resilience'' means the 
        ability of people, households, communities, countries, 
        and systems to mitigate, adapt to, and recover from 
        shocks and stresses to food security in a manner that 
        reduces chronic vulnerability and facilitates inclusive 
        growth.
          (9) Small-scale producer.--The term ``small-scale 
        producer'' means farmers, pastoralists, foresters, and 
        fishers that have a low asset base and limited 
        resources, including land, capital, skills and labor, 
        and, in the case of farmers, typically farm on fewer 
        than 5 hectares of land.
          (10) Stunting.--The term ``stunting'' refers to a 
        condition that--
                  (A) is measured by a height-to-age ratio that 
                is more than 2 standard deviations below the 
                median for the population;
                  (B) manifests in children who are younger 
                than 2 years of age;
                  (C) is a process that can continue in 
                children after they reach 2 years of age, 
                resulting in an individual being ``stunted'';
                  (D) is a sign of chronic malnutrition; and
                  (E) can lead to long-term poor health, 
                delayed motor development, impaired cognitive 
                function, and decreased immunity.
          (11) Sustainable.--The term ``sustainable'' means the 
        ability of a target country, community, implementing 
        partner, or intended beneficiary to maintain, over 
        time, the programs authorized and outcomes achieved 
        pursuant to this Act.
          (12) Target country.--The term ``target country'' 
        means a developing country that is selected to 
        participate in agriculture and nutrition security 
        programs under the Global Food Security Strategy 
        pursuant to the selection criteria described in section 
        5(a)(2), including criteria such as the potential for 
        agriculture-led economic growth, government commitment 
        to agricultural investment and policy reform, 
        opportunities for partnerships and regional synergies, 
        the level of need, and resource availability.

           *       *       *       *       *       *       *

                              ----------                              


     COUNTERING RUSSIAN INFLUENCE IN EUROPE AND EURASIA ACT OF 2017



           *       *       *       *       *       *       *
    TITLE II--SANCTIONS WITH RESPECT TO THE RUSSIAN FEDERATION AND 
COMBATING TERRORISM AND ILLICIT FINANCING

           *       *       *       *       *       *       *


Subtitle B--Countering Russian Influence in Europe and Eurasia

           *       *       *       *       *       *       *


SEC. 257. UKRANIAN ENERGY SECURITY.

  (a) Statement of Policy.--It is the policy of the United 
States--
          (1) to support the Government of Ukraine in restoring 
        its sovereign and territorial integrity;
          (2) to condemn and oppose all of the destabilizing 
        efforts by the Government of the Russian Federation in 
        Ukraine in violation of its obligations and 
        international commitments;
          (3) to never recognize the illegal annexation of 
        Crimea by the Government of the Russian Federation or 
        the separation of any portion of Ukrainian territory 
        through the use of military force;
          (4) to deter the Government of the Russian Federation 
        from further destabilizing and invading Ukraine and 
        other independent countries in Central and Eastern 
        Europe and the Caucuses;
          (5) to assist in promoting reform in regulatory 
        oversight and operations in Ukraine's energy sector, 
        including the establishment and empowerment of an 
        independent regulatory organization;
          (6) to encourage and support fair competition, market 
        liberalization, and reliability in Ukraine's energy 
        sector;
          (7) to help Ukraine and United States allies and 
        partners in Europe reduce their dependence on Russian 
        energy resources, especially natural gas, which the 
        Government of the Russian Federation uses as a weapon 
        to coerce, intimidate, and influence other countries;
          (8) to work with European Union member states and 
        European Union institutions to promote energy security 
        through developing diversified and liberalized energy 
        markets that provide diversified sources, suppliers, 
        and routes;
          (9) to continue to oppose the NordStream 2 pipeline 
        given its detrimental impacts on the European Union's 
        energy security, gas market development in Central and 
        Eastern Europe, and energy reforms in Ukraine; and
          (10) that the United States Government should 
        prioritize the export of United States energy resources 
        in order to create American jobs, help United States 
        allies and partners, and strengthen United States 
        foreign policy.
  (b) Plan To Promote Energy Security in Ukraine.--
          (1) In general.--The Secretary of State, in 
        coordination with the Administrator of the United 
        States Agency for International Development and the 
        Secretary of Energy, shall work with the Government of 
        Ukraine to develop a plan to increase energy security 
        in Ukraine, increase the amount of energy produced in 
        Ukraine, and reduce Ukraine's reliance on energy 
        imports from the Russian Federation.
          (2) Elements.--The plan developed under paragraph (1) 
        shall include strategies for market liberalization, 
        effective regulation and oversight, supply 
        diversification, energy reliability, and energy 
        efficiency, such as through supporting--
                  (A) the promotion of advanced technology and 
                modern operating practices in Ukraine's oil and 
                gas sector;
                  (B) modern geophysical and meteorological 
                survey work as needed followed by international 
                tenders to help attract qualified investment 
                into exploration and development of areas with 
                untapped resources in Ukraine;
                  (C) a broadening of Ukraine's electric power 
                transmission interconnection with Europe;
                  (D) the strengthening of Ukraine's capability 
                to maintain electric power grid stability and 
                reliability;
                  (E) independent regulatory oversight and 
                operations of Ukraine's gas market and 
                electricity sector;
                  (F) the implementation of primary gas law 
                including pricing, tariff structure, and legal 
                regulatory implementation;
                  (G) privatization of government owned energy 
                companies through credible legal frameworks and 
                a transparent process compliant with 
                international best practices;
                  (H) procurement and transport of emergency 
                fuel supplies, including reverse pipeline flows 
                from Europe;
                  (I) provision of technical assistance for 
                crisis planning, crisis response, and public 
                outreach;
                  (J) repair of infrastructure to enable the 
                transport of fuel supplies;
                  (K) repair of power generating or power 
                transmission equipment or facilities; and
                  (L) improved building energy efficiency and 
                other measures designed to reduce energy demand 
                in Ukraine.
          (3) Reports.--
                  (A) Implementation of ukraine freedom support 
                act of 2014 provisions.--Not later than 180 
                days after the date of the enactment of this 
                Act, the Secretary of State shall submit to the 
                appropriate congressional committees a report 
                detailing the status of implementing the 
                provisions required under section 7(c) of the 
                Ukraine Freedom Support Act of 2014 (22 U.S.C. 
                8926(c)), including detailing the plans 
                required under that section, the level of 
                funding that has been allocated to and expended 
                for the strategies set forth under that 
                section, and progress that has been made in 
                implementing the strategies developed pursuant 
                to that section.
                  (B) In general.--Not later than 180 days 
                after the date of the enactment of this Act, 
                and every 180 days thereafter, the Secretary of 
                State shall submit to the appropriate 
                congressional committees a report detailing the 
                plan developed under paragraph (1), the level 
                of funding that has been allocated to and 
                expended for the strategies set forth in 
                paragraph (2), and progress that has been made 
                in implementing the strategies.
                  (C) Briefings.--The Secretary of State, or a 
                designee of the Secretary, shall brief the 
                appropriate congressional committees not later 
                than 30 days after the submission of each 
                report under subparagraph (B). In addition, the 
                Department of State shall make relevant 
                officials available upon request to brief the 
                appropriate congressional committees on all 
                available information that relates directly or 
                indirectly to Ukraine or energy security in 
                Eastern Europe.
                  (D) Appropriate congressional committees 
                defined.--In this paragraph, the term 
                ``appropriate congressional committees'' 
                means--
                          (i) the Committee on Foreign 
                        Relations and the Committee on 
                        Appropriations of the Senate; and
                          (ii) the Committee on Foreign Affairs 
                        and the Committee on Appropriations of 
                        the House of Representatives.
  (c) Supporting Efforts of Countries in Europe and Eurasia To 
Decrease Their Dependence on Russian Sources of Energy.--
          (1) Findings.--Congress makes the following findings:
                  (A) The Government of the Russian Federation 
                uses its strong position in the energy sector 
                as leverage to manipulate the internal politics 
                and foreign relations of the countries of 
                Europe and Eurasia.
                  (B) This influence is based not only on the 
                Russian Federation's oil and natural gas 
                resources, but also on its state-owned nuclear 
                power and electricity companies.
          (2) Sense of congress.--It is the sense of Congress 
        that--
                  (A) the United States should assist the 
                efforts of the countries of Europe and Eurasia 
                to enhance their energy security through 
                diversification of energy supplies in order to 
                lessen dependencies on Russian Federation 
                energy resources and state-owned entities; and
                  (B) the Export-Import Bank of the United 
                States and the [Overseas Private Investment 
                Corporation] United States International 
                Development Finance Corporation should play key 
                roles in supporting critical energy projects 
                that contribute to that goal.
          (3) Use of countering russian influence fund to 
        provide technical assistance.--Amounts in the 
        Countering Russian Influence Fund pursuant to section 
        254 shall be used to provide technical advice to 
        countries described in subsection (b)(1) of such 
        section designed to enhance energy security and lessen 
        dependence on energy from Russian Federation sources.
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated for the Department of State a total of 
$30,000,000 for fiscal years 2018 and 2019 to carry out the 
strategies set forth in subsection (b)(2) and other activities 
under this section related to the promotion of energy security 
in Ukraine.
  (e) Rule of Construction.--Nothing in this section shall be 
construed as affecting the responsibilities required and 
authorities provided under section 7 of the Ukraine Freedom 
Support Act of 2014 (22 U.S.C. 8926).

           *       *       *       *       *       *       *

                              ----------                              


                      TITLE 31, UNITED STATES CODE



           *       *       *       *       *       *       *
SUBTITLE VI--MISCELLANEOUS

           *       *       *       *       *       *       *


CHAPTER 91--GOVERNMENT CORPORATIONS

           *       *       *       *       *       *       *


Sec. 9101. Definitions

   In this chapter--
          (1) ``Government corporation'' means a mixed-
        ownership Government corporation and a wholly owned 
        Government corporation.
          (2) ``mixed-ownership Government corporation'' 
        means--
                  (A) the Central Bank for Cooperatives.
                  (B) the Federal Deposit Insurance 
                Corporation.
                  (C) the Federal Home Loan Banks.
                  (D) the Federal Intermediate Credit Banks.
                  (E) the Federal Land Banks.
                  (F) the National Credit Union Administration 
                Central Liquidity Facility.
                  (G) the Regional Banks for Cooperatives.
                  (H) the Rural Telephone Bank when the 
                ownership, control, and operation of the Bank 
                are converted under section 410(a) of the Rural 
                Electrification Act of 1936 (7 U.S.C. 950(a)).
                  (I) the Financing Corporation.
                  (J) the Resolution Trust Corporation.
                  (K) the Resolution Funding Corporation.
          (3) ``wholly owned Government corporation'' means--
                  (A) the Commodity Credit Corporation.
                  (B) the Community Development Financial 
                Institutions Fund.
                  (C) the Export-Import Bank of the United 
                States.
                  (D) the Federal Crop Insurance Corporation.
                  (E) Federal Prison Industries, Incorporated.
                  (F) the Corporation for National and 
                Community Service.
                  (G) the Government National Mortgage 
                Association.
                  (H) the [Overseas Private Investment 
                Corporation] United States International 
                Development Finance Corporation.
                  (I) the Pennsylvania Avenue Development 
                Corporation.
                  (J) the Pension Benefit Guaranty Corporation.
                  (K) the Rural Telephone Bank until the 
                ownership, control, and operation of the Bank 
                are converted under section 410(a) of the Rural 
                Electrification Act of 1936 (7 U.S.C. 950(a)).
                  (L) the Saint Lawrence Seaway Development 
                Corporation.
                  (M) the Secretary of Housing and Urban 
                Development when carrying out duties and powers 
                related to the Federal Housing Administration 
                Fund.
                  (N) the Tennessee Valley Authority.
                   (P) the Panama Canal Commission.
                  (Q) the Millennium Challenge Corporation.
                  (R) the International Clean Energy 
                Foundation.

           *       *       *       *       *       *       *

                              ----------                              


              ENERGY INDEPENDENCE AND SECURITY ACT OF 2007



           *       *       *       *       *       *       *
TITLE IX--INTERNATIONAL ENERGY PROGRAMS

           *       *       *       *       *       *       *


     Subtitle A--Assistance to Promote Clean and Efficient Energy 
Technologies in Foreign Countries

           *       *       *       *       *       *       *


SEC. 914. ACTIONS BY [OVERSEAS PRIVATE INVESTMENT CORPORATION]  UNITED 
                    STATES INTERNATIONAL DEVELOPMENT FINANCE 
                    CORPORATION.

  (a) Sense of Congress.--It is the sense of Congress that the 
[Overseas Private Investment Corporation] United States 
International Development Finance Corporation should promote 
greater investment in clean and efficient energy technologies 
by--
          (1) proactively reaching out to United States 
        companies that are interested in investing in clean and 
        efficient energy technologies in countries that are 
        significant contributors to global greenhouse gas 
        emissions;
          (2) giving preferential treatment to the evaluation 
        and awarding of projects that involve the investment or 
        utilization of clean and efficient energy technologies; 
        and
          (3) providing greater flexibility in supporting 
        projects that involve the investment or utilization of 
        clean and efficient energy technologies, including 
        financing, insurance, and other assistance.
  (b) Report.--The [Overseas Private Investment Corporation 
shall include in its annual report required under section 240A 
of the Foreign Assistance Act of 1961 (22 U.S.C. 2200a)] United 
States International Development Finance Corporation shall 
include in its annual report required under section 403 of the 
Better Utilization of Investments Leading to Development Act of 
2018--
          (1) a description of the activities carried out to 
        implement this section; or
          (2) if the Corporation did not carry out any 
        activities to implement this section, an explanation of 
        the reasons therefor.

           *       *       *       *       *       *       *


SEC. 916. DEPLOYMENT OF INTERNATIONAL CLEAN AND EFFICIENT ENERGY 
                    TECHNOLOGIES AND INVESTMENT IN GLOBAL ENERGY 
                    MARKETS

  (a) Task Force.--
          (1) Establishment.--Not later than 90 days after the 
        date of the enactment of this Act, the President shall 
        establish a Task Force on International Cooperation for 
        Clean and Efficient Energy Technologies (in this 
        section referred to as the ``Task Force'').
          (2) Composition.--The Task Force shall be composed of 
        representatives, appointed by the head of the 
        respective Federal department or agency, of--
                  (A) the Council on Environmental Quality;
                  (B) the Department of Energy;
                  (C) the Department of Commerce;
                  (D) the Department of the Treasury;
                  (E) the Department of State;
                  (F) the Environmental Protection Agency;
                  (G) the United States Agency for 
                International Development;
                  (H) the Export-Import Bank of the United 
                States;
                  (I) the [Overseas Private Investment 
                Corporation:] United States International 
                Development Finance Corporation;
                  (J) the Trade and Development Agency;
                  (K) the Small Business Administration;
                  (L) the Office of the United States Trade 
                Representative; and
                  (M) other Federal departments and agencies, 
                as determined by the President.
          (3) Chairperson.--The President shall designate a 
        Chairperson or Co-Chairpersons of the Task Force.
          (4) Duties.--The Task Force--
                  (A) shall develop and assist in the 
                implementation of the strategy required under 
                subsection (c); and
                  (B)(i) shall analyze technology, policy, and 
                market opportunities for the development, 
                demonstration, and deployment of clean and 
                efficient energy technologies on an 
                international basis; and
                  (ii) shall examine relevant trade, tax, 
                finance, international, and other policy issues 
                to assess which policies, in the United States 
                and in developing countries, would help open 
                markets and improve the export of clean and 
                efficient energy technologies from the United 
                States.
          (5) Termination.--The Task Force, including any 
        working group established by the Task Force pursuant to 
        subsection (b), shall terminate 12 years after the date 
        of the enactment of this Act.
  (b) Working Groups.--
          (1) Establishment.--The Task Force--
                  (A) shall establish an Interagency Working 
                Group on the Export of Clean and Efficient 
                Energy Technologies (in this section referred 
                to as the ``Interagency Working Group''); and
                  (B) may establish other working groups as may 
                be necessary to carry out this section.
          (2) Composition.--The Interagency Working Group shall 
        be composed of--
                  (A) the Secretary of Energy, the Secretary of 
                Commerce, and the Secretary of State, who shall 
                serve as Co-Chairpersons of the Interagency 
                Working Group; and
                  (B) other members, as determined by the 
                Chairperson or Co-Chairpersons of the Task 
                Force.
          (3) Duties.--The Interagency Working Group shall 
        coordinate the resources and relevant programs of the 
        Department of Energy, the Department of Commerce, the 
        Department of State, and other relevant Federal 
        departments and agencies to support the export of clean 
        and efficient energy technologies developed or 
        demonstrated in the United States to other countries 
        and the deployment of such clean and efficient energy 
        technologies in such other countries.
          (4) Interagency center.--The Interagency Working 
        Group--
                  (A) shall establish an Interagency Center on 
                the Export of Clean and Efficient Energy 
                Technologies (in this section referred to as 
                the ``Interagency Center'') to assist the 
                Interagency Working Group in carrying out its 
                duties required under paragraph (3); and
                  (B) shall locate the Interagency Center at a 
                site agreed upon by the Co-Chairpersons of the 
                Interagency Working Group, with the approval of 
                the Chairperson or Co-Chairpersons of the Task 
                Force.
  (c) Strategy.--
          (1) In general.--Not later than 1 year after the date 
        of the enactment of this Act, the Task Force shall 
        develop and submit to the President and the appropriate 
        congressional committees a strategy to--
                  (A) support the development and 
                implementation of programs, policies, and 
                initiatives in developing countries to promote 
                the adoption and deployment of clean and 
                efficient energy technologies, with an emphasis 
                on those developing countries that are expected 
                to experience the most significant growth in 
                energy production and use over the next 20 
                years;
                  (B) open and expand clean and efficient 
                energy technology markets and facilitate the 
                export of clean and efficient energy 
                technologies to developing countries, in a 
                manner consistent with United States 
                obligations as a member of the World Trade 
                Organization;
                  (C) integrate into the foreign policy 
                objectives of the United States the promotion 
                of--
                          (i) the deployment of clean and 
                        efficient energy technologies and the 
                        reduction of greenhouse gas emissions 
                        in developing countries; and
                          (ii) the export of clean and 
                        efficient energy technologies; and
                  (D) develop financial mechanisms and 
                instruments, including securities that mitigate 
                the political and foreign exchange risks of 
                uses that are consistent with the foreign 
                policy objectives of the United States by 
                combining the private sector market and 
                government enhancements, that--
                          (i) are cost-effective; and
                          (ii) facilitate private capital 
                        investment in clean and efficient 
                        energy technology projects in 
                        developing countries.
          (2) Updates.--Not later than 3 years after the date 
        of submission of the strategy under paragraph (1), and 
        every 3 years thereafter, the Task Force shall update 
        the strategy in accordance with the requirements of 
        paragraph (1).
  (d) Report.--
          (1) In general.--Not later than 3 years after the 
        date of submission of the strategy under subsection 
        (c)(1), and every 3 years thereafter, the President 
        shall transmit to the appropriate congressional 
        committees a report on the implementation of this 
        section for the prior 3-year period.
          (2) Matters to be included.--The report required 
        under paragraph (1) shall include the following:
                  (A) The update of the strategy required under 
                subsection (c)(2) and a description of the 
                actions taken by the Task Force to assist in 
                the implementation of the strategy.
                  (B) A description of actions taken by the 
                Task Force to carry out the duties required 
                under subsection (a)(4)(B).
                  (C) A description of assistance provided 
                under this section.
                  (D) The results of programs, projects, and 
                activities carried out under this section.
                  (E) A description of priorities for promoting 
                the diffusion and adoption of clean and 
                efficient energy technologies and strategies in 
                developing countries, taking into account 
                economic and security interests of the United 
                States and opportunities for the export of 
                technology of the United States.
                  (F) Recommendations to the heads of 
                appropriate Federal departments and agencies on 
                methods to streamline Federal programs and 
                policies to improve the role of such Federal 
                departments and agencies in the development, 
                demonstration, and deployment of clean and 
                efficient energy technologies on an 
                international basis.
                  (G) Strategies to integrate representatives 
                of the private sector and other interested 
                groups on the export and deployment of clean 
                and efficient energy technologies.
                  (H) A description of programs to disseminate 
                information to the private sector and the 
                public on clean and efficient energy 
                technologies and opportunities to transfer such 
                clean and efficient energy technologies.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2008 through 2020.

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