[Federal Register Volume 66, Number 4 (Friday, January 5, 2001)]
[Presidential Documents]
[Pages 1013-1014]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-311]


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  Federal Register / Vol. 66, No. 4 / Friday, January 5, 2001 / 
Presidential Documents  

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 Title 3--
 The President

[[Page 1013]]

                Presidential Determination No. 2001-07 of December 19, 
                2000

                
Presidential Certification To Waive Application 
                of Restrictions on Assistance to the Government of 
                Serbia and the Government of Montenegro

                Memorandum for the Secretary of Defense [and] the 
                Secretary of the Treasury

                Pursuant to the authority vested in me by the laws of 
                the United States, including section 1511 of the 
                National Defense Authorization Act for Fiscal Year 1994 
                (Public Law 103-160), I hereby certify to the Congress 
                that I have determined that the waiver of the 
                application of subsections 1511(b) and (c) of Public 
                Law 103-160 is necessary to achieve a negotiated 
                settlement of the conflict in Bosnia-Herzegovina that 
                is acceptable to the parties, to the extent that such 
                provisions apply to the furnishing of assistance to the 
                Government of Serbia and to the support of assistance 
                from international financial institutions to the 
                Government of Serbia and the Government of Montenegro.

                Therefore, I hereby waive the application of these 
                provisions with respect to such assistance and support.

                The Secretary of Defense is authorized and directed to 
                transmit a copy of this determination to the Congress 
                and arrange for its publication in the Federal 
                Register.

                    (Presidential Sig.)

                THE WHITE HOUSE,

                    Washington, December 19, 2000.

Billing code 5001-10-M

[[Page 1014]]

                Memorandum of Justification for Presidential 
                Certification Regarding the Waiver of Subsections 
                1511(b) and (c) of Public Law 103-160

                Section 1511 of the National Defense Authorization Act 
                for Fiscal Year 1994 (Public Law 103-160) (hereinafter 
                ``section 1511'') was enacted into law in 1993 in the 
                midst of the crisis in Bosnia and Herzegovina as the 
                international community sought to put an end to years 
                of conflict. Section 1511 provides in relevant part 
                that ``[n]o funds appropriated or otherwise made 
                available by law may be obligated or expended on behalf 
                of the Government of Serbia'' and that ``[t]he 
                Secretary of the Treasury shall instruct the United 
                States executive director of each international 
                financial institution to use the voice and vote of the 
                United States to oppose any assistance from that 
                institution to the Government of Serbia or the 
                Government of Montenegro, except for basic human 
                needs.'' These restrictions may be waived or modified, 
                however, upon certification by the President that the 
                waiver or modification ``is necessary . . . to meet 
                emergency humanitarian needs, or . . . to achieve a 
                negotiated settlement of the conflict in Bosnia-
                Herzegovina that is acceptable to the parties.'' This 
                authority was exercised in February 1999 by the 
                President to waive bilateral assistance restrictions 
                with respect to the Government of Montenegro.

                In light of the recent dramatic democratic 
                transformation that has taken place in Serbia, we 
                believe that it is important to exempt the Government 
                of Serbia from the bilateral and multilateral 
                assistance restrictions contained in section 1511 and 
                the government of Montenegro from the provision's 
                multilateral restrictions. Bilateral assistance from 
                the United States and support for assistance in the 
                International Financial Institutions (IFIs) are both 
                critical to the consolidation of the fledgling 
                Kostunica government. The United States must put itself 
                in a position to voice its support of loans to the 
                Governments of Serbia and Montenegro in the context of 
                the FRY becoming a member in the IFIs. The first such 
                provision of assistance--a loan of roughly $150 million 
                under the IMF's post-conflict assistance policy to help 
                the FRY clear its arrears at the IMF--will be voted 
                upon as soon as December 20 together with a vote on FRY 
                membership in that organization.

                The election of Mr. Kostunica to the FRY Presidency 
                could herald a new period of peaceful democratic 
                development in the region. President Kostunica has made 
                clear that he will work toward the full implementation 
                of the Dayton Accords and work constructively on a 
                variety of other issues related to the stability of the 
                region. United States bilateral assistance as well as 
                support for IFI assistance will help ensure the 
                consolidation of power made by the Kostunica 
                government. Such assistance will help prevent pro-
                Milosevic forces from regaining power in the FRY and 
                resuming their obstructionist tactics and allow 
                President Kostunica to continue to work towards peace 
                and stability in the region. Therefore, waiver of 
                application of the restrictions contained in 
                subsections 1511(b) and (c) of Public Law 103-160, with 
                respect to the Governments of Serbia and Montenegro, is 
                warranted.

[FR Doc. 01-311
Filed 1-4-01; 8:45 am]
Billing code 5001-10-M