[Weekly Compilation of Presidential Documents Volume 34, Number 22 (Monday, June 1, 1998)]
[Pages 996-997]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Letter to Congressional Leaders on Continuation of Emergency With 
Respect to the Federal Republic of Yugoslavia (Serbia and Montenegro) 
and the Bosnian Serbs

May 28, 1998

Dear Mr. Speaker:  (Dear Mr. President:)

    Section 202(d) of the National Emergencies Act (50 U.S.C. 1622(d)) 
provides for the automatic termination of a national emergency unless, 
prior to the anniversary date of its declaration, the President 
publishes in the Federal Register and transmits to the Congress a notice 
stating that the emergency is to continue in effect beyond the 
anniversary date. In accordance with this provision, I have sent the 
enclosed notice to the Federal Register for publication, stating that 
the emergency declared with respect to the Federal Republic of 
Yugoslavia (Serbia and Montenegro), as expanded to address the actions 
and policies of the Bosnian Serb forces and the authorities in the 
territory that they control within Bosnia and Herzegovina, is to 
continue in effect beyond May 30, 1998.
    On December 27, 1995, I issued Presidential Determination No. 96-7, 
directing the Secretary of the Treasury, inter alia, to suspend the 
application of sanctions imposed on the Federal Republic of Yugoslavia 
(Serbia and Montenegro) and to continue to block property previously 
blocked until provision is made to address claims or encumbrances, 
including the claims of the other successor states of the former 
Yugoslavia. This sanctions relief, in conformity with United Nations 
Security Council Resolution 1022 of November 22, 1995 (hereinafter the 
``Resolution''), was an essential factor motivating Serbia and 
Montenegro's acceptance of the General Framework Agreement for Peace in 
Bosnia and Herzegovina initialed by the parties in Dayton on November 
21, 1995, and signed in Paris on December 14, 1995 (hereinafter the 
``Peace Agreement''). The sanctions imposed on the Federal Republic of 
Yugoslavia (Serbia and Montenegro) were accordingly suspended 
prospectively, effective January 16, 1996. Sanctions imposed on the 
Bosnian Serb forces and authorities and on the territory that they 
control within Bosnia and Herzegovina were subsequently suspended 
prospectively, effective May 10, 1996, also in conformity with the Peace 
Agreement and the Resolution.
    Sanctions against both the Federal Republic of Yugoslavia (Serbia 
and Montenegro) and the Bosnian Serbs were subsequently terminated by 
United Nations Security Council Resolution 1074 of October 1, 1996. This 
termination, however, did not end the requirement of the Resolution that 
blocked funds and assets that are subject to claims and encumbrances 
remain blocked, until unblocked in accordance with applicable law. In 
the past year, further substantial progress has been achieved to bring 
about a settlement of the conflict in the former Yugoslavia acceptable 
to the parties. Additional elections occurred in Bosnia and Herzegovina, 
as provided for in the Peace Agreement, and the Bosnian Serb forces have 
continued to respect the zones of separation as provided in the Peace 
Agreement. The ultimate disposition of the various remaining categories 
of blocked assets is being addressed on a case-by-case basis.
    Until the status of all remaining blocked property is resolved, the 
Peace Agreement implemented, and the terms of the Resolution met, this 
situation continues to pose a continuing unusual and extraordinary 
threat to the national security, foreign policy interests, and the 
economy of the United States. For these reasons, I have determined that

[[Page 997]]

it is necessary to maintain in force these emergency authorities beyond 
May 30, 1998.
    Sincerely,
                                            William J. Clinton

Note: Identical letters were sent to Newt Gingrich, Speaker of the House 
of Representatives, and Albert Gore, Jr., President of the Senate.