A bill to amend the Compact of Free Association Amendments Act of 2003, and for other purposes.

Summary: Compacts of Free Association Amendments Act of 2005 - Amends the Compact of Free Association Amendments Act of 2003 with respect to the provision of emergency and disaster assistance through the United States Agency for International Development (USAID) and the Federal Emergency Management Agency (FEMA) to the Federated States of Micronesia and the Republic of the Marshall Islands.

Provides with respect to the Republic of Palau that: (1) students from Micronesia and the Marshall Islands attending universities or colleges in Palau shall remain eligible for specified higher education assistance; and (2) government, institutions, and people of Palau shall be eligible for education assistance through FY2009 that they were eligible for in FY2003.

Provides for the continuation of legal services to the citizens of Micronesia, Palau, and the Marshall Islands legally residing in the United States (including territories and possessions).

Authorizes Micronesia, Palau, and the Marshall Islands to transmit videotaped programming.

Authorizes the government of Palau to deposit the payment otherwise payable to the U.S. government under P.L. 101-219 (a law concerning the implementation of the Palau Compact of Free Association and insular area matters) into a trust fund if: (1) trust fund earnings are expended solely for maintenance of the road system constructed pursuant to the Compact of Free Association between the U.S. government and the government of Palau; and (2) the trust fund is established and operated pursuant to an agreement between the U.S. government and the government of Palau.

Provides that in the U.S.-RMI Compact (Marshall Islands), the U.S.-FSM Compact (Micronesia), and their respective trust fund subsidiary agreements, for the purposes of taxation by the United States or its subsidiary jurisdictions, the term "state" means state, territory, or the District of Columbia.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Compacts of Free Association 
Amendments Act of 2005''.

SEC. 2. APPROVAL OF AGREEMENTS.

    Section 101 of the Compact of Free Association Amendments Act of 
2003 (48 U.S.C. 1921) is amended--
            (1) in the first sentence of subsection (a), by inserting 
        before the period at the end the following: ``, including 
        Article X of the Federal Programs and Services Agreement 
        Between the Government of the United States and the Government 
        of the Federated States of Micronesia, as amended under the 
        Agreement to Amend Article X that was signed by those 2 
        Governments on June 30, 2004, which shall serve as the 
        authority to implement the provisions thereof''; and
            (2) in the first sentence of subsection (b), by inserting 
        before the period at the end the following: ``, including 
        Article X of the Federal Programs and Services Agreement 
        Between the Government of the United States and the Government 
        of the Republic of the Marshall Islands, as amended under the 
        Agreement to Amend Article X that was signed by those 2 
        Governments on June 18, 2004, which shall serve as the 
        authority to implement the provisions thereof''.

SEC. 3. CONFORMING AMENDMENT.

    Section 105(f)(1) of the Compact of Free Association Amendments Act 
of 2003 (48 U.S.C. 1921d(f)(1)) is amended by striking subparagraph (A) 
and inserting the following:
                    ``(A) Emergency and disaster assistance.--
                            ``(i) In general.--Subject to clause (ii), 
                        section 221(a)(6) of the U.S.-FSM Compact and 
                        section 221(a)(5) of the U.S.-RMI Compact shall 
                        each be construed and applied in accordance 
                        with the 2 Agreements to Amend Article X of the 
                        Federal Programs and Service Agreements signed 
                        on June 30, 2004, and on June 18, 2004, 
                        respectively.
                            ``(ii) Definition of will provide 
                        funding.--In the second sentence of paragraph 
                        12 of each of the Agreements described in 
                        clause (i), the term `will provide funding' 
                        means will provide funding through a transfer 
                        of funds using Standard Form 1151 or a similar 
                        document or through an interagency, 
                        reimbursable agreement.''.

SEC. 4. CLARIFICATIONS REGARDING PALAU.

    Section 105(f)(1)(B) of the Compact of Free Association Amendments 
Act of 2003 (48 U.S.C. 1921d(f)(1)(B)) is amended--
            (1) in clause (ii)(II), by striking ``and its territories'' 
        and inserting ``, its territories, and the Republic of Palau'';
            (2) in clause (iii)(II), by striking ``, or the Republic of 
        the Marshall Islands'' and inserting ``, the Republic of the 
        Marshall Islands, or the Republic of Palau''; and
            (3) in clause (ix)--
                    (A) by striking ``Republic'' both places it appears 
                and inserting ``government, institutions, and people'';
                    (B) by striking ``2007'' and inserting ``2009''; 
                and
                    (C) by striking ``was'' and inserting ``were''.

SEC. 5. AVAILABILITY OF LEGAL SERVICES.

    Section 105(f)(1)(C) of the Compact of Free Association Amendments 
Act of 2003 (48 U.S.C. 1921d(f)(1)(C)) is amended by inserting before 
the period at the end the following: ``, which shall also continue to 
be available to the citizens of the Federated States of Micronesia, the 
Republic of Palau, and the Republic of the Marshall Islands who legally 
reside in the United States (including territories and possessions)''.

SEC. 6. TECHNICAL AMENDMENTS.

    (a) Title I.--
            (1) Section 177 agreement.--Section 103(c)(1) of the 
        Compact of Free Association Amendments Act of 2003 (48 U.S.C. 
        1921b(c)(1)) is amended by striking ``section 177'' and 
        inserting ``Section 177''.
            (2) Interpretation and united states policy.--Section 104 
        of the Compact of Free Association Amendments Act of 2003 (48 
        U.S.C. 1921c) is amended--
                    (A) in subsection (b)(1), by inserting ``the'' 
                before ``U.S.-RMI Compact,'';
                    (B) in subsection (e)--
                            (i) in the matter preceding subparagraph 
                        (A) of paragraph (8) , by striking ``to 
                        include'' and inserting ``and include'';
                            (ii) in paragraph (9)(A), by inserting a 
                        comma after ``may''; and
                            (iii) in paragraph (10), by striking 
                        ``related to service'' and inserting ``related 
                        to such services''; and
                    (C) in the first sentence of subsection (j), by 
                inserting ``the'' before ``Interior''.
            (3) Supplemental provisions.--Section 105(b)(1) of the 
        Compact of Free Association Amendments Act of 2003 (48 U.S.C. 
        1921d(b)(1)) is amended by striking ``Trust Fund'' and 
        inserting ``Trust Funds''.
    (b) Title II.--
            (1) U.S.-FSM compact.--The Compact of Free Association, as 
        amended, between the Government of the United States of America 
        and the Government of the Federated States of Micronesia (as 
        provided in section 201(a) of the Compact of Free Association 
        Amendments Act of 2003 (117 Stat. 2757)) is amended--
                    (A) in section 174--
                            (i) in subsection (a), by striking 
                        ``courts'' and inserting ``court''; and
                            (ii) in subsection (b)(2), by striking 
                        ``the'' before ``November'';
                    (B) in section 177(a), by striking ``, or Palau'' 
                and inserting ``(or Palau)'';
                    (C) in section 179(b), strike ``amended Compact'' 
                and inserting ``Compact, as amended,'';
                    (D) in section 211--
                            (i) in the fourth sentence of subsection 
                        (a), by striking ``Compact, as Amended, of Free 
                        Association'' and inserting ``Compact of Free 
                        Association, as amended'';
                            (ii) in the fifth sentence of subsection 
                        (a), by striking ``Trust Fund Agreement,'' and 
                        inserting ``Agreement Between the Government of 
                        the United States of America and the Government 
                        of the Federated States of Micronesia 
                        Implementing Section 215 and Section 216 of the 
                        Compact, as Amended, Regarding a Trust Fund 
                        (Trust Fund Agreement),'';
                            (iii) in subsection (b)--
                                    (I) in the first sentence, by 
                                striking ``Government of the'' before 
                                ``Federated''; and
                                    (II) in the second sentence, by 
                                striking ``Sections 321 and 323 of the 
                                Compact of Free Association, as 
                                Amended'' and inserting ``Sections 
                                211(b), 321, and 323 of the Compact of 
                                Free Association, as amended,''; and
                            (iv) in the last sentence of subsection 
                        (d), by inserting before the period at the end 
                        the following: ``and the Federal Programs and 
                        Services Agreement referred to in section 
                        231'';
                    (E) in the first sentence of section 215(b), by 
                striking ``subsection(a)'' and inserting ``subsection 
                (a)'';
                    (F) in section 221--
                            (i) in subsection (a)(6), by inserting 
                        ``(Federal Emergency Management Agency)'' after 
                        ``Homeland Security''; and
                            (ii) in the first sentence of subsection 
                        (c), by striking ``agreements'' and inserting 
                        ``agreement'';
                    (G) in the second sentence of section 222, by 
                inserting ``in'' after ``referred to'';
                    (H) in the second sentence of section 232, by 
                striking ``sections 102 (c)'' and all that follows 
                through ``January 14, 1986)'' and inserting ``section 
                102(b) of Public Law 108-188, 117 Stat. 2726, December 
                17, 2003'';
                    (I) in the second sentence of section 252, by 
                inserting ``, as amended,'' after ``Compact'';
                    (J) in the first sentence of the first undesignated 
                paragraph of section 341, by striking ``Section 141'' 
                and inserting ``section 141'';
                    (K) in section 342--
                            (i) in subsection (a), by striking ``14 
                        U.S.C. 195'' and inserting ``section 195 of 
                        title 14, United States Code''; and
                            (ii) in subsection (b)--
                                    (I) by striking ``46 U.S.C. 
                                1295(b)(6)'' and inserting ``section 
                                1303(b)(6) of the Merchant Marine Act, 
                                1936 (46 U.S.C. 1295b(b)(6))''; and
                                    (II) by striking ``46 U.S.C. 
                                1295b(b)(6)(C)'' and inserting 
                                ``section 1303(b)(6)(C) of that Act'';
                    (L) in the third sentence of section 354(a), by 
                striking ``section 442 and 452'' and inserting 
                ``sections 442 and 452'';
                    (M) in section 461(h), by striking 
                ``Telecommunications'' and inserting 
                ``Telecommunication'';
                    (N) in section 462(b)(4), by striking ``of Free 
                Association'' the second place it appears; and
                    (O) in section 463(b), by striking ``Articles IV'' 
                and inserting ``Article IV''.
            (2) U.S.-RMI compact.--The Compact of Free Association, as 
        amended, between the Government of the United States of America 
        and the Government of the Republic of the Marshall Islands (as 
        provided in section 201(b) of the Compact of Free Association 
        Amendments Act of 2003 (117 Stat. 2795)) is amended--
                    (A) in section 174(a), by striking ``court'' and 
                inserting ``courts'';
                    (B) in section 177(a), by striking the comma before 
                ``(or Palau)'';
                    (C) in section 179(b), by striking ``amended 
                Compact,'' and inserting ``Compact, as amended,'';
                    (D) in section 211--
                            (i) in the fourth sentence of subsection 
                        (a), by striking ``Compact, as Amended, of Free 
                        Association'' and inserting ``Compact of Free 
                        Association, as amended``;
                            (ii) in the first sentence of subsection 
                        (b), by striking ``Agreement between the 
                        Government of the United States and the 
                        Government of the Republic of the Marshall 
                        Islands Regarding Miliary Use and Operating 
                        Rights'' and inserting ``Agreement Regarding 
                        the Military Use and Operating Rights of the 
                        Government of the United States in the Republic 
                        of the Marshall Islands concluded Pursuant to 
                        Sections 321 and 323 of the Compact of Free 
                        Association, as Amended (Agreement between the 
                        Government of the United States and the 
                        Government of the Republic of the Marshall 
                        Islands Regarding Military Use and Operating 
                        Rights)''; and
                            (iii) in the last sentence of subsection 
                        (e), by inserting before the period at the end 
                        the following: ``and the Federal Programs and 
                        Services Agreement referred to in section 
                        231'';
                    (E) in section 221(a)--
                            (i) in the matter preceding paragraph (1), 
                        by striking ``Section 231'' and inserting 
                        ``section 231''; and
                            (ii) in paragraph (5), by inserting 
                        ``(Federal Emergency Management Agency)'' after 
                        ``Homeland Security'';
                    (F) in the second sentence of section 232, by 
                striking ``sections 103(m)'' and all that follows 
                through ``(January 14, 1986)'' and inserting ``section 
                103(k) of Public Law 108-188, 117 Stat. 2734, December 
                17, 2003'';
                    (G) in the first sentence of section 341, by 
                striking ``Section 141'' and inserting ``section 141'';
                    (H) in section 342--
                            (i) in subsection (a), by striking ``14 
                        U.S.C. 195'' and inserting ``section 195 of 
                        title 14, United States Code''; and
                            (ii) in subsection (b)--
                                    (I) by striking ``46 U.S.C. 
                                1295(b)(6)'' and inserting ``section 
                                1303(b)(6) of the Merchant Marine Act, 
                                1936 (46 U.S.C. 1295b(b)(6))''; and
                                    (II) by striking ``46 U.S.C. 
                                1295b(b)(6)(C)'' and inserting 
                                ``section 1303(b)(6)(C) of that Act'';
                    (I) in the third sentence of section 354(a), by 
                striking ``section 442 and 452'' and inserting 
                ``sections 442 and 452'';
                    (J) in the first sentence of section 443, by 
                inserting ``, as amended.'' after ``the Compact'';
                    (K) in the matter preceding paragraph (1) of 
                section 461(h)--
                            (i) by striking ``1978'' and inserting 
                        ``1998''; and
                            (ii) by striking ``Telecommunications'' and 
                        inserting ``Telecommunication Union''; and
                    (L) in section 463(b), by striking ``Article'' and 
                inserting ``Articles''.

SEC. 7. TRANSMISSION OF VIDEOTAPE PROGRAMMING.

    Section 111(e)(2) of title 17, United States Code, is amended by 
striking ``or the Trust Territory of the Pacific Islands'' and 
inserting ``the Federated States of Micronesia, the Republic of Palau, 
or the Republic of the Marshall Islands''.

SEC. 8. PALAU ROAD MAINTENANCE.

    The Government of the Republic of Palau may deposit the payment 
otherwise payable to the Government of the United States under section 
111 of Public Law 101-219 (48 U.S.C. 1960) into a trust fund if--
            (1) the earnings of the trust fund are expended solely for 
        maintenance of the road system constructed pursuant to section 
        212 of the Compact of Free Association between the Government 
        of the United States of America and the Government of Palau (48 
        U.S.C. 1931 note); and
            (2) the trust fund is established and operated pursuant to 
        an agreement entered into between the Government of the United 
        States and the Government of the Republic of Palau.

SEC. 9. CLARIFICATION OF TAX-FREE STATUS OF TRUST FUNDS.

    In the U.S.-RMI Compact, the U.S.-FSM Compact, and their respective 
trust fund subsidiary agreements, for the purposes of taxation by the 
United States or its subsidiary jurisdictions, the term ``State'' means 
``State, territory, or the District of Columbia''.

            Passed the Senate September 29, 2006.

            Attest:

                                                             Secretary.
109th CONGRESS

  2d Session

                                S. 1830

_______________________________________________________________________

                                 AN ACT

 To amend the Compact of Free Association Amendments Act of 2003, and 
                          for other purposes.