SECTION 1. SHORT TITLE.

    This Act may be cited as the ``NATO Enlargement Facilitation Act of 
1996''.

SEC. 2. FINDINGS.

    The Congress makes the following findings:
            (1) Since 1949, the North Atlantic Treaty Organization 
        (NATO) has played an essential role in guaranteeing the 
        security, freedom, and prosperity of the United States and its 
        partners in the Alliance.
            (2) The NATO Alliance is, and has been since its inception, 
        purely defensive in character, and it poses no threat to any 
        nation. The enlargement of the NATO Alliance to include as full 
        and equal members emerging democracies in Central and Eastern 
        Europe will serve to reinforce stability and security in Europe 
        by fostering their integration into the structures which have 
        created and sustained peace in Europe since 1945. Their 
        admission to NATO will not threaten any nation. America's 
        security, freedom, and prosperity remain linked to the security 
        of the countries of Europe.
            (3) The sustained commitment of the member countries of 
        NATO to a mutual defense has made possible the democratic 
        transformation of Central and Eastern Europe. Members of the 
        Alliance can and should play a critical role in addressing the 
        security challenges of the post-Cold War era and in creating 
        the stable environment needed for those emerging democracies in 
        Central and Eastern Europe to successfully complete political 
        and economic transformation.
            (4) The United States continues to regard the political 
        independence and territorial integrity of all emerging 
        democracies in Central and Eastern Europe as vital to European 
        peace and security.
            (5) NATO has enlarged its membership on 3 different 
        occasions since 1949.
            (6) Congress has sought to facilitate the further 
        enlargement of NATO at an early date by enacting the NATO 
        Participation Act of 1994 (title II of Public Law 103-447; 22 
        U.S.C. 1928 note) and the NATO Participation Act Amendments of 
        1995 (section 585 of Public Law 104-107).
            (7) The Partnership for Peace, created in 1994 under 
        American leadership, has fostered cooperation between NATO and 
        the countries of Central and Eastern Europe, and offers a path 
        to future membership in the Alliance and a permanent security 
        relationship between participants in the Partnership for Peace 
        and members of NATO.
            (8) As new members of NATO assume the responsibilities of 
        Alliance membership, the costs of maintaining stability in 
        Europe will be shared more widely. The concurrent assumption of 
        greater responsibility and development of greater capabilities 
        by the European members of NATO in pursuit of a European 
        security and defense identity will further reinforce 
        burdensharing. Facilitation of the enlargement process will 
        require current members of NATO, and the United States in 
        particular, to demonstrate the political will needed to build 
        on successful ongoing programs such as the Warsaw Initiative 
        and the Partnership for Peace by making available the resources 
        necessary to supplement efforts prospective new members are 
        themselves undertaking.
            (9) New members will be full members of the Alliance, 
        enjoying all rights and assuming all the obligations under the 
        Washington Treaty.
            (10) In order to assist emerging democracies in Central and 
        Eastern Europe that have expressed interest in joining NATO to 
        be prepared to assume the responsibilities of NATO membership, 
        the United States should encourage and support efforts by such 
        countries to develop force structures and force modernization 
        priorities that will enable such countries to contribute to the 
        full range of NATO missions, including, most importantly, 
        territorial defense of the Alliance.
            (11) Cooperative regional peacekeeping initiatives 
        involving emerging democracies in Central and Eastern Europe 
        that have expressed interest in joining NATO, such as the 
        Baltic Peacekeeping Battalion, the Polish-Lithuanian Joint 
        Peacekeeping Force, and the Polish-Ukrainian Peacekeeping 
        Force, can make an important contribution to European peace and 
        security and international peacekeeping efforts, can assist 
        those countries preparing to assume the responsibilities of 
        possible NATO membership, and accordingly should receive 
        appropriate support from the United States.
            (12) NATO remains the only multilateral security 
        organization capable of conducting effective military 
        operations and preserving security and stability of the Euro-
        Atlantic region.
            (13) NATO is an important diplomatic forum and has played a 
        positive role in defusing tensions between members of the 
        Alliance and, as a result, no military action has occurred 
        between two Alliance member states since the inception of NATO 
        in 1949.
            (14) The process of enlarging NATO to include emerging 
        democracies in Central and Eastern Europe should be a 
        continuing process and progress toward the admission of 
        additional emerging democracies in Central and Eastern Europe 
        will depend on the degree to which these countries meet the 
        criteria set forth in section 203(d)(3) of the NATO 
        Participation Act of 1994.
            (15) Protection and promotion of fundamental freedoms and 
        human rights is an integral aspect of genuine security, and in 
        evaluating requests for membership in NATO, the human rights 
        records of the emerging democracies in Central and Eastern 
        Europe should be evaluated in light of the obligations and 
        commitments of these countries under the Charter of the United 
        Nations, the Universal Declaration of Human Rights, and the 
        Helsinki Final Act.
            (16) A number of Central and Eastern European countries 
        have expressed interest in NATO membership, and have taken 
        concrete steps to demonstrate this commitment; including their 
        participation in Partnership for Peace activities.
            (17) Democratic civilian control of defense forces is an 
        essential element in the process of preparation for those 
        states interested in possible NATO membership.
            (18) The security and economic stability of the Caucasus 
        region is important to the United States, and the countries of 
        the Caucasus region should not be precluded from future 
        membership in NATO. The United States should continue to 
        promote policies that encourage economic and fiscal reforms, 
        private sector growth, and political reforms in the Caucasus 
        region.
            (19) In recognition that not all countries which have 
        requested membership in NATO will necessarily qualify at the 
        same pace, the accession date for each new member may vary.
            (20) The process of NATO enlargement entails the consensus 
        agreement of the governments of all 16 NATO members and 
        ratification in accordance with their constitutional 
        procedures.
            (21) The provision of additional NATO transition assistance 
        should include those emerging democracies most ready for closer 
        ties with NATO and should be designed to assist other countries 
        meeting specified criteria of eligibility to move forward 
        toward eventual NATO membership.
            (22) Lasting security and stability in Europe requires not 
        only the military integration of emerging democracies of 
        Central and Eastern Europe into existing European structures, 
        but also the eventual economic and political integration of 
        these countries into existing European structures.
            (23) The Congress of the United States finds that Poland, 
        Hungary, and the Czech Republic have made the most progress 
        toward achieving the stated criteria and should be eligible for 
        the additional assistance described in this bill.
            (24) The evaluation of future membership in NATO for 
        emerging democracies in Central and Eastern Europe should be 
        based on the progress of those nations in meeting criteria for 
        NATO membership, which require enhancement of NATO's security 
        and the approval of all NATO members.

SEC. 3. UNITED STATES POLICY.

    It should be the policy of the United States--
            (1) to join with the NATO allies of the United States to 
        adapt the role of the NATO Alliance to the post-Cold War world;
            (2) to actively assist the emerging democracies in Central 
        and Eastern Europe in their transition so that such countries 
        may eventually qualify for NATO membership;
            (3) to ensure that all countries in Central and Eastern 
        Europe are fully aware of the costs and responsibilities of 
        NATO membership, including the obligation set forth in Article 
        X of the North Atlantic Treaty that new members be able to 
        contribute to the security of the North Atlantic area, and 
        further to ensure that all countries admitted to NATO are 
        capable of assuming those costs and responsibilities; and
            (4) to work to define a constructive and cooperative 
        political and security relationship between an enlarged NATO 
        and the Russian Federation.

SEC. 4. SENSE OF THE CONGRESS REGARDING FURTHER ENLARGEMENT OF NATO.

    It is the sense of the Congress that in order to promote economic 
stability and security in Slovakia, Estonia, Latvia, Lithuania, 
Slovenia, Bulgaria, Romania, Albania, Moldova, and Ukraine--
            (1) the United States should continue to support the full 
        and active participation of these countries in activities 
        appropriate for qualifying for NATO membership;
            (2) the United States Government should continue to use all 
        diplomatic means available to press the European Union to admit 
        as soon as possible any country which qualifies for membership; 
        and
            (3) the United States Government and the North Atlantic 
        Treaty Organization should continue to support military 
        exercises and peacekeeping initiatives between and among these 
        nations and members of the North Atlantic Treaty Organization.

SEC. 5. SENSE OF THE CONGRESS REGARDING ESTONIA, LATVIA, AND LITHUANIA.

    In view of the forcible incorporation of Estonia, Latvia, and 
Lithuania into the Soviet Union in 1940 under the Molotov-Ribbentrop 
Pact and the refusal of the United States and other countries to 
recognize that incorporation for over 50 years, it is the sense of the 
Congress that--
            (1) Estonia, Latvia, and Lithuania have valid historical 
        security concerns that must be taken into account by the United 
        States; and
            (2) Estonia, Latvia, and Lithuania should not be 
        disadvantaged in seeking to join NATO by virtue of their 
        forcible incorporation into the Soviet Union.

SEC. 6. DESIGNATION OF COUNTRIES ELIGIBLE FOR NATO ENLARGEMENT 
              ASSISTANCE.

    (a) In General.--The following countries are designated as eligible 
to receive assistance under the program established under section 
203(a) of the NATO Participation Act of 1994 and shall be deemed to 
have been so designated pursuant to section 203(d) of such Act: Poland, 
Hungary, and the Czech Republic.
    (b) Authority to Designate Other Countries Not Precluded.--The 
process of enlarging NATO to include emerging democracies in Central 
and Eastern Europe should not stop with the admission of Poland, 
Hungary, and the Czech Republic as full members of the NATO Alliance. 
Accordingly, the designation of countries pursuant to subsection (a) 
shall not be deemed to preclude the designation by the President of 
other Central and Eastern European countries pursuant to section 203(d) 
of the NATO Participation Act of 1994 as eligible to receive assistance 
under the program established under section 203(a) of such Act.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS FOR NATO ENLARGEMENT 
              ASSISTANCE.

    (a) In General.--There are authorized to be appropriated 
$60,000,000 for fiscal year 1997 for the program established under 
section 203(a) of the NATO Participation Act of 1994.
    (b) Availability.--Of the funds authorized to be appropriated by 
subsection (a)--
            (1) not less than $20,000,000 shall be available for the 
        subsidy cost, as defined in section 502(5) of the Credit Reform 
        Act of 1990, of direct loans pursuant to the authority of 
        section 203(c)(4) of the NATO Participation Act of 1994 
        (relating to the ``Foreign Military Financing Program'');
            (2) not less than $30,000,000 shall be available for 
        assistance on a grant basis pursuant to the authority of 
        section 203(c)(4) of the NATO Participation Act of 1994 
        (relating to the ``Foreign Military Financing Program''); and
            (3) not more than $10,000,000 shall be available for 
        assistance pursuant to the authority of section 203(c)(3) of 
        the NATO Participation Act of 1994 (relating to international 
        military education and training).
    (c) Rule of Construction.--Amounts authorized to be appropriated 
under this section are authorized to be appropriated in addition to 
such amounts as otherwise may be available for such purposes.

SEC. 8. REGIONAL AIRSPACE INITIATIVE AND PARTNERSHIP FOR PEACE 
              INFORMATION MANAGEMENT SYSTEM.

    (a) In General.--Funds described in subsection (b) are authorized 
to be made available to support the implementation of the Regional 
Airspace Initiative and the Partnership for Peace Information 
Management System, including--
            (1) the procurement of items in support of these programs; 
        and
            (2) the transfer of such items to countries participating 
        in these programs, which may include Poland, Hungary, the Czech 
        Republic, Slovakia, Estonia, Latvia, Lithuania, Romania, 
        Slovenia, Albania, Ukraine, and Bulgaria.
    (b) Funds Described.--Funds described in this subsection are funds 
that are available--
            (1) during any fiscal year under the NATO Participation Act 
        of 1994 with respect to countries eligible for assistance under 
        that Act; or
            (2) during fiscal year 1997 under any Act to carry out the 
        Warsaw Initiative.

SEC. 9. EXCESS DEFENSE ARTICLES.

    (a) Priority Delivery.--Notwithstanding any other provision of law, 
the delivery of excess defense articles under the authority of section 
203(c) (1) and (2) of the NATO Participation Act of 1994 and section 
516 of the Foreign Assistance Act of 1961 shall be given priority to 
the maximum extent feasible over the delivery of such excess defense 
articles to all other countries except those countries referred to in 
section 541 of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 1995 (Public Law 103-306; 108 Stat. 1640).
    (b) Cooperative Regional Peacekeeping Initiatives.--The Congress 
encourages the President to provide excess defense articles and other 
appropriate assistance to cooperative regional peacekeeping initiatives 
involving emerging democracies in Central and Eastern Europe that have 
expressed an interest in joining NATO in order to enhance their ability 
to contribute to European peace and security and international 
peacekeeping efforts.

SEC. 10. MODERNIZATION OF DEFENSE CAPABILITY.

    The Congress endorses efforts by the United States to modernize the 
defense capability of Poland, Hungary, the Czech Republic, and any 
other countries designed by the President pursuant to section 203(d) of 
the NATO Participation Act of 1994, by exploring with such countries 
options for the sale or lease to such countries of weapons systems 
compatible with those used by NATO members, including air defense 
systems, advanced fighter aircraft, and telecommunications 
infrastructure.

SEC. 11. TERMINATION OF ELIGIBILITY.

    (a) Termination of Eligibility.--The eligibility of a country 
designated pursuant to section 6(a) or pursuant to section 203(d) of 
the NATO Participation Act of 1994 may be terminated upon determination 
by the President that such country no longer meets the criteria set 
forth in section 203(d)(3) of the NATO Participation Act of 1994.
    (b) Notification.--At least 15 days before terminating the 
eligibility of any country pursuant to subsection (a), the President 
shall notify the congressional committees specified in section 634A of 
the Foreign Assistance Act of 1961 in accordance with the procedures 
applicable to reprogramming notifications under that section.

            Passed the House of Representatives July 23, 1996.

            Attest:

                                                ROBIN H. CARLE,

                                                                 Clerk.
NATO Enlargement Facilitation Act of 1996 - Declares that it should be the policy of the United States to:  (1) assist the transition to full membership in the North Atlantic Treaty Organization (NATO) of emerging democracies in Central and Eastern Europe; (2) ensure that such countries are aware of the costs and responsibilities of such membership; and (3) work to construct a political and security relationship between an enlarged NATO and the Russian Federation. 
Expresses the sense of the Congress that in order to promote security in Estonia, Latvia, Lithuania, Slovenia, Slovakia, Bulgaria, Romania, Albania, Moldova, and Ukraine:  (1) the United States should continue to support the full and active participation of these countries in activities that will qualify them for NATO membership; (2) the U.S. Government should continue to press the European Union to admit as soon as possible any country qualifying for membership; and (3) the United States and NATO should continue to support military and peacekeeping initiatives between and among such countries and NATO countries. 
Expresses the sense of the Congress that Estonia, Latvia, and Lithuania have valid historical security concerns and should not be disadvantaged in seeking to join NATO by virtue of their forcible incorporation into the Soviet Union. 
Designates Poland, Hungary, and the Czech Republic as eligible to receive certain assistance for transition to full membership in NATO. Declares that such designation shall not preclude the designation by the President of other Central and Eastern Europe countries. 
Authorizes appropriations for FY 1997 for NATO enlargement assistance. 
Authorizes the availability of certain funds for implementation of the Regional Airspace Initiative and the Partnership for Peace Information Management System. 
Declares that the transfer of excess defense articles to countries intending to participate in NATO (including countries on NATO's southern flank) shall be given priority, to the maximum extent feasible, over the delivery of such articles to other countries, except certain countries specified under the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1995. 
Declares that the Congress endorses U.S. efforts to modernize the defense capability of Poland, Hungary, the Czech Republic, and any other countries the President designates under the NATO Participation Act of 1994, by exploring options for the sale or lease to such countries of weapons systems compatible with those used by NATO members, including air defense systems, advanced fighter aircraft, and telecommunications infrastructure. 
Provides for the termination of the eligibility of a country for Partnership of Peace assistance.
NATO Enlargement Facilitation Act of 1996