To authorize the establishment of a Social Investment and Economic Development for the Americas Fund to reduce poverty, expand the middle class, and foster increased economic opportunity in that region, and for other purposes.

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Social Investment 
and Economic Development for the Americas Act of 2010''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Findings.
Sec. 4. Statement of policy.
Sec. 5. Establishing a social investment and economic development fund 
                            for the Americas.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the Committee on 
        Foreign Relations of the Senate and the Committee on Foreign 
        Affairs of the House of Representatives.
            (2) The americas.--The term ``Americas'' means all the 
        countries of North America, Central America, South America, and 
        the Caribbean.
            (3) The region.--The term ``Region'' means all the 
        countries of Central America, South America, the Caribbean, and 
        Mexico.

SEC. 3. FINDINGS.

    Congress finds that--
            (1) it is in the national interest and national security 
        interest of the United States to help foster greater economic 
        security and stability in the Americas;
            (2) the Americas are a distinct geographical region with 
        political and cultural identities that are linked in important 
        ways;
            (3) many of the social, economic, and security issues in 
        the Americas transcend national borders, and addressing these 
        issues requires a coordinated, long-term approach;
            (4) over the last few decades, there has been notable 
        progress on democracy and economic stability in the Region, and 
        it is now largely made up of democracies with shared democratic 
        values;
            (5) for progress in the Region to be sustained, governments 
        will need to continue to develop effective and transparent 
        civilian institutions, and maintain a system of checks and 
        balances among those institutions;
            (6) the United States is committed to promoting democracy, 
        human rights, and social and economic development throughout 
        the Americas, while respecting the heritage, culture, and 
        sovereignty of all nations;
            (7) poverty and inequality remain persistent problems in 
        the Americas, spawning street crime, criminal cartels, and 
        undermining the authority of government institutions;
            (8) the poverty rate in the Region is nearly 40 percent, 
        with little significant improvement since the 1980s, and the 
        countries in the Region, on average, have the most unequal 
        distribution of wealth in the world;
            (9) greater citizen engagement and closer connections 
        between the institutions of civil society and local and 
        national governments are critical to political stability and 
        economic growth in the Americas;
            (10) development assistance to promote micro, small, and 
        medium enterprise growth, improve the investment climate, and 
        create a competitive workforce in the countries of the Region 
        can help foster economic security and stability;
            (11) an expanding middle class in the Region will result in 
        increased demand for exports from the United States;
            (12) in partnering with the countries of the Region, the 
        United States can play a positive role in addressing the 
        challenges of poverty and inequality, and achieving greater 
        energy security;
            (13) an increased United States commitment to economic and 
        social development in the Region can benefit workers and 
        businesses in the United States; and
            (14) as President Obama said to the leaders of the Region 
        at the Fifth Summit of the Americas, the United States is 
        ``committed to combating inequality and creating prosperity 
        from the bottom up . . . This is by no means charity. Together, 
        we can create a broader foundation for prosperity that builds 
        new markets and powers new growth for all peoples in the 
        hemisphere''.

SEC. 4. STATEMENT OF POLICY.

    It is the policy of the United States--
            (1) to minimize the negative economic impact on the 
        countries in the Region of the global recession, and to seek a 
        broad-based regional recovery;
            (2) to promote democracy and the rule of law in the Region;
            (3) to promote and strengthen human rights in the Region 
        by--
                    (A) participating in the Inter-American Commission 
                on Human Rights and in the Inter-American Court of 
                Human Rights;
                    (B) concluding negotiations on the draft Inter-
                American Convention against Racism and All Forms of 
                Discrimination and Intolerance; and
                    (C) supporting the full rights of indigenous 
                peoples and Afro-descendents in the Americas, including 
                the right to participate in the political and economic 
                life of a nation;
            (4) to improve living conditions for all citizens in the 
        Americas by--
                    (A) protecting all people in the Americas, 
                especially women, children, and adolescents, from all 
                forms of trafficking in persons and sexual and economic 
                exploitation;
                    (B) coordinating national strategies within the 
                Americas to eradicate forced labor before 2010, and the 
                worst forms of child labor by 2020; and
                    (C) supporting programs that create opportunities 
                for work in the formal sector, and programs providing 
                workers with the technical skills needed to meet the 
                demands of labor markets;
            (5) to improve public health in the countries of the 
        Americas by--
                    (A) implementing the World Health Organization's 
                International Health Regulations to prevent pandemics 
                and reduce the likelihood of public health emergencies; 
                and
                    (B) implementing the Joint United Nations Program 
                on HIV/AIDS;
            (6) to improve public education in the Americas by--
                    (A) supporting programs which seek to increase 
                enrollments in secondary and vocational-technical 
                education;
                    (B) reaffirming the commitment of the United States 
                to the 2008 Declaration of Medellin: Youth and 
                Democratic Values; and
                    (C) supporting the Inter-American Social Protection 
                Network;
            (7) to improve the capacity of government institutions by--
                    (A) supporting the Inter-American Network on 
                Decentralization, Local Government and Citizen 
                Participation (RIAD);
                    (B) supporting the Inter-American Convention 
                against Corruption, adopted at Caracas, Venezuela, 
                March 29, 1996, in the fight against all forms of 
                corruption, fraudulent practices and unethical 
                behaviors.

SEC. 5. ESTABLISHING A SOCIAL INVESTMENT AND ECONOMIC DEVELOPMENT FUND 
              FOR THE AMERICAS.

    (a) Authorization of Assistance.--Part I of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2151 et seq.) is amended by adding at the end 
the following:

   ``CHAPTER 13--SOCIAL INVESTMENT AND ECONOMIC DEVELOPMENT FOR THE 
                                AMERICAS

``SEC. 499G. DEFINITIONS.

    ``In this chapter:
            ``(1) Appropriate congressional committees.--The term 
        `appropriate congressional committees' means the Committee on 
        Foreign Relations of the Senate and the Committee on Foreign 
        Affairs of the House of Representatives.
            ``(2) The americas.--The term `Americas' means all the 
        countries of North America, Central America, South America, and 
        the Caribbean.
            ``(3) The region.--The term `Region' means all the 
        countries of Central America, South America, the Caribbean, and 
        Mexico.

``SEC. 499H. AUTHORIZATION OF ASSISTANCE.

    ``(a) Assistance.--The President, acting through the Administrator 
of the United States Agency for International Development, and working 
with governments and civil society in the Americas, shall provide 
increased and sustained assistance to build civilian institutions that 
will help reduce poverty, expand the middle class, and foster increased 
economic opportunity by--
            ``(1) promoting education;
            ``(2) improving health and disease prevention;
            ``(3) increasing access to income generating activities;
            ``(4) reducing crime, particularly violent crime, 
        including--
                    ``(A) murder;
                    ``(B) kidnapping;
                    ``(C) gang violence, including youth gangs; and
                    ``(D) violence against women;
            ``(5) generating rural development;
            ``(6) reducing poverty and inequality in both urban and 
        rural areas;
            ``(7) strengthening the rule of law, governance, and 
        democracy through the establishment of--
                    ``(A) independent judiciaries;
                    ``(B) efficient processes to adjudicate claims; and
                    ``(C) effective law enforcement institutions; and
            ``(8) eliminating the exclusion of marginalized 
        populations, including--
                    ``(A) indigenous groups;
                    ``(B) people of African descent;
                    ``(C) women;
                    ``(D) the impoverished; and
                    ``(E) people with disabilities.
    ``(b) Contribution Requirement.--
            ``(1) In general.--Except as provided in paragraph (2), in 
        order to receive assistance from the United States under this 
        chapter, a recipient country shall contribute at least 10 
        percent of the total value of the funds the United States 
        provides for projects in the recipient country.
            ``(2) Waiver.--
                    ``(A) Authority.--The Secretary of State may waive 
                paragraph (1) if it is determined that it is important 
                to the national security interests of the United States 
                to do so.
                    ``(B) Report.--Whenever the waiver authority under 
                subparagraph (A) is exercised, the Secretary of State 
                shall submit a report to the appropriate congressional 
                committees detailing the justification for the waiver 
                and the purposes for which the funds will be spent.
            ``(3) Additional contributions.--The Administrator of the 
        United States Agency for International Development may require 
        additional contributions from the recipient country.
    ``(c) Ineligibility To Receive Assistance.--The President may not 
provide assistance under this section to the government of a country 
that is ineligible to receive assistance under section 620, this part, 
or chapter 4 of part II.
    ``(d) Additional Terms and Conditions.--The President may impose 
additional terms and conditions on countries receiving assistance under 
this section.
    ``(e) Coordination With Other Federal Agencies.--The Administrator 
of the United States Agency for International Development shall 
coordinate with the heads of other Federal departments and agencies as 
necessary to carry out this section.

``SEC. 499I. EVALUATION.

    ``(a) In General.--The Administrator of the United States Agency 
for International Development shall ensure that projects carried out 
under this chapter are subject to rigorous, independent impact 
evaluations at the initial design stage and the conclusion of the 
projects to determine if the projects are helping--
            ``(1) to reduce poverty in the Americas; and
            ``(2) to foster social and economic development in the 
        countries of the Americas.
    ``(b) Coordinated Evaluations.--If possible, the evaluations shall 
be conducted in coordination with evaluations of similar projects that 
other donors fund in order to expand the evidence base used for making 
decisions.
    ``(c) Use of Evaluations.--The Administrator of the United States 
Agency for International Development shall use information from the 
evaluations conducted under subsection (a) to inform future project 
decisions.

``SEC. 499J. REPORT.

    ``Not later than 1 year after the date of the enactment of the 
Social Investment and Economic Development for the Americas Act of 
2010, and annually thereafter, the President shall submit to Congress a 
report on the specific programs, projects, and activities carried out 
under this chapter during the preceding year, including an evaluation 
of the results of the programs, projects, and activities.

``SEC. 499K. BUDGET.

    ``The report required under section 499J may be submitted with the 
budget justification materials submitted to Congress and the budget 
submitted by the President under section 1105(a) of title 31, United 
States Code.

``SEC. 499L. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) In General.--In addition to amounts otherwise authorized to 
be appropriated for assistance to the Region, there are authorized to 
be appropriated to carry out this chapter--
            ``(1) $175,000,000 for fiscal year 2010;
            ``(2) $225,000,000 for fiscal year 2011;
            ``(3) $275,000,000 for fiscal year 2012;
            ``(4) $300,000,000 for fiscal year 2013; and
            ``(5) $325,000,000 for fiscal year 2014.
    ``(b) Additional Authorities.--Amounts appropriated pursuant to 
subsection (a) shall remain available until expended.
    ``(c) Funding Limitation.--Not more than 7 percent of the amounts 
appropriated pursuant to subsection (a) for a fiscal year may be used 
for administrative expenses to carry out programs authorized in 
subsection (a).
    ``(d) Microfinance Growth Fund for the Americas.--
            ``(1) Purpose.--The purpose of the Microfinance Growth Fund 
        for the Americas is to provide the countries in the Region 
        with--
                    ``(A) stable, medium-term and long-term sources of 
                finance to microfinance institutions; and
                    ``(B) investment vehicles.
            ``(2) Sense of congress.--It is the sense of Congress that 
        United States contributions to the Microfinance Growth Fund for 
        the Americas should be matched on a dollar-for-dollar basis 
        with contributions from the public, private, or non-profit 
        sectors.
            ``(3) Authorization of appropriations.--There is authorized 
        to be appropriated $50,000,000 in each of the fiscal years 2010 
        through 2014 for debt and equity financing for the Microfinance 
        Growth Fund for the Americas.
    ``(e) Capacity Building Related to Trade Promotion Agreements.--
There is authorized to be appropriated to the United States Agency for 
International Development $15,000,000 in each of the fiscal years 2010 
through 2014 for labor and environmental capacity building activities 
relating to the implementation of trade promotion agreements.
    ``(f) Eligible Agreements.--The agreements under subsection (e) may 
include agreements between the United States and other countries that 
are--
            ``(1) ratified agreements;
            ``(2) pending agreements; or
            ``(3) potential agreements.
    ``(g) Proposed Public-Private Fund for Social and Economic 
Development in the Americas.--
            ``(1) In general.--The Secretary of State, in consultation 
        with the Secretary of the Treasury and the Administrator of the 
        United States Agency for International Development, shall 
        immediately establish and convene an advisory group, consisting 
        of persons with a relevant professional background in the 
        Americas from the public, private, and nonprofit sectors, to 
        consider the feasibility of establishing a new public-private 
        Fund for Social and Economic Development in the Americas 
        (referred to in this section as ``the Fund'').
            ``(2) Sense of congress.--It is the sense of Congress 
        that--
                    ``(A) the Fund should be governed by a board 
                composed of members drawn from the public, private, and 
                nonprofit sectors in the United States and the Region;
                    ``(B) building on initiatives already underway in 
                the Region, the Fund should make grants for the purpose 
                of advancing long-term social and economic development 
                in the Americas;
                    ``(C) governments, development organizations, and 
                private foundations throughout the world should 
                contribute to the Fund, and the contribution of the 
                United States Government to the Fund should be no 
                greater than \1/3\ of the total annual budget of the 
                Fund; and
                    ``(D) each country choosing to participate in the 
                Fund should be required to contribute at least 10 
                percent of the annual total of grants received by such 
                country, to ensure the active involvement of the 
                country in the operation of the Fund and the grant-
                making process.
            ``(3) Report.--
                    ``(A) In general.--Not later than 1 year after the 
                date of the enactment of this Act, the advisory group 
                established under paragraph (1) shall submit to the 
                Secretary of State and the appropriate congressional 
                committees a report containing conclusions about the 
                feasibility of a Fund and its recommendations for 
                organizing, financing, and operating the Fund.
                    ``(B) Contents of the report.--The report submitted 
                under subparagraph (A) shall include a determination of 
                the advantages and disadvantages of establishing and 
                operating the Fund within an existing institution, such 
                as--
                            ``(i) the Inter-American Foundation;
                            ``(ii) the World Bank; or
                            ``(iii) the Inter-American Development 
                        Bank.
            ``(4) Authorization of appropriations.--There are 
        authorized to be appropriated such sums as may be necessary for 
        fiscal year 2010 for the purpose of carrying out this 
        subsection.''.

Summary: Social Investment and Economic Development for the Americas Act of 2010 - Amends the Foreign Assistance Act of 1961 to direct the President, through the United States Agency for International Development (USAID) and working with governments and civil society in the Americas , to provide assistance to reduce poverty, expand the middle class, and foster increased economic opportunity. Directs the Secretary of State to establish an advisory group to consider the feasibility of establishing a public-private Fund for Social and Economic Development in the Americas. Authorizes appropriations for: (1) assistance to Central America, South America, the Caribbean, and Mexico. (2) debt and equity financing for a Microfinance Growth Fund for the Americas. (3) the Fund for Social and Economic Development in the Americas. And (4) USAID for labor and environmental capacity building activities relating to the implementation of trade promotion agreements.