74–947 PS

Calendar No. 147

107TH CONGRESS REPORT

1st Session " ! SENATE 107–58

FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED

PROGRAMS APPROPRIATION BILL, 2002

SEPTEMBER 4, 2001.—Ordered to be printed

Mr. LEAHY, from the Committee on Appropriations,

submitted the following

REPORT

[To accompany H.R. 2506]

The Committee on Appropriations to which was referred the bill

(H.R. 2506), making appropriations for Foreign operations and related programs for the fiscal year ending September 30, 2002, and

for other purposes, reports the same to the Senate with an amendment and recommends that the bill as amended do pass.

Amounts in new budget authority

Fiscal year 2001 appropriations 1 ............................ $14,941,168,000

Fiscal year 2002 budget estimate ........................... 15,227,631,000

House allowance ....................................................... 15,212,173,000

Amount of bill as reported to Senate ...................... 15,568,880,000

Bill as recommended to Senate compared to:

2001 appropriations .......................................... ∂627,712,000

Budget estimate ................................................ ∂341,249,000

House allowance ................................................ ∂356,707,000 1Does not reflect the 0.22 percent rescission.
(2)

CONTENTS

Page

Summary of total budget authority in the bill ...................................................... 4

Introduction .............................................................................................................. 4

Title I—Export assistance:

Export-Import Bank of the United States ...................................................... 5

Overseas Private Investment Corporation ..................................................... 5

Trade and Development Agency ...................................................................... 6

Title II—Bilateral economic assistance:

Bilateral assistance .......................................................................................... 7

Child Survival and Health Programs Fund ................................................... 7

Development assistance ................................................................................... 13

International disaster assistance .................................................................... 34

Transition initiatives ........................................................................................ 35

Development credit authority .......................................................................... 35

Operating expenses .......................................................................................... 36

Payment to the Foreign Service retirement and disability fund .................. 36

Operating expenses of the United States Agency for International Development ........................................................................................................... 36

Operating expenses of the Office of Inspector General ................................. 37

Other bilateral economic assistance ................................................................ 37

Economic Support Fund ............................................................................ 37

Assistance for Eastern Europe and the Baltic States ............................ 39

Assistance for the Independent States of the former Soviet Union ...... 41

Independent Agencies ...................................................................................... 45

Peace Corps ................................................................................................ 45

African Development Foundation ............................................................ 46

Inter-American Foundation ...................................................................... 46

Department of State:

International narcotics control and law enforcement ............................. 46

Andean Counterdrug Initiative ................................................................ 47

Migration and refugee assistance ............................................................ 51

Emergency refugee and migration assistance fund ................................ 52

Nonproliferation, antiterrorism, demining, and related programs ....... 53

Department of Treasury:

International affairs technical assistance ............................................... 55

Global fund to combat HIV/AIDS, malaria, and tuberculosis ............... 55

Debt restructuring ..................................................................................... 55

Title III—Military assistance:

International military education and training ............................................... 56

Foreign military financing ............................................................................... 57

Peacekeeping operations .................................................................................. 58

Title IV—Multilateral economic assistance:

International Financial Institutions Summary .............................................. 59

International Bank for Reconstruction and Development ............................ 60

Global Environment Facility ........................................................................... 60

Multilateral Investment Guarantee Agency ................................................... 61

Inter-American Development Bank ................................................................ 61

Asian Development Fund ................................................................................. 61

African Development Bank .............................................................................. 61

Africa Development Fund ................................................................................ 61

European Bank for Reconstruction and Development .................................. 61

International Fund for Agriculture Development .......................................... 61

International Organizations and Programs ................................................... 62

Title V—General provisions .................................................................................... 64

Compliance with paragraph 7, rule XVI of the standing rules of the Senate .... 67
Page

3

Compliance with paragraph 7(c), rule XXVI of the standing rules of the

Senate ................................................................................................................... 67

Compliance with paragraph 12, rule XXVI of the standing rules of the

Senate ................................................................................................................... 68

Budget impact statement ........................................................................................ 72
(4)

1Does not reflect the 0.22 percent rescission.

SUMMARY TABLE: AMOUNTS IN NEW BUDGET AUTHORITY

Item Budget estimate Committee

recommendation

Committee recommendation compared with budget estimate increase (∂)

or decrease (¥)

Export assistance .............................................. $485,955,000 $604,955,000 ∂$119,000,000

Economic assistance—bilateral ....................... 9,456,880,000 9,679,529,000 ∂222,649,000

Military assistance ............................................ 3,889,000,000 3,889,000,000 ................................

Economic assistance ......................................... 1,395,796,000 1,395,396,000 ¥4,600,000

INTRODUCTION

In fiscal year 2001, the Committee appropriated $14,941,168,000

for foreign operations and related programs.1 This year, the Com- mittee has provided $15,568,880,000, of which $15,524,000,000 is

for discretionary spending and $44,880,000 is for mandatory spending.
(5)

TITLE I

EXPORT ASSISTANCE

EXPORT-IMPORT BANK OF THE UNITED STATES

SUBSIDY APPROPRIATION

Appropriations, 2001 ............................................................................. $865,000,000

Budget estimate, 2002 ........................................................................... 633,323,000

House allowance .................................................................................... 738,323,000

Committee recommendation ................................................................. 753,323,000

ADMINISTRATIVE EXPENSES

Appropriations, 2001 ............................................................................. $62,000,000

Budget estimate, 2002 ........................................................................... 65,000,000

House allowance .................................................................................... 60,000,000

Committee recommendation ................................................................. 64,000,000

The Committee provides $753,323,000 for a subsidy appropriation for the Export-Import Bank. This is $120,000,000 above the request and $111,677,000 below the fiscal year 2001 level.

The Administration’s budget request is $231,677,000 below the

fiscal year 2001 level. Of this reduction, approximately

$112,000,000 is due to changes in risk factors as estimated by the

Office of Management and Budget and required by the Federal

Credit Reform Act. This leaves approximately $120,000,000 in cuts

that are in addition to those that result from the reassessment of

risk. The Committee restores this $120,000,000 with the understanding that a total subsidy appropriation of $753,323,000 will

support a projected level of Export-Import Bank authorizations of

$12,400,000,000 in fiscal year 2002. This is approximately

$1,000,000,000 higher than the projected authorizations that would

be supported by the request, and approximately $2,000,000,000

higher than the estimated fiscal year 2001 level.

The Committee provides $64,000,000 for administrative expenses, which is $1,000,000 below the request and $2,000,000

above the fiscal year 2001 level.

OVERSEAS PRIVATE INVESTMENT CORPORATION

SUBSIDY APPROPRIATION

DIRECT LOANS

Appropriations, 2001 ............................................................................. $24,000,000

Budget estimate, 2002 ........................................................................... ...........................

House allowance .................................................................................... ...........................

Committee recommendation ................................................................. ...........................
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ADMINISTRATIVE EXPENSES

Appropriations, 2001 ............................................................................. $38,000,000

Budget estimate, 2002 ........................................................................... 38,608,000

House allowance .................................................................................... 38,608,000

Committee recommendation ................................................................. 38,608,000

The Committee has not provided a subsidy appropriation for the

Overseas Private Investment Corporation (OPIC) for direct and

guaranteed loan credit programs, and includes $38,608,000 for administrative expenses. This level is equal to the Administration’s

budget request.

OPIC subsidy appropriations are available for two years, and OPIC has $24,000,000 in carryover funds available for use in fiscal

year 2002. Therefore, the Committee recommendation should not

result in a reduction from last year’s program level. The Committee

recognizes that appropriations will be required next year.

The Committee strongly endorses the House report language encouraging OPIC to provide increased support within the energy sector for investments using American cleaner and renewable energy

technology.

TRADE AND DEVELOPMENT AGENCY

Appropriations, 2001 ............................................................................. $50,000,000

Budget estimate, 2002 ........................................................................... 50,024,000

House allowance .................................................................................... 50,024,000

Committee recommendation ................................................................. 50,024,000

The Committee provides $50,024,000 for the Trade and Development Agency. This amount is $24,000 above the fiscal year 2001

level and equal to the request.
(7)

TITLE II

BILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT

BILATERAL ECONOMIC ASSISTANCE

Appropriations, 2001 ............................................................................. $3,229,989,000

Supplemental funding .................................................................... 90,000,000

Budget estimate, 2002 ........................................................................... 3,179,380,000

House allowance .................................................................................... 3,356,380,000

Committee recommendation ................................................................. 3,631,380,000

The amounts listed in the above table for fiscal year 2001 appropriations, the fiscal year 2002 budget estimate, and the Committee

recommendation include funds appropriated or requested under

child survival and health programs, development assistance,

USAID operating expenses, Inspector General operating expenses,

mandatory retirement expenses, international disaster assistance,

transition initiatives and credit programs.

Restoring a long-standing practice, the Committee has provided

funding for the African Development Foundation and Inter-American Foundation under ‘‘Independent Agencies’’ rather than the ‘‘Development Assistance’’ account.

CHILD SURVIVAL AND HEALTH PROGRAMS FUND

Appropriations, 2001 ............................................................................. $963,000,000

Budget estimate, 2002 ........................................................................... 991,000,000

House allowance .................................................................................... 1,425,000,000

Committee recommendation ................................................................. 1,455,500,000

The Committee provides $1,455,500,000 for the renamed ‘‘Child

Survival and Health Programs Fund’’. These funds are available

for programs and activities to reduce child mortality and morbidity,

combat infectious diseases, and address a wide range of other public health problems around the world. The Committee reiterates its

strong support for a comprehensive approach to global health, with

an emphasis on building local capacity in developing countries to

conduct effective surveillance and deliver basic health services.

The Committee notes that in fiscal year 2001, $103,000,000 for

children’s basic education was included in the Child Survival and

Disease Programs Fund. It is now funded at a level of $135,000,000

in the Development Assistance account. In fiscal year 2001,

$425,000,000 for reproductive health was included in the Development Assistance, Economic Support Fund (ESF), Assistance for

Eastern Europe and the Baltic States (SEED), and Independent

States of the former Soviet Union (FSU) accounts. It is now funded

at a level of $450,000,000 in the Child Survival and Health Programs Fund, and the ESF, SEED and FSU accounts.
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HIV/AIDS

It is now widely recognized that the HIV/AIDS pandemic poses

the greatest public health threat in over half a millennium. For

reasons expressed in prior reports, the Committee is of the view

that the response of the international community to this crisis has

been woefully inadequate. For fiscal year 2002, the Committee has

provided $415,000,000 in the Child Survival and Health Programs

Fund for programs to combat HIV/AIDS. Of this amount,

$375,000,000 is for USAID programs. The remaining $40,000,000 is

for a United States contribution to a Global Fund to combat HIV/

AIDS, malaria and tuberculosis, to be added to $10,000,000 in carryover fiscal year 2001 Child Survival and Disease Program funds,

for a total contribution to the Global Fund in fiscal year 2002 of

$50,000,000.

In addition to the appropriation for HIV/AIDS in the Child Survival and Health Programs Fund, the Committee expects

$25,000,000 to be provided for HIV/AIDS programs from the ESF,

SEED, and FSU accounts in fiscal year 2002. The Committee expects that these funds will be obligated and disbursed far more

rapidly than in the past. The total amount provided in the bill in

fiscal year 2002 for HIV/AIDS is $450,000,000.

The Committee also notes the recent action by Congress to pro- vide $100,000,000 in fiscal year 2001 supplemental funds for an

initial U.S. contribution to the Global Fund.

Foreign Operations Appropriations for HIV/AIDS—107th Congress

Legislation Amount

Fiscal Year 2001 Supplemental Appropriation: Global Fund ............ $100,000,000

Fiscal Year 2002 Committee Recommendation:

USAID ............................................................................................. 375,000,000

State Department (ESF, SEED, FSU) .......................................... 25,000,000

Global Fund .................................................................................... 50,000,000

Total ............................................................................................. 550,000,000

The Committee believes that the first priority for these funds

should be to support HIV/AIDS prevention programs, in order to

reduce the number of new infections and save lives. However, the

Committee also believes that funds should be increasingly used to

support HIV/AIDS treatment programs, including programs to facilitate access by infected persons to anti-retroviral drugs. The

Committee is aware of the concern that some HIV/AIDS affected

countries, especially those in sub-Saharan Africa, lack the capacity

to effectively use additional funds for the prevention and treatment

of HIV/AIDS. The Committee believes that where local capacity is

lacking, USAID should provide resources to build that capacity so

HIV/AIDS programs can reach people in need.

The Committee believes strongly that the urgency and magnitude of the HIV/AIDS crisis requires that USAID pursue all

available options and authorities to ensure the most cost-effective

utilization of available resources to produce the greatest possible

impact in stemming the pandemic.

Microbicides.—The Committee welcomes progress by USAID and

other Federal agencies to coordinate efforts to develop topical

microbicides to prevent the spread of HIV. However, the Committee remains concerned that this work has not received the sup-
9

port it deserves. Microbicide products, while not yet available, are

being tested in several countries and have the potential to be particularly important for women, whose risk of HIV/STD infection is

high and whose control over existing prevention options is low.

USAID has a demonstrated advantage in enhancing the feasibility

of successful clinical trials through site infrastructure development

and product introduction in countries with limited resources. For

fiscal year 2002, USAID should provide at least $15,000,000 for

microbicides research and development, and the Committee expects

these funds to be managed by the Director of the USAID’s HIV/

AIDS Division.

Media Training.—The Committee believes that more education

about the causes, effects, and treatment of HIV/AIDS is needed in

many areas, especially sub-Saharan Africa. One promising way to

increase knowledge about the disease is through accurate and unbiased media reporting, which is lacking in many parts of Africa. The

Committee recommends that USAID make available at least

$2,000,000 in fiscal year 2002 for an independent media training

program in sub-Saharan Africa. The program should be conducted

by an organization with a demonstrated record of training journalists, assisting in the development of independent radio/television

stations, and producing public service announcements on HIV/

AIDS and related issues.

Nurse Training.—The Committee believes that far more emphasis should be given to training nurses to cope with the HIV/AIDS

crisis in sub-Saharan Africa. Because of the acute shortage of African doctors, nurses are often the first and only contact that people

have with the health care system. The Committee urges USAID to

fund an appropriate American school of nursing to establish an

AIDS care and counseling program for African nurses, who can

then train other nurses and community health workers in prevention, surveillance, testing, home care, and case management services.

Nyumbani.—For many years, the Committee has been impressed

by the work of the Nyumbani orphanage in Nairobi, which cares

for HIV-positive infants. The Committee believes the Nyumbani orphanage merits continued support from USAID, and recommends

$150,000 in fiscal year 2002. In addition, the Committee is aware

of a new Nyumbani initiative called ‘‘Village in Hope,’’ to provide

housing and care to two other HIV-affected groups—the elderly,

who through the ravages of AIDS no longer have children to support them, and AIDS-orphaned youth. Each group, living together,

would share support and security. The Committee believes this proposal also deserves USAID’s serious consideration for funding in

fiscal year 2002.

Father John Anthony Kaiser.—The Committee encourages

USAID to provide funding for activities in rural Kenya that continue the work of the late Father John Anthony Kaiser, including

support for rural schools, orphanages and health clinics, and the

care and treatment of HIV-infected children and children orphaned

by AIDS.

Protection of Women and Girls.—The Committee recognizes that

the vulnerability of women and girls to HIV/AIDS infection is increased, in part, due to a lack of economic opportunities, culturally
10

defined gender roles, and widespread violence against women. As

a result, women have accounted for more than half of the AIDSrelated deaths since the beginning of the pandemic. The Committee

urges USAID’s Women in Development office to ensure that HIV/

AIDS programs take into account the specific impact of the disease

on women and girls.

UNAIDS.—The Committee expects USAID to increase support

for the work of UNAIDS, which plays a key coordination role in the

global effort to design national AIDS plans, expand access to HIV

drugs, set standards for vaccine trials, and collect data that is critical in combating the HIV/AIDS pandemic.

Teacher Training.—The Committee recognizes that prevention

programs in schools and teacher training initiatives on HIV/AIDS

issues can play an important role in reducing the spread of the

virus. The Committee expects that these types of programs will be

part of bilateral and multilateral prevention efforts.

OTHER INFECTIOUS DISEASES

The Committee has provided $175,000,000 for programs to combat other infectious diseases, to strengthen disease surveillance,

and to reduce anti-microbial resistance in developing countries.

This is the fifth year of a congressional initiative begun in fiscal

year 1998, which has resulted in additional appropriations of over

$250,000,000 for these activities.

Tuberculosis.—The Committee recommends at least $70,000,000

to combat tuberculosis (TB), including $55,000,000 from the Child

Survival and Health Programs Fund and at least $15,000,000 from

the ESF, SEED, and FSU accounts. The Committee expects funds

for TB from the ESF, SEED, and FSU accounts will be obligated

and disbursed rapidly. The Committee recommends that USAID

provide $2,000,000 to the Gorgas Memorial Institute Initiative for

Tuberculosis Control. The Committee also notes that bilateral programs designed with the World Health Organization and American

Lung Association have been effective in dealing with TB in developing nations and encourages USAID to continue to support these

efforts.

Malaria.—The Committee recommends at least $55,000,000 in

Development Assistance funds for programs to combat malaria, a

debilitating disease that afflicts an estimated 500 million people

each year, of whom 1 million die, mostly Africans.

UNITED NATIONS CHILDREN’S FUND (UNICEF)

The Committee supports efforts to reach the child survival goals

set by the World Summit for Children. In order to implement these

goals, the Committee recommends that $120,000,000 of the funds

provided under the Child Survival and Health Programs Fund be

provided as a contribution to UNICEF. This does not preclude

USAID from providing additional funding for specific UNICEF

projects as may be appropriate.

IMMUNIZATIONS

The Committee is aware that at least 3 million children die each

year because they do not receive life-saving immunizations. Last
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year, Congress recommended that up to $50,000,000 be provided as

an initial U.S. contribution to the Global Fund for Children’s Vaccines in support of the Global Alliance for Children’s Vaccines

(GAVI). The Global Fund, now named The Vaccine Fund, provides

resources to support the international, public and private partnership recommendations of GAVI. Since its inception a year ago,

more than $600,000,000 for 36 countries has been committed for

immunization programs over the next 3 years, potentially saving as

many as 1.5 million lives a year. The Committee strongly supports

continued funding for this program and recommends up to

$50,500,000 for The Vaccine Fund in fiscal year 2002.

SAFE INJECTIONS

The Committee notes that many of the 12 billion injections that

are given each year in the world are unsafe. Of particular concern

is the reuse of injection equipment without sterilization, a common

practice in developing countries. The Committee recommends not

less than $1,000,000 to develop and implement effective strategies

to improve injection safety, including developing and promoting

technologies that improve the safety of injections provided for preventive and curative services; developing environmentally sound,

reasonable priced methods for improving the safety of the disposal

of used injection supplies; and launching an intensive 5-year communication initiative, in conjunction with WHO, UNICEF and the

GAVI Advocacy Task Force, to promote the safe and appropriate

use of injections.

The Committee emphasizes that it is important that injection

safety is not perceived as an entirely separate initiative, but as one

important element of an overall integrated effort to improve the

quality of health service delivery. The Committee requests that

USAID’s efforts to improve injection safety be discussed in USAID’s

annual Child Survival Report to Congress.

IODINE DEFICIENCY DISORDERS

The Committee is aware that iodine deficiency disorder (IDD) is

the leading preventable cause of mental retardation in children.

Problems associated with IDD are particularly of concern in Africa,

Asia, and in the former Soviet republics. Private funding raised by

Kiwanis International and implemented by UNICEF is already

preventing the mental retardation of more than 10 million children

a year. In order to help meet the IDD goals, the Committee recommends that USAID provide a total of at least $2,250,000 from

the Child Survival and Health Programs Fund, and $2,500,000

from the FSU and SEED accounts through the Kiwanis/UNICEF

IDD partnership program.

VITAMIN A AND OTHER MICRONUTRIENTS

The Committee supports increased funding for the vitamin A deficiency program, as more than 250 million children are vitamin A

deficient, increasing their risk of severe illness, blindness, and

death. Vitamin A is a low cost solution to easily preventable diseases. Like last year, the Committee recommends at least

$30,000,000 for the overall USAID micronutrient program, allowing
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for an increase in funding for programs related to vitamin A deficiency.

POLIO ERADICATION

The Committee again recommends $30,000,000 for the multilateral effort to eradicate polio, an extraordinary public-private effort

which is expected to take another 3 to 4 years.

BLIND CHILDREN

According to the World Health Organization, there are 1.5 million blind children around the world and another 7 million children

who suffer from impaired vision. The Committee recognizes the

work being done by Helen Keller Worldwide, the International Eye

Foundation, and other organizations to assist these children, who

can be helped with simple and inexpensive methods of prevention

and treatment. The Committee is concerned with the slow pace of

obligation and disbursement of funds appropriated for blind children in the past, and expects USAID to provide $1,300,000 for such

programs in fiscal year 2002.

PROGRAMS TO ASSIST THE VISUALLY IMPAIRED IN SOUTHEAST ASIA

The Committee is concerned with the large number of blind and

visually and hearing impaired children and adults in Southeast

Asia. The Committee is aware that organizations such as Helen

Keller Worldwide have initiated cost-effective programs to address

these needs in Vietnam and Cambodia. The Committee urges

USAID to expand funding for similar programs in the region.

ORPHANS AND DISPLACED CHILDREN FUND

The Committee recommends $12,000,000 for the Displaced Children and Orphans Fund. The Committee has again provided authority to use up to $25,000 in program funds for displaced and orphaned children and victims of war, to enable the USAID office responsible for the design and management of these programs to

monitor and oversee their implementation. USAID is also encouraged to use other operating expense funds, as necessary, to further

the effectiveness of the oversight of these programs.

FAMILY PLANNING/REPRODUCTIVE HEALTH

The Committee has provided $450,000,000 for family planning/

reproductive health programs within the Child Survival and

Health Programs Fund. The Committee notes that this is

$25,000,000 above the Administration’s request and equal to the

amount provided in fiscal year 1995. The Committee believes that

it is important for the United States to provide more support for

family planning services in developing countries, where 95 percent

of new births will occur. This support should include expanding access to and the use of quality family planning information and

services, to enable individuals and couples to avoid unintended

pregnancies and other risks to reproductive health, including those

associated with pregnancy, sexually transmitted infections and

HIV/AIDS. Of this amount, $395,000,000 is to come from the Child

Survival and Health Programs Fund, and $55,000,000 from the
13

ESF, SEED, and FSU accounts. In the past, funds designated for

family planning/reproductive health from the ESF, SEED, and FSU

accounts have been obligated and disbursed on an exceedingly slow

timetable. The Committee expects that the rate of expenditures

will improve dramatically, and that funds will be disbursed rapidly

this year.

The Committee recognizes that unchecked population growth is

a major cause of environmental degradation, and urges USAID to

develop performance goals and indicators which promote cross-sectoral collaboration on community-based population-health-environment programs.

The Committee supports organizations such as the Population

Media Center, which promotes the use of mass media to educate

people in developing countries about the personal benefits of family

planning, encourage the use of effective measures to prevent transmission of HIV, and adopt other health measures.

MATERNAL HEALTH

The Committee is aware that pregnancy-related deaths exceed

600,000 annually, most of which are preventable. Like last year,

the Committee recommends $50,000,000 for maternal health activities, and that additional funding be made available specifically to

reduce pregnancy-related deaths. The Committee is aware of the

efforts of the Haitian Health Foundation (HHF) to provide health

care, including the treatment of women with high risk pregnancies,

to over 200,000 people in Haiti. The Committee recommends that

USAID support its work.

MEDICAL EQUIPMENT

The Committee supports efforts by organizations, including

International Medical Equipment Collaborative, to deliver donated

medical equipment and supplies to under-served clinics in developing countries. The Committee urges USAID to give serious consideration to proposals for funding from these organizations.

The Committee recognizes the work of Mobility International

USA to develop a disability inclusive policy in Vietnam, and recommends that USAID consider supporting such an initiative with

up to $300,000.

The Committee supports the work of the International Foundation for the Reduction of Infectious Diseases to provide hospitals in

developing countries with technologies to protect hospital workers

against a dangerous viruses.

DEVELOPMENT ASSISTANCE

Appropriations, 2001 ............................................................................. $1,305,000,000

Budget estimate, 2002 ........................................................................... 1,325,000,000

House allowance .................................................................................... 1,098,000,000

Committee recommendation ................................................................. 1,235,000,000

The Development Assistance account consists of a wide variety of

poverty-reduction and long-term development activities including

free market development, agriculture and rural development,

urban programs, environment and energy, basic education, microcredit, and democracy and the rule of law.
14

GLOBAL DEVELOPMENT ALLIANCE

The Committee is aware of the preliminary outlines of USAID’s

‘‘Global Development Alliance’’ (GDA) proposal, which builds on recent USAID experience of partnering with private organizations

(including private companies, foundations, and private and voluntary organizations) to accomplish development objectives.

The Committee generally supports the concept of linking Federal

and private resources to achieve development goals. USAID’s financial and human resources, particularly the expertise of its field

missions, have the potential, when coupled with resources from

non-Federal sources, to greatly increase the amount of assistance

the United States can provide to advance development goals. The

Committee believes that USAID needs to do more in investigating

the management and policy implications of this approach before it

is accepted as a model for USAID. The Committee encourages

USAID to consult with the Committee on its plans for this initiative before procedures and policy are finalized. Until sufficient details about the scope and functions of the GDA proposal are provided to the Committee for its review and further consultations

occur, no program funds are to be reserved or used from the fiscal

year 2002 or prior year Acts to fund GDA activities.

WOMEN IN DEVELOPMENT

The Committee recommends $15,000,000 in fiscal year 2002 for

USAID’s Office of Women in Development (WID). In addition to

providing adequate funding, the Committee requests the USAID

Administrator to seriously consider strengthening the WID Office.

The Office plays a key role in integrating gender perspectives into

USAID’s programs and policies, and providing technical support,

research and implementation of initiatives focused on women’s economic status and legal rights, and girls’ education. Possible actions

include appointing a person at the Deputy Assistant Administrator

level to head the office; creating a WID Working Group, with membership at the Deputy Assistant Administrator level to monitor and

assist with the implementation of the Gender Plan of Action; and

increasing the WID office budget to enhance its effectiveness.

The Committee strongly supports the work of Women’s Campaign International (WCI), which works to enhance the status of

women through media, leadership, business, organizational, and

public-service training in developing countries. The Committee recommends at least $600,000 for WCI in fiscal year 2002.

The Committee is aware of Vital Voices Global Partnership’s efforts to support women leaders who are working to increase economic opportunities for women and strengthen civil society in

emerging democracies, and recommends $100,000 to support the

Partnership’s work.

CHILDREN’S BASIC EDUCATION

Educating children in developing countries is fundamental to

long term development. The Committee believes that USAID

should significantly broaden its support for these activities, and

recommends $135,000,000 for children’s basic education in fiscal

year 2002. The Committee expects USAID to emphasize programs
15

that expand access and quality of education for girls, enhance community and parental participation in schools, improve teacher

training, and build local management capacity. USAID should ensure that it has sufficient education specialists to manage this increased emphasis on basic education.

AMERICAN SCHOOLS AND HOSPITALS ABROAD

The Committee recognizes the important contributions made to

U.S. foreign policy by institutions funded by the American Schools

and Hospitals Abroad (ASHA) program, and has provided not less

than $19,000,000 to support these institutions in fiscal year 2002,

which is $2,000,000 above the fiscal year 2001 level. The Committee also expects USAID to allocate sufficient sums to administer

the ASHA program from funds provided for Operating Expenses, so

it will not be necessary to expend any program funds for administrative purposes.

The Committee understands that ASHA funds are available for

a variety of purposes, such as construction and equipment, libraries, computer technology, curriculum and staff support, and related

expenses. However, the Committee does not intend this assistance

to be presumed to offer permanent budget support to ASHA recipients. The Committee encourages ASHA to give priority to organizations which demonstrate a commitment to private fundraising to

match government support. By increasing ASHA funding to $19,000,000, the Committee intends to ensure that support is provided to institutions that are

particularly effective demonstration centers of American educational and medical practices. The Committee continues to be impressed with the contributions to U.S. interests made by several institutions and believes that they warrant further support, including

Lebanese American University, International College; The Johns

Hopkins University’s Centers in Nanjing, China and Bologna, Italy;

the Center for American Studies at Fudan University, Shanghai;

the Hadassah Medical Organization; the American University of

Beirut; and the Feinberg Graduate School of the Weizmann Institute of Science. The Committee is also aware of the American University in Kyrgyzstan, which opened in 1993. The university serves

as a model Western-style liberal arts university in the region.

VICTIMS OF TORTURE

The Committee is informed that USAID has provided $1,500,000

to foreign treatment centers for victims of torture during fiscal

years 2000–2002. The Committee recommends that USAID provide

up to $5,000,000 in fiscal year 2002 for these centers consistent

with the goals of the Torture Victims Relief Reauthorization Act of

1999.

The Committee has reviewed USAID’s ‘‘Report to Congress on

Victims of Torture and USAID Assistance for fiscal year 2000,’’ and

is concerned that USAID appears to include within its definition of

‘‘torture’’ such activities as assisting ‘‘victims displaced by violence’’

and ‘‘families adversely affected during armed conflict,’’ and the

‘‘reintegration of war-affected youth.’’ While these may or may not

involve torture victims, the Committee emphasizes that funds appropriated for victims of torture are intended for the unique cat-
16

egory of persons who have been subjected to torture, or to support

programs specifically to prevent torture.

PATRICK LEAHY WAR VICTIMS FUND

The Committee strongly supports the Leahy War Victims Fund,

which, since 1989, has provided essential orthopedic and related

medical, surgical, and rehabilitation assistance for civilians who

are disabled as a direct or indirect result of civil strife or armed

conflict. In addition to enabling amputees and other people with

disabilities to regain mobility, the Committee supports USAID’s efforts to increase their accessibility to mainstream educational, recreational and economic opportunities. The Committee expects

USAID to provide $12,000,000 for this program in fiscal year 2002.

The Committee encourages the Fund to increase its support for initiatives in conflict-affected countries that will lead to appropriate

disability laws and policies, and improvements in and the expansion of appropriate services and programs that are needed by people with conflict-related, physical disabilities.

The Committee expresses its appreciation to the USAID employees who manage this program, and who have earned the respect of

disability experts around the world.

U.S. TELECOMMUNICATIONS TRAINING INSTITUTE

The Committee has provided not less than $500,000 for the U.S.

Telecommunications Training Institute (USTTI). USTTI is a nonprofit joint venture between the public and private sectors dedicated to providing tuition free communications and broadcast training to professionals from around the world.

COOPERATIVE ASSOCIATION FOR STATES FOR SCHOLARSHIPS

The Committee supports the work of the Cooperative Association

for States for Scholarships and expects USAID to continue funding

this program.

PRIVATE VOLUNTARY ORGANIZATIONS

The Committee has again included language to ensure that the

level of funding to private and voluntary organizations (PVOs) is

maintained at a high level. This is consistent with current law and

USAID’s commitment to enhance support for PVOs, as they are increasingly called upon to implement U.S. foreign assistance programs. In addition, the Committee urges the Office of Private Voluntary Cooperation to maintain funding at $6,000,000 for cooperative development organizations in fiscal year 2002 in order to enhance their technical capacities and build business alliances for

overseas activities with U.S. cooperatives.

MICRO-CREDIT PROGRAMS

The Committee strongly supports micro-credit programs for very

poor people and funding for other micro-credit activities in accordance with Public Law 106–309. The Committee supports at least

the funding level in that Act.
17

NAVSARJAN TRUST

The Committee is aware of the important role the Navsarjan

Trust is playing to build civil society in India by promoting the

rights of the Dalit community. Navsarjan has representatives in

more than 2,000 villages. The Committee requests USAID to seriously consider providing funding to the Navsarjan Trust.

INTERNATIONAL EXECUTIVE SERVICE CORPS

The Committee supports the excellent work of International Executive Service Corps (IESC) volunteers who, over the past four

decades, have assisted in business development, economic growth,

and technology transfer in some 120 countries. The Committee is

concerned that USAID has underutilized the IESC as a development partner in recent years, and calls on USAID to renew its

commitment to the IESC to enable expansion of its projects in

Latin America, the Caribbean, Asia and sub-Saharan Africa. The

Committee recommends that USAID provide $5,000,000 to support

additional work by the IESC.

AGRICULTURE DEVELOPMENT PROGRAMS

The Committee welcomes the USAID Administrator’s strong support for agriculture development, and expects USAID to provide at

least $310,000,000 for these activities in fiscal year 2002.

Agriculture remains the only means of survival for the majority

of people in developing countries, and support for agriculture will

help slow the migration of people to cities, many of which are already overcrowded and incapable of providing even basic services.

The Committee believes that, in addition to continuing programs to

improve farming techniques and increase crop yields, more emphasis should be given to strengthening the business skills of small

farmers, building links between private farmers and agriculture

processors, and creating markets for agriculture products. These

activities should be a priority in countries with a tradition of centralized control over agricultural production, as well as in countries

where geography and a lack of infrastructure impede access to

markets. Like last year, the Committee has provided that not less

than $30,000,000 should be made available for plant biotechnology

programs. In addition, USAID should consider allocating a substantial portion of these funds through the Global Bureau. The

Committee notes that the American University of Beirut has designed a plant biotechnology program to enhance agricultural, industrial, and research opportunities in the Middle East. The Committee requests USAID to consider funding this program.

The Committee urges USAID to seriously consider a proposal by Sustainable Harvest International to provide $100,000 for longterm training and support for subsistence farmers in Central

America.

COOPERATIVE DEVELOPMENT PROGRAMS

The Committee is disappointed by the decline in funding for the

U.S./Israel Cooperative Development Program (CDR) and Cooperative Development Research Program (CDR). The Committee supports funding for CDP/CDR, which has particularly benefitted de-
18

veloping countries and the emerging democracies of Eastern Europe and the former Soviet Union.

FARMER-TO-FARMER

The Committee continues to support the Farmer-to-Farmer (FTF)

program in the former Soviet Union and elsewhere, and again recommends that USAID support these exchanges directly, in addition

to the funding FTF receives from the Department of Agriculture.

The Committee notes that this program is a cost-effective form of

technical assistance because the American participants volunteer

their time.

CREDIT PROGRAMS

The Committee is aware of the efforts of the World Council of

Credit Unions to further develop credit union systems in South Africa and Mexico in order to promote free-market principles and increase the ability of poor people to access credit and other banking

services. The Committee recommends up to $2,000,000 for this initiative.

MAINTENANCE OF PROTEA GERMPLASM

The Committee recognizes the need to safeguard the protea

germplasm maintained in South Africa, as protea production and

marketing is an important economic component of the tropical ornamental plant industries of South Africa and the United States.

The Committee requests USAID to provide sufficient funds in order

to sponsor an international conference for the purpose of finalizing

and initiating a comprehensive plan to sustain the protea industries in South Africa and the United States.

INTERNATIONAL FERTILIZER DEVELOPMENT CENTER

The Committee continues to support the work of the International Fertilizer Development Center (IFDC) and has provided

that not less than $2,300,000 should be made available for its core

grant. The Committee also recommends that an additional

$1,700,000 be made available to further support the research and

development activities of IFDC.

DAIRY DEVELOPMENT

The Committee continues to place a priority on dairy development and recommends that USAID actively pursue opportunities to

increase funding above the current level, with a goal of providing

$6,000,000 in fiscal year 2002.

ENVIRONMENT, CLEAN ENERGY AND ENERGY CONSERVATION

PROGRAMS FUND

The Committee has established a fund to support programs that

address a wide range of environmental conservation and energy

issues through the protection of tropical forests, biodiversity and

wildlife; the promotion of cleaner and renewable energy technologies; and conservation. The Committee does not believe these

programs have received adequate support at a time when the environment is under siege in many developing countries due to un-
19

checked population growth, illegal logging, the burning of fossil

fuels in antiquated power plants and other manufacturing processes, slash and burn agriculture, and other destructive activities.

The Committee has provided that $295,000,000 in Development

Assistance funds should be made available for these programs in

fiscal year 2002, an increase of $23,000,000 above the current level.

The Committee expects $175,000,000 from all accounts in the bill

for programs to assist developing countries measure, monitor, report, verify, and reduce greenhouse gases and related activities, an

increase of $10,000,000 above the current level.

Biodiversity.—The Committee expects USAID to provide

$100,000,000 for biodiversity programs, including initiatives to enhance biodiversity in marine environments. The Committee encourages USAID to work with other nations to hold a conference on second generation fisheries in order to develop a blueprint for preserving marine biodiversity and meeting the growing demands for

fish protein. The Committee encourages USAID to coordinate its efforts in this field with the Pacific International Center for High

Technology Research.

Environment Offices.—The Committee requests USAID to consult

the Committee on the future role and funding for its Office of Environment and Natural Resources and Office of Environment and

Urban Programs.

Cleaner and renewable energy.—The Committee notes that the

demand for energy in developing countries is rapidly increasing,

and requests USAID to consult with the Committee regarding the

unique programs of USAID’s Office of Energy, Environment, and

Technology to promote the use of U.S. cleaner and renewable energy technology.

The Committee continues to support the application of renewable-energy technologies for Pacific Island nations and recommends

up to $500,000 for the Pacific International Center for High Technology Research to initiate a demonstration program on sustainable renewable energy systems.

The Committee expects the Office of Energy, Environment, and

Technology to explore ways to promote the use of small wind turbines as a renewable energy source, and requests USAID to submit

a report by April 1, 2002, describing its efforts to promote the use

of renewable energy technology and include a list of renewable energy projects that have been funded over the past 3 years.

The Committee encourages the Office of Energy, Environment

and Technology, through its partnership with the U.S. Hydropower

Council for International Development, to work with foreign governments to remove market barriers and influence policy reform, in

order to enable U.S. energy companies and financing organizations

to invest in improvements in energy infrastructure in emerging

markets. The Committee expects USAID to continue to play a leading role in the multi-agency Clean Energy Technology Exports Initiative, which is now underway to promote and deploy a range of

U.S. cleaner and renewable energy technologies in developing countries and countries in transition.
20

TROPICAL PLANT AND ANIMAL RESEARCH INITIATIVE

The Committee urges USAID to consider funding a joint application from Israel and Hawaii to collaborate on a research and development project relating to the rapidly expanding tropical fish and

plant global market.

PARKS IN PERIL

The Committee continues to strongly support the Parks in Peril

program, which matches USAID funds with private contributions

to support conservation of imperiled ecosystems in Latin America

and the Caribbean.

FOUNDATION FOR SECURITY AND SUSTAINABILITY

The Committee continues to support the work of the Foundation

for Security and Stability, a public foundation chartered to further

the understanding of resource scarcity and environmental problems

that play a significant role in causing regional instability. The

Committee recommends $2,500,000 for the Foundation.

THE PEREGRINE FUND

Although best known for its efforts to recover the Peregrine Falcon, The Peregrine Fund is building a record of conserving birds of

prey worldwide. The group has worked to protect many species including the California Condor, Aplomado Falcon, Hawaiian Crow,

and the Mauritius Kestrel. A significant undertaking in the pursuit

of preservation is the establishment of The Peregrine Fund’s

Neotropical Raptor Center in Panama. The Committee recommends

$500,000 to support this goal, which the Committee understands

will be matched by private contributions.

MOUNTAIN GORILLAS

The Committee is concerned with the survival of mountain gorillas which inhabit the high altitude jungles of Rwanda, Uganda,

and the Democratic Republic of the Congo. This magnificent species, once an important source of income for these countries from

eco-tourism, has been devastated by poaching and civil conflict in

the region. Like last year, the Committee expects that $1,500,000

will be provided to support groups that protect these animals, such

as the Dian Fossey Gorilla Fund International and other nongovernmental organizations whose mission it is to deter poaching

and protect the mountain gorillas’ habitat.

ORANGUTANS

The Committee remains concerned about the destruction of

orangutan habitat in Borneo and Sumatra, and expects USAID to

provide $1,500,000 for continued support through nongovernmental

organizations, including the Orangutan Foundation and others, for

activities to save the orangutan from extinction. The Committee requests to be consulted regarding the use of these funds.

The Committee is aware of a proposal to UNESCO to declare

Tanjung Puting National Park a World Heritage Site, and urges

the State Department to support this proposal which could greatly
21

enhance the preservation of this endangered area that is home to

many of the last surviving orangutans.

WATER CONSERVATION

The Committee is aware that the scarcity of water, both for

drinking and irrigation, is reaching crisis proportions in some regions of the world. It is also increasingly a cause of civil unrest,

particularly in the Middle East. The Committee urges USAID, in

coordination with the State Department and other appropriate Federal departments and agencies, to develop a long-term strategy for

working with other industrialized and developing countries, international organizations, and NGOs, to address this serious global

problem. The Committee requests USAID to submit the outline of

such a strategy for the Committee’s consideration by April 1, 2002.

The Committee also notes that International Project WET has

been working for nearly two decades in the field of international

water resources management and encourages USAID to support

International Project WET’s efforts to provide training models and

educational materials to a number of countries.

DESERTIFICATION

Desertification threatens as many as 1 billion people worldwide

and is a serious impediment to economic development in many poor

nations, particularly in Africa. Last year the Senate ratified the

United Nations Convention to Combat Desertification (UNCCD)

which encourages the coordination of international efforts to address the causes, impacts, and potential solutions to desertification

in developing countries. The Committee requests USAID, and the

State and Treasury Departments, to evaluate their programs and

report to the Committee by April 1, 2002, on their progress in implementing the UNCCD, raising the profile of United States efforts

to combat desertification and generating opportunities for American businesses.

COLLABORATIVE RESEARCH SUPPORT PROGRAMS

The Committee continues its strong support for the Collaborative

Research Support Programs (CRSPs). Recognizing the important

research and training functions of these programs, the Committee

recommends that funding above the fiscal year 2001 level be provided for the CRSPs, and that the CRSPs be considered for funding

for a broad range of development-related activities.

The Committee continues its support for the Soils Management

Collaborative Research Support Program (SM–CRSP) and the application of SM–CRSP’s decision support system to assess and enhance the ability of plants and soil micro-organisms to remove carbon dioxide in the atmosphere and enhance soil productivity by

storing carbon in the soil. The Committee recommends that USAID

provide $3,000,000 for the SM–CRSP to continue ongoing activities

and initiate work on carbon storage.

The Committee also continues to support the Peanut CRSP,

which has been providing benefits of peanut-related research to

both the United States and developing countries since its inception

in 1982. The Committee is informed that a recent USAID review
22

confirmed the high quality of the peanut CRSP, and the Committee

recommends that USAID increase funding for this program.

UNIVERSITY PROGRAMS

The Committee has received a large number of requests to fund

specific programs, projects, and activities at or through American

institutions of higher education. The Committee strongly supports

the funding of activities that advance U.S. international development assistance and foreign policy goals. The Committee has reviewed many of the concepts proposed for funding, and recommends that USAID and/or the Department of State (as appropriate for the proposed project) actively consider proposals submitted by the following organizations. In doing so, the Committee

expects that competitive procedures will be followed with regard to

each to the maximum extent possible. Unless a proposal demonstrates a unique, innovative, or proprietary capability, or demonstrates special considerations that justify limited or non-competitive treatment, the Committee expects that competitive procedures

will be applied with regard to the proposals on the list that follows.

The Committee also expects USAID to give priority to proposals

that are well conceived, including those with realistic budgets and

achievable objectives.

Within 60 days after the submission of the initial report required

by section 653(a) of the Foreign Assistance Act, USAID should submit a report to the Committee on the status of each activity identified below. Such a report should include: (1) the status of a funding

proposal by the organization associated with each activity; (2) the

degree to which the proposal is consistent with and would advance

United States development assistance and foreign policy goals for

the country or region in which the activity would take place; (3) the

degree to which matching or other funds would be provided by the

organization to complement the Federal contribution; (4) to the extent known at the time, any decision by USAID or the Department

of State on funding the activity, including the proposed funding

level; and (5) any other relevant information deemed important by

USAID or the Department of State. The Committee also expects to

receive a second report on the status of these proposals no later

than May 1, 2002. In addition, the Committee expects USAID to

identify an office or organization within USAID, or within the State

Department if appropriate, to which inquiries can be directed on

the status of these proposals.

The Committee notes that, in the past, USAID has not been responsive to a number of proposals put forward by universities.

While the Committee intends that USAID will judge these proposals on their merits, it expects USAID’s responsiveness to dramatically improve and to consult with the Committee and interested Members of Congress on these proposals.

With the foregoing in mind, the Committee recommends the following proposals for USAID’s active consideration:

Africa-America Institute.—The African Technology for Education

and Workforce Development Initiative, which is a project to establish distance learning programs between several universities in the

United States and Africa.
23

Alliance of Louisiana Universities.—A proposal of the Louisiana/

Honduras Alliance, composed of five Louisiana Universities (University of New Orleans, Louisiana State University Agricultural

Center, Loyola University, Tulane University, and Southeastern

Louisiana University) and entities in Honduras, to develop a plan

to deliver long-term capacity-building assistance in Honduras.

Atlanta-Tbilisi Partnership.—A proposal of the Atlanta-Tbilisi

Partnership’s Sustained Healthcare Initiative in the Republic of

Georgia, which includes Emory University, Georgia State University, Moorehouse School of Medicine, Georgia Institute of Technology, and Grady Memorial Hospital, to improve health care systems.

City University.—A proposal by City University to improve distance learning opportunities in Eastern Europe.

Columbia University.—A proposal for drought monitoring centers

in Kenya and South Africa to assist in climate monitoring and

long-range forecasting.

Columbia University.—A program at Columbia University’s Center for Health and Food Security that focuses on disease and famine issues associated with climate forcing agents across Africa.

Connecticut State University System.—A proposal to work with

Mico and Sam Sharpe Colleges to enhance teacher education programs in the Carribean region.

Dakota Wesleyan University.—A program to establish the Hunger

Project at the George McGovern Center for Public Service in order

to cultivate global leadership and public service to combat hunger

around the world.

Dartmouth Medical School.—A proposal on behalf of a Dartmouth Primary Heath Care Partnership with Pristina Medical

School in Kosovo, to integrate primary health education into the

Pristina curriculum and establish opportunities for local medical

providers and lay people to plan for the provision of health services.

DePaul University College of Law.—A project to promote ArabIsraeli discussions on arms control, initiatives to strengthen law

enforcement cooperation, and compliance with international nonproliferation accords.

DePaul University College of Law.—Implementation of a project,

conducted in cooperation with the Inter-American Commission of

Women and the Inter-American Children’s Institute, to combat

trafficking of women and children for sexual exploitation in the

Americas.

EARTH University.—A proposal to support EARTH University,

an institution partnered with 23 universities in the United States,

to further develop its Center for Sustainability and Biodiversity in

Costa Rica, which is working on enhancing sustainable agriculture,

developing medicines using tropical plants, and preserving natural

resources in Central America.

Florida Agricultural and Mechanical University.—A proposal for

a collaborative effort with the University of Cape Coast in Ghana

for a doctoral program for Ghanian scholars who conduct research

specific to their country and assume educational leadership roles in

Ghana.
24

Florida International University.—A proposal to create a Colombian Studies Institute to support United States policymakers and

Florida officials through the development of coordinated policy

analysis, outreach, and educational programs on Colombia.

Green Mountain College.—A proposal put forward, in conjunction

with other institutions including the University of Vermont, to provide training for Israelis, Jordanians, and Palestinians in environmental studies and natural resource management.

Iowa State University.—A proposal by the International Women

in Science and Engineering Program at Iowa State University, to

increase the number of women in science and engineering professions in developing nations and enhance the status of women within these professions.

Iowa State University.—A proposal to support the International

Institute of Theoretical and Applied Physics at Iowa State University, which is principally focused on promoting international collaboration between scientists in the United States and developing

nations.

Historically Black Colleges.—A proposal to support the efforts of

these institutions to conduct research into agriculture issues

unique to African nations.

Johns Hopkins University.—A proposal for a program at the

School of Public Health to support ongoing research in Nepal, Bangladesh, and Tanzania that is designed to improve the understanding of the use of micronutrients to improve health in developing countries.

Kansas State University.—A proposal for Kansas State University’s Cereal Genome Initiative, which links the genetic stocks,

knowledge, and experience of three International Agricultural Research Centers to identify existing cereal genomic research gaps,

formulate research strategies, and conduct collaborative research

projects.

La Roche College.—A proposal to expand programs to educate

young people from conflict, post-conflict, and developing regions of

the world.

Louisiana State University.—The LSU/Latin American Commercial Law project to jointly assist and train Central American, South

American, and U.S. citizens to enhance understanding of the civil,

commercial, and trade law systems of these regions.

Louisiana State University.—A proposal to further develop an

International Emergency Training Center at Louisiana State University.

Loyola University.—A proposal to develop the Family Law Institute for Latin American Judges at Loyola University in New Orleans, Louisiana.

Marquette University.—A proposal to expand HIV/AIDS programs by establishing an HIV/AIDS nursing training program in

Kenya.

Mississippi State University.—A proposal by the Office of International Programs for assistance in agribusiness project development and management, technical assistance, training, applied research, and technical information transfer.
25

Montana State University, Billings.—A proposal to develop an

online Master of Health Administration Degree Program with October 6 University in Egypt.

Montana State University, Billings.—A proposal to expand programs in international business in order to enable MSU-Billings to

offer additional courses in accounting and e-commerce in foreign

countries.

St. Michael’s College.—A project between St. Michael’s College

and the Lake Net Institute to foster international cooperation on

preserving freshwater lakes through education and technology

transfer.

St. Thomas University.—A proposal to expand programs that promote democratic principles in Africa and provide training in a

number of areas including civic education, entrepreneurship, rule

of law, public health, HIV/AIDS prevention, and conflict resolution.

South Dakota State University.—A proposal to expand South Dakota State’s involvement in the International Arid Lands Consortium, which provides an important mechanism for collaboration between scientists and researchers worldwide.

South Dakota State University.—A proposal to support an initiative with Washington State University, Oregon State University

and the International Maize and Wheat Improvement Center to

promote food security in Central Asia and the Caucasus.

Temple University.—A proposal in support of rule of law programs in the People’s Republic of China to further enable American

legal scholars, attorneys, judges, and government officials to work

with their Chinese counterparts on a regular, organized basis to

provide input into proposed or needed legislation and enforcement

issues in the Chinese legal system.

Tufts University.—A proposal for a collaborative project to provide diplomacy training to Albanians and ethnic-Albanians.

University of Alaska.—A program with Alaska Pacific University

and the North Slope Borough and the Northwest Arctic Borough to

provide training and technical assistance to strengthen Chukotka’s

economy, develop market driven systems, and improve social conditions, particularly for indigenous people in the region.

University of Arkansas Medical School.—A collaborative effort

with the Volgograd City Health Department, Volgograd Medical

Academy, and other public-private partners in the community to

enhance various health care delivery systems in the region.

University of Dayton.—A new program to enhance refrigeration

technologies for the storage of medical supplies in developing countries.

University of Illinois-Chicago.—A proposal to establish a Joint

Center on the Baltics in conjunction with the University of New

Orleans and the U.S. Baltic Foundation.

University of Indianapolis.—A proposal for a cross-cultural educational exchange program with Intercollege in Cyprus to enhance

skills in business, international relations, and computer information systems.

University of Iowa.—A proposal for the Global Sweatshop Labor

Initiative at the University of Iowa Center for Human Rights to

conduct academic-based research on this issue to help build greater

understanding and identify best practices to combat this problem.
26

University of Kentucky.—A program relating to the development

of crop insurance in Romania.

University of Louisville.—A program in partnership with Rand

Afrikaans University to work with impoverished communities in

South Africa on economic reform issues, including increasing employment opportunities.

University of Louisville.—A program in Georgia to enhance the

capacity and professionalism of Georgian officials to attract and

maintain private sector and multilateral institutional investments.

University of Louisville.—A collaborative program with the University of Alabama-Birmingham, the Medical University of South

Carolina, and Clemson University for research on plant materials

in the Philippine rain forest which have potential for improved nutrition and disease prevention.

University of Miami.—A proposal to establish, develop, and implement an institute in Cuban studies to provide research on transition issues related to Cuba.

University of Mississippi.—A proposal for the National Center for

Computational Hydroscience and Engineering for a program that

transfers agricultural, environmental, and other technologies to the

Polish Academy of Sciences.

University of Nebraska Medical Center.—A pilot project to establish an Internet-based graduate nursing course in the former Soviet

republics to enhance educational opportunities for health-care professionals.

University of New Orleans.—A proposal for the Eastern Caribbean Project, a collaborative effort with the Government of Dominica, to provide education and technical expertise in order to protect ecosystems and enhance economic development in a number of

locations, including Dominica, Grenada, St. Lucia, St. Vincent, and

the Grenadines.

University of Notre Dame.—A proposal to support a collaborative

effort with the University of Ulster to develop and implement a

branch campus in the West Belfast neighborhood of Springvale.

University of Northern Iowa.—A proposal for University of Northern Iowa’s Orava Project that works to enhance democracy-building

in Central and Eastern Europe through educational reform.

University of Northern Iowa.—A proposal concerning the Global

Health Corps program, which trains university students to conduct

community health programs in under-served areas in developing

countries.

University of Northern Iowa.—A proposal of the Russo-American

Institute for Mutual Understanding to deepen cultural understanding and promote professional collaboration through exchange

programs.

University of Rhode Island.—A proposal by the University of

Rhode Island Coastal Resources Center to improve coastal management in order to enhance economic growth, public health, sustainable food security, and help minimize the impact of natural disasters.

University of San Francisco.—A proposal by the University of

San Francisco Center for Law and Global Justice, Cambodia Law

and Democracy Project, to continue rule of law and democracybuilding activities.
27

University of South Alabama.—A proposal to enhance the Birth

Defects Monitoring Program in the Rivine and Volyn oblasts in the

Ukraine, which will allow the program to begin monitoring environmentally linked birth defects.

University of Vermont.—A project to promote the transfer of sustainable agricultural practices to farmers in Honduras through the

Vermont-Honduran partnership.

University of Vermont College of Medicine.—A proposal to expand

the Vermont Oxford Network database on high risk newborn infants’ care outcomes, increase the number of participating international member institutions, and, support quality improvement

collaboratives and patient safety projects.

Utah State University.—A collaborative effort between Utah

State University and the Arab-American University of Jenin to establish a College of Agriculture of Jenin, including an Agriculture

Experiment Station and Extension Service, to assist agricultural

industry in the region.

Utah State University.—A proposal for the World Irrigation Applied Research and Training Center to improve the delivery of irrigation technology.

Vermont Law School.—A proposal to further the work of

Vermont Law School in promoting environmental standards in the

former Soviet republics by establishing a Center for International

Environmental Law.

Yale University.—A proposal by Yale University’s Child Study

Center, operated in conjunction with the Tel Aviv Mental Health

Center, to continue programs to treat traumatized children and

their families.

Western Kentucky University.—A collaborative program with a

media support organization to join in-the-field training with practical, hands-on experience with broadcast and print journalism expertise.

COUNTRY ISSUES

BURMA

The Committee continues to strongly support funding for building democracy and protecting human rights in Burma, and to address the serious humanitarian needs that exist on the borders of

Thailand and India as a direct result of the oppressive policies of

the State Peace and Development Council (SPDC). The Committee

is deeply concerned with continued military incursions by Burmese

forces and their surrogate militia into Thailand, and notes the

SPDC’s recent purchase of MiG-29 fighter aircraft from Russia.

The Committee continues to condemn the actions of the SPDC

for its denial of basic freedoms, gross human rights violations, child

and forced labor practices, drug trafficking, and money laundering.

While noting that discussions have taken place between the SPDC

and the National League for Democracy (NLD), the Committee

calls upon the SPDC to immediately release all political prisoners,

cease its abusive practices, and restore to power the legitimately

elected leaders of Burma.

The Committee supports and commends the efforts of NGOs

working with Burmese democrats, including a recent effort to build
28

media capacity within the pro-democracy movement. The Committee has provided $6,500,000 in ESF assistance for democracy

building and humanitarian assistance for Burma.

BURUNDI

The Committee notes that the ongoing conflict in Burundi continues to destabilize the Great Lakes region and exacerbate the

country’s humanitarian crisis. The Committee urges all parties to

the conflict to participate in the ongoing peace process and support

efforts to involve the Burundian people in negotiations about their

political future.

CAMBODIA

The Committee continues to be concerned with human rights

abuses, political intimidation, and the absence of the rule of law in

Cambodia. In particular, the Committee notes that Cambodia was

recently designated by the United Nations as the world’s leading

producer of marijuana, and that limited progress has been made on

combating illegal logging practices and bringing to trial former

Khmer Rouge leaders. The Committee calls for greater vigilance by

international financial institutions in the oversight and use of

donor funds, particularly those supporting economic and legal reforms and the demobilization of Cambodian military personnel.

The Committee recognizes the Documentation Center of Cambodia as an invaluable resource for information on war crimes,

genocide, and crimes against humanity committed in Cambodia.

The Committee recommends that the Center receive adequate

funds to carry on its important work when its current grant expires, including, if appropriate, the purchase of a vehicle suitable

to conduct investigations in rural areas. The Committee requests

the State Department to consult the Committee regarding funding

for the Center in fiscal year 2002.

The Committee appreciates the importance of commune council

elections scheduled for next year, but notes the dominance of the

ruling party on national and local election commissions and its control of media outlets. The Committee strongly condemns acts of political violence and intimidation. In anticipation of these polls, the

Committee expects the Administration to provide not less than

$3,000,000 to support the democratic opposition in Cambodia, and

not less than $2,000,000 to support the efforts of civil society in

Cambodia to monitor the elections.

With the exception of HIV/AIDS programs, the Committee does

not support the provision of any assistance to the Central Government of Cambodia unless and until the Secretary of State determines that Cambodia has met the certification requirements contained in section 560 of the bill.

CHINA

The Committee has provided $10,000,000 for programs to promote political and legal changes in China. The Committee expects

that of these funds, not less than $5,000,000 will be provided for

programs in China to be administered by the Bureau of Democracy,

Human Rights and Labor at the State Department, and not less
29

than $5,000,000 will be provided to the National Endowment for

Democracy to support programs and activities relating to China

and Tibet. The Committee recommends that ongoing programs be

supported that promote democracy, human rights, and the rule of

law. The Committee also supports funding for activities conducted

by the United States-Asia Environmental Partnership in China.

CYPRUS

The Committee has provided $15,000,000 from the ESF account

for Cyprus to be used for scholarships, bicommunal projects, and

measures aimed at reunification of the island and designed to reduce tensions and promote peace and cooperation between the two

communities on Cyprus. The Committee intends that these resources be made available to maximize leverage to improve prospects for a peaceful settlement in Cyprus.

DEMOCRATIC REPUBLIC OF THE CONGO

The Committee is deeply concerned with the humanitarian crisis

in the Democratic Republic of the Congo (DROC) and neighboring

countries, where conflict has resulted in widespread suffering and

the massive displacement of civilian populations. Moreover, a number of African nations continue to expend scarce resources to maintain military forces in the DROC that are involved in violent and

destructive activities, including the abuse of Congolese civilians

and the exploitation of natural resources. The Committee urges all

parties in the conflict to comply with the Lusaka Accord and not

undermine the inter-Congolese dialogue. The Committee supports

the Administration’s budget request for the DROC which includes

improvements to the delivery of health care services. The Committee has also increased the budgets for the International Disaster Assistance and Migration and Refugee Assistance accounts to

help meet these humanitarian needs.

EAST TIMOR

The Committee provides not less than $25,000,000 in ESF assistance for East Timor. The Committee congratulates the people of

East Timor as they move toward the election of their first Constituent Assembly. The first years of independence and self-government will be critical in setting a solid foundation for a stable,

democratic, and prosperous Timorese nation. The Committee recognizes the work of USAID’s Office of Transition Initiatives, and the

efforts of numerous American nongovernmental humanitarian, educational, and democracy-building organizations that are making a

vital contribution to East Timor’s development. The Committee expresses strong support for continued funding of these activities.

The Committee is deeply disappointed by the failure of the Indonesian Government, despite repeated assurances, to prosecute and

punish military officers and militia leaders responsible for planning

and carrying out atrocities in East Timor. The Committee is dismayed that tens of thousands of East Timorese refugees are still

controlled by militias in West Timor.

The Committee is concerned about reports of a rising HIV/AIDS

infection rate caused by the large presence of foreign nationals in
30

East Timor, and is dismayed by rising incidences of prostitution.

The Committee intends to consult with USAID on an effective response to this problem.

ETHIOPIA

The Committee is concerned about human rights in Ethiopia,

particularly the intimidation and persecution of human rights activists, journalists, and opposition groups. The Committee calls on

the State Department to continue to raise these issues at the highest levels of the Government of Ethiopia.

GUATEMALA

Last year the Committee commended the Portillo Government for

its commitment to dismantle the Estado Mayor Presidential (EMP),

which has been responsible for some of the worst atrocities in the

country’s history. Since that time, little has been done, and the

Committee is disappointed that the Guatemalan Government has

not fulfilled its commitment. The United States has offered to help

fund the establishment of civilian security and intelligence services, if the EMP is dismantled.

Also last year, the Committee commended steps by the Portillo

Government in support of human rights. Unfortunately, the situation subsequently deteriorated, and the government has failed to

respond. Moreover, common crime is rampant, and there have been

attacks against judicial personnel, witnesses, human rights and

labor activists, and journalists. The Committee is also aware of reports of official complicity in the smuggling of contraband into Guatemala from El Salvador and elsewhere. The Committee has continued the prohibitions on Foreign Military Financing and International Military Education and Training (IMET) assistance, with

the exception of Expanded IMET, and expects the Expanded IMET

program to emphasize civilian control of the military and human

rights, and to include civilian participation.

INDONESIA

The Committee continues to be concerned with the political situation in Indonesia, as that country struggles to consolidate its recent democratic transition. While mindful of the many difficult and

complex challenges Indonesia faces, the Committee is nonetheless

heartened by certain positive developments. The vigorous debate

and activist approach of the current, democratically elected parliaments at the national and local levels, and the effort to decentralize power and enfranchise the lower levels of government are

deserving of particular recognition.

In recognition of Indonesia’s immense economic challenges and

development needs, the Committee recommends $135,000,000 for

Indonesia in fiscal year 2002, a $15,000,000 increase above the

2001 level and the 2002 budget request. The Committee expects

the Administration to increase support for democracy-building activities, rule of law and legal reform, environmental protection,

human rights monitoring and education, and civil society development in Indonesia. The Committee also supports technical assistance to encourage greater media freedoms in Indonesia, as well as
31

programs to promote responsible broadcasting, sound management,

and transparency.

The Committee is acutely aware of continued reports of violence

waged by the Indonesian military and police against citizens in

Aceh, Papua New Guinea, and other troubled areas of the country,

and strongly condemns these human rights violations. The Committee notes that human rights monitoring groups have documented over 1,000 deaths, overwhelmingly civilian, in Aceh since

the beginning of the year. The Committee condemns the actions

taken by Indonesia to arm militias in Central Aceh that have led

to recent massacres of civilians. The Committee is deeply concerned

with reports of increased intimidation, harassment, and arbitrary

arrest of human rights workers, lawyers, and peace negotiators,

and supports a negotiated solution to the conflict. The Committee

recommends that $10,000,000 be made available for humanitarian,

economic rehabilitation, and related activities in Aceh, West Papua

and Maluka.

While the Committee commends the Indonesian military’s refusal

to inject itself into the current turmoil of Indonesian politics, there

is a paucity of evidence that the military is committed to real reform, including holding its members accountable for abuses in East

Timor—both before and after the 1999 referendum—and elsewhere

in Indonesia. The Committee expresses its dismay and frustration

with the failure of Indonesian authorities to deliver justice for the

September 6, 2000, murders of three United Nations humanitarian

workers in West Timor, including American Carlos Caceres. The

Committee is also concerned about the Indonesian military’s continued involvement in illegal business practices and other activities, including illegal logging that threatens to undermine Indonesian ecosystems.

The Committee has continued restrictions on U.S. assistance and

training for the Indonesian military, and expects to be consulted on

a regular basis regarding the Administration’s efforts to renew

military-to-military ties, primarily on a multilateral basis. It is the

Committee’s understanding, after consultations with the State Department, that the purpose of this modest effort to re-engage with

the Indonesian military is to encourage reform. The Committee expects U.S. officials to use these opportunities to press for improvements on human rights and accountability issues. If, over the coming year, there is no convincing indication that the military is moving forward with serious reforms, even these limited activities

could be curtailed. The Committee believes that such reforms

would include opening its budget to public scrutiny, reorienting its

mission from internal security to defense against external threats,

curtailing involvement in such activities as illegal logging, prostitution and contraband smuggling, and upholding the rule of law including accountability for military personnel who commit abuses.

In an effort to encourage civilian control of the military, which is

a first step toward reform, the Committee has modified the restrictions in current law to enable Indonesian civilians to participate in

Expanded IMET courses.
32

LEBANON

The Committee believes that economic development in Lebanon

should be a priority for U.S. foreign policy, and expects that not

less than $35,000,000 in ESF assistance will be made available for

Lebanon.

The Committee is deeply disappointed that past efforts to secure

the return of American children abducted to Lebanon have been

unsuccessful. The Committee is aware that in some cases the Lebanese Government has failed to enforce the orders of the Lebanese

civil courts. The Committee calls on the Lebanese Government to

ensure that the rule of law is upheld.

MEXICO

The Committee is encouraged by recent political developments in

Mexico. In addition to addressing more effectively long-standing

concerns such as drug trafficking, immigration, and trade, the

Committee supports the Mexican Government’s efforts to resolve

peacefully the conflict in Chiapas. This rural, mountainous region

is inhabited by indigenous groups who have suffered for generations from extreme poverty and discrimination. The Committee believes that expanding job opportunities is key to ending the conflict.

The Committee is aware of a proposal by an organization named

Xanvil, located in San Cristobal de Las Casas, Chiapas, to work

with nearby Mayan highland communities to develop a number of

small museums devoted to preserving and supporting Mayan culture, textiles, pottery and other crafts. These museums, several of

which already exist but are in need of technical assistance and

other support, would be coupled with stores for marketing the diverse work of local Mayan artisans and a tourist guidebook to the

highland museums. The Committee believes that USAID should

give serious consideration to supporting this community-based, income generating project to preserve unique cultural traditions in

an impoverished region.

MONGOLIA

The Committee has provided $12,000,000 in ESF assistance for

Mongolia. The Committee recognizes Mongolia’s achievements in

consolidating its democratic transition, and commends the people of

Mongolia for their participation in recent presidential elections.

The Committee encourages the continued development of democratic institutions and privatization of state-owned enterprises, including the media. The Committee is concerned that constitutional

guarantees of free speech be respected for all Mongolians, regardless of political affiliation.

TIBET

The Committee recommends $2,500,000 in ESF assistance for

programs that provide training and education to Tibetans on democracy and human rights, preserve cultural traditions, and promote economic development and environmental conservation in Tibetan communities. The Committee is aware of the valuable assistance the Bridge Fund has provided to promote Tibetan-owned and
33

operated businesses and educational, cultural, and natural resource

conservation projects in Tibet.

SUDAN

The Committee regards the situation in southern Sudan as

among the most serious humanitarian crises in the world, along

with Afghanistan and the eastern region of the Democratic Republic of the Congo (DROC). Like the DROC, the Sudan disaster is

largely man-made. With the discovery of large oil reserves in southern Sudan, the Sudanese Government appears to be determined to

wrest control of the area regardless of the cost in civilian lives. Indiscriminate bombing has resulted in the deaths and displacement

of large numbers of people, which has been the norm in that region

for decades.

The Committee welcomes the efforts by the Secretary of State

and the USAID Administrator to focus attention on the Sudan crisis and seek solutions. Like last year, the Committee has included

up to $10,000,000 in ESF assistance to the National Democratic Alliance of Sudan to enable indigenous civil administrations in the

opposition-controlled areas of Sudan, including but not limited to

Bahr el Ghazal, to improve the welfare of their people and protect

villages from slavery raids and forced displacement. These funds

may be used for humanitarian and development activities, and for

communications equipment, transportation and other support for

inter-communal peace agreements between indigenous African and

Arab groups.

SIERRA LEONE

The Committee is encouraged by recent developments in Sierra

Leone, including the ability of United Nations Mission in Sierra

Leone (UNAMSIL) to deploy in the diamond areas and disarm

members of Revolutionary United Front and pro-government militias. It is critical that the international community move quickly to

strengthen disarmament efforts and peacekeeping operations in the

region.

To build a lasting peace, the Committee believes that it is imperative for the international community to support a tribunal in

order to bring to justice those responsible for war crimes and other

atrocities committed in Sierra Leone, irrespective of where they

currently reside. The Committee commends the Administration’s

decision to provide $15,000,000 for the tribunal in Sierra Leone,

and expects the Administration to contribute at least a total of

$10,000,000 in ESF for this purpose by the conclusion of fiscal year

2002, if the tribunal meets international standards of justice. Assuming the tribunal is performing according to expectations, the

Committee recommends the remaining $5,000,000 to be provided in

fiscal year 2003. This accelerated funding will provide greater incentive to other donors to support the tribunal in the third year.

The Committee has provided sufficient funding in the ESF account

and drawdown authority to accommodate this schedule.

The Committee recognizes the humanitarian crisis in West Africa

involving refugees and displaced persons from Sierra Leone, Guinea, and Liberia, and has provided additional funds under the International Disaster Assistance and Migration and Refugees Assist-
34

ance accounts to help enhance the response of the international

community to this crisis.

The Committee is concerned about the widespread use of rape

and sexual violence by combatants in Sierra Leone, which has victimized an estimated 20 percent of women and girls in the country.

Only a small fraction are receiving health care and other services

needed for their recovery, and these women and girls are further

at risk of HIV/AIDS and other sexually transmitted diseases as

combatants demobilize and return to their communities. The Committee urges USAID to expand services to rape victims through

NGOs, and requests the State Department to develop and support

a public education program on women’s rights for both men and

women.

ZIMBABWE

The Committee is alarmed by the continuing political, economic,

and social crisis in Zimbabwe, including the collapse of the rule of

law. Since the June 2000 election, in which the opposition party,

Movement for Democratic Change, won more than one-third of the

seats in the parliament, the government has become increasingly

autocratic and continues to deploy its armed forces in the Democratic Republic of the Congo, sponsor violence against its citizens,

and contribute to the economic decline of the nation—where at

least 70 percent of the population is impoverished.

The Committee has included a provision that requires U.S. executive directors to international financial institutions to vote against

loans, except those for basic human needs or democracy-building

purposes, to the Government of Zimbabwe, unless the Secretary of

State determines and reports that the rule of law has been restored. The Committee continues to support assistance to strengthen civil society that is not affiliated with the ruling party, and encourages the State Department to financially support international

monitoring of the 2002 elections in Zimbabwe.

INTERNATIONAL DISASTER ASSISTANCE

Appropriations, 2001 ............................................................................. $165,000,000

Emergency supplemental ............................................................... 135,000,000

Budget estimate, 2002 ........................................................................... 200,000,000

House allowance .................................................................................... 201,000,000

Committee recommendation ................................................................. 255,000,000

The Committee notes that during fiscal years 1999, 2000, and

2001 a total of $348,000,000 in supplemental funding was provided

for the Office of Foreign Disaster Assistance (OFDA) to deal with

crises in Africa, Eastern Europe, and Latin America. With ongoing

humanitarian emergencies in Afghanistan, Colombia, El Salvador,

India and sub-Saharan Africa, the demands are even greater this

year. The Committee believes that the fiscal year 2002 request is

inadequate to effectively respond to these emergencies, and has

provided $255,000,000, which is $55,000,000 above the budget request and $90,000,000 above the fiscal year 2001 level. The Committee recognizes, however, that even this increase may fall far

short of what is needed to meet these critical humanitarian needs.
35

AFGHANISTAN

The Committee believes that the situation in Afghanistan is perhaps the most urgent, massive humanitarian crisis anywhere. The

Committee commends OFDA and the Bureau for Migration and

Refugee Affairs for the efforts they have made to respond to the Afghan emergency, and urges them to make every effort to provide

additional relief to Afghans who have been displaced within their

own country, and Afghan refugees in Pakistan and elsewhere.

EL SALVADOR

The Committee shares the House’s concern about the need for

larger amounts of relief and reconstruction assistance for victims of

the devastating earthquakes in El Salvador. The Committee expects USAID to utilize funds from International Disaster Assistance, Transition Initiatives, and other appropriate accounts in the

bill, to provide assistance that is additional to the amount requested by the Administration for El Salvador in fiscal year 2002.

The Committee encourages USAID to seriously consider a proposal of $100,000 by Unified Salvadorians to construct homes in El

Salvador for families left homeless from the earthquakes.

DISASTER RELIEF TECHNOLOGIES

The Committee strongly supports the public-private partnership

between the International Organization for Migration and United

States firms working to develop the Colombian Digital Information

Program (CDIP), an Internet-based communications tool capable of

delivering visual reporting on efforts to assist refugees and internally displaced people. The Committee recommends funding from

the Andean Counterdrug Initiative for CDIP to assist with the humanitarian needs in the region.

TRANSITION INITIATIVES

Appropriations, 2001 ............................................................................. $50,000,000

Budget estimate, 2002 ........................................................................... 50,000,000

House allowance .................................................................................... 40,000,000

Committee recommendation ................................................................. 52,500,000

The Committee commends the work of USAID’s Office of Transition Initiatives, which is on the ground in countries around the

world providing essential assistance to bridge the gap between

emergency relief and long-term development.

DEVELOPMENT CREDIT AUTHORITY

SUBSIDY APPROPRIATION

Appropriations, 2001 ............................................................................. $1,500,0000

(By transfer 2001) ........................................................................... (5,000,000)

Fiscal year 2002 request ....................................................................... ...........................

(By transfer) .................................................................................... (25,000,000)

House allowance .................................................................................... ...........................

(By transfer) .................................................................................... (12,500,000)

Committee recommendation ................................................................. ...........................

(By transfer) .................................................................................... (25,000,000)

In addition to other uses of the Development Credit Authority,

the Committee expects USAID to direct greater resources to the
36

acute needs of the urban poor whose numbers are growing at an

alarming rate. It is estimated that soon half the world’s population

will be urban, and almost the entire 2.5 billion increase in population in the next 25 years will occur in cities in the developing

countries. Poverty, malnutrition, and chronic disease are prevalent

in these areas, where slum conditions adversely affect health, security, economic progress, and the environment.

OPERATING EXPENSES

Appropriations, 2001 ............................................................................. $4,000,000

Budget estimate, 2002 ........................................................................... 7,500,000

House allowance .................................................................................... 7,500,000

Committee recommendation ................................................................. 7,500,000

PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND DISABILITY

FUND

Appropriations, 2001 ............................................................................. $44,489,000

Budget estimate, 2002 ........................................................................... 44,880,000

House allowance .................................................................................... 44,880,000

Committee recommendation ................................................................. 44,880,000

The Foreign Service retirement and disability fund is a mandatory expense of USAID.

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR

INTERNATIONAL DEVELOPMENT

Appropriations, 2001 ............................................................................. $520,000,000

Emergency funding ......................................................................... 13,000,000

Budget estimate, 2002 ........................................................................... 549,000,000

House allowance .................................................................................... 549,000,000

Committee recommendation ................................................................. 549,000,000

The Committee provides an appropriation of $549,000,000 for operating expenses of the United States Agency for International Development.

The fiscal year 2002 increase for operating expenses is, in part,

the result of mandatory cost increases in such items as salaries

and rents, as well as a reduction in the availability of non-appropriated sources of funds such as prior year recoveries that can be

used to pay USAID administrative costs.

ADMINISTRATIVE AND MANAGEMENT REFORMS

The Committee strongly supports the USAID Administrator’s efforts to reform USAID’s procurement, personnel, information technology and financial management systems. Unless these systems

are streamlined and brought into efficient, working order, USAID

will be unable to make the best use of appropriated funds. Despite

the assurances of former USAID Administrators that these broken

systems would be fixed, they have continued to plague USAID’s

employees, contractors and grantees, the Congress, and at least indirectly, USAID’s intended beneficiaries. The Committee believes

that there are few, if any, higher priorities for USAID and expects

the Administrator to keep the Committee informed about the status of these efforts.
37

OPERATING EXPENSES OF THE OFFICE OF THE INSPECTOR GENERAL

Appropriations, 2001 ............................................................................. $27,000,000

Budget estimate, 2002 ........................................................................... 32,000,000

House allowance .................................................................................... 30,000,000

Committee recommendation ................................................................. 32,000,000

The Committee provides an appropriation of $32,000,000 for operating expenses of the Office of the Inspector General.

OTHER BILATERAL ECONOMIC ASSISTANCE

ECONOMIC SUPPORT FUND

Appropriations, 2001 ............................................................................. $2,295,000,000

Budget estimate, 2002 ........................................................................... 2,249,000,000

House allowance .................................................................................... 2,199,000,000

Committee recommendation ................................................................. 2,239,500,000

MIDDLE EAST COUNTRIES

In 1998, the United States reached agreements with the Governments of Israel and Egypt to reduce the levels of ESF assistance

for these countries over a 10-year schedule. In accordance with this

schedule, the Committee has included $720,000,000 for Israel and

$655,000,000 for Egypt for fiscal year 2002. The Committee provides $150,000,000 for assistance for Jordan, which is the request

level.

The Committee has included bill language in past Foreign Operations Appropriations Acts providing that economic assistance to

Israel not cause an adverse impact on the total level of nonmilitary

exports from the United States, and has not changed its position

on this issue. The Committee does understand that the Government of Israel intends to act consistently with past agreements in

this regard and appreciates this expression of good will and good

faith.

The Committee recognizes that Egypt is a vital and strategic ally

of the United States and continues to play a key role in the Middle

East peace process. However, the Committee notes, with concern,

several challenges to the rule of law, human rights, and democracy

in Egypt. These include the arrest of human rights advocate Dr.

Saad Eddin Ibrahim and repeated attacks on the United States in

the Egyptian press. The Committee is also concerned about reports

regarding the procurement of missile technology from North Korea

by the Government of Egypt. The Committee recognizes that the

Government of Egypt has denied those reports. The Committee requests the Secretary of State, in consultation with the Director of

Central Intelligence, to submit a report to the Committees on Appropriations not later than 60 days after the date of enactment of

the Act in classified and/or unclassified form, describing Egypt’s assistance in the Middle East peace process and the possible proliferation of weapons or missile technology from North Korea to the

Middle East.

The Committee has learned of the near epidemic incidence of diabetes in Egypt. The Committee is also aware of a proposal requesting that financial assistance be provided through the Joslin Diabetes Center in Boston, Massachusetts, to construct a diabetes unit
38

at Mansoura University in Egypt. The Committee encourages

USAID to give serious consideration to supporting this initiative.

MIDDLE EAST REGIONAL COOPERATION

The Committee supports the Middle East Regional Cooperation

(MERC) program, which fosters mutually beneficial technical cooperation between experts from Israel and neighboring Arab countries. The Committee also supports the Galilee Society and Arava

Institute for Environmental Studies, and urges the Administration

to seriously consider funding proposals by these organizations.

CONFLICT RESOLUTION

The Committee recommends at least $2,000,000 from the Development Assistance, SEED, and ESF accounts to support conflict

resolution programs, including those which bring together teenagers of different ethnic, religious, and political backgrounds from

areas of civil conflict and war. The Committee believes that the following programs are among those deserving financial support—

—Seeds of Peace, a widely respected organization which promotes understanding between teenagers in the Middle East,

Cyprus, and the Balkans;

—The International Crisis Group, whose analysts in the field

identify potentially explosive problems, produce objective assessments, and prescribe coherent and effective policy responses to prevent or reduce the level of violence resulting

from complex crises;

—A production on Israel Educational Television and Al-Quds

Educational Television, involving Israeli and Palestinian participants, which has been a catalyst for conflict resolution,

changing attitudes, and breaking down stereotypes among children of different backgrounds in the region; and

—The School for International Training’s Conflict Transformation Across Cultures Program.

WAR CRIMES TRIBUNALS

The Committee commends the Administration’s decisions to

maintain the Office of War Crimes Issues and to support the war

crimes tribunals in Yugoslavia, Rwanda, and Sierra Leone. The

Committee expects the Administration to ensure that the tribunals

have sufficient budgets, staff, and equipment, and has provided an

additional $5,000,000 in drawdown authority for war crimes tribunals established or authorized by the U.N. Security Council with

U.S. support, including the tribunal in Sierra Leone. The Committee also urges the Administration, where appropriate, to support commissions or judicial bodies that complement the activities

of these tribunals.

The Committee notes that drawdowns made under this section

are unrelated to the establishment of an international criminal

court.

GREAT LAKES JUSTICE INITIATIVE

The Committee notes that the recent history of the African Great

Lakes Region has included massive starvation and ethnic violence,
39

including genocide. There is an absence of accountability for human

rights abuses and other crimes that inhibits reconciliation, conflict

resolution, and long-term prospects for peace. The Committee supports full funding of the budget request from the ESF account for

the Great Lakes Justice Initiative (GLJI), and encourages the Administration to direct a higher proportion of GLJI funds to programs traditionally defined as justice activities, including the support of court systems, training of judicial personnel, and promoting

public awareness of laws.

REGIONAL DEMOCRACY PROGRAMS IN ASIA

The Committee supports funding for programs and activities conducted in Asia on a regional basis that promote democracy, human

rights, the rule of law, press freedoms, and good governance. The

Committee commends the efforts of the Alliance for Reform and

Democracy in Asia (ARDA), a grouping of Asian democrats from

Australia, Burma, Cambodia, East Timor, Indonesia, Malaysia,

Mongolia, Singapore, and Thailand. The Committee also applauds

the recent actions taken by the ARDA in Malaysia to secure the

release of jailed democracy activists. The Committee recognizes

Taiwan’s democratic achievements, and believes that Taiwan has

relevant experiences to share with regional democrats and reformers.

ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC STATES

Appropriations, 2001 ............................................................................. $600,000,000

Emergency funding ......................................................................... 75,825,000

Budget estimate, 2002 ........................................................................... 605,000,000

House allowance .................................................................................... 600,000,000

Committee recommendation ................................................................. 603,000,000

The Committee has provided $603,000,000 for Eastern Europe

and the Baltic States, which is $3,000,000 above the fiscal year

2001 level.

INSTITUTIONALIZED CHILDREN IN ROMANIA

The Committee is aware that approximately 150,000 Romanian

children reside in destitute child-care institutions where they suffer

from severe medical, nutritional, and psychological neglect. The

Committee encourages USAID to support organizations with expertise in this field, such as Care for Children International, to combat

this problem in Romania and around the world.

AMERICAN UNIVERSITY IN ALBANIA

The Committee is aware of an initiative to establish an American

University in Albania that will utilize distance learning technologies to provide graduate courses to Albanian students, who

might otherwise emigrate for opportunities abroad. The Committee

is informed that several American universities and corporations

have pledged support, and that the Albanian Government has donated a facility to house the university. The Committee encourages

USAID to consider supporting this initiative with ASHA or SEED

funds.
40

INTERNATIONAL CRIME

The Committee continues to support the Southeast European Cooperative Initiative (SECI), which is designed to promote regional

cooperation to more effectively combat transnational crime, and

recommends that the State Department provide additional technical assistance funds to SECI of up to $1,000,000.

INTERNATIONAL LEGAL INITIATIVES

The Committee commends the efforts by the American Bar Association (ABA) to strengthen democracy through programs that promote the rule of law in Central and Eastern Europe. The Committee expects USAID to maintain funding for these projects, and

requests USAID to seriously consider providing up to $500,000 for

an ABA–CEELI project with the Academic Consortium for Global

Education (ACGE), to develop a database of ongoing legal reform

efforts by Federal agencies in CEE/FSU countries and to implement a multimedia distance learning network that will complement

these efforts.

COUNTRY ISSUES

BULGARIA

The Committee expects that, of the funds made available for assistance for Bulgaria, $4,600,000 will be provided to complete the

full-scope simulator for the Kozludoy Plant (Units 3–4). The Committee is pleased that the National Electric Company of Bulgaria

has provided the majority of funds necessary for installation of this

simulator for operator training.

SERBIA

The Committee has provided up to $115,000,000 to help the Serbian people recover from the economic collapse, political violence,

and social upheaval of the Milosevic period. The Committee recognizes the courage of Serbian democrats in facilitating the historic

transfer of Slobodan Milosevic to the International Criminal Tribunal for the former Yugoslavia (ICTY), and commends the people

of Serbia for acknowledging the crimes against humanity committed by Milosevic and others under his command. The Committee strongly supports the efforts of the ICTY to deliver justice

for war crimes and other violations of international humanitarian

law committed in the territory of the former Yugoslavia since 1991.

The Committee encourages the efforts of Serbian democrats and reformers to implement political, legal, and economic reforms necessitated by years of corruption and warfare. The Committee has conditioned assistance that may be made available after March 31,

2002, to Serbia on continued cooperation with the ICTY, the termination of financial support to the Bosnian Serb entity’s military

and intelligence services, and respect for the rule of law. The Committee is concerned that, while many of the Kosovar Albanians imprisoned by the Milosevic regime have been released, some political

prisoners remain incarcerated in Serbia. The Committee calls for

their immediate release.
41

MONTENEGRO

The Committee expects that not less than $45,000,000 will be

made available for assistance for Montenegro, and strongly supports Montenegro’s efforts to implement political, legal, and economic reforms. The Committee commends the people of Montenegro for their participation in recent parliamentary elections, and

believes that Montenegro, alone and in consultation with Serbia,

must decide its own fate regarding independence.

The Committee is aware of a proposal to strengthen and modernize the Parliament of Montenegro by improving access to independent information and enhancing its capacity to perform research and analysis. The Committee encourages USAID to seriously consider supporting this initiative.

MACEDONIA

The Committee believes that a unified and independent Macedonia is in United States national security interests and requires

high level U.S. involvement. The Committee supports the negotiation of a political solution to the current crisis, and applauds the

efforts of ethnic Macedonian and Albanian leaders, as well as the

United States and European officials, who worked tirelessly in support of the recent agreement to end the conflict. The Committee is

aware that the situation remains fragile, and will closely monitor

the implementation of the agreement by both sides. The Committee

condemns the use of violence against any citizens in Macedonia,

and notes with concern the displacement of ethnic Albanians and

Macedonians within Macedonia and in neighboring countries. The

Committee believes that the Government of Macedonia must address the concerns of all Macedonian citizens, including ethnic Albanians, in a fair and equitable manner, and ensure the protection

of lives and property of all citizens of Macedonia. The Committee

expects USAID and the State Department to provide assistance to

Macedonia relating to decentralization, education, census, electoral

and parliamentary reform, institution building, and accountability

and transparency in governance.

ASSISTANCE FOR THE INDEPENDENT STATES OF THE FORMER SOVIET

UNION

Appropriations, 2001 ............................................................................. $810,000,000

Budget estimate, 2002 ........................................................................... 808,000,000

House allowance .................................................................................... 768,000,000

Committee recommendation ................................................................. 800,000,000

The Committee provides $800,000,000 for Assistance for the

Independent States of the Former Soviet Union for fiscal year

2002.

LEGAL EDUCATION

The Committee is concerned about the quality of education for

lawyers, judges, and others responsible for interpreting new laws

in the former Soviet Union and Central and Eastern Europe. The

Committee recommends that USAID consider funding a distance

learning project to deliver a high quality program of instruction in

basic legal principles.
42

HEALTH CARE PARTNERSHIPS AND MEDICAL EDUCATION

The Committee is concerned that the current funding level for

health partnerships in the five former Soviet republics in Central

Asia is inadequate to meet the pressing health care needs in the

region, and recommends that USAID increase funding above the

current level for these programs. The Committee also supports the

continuation of the North Dakota-Turkmenistan Health Partnership and other health partnerships in the former Soviet republics

that are managed through a cooperative agreement with the American International Health Alliance.

The Committee has followed the work of the Eurasian Medical

Education Program of the American College of Physicians in continuing the medical education of Russian physicians in the treatment of tuberculosis, cardiovascular disease, and diabetes. This exchange program has been carried out in four regions of the Russian

Federation, and volunteer American physicians have shared experience and knowledge with their Russian colleagues to the benefit of

the Russian medical profession and the Russian population. The

Committee supports this program and requests to be consulted regarding future funding for it.

TRAINING AND EXCHANGES IN THE FORMER SOVIET UNION AND

CENTRAL EUROPE

As in past years, the Committee recommends funding for the

Russian, Eurasian, and East European Research and Training Program (Title VIII) of at least $5,000,000. This will continue the existing program from funds in the SEED and FSU accounts. The

Committee strongly recommends that the existing administrative

mechanism within the State Department for the Title VIII program

be preserved. The Committee also supports other education and

training programs in both regions, such as the East Central European Scholarship Program (ECESP). The Committee requests

USAID to continue to support the Moscow School of Political Studies’ efforts to teach democratic and free market principles to Russian students and other community leaders.

ORPHANS

The Committee continues to support USAID’s Russian orphans

strategy, which focuses on programs to reduce the number of children entering state orphanages and works with orphanage officials

to meet the immediate medical and basic needs of these children.

The Committee applauds the work of Holt International Children’s

Services and Mercy Corps International and encourages USAID to

also consult with Rotary International, the Anchorage Interfaith

Council, and the Municipality of Anchorage to enhance programs

for orphans in the Russian Far East. The Committee recommends

$3,500,000 for this program in fiscal year 2002.

VIOLENCE AGAINST WOMEN

The Committee commends the efforts by USAID, the State Department, and the Justice Department to implement programs to

combat domestic violence in Russia. The Committee believes the

Administration should continue to consult closely with and provide
43

direct support to the Russian Association of Crisis Centers for

Women to further strengthen local capacity to respond to this endemic problem. Emphasis should be given to strengthening police

and prosecutorial capacity to prevent and punish abuses. In addition, American grant recipients, including police trainers, should

have expertise in domestic violence issues, and Russian NGOs

should be consulted in the design, evaluation, and monitoring of

these programs. The Committee recommends funding for these activities at not less than the current level, and requests the State

Department to submit a report by April 1, 2002, summarizing the

actions taken, results to date, and future plans for this initiative.

PRIMARY HEALTH CARE

The Committee is aware of the Primary Health Care Initiative

of the World Council of Hellenes, which was instituted in the

former Soviet republics to provide desperately needed basic health

care. This program, which is alleviating suffering of people through

thousands of visits each month, is also beneficial to U.S. relations

with these countries. The Committee recommends $2,000,000 in

FSU funds for this program in fiscal year 2002.

INDEPENDENT MEDIA

The Committee recognizes that several governments in the

former Soviet Union continue to undermine the work of independent media outlets and journalists. The Committee supports efforts to achieve a genuinely self-sustainable media, which operates

in a fair and transparent legal environment.

COUNTRY ISSUES

RUSSIA

The Committee has again included language in the bill that

withholds 60 percent of assistance for the Government of the Russian Federation unless the President determines and certifies to

the Committees on Appropriations that the Government of the Russian Federation has terminated its nuclear relationship with Iran,

is cooperating with international efforts to investigate war crimes

and other atrocities in Chechnya, and is providing full access to

international nongovernmental organizations to provide humanitarian relief to refugees and internally displaced persons in

Chechnya.

CHECHNYA

The Committee is alarmed by the flagrant disregard for human

life and the use of excessive force by Russian troops against

Chechen noncombatants. In addition to the atrocities committed by

the Russian military, the Government of the Russian Federation

has repeatedly failed to investigate and hold accountable those responsible for these crimes. The Committee expects the Secretaries

of State and Defense to urge their Russian counterparts to permit

international humanitarian organizations to have unimpeded access to Chechnya. The Committee also requests the State Department to submit a report to the Committee 90 days after the date
44

of enactment of the Act describing the response of the Russian Government.

ARMENIA

The Committee has provided $90,000,000 for Armenia, and urges

the Armenian Government to continue to accelerate economic reforms. The Committee expects that not less than $5,000,000 of

these funds will be provided to the Government of Armenia for an

education initiative, including the provision of computers and

Internet access to primary and secondary schools. The Committee

is aware of the work of the Armenian Technology Group in assisting the Armenian private sector in a seed multiplication program.

The Committee continues to support the expansion of these efforts

in additional countries in the Central Asia region.

AZERBAIJAN

The Committee has included a provision which continues current

law relating to section 907 of the FREEDOM Support Act, by restating an exemption that allows for humanitarian and certain

other types of assistance to the region, including for refugees and

displaced persons.

UKRAINE

The Committee has provided $180,000,000 for assistance for

Ukraine. The Committee firmly believes that the independence and

sovereignty of Ukraine is of crucial strategic importance to the

United States and stability in Europe. The Committee notes that

the level of assistance for Ukraine takes on heightened significance

as Ukraine prepares for parliamentary elections in March 2002, the

outcome of which may determine the country’s future direction.

The Committee urges the State Department to support programs

that encourage free and fair elections, strengthen the rule of law,

support the next generation of Ukrainians, focus on private sector

development (particularly agriculture), reform the commercial legal

code, and help develop the nongovernmental sector of Ukrainian society.

The Committee is extremely concerned about the conditions

under which journalists work in Ukraine. The recent murder of two

journalists under questionable circumstances and the slow investigation of these two cases casts serious doubt on the commitment

of the Government of Ukraine to an independent media, the rule

of law, and the independence of the judicial system.

The Committee believes that assistance for Ukraine can only succeed if the government is committed to economic and democratic

reforms. While Ukraine’s economy has started growing, this trend

cannot be sustained without a commitment to the rule of law. The

Committee believes that prompt, thorough, and competent investigations and prosecutions of these murder cases would help to

demonstrate such a commitment. Alternatively, the continued absence of such actions might suggest that a reduced level of assistance is warranted. The Committee encourages the U.S. Embassy in

Kiev to extend an offer of the services of the Federal Bureau of In-
45

vestigations through their Legal Officer to the Government of

Ukraine to assist in the investigations into these murders.

The Committee expects that of the amount provided for nuclear

safety not less than $21,500,000 will be provided for the installation of simulators for enhanced operator training. Specifically,

$12,000,000 should be provided for a full-scope simulator at the

Rivne reactor, $5,000,000 for Remote Shutdown Panels, $2,000,000

for two simulator Safety Parameter Display Systems, and

$2,500,000 for an analytical simulator for the Sebastopol Institute

which has become the primary source of training of engineers and

operators for the Ukrainian nuclear industry.

The Committee recognizes the critical nature of a diverse energy

supply and a comprehensive, viable energy policy to Ukraine’s

independent development and economic future. The Committee recommends that funds as necessary be provided for U.S. technical assistance to the Task Force established by Presidential Order (#42/

2001) on February 27, 2001.

The Committee supports funding for successful community partnership programs and activities in Ukraine, such as those administered by the United States-Ukraine Foundation.

GEORGIA

The Committee provides $90,000,000 for assistance for Georgia.

The Committee notes that continued support to Georgia is in

United States national security interests and strongly encourages

that programs relating to border and export controls, energy, and

political, legal, and economic reform continue. The Committee remains concerned with the incidence of corruption in Georgia, and

the limited progress by Russia in closing military bases in Georgia.

The Committee supports programs implemented by the American

Academy in Tbilisi, and recommends an increased level of funding

for the Academy’s activities. The Committee provides that not less

than $3,000,000 should be made available for a small business development project relating to private sector technology start-ups for

Georgia.

NAGORONO-KARABAGH

The Committee continues to be concerned about the plight of victims of the Nagorono-Karabagh conflict, and expects that the remainder of the $20,000,000 in humanitarian assistance, initially

provided for in the fiscal year 1998 Act, will be promptly disbursed.

INDEPENDENT AGENCIES

PEACE CORPS

Appropriations, 2001 ............................................................................. $265,000,000

Budget estimate, 2002 ........................................................................... 275,000,000

House allowance .................................................................................... 275,000,000

Committee recommendation ................................................................. 275,000,000

The Committee continues to strongly support the Peace Corps,

which has volunteers in 76 countries, and has increased funding by

$10,000,000 above the fiscal year 2001 level.
46

AFRICAN DEVELOPMENT FOUNDATION

Appropriations, 2001 ............................................................................. ($16,000,000)

Budget estimate, 2002 ........................................................................... (16,042,000)

House allowance .................................................................................... 16,042,000

Committee recommendation ................................................................. 16,542,000

The Committee includes funding for the African Development

Foundation (ADF) under the Independent Agencies account, and

provides $16,542,000 for the ADF, which is $542,000 above the fiscal year 2001 level and $500,000 above the request.

INTER-AMERICAN FOUNDATION

Appropriations, 2001 ............................................................................. ($12,000,000)

Budget estimate, 2002 ........................................................................... (12,108,000)

House allowance .................................................................................... 12,000,000

Committee recommendation ................................................................. 13,106,950

The Committee includes funding for the Inter-America Foundation (IAF) under the Independent Agencies account, and provides

$13,106,950 for the IAF, which is $1,106,950 above the fiscal year

2001 level.

The Committee recognizes the progress the IAF has made in the

past year in reforming its fiscal policies and practices. The IAF’s

decision to contract with the Bureau of Public Debt to maintain the

general ledger is a positive step. However, while the use of an external entity for this purpose may be a sensible, partial solution,

the Committee wants to be assured that internal oversight of fiscal

and programmatic activities do not suffer. The Committee looks

forward to reviewing the IAF’s new plans to establish and implement procedures that ensure sound fiscal and programmatic management by its staff.

DEPARTMENT OF STATE

INTERNATIONAL NARCOTICS CONTROL AND LAW ENFORCEMENT

Appropriations, 2001 ............................................................................. $325,000,000

Budget estimate, 2002 ........................................................................... 217,000,000

House allowance .................................................................................... 217,000,000

Committee recommendation ................................................................. 217,000,000

The Committee has provided $217,000,000, the request level, for

International Narcotics Control and Law Enforcement programs.

TRAFFICKING IN PERSONS

The Committee provides $10,000,000 in INL funds for programs

and activities to counter trafficking in persons. The Committee

commends the Department of State for its ‘‘Trafficking in Persons

Report’’, and believes that the ranking of nations in different tiers,

according to compliance with standards outlined in Public Law

106–386, is an illustrative and effective means to highlight the efforts and deficiencies of countries to address this problem. The

Committee urges continued and greater emphasis on programs and

activities that directly address this endemic problem. The Committee remains strongly committed to assisting women and children who are often the most innocent victims of this gross human

rights violation, which also contributes to the spread of HIV/AIDS.

These funds should be used to provide social services to trafficking
47

victims, educational and economic development programs to prevent trafficking, and technical assistance to government efforts to

combat trafficking in countries of origin. The Committee requests

to be consulted prior to the obligation of these funds.

MARITIME INTERDICTION

The Committee believes that both the Bahamas and Costa Rica

play important roles in combating the flow of illegal narcotics, especially through maritime interdiction efforts. Therefore, not later

than 90 days after enactment, the Committee expects the State Department to submit a report on the procurement needs of the governments of the Bahamas and Costa Rica to implement an effective

counternarcotics strategy. This report is to examine these needs,

including an assessment of the procurement of high speed boats,

within the context of the projected budget for counternarcotics programs in fiscal year 2003.

ANDEAN COUNTERDRUG INITIATIVE

Appropriations, 2001 ............................................................................. ...........................

Budget estimate, 2002 ........................................................................... $731,000,000

House allowance .................................................................................... 675,000,000

Committee recommendation ................................................................. 567,000,000

The Committee has provided a total of $718,000,000 for the Andean Regional Initiative requested by the Administration, of which

$567,000,000 is for the Andean Counterdrug Initiative.

FISCAL YEAR 2002 ANDEAN REGIONAL INITIATIVE

Request Committee recommendation

Andean Counterdrug Initiative:

Narcotics Programs ........................................................................... $438,500,000 $367,000,000

Security Programs ............................................................................. 4,000,000 4,000,000

Economic and Social Programs ........................................................ 292,500,000 200,000,000

Other Andean Assistance: Humanitarian and Development Programs ..... 147,290,000 147,000,000

Total, Andean Regional Initiative ................................................. 882,290,000 718,000,000

When added to fiscal year 2001 bilateral assistance to the region

and approximately $1,300,000,000 for Plan Colombia, this appropriation of $718,000,000 in fiscal year 2002 will bring total U.S.

contributions to the Andean region to more than $2,000,000,000

over the last 2 years.

The Committee notes that Plan Colombia is a $7,500,000,000, 6

year effort, developed in conjunction with the Colombian Government, to combat drug trafficking and support democracy and economic development in Colombia. An unspecified portion of the nonUnited States funds for Plan Colombia are to be contributed by

other donors, including the European Union (EU) and the international financial institutions, as well as the Colombian Government itself. So far, few if any funds have actually been provided

by the EU. It is unclear how much the Colombian Government has

provided above its regular budget for defense, law enforcement, and

social programs.
48

Seventy-nine percent of the fiscal year 2001 U.S. funds were for

military and police programs, including the purchase of Blackhawk

helicopters, training Colombian counterdrug battalions, aerial fumigation of coca and poppy, and related activities. The remainder

was for economic, social, and justice programs. Most of the military

and police assistance has been committed. Although the first

Blackhawks did not arrive in Colombia until July 27, 2001, the Colombian Government reports that a large portion of the coca crop

has already been destroyed. In contrast, the economic, social, and

justice programs have barely begun.

The Committee believes that because of the threats posed by

drug traffickers, rebels, and paramilitaries in Colombia, the United

States should strongly support Colombia and its neighbors. However, the Congress and Administration appear to share the view

that unless the demand for illegal drugs is curtailed in the United

States, the Andean Counterdrug Program will not succeed.

While it is too soon to pass judgment on the success or failure

of this initiative, the Committee is concerned that far too little priority has been given to utilizing the fiscal year 2001 funds for economic, social, and justice programs. Although the fumigation effort

has gone forward rapidly, paramilitary violence has increased

sharply, hundreds of thousands of people are displaced in their own

country, and little has been provided in the way of alternative

sources of income for Colombian farmers whose coca crops, and in

some instances their licit crops, have been destroyed. Similarly, few

of the funds appropriated last year to strengthen the justice system, particularly the Colombian Attorney General’s Human Rights

Unit, have been spent. The Committee believes that $718,000,000 for the Andean region

is a substantial investment, on top of last year’s $1,300,000,000 appropriation, and the most that can reasonably be provided given

other demands on the budget and the lack of any evidence, to date,

that this initiative will have an appreciable impact on America’s

drug problem. The Committee also notes that many Members have

expressed concerns that this program is drawing the United States

into a prolonged civil war that may pose grave risks to American

personnel and further hardships for the Colombian people. At least

$200,000,000 of the counterdrug funds are to be apportioned directly to USAID for economic and social programs, in order to facilitate faster disbursement of these funds. The Committee has retained limits imposed in fiscal year 2001 on the number of U.S.

military on duty, and U.S. civilian personnel employed, in Colombia.

The Administration did not request funds to procure new aircraft

for the Andean countries, as the costs involved would limit the allocation for economic and social programs. The Committee, however,

is aware that certain types of aircraft could be used by these governments to enhance counternarcotics efforts. Therefore, no later

than 90 days after enactment, the Committee expects the State Department to submit a report on the feasibility of procuring additional aircraft for Bolivia, Colombia, and Ecuador, within the projected budget for counternarcotics programs in fiscal year 2003.

The Committee is aware of the successful work of Aid To Artisans (ATA), which provides technical assistance and marketing
49

support to artisans in poor countries. ATA has proposed an Andean

Artisan Enterprise Initiative, to expand markets for artisans in Colombia, Ecuador, Peru, and Bolivia. The Committee believes that

this type of program should be supported to provide viable, alternative sources of income to people in this region.

The Committee is supportive of biotechnology research at American institutions to promote the cultivation of alternative crops, including cocoa, in the Andean countries.

COLOMBIA

The Committee believes that a peaceful and prosperous Colombia

is important to United States interests in the western hemisphere,

and that the foundation for any successful counternarcotics strategy is economic development, a lasting resolution of civil strife and

the implementation of meaningful political, legal, economic, and social reforms. The Committee recognizes some progress on human

rights, but strongly condemns paramilitary and insurgent groups,

and the Colombian military involved in committing atrocities

against noncombatants. The Committee recommends an increased

emphasis on support for programs that protect and promote human

rights, the rule of law, and the economic welfare of the Colombian

people.

Like last year, the Committee has included conditions on assistance to the Colombian military which emphasize respect for human

rights and civilian justice. The Committee is particularly concerned

about the surge in paramilitary violence, persistent reports of cooperation between the military and paramilitaries, and the impunity of military officers who order or commit atrocities. The Committee believes that far more aggressive action is needed, by the

Colombian Government and military, to thwart it. This should also

be a priority for United States policy.

The Committee is alarmed by the pattern of attacks against

trade unionists; 112 were killed in 2000, and another 51 by June

2001. Little effort, if any, has been made to apprehend and bring

to justice those responsible.

The Committee also deplores the ongoing abuses by the FARC,

extensively documented by human rights organizations, including

the forced recruitment of child soldiers, murder, kidnaping, and collusion with drug traffickers. The Committee calls on other nations,

particularly Mexico and the Scandinavian countries, to exert greater influence on the FARC to repudiate these tactics and participate

seriously in negotiations toward a settlement of the conflict.

Similar to last year, in order to continue to monitor the use of

the funds made available for this initiative, the Committee expects

that, not later than 60 days after the date of enactment of the Act

and every 120 days thereafter, the Secretary of State will submit

a report to the Committees on Appropriations containing—

—A description of the extent to which the Colombian armed

forces have suspended from the armed forces those members,

of whatever rank, who have been credibly alleged to have committed gross violations of human rights, and are providing to

civilian prosecutors and judicial authorities requested information concerning the nature and cause of the suspension.
50

—An assessment of the extent to which the Colombian armed

forces are cooperating with civilian authorities, including providing access to witnesses and relevant military information, in

prosecuting and punishing in civilian courts those members, of

whatever rank, who have been credibly alleged to have committed gross violations of human rights, or to have aided or

abetted paramilitary groups. —An assessment of the extent to which the Colombian armed

forces are severing links, including intelligence sharing, at the

command, battalion, and brigade levels, with paramilitary

groups, and executing outstanding arrest warrants for members of such groups. —A description of the extent to which attacks against human

rights defenders, trade unionists and government prosecutors,

investigators and civilian judicial officials, are being investigated and the alleged perpetrators brought to justice. —A description of actions taken by the United States, the Colombian Government, and other countries to promote and support

negotiations toward a settlement of the conflict in Colombia. —An accounting of the financial support for Plan Colombia provided by the Government of Colombia (compared to its expenditures prior to fiscal year 2001) and the international community.

The Committee is aware of national security legislation passed

by the Colombian Congress on June 20, 2001. The Secretary of

State is requested to submit a report not later than 90 days after

the date of enactment of the Act and 120 days thereafter,

containing—

—An accounting of incidents of arbitrary and prolonged incommunicado detention by members of the Colombian armed

forces and police, and whether those incidents have increased; —An assessment of the effectiveness of investigations conducted

by military personnel, as provided for in the security law, compared to those carried out by civilian authorities; and —An analysis of the effects of the security law on Colombia’s

commitments under international treaties.

NEIGHBORING COUNTRIES

The Committee is concerned about the spill-over of the narcotics

trade from Colombia to its neighbors, and commends the Administration for its regional approach this year. It may only be a matter

of time before Colombia’s neighbors face large influxes of refugees,

drug traffickers, and insurgents.

Bolivia.—The Committee is concerned that this spill-over effect

may undermine the achievements of the Bolivian Government in

eradicating coca growth within its borders. The Committee recognizes the success of alternative development activities in Bolivia,

and commends the Bolivian Government for its counterdrug efforts.

The Committee expects the State Department to provide sufficient

funding to continue these activities. The Committee continues to be

concerned with reports of unsolved cases of human rights abuses

involving security forces that may receive U.S. assistance. The

Committee expects that the U.S. Embassy will be more vigilant in

pursuing human rights issues with the Government of Bolivia and
51

determining if there is compliance with applicable U.S. laws governing the provision of assistance.

Ecuador.—Ecuadoran law enforcement personnel have noted incursions by rebels and paramilitaries, cocaine laboratories,

kidnappings of foreign employees, and coca cultivation within Ecuadoran territory. The Committee urges the State Department to

give priority to programs that assist Ecuador in strengthening border security.

Peru.—The Committee notes the success of the Government of

Peru in reducing the country’s domestic coca crop. The Committee

recognizes that narco-traffickers in Colombia may seek to migrate

to growing areas inside Peru, should counterdrug efforts prove effective in Colombia. The Government of Peru has brought to the

Committee’s attention its concern with new methods of cocaine production, new air trafficking routes, and increased land and maritime transportation that may weaken once successful interdiction

efforts. The Committee expects the State Department to assess

Peru’s priority counterdrug needs, as well as programs to strengthen democracy, civil society, and the rule of law in Peru.

The Committee notes the tragic deaths of Veronica Bowers and

Charity Bowers in the shooting down of their aircraft by the Peruvian military in April 2001, and expects the State Department to

consult the Committee regarding any plan to resume a policy of

shooting down suspected drug-trafficking aircraft.

MIGRATION AND REFUGEE ASSISTANCE

Appropriations, 2001 ............................................................................. $700,000,000

Budget estimate, 2002 ........................................................................... 715,000,000

House allowance .................................................................................... 715,000,000

Committee recommendation ................................................................. 735,000,000

The Committee is aware that a number of urgent humanitarian

crises around the world, including those in Afghanistan, Central

and West Africa, Indonesia, and the North Caucasus, have left millions of individuals at risk of starvation, exposure, and disease. The

Committee provides $735,000,000 for the Migration and Refugee

Assistance account, which is $20,000,000 above the Administration’s budget request and $35,000,000 above the amount provided

in fiscal year 2001.

RESETTLEMENT IN ISRAEL

The Committee provides $60,000,000 for the resettlement of humanitarian migrants from the former Soviet Union, Eastern Europe, Ethiopia, and other parts of the world to Israel. This is equal

to the amount appropriated in fiscal year 2001.

UNITED NATIONS HIGH COMMISSIONER FOR REFUGEES

The Committee is aware that the fiscal year 2002 budget of the

United Nations High Commissioner for Refugees (UNHCR) is projected to be $130,000,000 below the current level, due primarily to

a dramatic decline in contributions from European countries. This

has caused UNHCR to reduce expenditures by scaling back field

operations at a time of increasing demands. The Committee is concerned by these developments and supports ongoing efforts by

UNHCR to seek additional contributions from Europe. The Com-
52

mittee has increased funds for Migration and Refugee Assistance

with the expectation that the State Department will continue its

strong support for UNHCR in fiscal year 2002.

PROTECTION OF INTERNATIONAL HUMANITARIAN RELIEF WORKERS

The Committee recognizes that the rise of ethnic conflict and

civil wars have required humanitarian relief workers to frequently

operate in war zones where there is no functioning government and

it is extremely difficult to differentiate between combatants and civilians. As a result, refugee and other disaster relief situations

have become increasingly hazardous for international aid workers,

resulting in a number of tragic deaths. The Committee is extremely

concerned with these developments and expects that, no later than

April 1, 2002, the State Department will submit a report describing

the efforts the United States and international humanitarian organizations, including UNHCR and the International Committee of

the Red Cross, are taking to improve the safety of relief workers

and identify how additional U.S. financial, technical, or other forms

of assistance could enhance these efforts.

TIBETAN REFUGEES

Like last year, the Committee supports continued funding to assist Tibetan refugees and recommends $2,000,000 for this purpose.

The Committee requests the State Department to coordinate with

USAID in determining responsibility for long term assistance for

Tibetan refugees.

NORTH KOREAN AND MONTAGNARD REFUGEES

The Committee is deeply concerned with the reported increase in

the number of North Korean refugees fleeing to China, and

Montagnard refugees fleeing Vietnam to Cambodia. The Committee

recognizes that oppressive political, social, and economic conditions

in North Korea and Vietnam contribute to this movement of people.

The Committee is appalled at reports of the forcible repatriation of

refugees to North Korea and Vietnam, and calls upon the State Department and international relief organizations to ensure the adequate and safe treatment of refugees. The Committee requests the

Secretary of State to report to the Committees on Appropriations,

not later than 60 days after the date of enactment, on steps taken

by the State Department, USAID, and international relief organizations to protect the human rights and dignity of refugees from

North Korea and Vietnam, and on the policy implications that arise

from the continued movement of people from North Korea to

China, and from Vietnam to Cambodia.

EMERGENCY REFUGEE AND MIGRATION ASSISTANCE FUND

Appropriations, 2001 ............................................................................. $15,000,000

Budget estimate, 2002 ........................................................................... 15,000,000

House allowance .................................................................................... 15,000,000

Committee recommendation ................................................................. 15,000,000

The Committee recommends $15,000,000 for the emergency refugee and migration assistance fund.
53

NONPROLIFERATION, ANTI-TERRORISM, DEMINING, AND RELATED

PROGRAMS

Appropriations, 2001 ............................................................................. $311,600,000

Budget estimate, 2002 ........................................................................... 332,000,000

House allowance .................................................................................... 311,000,000

Committee recommendation ................................................................. 326,500,000

The Committee has provided $326,500,000 for the NADR account

for fiscal year 2002. The following chart indicates fiscal year 2001

funding for the programs in this account, the Administration’s request for fiscal year 2002, and the Committee recommendations for

fiscal year 2002:

Program of activity 2001 enacted 2002 request Committee recommendation

Nonproliferation and Disarmament Fund .......................... $14,967,000 $14,000,000 $14,000,000

Export Control Assistance ................................................. 19,100,000 17,000,000 17,000,000

Science Centers ................................................................. 35,000,000 37,000,000 37,000,000

IAEA Voluntary Contribution .............................................. 47,000,000 49,000,000 50,000,000

CTBT Preparatory Commission .......................................... 21,056,000 20,000,000 20,000,000

Korean Penisula Energy Development Organization ......... 54,879,000 95,000,000 95,000,000

Nonproliferation Contingency ............................................ 20,000,000 ........................ ........................

Anti-Terrorism Assistance ................................................. 38,000,000 38,000,000 38,000,000

Terrorist Interdiction Program ........................................... 4,000,000 4,000,000 4,000,000

Lockerbie Trial Support ..................................................... 15,000,000 16,000,000 8,000,000

Humanitarian Demining Program ..................................... 39,912,000 40,000,000 40,000,000

Small Arms Destruction .................................................... 2,000,000 2,000,000 3,500,000

Rescission .......................................................................... 686,000 ........................ ........................

Total Budget Authority ............................................. 311,600,000 332,000,000 326,500,000

TERRORIST INTERDICTION PROGRAM

The Committee has recommended $4,000,000 for the Terrorist

Interdiction Program, which is designed to enhance border security

overseas to reduce terrorism. The Committee supports the State

Department’s plans and looks forward to continued consultations

on these activities.

ANTI-TERRORISM ASSISTANCE PROGRAM

The Committee supports the work of the Anti-Terrorism Assistance Program and recommends $38,000,000 for fiscal year 2002.

The Committee notes that ATA would like to commence activities

in support of Anti-Terrorism Instructor Training and Emergency

Medical Responder Instructor courses and an expansion of the Dignitary Protection Training Program. The Committee supports these

efforts.

HUMANITARIAN DEMINING

The Committee supports the State Department’s Humanitarian

Demining Program to clear landmines and other unexploded ordnance that continue to endanger people in countries around the

world. The Committee has provided $40,000,000 for these activities.

The Committee notes that several country recipients of demining

funds from the NADR account also receive large amounts of assist-
54

ance from the ESF, SEED, or FSU accounts. The Committee is concerned about pressures on the NADR budget which contains a limited amount of humanitarian demining funds, and believes that future demining programs in these countries should be funded jointly

from both NADR and these other accounts.

COMPREHENSIVE TEST BAN TREATY PREPARATORY COMMISSION

The Committee fully funds the request of $20,000,000 for a contribution to the Comprehensive Test Ban Treaty Preparatory Commission. This contribution helps to leverage funds from other donor

nations for the International Monitoring System, which is designed

to collect data from seismic, hydroacoustic, infrasound, and radionuclide stations around the world, enhancing U.S. capabilities for

detecting and monitoring nuclear tests.

LOCKERBIE

The Committee has provided $8,000,000 toward the United

States share of the costs incurred for holding the trial for the 1988

bombing of Pan Am Flight 103. The Committee understands that

there will be a request in fiscal year 2003 for expenses related to

the appeal process and other incidentals. The Committee is concerned about information relating to some of the costs that have

been incurred, and understands that an audit will be performed by

the Inspector General of the State Department. The Committee expects this review to be completed by October, 2001.

SCIENCE CENTERS

The Committee continues to be concerned about oversight of administrative programs and projects by the Science Centers. The

Committee urges the State Department to investigate the possibility of expanding U.S. personnel at both of the sites to ensure

that effective management practices are in place.

The Committee is also concerned about delays that occur between the time of submission of projects by the scientists to the

time the grant is finally awarded. The Committee encourages senior officials at the science centers to work with their Russian and/

or Ukrainian governmental counterparts to eliminate these interruptions to ensure prompt and efficient review and implementation

of these projects.

SMALL ARMS AND LIGHT WEAPONS

The Committee understands that small arms and light weapons,

including mortars, rocket propelled grenades, and heavy machine

guns, have contributed to human rights violations, exacerbated

conflicts, and impeded development efforts. The Committee recommends $3,500,000 in fiscal year 2002 for the Small Arms Destruction Initiative, which provides assistance to countries that

have requested help in eliminating stockpiles of these weapons.

This is $1,500,000 above the fiscal year 2001 level.
55

DEPARTMENT OF THE TREASURY

INTERNATIONAL AFFAIRS TECHNICAL ASSISTANCE

Appropriations, 2001 ............................................................................. $6,000,000

Budget estimate, 2002 ........................................................................... 6,000,000

House allowance .................................................................................... 6,000,000

Committee recommendation ................................................................. 6,000,000

The Committee has provided $6,000,000 for International Affairs

Technical Assistance. This amount is equal to the budget request

and the fiscal year 2001 level.

GLOBAL FUND TO COMBAT HIV/AIDS, MALARIA, AND TUBERCULOSIS

Appropriations, 2001 ............................................................................. ...........................

Budget estimate, 2002 ........................................................................... $100,000,000

House allowance .................................................................................... ...........................

Committee recommendation ................................................................. ...........................

Like the House, the Committee has not established a separate

account for a Global Fund to Combat HIV/AIDS, malaria, and tuberculosis. The Committee’s support for the Fund is described in

the section of this report entitled Child Survival and Health Programs Fund.

DEBT RESTRUCTURING

Appropriations, 2001 ............................................................................. $238,000,000

Emergency funding ......................................................................... 210,000,000

Budget estimate, 2002 ........................................................................... 224,000,000

House allowance .................................................................................... 224,000,000

Committee recommendation ................................................................. 235,000,000

The Committee has provided $235,000,000 for debt restructuring

for fiscal year 2002. Of this amount, the Committee expects that

$224,000,000 will be for a United States contribution to the Heavily Indebted Poor Country Trust Fund (HIPC), which when added

to $16,000,000 in fiscal year 2001 carryover funds, will fulfill the

U.S. pledge.

The Committee expects that the remaining fiscal year 2002 debt

restructuring funds of $11,000,000 will be used to implement the

Tropical Forest Conservation Act of 1998 (TFCA). The Committee

has also provided up to an additional $14,000,000 in carryover

funds for this purpose.

The Committee was disappointed with the Administration’s request of only $13,000,000 in transfer authority from the Development Assistance account for the TFCA, rather than a separate request under Department of Treasury programs. The Committee

notes that the world’s tropical forests are being destroyed at an

alarming rate, and believes that the TFCA can be an effective

mechanism for protecting endangered forests.
(56)

TITLE III

MILITARY ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

INTERNATIONAL MILITARY EDUCATION AND TRAINING

Appropriations, 2001 ............................................................................. $55,000,000

Emergency funding ......................................................................... 2,875,000

Budget estimate, 2002 ........................................................................... 65,000,000

House allowance .................................................................................... 65,000,000

Committee recommendation ................................................................. 75,000,000

The Committee provides $75,000,000 for the International Military Education and Training (IMET) program. The Committee believes that, by capitalizing on the worldwide respect for the U.S.

armed forces, the IMET program offers a unique opportunity to establish valuable contacts with foreign militaries and promote

American values, including civilian control of the armed forces and

respect for the rule of law.

The Committee is also aware of the significance of the signal that

IMET sends to governments that participate in these programs, its

citizens, and other nations. The Committee notes that, rightly or

wrongly, many perceive IMET participation as bestowing a degree

of legitimacy from the United States on the actions of the foreign

militaries and governments. Therefore, when making decisions to

provide IMET, the Committee believes that the Administration

should consider the effects that these signals will have on larger

U.S. foreign policy goals and target this assistance accordingly.

The Committee is perplexed by the Administration’s requests for

regular IMET assistance for some countries whose armed forces

have a recent history of actively undermining elected civilian authorities, corruption, and human rights abuses, and which have

shown no commitment to reform. The Committee believes that

these armed forces, at best, should be considered for Expanded

IMET which focuses on civilian control and management of defense

resources, military justice, human rights, and certain humanitarian

activities.

The Committee strongly supports IMET assistance for emerging

democracies in Central and Eastern Europe, including $3,000,000

for the Baltic States to continue the development of a well trained,

professional corps of civilian defense officials and military officers.

The Committee is aware that the Security Assistance Act of 2000

(Public Law 106–280) authorized additional funding, above the Administration’s fiscal year 2002 request, for IMET assistance for

Greece and Turkey, for joint training of Greek and Turkish officers

to the maximum extent practicable. The Committee is supportive

of these initiatives, which could help strengthen ties between two
57

important NATO allies, and encourages the Administration to fund

these programs at the highest appropriate level.

FOREIGN MILITARY FINANCING

GRANT PROGRAM LEVEL

Appropriations, 2001 ............................................................................. $3,545,000,000

Emergency Funding ....................................................................... 31,000,000

Budget estimate, 2002 ........................................................................... 3,674,000,000

House allowance .................................................................................... 3,627,000,000

Committee recommendation ................................................................. 3,674,000,000

The Committee has included $3,674,000,000 for Foreign Military

Financing, which is equal to the Administration’s budget request and $129,000,000 over the fiscal year 2001 level.

MIDDLE EAST COUNTRIES

The Committee has provided the Administration’s request of $2,040,000,000 in FMF for Israel and $1,300,000,000 for Egypt.

The Committee has also provided the request level of $75,000,000

for Jordan.

BALTIC STATES

The Committee applauds the strides that Lithuania, Latvia, and

Estonia have made to bring their militaries in line with Western

standards, and expects the Administration to provide a total of

$21,000,000 in FMF to the Baltic States. The Committee is disappointed that the Administration may not provide $20,000,000 to

the Baltic States in fiscal year 2001, despite a recommendation

from the Committee to fund this amount.

FOREIGN MILITARY TRAINING REPORT

The Committee has included language similar to the last 2 years,

requiring the State and Defense Departments to provide the joint

report ‘‘Foreign Military Training and DoD Engagement Activities

of Interest.’’ The Committee is concerned that in the fiscal year

2000–2001 version of this report, the Administration classified a

considerable amount of information, including U.S. Special Forces,

JCET and section 1004 counterdrug training, that had been provided in unclassified form in fiscal year 1999. The Committee expects the fiscal year 2002 report to contain the maximum amount

of information in declassified form, including information about foreign units trained; the location of training; U.S. trainers’ units;

course descriptions; the number of courses given and students

trained; and estimates for next-year training in each category of

training reported. The Committee requests to be consulted on the

format and contents of the report.

LIMITATION ON ASSISTANCE

The Committee has again included a provision, identical to last

year, which seeks to ensure that U.S. assistance does not go to

units of foreign security forces whose members have been credibly

implicated in human rights violations, unless the foreign government is taking effective measures to bring the individuals responsible to justice. By effective measures, the Committee intends that
58

the individuals face impartial criminal prosecution or appropriate

and timely disciplinary action in accordance with local law. The

purposes of this provision are to reduce the chance that U.S. training or equipment goes to human rights violators, uphold the rule

of law, and promote accountability for political crimes of violence.

The Committee is aware that some U.S. embassies have expressed confusion about the meaning of ‘‘unit’’ for purposes of this

provision. The Committee intends that ‘‘unit’’ is to be construed as

the smallest operational group in the field that has been implicated

in the reported violation. The Committee notes that in order to implement this provision, it is necessary for U.S. embassies to know

which units are to receive U.S. assistance and to have in place the

necessary agreements and mechanisms to monitor their use of the

assistance.

The Committee is concerned about the failure of some U.S. embassies to put in place effective mechanisms for collecting evidence

and implementing this provision, and therefore believes that a centralized system is clearly needed. Specifically, the Committee requests the Bureau for Democracy, Human Rights and Labor to establish and maintain an electronic database of credible evidence of

gross violations of human rights by units of foreign security forces.

Each U.S. embassy should designate an appropriate official to collect and submit data to the database from a wide range of sources

on a regular basis. Such a database would be one important depository of evidence for making determinations regarding the implementation of this provision, and should be accessible to other appropriate government departments and agencies and the Congress.

LANDMINES

The Committee again includes language permitting demining

equipment to be made available on a grant basis to foreign countries. The Committee supports the continued use of FMF funds for

activities to assist in locating and destroying landmines and

unexploded ordnance that maim and kill innocent people around

the world.

PEACEKEEPING OPERATIONS

Appropriations, 2001 ............................................................................. $127,000,000

Budget estimate, 2002 ........................................................................... 150,000,000

House allowance .................................................................................... 135,000,000

Committee recommendation ................................................................. 140,000,000

The Committee has provided $140,000,000 to support peacekeeping operations in troubled regions, including Africa, the Middle

East, and the Balkans. The amount is $13,000,000 above the fiscal

year 2001 level.
(59)

TITLE IV

MULTILATERAL ECONOMIC ASSISTANCE

INTERNATIONAL FINANCIAL INSTITUTIONS SUMMARY

Appropriations, 2001 ............................................................................. $1,146,879,000

Budget estimate, 2002 ........................................................................... 1,209,796,000

House allowance .................................................................................... 1,169,796,000

Committee recommendation ................................................................. 1,178,396,000

The Committee recommends the total level of paid-in capital

funding shown above to provide for contributions to the International Bank for Reconstruction and Development, International

Development Association, Multilateral Investment Guarantee

Agency, the Global Environment Facility (GEF), the Inter-American Development Bank’s Inter-American Investment Corporation,

the Asian Development, the African Development Bank and Fund,

the European Bank for Reconstruction and Development, and the

International Fund for Agriculture Development.

The Committee is disappointed that the request did not include

arrears for several International Financial Institutions (IFIs), including $128,000,000 for the Asian Development Fund and

$204,000,000 owed to the Global Environmental Facility. The Committee expects the Administration to budget the necessary funds in

fiscal year 2003 to fully repay IFI arrears.

INTERNATIONAL INSTITUTIONS

GRIEVANCE PROCESS REFORM AND GENDER ISSUES

World Bank.—The Committee has closely followed efforts by the

World Bank to reform its internal grievance procedures, and recognizes that the success of these reforms depends on their implementation. While the Bank has made some progress, more remains to

be done and the latest proposals for reforming the Administrative

Tribunal fall short in several respects. As long as the Bank and the

other IFIs are immune from the court process, they need to ensure

that complaints are independently investigated and adjudicated according to due process standards and procedures, and that managers are punished for misconduct, especially retaliation, which has

been a persistent problem. The Committee also suggests that the

Bank, International Monetary Fund (IMF) and other IFIs examine

the role that their Legal Departments play in workplace misconduct cases. The Bank’s and IMF’s lawyers have expended resources prolonging cases that should have been settled quickly, or

defended management when it would have been in the interests of

the institution to represent the complainants, who often cannot afford lawyers of their own. The response of the Bank and other IFIs

to these recommendations will continue to bear on Congress’ support for these institutions.
60

International Monetary Fund.—The Committee also has concerns

about the IMF’s internal grievance procedures, which in a recent

case brought to the Committee’s attention fell short at virtually

every step. The Committee is also concerned about the IMF’s failure to implement many of the recommendations of its 1994 Working Group on the Status of Women, especially those aimed at increasing the number of women in managerial positions. The Committee calls on the IMF to obtain a current regression analysis to

determine what further steps are needed to correct the persistent

gender disparities in hiring and promotion.

Domestic workers.—The Committee continues to receive reports

of the mistreatment of foreign domestic workers in the homes of

Bank and IMF employees. Some of these people, often young

women, have been lured to the United States under false pretenses, had their passports taken from them, kept in virtual servitude, and forced to work long hours for little pay. The Committee

requests the U.S. executive directors to the Bank and IMF to report to the Committee by April 1, 2002, on the steps being taken

by these institutions to address this problem.

World Commission on Dams.—The Committee commends the

World Bank for its role in helping to establish the World Commission on Dams (WCD), whose report, ‘‘Dams and Development,’’ addresses a complex, controversial subject in a balanced way, including proposing comprehensive, practical and innovative guidelines

for future action. The Bank has a long and difficult history in this

area, and the WCD guidelines offer opportunities for Bank investments in a wide range of sound development efforts, including existing dam improvements, alternatives to dams, and even new dam

construction, as well as a blueprint for correcting and avoiding the

costly mistakes of the past. The Committee urges the Bank to continue to engage with the full range of interested parties in the implementation of the WCD’s report, and to integrate these guidelines

to the fullest extent practicable into the Bank’s relevant operational policies and directives, including those relating to resettlement, environmental assessment, and water and energy policies.

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT

INTERNATIONAL DEVELOPMENT ASSOCIATION [IDA]

Appropriations, 2001 ............................................................................. $775,000,000

Budget estimate, 2002 ........................................................................... 803,400,000

House allowance .................................................................................... 803,400,000

Committee recommendation ................................................................. 775,000,000

GLOBAL ENVIRONMENT FACILITY

Appropriations, 2001 ............................................................................. $108,000,000

Budget estimate, 2002 ........................................................................... 107,500,000

House allowance .................................................................................... 82,500,000

Committee recommendation ................................................................. 109,500,000

The Committee strongly supports the work of the Global Environment Facility, which helps developing nations address a number

of important international environmental issues ranging from climate change to protecting biodiversity. Despite the fact that every

dollar the U.S. contributes is matched by almost $15 in financing

from other countries, multilateral institutions, the private sector,
61

and NGOs, the United States is more than $204,000,000 in arrears

to the GEF. The Committee notes that the shortage of funds is

causing programs to be postponed and other nations to delay making their payments to the GEF. The Committee has provided the

full amount for the U.S. contribution to the GEF for fiscal year

2002, plus an additional $2,000,000 as an initial payment of outstanding arrears.

MULTILATERAL INVESTMENT GUARANTEE AGENCY

Appropriations, 2001 ............................................................................. $10,000,000

Budget estimate, 2002 ........................................................................... 10,000,000

House allowance .................................................................................... 0

Committee recommendation ................................................................. 9,500,000

INTER-AMERICAN DEVELOPMENT BANK

INTER-AMERICAN INVESTMENT CORPORATION

Appropriations, 2001 ............................................................................. $25,000,000

Budget estimate, 2002 ........................................................................... 25,000,000

House allowance .................................................................................... 10,000,000

Committee recommendation ................................................................. 20,000,000

ASIAN DEVELOPMENT FUND

Appropriations, 2001 ............................................................................. $72,000,000

Budget estimate, 2002 ........................................................................... 103,017,050

House allowance .................................................................................... 93,017,000

Committee recommendation ................................................................. 103,017,050

AFRICAN DEVELOPMENT BANK

Appropriations, 2001 ............................................................................. $6,100,000

Budget estimate, 2002 ........................................................................... 5,100,000

House allowance .................................................................................... 5,100,000

Committee recommendation ................................................................. 5,100,000

AFRICAN DEVELOPMENT FUND

Appropriations, 2001 ............................................................................. $100,000,000

Budget estimate, 2002 ........................................................................... 100,000,000

House allowance .................................................................................... 100,000,000

Committee recommendation ................................................................. 100,000,000

EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT

PAID-IN-CAPITAL

Appropriations, 2001 ............................................................................. $35,778,717

Budget estimate, 2002 ........................................................................... 35,778,717

House allowance .................................................................................... 35,778,717

Committee recommendation ................................................................. 35,778,717

INTERNATIONAL FUND FOR AGRICULTURAL DEVELOPMENT

Appropriations, 2001 ............................................................................. $5,000,000

Budget estimate, 2002 ........................................................................... 20,000,000

House allowance .................................................................................... 20,000,000

Committee recommendation ................................................................. 20,000,000

The Committee commends IFAD for its participation in the enhanced HIPC initiative and for working to ensure that debt relief

translates into real gains against poverty and hunger in rural

areas. IFAD’s rural and agricultural development projects help to
62

achieve the poverty reductions and economic growth that debt relief is also intended to promote. The Committee recommends that

the Administration explore ways to ensure that HIPC participation

does not diminish IFAD’s future capacity to assist the world’s poor.

The Committee also urges the Administration to actively encourage

other governments to increase contributions that minimize HIPC

participation’s impact on IFAD’s level of operations.

INTERNATIONAL ORGANIZATIONS AND PROGRAMS

Appropriations, 2001 ............................................................................. $186,000,000

Budget estimate, 2002 ........................................................................... 186,000,000

House allowance .................................................................................... 196,000,000

Committee recommendation ................................................................. 217,000,000

The Committee has provided $217,000,000 for the ‘‘International

Organizations and Programs’’ account. This amount does not include funding for the Korean Peninsula Energy Development Organization and the International Atomic Energy Agency which are

provided for in the Nonproliferation, Antiterrorism, Demining, and

Related Programs account.

UNITED NATIONS DEVELOPMENT PROGRAM

The Committee supports the efforts of the United Nations Development Program (UNDP) to focus on key areas such as democratic

governance, HIV/AIDS, conflict prevention and post-conflict reconstruction in developing and transition countries, as well as its work

to coordinate U.N. development agencies at the country level. Like

the House, the Committee recommends a U.S. contribution of

$97,300,000 for UNDP in fiscal year 2002, which is $10,000,000

above the request.

UNITED NATIONS FUND FOR POPULATION ACTIVITIES

The Committee has provided $39,000,000 for the United Nations

Fund for Population Activities (UNFPA). UNFPA is the world’s

largest organization that provides family planning services in some

140 countries, including many that do not receive assistance from

USAID. The Committee notes that UNFPA does not support abortion, but rather promotes voluntary practices and improvements in

reproductive health. The Committee further notes that although

the amount provided for fiscal year 2002 is $14,000,000 above the

Administration’s request, it is $11,000,000 less than the United

States contribution in fiscal year 1995. As in the past, no United

States funds may be used in China.

WORLD FOOD PROGRAM

The Committee strongly supports the work of the World Food

Program (WFP), which assisted 83 million of the world’s poorest

people during calendar year 2000. The Committee notes that 56

million of these people were forced to flee their homes due to natural or man-made disasters, and has provided an additional

$1,000,000 for WFP to upgrade its response to these crises.
63

UNITED NATIONS FUND FOR VICTIMS OF TORTURE

The Committee continues to support the United Nations Fund

for Victims of Torture and recommends a U.S. contribution of

$5,000,000 in fiscal year 2002. The Committee is aware that this

Fund supports nearly 100 treatment programs and projects for victims of torture in over 50 countries. The Committee urges the State

Department to seek additional contributions from other governments for the Fund.

UNITED NATIONS ENVIRONMENT PROGRAM

The Committee notes the work of the United Nations Environment Program (UNEP) and supports the request of $10,750,000 in

fiscal year 2002, which is $750,000 above the fiscal year 2001 level.
(64)

TITLE V

GENERAL PROVISIONS

SEC. 501. Obligations During Last Month of availability.

SEC. 502. Private and Voluntary Organizations.

SEC. 503. Limitation on Residence Expenses.

SEC. 504. Limitation on Expenses.

SEC. 505. Limitation on Representational Allowances.

SEC. 506. Prohibition on Financing Nuclear Goods.

SEC. 507. Prohibition Against Direct Funding for Certain Countries.

SEC. 508. Military Coups.

SEC. 509. Transfers Between Accounts.

SEC. 510. Deobligation/Reobligation Authority.

SEC. 511. Availability of Funds.

SEC. 512. Limitation on Assistance to Countries in Default.

SEC. 513. Commerce and Trade.

SEC. 514. Surplus Commodities.

SEC. 515. Notification Requirements.

SEC. 516. Limitation on Availability of Funds for International

Organizations and Programs.

SEC. 517. Independent States of the Former Soviet Union.

SEC. 518. OPIC and Export-Import Bank Restrictions.

SEC. 519. Export Financing Transfer Authorities.

SEC. 520. Special Notification Requirements.

SEC. 521. Definition of Program, Project, and Activity.

SEC. 522. Child Survival and Health Activities.

SEC. 523. Prohibition Against Indirect Funding to Certain Countries.

SEC. 524. Notification on Excess Defense Equipment.

SEC. 525. Authorization Requirement.

SEC. 526. Democracy Programs.

SEC. 527. Prohibition on Bilateral Assistance to Terrorist Countries.

SEC. 528. Debt-For-Development.

SEC. 529. Separate Accounts.

SEC. 530. Compensation for United States Executive Directors to

International Financial Institutions.

SEC. 531. Compliance With United Nations Sanctions Against

Iraq.

SEC. 532. Authorities For the Peace Corps, International Fund

for Agriculture Development, Inter-American Foundation and African Development Foundation.

SEC. 533. Impact on Jobs in the United States.

SEC. 534. Special Authorities.

SEC. 535. Policy on Terminating the Arab League Boycott of

Israel and Normalizing Relations With Israel.
65

SEC. 536. Administration of Justice Activities.

SEC. 537. Eligibility For Assistance.

SEC. 538. Earmarks.

SEC. 539. Ceilings and Earmarks.

SEC. 540. Prohibition on Publicity or Propaganda.

SEC. 541. Purchase of American-Made Equipment and Products.

SEC. 542. Prohibition of Payments to United Nations Members.

SEC. 543. Nongovernmental Organization—Documentation.

SEC. 544. Prohibition on Assistance to Foreign Governments

That Export Lethal Military Equipment to Countries Supporting

International Terrorism.

SEC. 545. Withholding of Assistance for Parking Fines Owed By

Foreign Countries.

SEC. 546. Limitation on Assistance for the PLO for the West

Bank and Gaza.

SEC. 547. War Crimes Tribunal Drawdown.

SEC. 548. Landmines.

SEC. 549. Restrictions Concerning The Palestinian Authority.

SEC. 550. Prohibition of Payment of Certain Expenses.

SEC. 551. Special Debt Relief for the Poorest.

SEC. 552. Authority to Engage in Debt Buybacks or Sales.

SEC. 553. Haiti Coast Guard.

SEC. 554. Limitation on Assistance to the Palestinian Authority.

SEC. 555. Limitation on Assistance to Security Forces.

SEC. 556. Greenhouse Gas Emissions Report.

SEC. 557. Zimbabwe.

SEC. 558. Central America Relief and Reconstruction.

SEC. 559. Enterprise Fund Restrictions.

SEC. 560. Cambodia.

SEC. 561. Foreign Military Training Report.

SEC. 562. Korean Peninsula Energy Development Organization.

SEC. 563. Colombia.

SEC. 564. Illegal Armed Groups.

SEC. 565. Prohibition on Assistance to the Palestinian Broadcasting Corporation.

SEC. 566. Iraq.

SEC. 567. West Bank and Gaza Program.

SEC. 568. Indonesia.

SEC. 569. Restrictions on Assistance to Governments Destabilizing Sierra Leone.

SEC. 570. Voluntary Separation Incentives.

SEC. 571. American Churchwomen and Other Citizens in El Salvador and Guatemala.

SEC. 572. Basic Education Assistance for Pakistan.

SEC. 573. Commercial Leasing of Defense Articles.

SEC. 574. War Criminals.

SEC. 575. Funding For Serbia.

SEC. 576. User Fees.

SEC. 577. Heavily Indebted Poor Countries Trust Fund Authorization.
(66)

COMPLIANCE WITH PARAGRAPH 7, RULE XVI OF THE

STANDING RULES OF THE SENATE

Rule XVI, paragraph 7 requires that every report on a general

appropriation bill filed by the Committee must identify each recommended amendment, with particularity, which proposes an item

of appropriation which is not made to carry out the provisions of

an existing law, a treaty stipulation, or an act or resolution previously passed by the Senate during that session.

Items providing funding for fiscal year 2002 which lack authorization are as follows:

Export-Import Bank .............................................................................. $753,323,000

Development assistance, including African Development Foundation ...................................................................................................... 1,251,542,000

International disaster assistance ......................................................... 255,000,000

Debt restructuring ................................................................................. 235,000,000

Treasury technical assistance ............................................................... 6,000,000

AID operating expenses ........................................................................ 549,000,000

AID operating expenses, Office of Inspector General ......................... 32,000,000

Economic support fund .......................................................................... 2,249,000,000

Assistance for Eastern Europe and the Baltics ................................... 603,000,000

Assistance for the Independent States of the former Soviet

Union ................................................................................................... 805,000,000

International narcotics control ............................................................. 217,000,000

Migration and refugee assistance ......................................................... 745,000,000

Nonproliferation, antiterrorism, demining, and related programs .... 326,500,000

International military education and training .................................... 75,000,000

Foreign Military Financing Program ................................................... 3,674,000,000

Peacekeeping operations ....................................................................... 150,000,000

International organizations and programs .......................................... 222,000,000

International Development Association Replenishment ..................... 775,000,000

Multilateral Investment Guarantee Agency ........................................ 10,000,000

COMPLIANCE WITH PARAGRAPH 7(C), RULE XXVI, OF THE

STANDING RULES OF THE SENATE

Pursuant to paragraph 7(c) of rule XXVI, the Committee ordered

reported, en bloc, H.R 2506, the Foreign Operations, Export Financing, and Related Programs appropriations bill, 2002, and S.

1398, an original Treasury and General Government appropriations bill, 2002, each subject to amendment and each subject to its

budget allocations, by a recorded vote of 29–0, a quorum being

present. The vote was as follows:

Yeas Nays

Chairman Byrd

Mr. Inouye

Mr. Hollings

Mr. Leahy

Mr. Harkin

Ms. Mikulski

Mr. Reid

Mr. Kohl
67

Mrs. Murray

Mr. Dorgan

Mrs. Feinstein

Mr. Durbin

Mr. Johnson

Mrs. Landrieu

Mr. Reed

Mr. Stevens

Mr. Cochran

Mr. Specter

Mr. Domenici

Mr. Bond

Mr. McConnell

Mr. Burns

Mr. Shelby

Mr. Gregg

Mr. Bennett

Mr. Campbell

Mr. Craig

Mrs. Hutchison

Mr. DeWine

COMPLIANCE WITH PARAGRAPH 12, RULE XXVI OF THE

STANDING RULES OF THE SENATE

Paragraph 12 of rule XXVI requires that Committee report on a

bill or joint resolution repealing or amending any statute or part

of any statute include ‘‘(a) the text of the statute or part thereof

which is proposed to be repealed; and (b) a comparative print of

that part of the bill or joint resolution making the amendment and

of the statute or part thereof proposed to be amended, showing by

stricken-through type and italics, parallel columns, or other appropriate typographical devices the omissions and insertions which

would be made by the bill or joint resolution if enacted in the form

recommended by the committee.’’

In compliance with this rule, the following changes in existing

law proposed to be made by the bill are shown as follows: existing

law to be omitted is enclosed in black brackets, new matter is

printed in italic, and existing law in which no change is proposed

is shown in roman.

TITLE 22—FOREIGN RELATIONS AND INTERCOURSE

* * * * * * *

CHAPTER 39—ARMS EXPORT CONTROL

* * * * * * *

SUBCHAPTER III—MILITARY EXPORT CONTROLS

* * * * * * *

Sec. 2778. Control of arms exports and imports

* * * * * * *
68

LANDMINE EXPORT MORATORIUM

* * * * * * *

(a) FINDINGS.—The Congress makes the following findings:

* * * * * * *

(c) MORATORIUM ON TRANSFERS OF ANTI-PERSONNEL LAND- MINES ABROAD.—øDuring the 11-year period beginning on October

23, 1992¿ During the 16-year period beginning on October 23,

1992—

* * * * * * *

FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS APPROPRIATIONS ACT, 1996, PUBLIC LAW 104–107

* * * * * * *

TITLE IV—MULTILATERAL ECONOMIC ASSISTANCE

* * * * * * *

INTERNATIONAL ORGANIZATIONS AND PROGRAMS

For necessary expenses to carry out the provisions of section

301 of the Foreign Assistance Act of 1961, and of section 2 of the

United Nations Environment Program Participation Act of 1973,

$285,000,000: Provided, That none of the funds appropriated under

this heading shall be made available for the United Nations Fund

for Science and Technology: Provided further, That funds appropriated under this heading may be made available for the International Atomic Energy Agency only if the Secretary of State determines (and so reports to the Congress) that Israel is not being denied its right to participate in the activities of that Agency: Provided further, That none of the funds appropriated under this heading that are made available to the United Nations Population Fund

(UNFPA) shall be made available for activities in the People’s Republic of China: Provided further, That not more than $30,000,000

of the funds appropriated under this heading may be made available to the UNFPA: Provided further, That not more than one-half

of this amount may be provided to UNFPA before March 1, 1996,

and that no later than February 15, 1996, the Secretary of State

shall submit a report to the Committees on Appropriations indicating the amount UNFPA is budgeting for the People’s Republic

of China in 1996: Provided further, That any amount UNFPA plans

to spend in the People’s Republic of China in 1996 above $7,000,000, shall be deducted from the amount of funds provided

to UNFPA after March 1, 1996 pursuant to the previous provisos:

Provided further, That with respect to any funds appropriated

under this heading that are made available to UNFPA, UNFPA

shall be required to maintain such funds in a separate account and

not commingle them with any other funds: Provided further, That

funds may be made available to the Korean Peninsula Energy Development Organization (KEDO) for administrative expenses and

heavy fuel oil costs associated with the Agreed Framework: Provided further, That no funds may be provided for KEDO for funding for administrative expenses and heavy fuel oil costs beyond the
69

total amount included for KEDO in the fiscal year 1996 congressional presentation: Provided further, That no funds may be made

available under this Act to KEDO unless the President determines

and certifies in writing to the Committees on Appropriations that

(a) in accordance with section 1 of the Agreed Framework, KEDO

has designated a Republic of Korea company, corporation or entity

for the purpose of negotiating a prime contract to carry out construction of the light water reactors provided for in the Agreed

Framework; and (b) the Democratic People’s Republic of Korea is

maintaining the freeze on its nuclear facilities as required in the

Agreed Framework; and (c) the United States is taking steps to assure that progress is made on (1) the North-South dialogue, including efforts to reduce barriers to trade and investment, such as removing restrictions on travel, telecommunications services and financial transactions; and (2) implementation of the January 1,

1992, Joint Declaration on the Denuclearization of the Korean

Peninsulaø: Provided further, That a report on the specific efforts

with regard to subsections (a), (b) and (c) of the preceding proviso

shall be submitted by the President to the Committees on Appropriations six months after the date of enactment of this Act, and

every six months thereafter¿.

* * * * * * *

CONSOLIDATED APPROPRIATIONS ACT, 2000, PUBLIC

LAW 106–113

* * * * * * *

APPENDIX B—H.R. 3422

* * * * * * *

TITLE V—GENERAL PROVISIONS

* * * * * * *

VOLUNTARY SEPARATION INCENTIVES FOR EMPLOYEES OF THE UNITED

STATES AGENCY FOR INTERNATIONAL DEVELOPMENT

SEC. 579. (a) DEFINITIONS.—For the purposes of this section—

* * * * * * *

(c) AUTHORITY TO PROVIDE VOLUNTARY SEPARATION INCENTIVE

PAYMENTS.—

* * * * * * *

(2) AMOUNT AND TREATMENT OF PAYMENTS.—A voluntary

separation incentive payment under this section—

(A) * * *

* * * * * * *

(D) may not be made except in the case of any employee who voluntarily separates (whether by retirement

or resignation) on or before øDecember 31, 2001¿ December 31, 2002;

* * * * * * *
70

FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS APPROPRIATIONS ACT, 2001, PUBLIC LAW 106–429

* * * * * * *

APPENDIX A—H.R. 5526

* * * * * * *

TITLE II—BILATERAL ECONOMIC ASSISTANCE

BURMA

Of the funds appropriated under the headings ‘‘Economic Support Fund’’, ‘‘Child Survival and Disease Programs Fund’’, and ‘‘Development Assistance’’, not less than $6,500,000 shall be made

available to support democracy activities in Burma, democracy and

humanitarian activities along the Burma-Thailand border, and for

Burmese student groups and other organizations located outside

Burma: Provided, That funds made available for Burma-related activities under this heading may be made available notwithstanding

any other provision of law: Provided further, That the provision of

such funds shall be made available subject to the regular notification procedures of the Committees on Appropriations.

* * * * * * *

TITLE VIII—INTERNATIONAL DEBT FORGIVENESS AND

INTERNATIONAL FINANCIAL INSTITUTIONS REFORM

SEC. 801. DEBT RELIEF UNDER THE HEAVILY INDEBTED POOR COUNTRIES (HIPC) INITIATIVE.

(a) * * *

* * * * * * *

(b) CONTRIBUTIONS TO HIPC TRUST FUND.—

(1) AUTHORIZATION OF APPROPRIATIONS FOR CONTRIBUTIONS.—There is authorized to be appropriated for the period

beginning October 1, 2000, and ending September 30, 2003,

ø$435,000,000¿ $600,000,000 for purposes of United States

contributions to the Heavily Indebted Poor Countries (HIPC)

Trust Fund administered by the Bank.

* * * * * * *
71

BUDGETARY IMPACT OF BILL

PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC.

308(a), PUBLIC LAW 93–344, AS AMENDED

[In millions of dollars]

Budget authority Outlays

Committee

allocation

Amount

of bill

Committee

allocation

Amount

of bill

Comparison of amounts in the bill with Committee allocations to its subcommittees of

amounts in the First Concurrent Resolution

for 2002: Subcommittee on Foreign Operations:

General purpose, non-defense discretionary ........................................................... 15,524 15,524 NA NA

General purpose ........................................... NA NA 15,149 15,149

Mandatory .................................................... 45 45 45 1 45

Projection of outlays associated with the recommendation:

2002 ............................................................. .................... .................... .................... 2 5,625

2003 ............................................................. .................... .................... .................... 4,953

2004 ............................................................. .................... .................... .................... 2,552

2005 ............................................................. .................... .................... .................... 1,020

2006 and future years ................................ .................... .................... .................... 1,204

Financial assistance to State and local governments for 2002 ................................................ NA .................... NA ....................

1 Includes outlays from prior-year budget authority.

2 Excludes outlays from prior-year budget authority.

NA: Not applicable.
COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2001 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN T

FOR FISCAL YEAR 2002

[In thousands of dollars]

Item 2001 appropriation Budget estimate House allowance Committee recommendation

Senate Committee recommendation compared with (

2001

appropriation Budget estimate House 

TITLE I

—EXPORT AND INVESTMENT ASSISTANCE

EXPORT-IMPORT BANK OF THE UNITED STATES

Subsidy appropriation .............................................................................. 865,000 633,323 738,323 753,323 ¥111,677 ∂120,000 (Direct loan authorization) ....................................................................... (865,000) (152,000) (950,000) (950,000) (∂85,000) (∂798,000) ..........(Guaranteed loan authorization) .............................................................. (13,535,000) (11,335,000) (12,700,000) (12,700,000) (¥835,000) (∂1,365,000) ..........Administrative expenses .......................................................................... 62,000 65,000 60,000 64,000 ∂2,000 ¥1,000 Negative subsidy ...................................................................................... ¥15,000 ¥11,000 ¥11,000 ¥11,000 ∂4,000 ............................ ..........

Total, Export-Import Bank of the United States ........................ 912,000 687,323 787,323 806,323 ¥105,677 ∂119,000 

OVERSEAS PRIVATE INVESTMENT CORPORATION

Noncredit account:

Administrative expenses ................................................................. 38,000 38,608 38,608 38,608 ∂608 ............................ ..........Insurance fees and other offsetting collections ............................. ¥283,000 ¥290,000 ¥290,000 ¥290,000 ¥7,000 ............................ ..........

Subsidy appropriation .............................................................................. 24,000 ............................ ............................ ............................ ¥24,000 ............................ ..........(Direct loan authorization) ....................................................................... (127,000) (45,000) (45,000) (45,000) (¥82,000) ............................ ..........(Guaranteed loan authorization) .............................................................. (1,000,000) (1,152,000) (1,152,000) (1,152,000) (∂152,000) ............................ ..........

Total, Overseas Private Investment Corporation ........................ ¥221,000 ¥251,392 ¥251,392 ¥251,392 ¥30,392 ............................ ..........

TRADE AND DEVELOPMENT AGENCY

Trade and development agency ............................................................... 50,000 50,024 50,024 50,024 ∂24 ............................ ..........

Total, title I, Export and investment assistance ....................... 741,000 485,955 585,955 604,955 ¥136,045 ∂119,000 

(Loan authorizations) ......................................................... (15,527,000) (12,684,000) (14,847,000) (14,847,000) (¥680,000) (∂2,163,000) ..........
TITLE II—BILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

Agency for International Development

Child survival and disease programs fund ............................................. 1,053,000 991,000 1,425,000 1,455,500 ∂402,500 ∂464,500 

Rescission of unobligated balances ............................................... ............................ ¥20,000 ............................ ............................ ............................ ∂20,000 ..........UNICEF ............................................................................................. (110,000) (110,000) (120,000) (120,000) (∂10,000) (∂10,000) ..........

Subtotal, Child survival (net) ..................................................... 1,053,000 971,000 1,425,000 1,455,500 ∂402,500 ∂484,500 

Development assistance .......................................................................... 1,305,000 1,325,000 1,098,000 1,235,000 ¥70,000 ¥90,000 International disaster assistance ............................................................ 165,000 200,000 201,000 255,000 ∂90,000 ∂55,000 

Supplemental funding ..................................................................... 135,000 ............................ ............................ ............................ ¥135,000 ............................ ..........

Transition Initiatives ................................................................................ 50,000 50,000 40,000 52,500 ∂2,500 ∂2,500 

(By transfer) .................................................................................... (5,000) ............................ ............................ ............................ (¥5,000) ............................ ..........

Micro and Small Enterprise Development program account:

Subsidy appropriation ..................................................................... 1,500 ............................ ............................ ............................ ¥1,500 ............................ ..........(Guaranteed loan authorization) ..................................................... (30,000) ............................ ............................ ............................ (¥30,000) ............................ ..........Administrative expenses ................................................................. 500 ............................ ............................ ............................ ¥500 ............................ ..........

Development credit authority:

Subsidy appropriation ..................................................................... 1,500 ............................ ............................ ............................ ¥1,500 ............................ ..........(By transfer) .................................................................................... (5,000) (25,000) (12,500) (25,000) (∂20,000) ............................ (Guaranteed loan authorization) ..................................................... (49,700) (355,000) (177,500) (355,000) (∂305,300) ............................ (Administrative expenses ................................................................. 4,000 7,500 7,500 7,500 ∂3,500 ............................ ..........

Subtotal, development assistance ............................................. 2,715,500 2,553,500 2,771,500 3,005,500 ∂290,000 ∂452,000 

Payment to the Foreign Service Retirement and Disability Fund ........... 44,489 44,880 44,880 44,880 ∂391 ............................ ..........Operating expenses of the Agency for International Development ......... 520,000 549,000 549,000 549,000 ∂29,000 ............................ ..........

(By transfer) .................................................................................... (1,000) ............................ ............................ ............................ (¥1,000) ............................ ..........Supplemental funding ..................................................................... 13,000 ............................ ............................ ............................ ¥13,000 ............................ ..........

Operating expenses of the Agency for International Development Office

of Inspector General ............................................................................ 27,000 32,000 30,000 32,000 ∂5,000 ............................ 

Total, Agency for International Development (net) .................... 3,319,989 3,179,380 3,395,380 3,631,380 ∂311,391 ∂452,000 

Other Bilateral Economic Assistance

Economic support fund:

Camp David countries .................................................................... 1,535,000 1,375,000 1,375,000 1,375,000 ¥160,000 ............................ ..........Other ................................................................................................ 750,000 879,000 824,000 864,500 ∂114,500 ¥14,500 
COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2001 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN T

FOR FISCAL YEAR 2002

—Continued

[In thousands of dollars]

Item 2001 appropriation Budget estimate House allowance Committee recommendation

Senate Committee recommendation compared with (

2001

appropriation Budget estimate House 

Rescission of unobligated balances ............................................... ............................ ¥5,000 ............................ ............................ ............................ ∂5,000 ..........

Subtotal, Economic support fund (net) ...................................... 2,285,000 2,249,000 2,199,000 2,239,500 ¥45,500 ¥9,500 

International Fund for Ireland ................................................................. 25,000 ............................ 25,000 ............................ ¥25,000 ............................ Assistance for Eastern Europe and the Baltic States ............................ 600,000 605,000 600,000 603,000 ∂3,000 ¥2,000 

Supplemental funding ..................................................................... 75,825 ............................ ............................ ............................ ¥75,825 ............................ ..........

Assistance for the Independent States of the former Soviet Union ....... 810,000 808,000 768,000 800,000 ¥10,000 ¥8,000 

Total, Other Bilateral Economic Assistance (net) ...................... 3,795,825 3,662,000 3,592,000 3,642,500 ¥153,325 ¥19,500 

INDEPENDENT AGENCIES

Inter-American Foundation

Appropriation ............................................................................................ ............................ ............................ 12,000 13,107 ∂13,107 ∂13,107 

(By transfer) .................................................................................... (12,000) (12,108) ............................ ............................ (¥12,000) (¥12,108) ..........

African Development Foundation

Appropriation ............................................................................................ ............................ ............................ 16,042 16,542 ∂16,542 ∂16,542 

(By transfer) .................................................................................... (16,000) (16,042) ............................ ............................ (¥16,000) (¥16,042) ..........

Peace Corps

Appropriation ............................................................................................ 265,000 275,000 275,000 275,000 ∂10,000 ............................ ..........

Department of State

International narcotics control and law enforcement ............................. 325,000 217,000 217,000 217,000 ¥108,000 ............................ ..........Andean Counterdrug Initiative ................................................................. ............................ 731,000 675,000 567,000 ∂567,000 ¥164,000 Migration and refugee assistance ........................................................... 700,000 715,000 715,000 735,000 ∂35,000 ∂20,000 United States Emergency Refugee and Migration Assistance Fund ....... 15,000 15,000 15,000 15,000 ............................ ............................ ..........Nonproliferation, anti-terrorism, demining and related programs .......... 311,600 332,000 311,000 326,500 ∂14,900 ¥5,500 
Total, Department of State ......................................................... 1,351,600 2,010,000 1,933,000 1,860,500 ∂508,900 ¥149,500 

Department of the Treasury

International affairs technical assistance .............................................. 6,000 6,000 6,000 6,000 ............................ ............................ ..........Global Fund to Fight HIV/AIDS, Malaria, and Tuberculosis .................... ............................ 100,000 ............................ ............................ ............................ ¥100,000 ..........Debt restructuring .................................................................................... 238,000 224,000 224,000 235,000 ¥3,000 ∂11,000 

Supplemental funding ..................................................................... 210,000 ............................ ............................ ............................ ¥210,000 ............................ ..........

United States community adjustment and investment program ............ ............................ 500 ............................ ............................ ............................ ¥500 ..........

Subtotal, Department of the Treasury ........................................ 454,000 330,500 230,000 241,000 ¥213,000 ¥89,500 Total, title II, Bilateral economic assistance (net) .................... 9,186,414 9,456,880 9,453,422 9,680,029 ∂493,615 ∂223,149 

Appropriations ........................................................... (8,752,589) (9,481,880) (9,453,422) (9,680,029) (∂927,440) (∂198,149) (Emergency appropriations ........................................ (433,825) ............................ ............................ ............................ (¥433,825) ............................ ..........Rescission ................................................................. ............................ (¥25,000) ............................ ............................ ............................ (∂25,000) ..........

(By transfer) ...................................................................... (39,000) (53,150) (12,500) (25,000) (¥14,000) (¥28,150) (Loan authorizations) ......................................................... (79,700) (355,000) (177,500) (355,000) (∂275,300) ............................ (

TITLE III

—MILITARY ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

International Military Education and Training ........................................ 55,000 65,000 65,000 75,000 ∂20,000 ∂10,000 

Supplemental funding ..................................................................... 2,875 ............................ ............................ ............................ ¥2,875 ............................ ..........

Foreign Military Financing Program:

Grants:

Camp David countries ........................................................... 3,280,000 3,340,000 3,340,000 3,340,000 ∂60,000 ............................ ..........Other ....................................................................................... 265,000 334,000 287,000 334,000 ∂69,000 ............................ 

Subtotal, grants ................................................................. 3,545,000 3,674,000 3,627,000 3,674,000 ∂129,000 ............................ 

(Limitation on administrative expenses) ........................................ (33,000) (35,000) (35,000) (35,000) (∂2,000) ............................ ..........Supplemental funding ..................................................................... 31,000 ............................ ............................ ............................ ¥31,000 ............................ ..........

Total, Foreign Military Financing ................................................ 3,576,000 3,674,000 3,627,000 3,674,000 ∂98,000 ............................ 

Peacekeeping operations .......................................................................... 127,000 150,000 135,000 140,000 ∂13,000 ¥10,000 

Total, title III, Military assistance (net) ..................................... 3,760,875 3,889,000 3,827,000 3,889,000 ∂128,125 ............................ 

Appropriations ........................................................... (3,727,000) (3,889,000) (3,827,000) (3,889,000) (∂162,000) ............................ Emergency appropriations ........................................ (33,875) ............................ ............................ ............................ (¥33,875) ............................ ..........
COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2001 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN T

FOR FISCAL YEAR 2002

—Continued

[In thousands of dollars]

Item 2001 appropriation Budget estimate House allowance Committee recommendation

Senate Committee recommendation compared with (

2001

appropriation Budget estimate House 

(Limitation on administrative expenses) ........................... (33,000) (35,000) (35,000) (35,000) (∂2,000) ............................ ..........

TITLE IV

—MULTILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

International Financial Institutions

World Bank Group

Contribution to the International Bank for Reconstruction and Development: Global Environment Facility .................................................. 108,000 107,500 82,500 109,500 ∂1,500 ∂2,000 Contribution to the International Development Association .................... 775,000 803,400 803,400 775,000 ............................ ¥28,400 Contribution to Multilateral Investment Guarantee Agency .................... 10,000 10,000 ............................ 9,500 ¥500 ¥500 

(Limitation on callable capital subscriptions) ............................... (50,000) (50,000) (50,000) (50,000) ............................ ............................ ..........

Total, World Bank Group ............................................................ 893,000 920,900 885,900 894,000 ∂1,000 ¥26,900 

Contribution to the Inter-American Development Bank:

Paid-in capital ................................................................................ ............................ ............................ ............................ ............................ ............................ ............................ ..........Contribution to the Inter-American Investment Corporation .......... 25,000 25,000 10,000 20,000 ¥5,000 ¥5,000 Contribution to the Enterprise for the Americas Multilateral Investment Fund ............................................................................ 10,000 ............................ ............................ ............................ ¥10,000 ............................ ..........

Total, contribution to the Inter-American Development

Bank ................................................................................... 35,000 25,000 10,000 20,000 ¥15,000 ¥5,000 

Contribution to the Asian Development Bank:

Paid-in capital ................................................................................ ............................ ............................ ............................ ............................ ............................ ............................ ..........Contribution to the Asian Development Fund ................................ 72,000 103,017 93,017 103,017 ∂31,017 ............................ 

Contribution to the African Development Bank:

Paid-in capital ................................................................................ 6,100 5,100 5,100 5,100 ¥1,000 ............................ ..........
(Limitation on callable capital subscriptions) ............................... (97,549) (79,992) (79,992) (79,992) (¥17,557) ............................ ..........Contribution to the African Development Fund .............................. 100,000 100,000 100,000 100,000 ............................ ............................ ..........

Total ............................................................................................ 106,100 105,100 105,100 105,100 ¥1,000 ............................ ..........

Contribution to the European Bank for Reconstruction and Development:

Paid-in capital ................................................................................ 35,779 35,779 35,779 35,779 ............................ ............................ ..........(Limitation on callable capital subscriptions) ............................... (123,238) (123,238) (123,238) (123,238) ............................ ............................ ..........

Contribution to the International Fund for Agricultural Development .... 5,000 20,000 20,000 20,000 ∂15,000 ............................ ..........

Total, International Financial Institutions .................................. 1,146,879 1,209,796 1,149,796 1,177,896 ∂31,017 ¥31,900 

(Limitation on callable capital subscript) ........................ (270,787) (253,230) (253,230) (253,230) (¥17,557) ............................ ..........

International Organizations and Programs

Appropriation ............................................................................................ 186,000 186,000 196,000 217,000 ∂31,000 ∂31,000 

Total, title IV, Multilateral economic assistance ....................... 1,332,879 1,395,796 1,345,796 1,394,896 ∂62,017 ¥900 

(Limitation on callable capital subscript) ........................ (270,787) (253,230) (253,230) (253,230) (¥17,557) ............................ ..........

Grand total (net) ........................................................................ 15,021,168 15,227,631 15,212,173 15,568,880 ∂547,712 ∂341,249 

Appropriations ........................................................... (14,553,468) (15,252,631) (15,212,173) (15,568,880) (∂1,015,412) (∂316,249) (Rescissions ............................................................... ............................ (¥25,000) ............................ ............................ ............................ (∂25,000) ..........Emergency appropriations ........................................ (467,700) ............................ ............................ ............................ (¥467,700) ............................ ..........

(By transfer) ...................................................................... (39,000) (53,150) (12,500) (25,000) (¥14,000) (¥28,150) (Limitation on administrative expenses) ........................... (33,000) (35,000) (35,000) (35,000) (∂2,000) ............................ ..........(Limitation on callable capital subscript) ........................ (270,787) (253,230) (253,230) (253,230) (¥17,557) ............................ ..........(Loan authorizations) ......................................................... (15,606,700) (13,039,000) (15,024,500) (15,202,000) (¥404,700) (∂2,163,000) (

Æ