76–284

107TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 1st Session 107–345

MAKING APPROPRIATIONS FOR FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2002, AND FOR OTHER PURPOSES

DECEMBER 19, 2001.—Ordered to be printed

Mr. KOLBE, from the committee of conference,

submitted the following

CONFERENCE REPORT

[To accompany H.R. 2506]

The committee of conference on the disagreeing votes of the

two Houses on the amendment of the Senate to the bill (H.R. 2506)

‘‘making appropriations for foreign operations, export financing,

and related programs for the fiscal year ending September 30,

2002, and for other purposes’’, having met, after full and free conference, have agreed to recommend and do recommend to their respective Houses as follows:

That the House recede from its disagreement to the amendment of the Senate, and agree to the same with an amendment, as

follows:

In lieu of the matter stricken and inserted by said amendment,

insert:

That the following sums are appropriated, out of any money in the

Treasury not otherwise appropriated, for the fiscal year ending September 30, 2002, and for other purposes, namely:

TITLE I—EXPORT AND INVESTMENT ASSISTANCE

EXPORT-IMPORT BANK OF THE UNITED STATES

The Export-Import Bank of the United States is authorized to

make such expenditures within the limits of funds and borrowing

authority available to such corporation, and in accordance with

law, and to make such contracts and commitments without regard

to fiscal year limitations, as provided by section 104 of the Government Corporation Control Act, as may be necessary in carrying out

the program for the current fiscal year for such corporation: Provided, That none of the funds available during the current fiscal

year may be used to make expenditures, contracts, or commitments

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for the export of nuclear equipment, fuel, or technology to any country, other than a nuclear-weapon state as defined in Article IX of

the Treaty on the Non-Proliferation of Nuclear Weapons eligible to

receive economic or military assistance under this Act, that has detonated a nuclear explosive after the date of the enactment of this

Act.

SUBSIDY APPROPRIATION

For the cost of direct loans, loan guarantees, insurance, and

tied-aid grants as authorized by section 10 of the Export-Import

Bank Act of 1945, as amended, $727,323,000 to remain available

until September 30, 2005: Provided, That such costs, including the

cost of modifying such loans, shall be as defined in section 502 of

the Congressional Budget Act of 1974: Provided further, That such

sums shall remain available until September 30, 2020 for the disbursement of direct loans, loan guarantees, insurance and tied-aid

grants obligated in fiscal years 2002, 2003, 2004, and 2005: Provided further, That none of the funds appropriated by this Act or

any prior Act appropriating funds for foreign operations, export financing, or related programs for tied-aid credits or grants may be

used for any other purpose except through the regular notification

procedures of the Committees on Appropriations: Provided further,

That funds appropriated by this paragraph are made available notwithstanding section 2(b)(2) of the Export Import Bank Act of 1945,

in connection with the purchase or lease of any product by any East

European country, any Baltic State or any agency or national thereof.

ADMINISTRATIVE EXPENSES

For administrative expenses to carry out the direct and guaranteed loan and insurance programs, including hire of passenger

motor vehicles and services as authorized by 5 U.S.C. 3109, and not

to exceed $30,000 for official reception and representation expenses

for members of the Board of Directors, $63,000,000: Provided, That

necessary expenses (including special services performed on a contract or fee basis, but not including other personal services) in connection with the collection of moneys owed the Export-Import Bank,

repossession or sale of pledged collateral or other assets acquired by

the Export-Import Bank in satisfaction of moneys owed the ExportImport Bank, or the investigation or appraisal of any property, or

the evaluation of the legal or technical aspects of any transaction for

which an application for a loan, guarantee or insurance commitment has been made, shall be considered nonadministrative expenses for the purposes of this heading: Provided further, That, notwithstanding subsection (b) of section 117 of the Export Enhancement Act of 1992, subsection (a) thereof shall remain in effect until

October 1, 2002.

OVERSEAS PRIVATE INVESTMENT CORPORATION

NONCREDIT ACCOUNT

The Overseas Private Investment Corporation is authorized to

make, without regard to fiscal year limitations, as provided by 31

U.S.C. 9104, such expenditures and commitments within the limits

of funds available to it and in accordance with law as may be necVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00002 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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essary: Provided, That the amount available for administrative expenses to carry out the credit and insurance programs (including an

amount for official reception and representation expenses which

shall not exceed $35,000) shall not exceed $38,608,000: Provided

further, That project-specific transaction costs, including direct and

indirect costs incurred in claims settlements, and other direct costs

associated with services provided to specific investors or potential

investors pursuant to section 234 of the Foreign Assistance Act of

1961, shall not be considered administrative expenses for the purposes of this heading.

PROGRAM ACCOUNT

Such sums as may be necessary for administrative expenses to

carry out the credit program may be derived from amounts available for administrative expenses to carry out the credit and insurance programs in the Overseas Private Investment Corporation Noncredit Account and merged with said account.

FUNDS APPROPRIATED TO THE PRESIDENT

TRADE AND DEVELOPMENT AGENCY

For necessary expenses to carry out the provisions of section 661 of the Foreign Assistance Act of 1961, $50,024,000, to remain available until September 30, 2003.

TITLE II—BILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

For expenses necessary to enable the President to carry out the

provisions of the Foreign Assistance Act of 1961, and for other purposes, to remain available until September 30, 2002, unless otherwise specified herein, as follows:

UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT

CHILD SURVIVAL AND HEALTH PROGRAMS FUND

For necessary expenses to carry out the provisions of chapters

1 and 10 of part I of the Foreign Assistance Act of 1961, and title

I of Public Law 106–570, for child survival, reproductive health/

family planning, assistance to combat tropical and other infectious

diseases, and related activities, in addition to funds otherwise available for such purposes, $1,433,500,000, to remain available until expended: Provided, That this amount shall be made available for

such activities as: (1) immunization programs; (2) oral rehydration

programs; (3) health, nutrition, water and sanitation programs

which directly address the needs of mothers and children, and related education programs; (4) assistance for displaced and orphaned children; (5) programs for the prevention, treatment, and

control of, and research on, HIV/AIDS, tuberculosis, malaria, polio

and other infectious diseases; and (6) family planning/reproductive

health: Provided further, That none of the funds appropriated under

this heading may be made available for nonproject assistance, except that funds may be made available for such assistance for ongoing health programs: Provided further, That of the funds appropriated under this heading, not to exceed $125,000, in addition to

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funds otherwise available for such purposes, may be used to monitor

and provide oversight of child survival, maternal and family planning/reproductive health, and infectious disease programs: Provided further, That the following amounts should be allocated as

follows: $315,000,000 for child survival and maternal health;

$25,000,000 for vulnerable children; $435,000,000 for HIV/AIDS

including not less than $15,000,000 which should be made available to support the development of microbicides as a means for combating HIV/AIDS; $165,000,000 for other infectious diseases, of

which $65,000,000 should be made available for the prevention,

treatment, and control of, and research on, tuberculosis, and of

which $65,000,000 should be made available to combat malaria;

$368,500,000 for family planning/reproductive health, including in

areas where population growth threatens biodiversity or endangered

species; and $120,000,000 for UNICEF: Provided further, That of

the funds appropriated under this heading, up to $50,000,000 may

be made available, notwithstanding any other provision of law for

a United States contribution to a global fund to combat AIDS, tuberculosis, and malaria: Provided further, That in addition to the

funds made available elsewhere under this heading and subject to

the regular notification procedures of the Committees on Appropriations, the President may make available up to an additional

$50,000,000, notwithstanding any other provision of law, for a

United States contribution to a global fund to combat AIDS, tuberculosis, and malaria, which may be derived from funds appropriated in title II of this Act and in title II of prior Acts making

appropriations for foreign operations, export financing, and related

programs: Provided further, That of the funds appropriated under

this heading, up to $53,000,000 may be made available for a United

States contribution to The Vaccine Fund, and up to $10,000,000

may be made available for the International AIDS Vaccine Initiative: Provided further, That none of the funds made available in

this Act nor any unobligated balances from prior appropriations

may be made available to any organization or program which, as

determined by the President of the United States, supports or participates in the management of a program of coercive abortion or involuntary sterilization: Provided further, That none of the funds

made available under this Act may be used to pay for the performance of abortion as a method of family planning or to motivate or

coerce any person to practice abortions: Provided further, That none

of the funds made available under this Act may be used to lobby

for or against abortion: Provided further, That in order to reduce

reliance on abortion in developing nations, funds shall be available

only to voluntary family planning projects which offer, either directly or through referral to, or information about access to, a broad

range of family planning methods and services, and that any such

voluntary family planning project shall meet the following requirements: (1) service providers or referral agents in the project shall not

implement or be subject to quotas, or other numerical targets, of

total number of births, number of family planning acceptors, or acceptors of a particular method of family planning (this provision

shall not be construed to include the use of quantitative estimates

or indicators for budgeting and planning purposes); (2) the project

shall not include payment of incentives, bribes, gratuities, or financial reward to: (A) an individual in exchange for becoming a family

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planning acceptor; or (B) program personnel for achieving a numerical target or quota of total number of births, number of family

planning acceptors, or acceptors of a particular method of family

planning; (3) the project shall not deny any right or benefit, including the right of access to participate in any program of general welfare or the right of access to health care, as a consequence of any

individual’s decision not to accept family planning services; (4) the

project shall provide family planning acceptors comprehensible information on the health benefits and risks of the method chosen, including those conditions that might render the use of the method inadvisable and those adverse side effects known to be consequent to

the use of the method; and (5) the project shall ensure that experimental contraceptive drugs and devices and medical procedures are

provided only in the context of a scientific study in which participants are advised of potential risks and benefits; and, not less than

60 days after the date on which the Administrator of the United

States Agency for International Development determines that there

has been a violation of the requirements contained in paragraph (1),

(2), (3), or (5) of this proviso, or a pattern or practice of violations

of the requirements contained in paragraph (4) of this proviso, the

Administrator shall submit to the Committees on Appropriations of

the Senate and the House of Representatives, a report containing a

description of such violation and the corrective action taken by the

Agency: Provided further, That in awarding grants for natural family planning under section 104 of the Foreign Assistance Act of 1961

no applicant shall be discriminated against because of such applicant’s religious or conscientious commitment to offer only natural

family planning; and, additionally, all such applicants shall comply

with the requirements of the previous proviso: Provided further,

That for purposes of this or any other Act authorizing or appropriating funds for foreign operations, export financing, and related

programs, the term ‘‘motivate’’, as it relates to family planning assistance, shall not be construed to prohibit the provision, consistent

with local law, of information or counseling about all pregnancy options: Provided further, That nothing in this paragraph shall be

construed to alter any existing statutory prohibitions against abortion under section 104 of the Foreign Assistance Act of 1961.

DEVELOPMENT ASSISTANCE

For necessary expenses to carry out the provisions of sections

103, 105, 106, and 131, and chapter 10 of part I of the Foreign Assistance Act of 1961, $1,178,000,000, to remain available until September 30, 2003: Provided, That $150,000,000 should be allocated

for children’s basic education: Provided further, That none of the

funds appropriated under this heading may be made available for

any activity which is in contravention to the Convention on International Trade in Endangered Species of Flora and Fauna: Provided further, That of the funds appropriated under this heading

and the heading ‘‘Child Survival and Health Programs Fund’’,

$2,000,000 should be made available for Laos: Provided further,

That funds made available under the previous proviso should be

made available only through nongovernmental organizations: Provided further, That of the funds appropriated under this heading

that are made available for assistance programs for displaced and

orphaned children and victims of war, not to exceed $32,500, in adVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00005 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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dition to funds otherwise available for such purposes, may be used

to monitor and provide oversight of such programs: Provided further, That of the aggregate amount of the funds appropriated by

this Act that are made available for agriculture and rural development programs, $25,000,000 should be made available for plant

biotechnology research and development: Provided further, That not

less than $2,300,000 should be made available for core support for

the International Fertilizer Development Center: Provided further,

That of the funds appropriated under this heading, not less than

$18,000,000 should be made available for the American Schools

and Hospitals Abroad program: Provided further, That of the funds

appropriated under this heading, not less than $275,000,000 should

be made available for programs and activities which directly protect

tropical forests, biodiversity and endangered species, promote the

sustainable use of natural resources, and promote a wide range of

clean energy and energy conservation activities, including the transfer of cleaner and environmentally sustainable energy technologies,

and related activities.

BURMA

Of the funds appropriated under the heading ‘‘Economic Support Fund’’, 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: Provided further, That title II of the Foreign Operations, Export Financing, and

Related Programs Appropriations Act, 2001, as enacted by section

101(a) of Public Law 106–429, is amended, under the heading

‘‘Burma’’, by inserting ‘‘, ‘Child Survival and Disease Programs

Fund’,’’ after ‘‘Fund’’.

INTERNATIONAL DISASTER ASSISTANCE

For necessary expenses for international disaster relief, rehabilitation, and reconstruction assistance pursuant to section 491 of the

Foreign Assistance Act of 1961, as amended, $235,500,000, to remain available until expended.

TRANSITION INITIATIVES

For necessary expenses for international disaster rehabilitation

and reconstruction assistance pursuant to section 491 of the Foreign

Assistance Act of 1961, $50,000,000, to remain available until expended, to support transition to democracy and to long-term development of countries in crisis: Provided, That such support may include assistance to develop, strengthen, or preserve democratic institutions and processes, revitalize basic infrastructure, and foster the

peaceful resolution of conflict: Provided further, That the United

States Agency for International Development shall submit a report

to the Committees on Appropriations at least 5 days prior to beginning a new program of assistance.

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DEVELOPMENT CREDIT AUTHORITY

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct loans and loan guarantees, up to

$18,500,000, as authorized by sections 108 and 635 of the Foreign

Assistance Act of 1961: Provided, That such funds shall be derived

by transfer from funds appropriated by this Act to carry out part

I of the Foreign Assistance Act of 1961, and under the heading ‘‘Assistance for Eastern Europe and the Baltic States’’: Provided further, That such funds shall be made available only for micro and

small enterprise programs, urban programs, and other programs

which further the purposes of part I of the Act: Provided further,

That during fiscal year 2002, commitments to guarantee loans shall

not exceed $267,500,000: Provided further, That such costs shall be

as defined in section 502 of the Congressional Budget Act of 1974:

Provided further, That the provisions of section 107A(d) (relating to

general provisions applicable to the Development Credit Authority)

of the Foreign Assistance Act of 1961, as contained in section 306

of H.R. 1486 as reported by the House Committee on International

Relations on May 9, 1997, shall be applicable to direct loans and

loan guarantees provided under this heading. In addition, for administrative expenses to carry out credit programs administered by

the United States Agency for International Development,

$7,500,000, all of which may be transferred to and merged with the

appropriation for Operating Expenses of the United States Agency

for International Development: Provided further, That funds appropriated under this heading shall remain available until September

30, 2007.

PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND DISABILITY

FUND

For payment to the ‘‘Foreign Service Retirement and Disability

Fund’’, as authorized by the Foreign Service Act of 1980,

$44,880,000.

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR

INTERNATIONAL DEVELOPMENT

For necessary expenses to carry out the provisions of section

667, $549,000,000: Provided, That none of the funds appropriated

under this heading may be made available to finance the construction (including architect and engineering services), purchase, or

long term lease of offices for use by the United States Agency for

International Development, unless the Administrator has identified

such proposed construction (including architect and engineering

services), purchase, or long term lease of offices in a report submitted to the Committees on Appropriations at least 15 days prior

to the obligation of these funds for such purposes: Provided further,

That the previous proviso shall not apply where the total cost of construction (including architect and engineering services), purchase, or

long term lease of offices does not exceed $1,000,000: Provided further, That of the funds appropriated under this heading, up to

$10,000,000 may remain available until expended for security-related costs.

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OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR

INTERNATIONAL DEVELOPMENT OFFICE OF INSPECTOR GENERAL

For necessary expenses to carry out the provisions of section

667, $31,500,000, to remain available until September 30, 2003,

which sum shall be available for the Office of the Inspector General

of the United States Agency for International Development.

OTHER BILATERAL ECONOMIC ASSISTANCE

ECONOMIC SUPPORT FUND

For necessary expenses to carry out the provisions of chapter 4

of part II, $2,199,000,000, to remain available until September 30,

2003: Provided, That of the funds appropriated under this heading,

not less than $720,000,000 shall be available only for Israel, which

sum shall be available on a grant basis as a cash transfer and shall

be disbursed within 30 days of the enactment of this Act or by October 31, 2001, whichever is later: Provided further, That not less

than $655,000,000 shall be available only for Egypt, which sum

shall be provided on a grant basis, and of which sum cash transfer

assistance shall be provided with the understanding that Egypt will

undertake significant economic reforms which are additional to

those which were undertaken in previous fiscal years, and of which

not less than $200,000,000 shall be provided as Commodity Import

Program assistance: Provided further, That in exercising the authority to provide cash transfer assistance for Israel, the President

shall ensure that the level of such assistance does not cause an adverse impact on the total level of nonmilitary exports from the

United States to such country and that Israel enters into a side letter agreement in an amount proportional to the fiscal year 1999

agreement: Provided further, That of the funds appropriated under

this heading, $150,000,000 should be made available for assistance

for Jordan: Provided further, That of the funds appropriated under

this heading, $50,000,000 should be made available for assistance

for Indonesia: Provided further, That not less than $15,000,000 of

the funds appropriated under this heading shall be made available

for Cyprus to be used only for scholarships, administrative support

of the scholarship program, 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: Provided further, That not less than $35,000,000 of the

funds appropriated under this heading shall be made available for

assistance for Lebanon to be used, among other programs, for scholarships and direct support of the American educational institutions

in Lebanon: Provided further, That notwithstanding section 534(a)

of this Act, funds appropriated under this heading that are made

available for assistance for the Central Government of Lebanon

shall be subject to the regular notification procedures of the Committees on Appropriations: Provided further, That the Government

of Lebanon should enforce the custody and international pickup orders, issued during calendar year 2001, of Lebanon’s civil courts regarding abducted American children in Lebanon: Provided further,

That of the funds appropriated under this heading, not less than

$25,000,000 shall be made available for assistance for East Timor

of which up to $1,000,000 may be transferred to and merged with

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the appropriation for Operating Expenses of the United States Agency for International Development: Provided further, That funds appropriated under this heading may be used, notwithstanding any

other provision of law, to provide assistance to the National Democratic Alliance of Sudan to strengthen its ability to protect civilians

from attacks, slave raids, and aerial bombardment by the Sudanese

Government forces and its militia allies, and the provision of such

funds shall be subject to the regular notification procedures of the

Committees on Appropriations: Provided further, That in the previous proviso, the term ‘‘assistance’’ includes non-lethal, non-food

aid such as blankets, medicine, fuel, mobile clinics, water drilling

equipment, communications equipment to notify civilians of aerial

bombardment, non-military vehicles, tents, and shoes: Provided further, That with respect to funds appropriated under this heading in

this Act or prior Acts making appropriations for foreign operations,

export financing, and related programs, the responsibility for policy

decisions and justifications for the use of such funds, including

whether there will be a program for a country that uses those funds

and the amount of each such program, shall be the responsibility

of the Secretary of State and the Deputy Secretary of State and this

responsibility shall not be delegated.

INTERNATIONAL FUND FOR IRELAND

For necessary expenses to carry out the provisions of chapter 4 of part II of the Foreign Assistance Act of 1961, $25,000,000, which

shall be available for the United States contribution to the International Fund for Ireland and shall be made available in accordance with the provisions of the Anglo-Irish Agreement Support Act

of 1986 (Public Law 99–415): Provided, That such amount shall be

expended at the minimum rate necessary to make timely payment

for projects and activities: Provided further, That funds made available under this heading shall remain available until September 30,

2003.

ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC STATES

(a) For necessary expenses to carry out the provisions of the Foreign Assistance Act of 1961 and the Support for East European Democracy (SEED) Act of 1989, $621,000,000, to remain available

until September 30, 2003, which shall be available, notwithstanding

any other provision of law, for assistance and for related programs

for Eastern Europe and the Baltic States: Provided, That not to exceed $21,500,000 of the funds appropriated under this heading in

this Act and in prior Acts making appropriations for foreign operations, export financing, and related programs, together with not to

exceed $21,500,000 of the funds appropriated under the heading

‘‘Economic Support Fund’’ in this Act and such prior Acts, may be

made available for the cost, as defined in section 502 of the Congressional Budget Act of 1974, of modifying direct loans and guarantees for the Federal Republic of Yugoslavia: Provided further,

That funds made available for assistance for Kosovo from funds appropriated under this heading and under the headings ‘‘Economic

Support Fund’’ and ‘‘International Narcotics Control and Law Enforcement’’ should not exceed 15 percent of the total resources

pledged by all donors for calendar year 2002 for assistance for

Kosovo as of March 31, 2002: Provided further, That none of the

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funds made available under this Act for assistance for Kosovo shall

be made available for large scale physical infrastructure reconstruction.

(b) Funds appropriated under this heading or in prior appropriations Acts that are or have been made available for an Enterprise Fund may be deposited by such Fund in interest-bearing accounts prior to the Fund’s disbursement of such funds for program

purposes. The Fund may retain for such program purposes any interest earned on such deposits without returning such interest to the

Treasury of the United States and without further appropriation by

the Congress. Funds made available for Enterprise Funds shall be

expended at the minimum rate necessary to make timely payment

for projects and activities.

(c) Funds appropriated under this heading shall be considered

to be economic assistance under the Foreign Assistance Act of 1961

for purposes of making available the administrative authorities contained in that Act for the use of economic assistance.

(d) With regard to funds appropriated under this heading for

the economic revitalization program in Bosnia and Herzegovina,

and local currencies generated by such funds (including the conversion of funds appropriated under this heading into currency used

by Bosnia and Herzegovina as local currency and local currency returned or repaid under such program) the Administrator of the

United States Agency for International Development shall provide

written approval for grants and loans prior to the obligation and

expenditure of funds for such purposes, and prior to the use of funds

that have been returned or repaid to any lending facility or grantee.

(e) The provisions of section 529 of this Act shall apply to funds

made available under subsection (d) and to funds appropriated

under this heading: Provided, That notwithstanding any provision

of this or any other Act, including provisions in this subsection regarding the application of section 529 of this Act, local currencies

generated by, or converted from, funds appropriated by this Act and

by previous appropriations Acts and made available for the economic revitalization program in Bosnia may be used in Eastern Europe and the Baltic States to carry out the provisions of the Foreign

Assistance Act of 1961 and the Support for East European Democracy (SEED) Act of 1989.

(f) The President is authorized to withhold funds appropriated

under this heading made available for economic revitalization programs in Bosnia and Herzegovina, if he determines and certifies to

the Committees on Appropriations that the Federation of Bosnia

and Herzegovina has not complied with article III of annex 1–A of

the General Framework Agreement for Peace in Bosnia and

Herzegovina concerning the withdrawal of foreign forces, and that

intelligence cooperation on training, investigations, and related activities between Iranian officials and Bosnian officials has not been

terminated.

ASSISTANCE FOR THE INDEPENDENT STATES OF THE FORMER SOVIET

UNION

(a) For necessary expenses to carry out the provisions of chapters 11 and 12 of part I of the Foreign Assistance Act of 1961 and

the FREEDOM Support Act, for assistance for the Independent

States of the former Soviet Union and for related programs,

11

$784,000,000, to remain available until September 30, 2003: Provided, That the provisions of such chapters shall apply to funds appropriated by this paragraph: Provided further, That of the funds

made available for the Southern Caucasus region, notwithstanding

any other provision of law, funds may be used for confidence-building measures and other activities in furtherance of the peaceful resolution of the regional conflicts, especially those in the vicinity of

Abkhazia and Nagorno-Karabagh: Provided further, That of the

funds appropriated under this heading, not less than $1,500,000

should be available only to meet the health and other assistance

needs of victims of trafficking in persons: Provided further, That of

the funds appropriated under this heading not less than

$17,500,000 shall be made available solely for the Russian Far

East: Provided further, That, notwithstanding any other provision

of law funds appropriated under this heading in this Act or prior

Acts making appropriations for foreign operations, export financing,

or related programs, that are made available pursuant to the provisions of section 807 of the FREEDOM Support Act (Public Law

102–511) shall be subject to the ceiling on administrative expenses

contained in section 807(a)(5) of the FREEDOM Support Act.

(b) Of the funds appropriated under this heading, not less than $154,000,000 should be made available for assistance for Ukraine:

Provided, That of this amount, not less than $30,000,000 should be

made available for nuclear reactor safety initiatives: Provided further, That not later than 60 days after the date of enactment of this

Act, and 120 days thereafter, the Department of State shall submit

to the Committees on Appropriations a report on progress by the

Government of Ukraine in investigating and bringing to justice individuals responsible for the murders of Ukrainian journalists.

(c) Of the funds appropriated under this heading, not less than $90,000,000 shall be made available for assistance for Armenia. (d) Of the funds appropriated under this heading, $90,000,000

should be made available for assistance for Georgia.

(e)(1) Of the funds appropriated under this heading that are allocated for assistance for the Government of the Russian Federation,

60 percent shall be withheld from obligation until the President determines and certifies in writing to the Committees on Appropriations that the Government of the Russian Federation:

(A) has terminated implementation of arrangements to provide Iran with technical expertise, training, technology, or

equipment necessary to develop a nuclear reactor, related nuclear research facilities or programs, or ballistic missile capability; and

(B) is providing full access to international non-government

organizations providing humanitarian relief to refugees and internally displaced persons in Chechnya.

(2) Paragraph (1) shall not apply to—

(A) assistance to combat infectious diseases, child survival

activities, or assistance for victims of trafficking in persons; and

(B) activities authorized under title V (Nonproliferation

and Disarmament Programs and Activities) of the FREEDOM

Support Act.

(f) Of the funds appropriated under this heading, not less than

$49,000,000 should be made available, in addition to funds otherwise available for such purposes, for assistance for child survival,

12

environmental and reproductive health/family planning, and to

combat HIV/AIDS, tuberculosis, and other infectious diseases, and

for related activities.

(g)(1) Section 907 of the FREEDOM Support Act shall not

apply to—

(A) activities to support democracy or assistance under title

V of the FREEDOM Support Act and section 1424 of Public

Law 104–201 or non-proliferation assistance;

(B) any assistance provided by the Trade and Development

Agency under section 661 of the Foreign Assistance Act of 1961

(22 U.S.C. 2421);

(C) any activity carried out by a member of the United

States and Foreign Commercial Service while acting within his

or her official capacity;

(D) any insurance, reinsurance, guarantee or other assistance provided by the Overseas Private Investment Corporation

under title IV of chapter 2 of part I of the Foreign Assistance

Act of 1961 (22 U.S.C. 2191 et seq.);

(E) any financing provided under the Export-Import Bank

Act of 1945; or

(F) humanitarian assistance.

(2) The President may waive section 907 of the FREEDOM Support Act if he determines and certifies to the Committees on Appropriations that to do so—

(A) is necessary to support United States efforts to counter

international terrorism; or

(B) is necessary to support the operational readiness of

United States Armed Forces or coalition partners to counter

international terrorism; or

(C) is important to Azerbaijan’s border security; and

(D) will not undermine or hamper ongoing efforts to negotiate a peaceful settlement between Armenia and Azerbaijan or

be used for offensive purposes against Armenia.

(3) The authority of paragraph (2) may only be exercised

through December 31, 2002.

(4) The President may extend the waiver authority provided in

paragraph (2) on an annual basis on or after December 31, 2002 if

he determines and certifies to the Committees on Appropriations in

accordance with the provisions of paragraph (2).

(5) The Committees on Appropriations shall be consulted prior

to the provision of any assistance made available pursuant to paragraph (2).

(6) Within 60 days of any exercise of the authority under paragraph (2) the President shall send a report to the appropriate congressional committees specifying in detail the following—

(A) the nature and quantity of all training and assistance

provided to the Government of Azerbaijan pursuant to paragraph (2);

(B) the status of the military balance between Azerbaijan

and Armenia and the impact of United States assistance on

that balance; and

(C) the status of negotiations for a peaceful settlement between Armenia and Azerbaijan and the impact of United States

assistance on those negotiations.

13

INDEPENDENT AGENCIES

INTER-AMERICAN FOUNDATION

For expenses necessary to carry out the functions of the InterAmerican Foundation in accordance with the provisions of section

401 of the Foreign Assistance Act of 1969, and to make commitments without regard to fiscal year limitations, as provided by 31

U.S.C. 9104(b)(3), $13,106,950.

AFRICAN DEVELOPMENT FOUNDATION

For expenses necessary to carry out title V of the International

Security and Development Cooperation Act of 1980, Public Law 96–

533, and to make commitments without regard to fiscal year limitations, as provided by 31 U.S.C. 9104(b)(3), $16,542,000: Provided,

That funds made available to grantees may be invested pending expenditure for project purposes when authorized by the President of

the Foundation: Provided further, That interest earned shall be

used only for the purposes for which the grant was made: Provided

further, That this authority applies to interest earned both prior to

and following enactment of this provision: Provided further, That

notwithstanding section 505(a)(2) of the African Development Foundation Act, in exceptional circumstances the board of directors of the

Foundation may waive the $250,000 limitation contained in that

section with respect to a project: Provided further, That the Foundation shall provide a report to the Committees on Appropriations

after each time such waiver authority is exercised.

PEACE CORPS

For necessary expenses to carry out the provisions of the Peace

Corps Act (75 Stat. 612), $275,000,000, including the purchase of

not to exceed five passenger motor vehicles for administrative purposes for use outside of the United States: Provided, That none of

the funds appropriated under this heading shall be used to pay for

abortions: Provided further, That funds appropriated under this

heading shall remain available until September 30, 2003.

DEPARTMENT OF STATE

INTERNATIONAL NARCOTICS CONTROL AND LAW ENFORCEMENT

For necessary expenses to carry out section 481 of the Foreign

Assistance Act of 1961, $217,000,000, to remain available until expended: Provided, That any funds made available under this heading for anti-crime programs and activities shall be made available

subject to the regular notification procedures of the Committees on

Appropriations: Provided further, That during fiscal year 2002, the

Department of State may also use the authority of section 608 of the

Foreign Assistance Act of 1961, without regard to its restrictions, to

receive excess property from an agency of the United States Government for the purpose of providing it to a foreign country under

chapter 8 of part I of that Act subject to the regular notification procedures of the Committees on Appropriations: Provided further,

That of the funds appropriated under this heading, $10,000,000

should be made available for anti-trafficking in persons programs,

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tims, and prosecution of traffickers: Provided further, That of the

funds appropriated under this heading, not more than $21,738,000

may be available for administrative expenses.

ANDEAN COUNTERDRUG INITIATIVE

For necessary expenses to carry out section 481 of the Foreign

Assistance Act of 1961 solely to support counterdrug activities in the

Andean region of South America, $625,000,000, to remain available

until expended: Provided, That in addition to the funds appropriated under this heading and subject to the regular notification

procedures of the Committees on Appropriations, the President may

make available up to an additional $35,000,000 for the Andean

Counterdrug Initiative, which may be derived from funds appropriated under the heading ‘‘International Narcotics Control and

Law Enforcement’’ in this Act and in prior Acts making appropriations for foreign operations, export financing, and related programs:

Provided further, That of the amount appropriated under this heading, not less than $215,000,000 shall be apportioned directly to the

United States Agency for International Development, to be used for

economic and social programs: Provided further, That funds appropriated by this Act that are used for the procurement of chemicals

for aerial coca fumigation programs may be made available for

such programs only if the Secretary of State, after consultation with

the Administrator of the Environmental Protection Agency, the Secretary of the Department of Agriculture, and, if appropriate, the Director of the Centers for Disease Control and Prevention, determines

and reports to the Committees on Appropriations that (1) aerial coca

fumigation is being carried out in accordance with regulatory controls required by the Environmental Protection Agency as labeled

for use in the United States, and after consultation with the Colombian Government to ensure that the fumigation is in accordance

with Colombian laws; (2) the chemicals used in the aerial fumigation of coca, in the manner in which they are being applied, do not

pose unreasonable risks or adverse effects to humans or the environment; and (3) procedures are available to evaluate claims of local

citizens that their health was harmed or their licit agricultural

crops were damaged by such aerial coca fumigation, and to provide

fair compensation for meritorious claims; and such funds may not

be made available for such purposes after six months from the date

of enactment of this Act unless alternative development programs

have been developed, in consultation with communities and local

authorities in the departments in which such aerial coca fumigation

is planned, and in the departments in which such aerial coca fumigation has been conducted such programs are being implemented:

Provided further, That none of the funds appropriated by this Act

may be made available to support a Peruvian air interdiction program until the Secretary of State and Director of Central Intelligence certify to the Congress, 30 days before any resumption of

United States involvement in a Peruvian air interdiction program,

that an air interdiction program that permits the ability of the Peruvian Air Force to shoot down aircraft will include enhanced safeguards and procedures to prevent the occurrence of any incident

similar to the April 20, 2001 incident: Provided further, That section 482(b) of the Foreign Assistance Act of 1961 shall not apply to

funds appropriated under this heading: Provided further, That asVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00014 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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sistance provided with funds appropriated under this heading that

is made available notwithstanding section 482(b) of the Foreign Assistance Act of 1961, as amended, shall be made available subject

to the regular notification procedures of the Committees on Appropriations: Provided further, That section 3204(b)(1)(A) of Public

Law 106–246 is amended by striking ‘‘500’’ and inserting in lieu

thereof ‘‘400’’, and section 3204(b)(1)(B) of Public Law 106–246 is

amended by striking ‘‘300’’ and inserting in lieu thereof ‘‘400’’: Provided further, That the President shall ensure that if any helicopter

procured with funds under this heading is used to aid or abet the

operations of any illegal self-defense group or illegal security cooperative, such helicopter shall be immediately returned to the United

States: Provided further, That funds made available under this

heading shall be subject to the regular notification procedures of the

Committees on Appropriations: Provided further, That of the funds

appropriated under this heading, not more than $14,240,000 may

be available for administrative expenses of the Department of State,

and not more than $4,500,000 may be available for administrative

expenses of the United States Agency for International Development.

MIGRATION AND REFUGEE ASSISTANCE

For expenses, not otherwise provided for, necessary to enable the

Secretary of State to provide, as authorized by law, a contribution

to the International Committee of the Red Cross, assistance to refugees, including contributions to the International Organization for

Migration and the United Nations High Commissioner for Refugees,

and other activities to meet refugee and migration needs; salaries

and expenses of personnel and dependents as authorized by the Foreign Service Act of 1980; allowances as authorized by sections 5921

through 5925 of title 5, United States Code; purchase and hire of

passenger motor vehicles; and services as authorized by section 3109

of title 5, United States Code, $705,000,000, which shall remain

available until expended: Provided, That not more than $16,000,000

may be available for administrative expenses: Provided further,

That funds appropriated under this heading may be made available

for a headquarters contribution to the International Committee of

the Red Cross only if the Secretary of State determines (and so reports to the appropriate committees of the Congress) that the Magen

David Adom Society of Israel is not being denied participation in

the activities of the International Red Cross and Red Crescent

Movement: Provided further, That not less than $60,000,000 of the

funds made available under this heading shall be made available

for refugees from the former Soviet Union and Eastern Europe and

other refugees resettling in Israel.

UNITED STATES EMERGENCY REFUGEE AND MIGRATION ASSISTANCE

FUND

For necessary expenses to carry out the provisions of section 2(c)

of the Migration and Refugee Assistance Act of 1962, as amended

(22 U.S.C. 260(c)), $15,000,000, to remain available until expended:

Provided, That the funds made available under this heading are

appropriated notwithstanding the provisions contained in section

2(c)(2) of the Act which would limit the amount of funds which

could be appropriated for this purpose.

16

NONPROLIFERATION, ANTI-TERRORISM, DEMINING AND RELATED

PROGRAMS

For necessary expenses for nonproliferation, anti-terrorism and

related programs and activities, $313,500,000, to carry out the provisions of chapter 8 of part II of the Foreign Assistance Act of 1961

for anti-terrorism assistance, chapter 9 of part II of the Foreign Assistance Act of 1961, section 504 of the FREEDOM Support Act, section 23 of the Arms Export Control Act or the Foreign Assistance

Act of 1961 for demining activities, the clearance of unexploded ordnance, the destruction of small arms, and related activities, notwithstanding any other provision of law, including activities implemented through nongovernmental and international organizations,

section 301 of the Foreign Assistance Act of 1961 for a voluntary

contribution to the International Atomic Energy Agency (IAEA) and

a voluntary contribution to the Korean Peninsula Energy Development Organization (KEDO), and for a United States contribution to

the Comprehensive Nuclear Test Ban Treaty Preparatory Commission: Provided, That the Secretary of State shall inform the Committees on Appropriations at least 15 days prior to the obligation of

funds for the Comprehensive Nuclear Test Ban Treaty Preparatory

Commission: Provided further, That of this amount not to exceed

$14,000,000, to remain available until expended, may be made

available for the Nonproliferation and Disarmament Fund, notwithstanding any other provision of law, to promote bilateral and multilateral activities relating to nonproliferation and disarmament: Provided further, That such funds may also be used for such countries

other than the Independent States of the former Soviet Union and

international organizations when it is in the national security interest of the United States to do so following consultation with the appropriate committees of Congress: 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 of the funds made available for demining and related

activities, not to exceed $500,000, in addition to funds otherwise

available for such purposes, may be used for administrative expenses related to the operation and management of the demining

program.

DEPARTMENT OF THE TREASURY

INTERNATIONAL AFFAIRS TECHNICAL ASSISTANCE

For necessary expenses to carry out the provisions of section 129

of the Foreign Assistance Act of 1961 (relating to international affairs technical assistance activities), $6,500,000, to remain available

until expended, which shall be available notwithstanding any other

provision of law.

DEBT RESTRUCTURING

For the cost, as defined in section 502 of the Congressional

Budget Act of 1974, of modifying loans and loan guarantees, as the

President may determine, for which funds have been appropriated

or otherwise made available for programs within the International

17

Affairs Budget Function 150, including the cost of selling, reducing,

or canceling amounts owed to the United States as a result of

concessional loans made to eligible countries, pursuant to parts IV

and V of the Foreign Assistance Act of 1961, and of modifying

concessional credit agreements with least developed countries, as

authorized under section 411 of the Agricultural Trade Development

and Assistance Act of 1954, as amended, and concessional loans,

guarantees and credit agreements, as authorized under section 572

of the Foreign Operations, Export Financing, and Related Programs

Appropriations Act, 1989 (Public Law 100–461), and of canceling

amounts owed, as a result of loans or guarantees made pursuant to

the Export-Import Bank Act of 1945, by countries that are eligible

for debt reduction pursuant to title V of H.R. 3425 as enacted into

law by section 1000(a)(5) of Public Law 106–113, $229,000,000, to

remain available until expended: Provided, That not less than

$5,000,000 of the funds appropriated under this heading shall be

made available to carry out the provisions of part V of the Foreign

Assistance Act of 1961, and up to $20,000,000 of unobligated balances of funds available under this heading from prior year appropriations acts should be made available to carry out such provisions: Provided further, That funds appropriated or otherwise made

available under this heading in this Act may be used by the Secretary of the Treasury to pay to the Heavily Indebted Poor Countries

(HIPC) Trust Fund administered by the International Bank for Reconstruction and Development amounts for the benefit of countries

that are eligible for debt reduction pursuant to title V of H.R. 3425

as enacted into law by section 1000(a)(5) of Public Law 106–113:

Provided further, That amounts paid to the HIPC Trust Fund may

be used only to fund debt reduction under the enhanced HIPC initiative by—

(1) the Inter-American Development Bank;

(2) the African Development Fund;

(3) the African Development Bank; and

(4) the Central American Bank for Economic Integration:

Provided further, That funds may not be paid to the HIPC Trust

Fund for the benefit of any country if the Secretary of State has

credible evidence that the government of such country is engaged in

a consistent pattern of gross violations of internationally recognized

human rights or in military or civil conflict that undermines its

ability to develop and implement measures to alleviate poverty and

to devote adequate human and financial resources to that end: Provided further, That on the basis of final appropriations, the Secretary of the Treasury shall consult with the Committees on Appropriations concerning which countries and international financial institutions are expected to benefit from a United States contribution

to the HIPC Trust Fund during the fiscal year: Provided further,

That the Secretary of the Treasury shall inform the Committees on

Appropriations not less than 15 days in advance of the signature of

an agreement by the United States to make payments to the HIPC

Trust Fund of amounts for such countries and institutions: Provided further, That the Secretary of the Treasury may disburse

funds designated for debt reduction through the HIPC Trust Fund

only for the benefit of countries that—

(a) have committed, for a period of 24 months, not to accept

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tion receiving debt repayment as a result of such disbursement,

other than loans made by such institution to export-oriented

commercial projects that generate foreign exchange which are

generally referred to as ‘‘enclave’’ loans; and

(b) have documented and demonstrated their commitment

to redirect their budgetary resources from international debt repayments to programs to alleviate poverty and promote economic growth that are additional to or expand upon those previously available for such purposes:

Provided further, That any limitation of subsection (e) of section 411

of the Agricultural Trade Development and Assistance Act of 1954

shall not apply to funds appropriated under this heading: Provided

further, That none of the funds made available under this heading

in this or any other appropriations Acts shall be made available for

Sudan or Burma unless the Secretary of Treasury determines and

notifies the Committees on Appropriations that a democratically

elected government has taken office.

TITLE III—MILITARY ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

INTERNATIONAL MILITARY EDUCATION AND TRAINING

For necessary expenses to carry out the provisions of section 541

of the Foreign Assistance Act of 1961, $70,000,000, of which up to

$3,000,000 may remain available until expended: Provided, That

the civilian personnel for whom military education and training

may be provided under this heading may include civilians who are

not members of a government whose participation would contribute

to improved civil-military relations, civilian control of the military,

or respect for human rights: Provided further, That funds appropriated under this heading for military education and training for

Indonesia and Guatemala may only be available for expanded international military education and training and funds made available

for Algeria, Indonesia and Guatemala may only be provided

through the regular notification procedures of the Committees on

Appropriations.

FOREIGN MILITARY FINANCING PROGRAM

For expenses necessary for grants to enable the President to

carry out the provisions of section 23 of the Arms Export Control

Act, $3,650,000,000: Provided, That of the funds appropriated

under this heading, not less than $2,040,000,000 shall be available

for grants only for Israel, and not less than $1,300,000,000 shall be

made available for grants only for Egypt: Provided further, That the

funds appropriated by this paragraph for Israel shall be disbursed

within 30 days of the enactment of this Act or by October 31, 2001,

whichever is later: Provided further, That to the extent that the Government of Israel requests that funds be used for such purposes,

grants made available for Israel by this paragraph shall, as agreed

by Israel and the United States, be available for advanced weapons

systems, of which not less than $535,000,000 shall be available for

the procurement in Israel of defense articles and defense services, including research and development: Provided further, That of the

funds appropriated by this paragraph, not less than $75,000,000

19

shall be made available for assistance for Jordan: Provided further,

That of the funds appropriated by this paragraph, not less than

$3,500,000 should be made available for assistance for Tunisia:

Provided further, That during fiscal year 2002, the President is authorized to, and shall, direct the drawdowns of defense articles from

the stocks of the Department of Defense, defense services of the Department of Defense, and military education and training of an aggregate value of not less than $5,000,000 under the authority of this

proviso for Tunisia for the purposes of part II of the Foreign Assistance Act of 1961: Provided further, That of the funds appropriated

by this paragraph and under the heading ‘‘International Narcotics

Control and Law Enforcement’’, not less than $2,300,000 shall be

made available for assistance for Thailand, of which not less than

$1,000,000 shall be made available from funds appropriated under

the heading ‘‘International Narcotics Control and Law Enforcement’’ and which shall be in addition to other funds available for

such purposes: Provided further, That of the funds appropriated by

this paragraph, not less than $4,000,000 shall be made available

for assistance for Armenia: Provided further, That funds appropriated by this paragraph shall be nonrepayable notwithstanding

any requirement in section 23 of the Arms Export Control Act: Provided further, That funds made available under this paragraph

shall be obligated upon apportionment in accordance with paragraph (5)(C) of title 31, United States Code, section 1501(a).

None of the funds made available under this heading shall be

available to finance the procurement of defense articles, defense

services, or design and construction services that are not sold by the

United States Government under the Arms Export Control Act unless the foreign country proposing to make such procurements has

first signed an agreement with the United States Government specifying the conditions under which such procurements may be financed with such funds: Provided, That all country and funding

level increases in allocations shall be submitted through the regular

notification procedures of section 515 of this Act: Provided further,

That none of the funds appropriated under this heading shall be

available for assistance for Sudan and Liberia: Provided further,

That funds made available under this heading may be used, notwithstanding any other provision of law, for demining, the clearance of unexploded ordnance, and related activities, and may include activities implemented through nongovernmental and international organizations: Provided further, That none of the funds appropriated under this heading shall be available for assistance for

Guatemala: Provided further, That only those countries for which

assistance was justified for the ‘‘Foreign Military Sales Financing

Program’’ in the fiscal year 1989 congressional presentation for security assistance programs may utilize funds made available under

this heading for procurement of defense articles, defense services or

design and construction services that are not sold by the United

States Government under the Arms Export Control Act: Provided

further, That funds appropriated under this heading shall be expended at the minimum rate necessary to make timely payment for

defense articles and services: Provided further, That not more than

$35,000,000 of the funds appropriated under this heading may be

obligated for necessary expenses, including the purchase of passenger motor vehicles for replacement only for use outside of the

20

United States, for the general costs of administering military assistance and sales: Provided further, That not more than $348,000,000

of funds realized pursuant to section 21(e)(1)(A) of the Arms Export

Control Act may be obligated for expenses incurred by the Department of Defense during fiscal year 2002 pursuant to section 43(b)

of the Arms Export Control Act, except that this limitation may be

exceeded only through the regular notification procedures of the

Committees on Appropriations: Provided further, That foreign military financing program funds estimated to be outlayed for Egypt

during fiscal year 2002 shall be transferred to an interest bearing

account for Egypt in the Federal Reserve Bank of New York within

30 days of enactment of this Act or by October 31, 2001, whichever

is later: Provided further, That the ninth proviso under the heading

‘‘Foreign Military Financing Program’’ in title III of the Foreign Operations, Export Financing, and Related Programs Appropriations

Act, 2001, as enacted by Public Law 106–429, is amended by inserting ‘‘or 2002’’ after ‘‘2001’’.

PEACEKEEPING OPERATIONS

For necessary expenses to carry out the provisions of section 551

of the Foreign Assistance Act of 1961, $135,000,000: Provided, That

none of the funds appropriated under this heading shall be obligated or expended except as provided through the regular notification procedures of the Committees on Appropriations.

TITLE IV—MULTILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

INTERNATIONAL FINANCIAL INSTITUTIONS

GLOBAL ENVIRONMENT FACILITY

For the United States contribution for the Global Environment

Facility, $100,500,000, to the International Bank for Reconstruction

and Development as trustee for the Global Environment Facility, by

the Secretary of the Treasury, to remain available until expended.

CONTRIBUTION TO THE INTERNATIONAL DEVELOPMENT ASSOCIATION

For payment to the International Development Association by

the Secretary of the Treasury, $792,400,000, to remain available

until expended: Provided, That in negotiating United States participation in the next replenishment of the International Development

Association, the Secretary of the Treasury shall accord high priority

to providing the International Development Association with the

policy flexibility to provide new grant assistance to countries eligible

for debt reduction under the enhanced HIPC Initiative: Provided

further, That the Secretary of the Treasury should instruct the

United States executive director to the International Bank for Reconstruction and Development to vote against any water or sewage

project in India that does not prohibit the use of scavenger labor.

CONTRIBUTION TO THE MULTILATERAL INVESTMENT GUARANTEE

AGENCY

For payment to the Multilateral Investment Guarantee Agency

by the Secretary of the Treasury, $5,000,000, for the United States

21

paid-in share of the increase in capital stock, to remain available

until expended.

LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

The United States Governor of the Multilateral Investment

Guarantee Agency may subscribe without fiscal year limitation for

the callable capital portion of the United States share of such capital stock in an amount not to exceed $25,000,000.

CONTRIBUTION TO THE INTER-AMERICAN INVESTMENT CORPORATION

For payment to the Inter-American Investment Corporation, by

the Secretary of the Treasury, $18,000,000, for the United States

share of the increase in subscriptions to capital stock, to remain

available until expended.

CONTRIBUTION TO THE ASIAN DEVELOPMENT FUND

For the United States contribution by the Secretary of the

Treasury to the increase in resources of the Asian Development

Fund, as authorized by the Asian Development Bank Act, as amended, $98,017,050, to remain available until expended.

CONTRIBUTION TO THE AFRICAN DEVELOPMENT BANK

For payment to the African Development Bank by the Secretary

of the Treasury, $5,100,000, for the United States paid-in share of

the increase in capital stock, to remain available until expended.

LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

The United States Governor of the African Development Bank

may subscribe without fiscal year limitation for the callable capital

portion of the United States share of such capital stock in an

amount not to exceed $79,991,500.

CONTRIBUTION TO THE AFRICAN DEVELOPMENT FUND

For the United States contribution by the Secretary of the

Treasury to the increase in resources of the African Development

Fund, $100,000,000, to remain available until expended.

CONTRIBUTION TO THE EUROPEAN BANK FOR RECONSTRUCTION AND

DEVELOPMENT

For payment to the European Bank for Reconstruction and Development by the Secretary of the Treasury, $35,778,717, for the

United States share of the paid-in portion of the increase in capital

stock, to remain available until expended.

LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

The United States Governor of the European Bank for Reconstruction and Development may subscribe without fiscal year limitation to the callable capital portion of the United States share of such

capital stock in an amount not to exceed $123,237,803.

22

CONTRIBUTION TO THE INTERNATIONAL FUND FOR AGRICULTURAL

DEVELOPMENT

For the United States contribution by the Secretary of the

Treasury to increase the resources of the International Fund for Agricultural Development, $20,000,000, to remain available until expended.

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,

$208,500,000: Provided, That none of the funds appropriated under

this heading may be made available to the Korean Peninsula Energy Development Organization (KEDO) or the International Atomic

Energy Agency (IAEA): Provided further, That not less than

$6,000,000 should be made available to the World Food Program.

TITLE V—GENERAL PROVISIONS

OBLIGATIONS DURING LAST MONTH OF AVAILABILITY

SEC. 501. Except for the appropriations entitled ‘‘International

Disaster Assistance’’, and ‘‘United States Emergency Refugee and

Migration Assistance Fund’’, not more than 15 percent of any appropriation item made available by this Act shall be obligated during

the last month of availability.

PRIVATE AND VOLUNTARY ORGANIZATIONS

SEC. 502. (a) None of the funds appropriated or otherwise made

available by this Act for development assistance may be made available to any United States private and voluntary organization, except

any cooperative development organization, which obtains less than

20 percent of its total annual funding for international activities

from sources other than the United States Government: Provided,

That the Administrator of the United States Agency for International Development, after informing the Committees on Appropriations, may, on a case-by-case basis, waive the restriction contained in this subsection, after taking into account the effectiveness

of the overseas development activities of the organization, its level

of volunteer support, its financial viability and stability, and the degree of its dependence for its financial support on the agency.

(b) Funds appropriated or otherwise made available under title

II of this Act should be made available to private and voluntary organizations at a level which is at least equivalent to the level provided in fiscal year 1995.

LIMITATION ON RESIDENCE EXPENSES

SEC. 503. Of the funds appropriated or made available pursuant to this Act, not to exceed $126,500 shall be for official residence

expenses of the United States Agency for International Development

during the current fiscal year: Provided, That appropriate steps

shall be taken to assure that, to the maximum extent possible,

United States-owned foreign currencies are utilized in lieu of dollars.

23

LIMITATION ON EXPENSES

SEC. 504. Of the funds appropriated or made available pursu- ant to this Act, not to exceed $5,000 shall be for entertainment expenses of the United States Agency for International Development

during the current fiscal year.

LIMITATION ON REPRESENTATIONAL ALLOWANCES

SEC. 505. Of the funds appropriated or made available pursu- ant to this Act, not to exceed $95,000 shall be available for representation allowances for the United States Agency for International Development during the current fiscal year: Provided, That appropriate steps shall be taken to assure that, to the maximum extent

possible, United States-owned foreign currencies are utilized in lieu

of dollars: Provided further, That of the funds made available by

this Act for general costs of administering military assistance and

sales under the heading ‘‘Foreign Military Financing Program’’, not

to exceed $2,000 shall be available for entertainment expenses and

not to exceed $125,000 shall be available for representation allowances: Provided further, That of the funds made available by this

Act under the heading ‘‘International Military Education and

Training’’, not to exceed $50,000 shall be available for entertainment allowances: Provided further, That of the funds made available by this Act for the Inter-American Foundation, not to exceed

$2,000 shall be available for entertainment and representation allowances: Provided further, That of the funds made available by

this Act for the Peace Corps, not to exceed a total of $4,000 shall

be available for entertainment expenses: Provided further, That of

the funds made available by this Act under the heading ‘‘Trade and

Development Agency’’, not to exceed $2,000 shall be available for

representation and entertainment allowances.

PROHIBITION ON FINANCING NUCLEAR GOODS

SEC. 506. None of the funds appropriated or made available

(other than funds for ‘‘Nonproliferation, Anti-terrorism, Demining

and Related Programs’’) pursuant to this Act, for carrying out the

Foreign Assistance Act of 1961, may be used, except for purposes of

nuclear safety, to finance the export of nuclear equipment, fuel, or

technology.

PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN COUNTRIES

SEC. 507. None of the funds appropriated or otherwise made

available pursuant to this Act shall be obligated or expended to finance directly any assistance or reparations to Cuba, Iraq, Libya,

North Korea, Iran, Sudan, or Syria: Provided, That for purposes of

this section, the prohibition on obligations or expenditures shall include direct loans, credits, insurance and guarantees of the ExportImport Bank or its agents.

MILITARY COUPS

SEC. 508. None of the funds appropriated or otherwise made

available pursuant to this Act shall be obligated or expended to finance directly any assistance to the government of any country

whose duly elected head of government is deposed by decree or military coup: Provided, That assistance may be resumed to such govVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00023 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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ernment if the President determines and certifies to the Committees

on Appropriations that subsequent to the termination of assistance

a democratically elected government has taken office: Provided further, That the provisions of this section shall not apply to assistance

to promote democratic elections or public participation in democratic processes: Provided further, That funds made available pursuant to the previous provisos shall be subject to the regular notification procedures of the Committees on Appropriations.

TRANSFERS BETWEEN ACCOUNTS

SEC. 509. None of the funds made available by this Act may be

obligated under an appropriation account to which they were not

appropriated, except for transfers specifically provided for in this

Act, unless the President, prior to the exercise of any authority contained in the Foreign Assistance Act of 1961 to transfer funds,

consults with and provides a written policy justification to the Committees on Appropriations of the House of Representatives and the

Senate.

DEOBLIGATION/REOBLIGATION AUTHORITY

SEC. 510. Obligated balances of funds appropriated to carry out

section 23 of the Arms Export Control Act as of the end of the fiscal

year immediately preceding the current fiscal year are, if

deobligated, hereby continued available during the current fiscal

year for the same purpose under any authority applicable to such

appropriations under this Act: Provided, That the authority of this

subsection may not be used in fiscal year 2002.

AVAILABILITY OF FUNDS

SEC. 511. No part of any appropriation contained in this Act

shall remain available for obligation after the expiration of the current fiscal year unless expressly so provided in this Act: Provided,

That funds appropriated for the purposes of chapters 1, 8, 11, and

12 of part I, section 667, chapter 4 of part II of the Foreign Assistance Act of 1961, as amended, section 23 of the Arms Export Control Act, and funds provided under the heading ‘‘Assistance for

Eastern Europe and the Baltic States’’, shall remain available for

an additional four years from the date on which the availability of

such funds would otherwise have expired, if such funds are initially

obligated before the expiration of their respective periods of availability contained in this Act: Provided further, That, notwithstanding any other provision of this Act, any funds made available

for the purposes of chapter 1 of part I and chapter 4 of part II of

the Foreign Assistance Act of 1961 which are allocated or obligated

for cash disbursements in order to address balance of payments or

economic policy reform objectives, shall remain available until expended.

LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT

SEC. 512. No part of any appropriation contained in this Act

shall be used to furnish assistance to any country which is in default during a period in excess of one calendar year in payment to

the United States of principal or interest on any loan made to the

government of such country by the United States pursuant to a proVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00024 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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gram for which funds are appropriated under this Act unless the

President determines, following consultations with the Committees

on Appropriations, that assistance to such country is in the national

interest of the United States.

COMMERCE AND TRADE

SEC. 513. (a) None of the funds appropriated or made available

pursuant to this Act for direct assistance and none of the funds otherwise made available pursuant to this Act to the Export-Import

Bank and the Overseas Private Investment Corporation shall be obligated or expended to finance any loan, any assistance or any other

financial commitments for establishing or expanding production of

any commodity for export by any country other than the United

States, if the commodity is likely to be in surplus on world markets

at the time the resulting productive capacity is expected to become

operative and if the assistance will cause substantial injury to

United States producers of the same, similar, or competing commodity: Provided, That such prohibition shall not apply to the Export-Import Bank if in the judgment of its Board of Directors the

benefits to industry and employment in the United States are likely

to outweigh the injury to United States producers of the same, similar, or competing commodity, and the Chairman of the Board so notifies the Committees on Appropriations.

(b) None of the funds appropriated by this or any other Act to

carry out chapter 1 of part I of the Foreign Assistance Act of 1961

shall be available for any testing or breeding feasibility study, variety improvement or introduction, consultancy, publication, conference, or training in connection with the growth or production in

a foreign country of an agricultural commodity for export which

would compete with a similar commodity grown or produced in the

United States: Provided, That this subsection shall not prohibit—

(1) activities designed to increase food security in developing countries where such activities will not have a significant

impact in the export of agricultural commodities of the United

States; or

(2) research activities intended primarily to benefit American producers.

SURPLUS COMMODITIES

SEC. 514. The Secretary of the Treasury shall instruct the

United States Executive Directors of the International Bank for Reconstruction and Development, the International Development Association, the International Finance Corporation, the Inter-American

Development Bank, the International Monetary Fund, the Asian Development Bank, the Inter-American Investment Corporation, the

North American Development Bank, the European Bank for Reconstruction and Development, the African Development Bank, and the

African Development Fund to use the voice and vote of the United

States to oppose any assistance by these institutions, using funds

appropriated or made available pursuant to this Act, for the production or extraction of any commodity or mineral for export, if it is

in surplus on world markets and if the assistance will cause substantial injury to United States producers of the same, similar, or

competing commodity.

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NOTIFICATION REQUIREMENTS

SEC. 515. For the purposes of providing the executive branch

with the necessary administrative flexibility, none of the funds made

available under this Act for ‘‘Child Survival and Health Programs

Fund’’, ‘‘Development Assistance’’, ‘‘International Organizations and

Programs’’, ‘‘Trade and Development Agency’’, ‘‘International Narcotics Control and Law Enforcement’’, ‘‘Andean Counterdrug Initiative’’, ‘‘Assistance for Eastern Europe and the Baltic States’’, ‘‘Assistance for the Independent States of the Former Soviet Union’’, ‘‘Economic Support Fund’’, ‘‘Peacekeeping Operations’’, ‘‘Operating Expenses of the United States Agency for International Development’’,

‘‘Operating Expenses of the United States Agency for International

Development Office of Inspector General’’, ‘‘Nonproliferation, Antiterrorism, Demining and Related Programs’’, ‘‘Foreign Military Financing Program’’, ‘‘International Military Education and Training’’, ‘‘Peace Corps’’, and ‘‘Migration and Refugee Assistance’’, shall

be available for obligation for activities, programs, projects, type of

materiel assistance, countries, or other operations not justified or in

excess of the amount justified to the Appropriations Committees for

obligation under any of these specific headings unless the Appropriations Committees of both Houses of Congress are previously notified 15 days in advance: Provided, That the President shall not

enter into any commitment of funds appropriated for the purposes

of section 23 of the Arms Export Control Act for the provision of

major defense equipment, other than conventional ammunition, or

other major defense items defined to be aircraft, ships, missiles, or

combat vehicles, not previously justified to Congress or 20 percent

in excess of the quantities justified to Congress unless the Committees on Appropriations are notified 15 days in advance of such commitment: Provided further, That this section shall not apply to any

reprogramming for an activity, program, or project under chapter 1

of part I of the Foreign Assistance Act of 1961 of less than 10 percent of the amount previously justified to the Congress for obligation

for such activity, program, or project for the current fiscal year: Provided further, That the requirements of this section or any similar

provision of this Act or any other Act, including any prior Act requiring notification in accordance with the regular notification procedures of the Committees on Appropriations, may be waived if failure to do so would pose a substantial risk to human health or welfare: Provided further, That in case of any such waiver, notification

to the Congress, or the appropriate congressional committees, shall

be provided as early as practicable, but in no event later than 3

days after taking the action to which such notification requirement

was applicable, in the context of the circumstances necessitating

such waiver: Provided further, That any notification provided pursuant to such a waiver shall contain an explanation of the emergency circumstances.

LIMITATION ON AVAILABILITY OF FUNDS FOR INTERNATIONAL

ORGANIZATIONS AND PROGRAMS

SEC. 516. Subject to the regular notification procedures of the

Committees on Appropriations, funds appropriated under this Act

or any previously enacted Act making appropriations for foreign operations, export financing, and related programs, which are reVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00026 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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turned or not made available for organizations and programs because of the implementation of section 307(a) of the Foreign Assistance Act of 1961, shall remain available for obligation until September 30, 2003.

INDEPENDENT STATES OF THE FORMER SOVIET UNION

SEC. 517. (a) None of the funds appropriated under the heading ‘‘Assistance for the Independent States of the Former Soviet Union’’ shall be made available for assistance for a government of an Independent State of the former Soviet Union— (1) unless that government is making progress in implementing comprehensive economic reforms based on market principles, private ownership, respect for commercial contracts, and

equitable treatment of foreign private investment; and

(2) if that government applies or transfers United States assistance to any entity for the purpose of expropriating or seizing

ownership or control of assets, investments, or ventures.

Assistance may be furnished without regard to this subsection if the

President determines that to do so is in the national interest.

(b) None of the funds appropriated under the heading ‘‘Assistance for the Independent States of the Former Soviet Union’’ shall

be made available for assistance for a government of an Independent State of the former Soviet Union if that government directs

any action in violation of the territorial integrity or national sovereignty of any other Independent State of the former Soviet Union,

such as those violations included in the Helsinki Final Act: Provided, That such funds may be made available without regard to

the restriction in this subsection if the President determines that to

do so is in the national security interest of the United States.

(c) None of the funds appropriated under the heading ‘‘Assistance for the Independent States of the Former Soviet Union’’ shall

be made available for any state to enhance its military capability:

Provided, That this restriction does not apply to demilitarization,

demining or nonproliferation programs.

(d) Funds appropriated under the heading ‘‘Assistance for the

Independent States of the Former Soviet Union’’ for the Russian

Federation, Armenia, Georgia, and Ukraine shall be subject to the

regular notification procedures of the Committees on Appropriations.

(e) Funds made available in this Act for assistance for the Independent States of the former Soviet Union shall be subject to the

provisions of section 117 (relating to environment and natural resources) of the Foreign Assistance Act of 1961.

(f) Funds appropriated in this or prior appropriations Acts that

are or have been made available for an Enterprise Fund in the

Independent States of the Former Soviet Union may be deposited by

such Fund in interest-bearing accounts prior to the disbursement of

such funds by the Fund for program purposes. The Fund may retain for such program purposes any interest earned on such deposits

without returning such interest to the Treasury of the United States

and without further appropriation by the Congress. Funds made

available for Enterprise Funds shall be expended at the minimum

rate necessary to make timely payment for projects and activities.

(g) In issuing new task orders, entering into contracts, or making grants, with funds appropriated in this Act or prior appropriaVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00027 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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tions Acts under the heading ‘‘Assistance for the Independent States

of the Former Soviet Union’’ and under comparable headings in

prior appropriations Acts, for projects or activities that have as one

of their primary purposes the fostering of private sector development, the Coordinator for United States Assistance to the New Independent States and the implementing agency shall encourage the

participation of and give significant weight to contractors and

grantees who propose investing a significant amount of their own

resources (including volunteer services and in-kind contributions) in

such projects and activities.

PROHIBITION ON FUNDING FOR ABORTIONS AND INVOLUNTARY

STERILIZATION

SEC. 518. None of the funds made available to carry out part

I of the Foreign Assistance Act of 1961, as amended, may be used

to pay for the performance of abortions as a method of family planning or to motivate or coerce any person to practice abortions. None

of the funds made available to carry out part I of the Foreign Assistance Act of 1961, as amended, may be used to pay for the performance of involuntary sterilization as a method of family planning or

to coerce or provide any financial incentive to any person to undergo

sterilizations. None of the funds made available to carry out part

I of the Foreign Assistance Act of 1961, as amended, may be used

to pay for any biomedical research which relates in whole or in

part, to methods of, or the performance of, abortions or involuntary

sterilization as a means of family planning. None of the funds made

available to carry out part I of the Foreign Assistance Act of 1961,

as amended, may be obligated or expended for any country or organization if the President certifies that the use of these funds by any

such country or organization would violate any of the above provisions related to abortions and involuntary sterilizations.

EXPORT FINANCING TRANSFER AUTHORITIES

SEC. 519. Not to exceed 5 percent of any appropriation other

than for administrative expenses made available for fiscal year

2002, for programs under title I of this Act may be transferred between such appropriations for use for any of the purposes, programs, and activities for which the funds in such receiving account

may be used, but no such appropriation, except as otherwise specifically provided, shall be increased by more than 25 percent by any

such transfer: Provided, That the exercise of such authority shall be

subject to the regular notification procedures of the Committees on

Appropriations.

SPECIAL NOTIFICATION REQUIREMENTS

SEC. 520. None of the funds appropriated by this Act shall be

obligated or expended for Colombia, Haiti, Liberia, Serbia, Sudan,

Zimbabwe, Pakistan, or the Democratic Republic of the Congo except as provided through the regular notification procedures of the

Committees on Appropriations.

DEFINITION OF PROGRAM, PROJECT, AND ACTIVITY

SEC. 521. For the purpose of this Act, ‘‘program, project, and activity’’ shall be defined at the appropriations Act account level and

29

shall include all appropriations and authorizations Acts earmarks,

ceilings, and limitations with the exception that for the following accounts: Economic Support Fund and Foreign Military Financing

Program, ‘‘program, project, and activity’’ shall also be considered

to include country, regional, and central program level funding

within each such account; for the development assistance accounts

of the United States Agency for International Development ‘‘program, project, and activity’’ shall also be considered to include central program level funding, either as: (1) justified to the Congress;

or (2) allocated by the executive branch in accordance with a report,

to be provided to the Committees on Appropriations within 30 days

of the enactment of this Act, as required by section 653(a) of the Foreign Assistance Act of 1961.

CHILD SURVIVAL AND HEALTH ACTIVITIES

SEC. 522. Up to $15,500,000 of the funds made available by

this Act for assistance under the heading ‘‘Child Survival and

Health Programs Fund’’, may be used to reimburse United States

Government agencies, agencies of State governments, institutions of

higher learning, and private and voluntary organizations for the

full cost of individuals (including for the personal services of such

individuals) detailed or assigned to, or contracted by, as the case

may be, the United States Agency for International Development for

the purpose of carrying out activities under that heading: Provided,

That up to $3,000,000 of the funds made available by this Act for

assistance under the heading ‘‘Development Assistance’’ may be used

to reimburse such agencies, institutions, and organizations for such

costs of such individuals carrying out other development assistance

activities: Provided further, That funds appropriated by this Act

that are made available for child survival activities or disease programs including activities relating to research on, and the prevention, treatment and control of, HIV/AIDS may be made available

notwithstanding any other provision of law: Provided further, That

funds appropriated under title II of this Act may be made available

pursuant to section 301 of the Foreign Assistance Act of 1961 if a

primary purpose of the assistance is for child survival and related

programs: Provided further, That of the funds appropriated under

title II of this Act, $446,500,000 shall be made available for family

planning/reproductive health.

PROHIBITION AGAINST INDIRECT FUNDING TO CERTAIN COUNTRIES

SEC. 523. None of the funds appropriated or otherwise made

available pursuant to this Act shall be obligated to finance indirectly any assistance or reparations to Cuba, Iraq, Libya, Iran,

Syria, North Korea, or Sudan, unless the President of the United

States certifies that the withholding of these funds is contrary to the

national interest of the United States.

NOTIFICATION ON EXCESS DEFENSE EQUIPMENT

SEC. 524. Prior to providing excess Department of Defense articles in accordance with section 516(a) of the Foreign Assistance Act

of 1961, the Department of Defense shall notify the Committees on

Appropriations to the same extent and under the same conditions as

are other committees pursuant to subsection (f) of that section: ProVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00029 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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vided, That before issuing a letter of offer to sell excess defense articles under the Arms Export Control Act, the Department of Defense

shall notify the Committees on Appropriations in accordance with

the regular notification procedures of such Committees if such defense articles are significant military equipment (as defined in section 47(9) of the Arms Export Control Act) or are valued (in terms

of original acquisition cost) at $7,000,000 or more, or if notification

is required elsewhere in this Act for the use of appropriated funds

for specific countries that would receive such excess defense articles:

Provided further, That such Committees shall also be informed of

the original acquisition cost of such defense articles.

AUTHORIZATION REQUIREMENT

SEC. 525. Funds appropriated by this Act, except funds appropriated under the headings ‘‘Peace Corps’’ and ‘‘Trade and Development Agency’’, may be obligated and expended notwithstanding section 10 of Public Law 91–672 and section 15 of the State Department Basic Authorities Act of 1956.

DEMOCRACY PROGRAMS

SEC. 526. (a) Funds appropriated by this Act that are provided

to the National Endowment for Democracy may be made available

notwithstanding any other provision of law or regulation: Provided,

That notwithstanding any other provision of law, of the funds appropriated by this Act to carry out provisions of chapter 4 of part

II of the Foreign Assistance Act of 1961, not less than $10,000,000

shall be made available for assistance for activities to support democracy, human rights, and the rule of law in the People’s Republic of China, of which not less than $5,000,000 should be made available for the Human Rights and Democracy Fund of the Bureau of

Democracy, Human Rights and Labor, Department of State, for

such activities, and of which not to exceed $3,000,000 may be made

available to nongovernmental organizations located outside the People’s Republic of China to support activities which preserve cultural

traditions and promote sustainable development and environmental

conservation in Tibetan communities in Tibet: Provided further,

That funds made available pursuant to the authority of this section

for programs, projects, and activities in the People’s Republic of

China shall be subject to the regular notification procedures of the

Committees on Appropriations.

(b) In addition to the funds made available in subsection (a),

of the funds appropriated by this Act under the heading ‘‘Economic

Support Fund’’, not less than $10,000,000 should be made available

for programs and activities to foster democracy, human rights, press

freedoms, women’s development, and the rule of law in countries

with a significant Muslim population, and where such programs

and activities would be important to United States efforts to respond to, deter, or prevent acts of international terrorism: Provided,

That funds made available pursuant to the authority of this subsection should support new initiatives or bolster ongoing programs

and activities in those countries: Provided further, That not less

than $6,000,000 of such funds should be made available for the

Human Rights and Democracy Fund of the Bureau of Democracy,

Human Rights and Labor, Department of State, and not less than

$4,000,000 of such funds should be made available to a private,

31

non-profit organization authorized by Congress to strengthen democratic institutions worldwide through nongovernmental efforts: Provided further, That funds made available pursuant to the authority

of this subsection shall be subject to the regular notification procedures of the Committees on Appropriations.

PROHIBITION ON BILATERAL ASSISTANCE TO TERRORIST COUNTRIES

SEC. 527. (a) Funds appropriated for bilateral assistance under

any heading of this Act and funds appropriated under any such

heading in a provision of law enacted prior to the enactment of this

Act, shall not be made available to any country which the President

determines—

(1) grants sanctuary from prosecution to any individual or

group which has committed an act of international terrorism;

or

(2) otherwise supports international terrorism.

(b) The President may waive the application of subsection (a) to

a country if the President determines that national security or humanitarian reasons justify such waiver. The President shall publish

each waiver in the Federal Register and, at least 15 days before the

waiver takes effect, shall notify the Committees on Appropriations

of the waiver (including the justification for the waiver) in accordance with the regular notification procedures of the Committees on

Appropriations.

DEBT-FOR-DEVELOPMENT

SEC. 528. In order to enhance the continued participation of

nongovernmental organizations in economic assistance activities

under the Foreign Assistance Act of 1961, including endowments,

debt-for-development and debt-for-nature exchanges, a nongovernmental organization which is a grantee or contractor of the United

States Agency for International Development may place in interest

bearing accounts funds made available under this Act or prior Acts

or local currencies which accrue to that organization as a result of

economic assistance provided under title II of this Act and any interest earned on such investment shall be used for the purpose for

which the assistance was provided to that organization.

SEPARATE ACCOUNTS

SEC. 529. (a) SEPARATE ACCOUNTS FOR LOCAL CURRENCIES.—

(1) If assistance is furnished to the government of a foreign country

under chapters 1 and 10 of part I or chapter 4 of part II of the Foreign Assistance Act of 1961 under agreements which result in the

generation of local currencies of that country, the Administrator of

the United States Agency for International Development shall—

(A) require that local currencies be deposited in a separate

account established by that government;

(B) enter into an agreement with that government which

sets forth—

(i) the amount of the local currencies to be generated;

and

(ii) the terms and conditions under which the currencies so deposited may be utilized, consistent with this

section; and

32

(C) establish by agreement with that government the responsibilities of the United States Agency for International Development and that government to monitor and account for deposits into and disbursements from the separate account.

(2) USES OF LOCAL CURRENCIES.—As may be agreed upon with

the foreign government, local currencies deposited in a separate account pursuant to subsection (a), or an equivalent amount of local

currencies, shall be used only— (A) to carry out chapter 1 or 10 of part I or chapter 4 of

part II (as the case may be), for such purposes as— (i) project and sector assistance activities; or

(ii) debt and deficit financing; or

(B) for the administrative requirements of the United States

Government.

(3) PROGRAMMING ACCOUNTABILITY.—The United States Agency

for International Development shall take all necessary steps to ensure that the equivalent of the local currencies disbursed pursuant

to subsection (a)(2)(A) from the separate account established pursuant to subsection (a)(1) are used for the purposes agreed upon pursuant to subsection (a)(2).

(4) TERMINATION OF ASSISTANCE PROGRAMS.—Upon termination of assistance to a country under chapter 1 or 10 of part I or

chapter 4 of part II (as the case may be), any unencumbered balances of funds which remain in a separate account established pursuant to subsection (a) shall be disposed of for such purposes as

may be agreed to by the government of that country and the United

States Government.

(5) REPORTING REQUIREMENT.—The Administrator of the

United States Agency for International Development shall report on

an annual basis as part of the justification documents submitted to

the Committees on Appropriations on the use of local currencies for

the administrative requirements of the United States Government as

authorized in subsection (a)(2)(B), and such report shall include the

amount of local currency (and United States dollar equivalent) used

and/or to be used for such purpose in each applicable country.

(b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.—(1) If assistance is made available to the government of a foreign country,

under chapter 1 or 10 of part I or chapter 4 of part II of the Foreign

Assistance Act of 1961, as cash transfer assistance or as nonproject

sector assistance, that country shall be required to maintain such

funds in a separate account and not commingle them with any other

funds.

(2) APPLICABILITY OF OTHER PROVISIONS OF LAW.—Such funds

may be obligated and expended notwithstanding provisions of law

which are inconsistent with the nature of this assistance including

provisions which are referenced in the Joint Explanatory Statement

of the Committee of Conference accompanying House Joint Resolution 648 (House Report No. 98–1159).

(3) NOTIFICATION.—At least 15 days prior to obligating any

such cash transfer or nonproject sector assistance, the President

shall submit a notification through the regular notification procedures of the Committees on Appropriations, which shall include a

detailed description of how the funds proposed to be made available

will be used, with a discussion of the United States interests that

will be served by the assistance (including, as appropriate, a deVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00032 Fmt 6659 Sfmt 6603 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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scription of the economic policy reforms that will be promoted by

such assistance).

(4) EXEMPTION.—Nonproject sector assistance funds may be exempt from the requirements of subsection (b)(1) only through the notification procedures of the Committees on Appropriations.

COMPENSATION FOR UNITED STATES EXECUTIVE DIRECTORS TO

INTERNATIONAL FINANCIAL INSTITUTIONS

SEC. 530. (a) No funds appropriated by this Act may be made

as payment to any international financial institution while the

United States Executive Director to such institution is compensated

by the institution at a rate which, together with whatever compensation such Director receives from the United States, is in excess of the

rate provided for an individual occupying a position at level IV of

the Executive Schedule under section 5315 of title 5, United States

Code, or while any alternate United States Director to such institution is compensated by the institution at a rate in excess of the rate

provided for an individual occupying a position at level V of the Executive Schedule under section 5316 of title 5, United States Code.

(b) For purposes of this section, ‘‘international financial institutions’’ are: the International Bank for Reconstruction and Development, the Inter-American Development Bank, the Asian Development Bank, the Asian Development Fund, the African Development

Bank, the African Development Fund, the International Monetary

Fund, the North American Development Bank, and the European

Bank for Reconstruction and Development.

COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST IRAQ

SEC. 531. None of the funds appropriated or otherwise made

available pursuant to this Act to carry out the Foreign Assistance

Act of 1961 (including title IV of chapter 2 of part I, relating to the

Overseas Private Investment Corporation) or the Arms Export Control Act may be used to provide assistance to any country that is not

in compliance with the United Nations Security Council sanctions

against Iraq unless the President determines and so certifies to the

Congress that—

(1) such assistance is in the national interest of the United

States;

(2) such assistance will directly benefit the needy people in

that country; or

(3) the assistance to be provided will be humanitarian assistance for foreign nationals who have fled Iraq and Kuwait.

AUTHORITIES FOR THE PEACE CORPS, INTER-AMERICAN FOUNDATION

AND AFRICAN DEVELOPMENT FOUNDATION

SEC. 532. Unless expressly provided to the contrary, provisions

of this or any other Act, including provisions contained in prior Acts

authorizing or making appropriations for foreign operations, export

financing, and related programs, shall not be construed to prohibit

activities authorized by or conducted under the Peace Corps Act, the

Inter-American Foundation Act or the African Development Foundation Act. The agency shall promptly report to the Committees on Appropriations whenever it is conducting activities or is proposing to

conduct activities in a country for which assistance is prohibited.

34

IMPACT ON JOBS IN THE UNITED STATES

SEC. 533. None of the funds appropriated by this Act may be

obligated or expended to provide—

(a) any financial incentive to a business enterprise currently located in the United States for the purpose of inducing

such an enterprise to relocate outside the United States if such

incentive or inducement is likely to reduce the number of employees of such business enterprise in the United States because

United States production is being replaced by such enterprise

outside the United States; or

(b) assistance for any project or activity that contributes to

the violation of internationally recognized workers rights, as defined in section 502(a)(4) of the Trade Act of 1974, of workers

in the recipient country, including any designated zone or area

in that country: Provided, That in recognition that the application of this subsection should be commensurate with the level

of development of the recipient country and sector, the provisions of this subsection shall not preclude assistance for the informal sector in such country, micro and small-scale enterprise,

and smallholder agriculture.

SPECIAL AUTHORITIES

SEC. 534. (a) AFGHANISTAN, LEBANON, MONTENEGRO, VICTIMS

OF WAR, DISPLACED CHILDREN, AND DISPLACED BURMESE.—Funds

appropriated in titles I and II of this Act that are made available

for Afghanistan, Lebanon, Montenegro, and for victims of war, displaced children, and displaced Burmese, may be made available

notwithstanding any other provision of law: Provided, That any

such funds that are made available for Cambodia shall be subject

to the provisions of section 531(e) of the Foreign Assistance Act of

1961 and section 906 of the International Security and Development

Cooperation Act of 1985.

(b) TROPICAL FORESTRY AND BIODIVERSITY CONSERVATION ACTIVITIES.—Funds appropriated by this Act to carry out the provisions of sections 103 through 106, and chapter 4 of part II, of the

Foreign Assistance Act of 1961 may be used, notwithstanding any

other provision of law, for the purpose of supporting tropical forestry

and biodiversity conservation activities and energy programs aimed

at reducing greenhouse gas emissions: Provided, That such assistance shall be subject to sections 116, 502B, and 620A of the Foreign

Assistance Act of 1961.

(c) PERSONAL SERVICES CONTRACTORS.—Funds appropriated by

this Act to carry out chapter 1 of part I, chapter 4 of part II, and

section 667 of the Foreign Assistance Act of 1961, and title II of the

Agricultural Trade Development and Assistance Act of 1954, may be

used by the United States Agency for International Development to

employ up to 25 personal services contractors in the United States,

notwithstanding any other provision of law, for the purpose of providing direct, interim support for new or expanded overseas programs and activities and managed by the agency until permanent

direct hire personnel are hired and trained: Provided, That not

more than 10 of such contractors shall be assigned to any bureau

or office: Provided further, That such funds appropriated to carry

out the Foreign Assistance Act of 1961 may be made available for

35

personal services contractors assigned only to the Office of Health

and Nutrition; the Office of Procurement; the Bureau for Africa; the

Bureau for Latin America and the Caribbean; and the Bureau for

Asia and the Near East: Provided further, That such funds appropriated to carry out title II of the Agricultural Trade Development

and Assistance Act of 1954, may be made available only for personal services contractors assigned to the Office of Food for Peace.

(d)(1) WAIVER.—The President may waive the provisions of section 1003 of Public Law 100–204 if the President determines and

certifies in writing to the Speaker of the House of Representatives

and the President pro tempore of the Senate that it is important to

the national security interests of the United States.

(2) PERIOD OF APPLICATION OF WAIVER.—Any waiver pursuant

to paragraph (1) shall be effective for no more than a period of 6

months at a time and shall not apply beyond 12 months after the

enactment of this Act.

(e) During fiscal year 2002, the President may use up to $45,000,000 under the authority of section 451 of the Foreign Assistance Act, notwithstanding the funding ceiling in section 451(a).

(f) SMALL BUSINESS.—In entering into multiple award indefinite-quantity contracts with funds appropriated by this Act, the

United States Agency for International Development may provide an

exception to the fair opportunity process for placing task orders

under such contracts when the order is placed with any category of

small or small disadvantaged business.

POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT OF ISRAEL AND

NORMALIZING RELATIONS WITH ISRAEL

SEC. 535. It is the sense of the Congress that—

(1) the Arab League countries should immediately and publicly renounce the primary boycott of Israel and the secondary

and tertiary boycott of American firms that have commercial

ties with Israel and should normalize their relations with

Israel;

(2) the decision by the Arab League in 1997 to reinstate the

boycott against Israel was deeply troubling and disappointing;

(3) the fact that only three Arab countries maintain full

diplomatic relations with Israel is also of deep concern;

(4) the Arab League should immediately rescind its decision on the boycott and its members should develop normal relations with their neighbor Israel; and

(5) the President should—

(A) take more concrete steps to encourage vigorously

Arab League countries to renounce publicly the primary

boycotts of Israel and the secondary and tertiary boycotts of

American firms that have commercial relations with Israel

and to normalize their relations with Israel;

(B) take into consideration the participation of any recipient country in the primary boycott of Israel and the secondary and tertiary boycotts of American firms that have

commercial relations with Israel when determining whether

to sell weapons to said country;

(C) report to Congress annually on the specific steps

being taken by the United States and the progress achieved

to bring about a public renunciation of the Arab primary

36

boycott of Israel and the secondary and tertiary boycotts of

American firms that have commercial relations with Israel

and to expand the process of normalizing ties between Arab

League countries and Israel; and

(D) encourage the allies and trading partners of the

United States to enact laws prohibiting businesses from

complying with the boycott and penalizing businesses that

do comply.

ADMINISTRATION OF JUSTICE ACTIVITIES

SEC. 536. Of the funds appropriated or otherwise made available by this Act for ‘‘Economic Support Fund’’, assistance may be

provided to strengthen the administration of justice in countries in

Latin America and the Caribbean and in other regions consistent

with the provisions of section 534(b) of the Foreign Assistance Act

of 1961, except that programs to enhance protection of participants

in judicial cases may be conducted notwithstanding section 660 of

that Act. Funds made available pursuant to this section may be

made available notwithstanding section 534(c) and the second and

third sentences of section 534(e) of the Foreign Assistance Act of

1961.

ELIGIBILITY FOR ASSISTANCE

SEC. 537. (a) ASSISTANCE THROUGH NONGOVERNMENTAL ORGANIZATIONS.—Restrictions contained in this or any other Act with respect to assistance for a country shall not be construed to restrict

assistance in support of programs of nongovernmental organizations

from funds appropriated by this Act to carry out the provisions of

chapters 1, 10, 11, and 12 of part I and chapter 4 of part II of the

Foreign Assistance Act of 1961, and from funds appropriated under

the heading ‘‘Assistance for Eastern Europe and the Baltic States’’:

Provided, That the President shall take into consideration, in any

case in which a restriction on assistance would be applicable but for

this subsection, whether assistance in support of programs of nongovernmental organizations is in the national interest of the United

States: Provided further, That before using the authority of this subsection to furnish assistance in support of programs of nongovernmental organizations, the President shall notify the Committees on

Appropriations under the regular notification procedures of those

committees, including a description of the program to be assisted,

the assistance to be provided, and the reasons for furnishing such

assistance: Provided further, That nothing in this subsection shall

be construed to alter any existing statutory prohibitions against

abortion or involuntary sterilizations contained in this or any other

Act.

(b) PUBLIC LAW 480.—During fiscal year 2002, restrictions contained in this or any other Act with respect to assistance for a country shall not be construed to restrict assistance under the Agricultural Trade Development and Assistance Act of 1954: Provided,

That none of the funds appropriated to carry out title I of such Act

and made available pursuant to this subsection may be obligated or

expended except as provided through the regular notification procedures of the Committees on Appropriations.

(c) EXCEPTION.—This section shall not apply—

37

(1) with respect to section 620A of the Foreign Assistance

Act of 1961 or any comparable provision of law prohibiting assistance to countries that support international terrorism; or

(2) with respect to section 116 of the Foreign Assistance Act

of 1961 or any comparable provision of law prohibiting assistance to the government of a country that violates internationally recognized human rights.

EARMARKS

SEC. 538. (a) Funds appropriated by this Act which are earmarked may be reprogrammed for other programs within the same

account notwithstanding the earmark if compliance with the earmark is made impossible by operation of any provision of this or

any other Act: Provided, That any such reprogramming shall be

subject to the regular notification procedures of the Committees on

Appropriations: Provided further, That assistance that is reprogrammed pursuant to this subsection shall be made available under

the same terms and conditions as originally provided.

(b) In addition to the authority contained in subsection (a), the

original period of availability of funds appropriated by this Act and

administered by the United States Agency for International Development that are earmarked for particular programs or activities by

this or any other Act shall be extended for an additional fiscal year

if the Administrator of such agency determines and reports promptly to the Committees on Appropriations that the termination of assistance to a country or a significant change in circumstances

makes it unlikely that such earmarked funds can be obligated during the original period of availability: Provided, That such earmarked funds that are continued available for an additional fiscal

year shall be obligated only for the purpose of such earmark.

CEILINGS AND EARMARKS

SEC. 539. Ceilings and earmarks contained in this Act shall not

be applicable to funds or authorities appropriated or otherwise

made available by any subsequent Act unless such Act specifically

so directs. Earmarks or minimum funding requirements contained

in any other Act shall not be applicable to funds appropriated by

this Act.

PROHIBITION ON PUBLICITY OR PROPAGANDA

SEC. 540. No part of any appropriation contained in this Act

shall be used for publicity or propaganda purposes within the

United States not authorized before the date of the enactment of this

Act by the Congress: Provided, That not to exceed $750,000 may be

made available to carry out the provisions of section 316 of Public

Law 96–533.

PURCHASE OF AMERICAN-MADE EQUIPMENT AND PRODUCTS

SEC. 541. To the maximum extent practicable, assistance provided under this Act should make full use of American resources,

including commodities, products, and services.

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PROHIBITION OF PAYMENTS TO UNITED NATIONS MEMBERS

SEC. 542. None of the funds appropriated or made available

pursuant to this Act for carrying out the Foreign Assistance Act of

1961, may be used to pay in whole or in part any assessments, arrearages, or dues of any member of the United Nations or, from

funds appropriated by this Act to carry out chapter 1 of part I of

the Foreign Assistance Act of 1961, the costs for participation of another country’s delegation at international conferences held under

the auspices of multilateral or international organizations.

NONGOVERNMENTAL ORGANIZATIONS—DOCUMENTATION

SEC. 543. None of the funds appropriated or made available

pursuant to this Act shall be available to a nongovernmental organization which fails to provide upon timely request any document,

file, or record necessary to the auditing requirements of the United

States Agency for International Development.

PROHIBITION ON ASSISTANCE TO FOREIGN GOVERNMENTS THAT EX- PORT LETHAL MILITARY EQUIPMENT TO COUNTRIES SUPPORTING

INTERNATIONAL TERRORISM

SEC. 544. (a) None of the funds appropriated or otherwise made

available by this Act may be available to any foreign government

which provides lethal military equipment to a country the government of which the Secretary of State has determined is a terrorist

government for purposes of section 6(j) of the Export Administration

Act. The prohibition under this section with respect to a foreign government shall terminate 12 months after that government ceases to

provide such military equipment. This section applies with respect

to lethal military equipment provided under a contract entered into

after October 1, 1997.

(b) Assistance restricted by subsection (a) or any other similar

provision of law, may be furnished if the President determines that

furnishing such assistance is important to the national interests of

the United States.

(c) Whenever the waiver of subsection (b) is exercised, the President shall submit to the appropriate congressional committees a report with respect to the furnishing of such assistance. Any such report shall include a detailed explanation of the assistance to be provided, including the estimated dollar amount of such assistance,

and an explanation of how the assistance furthers United States national interests.

WITHHOLDING OF ASSISTANCE FOR PARKING FINES OWED BY FOREIGN

COUNTRIES

SEC. 545. (a) IN GENERAL.—Of the funds appropriated under

this Act that are made available for a foreign country under part

I of the Foreign Assistance Act of 1961, an amount equivalent to 110

percent of the total unpaid fully adjudicated parking fines and penalties owed to the District of Columbia and New York City, New

York by such country as of the date of the enactment of this Act that

were incurred after the first day of the fiscal year preceding the current fiscal year shall be withheld from obligation for such country

until the Secretary of State certifies and reports in writing to the appropriate congressional committees that such fines and penalties are

39

fully paid to the governments of the District of Columbia and New

York City, New York.

(b) DEFINITION.—For purposes of this section, the term ‘‘appropriate congressional committees’’ means the Committee on Foreign

Relations and the Committee on Appropriations of the Senate and

the Committee on International Relations and the Committee on Appropriations of the House of Representatives.

LIMITATION ON ASSISTANCE FOR THE PLO FOR THE WEST BANK AND

GAZA

SEC. 546. None of the funds appropriated by this Act may be

obligated for assistance for the Palestine Liberation Organization

for the West Bank and Gaza unless the President has exercised the

authority under section 604(a) of the Middle East Peace Facilitation

Act of 1995 (title VI of Public Law 104–107) or any other legislation

to suspend or make inapplicable section 307 of the Foreign Assistance Act of 1961 and that suspension is still in effect: Provided,

That if the President fails to make the certification under section

604(b)(2) of the Middle East Peace Facilitation Act of 1995 or to

suspend the prohibition under other legislation, funds appropriated

by this Act may not be obligated for assistance for the Palestine Liberation Organization for the West Bank and Gaza.

WAR CRIMES TRIBUNALS DRAWDOWN

SEC. 547. If the President determines that doing so will contribute to a just resolution of charges regarding genocide or other

violations of international humanitarian law, the President may direct a drawdown pursuant to section 552(c) of the Foreign Assistance Act of 1961, as amended, of up to $30,000,000 of commodities

and services for the United Nations War Crimes Tribunal established with regard to the former Yugoslavia by the United Nations

Security Council or such other tribunals or commissions as the

Council may establish or authorize to deal with such violations,

without regard to the ceiling limitation contained in paragraph (2)

thereof: Provided, That the determination required under this section shall be in lieu of any determinations otherwise required under

section 552(c): Provided further, That funds made available for tribunals other than Yugoslavia or Rwanda shall be made available

subject to the regular notification procedures of the Committees on

Appropriations.

LANDMINES

SEC. 548. Notwithstanding any other provision of law,

demining equipment available to the United States Agency for International Development and the Department of State and used in support of the clearance of landmines and unexploded ordnance for humanitarian purposes may be disposed of on a grant basis in foreign

countries, subject to such terms and conditions as the President may

prescribe: Provided, That section 1365(c) of the National Defense

Authorization Act for Fiscal Year 1993 (Public Law 102–484; 22

U.S.C., 2778 note) is amended by striking ‘‘During the 11-year period beginning on October 23, 1992’’ and inserting ‘‘During the 16-

year period beginning on October 23, 1992’’.

40

RESTRICTIONS CONCERNING THE PALESTINIAN AUTHORITY

SEC. 549. None of the funds appropriated by this Act may be

obligated or expended to create in any part of Jerusalem a new office of any department or agency of the United States Government

for the purpose of conducting official United States Government

business with the Palestinian Authority over Gaza and Jericho or

any successor Palestinian governing entity provided for in the

Israel-PLO Declaration of Principles: Provided, That this restriction

shall not apply to the acquisition of additional space for the existing

Consulate General in Jerusalem: Provided further, That meetings

between officers and employees of the United States and officials of

the Palestinian Authority, or any successor Palestinian governing

entity provided for in the Israel-PLO Declaration of Principles, for

the purpose of conducting official United States Government business with such authority should continue to take place in locations

other than Jerusalem. As has been true in the past, officers and employees of the United States Government may continue to meet in

Jerusalem on other subjects with Palestinians (including those who

now occupy positions in the Palestinian Authority), have social contacts, and have incidental discussions.

PROHIBITION OF PAYMENT OF CERTAIN EXPENSES

SEC. 550. None of the funds appropriated or otherwise made

available by this Act under the heading ‘‘International Military

Education and Training’’ or ‘‘Foreign Military Financing Program’’

for Informational Program activities or under the headings ‘‘Child

Survival and Health Programs Fund’’, ‘‘Development Assistance’’,

and ‘‘Economic Support Fund’’ may be obligated or expended to pay

for—

(1) alcoholic beverages; or

(2) entertainment expenses for activities that are substantially of a recreational character, including entrance fees at

sporting events and amusement parks.

SPECIAL DEBT RELIEF FOR THE POOREST

SEC. 551. (a) AUTHORITY TO REDUCE DEBT.—The President

may reduce amounts owed to the United States (or any agency of

the United States) by an eligible country as a result of—

(1) guarantees issued under sections 221 and 222 of the

Foreign Assistance Act of 1961;

(2) credits extended or guarantees issued under the Arms

Export Control Act; or

(3) any obligation or portion of such obligation, to pay for

purchases of United States agricultural commodities guaranteed by the Commodity Credit Corporation under export credit

guarantee programs authorized pursuant to section 5(f ) of the

Commodity Credit Corporation Charter Act of June 29, 1948,

as amended, section 4(b) of the Food for Peace Act of 1966, as

amended (Public Law 89–808), or section 202 of the Agricultural Trade Act of 1978, as amended (Public Law 95–501).

(b) LIMITATIONS.—

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erendum agreements, commonly referred to as ‘‘Paris Club

Agreed Minutes’’. (2) The authority provided by subsection (a) may be exercised only in such amounts or to such extent as is provided in

advance by appropriations Acts.

(3) The authority provided by subsection (a) may be exercised only with respect to countries with heavy debt burdens

that are eligible to borrow from the International Development

Association, but not from the International Bank for Reconstruction and Development, commonly referred to as ‘‘IDA-only’’ countries.

(c) CONDITIONS.—The authority provided by subsection (a) may

be exercised only with respect to a country whose government— (1) does not have an excessive level of military expenditures;

(2) has not repeatedly provided support for acts of international terrorism;

(3) is not failing to cooperate on international narcotics

control matters;

(4) (including its military or other security forces) does not

engage in a consistent pattern of gross violations of internationally recognized human rights; and

(5) is not ineligible for assistance because of the application

of section 527 of the Foreign Relations Authorization Act, Fiscal

Years 1994 and 1995.

(d) AVAILABILITY OF FUNDS.—The authority provided by subsection (a) may be used only with regard to funds appropriated by

this Act under the heading ‘‘Debt Restructuring’’.

(e) CERTAIN PROHIBITIONS INAPPLICABLE.—A reduction of debt

pursuant to subsection (a) shall not be considered assistance for

purposes of any provision of law limiting assistance to a country.

The authority provided by subsection (a) may be exercised notwithstanding section 620(r) of the Foreign Assistance Act of 1961 or section 321 of the International Development and Food Assistance Act

of 1975.

AUTHORITY TO ENGAGE IN DEBT BUYBACKS OR SALES

SEC. 552. (a) LOANS ELIGIBLE FOR SALE, REDUCTION, OR CANCELLATION.—

(1) AUTHORITY TO SELL, REDUCE, OR CANCEL CERTAIN

LOANS.—Notwithstanding any other provision of law, the President may, in accordance with this section, sell to any eligible

purchaser any concessional loan or portion thereof made before

January 1, 1995, pursuant to the Foreign Assistance Act of

1961, to the government of any eligible country as defined in

section 702(6) of that Act or on receipt of payment from an eligible purchaser, reduce or cancel such loan or portion thereof,

only for the purpose of facilitating—

(A) debt-for-equity swaps, debt-for-development swaps,

or debt-for-nature swaps; or

(B) a debt buyback by an eligible country of its own

qualified debt, only if the eligible country uses an additional amount of the local currency of the eligible country,

equal to not less than 40 percent of the price paid for such

debt by such eligible country, or the difference between the

price paid for such debt and the face value of such debt, to

42

support activities that link conservation and sustainable

use of natural resources with local community development,

and child survival and other child development, in a manner consistent with sections 707 through 710 of the Foreign

Assistance Act of 1961, if the sale, reduction, or cancellation would not contravene any term or condition of any

prior agreement relating to such loan.

(2) TERMS AND CONDITIONS.—Notwithstanding any other

provision of law, the President shall, in accordance with this

section, establish the terms and conditions under which loans

may be sold, reduced, or canceled pursuant to this section.

(3) ADMINISTRATION.—The Facility, as defined in section

702(8) of the Foreign Assistance Act of 1961, shall notify the administrator of the agency primarily responsible for administering part I of the Foreign Assistance Act of 1961 of purchasers that the President has determined to be eligible, and

shall direct such agency to carry out the sale, reduction, or cancellation of a loan pursuant to this section. Such agency shall

make an adjustment in its accounts to reflect the sale, reduction, or cancellation.

(4) LIMITATION.—The authorities of this subsection shall be

available only to the extent that appropriations for the cost of

the modification, as defined in section 502 of the Congressional

Budget Act of 1974, are made in advance.

(b) DEPOSIT OF PROCEEDS.—The proceeds from the sale, reduction, or cancellation of any loan sold, reduced, or canceled pursuant

to this section shall be deposited in the United States Government

account or accounts established for the repayment of such loan.

(c) ELIGIBLE PURCHASERS.—A loan may be sold pursuant to

subsection (a)(1)(A) only to a purchaser who presents plans satisfactory to the President for using the loan for the purpose of engaging

in debt-for-equity swaps, debt-for-development swaps, or debt-fornature swaps.

(d) DEBTOR CONSULTATIONS.—Before the sale to any eligible

purchaser, or any reduction or cancellation pursuant to this section,

of any loan made to an eligible country, the President should consult with the country concerning the amount of loans to be sold, reduced, or canceled and their uses for debt-for-equity swaps, debt-fordevelopment swaps, or debt-for-nature swaps.

(e) AVAILABILITY OF FUNDS.—The authority provided by subsection (a) may be used only with regard to funds appropriated by

this Act under the heading ‘‘Debt Restructuring’’.

RESTRICTIONS ON VOLUNTARY CONTRIBUTIONS TO UNITED NATIONS

AGENCIES

SEC. 553. (a) PROHIBITION ON VOLUNTARY CONTRIBUTIONS FOR

THE UNITED NATIONS.—None of the funds appropriated by this Act

may be made available to pay any voluntary contribution of the

United States to the United Nations (including the United Nations

Development Program) if the United Nations implements or imposes

any taxation on any United States persons.

(b) CERTIFICATION REQUIRED FOR DISBURSEMENT OF FUNDS.—

None of the funds appropriated by this Act may be made available

to pay any voluntary contribution of the United States to the United

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less the President certifies to the Congress 15 days in advance of

such payment that the United Nations is not engaged in any effort

to implement or impose any taxation on United States persons in

order to raise revenue for the United Nations or any of its specialized agencies.

(c) DEFINITIONS.—As used in this section the term ‘‘United

States person’’ refers to—

(1) a natural person who is a citizen or national of the

United States; or

(2) a corporation, partnership, or other legal entity organized under the United States or any State, territory, possession, or district of the United States.

HAITI COAST GUARD

SEC. 554. The Government of Haiti shall be eligible to purchase

defense articles and services under the Arms Export Control Act (22

U.S.C. 2751 et seq.), for the Coast Guard: Provided, That the authority provided by this section shall be subject to the regular notification procedures of the Committees on Appropriations.

LIMITATION ON ASSISTANCE TO THE PALESTINIAN AUTHORITY

SEC. 555. (a) PROHIBITION OF FUNDS.—None of the funds appropriated by this Act to carry out the provisions of chapter 4 of

part II of the Foreign Assistance Act of 1961 may be obligated or

expended with respect to providing funds to the Palestinian Authority.

(b) WAIVER.—The prohibition included in subsection (a) shall

not apply if the President certifies in writing to the Speaker of the

House of Representatives and the President pro tempore of the Senate that waiving such prohibition is important to the national security interests of the United States.

(c) PERIOD OF APPLICATION OF WAIVER.—Any waiver pursuant

to subsection (b) shall be effective for no more than a period of 6

months at a time and shall not apply beyond 12 months after the

enactment of this Act.

LIMITATION ON ASSISTANCE TO SECURITY FORCES

SEC. 556. None of the funds made available by this Act may be

provided to any unit of the security forces of a foreign country if the

Secretary of State has credible evidence that such unit has committed gross violations of human rights, unless the Secretary determines and reports to the Committees on Appropriations that the

government of such country is taking effective measures to bring the

responsible members of the security forces unit to justice: Provided,

That nothing in this section shall be construed to withhold funds

made available by this Act from any unit of the security forces of

a foreign country not credibly alleged to be involved in gross violations of human rights: Provided further, That in the event that

funds are withheld from any unit pursuant to this section, the Secretary of State shall promptly inform the foreign government of the

basis for such action and shall, to the maximum extent practicable,

assist the foreign government in taking effective measures to bring

the responsible members of the security forces to justice.

44

DISCRIMINATION AGAINST MINORITY RELIGIOUS FAITHS IN THE

RUSSIAN FEDERATION

SEC. 557. None of the funds appropriated under this Act may

be made available for the Government of the Russian Federation,

after 180 days from the date of the enactment of this Act, unless the

President determines and certifies in writing to the Committees on

Appropriations and the Committee on Foreign Relations of the Senate that the Government of the Russian Federation has implemented

no statute, executive order, regulation or similar government action

that would discriminate, or would have as its principal effect discrimination, against religious groups or religious communities in

the Russian Federation in violation of accepted international agreements on human rights and religious freedoms to which the Russian Federation is a party.

ASSISTANCE FOR THE MIDDLE EAST

SEC. 558. Of the funds appropriated in titles II and III of this

Act under the headings ‘‘Economic Support Fund’’, ‘‘Foreign Military Financing Program’’, ‘‘International Military Education and

Training’’, ‘‘Peacekeeping Operations’’, for refugees resettling in

Israel under the heading ‘‘Migration and Refugee Assistance’’, and

for assistance for Israel to carry out provisions of chapter 8 of part

II of the Foreign Assistance Act of 1961 under the heading ‘‘Nonproliferation, Anti-Terrorism, Demining and Related Programs’’, not

more than a total of $5,141,150,000 may be made available for

Israel, Egypt, Jordan, Lebanon, the West Bank and Gaza, the

Israel-Lebanon Monitoring Group, the Multinational Force and Observers, the Middle East Regional Democracy Fund, Middle East

Regional Cooperation, and Middle East Multilateral Working

Groups: Provided, That any funds that were appropriated under

such headings in prior fiscal years and that were at the time of the

enactment of this Act obligated or allocated for other recipients may

not during fiscal year 2002 be made available for activities that, if

funded under this Act, would be required to count against this ceiling: Provided further, That funds may be made available notwithstanding the requirements of this section if the President determines

and certifies to the Committees on Appropriations that it is important to the national security interest of the United States to do so

and any such additional funds shall only be provided through the

regular notification procedures of the Committees on Appropriations.

ENERGY CONSERVATION AND CLEAN ENERGY PROGRAMS

SEC. 559. (a) FUNDING.—Of the funds appropriated by this Act,

not less than $155,000,000 should be made available to support

policies and actions in developing countries and countries in transition that promote energy conservation and efficient energy production and use; that measure, monitor, and reduce greenhouse gas

emissions; increase carbon sequestration activities; and enhance climate change mitigation programs.

(b) GREENHOUSE GAS EMISSIONS REPORT.—Not later than 30

days after the date on which the President’s fiscal year 2003 budget

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port to the Committees on Appropriations describing in detail the

following—

(1) all Federal agency obligations and expenditures, domestic and international, for climate change programs and activities in fiscal year 2002, including an accounting of expenditures

by agency with each agency identifying climate change activities

and associated costs by line item as presented in the President’s

Budget Appendix; and

(2) all fiscal year 2001 obligations and estimated expenditures, fiscal year 2002 estimated expenditures and estimated obligations, and fiscal year 2003 requested funds by the United

States Agency for International Development, by country and

central program, for each of the following: (1) to promote the

transfer and deployment of United States clean energy technologies; (2) to assist in the measurement, monitoring, reporting, verification, and reduction of greenhouse gas emissions; (3)

to promote carbon capture and sequestration measures; (4) to

help meet such countries’ responsibilities under the Framework

Convention on Climate Change; and (5) to develop assessments

of the vulnerability to impacts of climate change and response

strategies.

ZIMBABWE

SEC. 560. The Secretary of the Treasury shall instruct the

United States executive director to each international financial institution to vote against any extension by the respective institution

of any loans, to the Government of Zimbabwe, except to meet basic

human needs or to promote democracy, unless the Secretary of State

determines and certifies to the Committees on Appropriations that

the rule of law has been restored in Zimbabwe, including respect for

ownership and title to property, freedom of speech and association.

CENTRAL AMERICA RELIEF AND RECONSTRUCTION

SEC. 561. Funds made available to the Comptroller General

pursuant to title I, chapter 4 of Public Law 106–31, to monitor the

provision of assistance to address the effects of hurricanes in Central America and the Caribbean and the earthquake in Colombia,

shall also be available to the Comptroller General to monitor earthquake relief and reconstruction efforts in El Salvador.

ENTERPRISE FUND RESTRICTIONS

SEC. 562. Prior to the distribution of any assets resulting from

any liquidation, dissolution, or winding up of an Enterprise Fund,

in whole or in part, the President shall submit to the Committees

on Appropriations, in accordance with the regular notification procedures of the Committees on Appropriations, a plan for the distribution of the assets of the Enterprise Fund.

CAMBODIA

SEC. 563. (a) The Secretary of the Treasury should instruct the

United States executive directors of the international financial institutions to use the voice and vote of the United States to oppose loans

to the Central Government of Cambodia, except loans to meet basic

human needs.

46

(b)(1) None of the funds appropriated by this Act may be made

available for assistance for the Central Government of Cambodia

unless the Secretary of State determines and reports to the Committees on Appropriations that the Central Government of Cambodia— (A) is making significant progress in resolving outstanding

human rights cases, including the 1994 grenade attack against

the Buddhist Liberal Democratic Party, and the 1997 grenade

attack against the Khmer Nation Party;

(B) has held local elections that are deemed free and fair

by international and local election monitors; and

(C) is making significant progress in the protection, management, and conservation of the environment and natural resources, including in the promulgation and enforcement of laws

and policies to protect forest resources.

(2) In the event the Secretary of State makes the determination

under paragraph (1), assistance may be made available to the Central Government of Cambodia only through the regular notification

procedures of the Committees on Appropriations.

(c) Notwithstanding subsection (b) of this section or any other

provision of law, funds appropriated by this Act may be made available for assistance for basic education and for assistance to the Government of Cambodia’s Ministry of Women and Veteran’s Affairs to

combat human trafficking, subject to the regular notification procedures of the Committees on Appropriations.

(d) None of the funds appropriated or otherwise made available

by this Act may be used to provide equipment, technical support,

consulting services, or any other form of assistance to any tribunal

established by the Government of Cambodia pursuant to a memorandum of understanding with the United Nations unless the President determines and certifies to Congress that the tribunal is capable of delivering justice for crimes against humanity and genocide

in an impartial and credible manner.

FOREIGN MILITARY TRAINING REPORT

SEC. 564. (a) The Secretary of Defense and the Secretary of

State shall jointly provide to the Congress by March 1, 2002, a report on all military training provided to foreign military personnel

(excluding sales, and excluding training provided to the military

personnel of countries belonging to the North Atlantic Treaty Organization) under programs administered by the Department of Defense and the Department of State during fiscal years 2001 and

2002, including those proposed for fiscal year 2002. This report

shall include, for each such military training activity, the foreign

policy justification and purpose for the training activity, the cost of

the training activity, the number of foreign students trained and

their units of operation, and the location of the training. In addition, this report shall also include, with respect to United States

personnel, the operational benefits to United States forces derived

from each such training activity and the United States military

units involved in each such training activity. This report may include a classified annex if deemed necessary and appropriate.

(b) For purposes of this section a report to Congress shall be

deemed to mean a report to the Appropriations and Foreign Relations Committees of the Senate and the Appropriations and International Relations Committees of the House of Representatives.

47

KOREAN PENINSULA ENERGY DEVELOPMENT ORGANIZATION

SEC. 565. (a) Of the funds made available under the heading

‘‘Nonproliferation, Anti-terrorism, Demining and Related Programs’’, not to exceed $95,000,000 may be made available for the

Korean Peninsula Energy Development Organization (hereafter referred to in this section as ‘‘KEDO’’), notwithstanding any other provision of law, only for the administrative expenses and heavy fuel

oil costs associated with the Agreed Framework.

(b) Such funds may be made available for KEDO only if, 15

days prior to such obligation of funds, the President certifies and so

reports to Congress that—

(1) the parties to the Agreed Framework have taken and

continue to take demonstrable steps to implement the Joint Declaration on Denuclearization of the Korean Peninsula;

(2) North Korea is complying with all provisions of the

Agreed Framework; and

(3) the United States is continuing to make significant

progress on eliminating the North Korean ballistic missile

threat, including further missile tests and its ballistic missile

exports.

(c) The President may waive the certification requirements of

subsection (b) if the President determines that it is vital to the national security interests of the United States and provides written

policy justifications to the appropriate congressional committees. No

funds may be obligated for KEDO until 15 days after submission

to Congress of such waiver.

(d) The Secretary of State shall, at the time of the annual presentation for appropriations, submit a report providing a full and

detailed accounting of the fiscal year 2003 request for the United

States contribution to KEDO, the expected operating budget of

KEDO, proposed annual costs associated with heavy fuel oil purchases, including unpaid debt, and the amount of funds pledged by

other donor nations and organizations to support KEDO activities

on a per country basis, and other related activities.

(e) The final proviso under the heading ‘‘International Organizations and Programs’’ in the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1996 (Public Law

104–107) is repealed.

PLO COMPLIANCE REPORT

SEC. 566. (a) REPORTING REQUIREMENT.—The President

should, at the time specified in subsection (b), submit a report to the

Congress assessing the steps that the Palestine Liberation Organization (PLO), or the Palestinian Authority, as appropriate, has taken

to comply with its 1993 commitments to renounce the use of terrorism and all other acts of violence and to assume responsibility

over all PLO or Palestinian Authority elements and personnel in

order to assure their compliance, prevent violations, and discipline

violators, including the arrest and prosecution of individuals involved in acts of terror and violence. The President should determine, based on such assessment, whether the PLO or the Palestinian Authority, as appropriate, has substantially complied with

such commitments. If the President determines based on the assessment that such compliance has not occurred, then the President

48

should, for a period of time of not less than six months, impose one

or more of the following sanctions:

(1) Withdraw or terminate any waiver by the President of

the requirements of section 1003 of the Foreign Relations Authorization Act of 1988 and 1989 (22 U.S.C. 5202) (prohibiting

the establishment or maintenance of a Palestinian information

office in the United States), such section to apply so as to prohibit the operation of a PLO or Palestinian Authority office in

the United States from carrying out any function other than

those functions carried out by the Palestinian information office

in existence prior to the Oslo Accords.

(2) Designate the PLO, or one or more of its constituent

groups (including Fatah and Tanzim) or groups operating as

arms of the Palestinian Authority (including Force 17) as a foreign terrorist organization, in accordance with section 219(a) of

the Immigration and Nationality Act.

(3) Terminate United States assistance (except humanitarian and development assistance) for the West Bank and

Gaza Program.

(b) SUBMISSION OF REPORT.—The report required under subsection (a) should be transmitted not later than 60 days after the

date of enactment of this Act and shall cover the period commencing

June 13, 2001.

(c) UPDATE OF REPORT.—The President should update the report submitted pursuant to subsection (a) as part of the next report

required under the PLO Commitments Compliance Act of 1989 (title

VIII of Public Law 101–246).

(d) WAIVER AUTHORITY.—The President may waive any or all

of the sanctions imposed under subsection (a) if the President determines and reports to the appropriate committees of the Congress

that such a waiver is in the national security interests of the United

States.

COLOMBIA

SEC. 567. (a) DETERMINATION AND CERTIFICATION REQUIRED.—

Notwithstanding any other provision of law, funds appropriated by

this Act or prior Acts making appropriations for foreign operations,

export financing, and related programs, may be made available for

assistance for the Colombian Armed Forces as follows:

(1) not more than sixty percent of such funds may be obligated after a determination by the Secretary of State and a certification to the appropriate congressional committees that:

(A) the Commander General of the Colombian Armed

Forces is suspending from the Armed Forces those members, of whatever rank, who have been credibly alleged to

have committed gross violations of human rights, including

extra-judicial killings, or to have aided or abetted paramilitary groups;

(B) the Colombian Armed Forces are cooperating with

civilian prosecutors and judicial authorities (including providing requested information, such as the identity of persons suspended from the Armed Forces and the nature and

cause of the suspension, and access to witnesses and relevant military documents and other information), in prosecuting and punishing in civilian courts those members of

49

the Colombian Armed Forces, of whatever rank, who have

been credibly alleged to have committed gross violations of

human rights, including extra-judicial killings, or to have

aided or abetted paramilitary groups;

(C) the Colombian Armed Forces are taking effective

measures to sever links (including by denying access to

military intelligence, vehicles, and other equipment or supplies, and ceasing other forms of active or tacit cooperation), at the command, battalion, and brigade levels, with

paramilitary groups, and to execute outstanding orders for

capture for members of such groups; and

(2) the balance of such funds may be obligated after June

1, 2002, if the Secretary of State determines and certifies to the

appropriate congressional committees that the Colombian

Armed Forces are continuing to meet the criteria contained in

paragraphs (1)(A), (B) and (C).

(b) CONSULTATIVE PROCESS.—At least ten days prior to making

the determination and certification required by this section, and

every 120 days thereafter during fiscal year 2002, the Secretary of

State shall consult with internationally recognized human rights organizations regarding progress in meeting the conditions contained

in subsection (a).

(c) REPORT.—One hundred and twenty days after the enactment

of this Act, and every 120 days thereafter during fiscal year 2002,

the Secretary of State shall submit a report to the Committees on

Appropriations describing actions taken by the Colombian Armed

Forces to meet the requirements set forth in subsections (a)(1)(A)

through (a)(1)(C); and

(d) DEFINITIONS.—In this section:

(1) AIDED OR ABETTED.—The term ‘‘aided or abetted’’ means

to provide any support to paramilitary groups, including taking

actions which allow, facilitate, or otherwise foster the activities

of such groups.

(2) PARAMILITARY GROUPS.—The term ‘‘paramilitary

groups’’ means illegal self-defense groups and illegal security

cooperatives.

ILLEGAL ARMED GROUPS

SEC. 568. (a) DENIAL OF VISAS TO SUPPORTERS OF COLOMBIAN

ILLEGAL ARMED GROUPS.—Subject to subsection (b), the Secretary of

State shall not issue a visa to any alien who the Secretary determines, based on credible evidence—

(1) has willfully provided any support to the Revolutionary

Armed Forces of Colombia (FARC), the National Liberation

Army (ELN), or the United Self-Defense Forces of Colombia

(AUC), including taking actions or failing to take actions which

allow, facilitate, or otherwise foster the activities of such groups;

or

(2) has committed, ordered, incited, assisted, or otherwise

participated in the commission of gross violations of human

rights, including extra-judicial killings, in Colombia.

(b) WAIVER.—Subsection (a) shall not apply if the Secretary of

State determines and certifies to the appropriate congressional committees, on a case-by-case basis, that the issuance of a visa to the

50

alien is necessary to support the peace process in Colombia or for

urgent humanitarian reasons.

PROHIBITION ON ASSISTANCE TO THE PALESTINIAN BROADCASTING

CORPORATION

SEC. 569. None of the funds appropriated or otherwise made

available by this Act may be used to provide equipment, technical

support, consulting services, or any other form of assistance to the

Palestinian Broadcasting Corporation.

IRAQ

SEC. 570. Notwithstanding any other provision of law, funds

appropriated under the heading ‘‘Economic Support Fund’’ may be

made available for programs benefitting the Iraqi people and to

support efforts to bring about a political transition in Iraq: Provided, That not more than 15 percent of the funds (except for costs

related to broadcasting activities) may be used for administrative

and representational expenses, including expenditures for salaries,

office rent and equipment: Provided further, That not later than 60

days after the date of enactment of this Act, the Secretary of State

shall consult with the Committees on Appropriations regarding

plans for the expenditure of funds under this section: Provided further, That funds made available under this heading are made

available subject to the regular notification procedures of the Committees on Appropriations.

WEST BANK AND GAZA PROGRAM

SEC. 571. For fiscal year 2002, 30 days prior to the initial obligation of funds for the bilateral West Bank and Gaza Program, the

Secretary of State shall certify to the appropriate committees of Congress that procedures have been established to assure the Comptroller General of the United States will have access to appropriate

United States financial information in order to review the uses of

United States assistance for the Program funded under the heading

‘‘Economic Support Fund’’ for the West Bank and Gaza.

INDONESIA

SEC. 572. (a) Funds appropriated by this Act under the headings ‘‘International Military Education and Training’’ and ‘‘Foreign

Military Financing Program’’ may be made available for assistance

for Indonesian military personnel only if the President determines

and submits a report to the appropriate congressional committees

that the Government of Indonesia and the Indonesian Armed Forces

are—

(1) taking effective measures to bring to justice members of

the armed forces and militia groups against whom there is

credible evidence of human rights violations in East Timor and

Indonesia;

(2) taking effective measures to bring to justice members of

the armed forces against whom there is credible evidence of aiding or abetting illegal militia groups in East Timor and Indonesia;

(3) allowing displaced persons and refugees to return home

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turning from West Timor and demonstrating a commitment to

preventing incursions into East Timor by members of militia

groups in West Timor;

(4) demonstrating a commitment to accountability by cooperating with investigations and prosecutions of members of

the armed forces and militia groups responsible for human

rights violations in East Timor and Indonesia;

(5) demonstrating a commitment to civilian control of the

armed forces by reporting to civilian authorities audits of receipts and expenditures of the armed forces;

(6) allowing United Nations and other international humanitarian organizations and representatives of recognized

human rights organizations access to West Timor, Aceh, West

Papua, and Maluka; and

(7) releasing political detainees.

BRIEFINGS ON POTENTIAL PURCHASES OF DEFENSE ARTICLES OR

DEFENSE SERVICES BY TAIWAN

SEC. 573. (a) BRIEFINGS.—Not later than 90 days after the date

of enactment of this Act, and not later than every 120 days thereafter during fiscal year 2002, the Department of State, in consultation with the Department of Defense, shall provide detailed briefings

to the appropriate congressional committees (including the Committees on Appropriations) on any discussions conducted between any

executive branch agency and the government of Taiwan during the

preceding 120 days (or, in the case of the initial briefing, since the

date of enactment of this Act) on any potential purchase of defense

articles or defense services by the government of Taiwan.

(b) EXECUTIVE AGENCY DEFINED.—In this section, the term ‘‘executive branch agency’’ has the meaning given the term ‘‘agency’’ in

section 551(1) of title 5, United States Code.

RESTRICTIONS ON ASSISTANCE TO GOVERNMENTS DESTABILIZING

SIERRA LEONE

SEC. 574. (a) None of the funds appropriated by this Act may

be made available for assistance for the government of any country

for which the Secretary of State determines there is credible evidence that such government has knowingly facilitated the safe passage of weapons or other equipment, or has provided lethal or nonlethal military support or equipment, directly or through intermediaries, within the previous six months to the Sierra Leone Revolutionary United Front (RUF), Liberian Security Forces, or any

other group intent on destabilizing the democratically elected government of the Republic of Sierra Leone.

(b) None of the funds appropriated by this Act may be made

available for assistance for the government of any country for which

the Secretary of State determines there is credible evidence that such

government has aided or abetted, within the previous six months,

in the illicit distribution, transportation, or sale of diamonds mined

in Sierra Leone.

(c) Whenever the prohibition on assistance required under subsection (a) or (b) is exercised, the Secretary of State shall notify the

Committees on Appropriations in a timely manner.

52

VOLUNTARY SEPARATION INCENTIVES

SEC. 575. Section 579(c)(2)(D) of the Foreign Operations, Export

Financing, and Related Programs Appropriations Act, 2000, as enacted by section 1000(a)(2) of the Consolidated Appropriations Act,

2000 (Public Law 106–113), as amended, is amended by striking

‘‘December 31, 2001’’ and inserting in lieu thereof ‘‘December 31,

2002’’.

UNITED NATIONS POPULATION FUND

SEC. 576. (a) LIMITATIONS ON AMOUNT OF CONTRIBUTION.—Of

the amounts made available under ‘‘International Organizations

and Programs’’, not more than $34,000,000 for fiscal year 2002

shall be made available for the United Nations Population Fund

(hereafter in this section referred to as the ‘‘UNFPA’’).

(b) PROHIBITION ON USE OF FUNDS IN CHINA.—None of the

funds made available under ‘‘International Organizations and Programs’’ may be made available for the UNFPA for a country program in the People’s Republic of China.

(c) CONDITIONS ON AVAILABILITY OF FUNDS.—Amounts made

available under ‘‘International Organizations and Programs’’ for fiscal year 2002 for the UNFPA may not be made available to UNFPA

unless—

(1) the UNFPA maintains amounts made available to the

UNFPA under this section in an account separate from other

accounts of the UNFPA;

(2) the UNFPA does not commingle amounts made available to the UNFPA under this section with other sums; and

(3) the UNFPA does not fund abortions.

AMERICAN CHURCHWOMEN AND OTHER CITIZENS IN EL SALVADOR AND

GUATEMALA

SEC. 577. (a) To the fullest extent possible information relevant

to the December 2, 1980, murders of four American churchwomen

in El Salvador, and the May 5, 2001, murder of Sister Barbara Ann

Ford and the murders of six other American citizens in Guatemala

since December 1999, should be investigated and made public.

(b) The Department of State is urged to pursue all reasonable

avenues in assuring the collection and public release of information

pertaining to the murders of the six American citizens in Guatemala.

(c) The President shall order all Federal agencies and departments, including the Federal Bureau of Investigation, that possess

relevant information, to expeditiously declassify and release to the

victims’ families such information, consistent with existing standards and procedures on classification.

(d) In making determinations concerning declassification and

release of relevant information, all Federal agencies and departments should use the discretion contained within such existing

standards and procedures on classification in support of releasing,

rather than withholding, such information.

(e) All reasonable efforts should be taken by the American Embassy in Guatemala to work with relevant agencies of the Guatemalan Government to protect the safety of American citizens in

53

Guatemala, and to assist in the investigations of violations of

human rights.

PROCUREMENT AND FINANCIAL MANAGEMENT REFORM

SEC. 578. (a) FUNDING CONDITIONS.—Of the funds made available under the heading ‘‘International Financial Institutions’’ in

this Act, 10 percent of the United States portion or payment to such

International Financial Institution shall be withheld by the Secretary of the Treasury, until the Secretary certifies to the Committees on Appropriations that, to the extent pertinent to its lending

programs, the institution is— (1) implementing procedures for conducting annual audits

by qualified independent auditors for all new investment lending;

(2) implementing procedures for annual independent external audits of central bank financial statements for countries

making use of International Monetary Fund resources under

new arrangements or agreements with the Fund;

(3) taking steps to establish an independent fraud and corruption investigative organization or office;

(4) implementing a process to assess a recipient country’s

procurement and financial management capabilities including

an analysis of the risks of corruption prior to initiating new investment lending; and

(5) taking steps to fund and implement programs and policies to improve transparency and anti-corruption programs and

procurement and financial management controls in recipient

countries.

(b) DEFINITIONS.—The term ‘‘International Financial Institutions’’ means the International Bank for Reconstruction and Development, the International Development Association, the International Finance Corporation, the Inter-American Development

Bank, the Inter-American Investment Corporation, the Enterprise

for the Americas Multilateral Investment Fund, the Asian Development Bank, the Asian Development Fund, the African Development

Bank, the African Development Fund, the European Bank for Reconstruction and Development, and the International Monetary

Fund.

BASIC EDUCATION ASSISTANCE FOR INDONESIA AND PAKISTAN

SEC. 579. (a) Of the funds made available under the heading ‘‘Development Assistance’’ for basic education, $8,000,000 shall be

made available to Indonesia and Pakistan.

(b) Of the funds made available under the heading ‘‘Economic

Support Fund’’ for Pakistan, not less than $2,500,000 shall be

transferred to ‘‘Operating Expenses of the United States Agency for

International Development’’ for the purpose of monitoring and implementing United States economic support, including that provided

under the provisions of Public Law 107–38 and this general provision, of basic education, health, and democracy and governance activities in Pakistan.

(c) Not more than 60 days after the enactment of this Act, the

Administrator of the United States Agency for International Development shall report to the House Committees on Appropriations and

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tions and Foreign Relations on the Agency’s proposed allocation of

basic education funding for Indonesia and Pakistan, including incountry monitoring of budget support for basic education provided

under Public Law 107–38.

COMMERCIAL LEASING OF DEFENSE ARTICLES

SEC. 580. Notwithstanding any other provision of law, and subject to the regular notification procedures of the Committees on Appropriations, the authority of section 23(a) of the Arms Export Control Act may be used to provide financing to Israel, Egypt and

NATO and major non-NATO allies for the procurement by leasing

(including leasing with an option to purchase) of defense articles

from United States commercial suppliers, not including Major Defense Equipment (other than helicopters and other types of aircraft

having possible civilian application), if the President determines

that there are compelling foreign policy or national security reasons

for those defense articles being provided by commercial lease rather

than by government-to-government sale under such Act.

WAR CRIMINALS

SEC. 581. (a)(1) None of the funds appropriated or otherwise

made available pursuant to this Act may be made available for assistance, and the Secretary of the Treasury shall instruct the United

States executive directors to the international financial institutions

to vote against any new project involving the extension by such institutions of any financial or technical assistance, to any country,

entity, or municipality whose competent authorities have failed, as

determined by the Secretary of State, to take necessary and significant steps to implement its international legal obligations to apprehend and transfer to the International Criminal Tribunal for the

former Yugoslavia (the ‘‘Tribunal’’) all persons in their territory who

have been publicly indicted by the Tribunal and to otherwise cooperate with the Tribunal.

(2) The provisions of this subsection shall not apply to humanitarian assistance or assistance for democratization.

(b) The provisions of subsection (a) shall apply unless the Secretary of State determines and reports to the appropriate congressional committees that the competent authorities of such country,

entity, or municipality are—

(1) cooperating with the Tribunal, including access for investigators, the provision of documents, and the surrender and

transfer of publicly indicted persons or assistance in their apprehension; and

(2) are acting consistently with the Dayton Accords.

(c) Not less than 10 days before any vote in an international financial institution regarding the extension of any new project involving financial or technical assistance or grants to any country or

entity described in subsection (a), the Secretary of the Treasury, in

consultation with the Secretary of State, shall provide to the Committees on Appropriations a written justification for the proposed

assistance, including an explanation of the United States position

regarding any such vote, as well as a description of the location of

the proposed assistance by municipality, its purpose, and its intended beneficiaries.

55

(d) In carrying out this section, the Secretary of State, the Administrator of the United States Agency for International Development, and the Secretary of the Treasury shall consult with representatives of human rights organizations and all government

agencies with relevant information to help prevent publicly indicted

war criminals from benefiting from any financial or technical assistance or grants provided to any country or entity described in

subsection (a).

(e) The Secretary of State may waive the application of subsection (a) with respect to projects within a country, entity, or municipality upon a written determination to the Committees on Appropriations that such assistance directly supports the implementation of the Dayton Accords.

(f) DEFINITIONS.—As used in this section—

(1) COUNTRY.—The term ‘‘country’’ means Bosnia and

Herzegovina, Croatia and Serbia.

(2) ENTITY.—The term ‘‘entity’’ refers to the Federation of

Bosnia and Herzegovina, Kosovo, Montenegro and the

Republika Srpska.

(3) MUNICIPALITY.—The term ‘‘municipality’’ means a city,

town or other subdivision within a country or entity as defined

herein.

(4) DAYTON ACCORDS.—The term ‘‘Dayton Accords’’ means

the General Framework Agreement for Peace in Bosnia and

Herzegovina, together with annexes relating thereto, done at

Dayton, November 10 through 16, 1995.

USER FEES

SEC. 582. The Secretary of the Treasury shall instruct the

United States Executive Director at each international financial institution (as defined in section 1701(c)(2) of the International Financial Institutions Act) and the International Monetary Fund to oppose any loan of these institutions that would require user fees or

service charges on poor people for primary education or primary

healthcare, including prevention and treatment efforts for HIV/

AIDS, malaria, tuberculosis, and infant, child, and maternal wellbeing, in connection with the institutions’ lending programs.

HEAVILY INDEBTED POOR COUNTRIES TRUST FUND AUTHORIZATION

SEC. 583. Section 801(b)(1) of the Foreign Operations, Export

Financing, and Related Programs Appropriations Act, 2001 (Public

Law 106–429) is amended by striking ‘‘$435,000,000’’ and inserting

‘‘$600,000,000’’.

FUNDING FOR SERBIA

SEC. 584. (a) Funds appropriated by this Act may be made

available for assistance for Serbia after March 31, 2002, if the

President has made the determination and certification contained in

subsection (c).

(b) After March 31, 2002, the Secretary of the Treasury should

instruct the United States executive directors to the international financial institutions to support loans and assistance to the Government of the Federal Republic of Yugoslavia subject to the conditions

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ations, Export Financing, and Related Programs Appropriations

Act, 1997, as amended, shall not apply to the provision of loans and

assistance to the Federal Republic of Yugoslavia through international financial institutions.

(c) The determination and certification referred to in subsection

(a) is a determination by the President and a certification to the

Committees on Appropriations that the Government of the Federal

Republic of Yugoslavia is—

(1) cooperating with the International Criminal Tribunal

for the former Yugoslavia including access for investigators, the

provision of documents, and the surrender and transfer of

indictees or assistance in their apprehension;

(2) taking steps that are consistent with the Dayton Accords

to end Serbian financial, political, security and other support

which has served to maintain separate Republika Srpska institutions; and

(3) taking steps to implement policies which reflect a respect for minority rights and the rule of law, including the release of political prisoners from Serbian jails and prisons.

(d) Subsections (b) and (c) shall not apply to Montenegro,

Kosovo, humanitarian assistance or assistance to promote democracy in municipalities.

EL SALVADOR RECONSTRUCTION AND CENTRAL AMERICA DISASTER

RELIEF

SEC. 585. (a) During fiscal year 2002, not less than

$100,000,000 shall be made available for rehabilitation and reconstruction assistance for El Salvador: Provided, That such funds

shall be derived as follows: (1) from funds appropriated by this Act,

not less than $65,000,000, of which not less than $25,000,000 shall

be from funds appropriated under the heading ‘‘Economic Support

Fund’’, $25,000,000 should be from funds appropriated under the

heading ‘‘International Disaster Assistance’’, and not less than

$15,000,000 shall be from funds appropriated under the headings

‘‘Child Survival and Health Programs Fund’’ and ‘‘Development Assistance’’; and (2) from funds appropriated under such headings in

Acts making appropriations for foreign operations, export financing,

and related programs for fiscal year 1999 and prior years, not to

exceed $35,000,000: Provided further, That none of the funds made

available under this section may be obligated for nonproject assistance: Provided further, That prior to any obligation of funds made

available under this section, the Administrator of the United States

Agency for International Development (USAID) shall provide the

Committees on Appropriations with a detailed report containing the

amount of the proposed obligation and a description of the programs and projects, on a sector-by-sector basis, to be funded with

such amount: Provided further, That of the funds made available

under this section, up to $2,500,000 may be used for administrative

expenses, including auditing costs, of USAID.

(b) During fiscal year 2002, not less than $35,000,000 of the

funds managed by the United States Agency for International Development should be made available for mitigation of the drought and

rural food shortages elsewhere in Central America.

57

REPORTS ON CONDITIONS IN HONG KONG

SEC. 586. (a) Section 301 of the United States-Hong Kong Policy Act (22 U.S.C. 5731) is amended by striking ‘‘and March 31,

2000,’’ and inserting: ‘‘March 31, 2000, March 31, 2001, March 31,

2002, March 31, 2003, March 31, 2004, March 31, 2005, and March

31, 2006’’. (b) The requirement in section 301 of the United States-Hong

Kong Policy Act, as amended by subsection (a), that a report under

that section shall be transmitted not later than March 31, 2001,

shall be considered satisfied by the transmittal of such report by August 7, 2001.

COMMUNITY-BASED POLICE ASSISTANCE

SEC. 587. (a) AUTHORITY.—Of the funds made available to

carry out the provisions of chapter 1 of part I and chapter 4 of part

II of the Foreign Assistance Act of 1961, up to $1,500,000 may be

used, notwithstanding section 660 of that Act, to enhance the effectiveness and accountability of civilian police authority in Jamaica

through training and technical assistance in internationally recognized human rights, the rule of law, strategic planning, and

through the promotion of civilian police roles that support democratic governance including programs to prevent conflict and foster

improved police relations with the communities they serve.

(b) REPORT.—Twelve months after the initial obligation of

funds for Jamaica for activities authorized under subsection (a), the

Administrator of the United States Agency for International Development shall submit a report to the appropriate congressional committees describing the progress the program is making toward improving police relations with the communities they serve and institutionalizing an effective community-based police program.

(c) NOTIFICATION.—Assistance provided under subsection (a)

shall be subject to the regular notification procedures of the Committees on Appropriations.

AUTHORIZATIONS

SEC. 588. The Secretary of the Treasury may, to fulfill commitments of the United States, contribute on behalf of the United States

to the fifth replenishment of the resources of the International Fund

for Agricultural Development. The following amount is authorized

to be appropriated without fiscal year limitation for payment by the

Secretary of the Treasury: $30,000,000 for the International Fund

for Agricultural Development: Provided, That notwithstanding the

dates specified in section 7 of the Export-Import Bank Act of 1945

(12 U.S.C. 635f) and section 1(c) of Public Law 103–428, the ExportImport Bank of the United States shall continue to exercise its functions in connection with and in furtherance of its objects and purposes through March 31, 2002.

EXCESS DEFENSE ARTICLES FOR CENTRAL AND SOUTHERN EUROPEAN

COUNTRIES AND CERTAIN OTHER COUNTRIES

SEC. 589. Notwithstanding section 516(e) of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j(e)), during each of the fiscal years

2002 and 2003, funds available to the Department of Defense may

be expended for crating, packing, handling, and transportation of

58

excess defense articles transferred under the authority of section 516

of such Act to Albania, Bulgaria, Croatia, Estonia, Former Yugoslavia Republic of Macedonia, Georgia, India, Kazakhstan,

Kyrgyzstan, Latvia, Lithuania, Moldova, Mongolia, Pakistan, Romania, Slovakia, Slovenia, Tajikistan, Turkmenistan, Ukraine, and

Uzbekistan: Provided, That section 105 of Public Law 104–164 is

amended by striking ‘‘2000 and 2001’’ and inserting ‘‘2002 and

2003’’.

OVERSEAS PRIVATE INVESTMENT CORPORATION AND EXPORT-IMPORT

BANK RESTRICTIONS

SEC. 590. (a) LIMITATION ON USE OF FUNDS BY OPIC.—None

of the funds made available in this Act may be used by the Overseas

Private Investment Corporation to insure, reinsure, guarantee, or finance any investment in connection with a project involving the

mining, polishing or other processing, or sale of diamonds in a

country that fails to meet the requirements of subsection (c).

(b) LIMITATION ON USE OF FUNDS BY THE EXPORT-IMPORT

BANK.—None of the funds made available in this Act may be used

by the Export-Import Bank of the United States to guarantee, insure, extend credit, or participate in an extension of credit in connection with the export of any goods to a country for use in an enterprise involving the mining, polishing or other processing, or sale of

diamonds in a country that fails to meet the requirements of subsection (c).

(c) REQUIREMENTS.—The requirements referred to in subsection

(a) and (b) are that the country concerned is implementing a system

of controls, or taking other appropriate measures, that the Secretary

of State determines to contribute effectively to preventing and eliminating the trade in conflict diamonds.

MODIFICATION TO THE ANNUAL DRUG CERTIFICATION PROCEDURES

SEC. 591. During fiscal year 2002 funds in this Act that would

otherwise be withheld from obligation or expenditure under section

490 of the Foreign Assistance Act of 1961 may be obligated or expended provided that:

(1) REPORT.—Not later than 45 days after enactment the

President has submitted to the appropriate congressional committees a report identifying each country determined by the

President to be a major drug-transit country or major illicit

drug producing country.

(2) DESIGNATION AND JUSTIFICATION.—In each report under

paragraph (1), the President shall also—

(A) designate each country, if any, identified in such

report that has failed demonstrably, during the previous 12

months, to make substantial efforts—

(i) to adhere to its obligations under international

counternarcotics agreements; and

(ii) to take the counternarcotics measures set forth

in section 489(a)(1) of the Foreign Assistance Act of

1961; and

(B) include a justification for each country so designated.

(3) LIMITATION ON ASSISTANCE FOR DESIGNATED COUNTRIES.—In the case of a country identified in a report for fiscal

59

year 2002 under paragraph (1) that is also designated under

paragraph (2) in the report, United States assistance may be

provided under this Act to such country in fiscal year 2002 only

if the President determines and reports to the appropriate congressional committees that— (A) provision of such assistance to the country in such

fiscal year is vital to the national interests of the United

States; or

(B) commencing at any time 45 days after enactment,

the country has made substantial efforts— (i) to adhere to its obligations under international

counternarcotics agreements; and

(ii) to take the counternarcotics measures set forth

in section 489(a)(1) of the Foreign Assistance Act of

1961.

(4) INTERNATIONAL COUNTERNARCOTICS AGREEMENT DE- FINED.—In this section, the term ‘‘international counternarcotics

agreement’’ means— (A) the United Nations Convention Against Illicit Traffic in Narcotic Drugs and Psychotropic Substances; or

(B) any bilateral or multilateral agreement in force between the United States and another country or countries

that addresses issues relating to the control of illicit drugs,

such as—

(i) the production, distribution, and interdiction of

illicit drugs,

(ii) demand reduction,

(iii) the activities of criminal organizations,

(iv) international legal cooperation among courts,

prosecutors, and law enforcement agencies (including

the exchange of information and evidence),

(v) the extradition of nationals and individuals involved in drug-related criminal activity,

(vi) the temporary transfer for prosecution of nationals and individuals involved in drug-related criminal activity,

(vii) border security,

(viii) money laundering,

(ix) illicit firearms trafficking,

(x) corruption,

(xi) control of precursor chemicals,

(xii) asset forfeiture, and

(xiii) related training and technical assistance;

and includes, where appropriate, timetables and objective

and measurable standards to assess the progress made by

participating countries with respect to such issues.

(5) APPLICATION.—Section 490 (a)–(g) of the Foreign Assistance Act of 1961 (22 U.S.C. 2291j) shall not apply during fiscal

year 2002 with respect to any country identified in paragraph

(1) of this section.

(6) STATUTORY CONSTRUCTION.—Nothing in this section supersedes or modifies the requirement in section 489(a) of the

Foreign Assistance Act of 1961 (with respect to the International Control Strategy Report) for the transmittal of a report

not later than March 1, 2002 under that section.

60

KENNETH M. LUDDEN

SEC. 592. This Act may be cited as the Kenneth M. Ludden Foreign Operations, Export Financing, and Related Programs Appropriations Act, Fiscal Year 2002.

This Act may be cited as the ‘‘Foreign Operations, Export Financing, and Related Programs Appropriations Act, 2002’’.

And the Senate agree to the same.

JIM KOLBE, SONNY CALLAHAN, JOE KNOLLENBERG, JACK KINGSTON, JERRY LEWIS, ROGER F. WICKER, HENRY BONILLA, JOHN E. SUNUNU, BILL YOUNG, NITA LOWEY, NANCY PELOSI, JESSE L. JACKSON, Jr.,

CAROLYN C. KILPATRICK, STEVEN R. ROTHMAN, DAVE OBEY, Managers on the Part of the House.

PATRICK J. LEAHY,

DANIEL K. INOUYE,

TOM HARKIN,

TIM JOHNSON,

JACK REED,

ROBERT C. BYRD,

MITCH MCCONNELL,

JUDD GREGG,

RICHARD C. SHELBY,

ROBERT F. BENNETT,

BEN NIGHTHORSE CAMPBELL,

CHRISTOPHER BOND,

TED STEVENS,

Managers on the Part of the Senate.

(61)

JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF

CONFERENCE

The managers on the part of the House and Senate at the conference on the disagreeing votes of the two Houses on the amendment of the Senate to the bill (H.R. 2506) ‘‘making appropriations

for foreign operations, export financing, and related programs for

the fiscal year ending September 30, 2002’’, submit the following

joint statement to the House and Senate in explanation of the effect of the action agreed upon by the managers and recommended

in the accompanying conference report:

TITLE I—EXPORT AND INVESTMENT ASSISTANCE

EXPORT-IMPORT BANK OF THE UNITED STATES

SUBSIDY APPROPRIATION

The conference agreement appropriates $727,323,000 for the

subsidy appropriation of the Export-Import Bank as proposed by

the Senate, instead of $738,323,000 as proposed by the House. The

managers have been informed that the level of subsidy provided

will support a projected level of authorizations of $10,600,000,000

in 2002, approximately $1,400,000,000 higher than the level of authorizations in fiscal year 2001.

ADMINISTRATIVE EXPENSES

The conference agreement appropriates $63,000,000 for administrative expenses of the Export-Import Bank instead of

$60,000,000 as proposed by the House and $64,000,000 as proposed

by the Senate.

OVERSEAS PRIVATE INVESTMENT CORPORATION

The managers are concerned about an announcement by OPIC

that it intends to begin making bridge loans to non-governmental

organizations (NGOs) and private voluntary organizations (PVOs).

While OPIC has provided financing to several PVOs since 1999, the

managers are concerned that OPIC has not adequately consulted

and informed Congress on these projects. Therefore, the managers

direct the President of OPIC to consult with the Committees on Appropriations in the House and the Senate before any future financing for NGOs or PVOs is approved.

The managers are also concerned that significant changes to

the insurance market in the wake of the September 11, 2001 attacks against the United States may jeopardize coverage of American investments overseas. The managers note that the inability to

obtain sufficient insurance coverage could have significant adverse

impact on large infrastructure project support by U.S. corporations,

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U.S. commercial banks, the Export-Import Bank, and the Overseas

Private Investment Corporation.

TITLE II—BILATERAL ECONOMIC ASSISTANCE

COMPLIANCE WITH REPORT LANGUAGE

The managers note that at times in the past, the Department

of State and USAID have failed to respond to recommendations in

the House and Senate Appropriations Committee reports, choosing

instead to recognize only language in the statement of the managers accompanying the Conference Report. The managers expect

the Department of State and USAID to follow the recommendations

in the House and Senate reports, unless those recommendations

are modified in the statement of the managers. In the event that

the House and Senate Appropriations Committee reports contain

conflicting recommendations on the same subject, the managers expect the Department of State and USAID to consult with the House

and Senate Appropriations Committees regarding those recommendations.

UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT

CHILD SURVIVAL AND HEALTH PROGRAMS FUND

The conference agreement appropriates $1,433,500,000 for the

Child Survival and Health Programs Fund instead of

$1,425,000,000 as proposed by the House and $1,510,500,000 as

proposed by the Senate. The conference agreement also continues

limitations on the use of the Fund for non-project assistance.

The conference agreement includes language allocating $1,433,500,000 among six program categories in the Child Survival

and Health Programs Fund: $315,000,000 for child survival and

maternal health, including vaccine-preventable diseases such as

polio; $25,000,000 for vulnerable children; $435,000,000 for HIV/

AIDS; $165,000,000 for other infectious diseases; $368,500,000 for

reproductive health/family planning; and $120,000,000 for

UNICEF. The managers expect that any change proposed subsequent to the allocation as directed in bill language will be subject

to the requirements of section 515 of the Act. A definition of program categories and their components can be found on pages 9

through 11 of House Report 107–142 and under the heading ‘‘Family Planning/Reproductive Health’’ on page 12 of Senate Report

107–58.

Within the child survival and maternal health program, authority is provided to transfer up to $53,000,000 instead of

$60,000,000 as proposed by the House and $50,500,000 as proposed

by the Senate to The Vaccine Fund established for child immunization by the Global Alliance for Vaccines and Immunization (GAVI).

The managers continue to be supportive of GAVI and again direct

that the Committees be informed in writing 20 days prior to the

obligation of any funds for GAVI on the proposed use of any U.S.

contribution, particularly with regard to the amount to be donated

for procurement of vaccines for children. Any in-kind contributions

through USAID should be in addition to the $53,000,000 contribution to The Vaccine Fund.

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The managers note that the vulnerable children program is not

intended to be used to assist AIDS orphans, who will be major

beneficiaries of the HIV/AIDS program. Although the conference

agreement does not include bill language regarding funding for

blind children, the managers recommend not less than $1,300,000

for assistance for blind children. The managers support efforts to

eliminate iodine deficiency disorder, the leading cause of mental retardation, and expect that at least $2,500,000 from the Child Survival and Health Programs Fund and $2,225,000 from the Europe

and Eurasia regional accounts be provided for the Kiwanis International/UNICEF–IDD partnership program. USAID is also encouraged to increase support for non-governmental organizations,

such as Special Olympics, that work with older children, including

those with cognitive disabilities and mild mental retardation, to

teach life and job skills. The managers encourage USAID to explore

expanding support for NGO programs for vulnerable children and

adults in Southeast Asian countries where government policies impede the establishment of a regular USAID mission or limit government-to-government economic cooperation. The managers also

direct that $27,500,000 be provided to combat polio.

The conference agreement includes $475,000,000 for HIV/

AIDS, of which $435,000,000 is allocated within this account and

not less than $40,000,000 in other accounts and programs. The conference agreement includes bill language on the development of

microbicides. The managers expect that these funds will be managed by the director of the HIV/AIDS division at USAID. In addition, the conference agreement includes up to $10,000,000 for a

United States contribution to the International AIDS Vaccine Initiative.

The managers note that the Global AIDS and Tuberculosis Relief Act of 2000 (P.L. 106–264) authorized that 65 percent of the

HIV/AIDS funding be provided through non-governmental organizations (NGOs). The managers concur that NGOs, including faithbased organizations, provide invaluable services in the fight

against HIV/AIDS. In anticipation of an increasing involvement of

the public sector, particularly in the areas of treatment and the

provision of interventions to reduce mother-to-child transmission,

the managers agree that assistance provided through NGOs in cooperation with a foreign government or using government facilities

may be counted against the 65 percent target in USAID’s strategy

to implement the Act.

The managers recognize the value of innovative projects to

combat the ever-growing HIV/AIDS pandemic. The managers are

aware of two innovative faith-based alliances and recommend that

USAID provide not less than $2,000,000 to fund proposals by each

NGO. The first is between a United States NGO and the southern

African Anglican Church to provide information and communications technologies and platforms to strengthen community efforts to

combat HIV/AIDS in southern Africa. The second is between Hope

worldwide and a number of communities in southern Africa. The

NGO seeks to replicate and extend its well-known Soweto Community Childcare program for orphans and other children affected by

AIDS to other sites in Africa. The managers encourage USAID to

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seek out and support similar innovative programs, especially in Africa, South and Central Asia, and the Caribbean region.

Within the overall Child Survival and Health Programs Fund, authority is provided to transfer $50,000,000 to a proposed global

fund to fight AIDS, tuberculosis and malaria. Of this amount,

$10,000,000 would be transferred from the allocation for other infectious diseases, which include tuberculosis and malaria. In addition, the President may use up to $50,000,000 from other accounts

in title II of this and prior Acts for the fund, for a total of

$100,000,000 under the authorities provided in this Act. The managers note that up to an additional $200,000,000 is

available for the proposed global fund from two other appropriations Acts, a total of $100,000,000 in the Child Survival and Disease Programs Fund under a provision of Public Law 107–20, and

another $100,000,000 from H.R. 3061, the Departments of Labor,

Health and Human Services, and Education Appropriations Act,

2002. The managers further note that the President’s request for the fund is $200,000,000.

The managers expect the Secretary of State and the Secretary

of Health and Human Services to report to the Committees no later

than April 30, 2002 on progress toward establishment of a global

fund to combat AIDS, tuberculosis and malaria. If substantial

progress has not been made by August 1, 2002, in establishing a

global fund on terms mutually acceptable to the Secretaries and

the Committees, the managers expect that the funds intended to be

contributed to the proposed global fund will be made available for

obligation, as needed, for ongoing bilateral programs to fight HIV/

AIDS, tuberculosis, and malaria.

The managers urge that expanded resources be made available

to mother-to-child transmission (MTCT) programs. As effective implementation of MTCT programs will take time, during which

health care workers will be trained, laboratory and testing facilities

established, and community based care services for HIV positive

mothers developed, USAID will not be able to meet the Global

AIDS Act’s 8.3 percent MTCT funding target in fiscal year 2002.

The managers expect that USAID will achieve the MTCT target by

the end of fiscal year 2003.

The conference agreement allocates $165,000,000 for other infectious diseases including $65,000,000 to address the global health

threat from tuberculosis. The managers expect that a total of at

least $75,000,000 will be provided for tuberculosis from all accounts.

The other infectious diseases program also includes

$65,000,000 for efforts to reduce the incidence of malaria and

$35,000,000 for antimicrobial resistance and infectious diseases

surveillance. Proper antibiotic use and increasing global resistance

have assumed a higher priority since the recent bioterrorism incidents, and the managers urge USAID to reserve part of its increase

in funding to invest in public/private partnerships and alliances

that promote more prudent uses of antibiotics in developing countries.

The managers are aware that the HIV/AIDS, tuberculosis and

malaria crises require extraordinary efforts on the part of the U.S.

Government. USAID is encouraged to use, as appropriate, its existVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00064 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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ing waiver authorities regarding financing and procurement of

goods and services, and grant making, in order to expedite the provision of assistance to combat infectious diseases and enhance the

efficiency of that assistance.

The conference agreement allocates $368,500,000 for family

planning/reproductive health within the Child Survival and Health

Programs Fund. The Senate amendment proposed that not less

than $395,000,000 be made available from the Child Survival and

Health Programs Fund to carry out section 104(b) of the Foreign

Assistance Act, regarding international population planning assistance. The House bill allocated $358,000,000 from this account for

bilateral reproductive health/family planning assistance. The conference agreement provides overall funding of $446,500,000 for bilateral family planning/reproductive health from this account, the

Economic Support Fund, and the regional accounts for Eastern Europe and the former Soviet Union in section 522.

As the managers are concerned about logging, poaching and

other development harmful to the environment in regions where

population pressures threaten biodiversity and endangered species,

such as Indonesia, Central Africa, and parts of Latin America, the

conference agreement includes Senate language that urges USAID

to undertake and implement reproductive health/family planning

programs in these regions.

The managers also direct USAID to continue to provide the

Committees with a detailed annual report not later than February

28, 2002, on the programs, projects, and activities undertaken by

the Child Survival and Disease Programs Fund during fiscal year

2001.

Funds appropriated for the Child Survival and Health Programs Fund are appropriated for programs, projects and activities.

Funds for administrative expenses to manage Fund activities are

provided in a separate account, with two exceptions included in the

conference agreement: authority for USAID’s central and regional

bureaus to use up to $125,000 from program funds for Operating

Expense-funded personnel to better monitor and provide oversight

of the Fund; and, in section 522, authority to use up to $15,500,000

to reimburse other government agencies and private institutions

for professional services. Any proposed transfer of appropriations

from the Fund for administrative expenses of USAID under any

other authority shall be subject to section 515 of this Act.

None of the funds appropriated under this heading or the

heading ‘‘Child Survival and Disease Programs Fund’’ in prior Acts

making appropriations for foreign operations, export financing, and

related programs may be allocated or reserved in USAID’s operating year budget for a Global Development Alliance. Any proposed

obligations for Global Development Alliance programs, projects or

activities shall be subject to the regular notification procedures of

the Committees on Appropriations.

DEVELOPMENT ASSISTANCE

The conference agreement appropriates $1,178,000,000 for ‘‘Development Assistance’’ instead of $1,098,000,000 as proposed by the

House and $1,245,000,000 as proposed by the Senate.

66

The managers have increased funds for Development Assistance above the amount requested by the President in order to

make additional funds available for urgent basic education, environment and energy conservation, and economic growth programs.

Within the economic growth, agriculture and trade sector, environment and clean energy, trade promotion, and rule of law activities

are of special interest. The managers have agreed to provide $150,000,000 for basic

education under the development assistance account, instead of

$135,000,000 as proposed by the House bill and the Senate amendment. In addition, $15,000,000 should be derived from other accounts.

The managers also direct USAID to conduct an immediate review of basic education programs in countries whose assistance is

primarily provided from the Economic Support Fund (ESF). Widespread anti-American sentiment in predominately Muslim countries has exposed a deficiency in basic education within countries

that have received large amounts of U.S. assistance through ESFfunded programs. The managers urge that cooperative efforts be

initiated with ESF-recipient countries to develop and implement

creative basic education programs that strengthen the capacity and

accessibility of public education systems. The conferees expect that

expenditures from the ESF account for education will increase as

a result of these efforts.

The managers continue to be concerned about worldwide trafficking of women and children and urge the Department of State

and USAID to provide $20,000,000 from title II of this Act, including not less than $1,500,000 under the heading ‘‘Independent

States’’ and not less than $10,000,000 under the heading ‘‘International Narcotics Control and Law Enforcement’’, to continue and

expand anti-trafficking programs.

The conference agreement provides that, of the funds for agri- culture and rural development programs, $25,000,000 should be

provided for biotechnology research and development.

The managers strongly support the fertilizer-related research

and development being conducted by the International Fertilizer

Development Center (IFDC) and urge the Administrator of USAID

to make at least $4,000,000 available to IFDC, including not less

than $2,300,000 for its core grant, as provided under the Senate

amendment and the House Report.

The managers expect USAID to increase funding for the Collaborative Research Support Programs (CRSPs) above the fiscal

year 2001 level. The managers recommend that USAID should

focus on increasing the overall funds available for CRSPs, and consult with the Committees on directives included in the House and

Senate reports regarding funding for the CRSPs. The managers

note the ongoing bipartisan and bicameral support for the Peanut

CRSP.

The conference agreement does not contain language proposed

in the Senate amendment providing up to $100,000 for an assessment of the causes of flooding along the Volta River in Accra,

Ghana, and recommendations for solving the problem. The House

did not address this matter. The managers support this endeavor,

and expect $100,000 to be provided for the assessment.

67

The managers direct that not less than $500,000 be made

available for the United States Telecommunications Training Institute, a long-standing and successful program that provides communications and broadcasting training to professionals around the

world. The Senate amendment included bill language mandating

that such funds be made available for this purpose. The House bill

did not address this matter.

The conference agreement provides that $18,000,000 should be

made available for the American Schools and Hospitals Abroad

(ASHA) program. The Senate amendment included bill language

mandating that $19,000,000 be made available for this purpose.

The House bill did not address this matter. The managers direct

ASHA to give full consideration to grant proposals from all qualified institutions. These may include grant proposals for curriculum,

staff support, and related expenses and for expansion overseas facilities owned and operated by U.S. based, non-profit educational

institutions. No regulation, statute, or congressional directive precludes ASHA funds from being utilized for these purposes.

The managers strongly support programs to protect the environment, including biodiversity and endangered species. They also

support sustainable use of natural resources and sustainable agriculture and programs that conserve energy and promote efficient

energy production and use in developing countries. The conference

agreement includes language similar to the Senate bill, which provides that $275,000,000 should be made available for these activities. Of this amount, $100,000,000 should be made available for

programs to protect biodiversity.

The conference agreement includes language similar to the Senate amendment, which provides that $2,000,000 should be

made available from ‘‘Development Assistance’’ and the ‘‘Child Survival and Health Programs Fund’’ for activities in Laos. These

funds are to be made available only through nongovernmental organizations to address basic human needs. The managers are extremely troubled by the repressive policies of the Government of

Laos. In addition to condemning the wholesale denial of human

rights to the people of Laos, particularly the Hmong, the managers

are concerned about a recent event in which several European nationals were arrested, detained in inhumane conditions, and eventually expelled from Laos for demonstrating for democracy and the

release of political prisoners. The House bill did not address this

matter.

As a result of the situation since September 11, 2001, the managers support and urge USAID to include in its initiative to prevent conflict $2,500,000 to support environmental threat assessments and preventive solutions. The Foundation for Security and

Sustainability is prepared to mobilize its interdisciplinary experts

to address urgent challenges such as highly infectious diseases and

environmental indicators to provide credible warnings as they pertain to the security of key regions.

The conferees continue to strongly support dairy development

and urge the USAID to provide $8,000,000 to fund new projects in

fiscal year 2002, the same level provided for the past two years.

The program has helped the U.S. dairy industry become more competitive through promoting American technology, equipment, inVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00067 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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puts and industry-based technical assistance in developing and

market transition countries.

The managers support the language in House Report 107–142

regarding education and technology in Africa, especially with regard to the Education of Development and Democracy Initiative

(EDDI) and the AFTECH initiative. As such, the managers strongly recommend that $17,000,000 be made available for EDDI in fiscal year 2002, instead of the multiyear funding recommendation in

the House Report. The managers also support the Republic of Congo’s (Brazzaville) efforts to achieve economic self sufficiency and

democratic reform following its civil war. The conferees strongly encourage USAID to support the Congo Republic’s multi-year effort to

boost local production of agricultural foodstuffs. This project complements the Agency’s ongoing effort to engage the private sector

in developing methods to achieve food security in Africa.

The managers endorse House and Senate report language supporting assistance for victims of torture and recommend

$10,000,000 for these activities, including treatment centers. The

managers are also aware of the Hacia La Seguridad program in

Quito, Ecuador and the United States-Honduras Program of Investments Alliance and encourage USAID to consider proposals for supporting both projects. The managers also endorse the Senate report

language recommending support for the Navsarjan Trust in India.

The managers recognize the important contributions made by

American volunteers through the Citizens Democracy Corps and

the International Executive Service Corps (IESC), and support additional funding by USAID over and above existing grants and cooperative agreements for both PVOs. In particular, the managers

support proposals by the IESC to renew its technical assistance activities in small and medium-sized enterprises in Latin America,

Africa, and Asia.

The managers expect USAID to comply with the House Report

directives, as modified below, as it develops more fully its Global

Development Alliance concept. Until those recommendations have

been implemented, as determined by the Committees, any proposed

obligations from Development Assistance appropriations for Global

Development Alliance programs, projects or activities shall be subject to the regular notification procedures of the Committees on Appropriations on a case-by-case basis. Overall, any allocation or reservation of funds for a Global Development Alliance in USAID’s op- erating year budget shall be limited to $20,000,000 during fiscal

year 2002.

BURMA

The conference agreement contains language that provides

that of the funds appropriated for the Economic Support Fund, not

less than $6,500,000 shall be made available to support democracy

activities in Burma and for related activities outside of Burma.

These funds are available notwithstanding any other provision of

law, but shall be made available subject to the regular notification

procedures of the Committees on Appropriations. The conference

agreement also amends a similar provision for the fiscal year 2001

appropriations act to provide for the use of funds appropriated

under ‘‘Child Survival and Disease Programs Fund’’ for activities in

69

Burma. The conference agreement does not contain Senate language that conditioned the use of funds on the direct involvement

of the National League for Democracy.

The managers expect that programs and activities conducted

inside Burma will be carried out in consultation with the leadership of the National League for Democracy (NLD). The managers

do not support the provision of any assistance to the State Peace

and Development Council (SPDC), and encourage a just and peaceful settlement to the political stalemate.

The managers are deeply concerned with the detention of Burma’s legitimately elected leader Daw Aung San Suu Kyi, and the

imprisonment and torture of Burmese democracy activists. The

managers recognize the humanitarian crises that exist in Burma

today, including an explosive HIV/AIDS infection rate, and condemn the repressive policies of the SPDC that directly contribute

to human suffering in that country. The managers denounce the

SPDC’s efforts to obtain a nuclear reactor and its recent decision

to purchase ten MIG–29 fighter aircraft. These funds could be better used for basic health care for the Burmese people.

The managers note that talks have taken place between the

NLD and the SPDC, and a few political prisoners have been released. However, at the current rate it will take a decade before all

1,800 political prisoners are set free. The managers urge the immediate and unconditional release of all prisoners of conscience in

Burma. The SPDC is also urged to allow NLD offices to reopen

throughout Burma and to operate without restriction.

The managers request that within 90 days of enactment of the

Act, the Administrator of USAID, in consultation with the Under

Secretary of State for Global Affairs, provide a report to the Committees on Appropriations on the extent of the HIV/AIDS epidemic

in Burma, including recommendations for action that the United

States Government could take to limit the spread of HIV/AIDS in

Burma. The recommendations may not include direct support to

the SPDC.

INTERNATIONAL DISASTER ASSISTANCE

The conference agreement appropriates $235,500,000 for

‘‘International Disaster Assistance’’, instead of $245,000,000 as proposed by the Senate and $201,000,000 as proposed by the House

bill. The managers have agreed to a 17.5 percent increase above

the request in anticipation that additional resources will be needed

for humanitarian assistance, especially in Central America and

sub-Saharan Africa. The director of the Office of Foreign Disaster

Assistance is to consult with the Committees not less than every

three months, on the current status of commitments, obligations,

and expenditures by the Office and on any proposals to augment

‘‘International Disaster Assistance’’ by transfers from other accounts.

The conferees urge USAID to at least double its disaster preparedness programs and activities in South Asia by initiating offers

of technical assistance in this area with the Governments of India

and other regional states. Not less than $5,000,000 should be committed by the Office of Foreign Disaster Assistance to develop national and regional emergency response capabilities to prevent unVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00069 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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necessary loss of life and property during frequent natural disasters such as cyclones, earthquakes and floods. This program should

be designed to promote regional cooperation and stability.

TRANSITION INITIATIVES

The conference agreement appropriates $50,000,000 for ‘‘Transition Initiatives’’ to support USAID’s Office of Transition Initiatives (OTI). The House bill proposed $40,000,000 and the Senate

amendment $52,500,000 for this account. The conference agreement requires that USAID submit a report to the Appropriations

Committees not less than five days prior to beginning a new program of assistance. The House bill contained a similar provision.

The managers recognize the importance of identifying and supporting women leaders in post-conflict societies, and urge USAID

and the Department of State to make women’s leadership training

a central part of U.S. transition assistance to the people of Afghanistan and the surrounding region. The Vital Voices Leadership Institute is among the groups with the expertise to move quickly to

implement such a program. The conferees urge USAID and the

State Department to quickly identify opportunities for such initiatives within Afghanistan.

DEVELOPMENT CREDIT AUTHORITY

(INCLUDING TRANSFER OF FUNDS)

The conference agreement appropriates up to $18,500,000 by

transfer from funds made available under the heading ‘‘Development Assistance’’ for the cost of loans and loan guarantees for

USAID’s Development Credit Authority, instead of $25,000,000 as

proposed by the Senate and $12,500,000 as proposed by the House.

In addition, the conference agreement includes urban programs

among the potential beneficiaries and extends the availability of

the credit subsidy authority until September 30, 2007, instead of

until expended as proposed by the Senate.

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR

INTERNATIONAL DEVELOPMENT

The conference agreement includes language providing that up

to $10,000,000 may be made available until expended for securityrelated costs.

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR

INTERNATIONAL DEVELOPMENT

OFFICE OF INSPECTOR GENERAL

The conference agreement appropriates $31,500,000 for Operating Expenses of the United States Agency for International Development, Office of Inspector General, instead of $32,000,000 as

proposed by the Senate and $30,000,000 as proposed by the House.

The managers encourage the Inspector General to continue the policy of constructive and ongoing reviews of USAID’s attempts to resolve its serious financial and human resource management and

procurement challenges. The managers also request the Inspector

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General to inform the Committee promptly of any emerging deficiencies.

OTHER BILATERAL ECONOMIC ASSISTANCE

ECONOMIC SUPPORT FUND

The conference agreement appropriates $2,199,000,000 for the

Economic Support Fund as proposed by the House instead of

$2,239,500,000 as proposed by the Senate.

The conference agreement includes language that provides not less than $200,000,000 for the Commodity Import Program in

Egypt. The Senate amendment had proposed not less than

$160,000,000 for this program, while the House bill did not address

this matter.

The conference agreement also includes language that provides that not less than $150,000,000 should be made available for assistance for Jordan. The Senate language would have mandated

this level of support. The House bill did not address this matter.

The conference agreement also includes language that provides that not less than $25,000,000 shall be made available for East

Timor, including up to $1,000,000 which may be transferred to and

merged with Operating Expenses of the United States Agency for

International Development. The House bill did not address this

matter.

The conference agreement includes Senate language that pro- vides that not less $15,000,000 shall be available for assistance for

Cyprus. The House bill had similar language, but it provided that

$15,000,000 should be made available rather than making this

level mandatory.

In addition, the conference report provides not less than $35,000,000 for assistance for Lebanon. The managers are concerned with the failure of the Government of Lebanon, despite repeated requests at the highest levels, to enforce the orders of Lebanese courts requiring the return of abducted American children in

Lebanon. The conference agreement provides that the Government

of Lebanon should enforce the custody and international pickup orders, issued during calendar year 2001, of Lebanon’s civil courts regarding abducted American children in Lebanon. The House bill

had language that provided this level of assistance for Lebanon,

but did not include Senate language regarding child custody and

international pickup orders.

The managers are deeply concerned by reports that the Government of Lebanon will not cooperate with the President’s request, made pursuant to Executive Order 13224, to freeze the assets of Hezbollah, a group included on the State Department’s list

of terrorist organizations. The managers will closely monitor the

Government of Lebanon’s future cooperation with this and other

aspects of the campaign against terrorism. The managers note that

any funding provided in this account to the Central Government of

Lebanon is subject to Congressional notification.

The conference agreement includes language that provides that

$50,000,000 of the funds appropriated under this heading should

be provided for Indonesia. The Senate amendment contained language that provided that $135,000,000 should be provided for IndoVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00071 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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nesia from ‘‘Economic Support Fund’’, as well as from ‘‘Development Assistance’’ and ‘‘Child Survival and Health Programs Fund’’. The House bill did not address this matter.

The conference agreement does not include Senate language providing that not less than $10,000,000 from various accounts

should be made available for humanitarian, economic rehabilitation

and reconstruction, political reconciliation and related activities in

Aceh, Papua, West Timor and Malukus. However, the managers direct USAID to urgently pursue opportunities to provide such assistance to address urgent needs in these impoverished and politically

volatile regions. Funds made available for these purposes may be

made available to and managed by the Office of Transition Initiatives.

The managers remain concerned with the political situation in

Indonesia, and encourage the Government to continue to implement needed political, legal, economic, and military reforms. While

the managers appreciate the complex situation within Indonesia,

they find criticism by President Megawati Sukarnoputri of American-led efforts to counter international terrorism to be dismaying.

The managers did not include Senate language relating to

funding for the Documentation Center of Cambodia, but recognize

the vital research the Center provides to the people of Cambodia

on atrocities committed by the Khmer Rouge. The managers expect

the Department of State and USAID to provide sufficient levels of

funding to the Center, and endorse the Senate report language on

this matter. The managers request the Secretary of State to report

to the Committees on Appropriations not later than 60 days after

the enactment of this Act on a multi-year funding strategy for the

Documentation Center of Cambodia.

The conference agreement does not include Senate language that stated that not less than $12,000,000 should be made available for Mongolia. However, the managers support this level of

funding for assistance for Mongolia, which is consistent with the

budget request.

The managers direct that $53,000,000 of the funds appropriated in this account be provided for reproductive health/family

planning, as assumed in the budget request.

The conferees reiterate their support for conflict prevention

analysis in light of the events of September 11th, and urge the Administration to provide funding for groups previously cited, such as

the International Crisis Group, whose work identifies and addresses the causes of conflict and the failed states which breed terrorism. The managers also reiterate support for important conflict

resolution programs as described in the House and Senate reports,

including funding of up to $1,000,000 for Seeds of Peace and up to

$1,000,000 for the School for International Training’s Conflict

Transformation Across Cultures Program (CONTACT).

The managers endorse the House report language regarding

support for the International Arid Lands Consortium. In addition,

the managers express support for the House report language regarding the Blaustein Institute for Desert Research.

The conference agreement also includes House language that

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fication procedures of the Committees on Appropriations, to provide

certain specified assistance to the National Democratic Alliance of

Sudan. The Senate amendment contained similar language, but included a ceiling of $10,000,000 on funds for this purpose.

Significant developments in Sudan have opened the door for

historical changes for the suffering people there. A special humanitarian relief flight sponsored by the United States and cleared by

the Sudan People’s Liberation Movement (SPLM) and the government of Sudan has delivered over eight metric tons of wheat to the

remote Nuba Mountain area that had been cut off from international assistance. The United States is negotiating expanded delivery of food aid through air drops to the Nuba Mountains to be

implemented by the World Food Program. In order to set up and

maintain these proposed initiatives, the managers support additional funding for new programs including expanded access for humanitarian assistance, education, agriculture, peace building, and

reconciliation in war-affected areas of Sudan and to refugees in

neighboring countries.

The conference agreement includes language that provides,

with respect to funds appropriated under the heading ‘‘Economic

Support Fund’’ in this Act or prior Acts making appropriations for

foreign operations, export financing, and related programs, the responsibility for policy decisions and justifications for the use of

such funds, including whether there will be a program for a country that uses those funds and the amount of each such program,

shall be the responsibility of the Secretary of State and the Deputy

Secretary of State and this responsibility shall not be delegated.

The managers are concerned that the programs and activities funded through this account accurately reflect both the priorities of the

Secretary of State and the budget justification material provided to

the Committees on Appropriations, as modified by the conference

agreement. The managers reiterate the importance of Congressional intent in the programming of funds appropriated to the Economic Support Fund, and anticipate a cooperative approach during

fiscal year 2002 on funding allocations and programming decisions.

To improve accountability for the delivery of assistance, the managers urge the Department of State and the Office of Management

and Budget to streamline the current process of apportioning Economic Support Funds so that the bureau or agency designated by

the Secretary or Deputy Secretary to obligate and manage the

funds is able to do so in a more efficient and timely manner.

The managers endorse the Senate report language concerning

the jurisdiction of and accelerated U.S. financial support for the

war crimes tribunal for Sierra Leone.

The managers encourage the State Department to support programs designed to connect the information technology networks of

Central Asian and Central and Eastern European members of the

Partnership for Peace, to help strengthen integration and cooperation between these nations.

INTERNATIONAL FUND FOR IRELAND

The conference agreement appropriates $25,000,000 as proposed by the House. The Senate amendment contained no provision

on this matter.

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ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC STATES

The conference agreement appropriates $621,000,000, instead

of $615,000,000 as proposed by the Senate and $600,000,000 as

proposed by the House. The conference agreement also provides authority to provide up to $43,000,000 for debt relief and restructuring for the Federal Republic of Yugoslavia (FRY), of which not

to exceed $21,500,000 would be derived from funds appropriated in

this and prior Acts under this account, and not to exceed

$21,500,000 would be derived from funds appropriated in this and

prior Acts for the Economic Support Fund. The managers note that

a modification of direct loans and guarantees for the FRY using

funds appropriated under this Act or under prior year foreign operations, export financing or related programs appropriations Acts

shall not be considered assistance for purposes of any provision of

law limiting assistance to a country.

The conference report also contains Senate language making a

reference in paragraph (e) to paragraph (d); this is a technical

amendment.

The managers recommend that $3,000,000 be provided to the

United Nations Children’s Fund (UNICEF) for a program in Bosnia

for the protection of unaccompanied children and children at risk

of being institutionalized. The program would focus on reforming

residential institutions, strengthening social welfare centers for

children, and helping to prevent abuse of, and violence against,

children in Bosnia.

The managers direct that $10,000,000 of the funds appropriated in this account be provided for reproductive health/family

planning.

The managers recommend that funding should be provided for

the Russian, Eurasian, and East European Research and Training

Program (Title VIII) at a level of at least $5,000,000. The managers

strongly recommend that the existing administrative mechanism

within the Department of State for the Title VIII program be preserved.

ASSISTANCE FOR THE INDEPENDENT STATES OF THE FORMER SOVIET

UNION

The conference agreement appropriates $784,000,000, instead

of $768,000,000 as proposed by the House and $795,500,000 as proposed by the Senate.

The conference agreement includes not less than $49,000,000

only for child survival, environmental and other health activities,

and programs to reduce the incidence of HIV/AIDS, tuberculosis,

and other infectious diseases, including $15,000,000 for reproductive health/family planning.

The managers strongly support regional cooperation efforts

among the countries of Armenia, Azerbaijan, and Georgia. To further regional cooperation, the conference agreement continues the

current six exemptions from the statutory restrictions on assistance

to the Government of Azerbaijan. The managers include a provision

that funds available for the Southern Caucasus may be used for

confidence-building measures and other activities related to the

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resolution of regional conflicts, notwithstanding any other provision

of law, as proposed by the Senate. The conference agreement includes not less than $90,000,000

for assistance for Armenia under the heading ‘‘Assistance for the

Independent States of the Former Soviet Union’’ and $4,000,000

under the heading ‘‘Foreign Military Financing Program’’. In addition, the managers direct that not less than $300,000 be provided

for Armenia under the heading ‘‘International Military Education

and Training’’. The managers endorse the provision of $5,000,000

for an education initiative, proposed by the Senate amendment, to

provide computer equipment, internet access, and related assistance to primary and secondary schools in Armenia, and support the

provision of assistance under title II of this Act for programs and

activities to counter weapons of mass destruction, improve regional

stability, increase inter-operational capabilities with the United

States, and clear land mines.

The conference agreement includes Senate language that provides a conditional waiver of section 907 of the FREEDOM Support

Act for the purposes of providing assistance to Azerbaijan to

counter international terrorism. The language makes clear the intent of Congress that the provision of such assistance shall not

hamper or deter ongoing efforts to negotiate a peaceful settlement

of the Nagorno-Karabagh conflict, or be used for offensive purposes

against any Armenian community in the Caucasus region. The

waiver is conditional upon cooperation with the United States in

the international fight against terrorism, and the managers intend

to review and reserve the right to amend the waiver language in

the fiscal year 2003 appropriations process. In undertaking its review, the managers expect to consider the progress of the investigation by the Government of Azerbaijan into the murder of John

Alvis, a democracy worker with the International Republican Institute.

The conference agreement provides that $90,000,000 of the

funds in this account should be provided for Georgia. The managers urge the Coordinator and USAID to allocate $3,000,000 for

a small business project to promote private sector technology startups in Georgia and award grants directly to the ongoing AtlantaTbilisi Partnership’s Sustained Healthcare Initiative, instead of

through the American International Health Alliance as discussed

in House Report 107–142.

The conference agreement includes language providing that

$154,000,000 should be made available for Ukraine, instead of an

earmark of $180,000,000 as proposed by the Senate and a ceiling

of $125,000,000 as proposed by the House. Of the amount for

Ukraine, not less than $30,000,000 should be provided for nuclear

reactor safety programs. The managers also support the initiation

of simulator projects at the Rivne and the Khmelnitsky reactors,

and the provision of related safety simulator equipment at other reactors. The managers have also included a Senate provision requiring the Department of State to report on the progress in resolving

the murders of Ukrainian journalists. The managers endorse House

report language on child survival and health activities in Ukraine.

The managers have concluded that assistance for Ukraine can

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nomic, legal, and democratic reforms. The managers note that assistance to 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 conference agreement includes conditions on assistance to

the Government of the Russian Federation, with exceptions for

specified humanitarian and security programs, with respect to its

adherence in the Northern Caucasus to certain conventional arms

and human rights conventions and agreements, as proposed by

both the House and the Senate. The managers reiterate language

in the Statement of the Managers from prior years with regard to

other limitations on assistance, ‘‘that assistance to combat infectious diseases, . . . support for regional and municipal governments, and partnerships between United States hospitals, universities, judicial training institutions and environmental organizations and counterparts in Russia should not be affected by this section.’’

The conference agreement includes language providing not less than $17,500,000 for the Russian Far East. The Senate amendment

had included not less than $20,000,000 for this purpose. This matter was not addressed in the House bill.

The conference agreement does not include Senate bill language providing that not to exceed 8 percent of the funds provided

for any single nuclear safety project may be used to pay for management costs incurred by a United States agency or national lab

in administering said project. The House did not address this matter. The managers endorse this cap on management costs.

The conference agreement again directs the Coordinator of Assistance to the Independent States to obligate not less than

$1,500,000, primarily through locally-based and indigenous private

voluntary organizations, to reduce trafficking in women and children. The managers urge the Coordinator to augment anti-trafficking projects by continuing and strengthening law enforcement

and other activities to reduce all forms of violence against women.

United States national security interests in Central Asia intensified as a result of the September 11th attack on the United

States. The managers recognize that countries in the region are

playing a supportive role in the international coalition allied

against terrorism and are on the front line of U.S. efforts to isolate

and destroy the Al Queda network.

The managers believe that the United States should develop a

targeted foreign aid response for Central Asia to counter the destabilizing effects of the war against terrorism. As part of this response, the United States should actively consider micro-lending

institutions. Such organizations can serve as a vehicle for increasing the economic participation and security of the working poor and

thus constitute a strategy to limit further marginalization and foster economic stability and democracy in the region.

While only a fraction of the population of the Central Asia region has access to financial services, certain countries have strong

or emerging micro-finance sectors. Kyrgyzstan has positioned itself

as the regional leader in micro-enterprise development. In Pakistan, the government has recently taken steps to promote the development of a micro-finance industry.

77

The managers believe that micro-enterprise development is a

potentially powerful tool in striking at the root causes of instability

that arise from the economic disenfranchisement of peoples in the

Central Asia region. The managers request that USAID provide, in

coordination with the National Security Council, the Department of

the Treasury, and the Office of Management & Budget, an addendum to the micro-enterprise report to Congress required by March,

2002 under the provisions of P.L. 106–309.

The managers recommend $2,000,000 to support expansion of

the Primary Healthcare Initiative to become self-sustaining.

The managers remain concerned that the initial budget request for the U.S. Russia Investment Fund (TUSRIF) is inadequate. The managers therefore urge that the Fund receive no less

than an additional $50,000,000 in fiscal year 2002. As with the enterprise fund in Poland the managers expect that more rapid capitalization of TUSRIF will lead over time to a similar repatriation

of foreign aid funds to the U.S. Treasury. In return for a more

rapid rate of investment the conferees also expect that TUSRIF

will develop more opportunities for United States companies and

investors throughout Russia.

The managers endorse House Report language under the heading ‘‘Expanded Threat Reduction’’ regarding collaborative research

grants for American and Russian scholars.

INDEPENDENT AGENCIES

INTER-AMERICAN FOUNDATION

The conference agreement appropriates $13,106,950 as proposed by the Senate instead of $12,000,000 as proposed by the

House.

AFRICAN DEVELOPMENT FOUNDATION

The conference agreement appropriates $16,542,000 as proposed by the Senate instead of $16,042,000 as proposed by the

House.

DEPARTMENT OF STATE

INTERNATIONAL NARCOTICS CONTROL AND LAW ENFORCEMENT

The conference agreement provides that $10,000,000 should be

made available for anti-trafficking in persons programs, as proposed by the Senate. The House addressed this matter in a general

provision.

The conference agreement makes available $21,738,000 for administrative expenses instead of $16,600,000 as proposed by the

House and the Senate.

The managers endorse House report language regarding

$10,000,000 in anti-crime programs for Africa.

ANDEAN COUNTERDRUG INITIATIVE

The conference agreement appropriates $625,000,000, instead

of $675,000,000 as proposed by the House and $547,000,000 as proposed by the Senate.

78

Additionally, the conference agreement allows for the authority to provide up to $35,000,000 through a permissive transfer from

the International Narcotics Control and Law Enforcement funds.

The managers intend that this discretionary authority shall apply

only to funds within the International Narcotics Control and Law

Enforcement account in this Act and in prior Acts making appropriations for foreign operations, export financing, and related programs. Such a transfer is subject to the regular notification procedures of the House and Senate Committees on Appropriations. In

the event of such a transfer, the managers intend for the funds to

support interdiction, alternative development, or other economic assistance to the Andean countries. The managers emphasize that

there are other funds for Andean nations in this Act that may be

made available for the Andean Regional Initiative (ARI).

The conference agreement includes no earmarks for Bolivia,

Ecuador, or Venezuela as proposed by the Senate. The House did

not address this matter. The managers strongly support the provision of $86,000,000 for assistance for Bolivia, and $33,000,000 for

assistance for Ecuador. The managers note the success these countries have had in combating narcotics cultivation and trafficking,

and expect the Department of State to ensure that successful programs and activities continue under the ARI.

The conference agreement does not include Senate bill lan- guage making available $2,000,000 for democracy-building activities in Venezuela. The managers strongly support efforts to promote democracy, the rule of law, and civil society in Venezuela and

note with concern that the country remains a significant transit

route for illegal drugs destined for the United States.

The conference report does not include language proposed by

the Administration that would have exempted funds appropriated

in fiscal year 2002 and subsequent fiscal years from the limitation

imposed in section 3204(a) of the Emergency Supplemental Act,

2000 (P.L. 106–246). It is the conferees’ understanding that funds

appropriated in this Act that are made available in support of Plan

Colombia satisfy the conditions set forth in section 3204(a) of the

Emergency Supplemental Act, 2000 (P.L. 106–246).

The managers are concerned that funds included in P.L. 106–

246 for assistance for the Colombian Fiscalia Human Rights Office,

have been allocated without consultation with the Appropriations

Committees for purposes that do not address this unit’s priority

needs of security, mobility and communications equipment for prosecutors, in particular for those prosecutors based in secondary cities and outlying regions. The managers direct the Department of

State and Department of Justice to consult with the committees

prior to the obligation or expenditure of funds appropriated in this

Act or in P.L. 106–246 for administration of justice programs in Colombia regarding the use of such funds.

The Colombian National Police (CNP) anti-drug unit has the

lead law enforcement role in the overall fight against illicit drugs

and a commendable human rights record. The CNP has already

been provided at least 8 Black Hawks and nearly 30 Huey II helicopters by the United States to carry out this important drug fighting function including providing protection of the eradication

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vided adequate spare parts and maintenance monies to keep this

equipment flying at the high rates of operation that has been seen

to date. The managers expect the Department of State to maximize

the U.S. investment in these expensive helicopters and other equipment provided the CNP by providing adequate parts.

The conference agreement includes language, similar to the

Senate amendment, requiring consultations, a determination and

report by the Secretary of State to ensure that chemicals used in

the aerial fumigation of coca do not pose unreasonable health or

safety risks to humans or the environment, and that the fumigation is conducted in accordance with regulatory controls in the U.S.

as described in the January 23, 2001 State Department health and

safety report on aerial spraying. Additionally, the managers have

required the Secretary of State to consult with the Colombian government to ensure that the spraying is in accordance with Colombian laws.

The managers are concerned with the lack of effective procedures for evaluating claims of local citizens that their health was

harmed or their licit agricultural crops were damaged by such fumigation. The managers are informed that, in order to correct

these problems, new procedures for handling claims have been put

in place. The conference agreement requires the Secretary to determine and report that procedures are available to evaluate such

claims, and the managers direct the Secretary to report to the

Committees on Appropriations not later than 90 days after enactment on the effectiveness of these new procedures.

The managers are concerned that coca eradication in some

areas has proceeded before effective alternative development programs have been in place, and that some farmers in those areas

have already replanted coca. In order to ensure that farmers whose

coca is eradicated have alternative sources of income, access to

markets and social services, the Conference Agreement includes

Senate language requiring that within 6 months of the date of enactment alternative development programs have been developed in

consultation with communities and local authorities in each department in which aerial fumigation is planned, and that such programs are being implemented in each department in which aerial

coca fumigation has been conducted.

The conference agreement includes the Senate provision requiring the return of any helicopter found to aid or abet paramilitary groups. The House did not address this matter.

While the managers fully appreciate the linkages between

narco-traffickers and Colombian guerrilla movements and paramilitary organizations, they remain concerned with the prospects of

involvement by the United States in Colombia’s civil war. The

managers strongly express reservations and objections to any mission creep in Colombia beyond ongoing counterdrug efforts.

The conference agreement includes a provision prohibiting

funds for the resumption of flights in support of a Peruvian air

interdiction program until a system of enhanced safeguards are in

place. The conference agreement differs from the conditions on

funding for Peru as proposed by the House. The first condition, the

submission of a report by the Secretary of State, has been provided

to the Congress. The second condition requires that the resumption

80

of flights in Peru must include enhanced safeguards, and to date

the State Department has not decided to resume flights in Peru.

The Senate did not address this matter.

The conference agreement makes available $14,240,000 for ad- ministrative expenses of the Department of State and $4,500,000

for the U.S. Agency for International Development.

MIGRATION AND REFUGEE ASSISTANCE

The conference agreement appropriates $705,000,000, instead of $715,000,000 as proposed by the House and $735,000,000 as proposed by the Senate. The primary reason for this level of funding

is that $100,000,000 in supplemental funding for Migration and

Refugee Assistance has already been provided to deal with the refugee crisis in Central Asia, which will help to relieve pressure on

the fiscal year 2002 budget for this account. The managers expect

that this level of funding will not be misinterpreted as a lack of

support for Migration and Refugee Assistance by the Administration when submitting future budget requests. The conference

agreement makes available $16,000,000, for administrative expenses as proposed by the Senate instead of $15,000,000 as proposed in the House.

Although refugee crises are often temporary, the managers are

aware that in many instances it is necessary to provide relief services over an extended period of time. The managers encourage

USAID and the State Department to invest in basic health, education services, and food production industries in developing countries where there are longer-term refugee crises.

The conference agreement prohibits funds for headquarters

costs of the International Committee of the Red Cross (ICRC) until

the Secretary of State certifies that the Magen David Adom Society

of Israel is not being denied participation in ICRC activities, as

proposed by the House. The Senate amendment did not address

this matter.

The managers are concerned with the increasing dangers facing humanitarian relief workers in conflict zones, and endorse Senate report language directing the Secretary of State to submit a report by April 1, 2002, on efforts to improve the safety of relief

workers.

The conference agreement also includes Senate language that provides not less than $60,000,000 for refugees from the former Soviet Union and Eastern Europe and other refugees resettling in

Israel. The House bill did not address this matter.

NONPROLIFERATION, ANTI-TERRORISM, DEMINING AND RELATED

PROGRAMS

The conference agreement appropriates $313,500,000 instead

of $311,000,000 as proposed by the House and $318,500,000 as proposed by the Senate.

The managers intend that funds in this account be allocated as

follows:

[In thousands of dollars]

Nonproliferation and Disarmament Fund ..................................................... $14,000

Export control assistance ................................................................................ 17,000

International Atomic Energy Agency ............................................................. 50,000

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CTBT Preparatory Commission ..................................................................... 20,000

Korean Peninsula Economic Development Organization (KEDO) .............. 90,500

Anti-terrorism assistance ................................................................................ 38,000

Terrorist Interdiction Program ....................................................................... 4,000

Demining .......................................................................................................... 40,000

Small arms destruction ................................................................................... 3,000

Science Centers ................................................................................................ 37,000

Total ....................................................................................................... 313,500

The conference agreement includes language that requires that

the Secretary of State inform the Committees on Appropriations at

least 15 days prior to the obligation of funds for the Comprehensive

Nuclear Test Ban Treaty (CTBT) Preparatory Commission. The

House bill would have required a 20 day informational period,

while the Senate amendment would have required a 10 day informational period.

The conference agreement includes Senate language authorizing not to exceed $500,000 for administrative expenses associated

with the demining program. The House bill did not address this

matter. The conference agreement does not contain Senate language stating that $40,000,000 should be used for demining, clearance of unexploded ordnance and related activities; however, the

managers support the budget request of $40,000,000 for these purposes.

The conference agreement does not contain Senate language

providing that $3,500,000 should be available to support the Small

Arms Destruction Initiative. The managers strongly support a level

of $3,000,000 for this program and endorse the Senate report language on this matter.

DEPARTMENT OF THE TREASURY

INTERNATIONAL AFFAIRS TECHNICAL ASSISTANCE

The conference agreement provides $6,500,000 for the International Affairs Technical Assistance program of the Department of

the Treasury, instead of $6,000,000 as proposed by the House, the

Senate, and the President’s request. The managers direct that the

additional $500,000 be used to assist HIPC countries in Africa and

will be in addition to the $3,000,000 already dedicated to existing

Treasury International Affairs Technical Assistance programs and

activities in Africa.

DEBT RESTRUCTURING

The conference agreement appropriates $229,000,000 for debt

restructuring instead of $224,000,000 as proposed by the House

and $235,000,000 as proposed by the Senate. The managers make

available $5,000,000 in fiscal year 2002 funds and up to

$20,000,000 from unobligated balances for implementation of the

Tropical Forest Conservation Act. The remainder of the amount

provided for debt restructuring may be used at the Administration’s discretion, subject to certain reporting and notification requirements, either for bilateral debt restructuring or for United

States contributions to the Heavily Indebted Poor Country (HIPC)

Trust Fund administered by the World Bank.

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TITLE III—MILITARY ASSISTANCE

INTERNATIONAL MILITARY EDUCATION AND TRAINING

The conference agreement appropriates $70,000,000, instead of

$65,000,000 as proposed by the House and $75,000,000 as proposed

by the Senate. The conference agreement also contains language

providing that up to $3,000,000 may be available until expended,

instead of $1,000,000 as proposed by the House and $5,000,000 as

proposed by the Senate.

The conference agreement does not include Senate language

that would have required notification for assistance for Zimbabwe,

the Democratic Republic of Congo, Cote D’Ivoire and The Gambia.

The managers note that assistance for Zimbabwe and the Democratic Republic of Congo is subject to the notification provisions of

section 520 of this Act. Prior to any decision to obligate funds for

Cote D’Ivoire, the managers expect that the Departments of State

and Defense will consult with the Committees on Appropriations.

The conference agreement provides that funding for Algeria

shall be subject to the regular notification procedures of the Committees on Appropriations as proposed by the Senate. The House

bill did not address this matter.

The conference agreement does not contain language that

would have provided not less than $600,000 for Armenia. However,

the managers support funding for a program for Armenia at a level

of not less than $300,000.

The managers urge that a program for Colombia to define

structures and processes for responding to armed conflict and

maintaining civilian control of the military be considered at the

Naval Postgraduate School.

FOREIGN MILITARY FINANCING PROGRAM

The conference agreement appropriates $3,650,000,000 instead

of $3,627,000,000 as proposed by the House and $3,674,000,000 as

proposed by the Senate.

The conference agreement includes Senate language that provides not less than $75,000,000 for assistance for Jordan. The

House bill did not address this matter.

The conference agreement includes language that provides that

not less than $3,500,000 in grant assistance should be made available for Tunisia, as well as language mandating not less than

$5,000,000 in drawdowns of defense articles, services, and education and training for Tunisia. The Senate amendment directed

the allocation of $5,000,000 and $5,000,000, respectively, for these

activities. The House bill did not address this matter.

The conference agreement contains language that provides not

less than $2,300,000 for assistance for Thailand, of which not less

than $1,000,000 shall be derived from funds appropriated under

the heading ‘‘International Narcotics Control and Law Enforcement’’ in addition to funds otherwise available for such purposes.

The Senate amendment proposed similar language, but did not address a transfer from ‘‘International Narcotics Control and Law Enforcement’’. The House bill did not address this matter. The manVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00082 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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agers are agreed that this grant assistance shall be made available

for one-time costs associated with border security.

The conference agreement contains Senate language that provides not less than $4,000,000 for assistance for Armenia. The

House bill did not address this matter.

The conference agreement also contains Senate language that

amends the ninth proviso under this heading in Public Law 106–

429 to allow for a mandated drawdown of defense articles, services,

and education and training for Georgia for 2001 or 2002. The

House bill did not contain a provision on this matter.

PEACEKEEPING OPERATIONS

The conference agreement appropriates $135,000,000 as proposed by the House instead of $140,000,000 as proposed by the

Senate.

TITLE IV—MULTILATERAL ECONOMIC ASSISTANCE

INTERNATIONAL FINANCIAL INSTITUTIONS

GLOBAL ENVIRONMENT FACILITY

The conference agreement appropriates $100,500,000 for the

Global Environment Facility instead of $82,500,000 as proposed by

the House and $109,500,000 as proposed by the Senate.

CONTRIBUTION TO THE INTERNATIONAL DEVELOPMENT ASSOCIATION

The conference agreement appropriates $792,400,000 instead

of $803,400,000 as proposed by the House and $775,000,000 as proposed by the Senate. The managers have included modified language as proposed by the Senate, regarding instructions to the U.S.

executive director to the International Bank for Reconstruction and

Development (IBRD) to vote against water or sewage projects in

India that do not prohibit the use of scavenger labor. The House

did not address this matter. Manual scavenging is a particular occupation in India only for Dalits or ‘‘untouchables’’ that entails

waste collection and disposal through primitive and squalid means.

Over 500,000 Dalits in India are employed as manual scavengers,

and Dalits who seek to avoid this demeaning and unhealthy labor

are often denied other jobs. India is one of the largest borrowers

from the World Bank with over $11 billion in IBRD loans in 2001,

some of which fund government sanitation programs. Given that

the Indian government has banned manual scavenging, once these

laws are implemented there would be other employment opportunities for Dalits. The managers urge the IBRD to work with the Indian government to improve the economic and social status of

Dalits.

CONTRIBUTION TO THE MULTILATERAL INVESTMENT GUARANTEE

AGENCY

The conference agreement appropriates $5,000,000 for paid-in

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ital is also included in the conference agreement. The House and

Senate included authority for callable capital only.

CONTRIBUTION TO THE INTER-AMERICAN INVESTMENT CORPORATION

The conference agreement appropriates $18,000,000 for a

United States contribution to the Inter-American Investment Corporation, instead of $10,000,000 as proposed by the House and

$20,000,000 as proposed by the Senate.

CONTRIBUTION TO THE ASIAN DEVELOPMENT FUND

The conference agreement appropriates $98,017,050 for the

Asian Development Fund, instead of $93,017,050 as proposed by

the House and $103,017,050 as proposed by the Senate.

INTERNATIONAL ORGANIZATIONS AND PROGRAMS

The conference agreement provides $208,500,000 instead of

$196,000,000 as proposed by the House and $218,000,000 as proposed by Senate.

The conference agreement provides that $6,000,000 should be

made available for the World Food Program, as proposed by the

Senate. The House did not include this language.

The managers support $5,000,000 from this account for a

United States contribution to the United Nations Voluntary Fund

for Victims of Torture Program, as recommended in the House and

Senate Reports, and $97,100,000 for the United Nations Development Program, as recommended in the House and Senate Reports.

The conferees urge that $60,000 be provided to cover the expenses relating to the development of a Guide to Best Practice by

the Permanent Bureau of the Hague Convention on Private International Law to cover the application of the Hague Convention on

Civil Aspects of International Child Abduction.

The managers intend that funds in this account be allocated as

follows:

[In thousands of dollars]

UN Fund for Tech. Cooperation in Human Rights ....................................... $1,500

UN Voluntary Fund for Victims of Torture ................................................... 5,000

OAS Fund for Strengthening Democracy ...................................................... 2,500

World Food Program ....................................................................................... 6,000

UNDP ............................................................................................................... 97,100

UNIFEM ........................................................................................................... 1,000

OAS Development Assistance ......................................................................... 5,500

WTO .................................................................................................................. 1,000

ICAO Aviation Programs ................................................................................ 300

UNEP ................................................................................................................ 10,750

Montreal Protocol ............................................................................................ 25,000

International Conservation Programs (CITES/ITTO/IUCN/Ramsar/CCD) 7,700

IPCC/UNFCCC ................................................................................................ 7,400

International Contributions for Scientific Educational & Cultural Activities ................................................................................................................. 1,750

World Meteorological Organization ................................................................ 2,000

UNFPA ............................................................................................................. 34,000

Total ....................................................................................................... 208,500

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TITLE V—GENERAL PROVISIONS

(Note: If House and Senate language is identical except for a

different section number or minor technical differences, the section

is not discussed in the Statement of Managers.)

Sec. 505. Limitation on Representational Allowances

The conference agreement sets a limitation of $125,000 on representation allowances from funds appropriated under ‘‘Foreign

Military Financing Program,’’ instead of $150,000 as proposed by

the House and $100,000 as proposed by the Senate.

Sec. 507. Prohibition Against Direct Funding for Certain Countries

The conference agreement does not include Senate language

that adds a prohibition of direct assistance to the government of

any nation that the President determines is harboring, has financed, or is financing terrorists involved in the attacks of September 11, 2001. The House did not include such a provision. The

managers note that the President has the authority to undertake

this action and are confident he will exercise this authority should

the need arise.

Sec. 508. Military Coups

The conference agreement includes revised language that

specifies that funds shall be prohibited for the government of any

country whose duly elected head of government is deposed by decree or military coup, but it does not include broader conditions for

the resumption of assistance, as proposed by the House. The House

bill and the Senate amendment did not include the words ‘‘government of’’. Prior year language has been further modified to permit

the provision of assistance to promote democratic elections or public participation in democratic processes.

Sec. 515. Notification Requirements

The conference agreement reflects a technical change proposed

by the Senate to include ‘‘Andean Counterdrug Initiative’’ in the

list of accounts that are subject to notification pursuant to this section. The House did not address this matter. The conference agreement does not include Senate language, not in the House bill, that

imposed notification requirements on drawdowns pursuant to section 506(a)(2) of the Foreign Assistance Act. The managers note

that section 506(b)(1) of such Act already requires notifications for

drawdowns made for the purposes and under the authorities of several provisions of law, including chapter 8 of part I of the Foreign

Assistance Act relating to international narcotics control assistance.

Section 518. Prohibition on Funding for Abortions and Involuntary

Sterilization

The conference agreement does not include prior year language

prohibiting the use of funds to lobby for or against abortion, as proposed by the House bill. The conference agreement moves the ban

on use of funds for lobbying to language under the heading ‘‘Child

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Survival and Health Programs Fund’’, as proposed by the Senate

amendment.

Sec. 520. Special Notification Requirements

The conference agreement adds ‘‘Serbia’’ as proposed in the

Senate amendment to the list of countries subject to the special notification procedures of this section, but does not include ‘‘Burma’’, ‘‘Ethiopia’’ and ‘‘Eritrea’’ as recommended by the Senate.

Sec. 522. Child Survival and Health Activities

The conference agreement authorizes USAID to use up to $15,500,000 from the ‘‘Child Survival and Health Programs Fund’’ and up to $3,000,000 from ‘‘Development Assistance’’ for technical

experts from other government agencies, universities, and other institutions. The managers have increased this authority in order to

accelerate implementation and oversight of USAID’s expanded infectious disease and basic education activities. The managers direct

USAID to provide the Committees with a detailed multi-year workforce planning strategy not later than March 15, 2002, that includes target dates and anticipated costs or savings to replace or

reclassify the majority of the additional temporary personnel authorized by this section and by section 534(c) with direct hire

USAID Operating Expenses-funded personnel. A new subsection provides that $446,500,000 shall be made

available for reproductive health/family planning activities from

funds appropriated by this Act, including $368,500,000 from the

Child Survival and Health Programs Fund, $53,000,000 from the

Economic Support Fund, $15,000,000 from Assistance to the Independent States of the Former Soviet Union, and $10,000,000 from

Assistance to Eastern Europe and the Baltic States. The managers

have provided these funds in recognition of the continuing unmet

need for basic reproductive health/family planning services in developing countries, where 95 percent of new births will occur. The

managers have designated funds for the two regions of Eastern Europe and the former Soviet Union where the high frequency of

abortion adversely affects women’s reproductive health.

Section 523. Prohibition Against Indirect Funding to Certain Countries

The conference agreement does not include Senate language

that adds a prohibition of indirect assistance to the government of

any nation that the President determines is harboring, has financed, or is financing, terrorists involved in the attacks of September 11, 2001. The House did not include such a provision. The

managers note that the President has the authority to undertake

this action and are confident he will exercise this authority should

the need arise.

Sec. 525. Authorization Requirement

The conference agreement includes language that provides that

funds appropriated by this Act may be obligated and expended notwithstanding section 10 of Public Law 91–672 and section 15 of the

State Department Basic Authorities Act of 1956, as provided in the

House bill and the Senate amendment. It includes Senate language

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exempting the accounts ‘‘International Military Education and

Training’’ and ‘‘Foreign Military Financing Program’’ from these

waivers.

Sec. 526. Democracy Programs

The conference agreement contains language in subsection (a)

that authorizes funding for certain democracy programs. It includes

language similar to the Senate amendment that provides that not

less than $10,000,000 shall be made available for activities to support democracy, human rights, and the rule of law in the People’s

Republic of China. Of these funds, the managers support the programming of not less than $5,000,000 through the Human Rights

and Democracy Fund of the Bureau of Democracy, Human Rights

and Labor, Department of State. In addition, subsection (a) authorizes funding of not to exceed $3,000,000 for nongovernmental organizations located outside the People’s Republic of China to support

activities that preserve cultural traditions and promote sustainable

development and environmental conservation in Tibetan communities in Tibet, as authorized in the House bill. The House bill did

not address democracy activities in China. The managers are

aware of the valuable assistance the Bridge Fund has provided to

promote Tibetan-owned and operated businesses and educational,

cultural, and natural resource conservation projects and urge that

substantial funds be made available to the Bridge Fund and its

subgrantees.

The conference agreement does not include Senate language

that would have authorized funding of activities of the United

States-Asia Environmental Partnership within China. The House

bill did not address this matter.

The managers intend that within the amount identified above,

funds be made available to continue support for democracy programs for Tibet and China as described in the House report.

The conference agreement also includes language in subsection (b) that recommends that not less than $10,000,000 from funds appropriated to the Economic Support Fund should be made available

for programs and activities to foster democracy, human rights,

press freedoms, women’s development, and the rule of law in countries with a significant Muslim population, and where such programs and activities would be important to United States efforts to

respond to, deter, or prevent acts of international terrorism. The

language further specifies that such funds should support new initiatives or bolster ongoing programs and activities in those countries, and that not less than $6,000,000 should be made available

for the State Department’s Human Rights and Democracy Fund of

the Bureau of Democracy, Human Rights, and Labor, and not less

than $4,000,000 should be made available for the National Endowment for Democracy (NED). The funds for NED should be made

available using the authority of section 632(b) of the Foreign Assistance Act. The conference agreement is similar to language contained in section 592 of the Senate amendment. The House bill did

not address these matters.

The conference agreement does not contain language allocating

not less than $2,000,000 for programs and activities that train

emerging Afghan women leaders in civil society development and

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democracy building. However, the managers strongly support such

programs and urge the Department of State to provide up to

$2,000,000 for such activities.

In addition to the funding authorized in this section and ongoing funding to support the maintenance of the Reagan/Fascell Fellowship Program, the managers support the budget request for the

Human Rights and Democracy Fund of the Department of State.

Sec. 532. Authorities for the Peace Corps, Inter-American Foundation, and African Development Foundation

The conference agreement does not include language, as proposed by the Senate, to include a waiver of prohibitions against

certain activities for the International Fund for Agricultural Development (IFAD) from International Organizations and Programs

funds. IFAD is no longer funded from the International Organizations and Programs account.

Sec. 534. Special Authorities

The conference agreement deletes language proposed by the

House that provided that section 576 of the Foreign Operations,

Export Financing, and Related Programs Act, 1997, as amended,

shall not apply to the provision of assistance to the Federal Republic of Yugoslavia. The Senate amendment contained identical language in a general provision, and this matter is addressed in section 584 of the conference agreement.

The conference agreement does not contain language from the

House bill that was not in the Senate amendment that would have

subjected energy programs aimed at reducing greenhouse gas emissions to the regular notification requirements of the Committees on

Appropriations. In addition, it does not contain a reference in the

Senate amendment that was not in the House bill that adds the

Global Development Alliance initiative to the provisions of this section.

The conference agreement authorizes the President to use up

to $45,000,000 under the authority of section 451 of the Foreign

Assistance Act, rather than $50,000,000 as proposed by the House

and $35,000,000 as proposed by the Senate.

The conference agreement includes language from the Senate

amendment that was not in the House bill that states that in entering into multiple award indefinite-quantity contracts, USAID

may provide an exception to the fair opportunity process for placing

task orders under such contracts when the order is placed with any

category of small or small disadvantaged business.

The managers request that USAID place a high priority on

generating meaningful opportunities for small businesses to compete for procurement of the agency. Specifically, of the multiple

award indefinite quantity contract that will replace the current

Support for Economic Growth and Institutional Reform/Legal and

Institutional Reform contract, the managers support USAID’s decision to define ‘‘fair opportunity’’ for task orders in excess of

$750,000 as requiring the submission of resumes of proposed personnel or technical proposals from businesses eligible to compete

for such task orders.

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By one year after enactment of this act, the managers look forward to a report on the effect of this change in promoting small

business competition and participation in the contract, USAID’s

views as to whether such an approach should be extended to other

multiple award indefinite quantity contracts, and an identification

of annual benchmarks by which USAID will look to evaluate itself

for advancing the ability of small businesses to participate and effectively compete in the procurement process.

USAID is strongly encouraged to take such other steps that

would improve the participation of small businesses, as either

prime or subcontractors, in future indefinite quantity contracts and

to report to the Committees on Appropriations any legal or regulatory impediments to achieving this objective.

Sec. 539. Ceilings and Earmarks

The conference agreement includes Senate language that restores prior year language regarding earmarks and minimum funding levels. The House bill did not address this matter.

Sec. 545. Withholding of Assistance for Parking Fines Owed by Foreign Countries

The conference agreement allows 110 percent of the total

amount of unpaid fully adjudicated parking fines and penalties

owed by foreign countries to New York City, New York, to be withheld from obligation for assistance to such country, as proposed by

the Senate. The managers have modified similar prior year language relating to parking fines and penalties owed by foreign governments to the District of Columbia.

Sec. 547. War Crimes Tribunals Drawdown

The conference agreement includes House language authorizing up to $30,000,000 in drawdowns of commodities or services

for war crimes tribunals instead of $35,000,000 as proposed by the

Senate. It includes Senate language that authorizes such

drawdowns for tribunals authorized or established by the United

Nations Security Council. The conference agreement deletes House

language that specifies that any drawdown made under this section

shall not be construed as an endorsement or precedent for the establishment of any standing or permanent international criminal

tribunal or court. The managers note that section 705 of H.R. 3427,

as enacted into law as part of H.R. 3194 (Public Law 106–113) prohibits the obligation of any funds for use by, or for support of, the

International Criminal Court.

Sec. 548. Landmines

The conference agreement contains Senate language, not addressed in the House bill, that amends Public Law 102–484 to extend the ban on the export of landmines until October 23, 2008.

Sec. 553. Restrictions on Voluntary Contributions to United Nations

Agencies

The conference agreement is the same as current law, as proposed by the House. The Senate did not address this matter.

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Sec. 557. Discrimination Against Minority Religious Faiths in the

Russian Federation

The conference agreement retains prior year language as proposed by the House bill. The Senate amendment proposed technical

modifications.

Sec. 558. Assistance for the Middle East

The conference agreement contains House language that imposes a spending ceiling of $5,141,150,000 on specified assistance

for the Middle East. The Senate amendment did not address this

matter.

Sec. 559. Energy Conservation and Clean Energy Programs

The conference agreement requires the Executive Office of the

President to submit an updated and revised annual governmentwide report on federal activities and costs relating to climate

change and greenhouse gas emissions. The report is due not later

than 30 days following the date the President’s budget is submitted

to Congress, instead of on the same day that the budget is submitted as proposed by the Senate.

The managers have included a new provision, similar to the

Senate proposal, that not less than $155,000,000 should be made

available to support policies and actions in certain countries that

promote energy conservation and efficient energy production and

use; that measure, monitor, and reduce greenhouse gas emissions;

increase carbon sequestration activities; and enhance climate

change mitigation programs. The House bill did not address this

matter.

Sec. 560. Zimbabwe

The conference agreement includes the provision as included in

the Senate amendment to direct the Secretary of the Treasury to

instruct the United States executive directors to the international

financial institutions to vote against loans to the Government of

Zimbabwe, except humanitarian assistance and the promotion of

democracy. The House did not address this matter.

Sec. 561. Central America Relief and Reconstruction

The conference agreement extends current law by providing

authority to allow funds appropriated in Public Law 106–31 to be

used by the Comptroller General to monitor earthquake relief and

reconstruction activities in El Salvador. The House did not address

this matter.

Sec. 563. Cambodia

The conference agreement prohibits assistance to the central

Government of Cambodia, unless the Secretary of State certifies to

Congress that certain conditions have been met. The conditions

governing the restoration of assistance are similar to those contained in the Senate amendment. However, exceptions to the ban

on assistance are provided for basic education as proposed by the

House and activities conducted by the Ministry of Women and Veteran’s Affairs to combat human trafficking as proposed by the SenVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00090 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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ate. The conference agreement contains House language on the provision of assistance through international financial institutions.

The managers remain concerned with Cambodia’s political,

legal, and economic development, and the lack of independence of

its judiciary. The managers strongly condemn acts of intimidation

and violence against the democratic opposition in the run up to

commune council elections next year, and note with concern human

rights violations that are committed by government, police, and

military officials with impunity. The conference agreement also

contains the provisions of section 591 of the Senate amendment

that conditions assistance to any Khmer Rouge tribunal established

by the Government of Cambodia on a determination and certification to Congress that the tribunal is capable of delivering justice

for crimes against humanity in an impartial and credible manner.

Section 566. PLO Compliance Report

The conference agreement contains language that states that

the President should undertake certain assessments regarding actions of the Palestinian Liberation Organization or the Palestinian

Authority, and should impose certain sanctions based on those assessments. The House bill would have mandated such assessments

and certain sanctions. The Senate amendment did not address this

matter.

Section 567. Colombia

The conference agreement includes a modified version of the

Senate provision on Colombia. The House did not address this matter. The managers are concerned with the alarming number of

human rights violations and massacres of civilians in Colombia by

paramilitary forces, kidnapping and other abuses by guerrilla

forces, as well as persistent reports of aiding and abetting of

paramilitaries by some units of the Colombian Armed Forces. The

conference agreement includes language that provides for the obligation of 60 percent of funds appropriated for the Colombian

Armed Forces if certain conditions relating to human rights are

met, and for the obligation of the balance of funds after June 1,

2002 if such are conditions are met.

The conditions on assistance to the Colombian Armed Forces

require suspending individuals, of whatever rank, who have been

credibly alleged to have committed gross violations of human rights

or to have aided or abetted paramilitary groups. By ‘‘suspending’’

the managers refer to removal from active duty and assignment to

administrative duties only without combat responsibilities or command of troops in the field, pending investigation and prosecution,

when civilian prosecutors determine there is credible evidence to

support such allegations.

The conditions on assistance to the Colombian Armed Forces

also require their cooperation with civilian prosecutors and judicial

authorities, in prosecuting and punishing in civilian courts members of the Armed Forces who have been credibly alleged to have

committed gross violations of human rights or aided or abetted

paramilitary groups, including members who have been suspended

for allegedly committing such crimes.

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Section 568. Illegal Armed Groups

The conference agreement includes the provision in the Senate

amendment prohibiting the Secretary of State from issuing visas to

individuals with ties to illegal armed groups in Colombia. The

House did not address this matter.

Sec. 570. Iraq

The conference agreement includes language similar to that in

the Senate amendment, which provides that funds from the Economic Support Fund may be made available for programs benefiting the Iraqi people and to support efforts to bring about political

transition in Iraq. The conference agreement also includes language that establishes a ceiling of 15 percent on administrative

and representational expenses, except for costs related to broadcasting activities. It also includes language that directs the Administration to consult with the Committees on Appropriations within

60 days of enactment regarding its plans for the use of these funds.

The managers are troubled by the recent audit conducted by

the State Department Inspector General on the use of prior year

funds appropriated for this program. The managers also note that

this section does not impose restrictions on which groups may receive these funds or on the use of funds for activities inside Iraq.

As part of the consultation process regarding the use of these

funds, the managers expect the Department to identify options for

the transfer of funding for this program to a more appropriate

source.

Sec. 572. Indonesia

The conference agreement provision regarding military assistance to Indonesia is similar to current law, except that it allows

for civilian officials to participate in Expanded IMET activities. The

House bill and the Senate amendment both included 4 prior year

provisions under which a Presidential report and determination

could result in a resumption of military assistance to Indonesia

that is funded in this bill. The revised language includes new subsections relating to civilian control of the armed forces and the release of political detainees and it expands the geographical scope

of the retained subsections beyond Timor island to other parts of

Indonesia.

While the conference agreement does not include a specific reference to the murders of American citizen Carlos Caceres and two

other United Nations humanitarian workers in West Timor on September 6, 2000, the managers insist that any determination that

effective measures are being taken to investigate and bring to justice militia groups involved in human rights violations would accord special consideration to the just punishment for the killers of

the United Nations humanitarian workers in West Timor.

Sec. 573. Briefings on Potential Purchases of Defense Articles or Defense Services by Taiwan

The conference agreement includes language similar to the

House bill, which requires the State Department, in consultation

with the Department of Defense, to provide briefings to the appropriate congressional committees (including the Committees on ApVerDate 11-MAY-2000 23:21 Dec 31, 2001 Jkt 076284 PO 00000 Frm 00092 Fmt 6601 Sfmt 6601 E:\HR\OC\HR345.XXX pfrm02 PsN: HR345
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propriations) on any discussions conducted between the Administration and the Government of Taiwan concerning the potential

purchase of defense articles or defense services by the Government

of Taiwan. The briefings are to occur 90 days after enactment and

every 120 days thereafter, during fiscal year 2002.

Sec. 574. Restrictions on Assistance to Governments Destabilizing

Sierra Leone

The conference agreement prohibits assistance to any government for which the Secretary of State has credible evidence that

such government has, within the previous six months, provided

military support for, facilitated safe passage of weapons or other

equipment to, or which has assisted illicit diamond trading which

benefits the Revolutionary United Front in Sierra Leone, Liberian

security forces, or any other group intent on destabilizing Sierra

Leone. This section is similar to the Senate amendment. The House

provision was identical to current law.

Sec. 576. United Nations Population Fund

The conference agreement provides that not more than $34,000,000 from the ‘‘International Organizations and Programs’’ account shall be made available for the United Nations Fund for

Population Activities, including UNFPA programs to combat HIV/

AIDS, instead of not less than $40,000,000 as proposed by the Senate and not more than $25,000,000 as proposed by the House. The

United States contribution to the UNFPA is subject to a number

of conditions regarding UNFPA activities, including a provision relating to UNFPA activities in the People’s Republic of China as

proposed by the House.

The conference agreement provides that not more than $34,000,000 shall be made available for a United States contribution to the United Nations Fund for Population Activities

(UNFPA). The managers recognize and support the family planning/reproductive health activities, and HIV/AIDS activities, conducted by UNFPA, and understand that a portion of the United

States contribution to UNFPA will be used for HIV/AIDS activities.

None of the United States contribution to UNFPA may be made

available for activities in the People’s Republic of China. The Senate amendment addressed this matter under the heading ‘‘International Organizations and Programs’’ in title IV.

Sec. 577. American Churchwomen and Other Citizens in El Salvador and Guatemala

The conference agreement contains language similar to that in

the Senate amendment that provides that information on certain

murders in El Salvador and Guatemala is being released to the victims’ families. The House bill only addressed certain murders in El

Salvador.

Sec. 578. Procurement and Financial Management Reform

The conference agreement includes language similar to a

House provision withholding 10 percent of the funds made available for international financial institutions until the Secretary of

the Treasury certifies that a number of procurement and financial

94

management reforms are being implemented. The Senate did not

address this matter. The modified provision deletes a reporting requirement.

Sec. 579. Basic Education Assistance for Indonesia and Pakistan

The conference agreement includes language that provides not less than $8,000,000 from Development Assistance for basic education activities in Indonesia and Pakistan. The managers expect

that $3,000,000 will be provided for Indonesia and $5,000,000 for

Pakistan. House and Senate language did not refer to Indonesia.

The managers have also included language providing that $2,500,000 from the Economic Support fund shall be transferred to

Operating Expenses of the United States Agency for International

Development for the purpose of monitoring and implementing

United States economic and development assistance for Pakistan,

including the $500,000,000 that was provided in economic assistance under the provisions of Public Law 107–38, the Emergency

Supplemental Appropriations Act for Recovery from and Response

to Terrorist Attacks on the United States, FY 2001 and the funds

made available under this general provision for Pakistan. The

funds would be derived from the amount for Pakistan in the fiscal

year 2002 budget request for the Economic Support Fund.

The managers request the Administrator of USAID, after consultation with the Secretary of State, to report to the relevant committees not later than 60 days after enactment of the Act on the

Agency’s proposals for implementing basic education activities in

Indonesia and expanding ongoing education assistance for Pakistan. The report should include USAID’s plans to use its operating

expenses to provide in-country monitoring of agreements between

the United States and Pakistan to provide cash grants in support

of Pakistan’s education and other social sectors, utilizing funds

made available under the provisions of Public Law 107–38.

Sec. 581. War Criminals

The conference agreement contains language similar to that in

both the House bill and Senate amendment regarding war criminals in the Balkans.

Sec. 582. User Fees

The conference agreement extends current law by requiring

the Secretary of the Treasury to instruct the United States executive directors of the international financial institutions (IFIs) to oppose loans that would impose user fees on poor people for primary

education and healthcare. While the managers did not include Senate language adding structural adjustment schemes, debt relief,

and Poverty Reduction Strategy Papers (PRSPs) to the prohibition,

the managers do not intend this exclusion to be interpreted as an

endorsement for user fees on the poor in such actions. It is the

managers’ understanding that the Treasury Department opposes

user fees on the poor and that this is now Treasury’s policy with

regard to all IFI actions. The managers support this policy and expect it to continue and to be applied in Treasury’s careful review

process for PRSPs, which are subject to IFI review but not a vote.

The managers direct the Secretary of the Treasury to examine the

95

use of user fees by the World Bank, their impact on the poor, and

whether such user fees exemption schemes for the poor are successful. The managers direct the Secretary to report back these findings to the House and Senate Committees on Appropriations before

April 15, 2002.

Sec. 584. Funding for Serbia

The conference agreement authorizes funding for Serbia as

proposed by the House but does not include a maximum funding

level as proposed by the Senate. The conference agreement includes

language similar to the House bill that conditions assistance for

Serbia that may be made available after March 31, 2002, on continued cooperation with the International Criminal Tribunal for the

former Yugoslavia, the termination of financial and other support

to Republika Srpska institutions, and respect for the rule of law including the release of political prisoners. The provision regarding

the release of political prisoners was included in the Senate amendment but not in the House bill.

The managers recognize the efforts of Serbian democrats and

reformers to implement much needed reforms necessitated by years

of corruption and political violence, and expect that up to

$115,000,000 will be provided for assistance for Serbia, in addition

to regional funds that may become available, as appropriate. The

managers have also provided authority for debt forgiveness for the

Federal Republic of Yugoslavia in title II of this Act.

Sec. 585. El Salvador Reconstruction and Central America Disaster

Relief

The conference agreement includes a modified version of the

House and Senate provisions making $100,000,000 available for reconstruction assistance for El Salvador and $35,000,000 in USAIDmanaged assistance for drought victims elsewhere in Central

America.

Sec. 586. Reports on Conditions in Hong Kong

The conference agreement contains Senate language that

amends section 301 of the United States-Hong Kong Policy Act to

allow for annual reports on conditions in Hong Kong until March

31, 2006. The House bill did not address this matter.

Sec. 587. Community-Based Police Assistance

The conference agreement includes language similar to the

Senate language authorizing use of certain USAID-administered

funds in title II of this Act for support for civilian police in Jamaica, notwithstanding section 660 of the Foreign Assistance Act.

The House did not address this matter. The conference agreement

includes a ceiling on funds for this purpose at a level of $1,500,000.

Sec. 588. Authorizations

The conference report includes the authorization for the International Fund for Agricultural Development, but not the Asian Development Fund. The Senate amendment included authorizations

for both organizations. The House did not address this matter. The

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managers have also included an extension of the Export-Import

Bank’s charter until March 31, 2002.

Sec. 589. Excess Defense Articles for Central and Southern European Countries and Certain Other Countries

The conference agreement contains Senate language not in the

House bill that authorizes the provision of excess defense articles

for central and southern European countries and certain other

countries. The House bill did not address this matter.

Sec. 591. Modification to the Annual Drug Certification Procedures

The conference agreement waives the annual drug certification

process for one year on a global basis. The Senate amendment provided a waiver for the Western Hemisphere only. The House did

not address this matter.

Sec. 592. Kenneth M. Ludden

The conference agreement includes language similar to that

proposed by the Senate regarding a short title for the Act.

PROVISIONS NOT ADOPTED BY THE CONFEREES

The conference agreement does not include section 567 of the

House bill regarding ‘‘Man and the Biosphere’’. The Senate amendment did not address this matter.

The conference report does not include section 578 of the Senate amendment regarding ‘‘Funding for Private Organizations’’. The Senate amendment did not address this matter.

The conference report does not include section 580 of the

House bill regarding ‘‘Improving Global Health Through Safe Injections’’. The Senate amendment did not address this matter. The

managers concur with the language on safe injections under the

heading ‘‘Child Survival and Health Programs’’ contained in Senate

Report 107–58.

The conference report does not include section 580 of the Senate amendment regarding Cuba. The House did not address this

matter. The managers are concerned about U.S. counternarcotics

policy with respect to Cuba and the lack of authoritative information from the Government of Cuba with regard to drug trafficking

through Cuba. The managers realize that Cuba’s unique geography

presents an appealing environment to air and maritime smugglers

and recognize the national security threat posed by illicit drug production, distribution, and consumption, and crimes related thereto,

particularly those in the Western Hemisphere. The managers are

aware that there are reports of Cuba’s willingness to cooperate

with the U.S. in aiding U.S. interdiction of illicit drug distribution,

as well as other reports that Cuba facilitates drug smuggling.

Therefore the managers expect that not later than 6 months after

the date of the enactment of this Act, the Secretary of State shall

report to the Congress regarding the following: (1) the extent, if

any, of the direct involvement of the Government of Cuba in illegal

drug trafficking; (2) the likelihood that U.S. international narcotics

assistance to the Government of Cuba would decrease the flow of

drugs transiting through Cuba, and (3) the degree to which the

Government of Cuba is exchanging with U.S. agencies drug-related

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law enforcement information. Additionally, the managers encourage the Administration, not later than 9 months after the date of

the enactment of this Act, to transmit to Congress any legislation

necessary to decrease the flow of drugs to or from Cuba.

The conference agreement does not include section 582 of the

House bill prohibiting the use of funds in this Act for a contribution to the UN International Narcotics Control Board. Funds for

such this purpose are not within the jurisdiction of this Act. The

Senate did not address this matter.

The conference agreement does not include section 582 of the

Senate amendment requiring that housing constructed with development assistance funds in this Act be wheelchair accessible. The

House bill did not address this matter. However, the managers expect USAID to ensure that doors in houses or other facilities constructed with funds administered by USAID are of a sufficient

width to accommodate wheelchairs.

The conference agreement does not include section 583 of the

House bill regarding the ‘‘Buy America Act’’. The Senate amendment did not address this matter.

The conference agreement does not include section 584 of the

House bill regarding the ‘‘Funding for Trafficking Victims Protection Act of 2000’’. The Senate amendment did not address this matter. However, the managers concur that trafficking in persons is a

matter of urgency, and address related funding issues in report

language under the heading ‘‘Development Assistance’’, and in bill

and report language under the headings ‘‘Assistance for the Independent States of the Former Soviet Union’’ and ‘‘International

Narcotics Control and Law Enforcement’’. The conference agreement does not contain section 584 of the

Senate amendment regarding democracy and human rights programs. This matter is addressed under section 526 of the conference report.

The conference agreement does not include section 585 of the

Senate amendment regarding a report on the use of defense articles, defense services, and financial assistance to Uzbekistan. The

House bill did not address this matter. The managers recognize

and appreciate that Uzbekistan is providing logistical support and

facilities for United States military and humanitarian operations in

Afghanistan. However, the managers are aware of reports by the

Department of State of serious human rights violations by members of Uzbek security forces. Therefore, the managers direct the

Secretary of State to submit two reports to the appropriate congressional committees not later than four months after the date of enactment and ten months thereafter, describing in detail (1) the defense articles, defense services, and financial assistance provided

by the United States to Uzbekistan during the six-month period

ending 30 days prior to the submission of such report; and (2) the

use during such period of defense articles, defense services, and financial assistance provided by the United States by units of the

Uzbek Ministry of National Security or Ministry of Internal Affairs.

The conference agreement does not include section 586 of the

Senate amendment expressing the Sense of the Senate on humanitarian assistance for Afghanistan. The House bill did not address

this matter. The managers are concerned with the plight of Afghan

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refugees, and the status of women within Afghanistan who are

emerging from years of repression under the Taliban. The managers support substantial United States contributions of humanitarian assistance for the people of Afghanistan, particularly

through overland truck convoys, and efforts to ensure that Afghan

women are included in planning the future reconstruction of Afghanistan and equal opportunities for women throughout Afghan

society.

The conference agreement does not include section 589 of the

Senate amendment expressing the Sense of the Senate regarding

the role of women in the reconstruction of Afghanistan. The House

bill did not address this matter. The managers address this matter

under the heading ‘‘Development Assistance’’.

The conference agreement does not include section 591 of the

Senate amendment regarding restrictions on funding for the Cambodian Genocide Tribunal. The substance of Senate section 591 is

contained in section 563 of the conference report.

The conference agreement does not include section 593 of the

Senate amendment regarding an increased Peace Corps presence in

Muslim countries. The House bill did not address this matter.

While the managers support the concept of the Senate language, a

key concern of the managers is the safety of Peace Corps volunteers around the world. The managers direct the Director of the

Peace Corps to undertake a study to determine the feasibility of an

increase in volunteers in predominantly Muslim countries and to

submit a report to the appropriate congressional committees not

later than 6 months after the date of enactment. The study should

make the determinations required by the Senate language but also

should include a detailed description of measures the agency plans

to implement in fiscal year 2002 to increase volunteers’ safety.

The conference agreement does not include section 594 of the

Senate amendment regarding machine readable passports. The

House bill did not address this matter. The managers note that

this matter has been addressed in Public Law 107–56.

The conference agreement does not include section 595 of the

Senate amendment regarding Sudan. The House bill did not address this matter.

The conference agreement does not include section 598 of the

Senate amendment regarding projects honoring the victims of terrorist attacks. The House bill did not address this matter.

The conference report does not include section 599 of the Senate bill regarding a conditional waiver of section 907 of the FREEDOM Support Act. This language is included in title II of the conference report. The House bill did not address this matter.

The conference report does not include section 599A of the Senate amendment regarding the Federal Investigation Enhancement

Act of 2001. The House bill did not address this matter.

CONFERENCE TOTAL—WITH COMPARISONS

The total new budget (obligational) authority for the fiscal year

2002 recommended by the Committee of Conference, with comparisons to the fiscal year 2001 amount, the 2002 budget estimates,

and the House and Senate bills for 2002 follow:

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[In thousands of dollars]

New budget (obligational) authority, fiscal year 2001 ........................ $15,021,168

Budget estimates of new (obligational) authority, fiscal year 2002 15,212,631

House bill, fiscal year 2002 ................................................................... 15,212,173

Senate bill, fiscal year 2002 .................................................................. 15,568,880

Conference agreement, fiscal year 2002 .............................................. 15,390,780

Conference agreement compared with:

New budget (obligational) authority, fiscal year 2001 ................ +369,612

Budget estimates of new (obligational) authority, fiscal year

2002 .............................................................................................. +178,149

House bill, fiscal year 2002 ............................................................ +178,607

Senate bill, fiscal year 2002 ........................................................... ¥178,100

JIM KOLBE, SONNY CALLAHAN, JOE KNOLLENBERG, JACK KINGSTON,

JERRY LEWIS,

ROGER F. WICKER,

HENRY BONILLA,

JOHN E. SUNUNU,

BILL YOUNG,

NITA LOWEY,

NANCY PELOSI,

JESSE L. JACKSON, Jr.,

CAROLYN C. KILPATRICK,

STEVEN R. ROTHMAN,

DAVE OBEY,

Managers on the Part of the House.

PATRICK J. LEAHY,

DANIEL K. INOUYE,

TOM HARKIN,

TIM JOHNSON,

JACK REED,

ROBERT C. BYRD,

MITCH MCCONNELL,

JUDD GREGG,

RICHARD C. SHELBY,

ROBERT F. BENNETT,

BEN NIGHTHORSE CAMPBELL,

CHRISTOPHER BOND,

TED STEVENS, Managers on the Part of the Senate.

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