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[106th Congress Public Law 280]
[From the U.S. Government Printing Office]

<DOC>
[DOCID: f:publ280.106]

[[Page 114 STAT. 845]]

Public Law 106-280
106th Congress

                                 An Act

 
To amend the Foreign Assistance Act of 1961 and the Arms Export Control 
  Act to make improvements to certain defense and security assistance 
provisions under those Acts, to authorize the transfer of naval vessels 
 to certain foreign countries, and for other purposes. <<NOTE: Oct. 6, 
                         2000 -  [H.R. 4919]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress <<NOTE: Security Assistance Act of 
2000.>> assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This <<NOTE: 22 USC 2151 note.>> Act may be cited 
as the ``Security Assistance Act of 2000''.

    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definition.

                TITLE I--MILITARY AND RELATED ASSISTANCE

      Subtitle A--Foreign Military Sales and Financing Authorities

Sec. 101. Authorization of appropriations.
Sec. 102. Requirements relating to country exemptions for licensing of 
           defense items for export to foreign countries.

    Subtitle B--Stockpiling of Defense Articles for Foreign Countries

Sec. 111. Additions to United States war reserve stockpiles for allies.
Sec. 112. Transfer of certain obsolete or surplus defense articles in 
           the war reserve stockpiles for allies to Israel.

                      Subtitle C--Other Assistance

Sec. 121. Defense drawdown special authorities.
Sec. 122. Increased authority for the transport of excess defense 
           articles.

         TITLE II--INTERNATIONAL MILITARY EDUCATION AND TRAINING

Sec. 201. Authorization of appropriations.
Sec. 202. Additional requirements.

        TITLE III--NONPROLIFERATION AND EXPORT CONTROL ASSISTANCE

Sec. 301. Nonproliferation and export control assistance.
Sec. 302. Nonproliferation and export control training in the United 
           States.
Sec. 303. Science and technology centers.
Sec. 304. Trial transit program.
Sec. 305. Exception to authority to conduct inspections under the 
           Chemical Weapons Convention Implementation Act of 1998.

                   TITLE IV--ANTITERRORISM ASSISTANCE

Sec. 401. Authorization of appropriations.

            TITLE V--INTEGRATED SECURITY ASSISTANCE PLANNING

  Subtitle A--Establishment of a National Security Assistance Strategy

Sec. 501. National Security Assistance Strategy.

[[Page 114 STAT. 846]]

              Subtitle B--Allocations for Certain Countries

Sec. 511. Security assistance for new NATO members.
Sec. 512. Increased training assistance for Greece and Turkey.
Sec. 513. Assistance for Israel.
Sec. 514. Assistance for Egypt.
Sec. 515. Security assistance for certain countries.
Sec. 516. Border security and territorial independence.

                  TITLE VI--TRANSFERS OF NAVAL VESSELS

Sec. 601. Authority to transfer naval vessels to certain foreign 
           countries.
Sec. 602. Inapplicability of aggregate annual limitation on value of 
           transferred 
           excess defense articles.
Sec. 603. Costs of transfers.
Sec. 604. Conditions relating to combined lease-sale transfers.
Sec. 605. Funding of certain costs of transfers.
Sec. 606. Repair and refurbishment in United States shipyards.
Sec. 607. Sense of the Congress regarding transfer of naval vessels on a 
           grant basis.
Sec. 608. Expiration of authority.

                   TITLE VII--MISCELLANEOUS PROVISIONS

Sec. 701. Utilization of defense articles and defense services.
Sec. 702. Annual military assistance report.
Sec. 703. Report on government-to-government arms sales end-use 
           monitoring 
           program.
Sec. 704. MTCR report transmittals.
Sec. 705. Stinger missiles in the Persian Gulf region.
Sec. 706. Sense of the Congress regarding excess defense articles.
Sec. 707. Excess defense articles for Mongolia.
Sec. 708. Space cooperation with Russian persons.
Sec. 709. Sense of the Congress relating to military equipment for the 
           Philippines.
Sec. 710. Waiver of certain costs.

SEC. 2. <<NOTE: 22 USC 2305 note.>> DEFINITION.

    In this Act, the term ``appropriate committees of Congress'' means 
the Committee on Foreign Relations of the Senate and the Committee on 
International Relations of the House of Representatives.

                TITLE I--MILITARY AND RELATED ASSISTANCE

      Subtitle A--Foreign Military Sales and Financing Authorities

SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated for grant assistance under 
section 23 of the Arms Export Control Act (22 U.S.C. 2763) and for the 
subsidy cost, as defined in section 502(5) of the Federal Credit Reform 
Act of 1990, of direct loans under such section $3,550,000,000 for 
fiscal year 2001 and $3,627,000,000 for fiscal year 2002.

SEC. 102. REQUIREMENTS RELATING TO COUNTRY EXEMPTIONS FOR LICENSING OF 
            DEFENSE ITEMS FOR EXPORT TO FOREIGN COUNTRIES.

    (a) Requirements of Exemption.--Section 38 of the Arms Export 
Control Act (22 U.S.C. 2778) is amended by adding at the end the 
following:
    ``( j) Requirements Relating to Country Exemptions for Licensing of 
Defense Items for Export to Foreign Countries.--

[[Page 114 STAT. 847]]

            ``(1) Requirement for bilateral agreement.--
                    ``(A) In general.--The President may utilize the 
                regulatory or other authority pursuant to this Act to 
                exempt a foreign country from the licensing requirements 
                of this Act with respect to exports of defense items 
                only if the United States Government has concluded a 
                binding bilateral agreement with the foreign country. 
                Such agreement shall--
                          ``(i) meet the requirements set forth in 
                      paragraph (2); and
                          ``(ii) be implemented by the United States and 
                      the foreign country in a manner that is legally-
                      binding under their domestic laws.
                    ``(B) Exception.--The requirement to conclude a 
                bilateral agreement in accordance with subparagraph (A) 
                shall not apply with respect to an exemption for Canada 
                from the licensing requirements of this Act for the 
                export of defense items.
            ``(2) Requirements of bilateral agreement.--A bilateral 
        agreement referred to paragraph (1)--
                    ``(A) shall, at a minimum, require the foreign 
                country, as necessary, to revise its policies and 
                practices, and promulgate or enact necessary 
                modifications to its laws and regulations to establish 
                an export control regime that is at least comparable to 
                United States law, regulation, and policy requiring--
                          ``(i) conditions on the handling of all United 
                      States-origin defense items exported to the 
                      foreign country, including prior written United 
                      States Government approval for any reexports to 
                      third countries;
                          ``(ii) end-use and retransfer control 
                      commitments, including securing binding end-use 
                      and retransfer control commitments from all end-
                      users, including such documentation as is needed 
                      in order to ensure compliance and enforcement, 
                      with respect to such United States-origin defense 
                      items;
                          ``(iii) establishment of a procedure 
                      comparable to a `watchlist' (if such a watchlist 
                      does not exist) and full cooperation with United 
                      States Government law enforcement agencies to 
                      allow for sharing of export and import 
                      documentation and background information on 
                      foreign businesses and individuals employed by or 
                      otherwise connected to those businesses; and
                          ``(iv) establishment of a list of controlled 
                      defense items to ensure coverage of those items to 
                      be exported under the exemption; and
                    ``(B) should, at a minimum, require the foreign 
                country, as necessary, to revise its policies and 
                practices, and promulgate or enact necessary 
                modifications to its laws and regulations to establish 
                an export control regime that is at least comparable to 
                United States law, regulation, and policy regarding--
                          ``(i) controls on the export of tangible or 
                      intangible technology, including via fax, phone, 
                      and electronic media;

[[Page 114 STAT. 848]]

                          ``(ii) appropriate controls on unclassified 
                      information relating to defense items exported to 
                      foreign nationals;
                          ``(iii) controls on international arms 
                      trafficking and brokering;
                          ``(iv) cooperation with United States 
                      Government agencies, including intelligence 
                      agencies, to combat efforts by third countries to 
                      acquire defense items, the export of which to such 
                      countries would not be authorized pursuant to the 
                      export control regimes of the foreign country and 
                      the United States; and
                          ``(v) violations of export control laws, and 
                      penalties for such violations.
            ``(3) Advance certification.--Not <<NOTE: Deadline.>> less 
        than 30 days before authorizing an exemption for a foreign 
        country from the licensing requirements of this Act for the 
        export of defense items, the President shall transmit to the 
        Committee on International Relations of the House of 
        Representatives and the Committee on Foreign Relations of the 
        Senate a certification that--
                    ``(A) the United States has entered into a bilateral 
                agreement with that foreign country satisfying all 
                requirements set forth in paragraph (2);
                    ``(B) the foreign country has promulgated or enacted 
                all necessary modifications to its laws and regulations 
                to comply with its obligations under the bilateral 
                agreement with the United States; and
                    ``(C) the appropriate congressional committees will 
                continue to receive notifications pursuant to the 
                authorities, procedures, and practices of section 36 of 
                this Act for defense exports to a foreign country to 
                which that section would apply and without regard to any 
                form of defense export licensing exemption otherwise 
                available for that country.
            ``(4) Definitions.--In this section:
                    ``(A) Defense items.--The term `defense items' means 
                defense articles, defense services, and related 
                technical data.
                    ``(B) Appropriate congressional committees.--The 
                term `appropriate congressional committees' means--
                          ``(i) the Committee on International Relations 
                      and the Committee on Appropriations of the House 
                      of Representatives; and
                          ``(ii) the Committee on Foreign Relations and 
                      the Committee on Appropriations of the Senate.''.

    (b) Notification of Exemption.--Section 38(f ) of the Arms Export 
Control Act (22 U.S.C. 2778(f )) is amended--
            (1) by inserting ``(1)'' after ``(f )''; and
            (2) by adding at the end the following:

    ``(2) The President may not authorize an exemption for a foreign 
country from the licensing requirements of this Act for the export of 
defense items under subsection ( j) or any other provision of this Act 
until 30 days after the date on which the President has transmitted to 
the Committee on International Relations of the House of Representatives 
and the Committee on Foreign Relations of the Senate a notification that 
includes--

[[Page 114 STAT. 849]]

            ``(A) a description of the scope of the exemption, including 
        a detailed summary of the defense articles, defense services, 
        and related technical data covered by the exemption; and
            ``(B) a determination by the Attorney General that the 
        bilateral agreement concluded under subsection ( j) requires the 
        compilation and maintenance of sufficient documentation relating 
        to the export of United States defense articles, defense 
        services, and related technical data to facilitate law 
        enforcement efforts to detect, prevent, and prosecute criminal 
        violations of any provision of this Act, including the efforts 
        on the part of countries and factions engaged in international 
        terrorism to illicitly acquire sophisticated United States 
        defense items.

    ``(3) Paragraph (2) shall not apply with respect to an exemption for 
Canada from the licensing requirements of this Act for the export of 
defense items.''.
    (c) Exports of Commercial Communications Satellites.--
            (1) Amendment of the Arms Export Control Act.--Section 
        36(c)(2) of the Arms Export Control Act (22 U.S.C. 2776(c)(2)) 
        is amended--
                    (A) by striking ``and'' at the end of subparagraph 
                (A);
                    (B) by redesignating subparagraph (B) as 
                subparagraph (C); and
                    (C) by inserting after subparagraph (A) the 
                following:
            ``(B) in the case of a license for an export of a commercial 
        communications satellite for launch from, and by nationals of, 
        the Russian Federation, Ukraine, or Kazakhstan, shall not be 
        issued until at least 15 calendar days after the Congress 
        receives such certification, and shall not be issued then if the 
        Congress, within that 15-day period, enacts a joint resolution 
        prohibiting the proposed export; and''.
            (2) Sense of the Congress.--It is the sense of the Congress 
        that the appropriate committees of Congress and the appropriate 
        agencies of the United States Government should review the 
        commodity jurisdiction of United States commercial 
        communications satellites.

    (d) Sense of the Congress on Submission to the Senate of Certain 
Agreements as Treaties.--It is the sense of the Congress that, prior to 
amending the International Traffic in Arms Regulations, the Secretary of 
State should consult with the appropriate committees of Congress for the 
purpose of determining whether certain agreements regarding defense 
trade with the United Kingdom and Australia should be submitted to the 
Senate as treaties.

    Subtitle B--Stockpiling of Defense Articles for Foreign Countries

SEC. 111. ADDITIONS TO UNITED STATES WAR RESERVE STOCKPILES FOR ALLIES.

    Section 514(b)(2) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2321h(b)(2)) is amended to read as follows:
    ``(2)(A) The value of such additions to stockpiles of defense 
articles in foreign countries shall not exceed $50,000,000 for fiscal 
year 2001.

[[Page 114 STAT. 850]]

    ``(B) Of the amount specified in subparagraph (A), not more than 
$50,000,000 may be made available for stockpiles in the Republic of 
Korea.''.

SEC. 112. TRANSFER OF CERTAIN OBSOLETE OR SURPLUS DEFENSE ARTICLES IN 
            THE WAR RESERVE STOCKPILES FOR ALLIES TO ISRAEL.

    (a) Transfers to Israel.--
            (1) Authority.--Notwithstanding section 514 of the Foreign 
        Assistance Act of 1961 (22 U.S.C. 2321h), the President is 
        authorized to transfer to Israel, in return for concessions to 
        be negotiated by the Secretary of Defense, with the concurrence 
        of the Secretary of State, any or all of the items described in 
        paragraph (2).
            (2) Items covered.--The items referred to in paragraph (1) 
        are munitions, equipment, and material such as armor, artillery, 
        automatic weapons ammunition, and missiles that--
                    (A) are obsolete or surplus items;
                    (B) are in the inventory of the Department of 
                Defense;
                    (C) are intended for use as reserve stocks for 
                Israel; and
                    (D) as of the date of the enactment of this Act, are 
                located in a stockpile in Israel.

    (b) Concessions.--The value of concessions negotiated pursuant to 
subsection (a) shall be at least equal to the fair market value of the 
items transferred. The concessions may include cash compensation, 
services, waiver of charges otherwise payable by the United States, and 
other items of value.
    (c) Advance Notification of Transfer.--Not <<NOTE: Deadline.>> less 
than 30 days before making a transfer under the authority of this 
section, the President shall transmit to the Committee on Foreign 
Relations of the Senate and the Committee on International Relations of 
the House of Representatives a notification of the proposed transfer. 
The notification shall identify the items to be transferred and the 
concessions to be received.

    (d) Expiration of Authority.--No transfer may be made under the 
authority of this section 3 years after the date of the enactment of 
this Act.

                      Subtitle C--Other Assistance

SEC. 121. DEFENSE DRAWDOWN SPECIAL AUTHORITIES.

    (a) Emergency Drawdown.--Section 506(a)(2)(B) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2318(a)(2)(B)) is amended by striking 
``$150,000,000'' and inserting ``$200,000,000''.
    (b) Additional Drawdown.--Section 506(a)(2)(A)(i) of such Act (22 
U.S.C. 2318(a)(2)(A)(i)) is amended--
            (1) by striking ``or'' at the end of subclause (II); and
            (2) by striking subclause (III) and inserting the following:
                                    ``(III) chapter 8 of part II 
                                (relating to antiterrorism assistance);
                                    ``(IV) chapter 9 of part II 
                                (relating to nonproliferation 
                                assistance); or
                                    ``(V) the Migration and Refugee 
                                Assistance Act of 1962; or''.

[[Page 114 STAT. 851]]

SEC. 122. INCREASED AUTHORITY FOR THE TRANSPORT OF EXCESS DEFENSE 
            ARTICLES.

    Section 516(e)(2)(C) of the Foreign Assistance Act of 1961 (22 
U.S.C. 2321j(e)(2)(C)) is amended by striking ``25,000'' and inserting 
``50,000''.

         TITLE II--INTERNATIONAL MILITARY EDUCATION AND TRAINING

SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to the President $55,000,000 
for fiscal year 2001 and $65,000,000 for fiscal year 2002 to carry out 
chapter 5 of part II of the Foreign Assistance Act of 1961 (22 U.S.C. 
2347 et seq.).

SEC. 202. ADDITIONAL REQUIREMENTS.

    Chapter 5 of part II of the Foreign Assistance Act of 1961 (22 
U.S.C. 2347 et seq.) is amended by adding at the end the following new 
sections:

``SEC. 547. <<NOTE: 22 USC 2347f.>> CONSULTATION REQUIREMENT.

    ``The selection of foreign personnel for training under this chapter 
shall be made in consultation with the United States defense attache to 
the relevant country.

``SEC. 548. <<NOTE: 22 USC 2347g.>> RECORDS REGARDING FOREIGN 
            PARTICIPANTS.

    ``In order to contribute most effectively to the development of 
military professionalism in foreign countries, the Secretary of Defense 
shall develop and maintain a database containing records on each foreign 
military or defense ministry civilian participant in education and 
training activities conducted under this chapter after December 31, 
2000. This record shall include the type of instruction received, the 
dates of such instruction, whether such instruction was completed 
successfully, and, to the extent practicable, a record of the person's 
subsequent military or defense ministry career and current position and 
location.''.

        TITLE III--NONPROLIFERATION AND EXPORT CONTROL ASSISTANCE

SEC. 301. NONPROLIFERATION AND EXPORT CONTROL ASSISTANCE.

    Part II of the Foreign Assistance Act of 1961 (22 U.S.C. 2301 et 
seq.) is amended by adding at the end the following new chapter:

       ``CHAPTER 9--NONPROLIFERATION AND EXPORT CONTROL ASSISTANCE

``SEC. 581. <<NOTE: 22 USC 2349bb.>> PURPOSES.

    ``The purposes of assistance under this chapter are to halt the 
proliferation of nuclear, chemical, and biological weapons, and 
conventional weaponry, through support of activities designed--
            ``(1) to enhance the nonproliferation and export control 
        capabilities of friendly countries by providing training and 
        equipment to detect, deter, monitor, interdict, and counter 
        proliferation;

[[Page 114 STAT. 852]]

            ``(2) to strengthen the bilateral ties of the United States 
        with friendly governments by offering concrete assistance in 
        this area of vital national security interest;
            ``(3) to accomplish the activities and objectives set forth 
        in sections 503 and 504 of the FREEDOM Support Act (22 U.S.C. 
        5853, 5854), without regard to the limitation of those sections 
        to the independent states of the former Soviet Union; and
            ``(4) to promote multilateral activities, including 
        cooperation with international organizations, relating to 
        nonproliferation.

``SEC. 582. <<NOTE: 22 USC 2349bb-1.>> AUTHORIZATION OF ASSISTANCE.

    ``Notwithstanding any other provision of law (other than section 
502B or section 620A of this Act), the President is authorized to 
furnish, on such terms and conditions as the President may determine, 
assistance in order to carry out the purposes of this chapter. Such 
assistance may include training services and the provision of funds, 
equipment, and other commodities related to the detection, deterrence, 
monitoring, interdiction, and prevention or countering of proliferation, 
the establishment of effective nonproliferation laws and regulations, 
and the apprehension of those individuals involved in acts of 
proliferation of such weapons.

``SEC. 583. <<NOTE: 22 USC 2349bb-2.>> TRANSIT INTERDICTION.

    ``(a) Allocation of Funds.--In providing assistance under this 
chapter, the President should ensure that not less than one-quarter of 
the total of such assistance is expended for the purpose of enhancing 
the capabilities of friendly countries to detect and interdict 
proliferation-related shipments of cargo that originate from, and are 
destined for, other countries.
    ``(b) Priority to Certain Countries.--Priority shall be given in the 
apportionment of the assistance described under subsection (a) to any 
friendly country that has been determined by the Secretary of State to 
be a country frequently transited by proliferation-related shipments of 
cargo.

``SEC. 584. <<NOTE: 22 USC 2349bb-3.>> LIMITATIONS.

    ``The limitations contained in section 573(a) and (d) of this Act 
shall apply to this chapter.

``SEC. 585. <<NOTE: 22 USC 2349bb-4.>> AUTHORIZATION OF APPROPRIATIONS.

    ``(a) Authorization of Appropriations.--There are authorized to be 
appropriated to the President to carry out this chapter $129,000,000 for 
fiscal year 2001 and $142,000,000 for fiscal year 2002.
    ``(b) Availability of Funds.--Funds made available under subsection 
(a) may be used notwithstanding any other provision of law (other than 
section 502B or 620A) and shall remain available until expended.
    ``(c) Treatment of Fiscal Year 2001 Appropriations.--Amounts made 
available by the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 2001, under `Nonproliferation, 
Antiterrorism, Demining, and Related Programs' and `Assistance for the 
Independent States of the Former Soviet Union' accounts for the 
activities described in subsection (d) shall be considered to be made 
available pursuant to this chapter.
    ``(d) Covered Activities.--The activities referred to in subsection 
(c) are--

[[Page 114 STAT. 853]]

            ``(1) assistance under the Nonproliferation and Disarmament 
        Fund;
            ``(2) assistance for science and technology centers in the 
        independent states of the former Soviet Union;
            ``(3) export control assistance; and
            ``(4) export control and border assistance under chapter 11 
        of part I of the Foreign Assistance Act of 1961 (22 U.S.C. 2295 
        et seq.) or the FREEDOM Support Act (22 U.S.C. 5801 et seq.).''.

SEC. 302. NONPROLIFERATION AND EXPORT CONTROL TRAINING IN THE UNITED 
            STATES.

    Of the amounts made available for fiscal years 2001 and 2002 under 
chapter 9 of part II of the Foreign Assistance Act of 1961, as added by 
section 301, $2,000,000 is authorized to be available each such fiscal 
year for the purpose of training and education of personnel from 
friendly countries in the United States.

SEC. 303. SCIENCE AND TECHNOLOGY CENTERS.

    (a) Availability of Funds.--Of the amounts made available for the 
fiscal years 2001 and 2002 under chapter 9 of part II of the Foreign 
Assistance Act of 1961, as added by section 301, $59,000,000 for fiscal 
year 2001 and $65,000,000 for fiscal year 2002 are authorized to be 
available for science and technology centers in the independent states 
of the former Soviet Union.
    (b) Sense of the Congress.--It is the sense of the Congress, taking 
into account section 1132 of H. R. 3427 of the One Hundred Sixth 
Congress (as enacted by section 1000(a)(7) of Public Law 106-113), that 
the practice of auditing entities receiving funds authorized under this 
section should be significantly expanded and that the burden of 
supplying auditors should be spread equitably within the United States 
Government.

SEC. 304. TRIAL TRANSIT PROGRAM.

    (a) Allocation of Funds.--Of the amount made available for fiscal 
year 2001 under chapter 9 of the Foreign Assistance Act of 1961, as 
added by section 301, $5,000,000 is authorized to be available to 
establish a static cargo x-ray facility in Malta, if the Secretary of 
State first certifies to the appropriate committees of Congress that the 
Government of Malta has provided adequate assurances that such a 
facility will be utilized in connection with random cargo inspections by 
Maltese customs officials of container traffic transiting through the 
Malta Freeport.
    (b) Requirement of Written Assessment.--In the event that a facility 
is established in Malta pursuant to subsection (a), the Secretary of 
State shall submit a written assessment to the appropriate committees of 
Congress not later than 270 days after such a facility commences 
operation detailing--
            (1) statistics on utilization of the facility by Malta;
            (2) the contribution made by the facility to United States 
        nonproliferation and export control objectives; and
            (3) the feasibility of establishing comparable facilities in 
        other countries identified by the Secretary of State pursuant to 
        section 583 of the Foreign Assistance Act of 1961, as added by 
        section 301.

    (c) Treatment of Assistance.--Assistance under this section shall be 
considered as assistance under section 583(a) of the Foreign

[[Page 114 STAT. 854]]

Assistance Act of 1961 (relating to transit interdiction), as added by 
section 301.

SEC. 305. EXCEPTION TO AUTHORITY TO CONDUCT INSPECTIONS UNDER THE 
            CHEMICAL WEAPONS CONVENTION IMPLEMENTATION ACT OF 1998.

    Section 303 of the Chemical Weapons Convention Implementation Act of 
1998 (22 U.S.C. 6723) is amended by adding at the end the following new 
subsection:
    ``(c) Exception.--The requirement under subsection (b)(2)(A) shall 
not apply to inspections of United States chemical weapons destruction 
facilities (as used within the meaning of part IV(C)(13) of the 
Verification Annex to the Convention).''.

                   TITLE IV--ANTITERRORISM ASSISTANCE

SEC. 401. AUTHORIZATION OF APPROPRIATIONS.

    Section 574(a) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2349aa-4(a)) is amended by striking ``$9,840,000'' and all that follows 
through the period and inserting the following: ``$72,000,000 for fiscal 
year 2001 and $73,000,000 for fiscal year 2002.''.

            TITLE V--INTEGRATED SECURITY ASSISTANCE PLANNING

  Subtitle A--Establishment of a National Security Assistance Strategy

SEC. 501. <<NOTE: 22 USC 2305.>> NATIONAL SECURITY ASSISTANCE STRATEGY.

    (a) Multiyear Plan.--Not <<NOTE: Deadline.>> later than 180 days 
after the date of the enactment of this Act, and annually thereafter at 
the time of submission of the congressional presentation materials of 
the foreign operations appropriations budget request, the Secretary of 
State should submit to the appropriate committees of Congress a plan 
setting forth a National Security Assistance Strategy for the United 
States.

    (b) Elements of the Strategy.--The National Security Assistance 
Strategy should--
            (1) set forth a multi-year plan for security assistance 
        programs;
            (2) be consistent with the National Security Strategy of the 
        United States;
            (3) be coordinated with the Secretary of Defense and the 
        Chairman of the Joint Chiefs of Staff;
            (4) be prepared, in consultation with other agencies, as 
        appropriate;
            (5) identify overarching security assistance objectives, 
        including identification of the role that specific security 
        assistance programs will play in achieving such objectives;
            (6) identify a primary security assistance objective, as 
        well as specific secondary objectives, for individual countries;

[[Page 114 STAT. 855]]

            (7) identify, on a country-by-country basis, how specific 
        resources will be allocated to accomplish both primary and 
        secondary objectives;
            (8) discuss how specific types of assistance, such as 
        foreign military financing and international military education 
        and training, will be combined at the country level to achieve 
        United States objectives; and
            (9) detail, with respect to each of the paragraphs (1) 
        through (8), how specific types of assistance provided pursuant 
        to the Arms Export Control Act and the Foreign Assistance Act of 
        1961 are coordinated with United States assistance programs 
        managed by the Department of Defense and other agencies.

    (c) Covered Assistance.--The National Security Assistance Strategy 
should cover assistance provided under--
            (1) section 23 of the Arms Export Control Act (22 U.S.C. 
        2763);
            (2) chapter 5 of part II of the Foreign Assistance Act of 
        1961 (22 U.S.C. 2347 et seq.); and
            (3) section 516 of the Foreign Assistance Act of 1961 (22 
        U.S.C. 2321i).

              Subtitle B--Allocations for Certain Countries

SEC. 511. SECURITY ASSISTANCE FOR NEW NATO MEMBERS.

    (a) Foreign Military Financing.--Of the amounts made available for 
the fiscal years 2001 and 2002 under section 23 of the Arms Export 
Control Act (22 U.S.C. 2763), $30,300,000 for fiscal year 2001 and 
$35,000,000 for fiscal year 2002 are authorized to be available on a 
grant basis for all of the following countries: the Czech Republic, 
Hungary, and Poland.
    (b) Military Education and Training.--Of the amounts made available 
for the fiscal years 2001 and 2002 to carry out chapter 5 of part II of 
the Foreign Assistance Act of 1961 (22 U.S.C. 2347 et seq.), $5,100,000 
for fiscal year 2001 and $7,000,000 for fiscal year 2002 are authorized 
to be available for all of the following countries: the Czech Republic, 
Hungary, and Poland.
    (c) Select Priorities.--In providing assistance under this section, 
the President shall give priority to supporting activities that are 
consistent with the objectives set forth in the following conditions of 
the Senate resolution of ratification for the Protocols to the North 
Atlantic Treaty of 1949 on the Accession of Poland, Hungary, and the 
Czech Republic:
            (1) Condition (1)(A)(v), (vi), and (vii), relating to common 
        threats, the core mission of NATO, and the capacity to respond 
        to common threats.
            (2) Condition (1)(B), relating to the fundamental importance 
        of collective defense.
            (3) Condition (1)(C), relating to defense planning, command 
        structures, and force goals.
            (4) Conditions (4)(B)(i) and (4)(B)(ii), relating to 
        intelligence matters.

[[Page 114 STAT. 856]]

SEC. 512. INCREASED TRAINING ASSISTANCE FOR GREECE AND TURKEY.

    (a) In General.--Of the amounts made available for the fiscal years 
2001 and 2002 to carry out chapter 5 of part II of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2347 et seq.)--
            (1) $1,000,000 for fiscal year 2001 and $1,000,000 for 
        fiscal year 2002 are authorized to be available for Greece; and
            (2) $2,500,000 for fiscal year 2001 and $2,500,000 for 
        fiscal year 2002 are authorized to be available for Turkey.

    (b) Use for Professional Military Education.--Of the amounts 
available under paragraphs (1) and (2) of subsection (a) for fiscal year 
2002, $500,000 of each such amount should be available for purposes of 
professional military education.
    (c) Use for Joint Training.--It is the sense of the Congress that, 
to the maximum extent practicable, amounts available under subsection 
(a) that are used in accordance with subsection (b) should be used for 
joint training of Greek and Turkish officers.

SEC. 513. ASSISTANCE FOR ISRAEL.

    (a) Definitions.--In this section:
            (1) ESF assistance.--The term ``ESF assistance'' means 
        assistance under chapter 4 of part II of the Foreign Assistance 
        Act of 1961 (22 U.S.C. 2346 et seq.), relating to the economic 
        support fund.
            (2) Foreign military financing program.--The term ``Foreign 
        Military Financing Program'' means the program authorized by 
        section 23 of the Arms Export Control Act (22 U.S.C. 2763).

    (b) ESF Assistance.--
            (1) In general.--Of the amounts made available for each of 
        the fiscal years 2001 and 2002 for ESF assistance, the amount 
        specified in paragraph (2) for each such fiscal year is 
        authorized to be made available for Israel.
            (2) Computation of amount.--Subject to subsection (d), the 
        amount referred to in paragraph (1) is equal to--
                    (A) the amount made available for ESF assistance for 
                Israel for the preceding fiscal year, minus
                    (B) $120,000,000.

    (c) FMF Program.--
            (1) In general.--Of the amount made available for each of 
        the fiscal years 2001 and 2002 for assistance under the Foreign 
        Military Financing Program, the amount specified in paragraph 
        (2) for each such fiscal year is authorized to be made available 
        on a grant basis for Israel.
            (2) Computation of amount.--Subject to subsection (d), the 
        amount referred to in paragraph (1) is equal to--
                    (A) the amount made available for assistance under 
                the Foreign Military Financing Program for Israel for 
                the preceding fiscal year, plus
                    (B) $60,000,000.
            (3) Disbursement of funds.--Funds authorized to be available 
        for Israel under subsection (b)(1) and paragraph (1) of this 
        subsection for fiscal year 2001 shall be disbursed not later 
        than 30 days after the date of the enactment of an Act making 
        appropriations for foreign operations, export financing, and 
        related programs for fiscal year 2001, or October 31, 2000, 
        whichever date is later.

[[Page 114 STAT. 857]]

            (4) Availability of funds for advanced weapons systems.--To 
        the extent the Government of Israel requests that funds be used 
        for such purposes, grants made available for Israel out of funds 
        authorized to be available under paragraph (1) for Israel for 
        fiscal year 2001 shall, as agreed by Israel and the United 
        States, be available for advanced weapons systems, of which not 
        less than $520,000,000 shall be available for the procurement in 
        Israel of defense articles and defense services, including 
        research and development.

    (d) Exclusion of Rescissions and Supplemental Appropriations.--For 
purposes of this section, the computation of amounts made available for 
a fiscal year shall not take into account any amount rescinded by an Act 
or any amount appropriated by an Act making supplemental appropriations 
for a fiscal year.

SEC. 514. ASSISTANCE FOR EGYPT.

    (a) Definitions.--In this section:
            (1) ESF assistance.--The term ``ESF assistance'' means 
        assistance under chapter 4 of part II of the Foreign Assistance 
        Act of 1961 (22 U.S.C. 2346 et seq.), relating to the economic 
        support fund.
            (2) Foreign military financing program.--The term ``Foreign 
        Military Financing Program'' means the program authorized by 
        section 23 of the Arms Export Control Act (22 U.S.C. 2763).

    (b) ESF Assistance.--
            (1) In general.--Of the amounts made available for each of 
        the fiscal years 2001 and 2002 for ESF assistance, the amount 
        specified in paragraph (2) for each such fiscal year is 
        authorized to be made available for Egypt.
            (2) Computation of amount.--Subject to subsection (d), the 
        amount referred to in paragraph (1) is equal to--
                    (A) the amount made available for ESF assistance for 
                Egypt during the preceding fiscal year, minus
                    (B) $40,000,000.

    (c) FMF Program.--Of the amount made available for each of the 
fiscal years 2001 and 2002 for assistance under the Foreign Military 
Financing Program, $1,300,000,000 is authorized to be made available on 
a grant basis for Egypt.
    (d) Exclusion of Rescissions and Supplemental Appropriations.--For 
purposes of this section, the computation of amounts made available for 
a fiscal year shall not take into account any amount rescinded by an Act 
or any amount appropriated by an Act making supplemental appropriations 
for a fiscal year.
    (e) Disbursement of Funds.--Funds estimated to be outlayed for Egypt 
under subsection (c) during fiscal year 2001 shall be disbursed to an 
interest-bearing account for Egypt in the Federal Reserve Bank of New 
York within 30 days of the date of the enactment of this Act, or by 
October 31, 2000, whichever is later, provided that--
            (1) withdrawal of funds from such account shall be made only 
        on authenticated instructions from the Defense Finance and 
        Accounting Service of the Department of Defense;
            (2) in the event such account is closed, the balance of the 
        account shall be transferred promptly to the appropriations 
        account for the Foreign Military Financing Program; and

[[Page 114 STAT. 858]]

            (3) none of the interest accrued by such account should be 
        obligated unless the Committee on Appropriations and the 
        Committee on Foreign Relations of the Senate and the Committee 
        on Appropriations and the Committee on International Relations 
        of the House of Representatives are notified.

SEC. 515. SECURITY ASSISTANCE FOR CERTAIN COUNTRIES.

    (a) Foreign Military Financing.--Of the amounts made available for 
the fiscal years 2001 and 2002 under section 23 of the Arms Export 
Control Act (22 U.S.C. 2763)--
            (1) $18,200,000 for fiscal year 2001 and $20,500,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for all of the following countries: Estonia, Latvia, and 
        Lithuania;
            (2) $2,000,000 for fiscal year 2001 and $5,000,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for the Philippines;
            (3) $4,500,000 for fiscal year 2001 and $5,000,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Georgia;
            (4) $3,000,000 for fiscal year 2001 and $3,500,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Malta;
            (5) $3,500,000 for fiscal year 2001 and $4,000,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Slovenia;
            (6) $8,400,000 for fiscal year 2001 and $8,500,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Slovakia;
            (7) $11,000,000 for fiscal year 2001 and $11,100,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Romania;
            (8) $8,500,000 for fiscal year 2001 and $8,600,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Bulgaria; and
            (9) $100,000,000 for fiscal year 2001 and $105,000,000 for 
        fiscal year 2002 are authorized to be available on a grant basis 
        for Jordan.

    (b) IMET.--Of the amounts made available for the fiscal years 2001 
and 2002 to carry out chapter 5 of part II of the Foreign Assistance Act 
of 1961 (22 U.S.C. 2347 et seq.)--
            (1) $2,300,000 for fiscal year 2001 and $4,000,000 for 
        fiscal year 2002 are authorized to be available for all of the 
        following countries: Estonia, Latvia, and Lithuania;
            (2) $1,400,000 for fiscal year 2001 and $1,500,000 for 
        fiscal year 2002 are authorized to be available for the 
        Philippines;
            (3) $475,000 for fiscal year 2001 and $1,000,000 for fiscal 
        year 2002 are authorized to be available for Georgia;
            (4) $200,000 for fiscal year 2001 and $1,000,000 for fiscal 
        year 2002 are authorized to be available for Malta;
            (5) $700,000 for fiscal year 2001 and $1,000,000 for fiscal 
        year 2002 are authorized to be available for Slovenia;
            (6) $700,000 for fiscal year 2001 and $1,000,000 for fiscal 
        year 2002 are authorized to be available for Slovakia;
            (7) $1,300,000 for fiscal year 2001 and $1,500,000 for 
        fiscal year 2002 are authorized to be available for Romania; and

[[Page 114 STAT. 859]]

            (8) $1,100,000 for fiscal year 2001 and $1,200,000 for 
        fiscal year 2002 are authorized to be available for Bulgaria.

SEC. 516. BORDER SECURITY AND TERRITORIAL INDEPENDENCE.

    (a) GUUAM Countries and Armenia.--For the purpose of carrying out 
section 499C of the Foreign Assistance Act of 1961 and assisting GUUAM 
countries and Armenia to strengthen national control of their borders 
and to promote the independence and territorial sovereignty of such 
countries, the following amounts are authorized to be made available for 
fiscal years 2001 and 2002:
            (1) $5,000,000 for fiscal year 2001 and $20,000,000 for 
        fiscal year 2002 are of the amounts made available under section 
        23 of the Arms Export Control Act (22 U.S.C. 2763).
            (2) $2,000,000 for fiscal year 2001 and $10,000,000 for 
        fiscal year 2002 of the amounts made available under chapter 9 
        of part II of the Foreign Assistance Act of 1961, as added by 
        section 301.
            (3) $500,000 for fiscal year 2001 and $5,000,000 for fiscal 
        year 2002 of the amounts made available to carry out chapter 5 
        of part II of the Foreign Assistance Act of 1961 (22 U.S.C. 2347 
        et seq.).
            (4) $1,000,000 for fiscal year 2001 and $2,000,000 for 
        fiscal year 2002 of the amounts made available to carry out 
        chapter 8 of part II of the Foreign Assistance Act.

    (b) GUUAM Countries Defined.--In this section, the term ``GUUAM 
countries'' means the group of countries that signed a protocol on 
quadrilateral cooperation on November 25, 1997, together with 
Uzbekistan.

                  TITLE VI--TRANSFERS OF NAVAL VESSELS

SEC. 601. <<NOTE: President.>> AUTHORITY TO TRANSFER NAVAL VESSELS TO 
            CERTAIN FOREIGN COUNTRIES.

    (a) Brazil.--The President is authorized to transfer to the 
Government of Brazil two ``THOMASTON'' class dock landing ships ALAMO 
(LSD 33) and HERMITAGE (LSD 34), and four ``GARCIA'' class frigates 
BRADLEY (FF 1041), DAVIDSON (FF 1045), SAMPLE (FF 1048) and ALBERT DAVID 
(FF 1050). Such transfers shall be on a grant basis under section 516 of 
the Foreign Assistance Act of 1961 (22 U.S.C. 2321j).
    (b) Chile.--The President is authorized to transfer to the 
Government of the Chile two ``OLIVER HAZARD PERRY'' class guided missile 
frigates WADSWORTH (FFG 9), and ESTOCIN (FFG 15). Such transfers shall 
be on a combined lease-sale basis under sections 61 and 21 of the Arms 
Export Control Act (22 U.S.C. 2796, 2761).
    (c) Greece.--The President is authorized to transfer to the 
Government of Greece two ``KNOX'' class frigates VREELAND (FF 1068), and 
TRIPPE (FF 1075). Such transfers shall be on a grant basis under section 
516 of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j).
    (d) Turkey.--The President is authorized to transfer to the 
Government of Turkey two ``OLIVER HAZARD PERRY'' class guided missile 
frigates JOHN A. MOORE (FFG 19), and FLATLEY

[[Page 114 STAT. 860]]

(FFG 21). Such transfers shall be on a combined lease-sale basis under 
sections 61 and 21 of the Arms Export Control Act (22 U.S.C. 2796, 
2761). The authority granted by this subsection is in addition to that 
granted under section 1018(a)(9) of Public Law 106-65.

SEC. 602. INAPPLICABILITY OF AGGREGATE ANNUAL LIMITATION ON VALUE OF 
            TRANSFERRED EXCESS DEFENSE ARTICLES.

    The value of naval vessels authorized under section 601 to be 
transferred on a grant basis under section 516 of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2321j) shall not be included in the aggregate 
annual value of transferred excess defense articles which is subject to 
the aggregate annual limitation set forth in section 516(g) of the 
Foreign Assistance Act of 1961 (22 U.S.C. 2321j(g)).

SEC. 603. COSTS OF TRANSFERS.

    Any expense of the United States in connection with a transfer 
authorized by this title shall be charged to the recipient.

SEC. 604. CONDITIONS RELATING TO COMBINED LEASE-SALE TRANSFERS.

    A transfer of a vessel on a combined lease-sale basis authorized by 
section 601 shall be made in accordance with the following requirements:
            (1) The President may initially transfer the vessel by 
        lease, with lease payments suspended for the term of the lease, 
        if the country entering into the lease for the vessel 
        simultaneously enters into a foreign military sales agreement 
        for the transfer of title to the vessel.
            (2) The President may not deliver to the purchasing country 
        title to the vessel until the purchase price of the vessel under 
        such a foreign military sales agreement is paid in full.
            (3) Upon payment of the purchase price in full under such a 
        sales agreement and delivery of title to the recipient country, 
        the President shall terminate the lease.
            (4) If the purchasing country fails to make full payment of 
        the purchase price in accordance with the sales agreement by the 
        date required under the sales agreement--
                    (A) the sales agreement shall be immediately 
                terminated;
                    (B) the suspension of lease payments under the lease 
                shall be vacated; and
                    (C) the United States shall be entitled to retain 
                all funds received on or before the date of the 
                termination under the sales agreement, up to the amount 
                of the lease payments due and payable under the lease 
                and all other costs required by the lease to be paid to 
                that date.
            (5) If a sales agreement is terminated pursuant to paragraph 
        (4), the United States shall not be required to pay any interest 
        to the recipient country on any amount paid to the United States 
        by the recipient country under the sales agreement and not 
        retained by the United States under the lease.

SEC. 605. FUNDING OF CERTAIN COSTS OF TRANSFERS.

    There are authorized to be appropriated to the Defense Vessels 
Transfer Program Account such funds as may be necessary to cover the 
costs (as defined in section 502 of the Congressional

[[Page 114 STAT. 861]]

Budget Act of 1974 (2 U.S.C. 661a)) of the lease-sale transfers 
authorized by section 601. Funds authorized to be appropriated under the 
preceding sentence for the purpose described in that sentence may not be 
available for any other purpose.

SEC. 606. REPAIR AND REFURBISHMENT IN UNITED STATES SHIPYARDS.

    To the maximum extent practicable, the President shall require, as a 
condition of the transfer of a vessel under section 601, that the 
country to which the vessel is transferred will have such repair or 
refurbishment of the vessel as is needed, before the vessel joins the 
naval forces of that country, performed at a shipyard located in the 
United States, including a United States Navy shipyard.

SEC. 607. SENSE OF THE CONGRESS REGARDING TRANSFER OF NAVAL VESSELS ON A 
            GRANT BASIS.

    It is the sense of the Congress that naval vessels authorized under 
section 601 to be transferred to foreign countries on a grant basis 
under section 516 of the Foreign Assistance Act of 1961 (22 U.S.C. 
2321j) should be so transferred only if the United States receives 
appropriate benefits from such countries for transferring the vessel on 
a grant basis.

SEC. 608. EXPIRATION OF AUTHORITY.

    The authority granted by section 601 shall expire 2 years after the 
date of the enactment of this Act.

                   TITLE VII--MISCELLANEOUS PROVISIONS

SEC. 701. UTILIZATION OF DEFENSE ARTICLES AND DEFENSE SERVICES.

    Section 502 of the Foreign Assistance Act of 1961 (22 U.S.C. 2302) 
is amended in the first sentence by inserting ``(including for 
antiterrorism and nonproliferation purposes)'' after ``internal 
security''.

SEC. 702. ANNUAL MILITARY ASSISTANCE REPORT.

    Section 655(b)(3) of the Foreign Assistance Act of 1961 (22 U.S.C. 
2415(b)(3)) is amended by inserting before the period at the end the 
following: ``and, if so, a specification of those defense articles that 
were exported during the fiscal year covered by the report''.

SEC. 703. REPORT ON GOVERNMENT-TO-GOVERNMENT ARMS SALES END-USE 
            MONITORING PROGRAM.

    Not <<NOTE: Deadline.>> later than 180 days after the date of the 
enactment of this Act, the President shall prepare and transmit to the 
appropriate committees of Congress a report that contains a summary of 
the status of the efforts of the Defense Security Cooperation Agency to 
implement the End-Use Monitoring Enhancement Plan relating to 
government-to-government transfers of defense articles, defense 
services, and related technologies.

SEC. 704. <<NOTE: 22 USC 2797 note.>> MTCR REPORT TRANSMITTALS.

    For purposes of section 71(d) of the Arms Export Control Act (22 
U.S.C. 2797(d)), the requirement that reports under that section

[[Page 114 STAT. 862]]

shall be transmitted to the Congress shall be considered to be a 
requirement that such reports shall be transmitted to the Committee on 
International Relations of the House of Representatives and the 
Committee on Foreign Relations and the Committee on Banking, Housing and 
Urban Affairs of the Senate.

SEC. 705. STINGER MISSILES IN THE PERSIAN GULF REGION.

    (a) Prohibition.--Notwithstanding any other provision of law and 
except as provided in subsection (b), the United States may not sell or 
otherwise make available under the Arms Export Control Act or chapter 2 
of part II of the Foreign Assistance Act of 1961 any Stinger ground-to-
air missiles to any country bordering the Persian Gulf.
    (b) Additional Transfers Authorized.--In addition to other defense 
articles authorized to be transferred by section 581 of the Foreign 
Operations, Export Financing, and Related Programs Appropriation Act, 
1990, the United States may sell or make available, under the Arms 
Export Control Act or chapter 2 of part II of the Foreign Assistance Act 
of 1961, Stinger ground-to-air missiles to any country bordering the 
Persian Gulf in order to replace, on a one-for-one basis, Stinger 
missiles previously furnished to such country if the Stinger missiles to 
be replaced are nearing the scheduled expiration of their shelf-life.

SEC. 706. SENSE OF THE CONGRESS REGARDING EXCESS DEFENSE ARTICLES.

    It is the sense of the Congress that the President should make 
expanded use of the authority provided under section 21(a) of the Arms 
Export Control Act to sell excess defense articles by utilizing the 
flexibility afforded by section 47 of such Act to ascertain the ``market 
value'' of excess defense articles.

SEC. 707. EXCESS DEFENSE ARTICLES FOR MONGOLIA.

    (a) Uses for Which Funds Are Available.--Notwithstanding section 
516(e) of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j(e)), 
during the fiscal years 2001 and 2002, funds available to the Department 
of Defense may be expended for crating, packing, handling, and 
transportation of excess defense articles transferred under the 
authority of section 516 of that Act to Mongolia.
    (b) Content of Congressional Notification.--Each notification 
required to be submitted under section 516(f ) of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2321j(f )) with respect to a proposed transfer of 
a defense article described in subsection (a) shall include an estimate 
of the amount of funds to be expended under subsection (a) with respect 
to that transfer.

SEC. 708. <<NOTE: 22 USC 2797b note.>> SPACE COOPERATION WITH RUSSIAN 
            PERSONS.

    (a) Annual Certification.--
            (1) Requirement.--The President shall submit each year to 
        the appropriate committees of Congress, with respect to each 
        Russian person described in paragraph (2), a certification that 
        the reports required to be submitted to Congress during the 
        preceding calendar year under section 2 of the Iran 
        Nonproliferation Act of 2000 (Public Law 106-178) do not 
        identify that person on account of a transfer to Iran of goods, 
        services, or technology described in section 2(a)(1)(B) of such 
        Act.
            (2) Applicability.--The certification requirement under 
        paragraph (1) applies with respect to each Russian person

[[Page 114 STAT. 863]]

        that, as of the date of the certification, is a party to an 
        agreement relating to commercial cooperation on MTCR equipment 
        or technology with a United States person pursuant to an arms 
        export license that was issued at any time since January 1, 
        2000.
            (3) Exemption.--No activity or transfer which specifically 
        has been the subject of a Presidential determination pursuant to 
        section 5(a)(1), (2), or (3) of the Iran Nonproliferation Act of 
        2000 (Public Law 106-178) shall cause a Russian person to be 
        considered as having been identified in the reports submitted 
        during the preceding calendar year under section 2 of that Act 
        for the purposes of the certification required under paragraph 
        (1).
            (4) Commencement and termination of requirement.--
                    (A) Times for submission.--The President shall 
                submit--
                          (i) <<NOTE: Deadline.>> the first 
                      certification under paragraph (1) not later than 
                      60 days after the date of the enactment of this 
                      Act; and
                          (ii) each annual certification thereafter on 
                      the anniversary of the first submission.
                    (B) Termination of requirement.--No certification is 
                required under paragraph (1) after termination of 
                cooperation under the specific license, or 5 years after 
                the date on which the first certification is submitted, 
                whichever is the earlier date.

    (b) Termination of Existing Licenses.--If, at any time after the 
issuance of a license under section 36(c) of the Arms Export Control Act 
relating to the use, development, or co-production of commercial rocket 
engine technology with a foreign person, the President determines that 
the foreign person has engaged in any action described in section 
73(a)(1) of the Arms Export Control Act (22 U.S.C. 2797b(a)(1)) since 
the date the license was issued, the President may terminate the 
license.
    (c) Report on Export Licensing of MTCR Items Under $50,000,000.--
Section <<NOTE: Deadline.>> 71(d) of the Arms Export Control Act (22 
U.S.C. 2797(d)) is amended by striking ``Within 15 days'' and all that 
follows through ``MTCR Annex,'' and inserting ``Within 15 days after the 
issuance of a license (including any brokering license) for the export 
of items valued at less than $50,000,000 that are controlled under this 
Act pursuant to United States obligations under the Missile Technology 
Control Regime and are goods or services that are intended to support 
the design, utilization, development, or production of a space launch 
vehicle system listed in Category I of the MTCR Annex,''.

    (d) Definitions.--In this section:
            (1) Foreign person.--The term ``foreign person'' has the 
        meaning given the term in section 74(7) of the Arms Export 
        Control Act (22 U.S.C. 2797c(7)).
            (2) MTCR equipment or technology.--The term ``MTCR equipment 
        or technology'' has the meaning given the term in section 74(5) 
        of the Arms Export Control Act (22 U.S.C. 2797c(5)).
            (3) Person.--The term ``person'' has the meaning given the 
        term in section 74(8) of the Arms Export Control Act (22 U.S.C. 
        2797c(8)).

[[Page 114 STAT. 864]]

            (4) United states person.--The term ``United States person'' 
        has the meaning given the term in section 74(6) of the Arms 
        Export Control Act (22 U.S.C. 2797c(6)).

SEC. 709. SENSE OF THE CONGRESS RELATING TO MILITARY EQUIPMENT FOR THE 
            PHILIPPINES.

    (a) In General.--It is the sense of the Congress that the United 
States Government should work with the Government of the Philippines to 
enable that Government to procure military equipment that can be used to 
upgrade the capabilities and to improve the quality of life of the armed 
forces of the Philippines.
    (b) Military Equipment.--Military equipment described in subsection 
(a) should include--
            (1) naval vessels, including amphibious landing crafts, for 
        patrol, search-and-rescue, and transport;
            (2) F-5 aircraft and other aircraft that can assist with 
        reconnaissance, search-and-rescue, and resupply;
            (3) attack, transport, and search-and-rescue helicopters; 
        and
            (4) vehicles and other personnel equipment.

SEC. 710. WAIVER OF CERTAIN COSTS.

    Notwithstanding any other provision of law, the President may waive 
the requirement to impose an appropriate charge for a proportionate 
amount of any nonrecurring costs of research, development, and 
production under section 21(e)(1)(B) of the Arms Export Control Act (22 
U.S.C. 2761(e)(1)(B)) for the November 1999 sale of five UH-60L 
helicopters to the Republic of Colombia in support of counternarcotics 
activities.

    Approved October 6, 2000.

LEGISLATIVE HISTORY--H.R. 4919 (S. 2901):
---------------------------------------------------------------------------

HOUSE REPORTS: No. 106-868 (Comm. on Conference).
SENATE REPORTS: No. 106-351 accompanying S. 2901 (Comm. on Foreign 
Relations).
CONGRESSIONAL RECORD, Vol. 146 (2000):
            July 24, considered and passed House.
            Sept. 7, considered and passed Senate, amended, in lieu of 
                S. 2901.
            Sept. 21, House agreed to conference report.
            Sept. 22, Senate agreed to conference report.

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