I

104TH CONGRESS

1ST SESSION H. R. 2666

Making appropriations for foreign operations, export financing, and related

programs for the fiscal year ending September 30, 1996, and for other

purposes.

IN THE HOUSE OF REPRESENTATIVES

NOVEMBER 18, 1995

Mr. CALLAHAN introduced the following bill; which was referred to the

Committee on Appropriations

A BILL

Making appropriations for foreign operations, export financing, and related programs for the fiscal year ending

September 30, 1996, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 That the following sums are appropriated, out of any

4 money in the Treasury not otherwise appropriated, for the

5 fiscal year ending September 30, 1996, and for other pur6 poses, namely:
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1 TITLE I—EXPORT AND INVESTMENT

2 ASSISTANCE

3 EXPORT-IMPORT BANK OF THE UNITED STATES

4 The Export-Import Bank of the United States is au5 thorized to make such expenditures within the limits of

6 funds and borrowing authority available to such corpora7 tion, and in accordance with law, and to make such con8 tracts and commitments without regard to fiscal year limi9 tations, as provided by section 104 of the Government

10 Corporation Control Act, as may be necessary in carrying

11 out the program for the current fiscal year for such cor12 poration: Provided, That none of the funds available dur13 ing the current fiscal year may be used to make expendi14 tures, contracts, or commitments for the export of nuclear

15 equipment, fuel, or technology to any country other than

16 a nuclear-weapon State as defined in Article IX of the

17 Treaty on the Non-Proliferation of Nuclear Weapons eligi18 ble to receive economic or military assistance under this

19 Act that has detonated a nuclear explosive after the date

20 of enactment of this Act.

21 SUBSIDY APPROPRIATION

22 For the cost of direct loans, loan guarantees, insur23 ance, and tied-aid grants as authorized by section 10 of

24 the Export-Import Bank Act of 1945, as amended,

25 $786,551,000 to remain available until September 30,
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1 1997: Provided, That such costs, including the cost of

2 modifying such loans, shall be as defined in section 502

3 of the Congressional Budget Act of 1974: Provided fur4 ther, That such sums shall remain available until 2010 for

5 the disbursement of direct loans, loan guarantees, insur6 ance and tied-aid grants obligated in fiscal years 1996 and

7 1997: Provided further, That up to $100,000,000 of funds

8 appropriated by this paragraph shall remain available

9 until expended and may be used for tied-aid grant pur10 poses: Provided further, That none of the funds appro11 priated by this paragraph may be used for tied-aid credits

12 or grants except through the regular notification proce13 dures of the Committees on Appropriations: Provided fur14 ther, That funds appropriated by this paragraph are made

15 available notwithstanding section 2(b)(2) of the Export16 Import Bank Act of 1945, in connection with the purchase

17 or lease of any product by any East European country,

18 any Baltic State, or any agency or national thereof.

19 ADMINISTRATIVE EXPENSES

20 For administrative expenses to carry out the direct

21 and guaranteed loan and insurance programs (to be com22 puted on an accrual basis), including hire of passenger

23 motor vehicles and services as authorized by 5 U.S.C.

24 3109, and not to exceed $20,000 for official reception and

25 representation expenses for members of the Board of Di26 rectors, $45,614,000: Provided, That necessary expenses
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1 (including special services performed on a contract or fee

2 basis, but not including other personal services) in connec3 tion with the collection of moneys owed the Export-Import

4 Bank, repossession or sale of pledged collateral or other

5 assets acquired by the Export-Import Bank in satisfaction

6 of moneys owed the Export-Import Bank, or the investiga7 tion or appraisal of any property, or the evaluation of the

8 legal or technical aspects of any transaction for which an

9 application for a loan, guarantee or insurance commitment

10 has been made, shall be considered nonadministrative ex11 penses for the purposes of this heading: Provided further,

12 That, notwithstanding subsection (b) of section 117 of the

13 Export Enhancement Act of 1992, subsection (a) thereof

14 shall remain in effect until October 1, 1996.

15 OVERSEAS PRIVATE INVESTMENT CORPORATION

16 NONCREDIT ACCOUNT

17 The Overseas Private Investment Corporation is au18 thorized to make, without regard to fiscal year limitations,

19 as provided by 31 U.S.C. 9104, such expenditures and

20 commitments within the limits of funds available to it and

21 in accordance with law as may be necessary: Provided,

22 That the amount available for administrative expenses to

23 carry out the credit and insurance programs (including an

24 amount for official reception and representation expenses

25 which shall not exceed $35,000) shall not exceed

26 $26,000,000: Provided further, That project-specific trans-
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1 action costs, including direct and indirect costs incurred

2 in claims settlements, and other direct costs associated

3 with services provided to specific investors or potential in4 vestors pursuant to section 234 of the Foreign Assistance

5 Act of 1961, shall not be considered administrative ex6 penses for the purposes of this heading.

7 PROGRAM ACCOUNT

8 For the cost of direct and guaranteed loans,

9 $72,000,000, as authorized by section 234 of the Foreign

10 Assistance Act of 1961: Provided, That such costs, includ11 ing the cost of modifying such loans, shall be as defined

12 in section 502 of the Congressional Budget Act of 1974:

13 Provided further, That such sums shall be available for di14 rect loan obligations and loan guaranty commitments in15 curred or made during fiscal years 1996 and 1997: Pro16 vided further, That such sums shall remain available

17 through fiscal year 2003 for the disbursement of direct

18 and guaranteed loans obligated in fiscal year 1996, and

19 through fiscal year 2004 for the disbursement of direct

20 and guaranteed loans obligated in fiscal year 1997. In ad21 dition, such sums as may be necessary for administrative

22 expenses to carry out the credit program may be derived

23 from amounts available for administrative expenses to

24 carry out the credit and insurance programs in the Over25 seas Private Investment Corporation Noncredit Account

26 and merged with said account.
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1 FUNDS APPROPRIATED TO THE PRESIDENT

2 TRADE AND DEVELOPMENT AGENCY

3 For necessary expenses to carry out the provisions

4 of section 661 of the Foreign Assistance Act of 1961,

5 $40,000,000: Provided, That the Trade and Development

6 Agency may receive reimbursements from corporations

7 and other entities for the costs of grants for feasibility

8 studies and other project planning services, to be deposited

9 as an offsetting collection to this account and to be avail10 able for obligation until September 30, 1997, for necessary

11 expenses under this paragraph: Provided further, That

12 such reimbursements shall not cover, or be allocated

13 against, direct or indirect administrative costs of the

14 agency.

15 TITLE II—BILATERAL ECONOMIC ASSISTANCE

16 FUNDS APPROPRIATED TO THE PRESIDENT

17 For expenses necessary to enable the President to

18 carry out the provisions of the Foreign Assistance Act of

19 1961, and for other purposes, to remain available until

20 September 30, 1996, unless otherwise specified herein, as

21 follows:

22 AGENCY FOR INTERNATIONAL DEVELOPMENT

23 CHILD SURVIVAL AND DISEASE PROGRAMS

24 Of the funds appropriated in title II of this Act, and

25 under the heading ‘‘International Organizations and Pro-
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1 grams’’ in title IV of this Act, not less than $484,000,000

2 shall be made available for programs for child survival,

3 assistance to combat tropical and other diseases, and re4 lated activities: Provided, That this amount shall be made

5 available for such activities as (1) immunization programs,

6 (2) oral rehydration programs, (3) health and nutrition

7 programs, and related education programs, which address

8 the needs of mothers and children, (4) water and sanita9 tion programs, (5) assistance for displaced and orphaned

10 children, (6) programs for the prevention, treatment, and

11 control of, and research on, tuberculosis, HIV/AIDS,

12 polio, malaria and other diseases, and (7) a contribution

13 on a grant basis to the United Nations Children’s Fund

14 (UNICEF).

15 DEVELOPMENT ASSISTANCE

16 (INCLUDING TRANSFER OF FUNDS)

17 For necessary expenses to carry out the provisions

18 of sections 103 through 106 and chapter 10 of part I of

19 the Foreign Assistance Act of 1961, title V of the Inter20 national Security and Development Cooperation Act of

21 1980 (Public Law 96–533) and the provisions of section

22 401 of the Foreign Assistance Act of 1969,

23 $1,675,000,000, to remain available until September 30,

24 1997: Provided, That of the amount appropriated under

25 this heading, up to $20,000,000 may be made available

26 for the Inter-American Foundation and shall be appor-
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1 tioned directly to that agency: Provided further, That of

2 the amount appropriated under this heading, up to

3 $11,500,000 may be made available for the African Devel4 opment Foundation and shall be apportioned directly to

5 that agency: Provided further, That of the funds appro6 priated under title II of this Act that are administered

7 by the Agency for International Development and made

8 available for family planning assistance, not less than 65

9 percent shall be made available directly to the agency’s

10 central Office of Population and shall be programmed by

11 that office for family planning activities: Provided further,

12 That the President shall seek to ensure that funds made

13 available under this heading for sub-Saharan Africa are

14 in substantially the same proportion to the total amount

15 appropriated and made available by this Act for develop16 ment assistance as the proportion of funds made available

17 for development assistance for sub-Saharan Africa was to

18 the total amount appropriated for development assistance

19 in Public Law 103–306: Provided further, That up to

20 $25,000,000 of the funds appropriated under this heading

21 may be made available for necessary expenses to carry out

22 the provisions of section 667 of the Foreign Assistance

23 Act: Provided further, That the President shall seek to en24 sure that the percentage of funds made available under

25 this heading for the activities of private and voluntary or-
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1 ganizations and cooperatives is at least equal to the per2 centage of funds made available pursuant to correspond3 ing authorities in law for the activities of private and vol4 untary organizations and cooperatives in fiscal year 1995:

5 Provided further, That none of the funds made available

6 in this Act nor any unobligated balances from prior appro7 priations may be made available to any organization or

8 program which, as determined by the President of the

9 United States, supports or participates in the manage10 ment of a program of coercive abortion or involuntary

11 sterilization: Provided further, That none of the funds

12 made available under this heading may be used to pay for

13 the performance of abortion as a method of family plan14 ning or to motivate or coerce any person to practice abor15 tions; and that in order to reduce reliance on abortion in

16 developing nations, funds shall be available only to vol17 untary family planning projects which offer, either directly

18 or through referral to, or information about access to, a

19 broad range of family planning methods and services: Pro20 vided further, That in awarding grants for natural family

21 planning under section 104 of the Foreign Assistance Act

22 of 1961 no applicant shall be discriminated against be23 cause of such applicant’s religious or conscientious com24 mitment to offer only natural family planning; and, addi25 tionally, all such applicants shall comply with the require-
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1 ments of the previous proviso: Provided further, That for

2 purposes of this or any other Act authorizing or appro3 priating funds for foreign operations, export financing,

4 and related programs, the term ‘‘motivate’’, as it relates

5 to family planning assistance, shall not be construed to

6 prohibit the provision, consistent with local law, of infor7 mation or counseling about all pregnancy options: Pro8 vided further, That nothing in this paragraph shall be con9 strued to alter any existing statutory prohibitions against

10 abortion under section 104 of the Foreign Assistance Act

11 of 1961: Provided further, That, notwithstanding section

12 109 of the Foreign Assistance Act of 1961, of the funds

13 appropriated under this heading not to exceed a total of

14 $30,000,000 may be transferred to ‘‘International Organi15 zations and Programs’’ for a contribution to the Inter16 national Fund for Agricultural Development (IFAD), and

17 that any such transfer of funds shall be subject to the

18 regular notification procedures of the Committees on Ap19 propriations: Provided further, That not less than

20 $650,000 of the funds made available under this heading

21 should be made available for support of the United States

22 Telecommunications Training Institute.

23 CYPRUS

24 Of the funds appropriated under the headings ‘‘De25 velopment Assistance’’ and ‘‘Economic Support Fund’’,

26 not less than $15,000,000 shall be made available for Cy-
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1 prus to be used only for scholarships, administrative sup2 port of the scholarship program, bicommunal projects, and

3 measures aimed at reunification of the island and designed

4 to reduce tensions and promote peace and cooperation be5 tween the two communities on Cyprus.

6 BURMA

7 Of the funds appropriated by this Act to carry out

8 the provisions of chapter 8 of part I and chapter 4 of

9 part II of the Foreign Assistance Act of 1961, not less

10 than $2,380,000 shall be made available to support ac11 tivities in Burma, along the Burma-Thailand border, and

12 for activities of Burmese student groups and other orga13 nizations located outside Burma, for the purposes of fos14 tering democracy in Burma, supporting the provision of

15 medical supplies and other humanitarian assistance to

16 Burmese located in Burma or displaced Burmese along

17 the borders, and for other purposes: Provided, That of

18 this amount, not less than $200,000 shall be made avail19 able to support newspapers, publications, and other

20 media activities promoting democracy inside Burma: Pro21 vided further, That of this amount, not less than

22 $380,000 shall be made available for crop substitution

23 activities in cooperation with the Kachin people of

24 Burma: Provided further, That funds made available

25 under this heading may be made available notwithstand26 ing any other provision of law: Provided further, That
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1 provision of such funds shall be made available subject to

2 the regular notification procedures of the Committees on

3 Appropriations.

4 PRIVATE AND VOLUNTARY ORGANIZATIONS

5 None of the funds appropriated or otherwise made

6 available by this Act for development assistance may be

7 made available to any United States private and voluntary

8 organization, except any cooperative development organi9 zation, which obtains less than 20 per centum of its total

10 annual funding for international activities from sources

11 other than the United States Government: Provided, That

12 the requirements of the provisions of section 123(g) of the

13 Foreign Assistance Act of 1961 and the provisions on pri14 vate and voluntary organizations in title II of the ‘‘Foreign

15 Assistance and Related Programs Appropriations Act,

16 1985’’ (as enacted in Public Law 98–473) shall be super17 seded by the provisions of this section, except that the au18 thority contained in the last sentence of section 123(g)

19 may be exercised by the Administrator with regard to the

20 requirements of this paragraph.

21 Funds appropriated or otherwise made available

22 under title II of this Act should be made available to pri23 vate and voluntary organizations at a level which is equiv24 alent to the level provided in fiscal year 1995. Such private

25 and voluntary organizations shall include those which op26 erate on a not-for-profit basis, receive contributions from
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1 private sources, receive voluntary support from the public

2 and are deemed to be among the most cost-effective and

3 successful providers of development assistance.

4 INTERNATIONAL DISASTER ASSISTANCE

5 For necessary expenses for international disaster re6 lief, rehabilitation, and reconstruction assistance pursuant

7 to section 491 of the Foreign Assistance Act of 1961, as

8 amended, $181,000,000, to remain available until ex9 pended.

10 HUMANITARIAN ASSISTANCE TO THE FORMER

11 YUGOSLAVIA

12 Of the funds appropriated in title II of this Act,

13 $40,000,000 should be available only for emergency hu14 manitarian assistance to the former Yugoslavia, of which

15 amount not less than $6,000,000 shall be available only

16 for humanitarian assistance to Kosova.

17 DEBT RESTRUCTURING

18 For the cost, as defined in section 502 of the Con19 gressional Budget Act of 1974, of modifying direct loans

20 and loan guarantees, as the President may determine, for

21 which funds have been appropriated or otherwise made

22 available for programs within the International Affairs

23 Budget Function 150, including the cost of selling, reduc24 ing, or canceling amounts, through debt buybacks and

25 swaps, owed to the United States as a result of

26 concessional loans made to eligible Latin American and
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1 Caribbean countries, pursuant to part IV of the Foreign

2 Assistance Act of 1961, $10,000,000, to remain available

3 until expended.

4 MICRO AND SMALL ENTERPRISE DEVELOPMENT PROGRAM

5 ACCOUNT

6 For the subsidy cost of direct loans and loan guaran7 tees, $1,500,000, as authorized by section 108 of the For8 eign Assistance Act of 1961, as amended: Provided, That

9 such costs shall be as defined in section 502 of the Con10 gressional Budget Act of 1974: Provided further, That

11 guarantees of loans made under this heading in support

12 of microenterprise activities may guarantee up to 70 per13 cent of the principal amount of any such loans notwith14 standing section 108 of the Foreign Assistance Act of

15 1961. In addition, for administrative expenses to carry out

16 programs under this heading, $500,000, all of which may

17 be transferred to and merged with the appropriation for

18 Operating Expenses of the Agency for International De19 velopment: Provided further, That funds made available

20 under this heading shall remain available until September

21 30, 1997.

22 HOUSING GUARANTY PROGRAM ACCOUNT

23 For the cost, as defined in section 502 of the Con24 gressional Budget Act of 1974, of guaranteed loans au25 thorized by sections 221 and 222 of the Foreign Assist26 ance Act of 1961, $4,000,000, to remain available until
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1 September 30, 1997: Provided, That these funds are avail2 able to subsidize loan principal, 100 percent of which shall

3 be guaranteed, pursuant to the authority of such sections.

4 In addition, for administrative expenses to carry out guar5 anteed loan programs, $7,000,000, all of which may be

6 transferred to and merged with the appropriation for Op7 erating Expenses of the Agency for International Develop8 ment: Provided further, That commitments to guarantee

9 loans under this heading may be entered into notwith10 standing the second and third sentences of section 222(a)

11 and, with regard to programs for Eastern Europe and pro12 grams for the benefit of South Africans disadvantaged by

13 apartheid, section 223(j) of the Foreign Assistance Act of

14 1961: Provided further, That none of the funds appro15 priated under this heading shall be obligated except

16 through the regular notification procedures of the Com17 mittees on Appropriations.

18 PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND

19 DISABILITY FUND

20 For payment to the ‘‘Foreign Service Retirement and

21 Disability Fund’’, as authorized by the Foreign Service

22 Act of 1980, $43,914,000.

23 OPERATING EXPENSES OF THE AGENCY FOR

24 INTERNATIONAL DEVELOPMENT

25 For necessary expenses to carry out the provisions

26 of section 667, $465,750,000: Provided, That of this
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1 amount not more than $1,475,000 may be made available

2 to pay for printing costs: Provided further, That none of

3 the funds appropriated by this Act for programs adminis4 tered by the Agency for International Development (AID)

5 may be used to finance printing costs of any report or

6 study (except feasibility, design, or evaluation reports or

7 studies) in excess of $25,000 without the approval of the

8 Administrator of the Agency or the Administrator’s des9 ignee: Provided further, That notwithstanding any other

10 provision of law, none of the funds appropriated or other11 wise made available by this Act may be made available

12 for expenses necessary to relocate the Agency for Inter13 national Development, or any part of that agency, to the

14 building at the Federal Triangle in Washington, District

15 of Columbia.

16 OPERATING EXPENSES OF THE AGENCY FOR INTER17 NATIONAL DEVELOPMENT OFFICE OF INSPECTOR

18 GENERAL

19 For necessary expenses to carry out the provisions

20 of section 667, $30,200,000, to remain available until Sep21 tember 30, 1997, which sum shall be available for the Of22 fice of the Inspector General of the Agency for Inter23 national Development.
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1 OTHER BILATERAL ECONOMIC ASSISTANCE

2 ECONOMIC SUPPORT FUND

3 For necessary expenses to carry out the provisions

4 of chapter 4 of part II, $2,340,000,000, to remain avail5 able until September 30, 1997: Provided, That of the

6 funds appropriated under this heading, not less than

7 $1,200,000,000 shall be available only for Israel, which

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

9 and shall be disbursed within thirty days of enactment of

10 this Act or by October 31, 1995, whichever is later: Pro11 vided further, That not less than $815,000,000 shall be

12 available only for Egypt, which sum shall be provided on

13 a grant basis, and of which sum cash transfer assistance

14 may be provided, with the understanding that Eygpt will

15 undertake significant economic reforms which are addi16 tional to those which were undertaken in previous fiscal

17 years, and of which not less than $200,000,000 shall be

18 provided as Commodity Import Program assistance: Pro19 vided further, That the Egyptian pound equivalent of

20 $85,000,000 generated from funds made available by this

21 paragraph or generated from funds appropriated under

22 this heading in prior appropriations Acts, may be made

23 available to the United States pursuant to the United

24 States-Egypt Economic, Technical and Related Assistance

25 Agreements of 1978, for the following activities under
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1 such Agreements: the Egyptian pound equivalent of

2 $50,000,000 may be made available to replenish the exist3 ing endowment for the American University in Cairo, and

4 the Egyptian pound equivalent of $35,000,000 may be

5 made available for projects and programs, including estab6 lishment of an endowment, which promote the preserva7 tion and restoration of Egyptian antiquities: Provided fur8 ther, That in exercising the authority to provide cash

9 transfer assistance for Israel and Egypt, the President

10 shall ensure that the level of such assistance does not

11 cause an adverse impact on the total level of non-military

12 exports from the United States to each such country: Pro13 vided further, That it is the sense of the Congress that

14 the recommended levels of assistance for Egypt and Israel

15 are based in great measure upon their continued participa16 tion in the Camp David Accords and upon the Egyptian17 Israeli peace treaty: Provided further, That none of the

18 funds appropriated under this heading shall be made avail19 able for Zaire.

20 INTERNATIONAL FUND FOR IRELAND

21 For necessary expenses to carry out the provisions

22 of part I of the Foreign Assistance Act of 1961, up to

23 $19,600,000, which shall be available for the United

24 States contribution to the International Fund for Ireland

25 and shall be made available in accordance with the provi26 sions of the Anglo-Irish Agreement Support Act of 1986
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1 (Public Law 99–415): Provided, That such amount shall

2 be expended at the minimum rate necessary to make time3 ly payment for projects and activities: Provided further,

4 That funds made available under this heading shall re5 main available until September 30, 1997.

6 ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC

7 STATES

8 (a) For necessary expenses to carry out the provisions

9 of the Foreign Assistance Act of 1961 and the Support

10 for East European Democracy (SEED) Act of 1989,

11 $324,000,000, to remain available until September 30,

12 1997, which shall be available, notwithstanding any other

13 provision of law, for economic assistance and for related

14 programs for Eastern Europe and the Baltic States.

15 (b) Funds appropriated under this heading or in prior

16 appropriations Acts that are or have been made available

17 for an Enterprise Fund may be deposited by such Fund

18 in interest-bearing accounts prior to the Fund’s disburse19 ment of such funds for program purposes. The Fund may

20 retain for such program purposes any interest earned on

21 such deposits without returning such interest to the Treas22 ury of the United States and without further appropria23 tion by the Congress. Funds made available for Enterprise

24 Funds shall be expended at the minimum rate necessary

25 to make timely payment for projects and activities.
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1 (c) Funds appropriated under this heading shall be

2 considered to be economic assistance under the Foreign

3 Assistance Act of 1961 for purposes of making available

4 the administrative authorities contained in that Act for

5 the use of economic assistance.

6 ASSISTANCE FOR THE NEW INDEPENDENT STATES OF

7 THE FORMER SOVIET UNION

8 (a) For necessary expenses to carry out the provisions

9 of chapter 11 of part I of the Foreign Assistance Act of

10 1961 and the FREEDOM Support Act, for assistance for

11 the new independent states of the former Soviet Union

12 and for related programs, $641,000,000, to remain avail13 able until September 30, 1997: Provided, That the provi14 sions of 498B(j) of the Foreign Assistance Act of 1961

15 shall apply to funds appropriated by this paragraph.

16 (b) None of the funds appropriated under this head17 ing shall be transferred to the Government of Russia—

18 (1) unless that Government is making progress

19 in implementing comprehensive economic reforms

20 based on market principles, private ownership, nego21 tiating repayment of commercial debt, respect for

22 commercial contracts, and equitable treatment of

23 foreign private investment; and

24 (2) if that Government applies or transfers

25 United States assistance to any entity for the pur-
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1 pose of expropriating or seizing ownership or control

2 of assets, investments, or ventures.

3 (c) Funds may be furnished without regard to sub4 section (b) if the President determines that to do so is

5 in the national interest.

6 (d) None of the funds appropriated under this head7 ing shall be made available to any government of the new

8 independent states of the former Soviet Union if that gov9 ernment directs any action in violation of the territorial

10 integrity or national sovereignty of any other new inde11 pendent state, such as those violations included in the Hel12 sinki Final Act: Provided, That such funds may be made

13 available without regard to the restriction in this sub14 section if the President determines that to do so is in the

15 national security interest of the United States: Provided

16 further, That the restriction of this subsection shall not

17 apply to the use of such funds for the provision of assist18 ance for purposes of humanitarian, disaster and refugee

19 relief.

20 (e) None of the funds appropriated under this head21 ing for the new independent states of the former Soviet

22 Union shall be made available for any state to enhance

23 its military capability: Provided, That this restriction does

24 not apply to demilitarization or nonproliferation programs.
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1 (f) Funds appropriated under this heading shall be

2 subject to the regular notification procedures of the Com3 mittees on Appropriations.

4 (g) Funds made available in this Act for assistance

5 to the new independent states of the former Soviet Union

6 shall be subject to the provisions of section 117 (relating

7 to environment and natural resources) of the Foreign As8 sistance Act of 1961.

9 (h) Funds appropriated under this heading may be

10 made available for assistance for Mongolia.

11 (i) Funds made available in this Act for assistance

12 to the new independent states of the former Soviet Union

13 shall be provided to the maximum extent feasible through

14 the private sector, including small- and medium-size busi15 nesses, entrepreneurs, and others with indigenous private

16 enterprises in the region, intermediary development orga17 nizations committed to private enterprise, and private vol18 untary organizations: Provided, That grantees and con19 tractors should, to the maximum extent possible, place in

20 key staff positions specialists with prior on the ground ex21 pertise in the region of activity and fluency in one of the

22 local languages.

23 (j) In issuing new task orders, entering into con24 tracts, or making grants, with funds appropriated under

25 this heading or in prior appropriations Acts, for projects
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1 or activities that have as one of their primary purposes

2 the fostering of private sector development, the Coordina3 tor for United States Assistance to the New Independent

4 States and the implementing agency shall encourage the

5 participation of and give significant weight to contractors

6 and grantees who propose investing a significant amount

7 of their own resources (including volunteer services and

8 in-kind contributions) in such projects and activities.

9 (k) Of the funds made available under this heading,

10 not less than $225,000,000 shall be made available for

11 Ukraine, with the understanding that Ukraine will under12 take significant economic reforms which are additional to

13 those which were undertaken in previous fiscal years, and

14 of which not less than $50,000,000 (from this or any other

15 Act) shall be made available to improve energy self-suffi16 ciency and improve safety at nuclear reactors, and of

17 which $2,000,000 should be made available to conduct or

18 implement an assessment of the energy distribution grid

19 that provides recommendations leading to increased access

20 to power by industrial, commercial and residential users,

21 and of which not less than $22,000,000 shall be made

22 available to support the development of small and medium

23 enterprises, including independent broadcast and print

24 media.
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1 (l) Of the funds made available under this heading,

2 $5,000,000 should be made available for a project to

3 screen, diagnose, and treat victims of breast cancer associ4 ated with the 1985 incident at the Chernobyl reactor in

5 Ukraine.

6 (m) Of the funds made available by this Act, not less

7 than $85,000,000 shall be made available for Armenia.

8 (n) Of the funds made available by this or any other

9 Act, $30,000,000 should be made available for Georgia.

10 (o)(1) Effective ninety days after the date of enact11 ment of this Act, none of the funds appropriated under

12 this heading may be made available for Russia unless the

13 President determines and certifies in writing to the Com14 mittees on Appropriations that the Government of Russia

15 has terminated implementation of arrangements to pro16 vide Iran with technical expertise, training, technology, or

17 equipment necessary to develop a nuclear reactor or relat18 ed nuclear research facilities or programs.

19 (2) Subparagraph (1) shall not apply if the President

20 determines that making such funds available is important

21 to the national security interest of the United States. Any

22 such determination shall cease to be effective six months

23 after being made unless the President determines that its

24 continuation is important to the national security interest

25 of the United States.
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1 (p) Of the funds appropriated under this heading,

2 $20,000,000 should be provided for hospital partnership

3 programs, medical assistance to directly reduce the inci4 dence of infectious diseases such as diphtheria or tuber5 culosis, and a program to reduce the adverse impact of

6 contaminated drinking water.

7 (q) Of the funds appropriated under this heading and

8 under the heading ‘‘Assistance for Eastern Europe and

9 the Baltic States’’, not less than $12,600,000 shall be

10 made available for law enforcement training and ex11 changes, and investigative and technical assistance activi12 ties related to international criminal activities.

13 (r) Support should be provided from funds appro14 priated under this heading for a ballot security project to

15 promote public review by Russian citizens over the conduct

16 of parliamentary and presidential elections in Russia: Pro17 vided, That the Secretary of State may waive this provi18 sion with regard to any election upon notification to the

19 Committees on Appropriations that the Government of

20 Russia has blocked implementation of a ballot security

21 project.

22 (s) Of the funds appropriated under this heading, not

23 less than $50,000,000 should be provided to the Western

24 NIS and Central Asian Enterprise Funds: Provided, That
26

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1 obligation of these funds shall be consistent with sound

2 business practices.

3 (t) The President shall establish a Trans-Caucasus

4 Enterprise Fund to encourage regional peace through eco5 nomic cooperation: Provided, That the President shall seek

6 other bilateral and multilateral investors in the Fund: Pro7 vided further, That of the funds made available under this

8 heading, not less than $15,000,000 shall be made avail9 able for a United States investment in the Trans-Caucasus

10 Enterprise Fund.

11 (u) Funds appropriated under this heading or in

12 prior appropriations Acts that are or have been made

13 available for an Enterprise Fund may be deposited by

14 such Fund in interest-bearing accounts prior to the dis15 bursement of such funds by the Fund for program pur16 poses. The Fund may retain for such program proposes

17 any interest earned on such deposits without returning

18 such interest to the Treasury of the United States and

19 without further appropriation by the Congress. Funds

20 made available for Enterprise Funds shall be expended at

21 the minimum rate necessary to make timely payment for

22 projects and activities.

23 (v) Section 5421(d)(3)(B) of title 22, United States

24 Code, is amended by adding at the end thereof the follow25 ing: ‘‘: Provided, That, as to Enterprise Funds established
27

•HR 2666 IH

1 with respect to more than one host country, such Enter2 prise Fund may, in lieu of the appointment of citizens of

3 the host countries to its Board of Directors, establish an

4 advisory council for the host region comprised of citizens

5 of each of the host countries or establish separate advisory

6 councils for each of the host countries (hereinafter in this

7 section referred to as the ‘Advisory Councils’), with which

8 the Enterprise Fund’s policies and proposed activities and

9 such host country citizens shall satisfy the experience and

10 expertise requirements of this clause.’’.

11 (w) Notwithstanding any other provision of law, as12 sistance may be provided for the Government of Azer13 baijan for humanitarian purposes, if the President deter14 mines that humanitarian assistance provided in Azer15 baijan through nongovernmental organizations is not ade16 quately addressing the suffering of refugees and internally

17 displaced persons.

18 INDEPENDENT AGENCY

19 PEACE CORPS

20 For expenses necessary to carry out the provisions

21 of the Peace Corps Act (75 Stat. 612), $205,000,000, in22 cluding the purchase of not to exceed five passenger motor

23 vehicles for administrative purposes for use outside of the

24 United States: Provided, That none of the funds appro25 priated under this heading shall be used to pay for abor-
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•HR 2666 IH

1 tions: Provided further, That funds appropriated under

2 this heading shall remain available until September 30,

3 1997.

4 DEPARTMENT OF STATE

5 INTERNATIONAL NARCOTICS CONTROL

6 For necessary expenses to carry out the provisions

7 of section 481 of the Foreign Assistance Act of 1961,

8 $115,000,000: Provided, That during fiscal year 1996, the

9 Department of State may also use the authority of section

10 608 of the Foreign Assistance Act of 1961, without regard

11 to its restrictions, to receive non-lethal excess property

12 from an agency of the United States Government for the

13 purpose of providing it to a foreign country under chapter

14 8 of part I of that Act subject to the regular notification

15 procedures of the Committees on Appropriations.

16 MIGRATION AND REFUGEE ASSISTANCE

17 For expenses, not otherwise provided for, necessary

18 to enable the Secretary of State to provide, as authorized

19 by law, a contribution to the International Committee of

20 the Red Cross, assistance to refugees, including contribu21 tions to the International Organization for Migration and

22 the United Nations High Commissioner for Refugees, and

23 other activities to meet refugee and migration needs; sala24 ries and expenses of personnel and dependents as author25 ized by the Foreign Service Act of 1980; allowances as

26 authorized by sections 5921 through 5925 of title 5,
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1 United States Code; purchase and hire of passenger motor

2 vehicles; and services as authorized by section 3109 of title

3 5, United States Code, $671,000,000: Provided, That not

4 more than $12,000,000 shall be available for administra5 tive expenses: Provided further, That not less than

6 $80,000,000 shall be made available for refugees from the

7 former Soviet Union and Eastern Europe and other refu8 gees resettling in Israel.

9 REFUGEE RESETTLEMENT ASSISTANCE

10 For necessary expenses for the targeted assistance

11 program authorized by title IV of the Immigration and

12 Nationality Act and section 501 of the Refugee Education

13 Assistance Act of 1980 and administered by the Office of

14 Refugee Resettlement of the Department of Health and

15 Human Services, in addition to amounts otherwise avail16 able for such purposes, $5,000,000.

17 UNITED STATES EMERGENCY REFUGEE AND MIGRATION

18 ASSISTANCE FUND

19 For necessary expenses to carry out the provisions

20 of section 2(c) of the Migration and Refugee Assistance

21 Act of 1962, as amended (22 U.S.C. 260(c)),

22 $50,000,000, to remain available until expended: Pro23 vided, That the funds made available under this heading

24 are appropriated notwithstanding the provisions contained

25 in section 2(c)(2) of the Migration and Refugee Assistance
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1 Act of 1962 which would limit the amount of funds which

2 could be appropriated for this purpose.

3 ANTI-TERRORISM ASSISTANCE

4 For necessary expenses to carry out the provisions

5 of chapter 8 of part II of the Foreign Assistance Act of

6 1961, $16,000,000.

7 NONPROLIFERATION AND DISARMAMENT FUND

8 For necessary expenses for a ‘‘Nonproliferation and

9 Disarmament Fund’’, $20,000,000, to remain available

10 until expended, to promote bilateral and multilateral ac11 tivities: Provided, That such funds may be used pursuant

12 to the authorities contained in section 504 of the FREE13 DOM Support Act: Provided further, That such funds may

14 also be used for such countries other than the new inde15 pendent states of the former Soviet Union and inter16 national organizations when it is in the national security

17 interest of the United States to do so: Provided further,

18 That funds appropriated under this heading may be made

19 available notwithstanding any other provision of law: Pro20 vided further, That funds appropriated under this heading

21 shall be subject to the regular notification procedures of

22 the Committees on Appropriations.
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1 TITLE III—MILITARY ASSISTANCE

2 FUNDS APPROPRIATED TO THE PRESIDENT

3 INTERNATIONAL MILITARY EDUCATION AND TRAINING

4 For necessary expenses to carry out the provisions

5 of section 541 of the Foreign Assistance Act of 1961,

6 $39,000,000: Provided, That up to $100,000 of the funds

7 appropriated under this heading may be made available

8 for grant financed military education and training for any

9 high income country on the condition that that country

10 agrees to fund from its own resources the transportation

11 cost and living allowances of its students: Provided further,

12 That the civilian personnel for whom military education

13 and training may be provided under this heading may also

14 include members of national legislatures who are respon15 sible for the oversight and management of the military,

16 and may also include individuals who are not members of

17 a government: Provided further, That none of the funds

18 appropriated under this heading shall be available for

19 Zaire and Guatemala: Provided further, That funds appro20 priated under this heading for grant financed military

21 education and training for Indonesia may only be available

22 for expanded military education and training.

23 FOREIGN MILITARY FINANCING PROGRAM

24 For expenses necessary for grants to enable the

25 President to carry out the provisions of section 23 of the

26 Arms Export Control Act, $3,208,390,000: Provided, That
32

•HR 2666 IH

1 of the funds appropriated by this paragraph not less than

2 $1,800,000,000 shall be available for grants only for Is3 rael, and not less than $1,300,000,000 shall be available

4 for grants only for Egypt: Provided further, That the

5 funds appropriated by this paragraph for Israel shall be

6 disbursed within thirty days of enactment of this Act or

7 by October 31, 1995, whichever is later: Provided further,

8 That to the extent that the Government of Israel requests

9 that funds be used for such purposes, grants made avail10 able for Israel by this paragraph shall, as agreed by Israel

11 and the United States, be available for advanced weapons

12 systems, of which not less than $475,000,000 shall be

13 available for the procurement in Israel of defense articles

14 and defense services, including research and development:

15 Provided further, That funds made available under this

16 paragraph shall be nonrepayable notwithstanding any re17 quirement in section 23 of the Arms Export Control Act:

18 Provided further, That, for the purpose only of providing

19 support for the Warsaw Initiative Program, of the funds

20 appropriated by this Act under the headings ‘‘Assistance

21 for Eastern Europe and the Baltic States’’ and ‘‘Assist22 ance for the New Independent States of the Former Soviet

23 Union’’, up to a total of $20,000,000 may be transferred,

24 notwithstanding any other provision of law, to the funds

25 appropriated under this paragraph: Provided further, That
33

•HR 2666 IH

1 none of the funds made available under this heading shall

2 be available for any non-NATO country participating in

3 the Partnership for Peace Program except through the

4 regular notification procedures of the Committees on Ap5 propriations.

6 For the cost, as defined in section 502 of the Con7 gressional Budget Act of 1974, of direct loans authorized

8 by section 23 of the Arms Export Control Act as follows:

9 cost of direct loans, $64,400,000: Provided, That these

10 funds are available to subsidize gross obligations for the

11 principal amount of direct loans of not to exceed

12 $544,000,000: Provided further, That the rate of interest

13 charged on such loans shall be not less than the current

14 average market yield on outstanding marketable obliga15 tions of the United States of comparable maturities: Pro16 vided further, That funds appropriated under this heading

17 shall be made available for Greece and Turkey only on

18 a loan basis, and the principal amount of direct loans for

19 each country shall not exceed the following: $224,000,000

20 only for Greece and $320,000,000 only for Turkey.

21 None of the funds made available under this heading

22 shall be available to finance the procurement of defense

23 articles, defense services, or design and construction serv24 ices that are not sold by the United States Government

25 under the Arms Export Control Act unless the foreign
34

•HR 2666 IH

1 country proposing to make such procurements has first

2 signed an agreement with the United States Government

3 specifying the conditions under which such procurements

4 may be financed with such funds: Provided, That all coun5 try and funding level increases in allocations shall be sub6 mitted through the regular notification procedures of sec7 tion 515 of this Act: Provided further, That funds made

8 available under this heading shall be obligated upon appor9 tionment in accordance with paragraph (5)(C) of title 31,

10 United States Code, section 1501(a): Provided further,

11 That none of the funds appropriated under this heading

12 shall be available for Zaire, Sudan, Peru, Liberia, and

13 Guatemala: Provided further, That none of the funds ap14 propriated or otherwise made available for use under this

15 heading may be made available for Colombia or Bolivia

16 until the Secretary of State certifies that such funds will

17 be used by such country primarily for counternarcotics ac18 tivities: Provided further, That funds made available under

19 this heading may be used, notwithstanding any other pro20 vision of law, for demining activities, and may include ac21 tivities implemented through nongovernmental and inter22 national organizations: Provided further, That not more

23 than $100,000,000 of the funds made available under this

24 heading shall be available for use in financing the procure25 ment of defense articles, defense services, or design and
35

•HR 2666 IH

1 construction services that are not sold by the United

2 States Government under the Arms Export Control Act

3 to countries other than Israel and Egypt: Provided further,

4 That only those countries for which assistance was justi5 fied for the ‘‘Foreign Military Sales Financing Program’’

6 in the fiscal year 1989 congressional presentation for secu7 rity assistance programs may utilize funds made available

8 under this heading for procurement of defense articles, de9 fense services or design and construction services that are

10 not sold by the United States Government under the Arms

11 Export Control Act: Provided further, That, subject to the

12 regular notification procedures of the Committees on Ap13 propriations, funds made available under this heading for

14 the cost of direct loans may also be used to supplement

15 the funds available under this heading for grants, and

16 funds made available under this heading for grants may

17 also be used to supplement the funds available under this

18 heading for the cost of direct loans: Provided further, That

19 funds appropriated under this heading shall be expended

20 at the minimum rate necessary to make timely payment

21 for defense articles and services: Provided further, That

22 the Department of Defense shall conduct during the cur23 rent fiscal year nonreimbursable audits of private firms

24 whose contracts are made directly with foreign govern25 ments and are financed with funds made available under
36

•HR 2666 IH

1 this heading (as well as subcontractors thereunder) as re2 quested by the Defense Security Assistance Agency: Pro3 vided further, That not more than $23,250,000 of the

4 funds appropriated under this heading may be obligated

5 for necessary expenses, including the purchase of pas6 senger motor vehicles for replacement only for use outside

7 of the United States, for the general costs of administer8 ing military assistance and sales: Provided further, That

9 not more than $355,000,000 of funds realized pursuant

10 to section 21(e)(1)(A) of the Arms Export Control Act

11 may be obligated for expenses incurred by the Department

12 of Defense during fiscal year 1996 pursuant to section

13 43(b) of the Arms Export Control Act, except that this

14 limitation may be exceeded only through the regular notifi15 cation procedures of the Committees on Appropriations.

16 PEACEKEEPING OPERATIONS

17 For necessary expenses to carry out the provisions

18 of section 551 of the Foreign Assistance Act of 1961,

19 $70,000,000: Provided, That none of the funds appro20 priated under this paragraph shall be obligated or ex21 pended except as provided through the regular notification

22 procedures of the Committees on Appropriations.
37

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1 TITLE IV—MULTILATERAL ECONOMIC

2 ASSISTANCE

3 FUNDS APPROPRIATED TO THE PRESIDENT

4 INTERNATIONAL FINANCIAL INSTITUTIONS

5 CONTRIBUTION TO THE INTERNATIONAL BANK FOR

6 RECONSTRUCTION AND DEVELOPMENT

7 For payment to the International Bank for Recon8 struction and Development by the Secretary of the Treas9 ury, for the United States share of the paid-in share por10 tion of the increases in capital stock for the General Cap11 ital Increase, $28,189,963, to remain available until ex12 pended: Provided, That not more than twenty-one days

13 prior to the obligation of each such sum, the Secretary

14 shall submit a certification to the Committees on Appro15 priations that the Bank has not approved any loans to

16 Iran since October 1, 1994, or the President of the United

17 States certifies that withholding of these funds is contrary

18 to the national interest of the United States.

19 For payment to the International Bank for Recon20 struction and Development by the Secretary of the Treas21 ury, for the United States contribution to the Global Envi22 ronment Facility (GEF), $35,000,000, to remain available

23 until September 30, 1997.

24 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

25 The United States Governor of the International

26 Bank for Reconstruction and Development may subscribe
38

•HR 2666 IH

1 without fiscal year limitation to the callable capital portion

2 of the United States share of increases in capital stock

3 in an amount not to exceed $911,475,013.

4 CONTRIBUTION TO THE INTERNATIONAL DEVELOPMENT

5 ASSOCIATION

6 For payment to the International Development Asso7 ciation by the Secretary of the Treasury, $700,000,000,

8 for the United States contribution to the tenth replenish9 ment, to remain available until expended.

10 CONTRIBUTION TO THE INTERNATIONAL FINANCE

11 CORPORATION

12 For payment to the International Finance Corpora13 tion by the Secretary of the Treasury, $60,900,000, for

14 the United States share of the increase in subscriptions

15 to capital stock, to remain available until expended: Pro16 vided, That of the amount appropriated under this head17 ing not more than $5,269,000 may be expended for the

18 purchase of such stock in fiscal year 1996.

19 CONTRIBUTION TO THE INTER-AMERICAN DEVELOPMENT

20 BANK

21 For payment to the Inter-American Development

22 Bank by the Secretary of the Treasury, for the United

23 States share of the paid-in share portion of the increase

24 in capital stock, $25,952,110, and for the United States

25 share of the increase in the resources of the Fund for Spe-
39

•HR 2666 IH

1 cial Operations, $10,000,000, to remain available until ex2 pended.

3 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

4 The United States Governor of the Inter-American

5 Development Bank may subscribe without fiscal year limi6 tation to the callable capital portion of the United States

7 share of such capital stock in an amount not to exceed

8 $1,523,767,142.

9 CONTRIBUTION TO THE ENTERPRISE FOR THE AMERICAS

10 MULTILATERAL INVESTMENT FUND

11 For payment to the Enterprise for the Americas Mul12 tilateral Investment Fund by the Secretary of the Treas13 ury, for the United States contribution to the Fund to

14 be administered by the Inter-American Development

15 Bank, $53,750,000 to remain available until expended.

16 CONTRIBUTION TO THE ASIAN DEVELOPMENT BANK

17 For payment to the Asian Development Bank by the

18 Secretary of the Treasury for the United States share of

19 the paid-in portion of the increase in capital stock,

20 $13,221,596, to remain available until expended.

21 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

22 The United States Governor of the Asian Develop23 ment Bank may subscribe without fiscal year limitation

24 to the callable capital portion of the United States share

25 of such capital stock in an amount not to exceed

26 $647,858,204.
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1 CONTRIBUTION TO THE ASIAN DEVELOPMENT FUND

2 For the United States contribution by the Secretary

3 of the Treasury to the increases in resources of the Asian

4 Development Fund, as authorized by the Asian Devel5 opment Bank Act, as amended (Public Law 89–369),

6 $100,000,000, to remain available until expended.

7 CONTRIBUTION TO THE EUROPEAN BANK FOR

8 RECONSTRUCTION AND DEVELOPMENT

9 For payment to the European Bank for Reconstruc10 tion and Development by the Secretary of the Treasury,

11 $70,000,000, for the United States share of the paid-in

12 share portion of the initial capital subscription, to remain

13 available until expended: Provided, That of the amount ap14 propriated under this heading not more than $54,600,000

15 may be expended for the purchase of such stock in fiscal

16 year 1996.

17 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

18 The United States Governor of the European Bank

19 for Reconstruction and Development may subscribe with20 out fiscal year limitation to the callable capital portion of

21 the United States share of such capital stock in an amount

22 not to exceed $163,333,333.

23 NORTH AMERICAN DEVELOPMENT BANK

24 For payment to the North American Development

25 Bank by the Secretary of the Treasury, for the United
41

•HR 2666 IH

1 States share of the paid-in portion of the capital stock,

2 $56,250,000, to remain available until expended.

3 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

4 The United States Governor of the North American

5 Development Bank may subscribe without fiscal year limi6 tation to the callable capital portion of the United States

7 share of the capital stock of the North American Develop8 ment Bank in an amount not to exceed $318,750,000.

9 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

10 For necessary expenses to carry out the provisions

11 of section 301 of the Foreign Assistance Act of 1961, and

12 of section 2 of the United Nations Environment Program

13 Participation Act of 1973, $285,000,000: Provided, That

14 none of the funds appropriated under this heading shall

15 be made available for the United Nations Fund for

16 Science and Technology: Provided further, That funds ap17 propriated under this heading may be made available for

18 the International Atomic Energy Agency only if the Sec19 retary of State determines (and so reports to the Con20 gress) that Israel is not being denied its right to partici21 pate in the activities of that Agency: Provided further,

22 That none of the funds appropriated under this heading

23 that are made available to the United Nations Population

24 Fund (UNFPA) shall be made available for activities in

25 the People’s Republic of China: Provided further, That not

26 more than $30,000,000 of the funds appropriated under
42

•HR 2666 IH

1 this heading may be made available to the UNFPA: Pro2 vided further, That not more than one-half of this amount

3 may be provided to UNFPA before March 1, 1996, and

4 that no later than February 15, 1996, the Secretary of

5 State shall submit a report to the Committees on Appro6 priations indicating the amount UNFPA is budgeting for

7 the People’s Republic of China in 1996: Provided further,

8 That any amount UNFPA plans to spend in the People’s

9 Republic of China in 1996 above $7,000,000, shall be de10 ducted from the amount of funds provided to UNFPA

11 after March 1, 1996 pursuant to the previous provisos:

12 Provided further, That with respect to any funds appro13 priated under this heading that are made available to

14 UNFPA, UNFPA shall be required to maintain such

15 funds in a separate account and not commingle them with

16 any other funds: Provided further, That funds may be

17 made available to the Korean Peninsula Energy Develop18 ment Organization (KEDO) for administrative expenses

19 and heavy fuel oil costs associated with the Agreed Frame20 work: Provided further, That no funds may be provided

21 for KEDO for funding for administrative expenses and

22 heavy fuel oil costs beyond the total amount included for

23 KEDO in the fiscal year 1996 congressional presentation:

24 Provided further, That no funds may be made available

25 under this Act to KEDO unless the President determines
43

•HR 2666 IH

1 and certifies in writing to the Committees on Appropria2 tions that (a) in accordance with section 1 of the Agreed

3 Framework, KEDO has designated a Republic of Korea

4 company, corporation or entity for the purpose of nego5 tiating a prime contract to carry out construction of the

6 light water reactors provided for in the Agreed Frame7 work; and (b) the Democratic People’s Republic of Korea

8 is maintaining the freeze on its nuclear facilities as re9 quired in the Agreed Framework; and (c) the United

10 States is taking steps to assure that progress is made on

11 (1) the North-South dialogue, including efforts to reduce

12 barriers to trade and investment, such as removing restric13 tions on travel, telecommunications services and financial

14 transactions; and (2) implementation of the January 1,

15 1992, Joint Declaration on the Denuclearization of the

16 Korean Peninsula: Provided further, That a report on the

17 specific efforts with regard to subsections (a), (b) and (c)

18 of the preceding proviso shall be submitted by the Presi19 dent to the Committees on Appropriations six months

20 after the date of enactment of this Act, and every six

21 months thereafter.

22 TITLE V—GENERAL PROVISIONS

23 OBLIGATIONS DURING LAST MONTH OF AVAILABILITY

24 SEC. 501. Except for the appropriations entitled

25 ‘‘International Disaster Assistance’’, and ‘‘United States
44

•HR 2666 IH

1 Emergency Refugee and Migration Assistance Fund’’, not

2 more than 15 per centum of any appropriation item made

3 available by this Act shall be obligated during the last

4 month of availability.

5 PROHIBITION OF BILATERAL FUNDING FOR

6 INTERNATIONAL FINANCIAL INSTITUTIONS

7 SEC. 502. None of the funds contained in title II of

8 this Act may be used to carry out the provisions of section

9 209(d) of the Foreign Assistance Act of 1961.

10 LIMITATION ON RESIDENCE EXPENSES

11 SEC. 503. Of the funds appropriated or made avail12 able pursuant to this Act, not to exceed $126,500 shall

13 be for official residence expenses of the Agency for Inter14 national Development during the current fiscal year: Pro15 vided, That appropriate steps shall be taken to assure

16 that, to the maximum extent possible, United States17 owned foreign currencies are utilized in lieu of dollars.

18 LIMITATION ON EXPENSES

19 SEC. 504. Of the funds appropriated or made avail20 able pursuant to this Act, not to exceed $5,000 shall be

21 for entertainment expenses of the Agency for International

22 Development during the current fiscal year.

23 LIMITATION ON REPRESENTATIONAL ALLOWANCES

24 SEC. 505. Of the funds appropriated or made avail25 able pursuant to this Act, not to exceed $95,000 shall be

26 available for representation allowances for the Agency for
45

•HR 2666 IH

1 International Development during the current fiscal year:

2 Provided, That appropriate steps shall be taken to assure

3 that, to the maximum extent possible, United States4 owned foreign currencies are utilized in lieu of dollars:

5 Provided further, That of the funds made available by this

6 Act for general costs of administering military assistance

7 and sales under the heading ‘‘Foreign Military Financing

8 Program’’, not to exceed $2,000 shall be available for en9 tertainment expenses and not to exceed $50,000 shall be

10 available for representation allowances: Provided further,

11 That of the funds made available by this Act under the

12 heading ‘‘International Military Education and Training’’,

13 not to exceed $50,000 shall be available for entertainment

14 allowances: Provided further, That of the funds made

15 available by this Act for the Inter-American Foundation,

16 not to exceed $2,000 shall be available for entertainment

17 and representation allowances: Provided further, That of

18 the funds made available by this Act for the Peace Corps,

19 not to exceed a total of $4,000 shall be available for enter20 tainment expenses: Provided further, That of the funds

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

22 Development Agency’’, not to exceed $2,000 shall be avail23 able for representation and entertainment allowances.

24 PROHIBITION ON FINANCING NUCLEAR GOODS

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

26 available (other than funds for ‘‘International Organiza-
46

•HR 2666 IH

1 tions and Programs’’) pursuant to this Act, for carrying

2 out the Foreign Assistance Act of 1961, may be used, ex3 cept for purposes of nuclear safety, to finance the export

4 of nuclear equipment, fuel, or technology.

5 PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN

6 COUNTRIES

7 SEC. 507. None of the funds appropriated or other8 wise made available pursuant to this Act shall be obligated

9 or expended to finance directly any assistance or repara10 tions to Cuba, Iraq, Libya, North Korea, Iran, Serbia,

11 Sudan, or Syria: Provided, That for purposes of this sec12 tion, the prohibition on obligations or expenditures shall

13 include direct loans, credits, insurance and guarantees of

14 the Export-Import Bank or its agents.

15 MILITARY COUPS

16 SEC. 508. None of the funds appropriated or other17 wise made available pursuant to this Act shall be obligated

18 or expended to finance directly any assistance to any coun19 try whose duly elected Head of Government is deposed by

20 military coup or decree: Provided, That assistance may be

21 resumed to such country if the President determines and

22 reports to the Committees on Appropriations that subse23 quent to the termination of assistance a democratically

24 elected government has taken office.
47

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1 TRANSFERS BETWEEN ACCOUNTS

2 SEC. 509. None of the funds made available by this

3 Act may be obligated under an appropriation account to

4 which they were not appropriated, except for transfers

5 specifically provided for in this Act, unless the President,

6 prior to the exercise of any authority contained in the For7 eign Assistance Act of 1961 to transfer funds, consults

8 with and provides a written policy justification to the

9 Committees on Appropriations of the House of Represent10 atives and the Senate: Provided, That the exercise of such

11 authority shall be subject to the regular notification proce12 dures of the Committees on Appropriations, except for

13 transfers specifically referred to in this Act.

14 DEOBLIGATION/REOBLIGATION AUTHORITY

15 SEC. 510. (a) Amounts certified pursuant to section

16 1311 of the Supplemental Appropriations Act, 1955, as

17 having been obligated against appropriations heretofore

18 made under the authority of the Foreign Assistance Act

19 of 1961 for the same general purpose as any of the head20 ings under title II of this Act are, if deobligated, hereby

21 continued available for the same period as the respective

22 appropriations under such headings or until September

23 30, 1996, whichever is later, and for the same general pur24 pose, and for countries within the same region as origi25 nally obligated: Provided, That the Appropriations Com26 mittees of both Houses of the Congress are notified fifteen
48

•HR 2666 IH

1 days in advance of the deobligation and reobligation of

2 such funds in accordance with regular notification proce3 dures of the Committees on Appropriations.

4 (b) Obligated balances of funds appropriated to carry

5 out section 23 of the Arms Export Control Act as of the

6 end of the fiscal year immediately preceding the current

7 fiscal year are, if deobligated, hereby continued available

8 during the current fiscal year for the same purpose under

9 any authority applicable to such appropriations under this

10 Act: Provided, That the authority of this subsection may

11 not be used in fiscal year 1996.

12 AVAILABILITY OF FUNDS

13 SEC. 511. No part of any appropriation contained in

14 this Act shall remain available for obligation after the ex15 piration of the current fiscal year unless expressly so pro16 vided in this Act: Provided, That funds appropriated for

17 the purposes of chapters 1, 8 and 11 of part I, section

18 667, and chapter 4 of part II of the Foreign Assistance

19 Act of 1961, as amended, and funds provided under the

20 heading ‘‘Assistance for Eastern Europe and the Baltic

21 States’’, shall remain available until expended if such

22 funds are initially obligated before the expiration of their

23 respective periods of availability contained in this Act:

24 Provided further, That, notwithstanding any other provi25 sion of this Act, any funds made available for the purposes

26 of chapter 1 of part I and chapter 4 of part II of the
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1 Foreign Assistance Act of 1961 which are allocated or ob2 ligated for cash disbursements in order to address balance

3 of payments or economic policy reform objectives, shall re4 main available until expended: Provided further, That the

5 report required by section 653(a) of the Foreign Assist6 ance Act of 1961 shall designate for each country, to the

7 extent known at the time of submission of such report,

8 those funds allocated for cash disbursement for balance

9 of payment and economic policy reform purposes.

10 LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT

11 SEC. 512. No part of any appropriation contained in

12 this Act shall be used to furnish assistance to any country

13 which is in default during a period in excess of one cal14 endar year in payment to the United States of principal

15 or interest on any loan made to such country by the

16 United States pursuant to a program for which funds are

17 appropriated under this Act: Provided, That this section

18 and section 620(q) of the Foreign Assistance Act of 1961

19 shall not apply to funds made available in this Act or dur20 ing the current fiscal year for Nicaragua, and for any nar21 cotics-related assistance for Colombia, Bolivia, and Peru

22 authorized by the Foreign Assistance Act of 1961 or the

23 Arms Export Control Act.

24 COMMERCE AND TRADE

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

26 made available pursuant to this Act for direct assistance
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1 and none of the funds otherwise made available pursuant

2 to this Act to the Export-Import Bank and the Overseas

3 Private Investment Corporation shall be obligated or ex4 pended to finance any loan, any assistance or any other

5 financial commitments for establishing or expanding pro6 duction of any commodity for export by any country other

7 than the United States, if the commodity is likely to be

8 in surplus on world markets at the time the resulting pro9 ductive capacity is expected to become operative and if the

10 assistance will cause substantial injury to United States

11 producers of the same, similar, or competing commodity:

12 Provided, That such prohibition shall not apply to the Ex13 port-Import Bank if in the judgment of its Board of Direc14 tors the benefits to industry and employment in the

15 United States are likely to outweigh the injury to United

16 States producers of the same, similar, or competing com17 modity, and the Chairman of the Board so notifies the

18 Committees on Appropriations.

19 (b) None of the funds appropriated by this or any

20 other Act to carry out chapter 1 of part I of the Foreign

21 Assistance Act of 1961 shall be available for any testing

22 or breeding feasibility study, variety improvement or intro23 duction, consultancy, publication, conference, or training

24 in connection with the growth or production in a foreign

25 country of an agricultural commodity for export which
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1 would compete with a similar commodity grown or pro2 duced in the United States: Provided, That this subsection

3 shall not prohibit—

4 (1) activities designed to increase food security

5 in developing countries where such activities will not

6 have a significant impact in the export of agricul7 tural commodities of the United States; or

8 (2) research activities intended primarily to

9 benefit American producers.

10 SURPLUS COMMODITIES

11 SEC. 514. The Secretary of the Treasury shall in12 struct the United States Executive Directors of the Inter13 national Bank for Reconstruction and Development, the

14 International Development Association, the International

15 Finance Corporation, the Inter-American Development

16 Bank, the International Monetary Fund, the Asian Devel17 opment Bank, the Inter-American Investment Corpora18 tion, the North American Development Bank, the Euro19 pean Bank for Reconstruction and Development, the Afri20 can Development Bank, and the African Development

21 Fund to use the voice and vote of the United States to

22 oppose any assistance by these institutions, using funds

23 appropriated or made available pursuant to this Act, for

24 the production or extraction of any commodity or mineral

25 for export, if it is in surplus on world markets and if the
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1 assistance will cause substantial injury to United States

2 producers of the same, similar, or competing commodity.

3 NOTIFICATION REQUIREMENTS

4 SEC. 515. For the purposes of providing the Execu5 tive Branch with the necessary administrative flexibility,

6 none of the funds made available under this Act for ‘‘De7 velopment Assistance’’, ‘‘International organizations and

8 programs’’, ‘‘Trade and Development Agency’’, ‘‘Inter9 national narcotics control’’, ‘‘Assistance for Eastern Eu10 rope and the Baltic States’’, ‘‘Assistance for the New

11 Independent States of the Former Soviet Union’’, ‘‘Eco12 nomic Support Fund’’, ‘‘Peacekeeping operations’’, ‘‘Oper13 ating expenses of the Agency for International Develop14 ment’’, ‘‘Operating expenses of the Agency for Inter15 national Development Office of Inspector General’’, ‘‘Non16 proliferation and Disarmament Fund’’, ‘‘Anti-terrorism

17 assistance’’, ‘‘Foreign Military Financing Program’’,

18 ‘‘International military education and training’’, ‘‘Inter19 American Foundation’’, ‘‘African Development Founda20 tion’’, ‘‘Peace Corps’’, ‘‘Migration and refugee assist21 ance’’, shall be available for obligation for activities, pro22 grams, projects, type of materiel assistance, countries, or

23 other operations not justified or in excess of the amount

24 justified to the Appropriations Committees for obligation

25 under any of these specific headings unless the Appropria26 tions Committees of both Houses of Congress are pre-
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1 viously notified fifteen days in advance: Provided, That the

2 President shall not enter into any commitment of funds

3 appropriated for the purposes of section 23 of the Arms

4 Export Control Act for the provision of major defense

5 equipment, other than conventional ammunition, or other

6 major defense items defined to be aircraft, ships, missiles,

7 or combat vehicles, not previously justified to Congress or

8 10 per centum in excess of the quantities justified to Con9 gress unless the Committees on Appropriations are noti10 fied fifteen days in advance of such commitment: Provided

11 further, That this section shall not apply to any

12 reprogramming for an activity, program, or project under

13 chapter 1 of part I of the Foreign Assistance Act of 1961

14 of less than 20 per centum of the amount previously justi15 fied to the Congress for obligation for such activity, pro16 gram, or project for the current fiscal year: Provided fur17 ther, That the requirements of this section or any similar

18 provision of this Act or any prior Act requiring notification

19 in accordance with the regular notification procedures of

20 the Committees on Appropriations may be waived if fail21 ure to do so would pose a substantial risk to human health

22 or welfare: Provided further, That in case of any such

23 waiver, notification to the Congress, or the appropriate

24 congressional committees, shall be provided as early as

25 practicable, but in no event later than three days after
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1 taking the action to which such notification requirement

2 was applicable, in the context of the circumstances neces3 sitating such waiver: Provided further, That any notifica4 tion provided pursuant to such a waiver shall contain an

5 explanation of the emergency circumstances.

6 Drawdowns made pursuant to section 506(a)(2) of

7 the Foreign Assistance Act of 1961 shall be subject to the

8 regular notification procedures of the Committees on Ap9 propriations.

10 LIMITATION ON AVAILABILITY OF FUNDS FOR

11 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

12 SEC. 516. Notwithstanding any other provision of law

13 or of this Act, none of the funds provided for ‘‘Inter14 national Organizations and Programs’’ shall be available

15 for the United States proportionate share, in accordance

16 with section 307(c) of the Foreign Assistance Act of 1961,

17 for any programs identified in section 307, or for Libya,

18 Iran, or, at the discretion of the President, Communist

19 countries listed in section 620(f) of the Foreign Assistance

20 Act of 1961, as amended: Provided, That, subject to the

21 regular notification procedures of the Committees on Ap22 propriations, funds appropriated under this Act or any

23 previously enacted Act making appropriations for foreign

24 operations, export financing, and related programs, which

25 are returned or not made available for organizations and

26 programs because of the implementation of this section
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1 or any similar provision of law, shall remain available for

2 obligation through September 30, 1997.

3 ECONOMIC SUPPORT FUND ASSISTANCE FOR ISRAEL

4 SEC. 517. The Congress finds that progress on the

5 peace process in the Middle East is vitally important to

6 United States security interests in the region. The Con7 gress recognizes that, in fulfilling its obligations under the

8 Treaty of Peace Between the Arab Republic of Egypt and

9 the State of Israel, done at Washington on March 26,

10 1979, Israel incurred severe economic burdens. Further11 more, the Congress recognizes that an economically and

12 militarily secure Israel serves the security interests of the

13 United States, for a secure Israel is an Israel which has

14 the incentive and confidence to continue pursuing the

15 peace process. Therefore, the Congress declares that, sub16 ject to the availability of appropriations, it is the policy

17 and the intention of the United States that the funds pro18 vided in annual appropriations for the Economic Support

19 Fund which are allocated to Israel shall not be less than

20 the annual debt repayment (interest and principal) from

21 Israel to the United States Government in recognition that

22 such a principle serves United States interests in the re23 gion.
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1 PROHIBITION ON FUNDING FOR ABORTIONS AND

2 INVOLUNTARY STERILIZATION

3 SEC. 518. None of the funds made available to carry

4 out part I of the Foreign Assistance Act of 1961, as

5 amended, may be used to pay for the performance of abor6 tions as a method of family planning or to motivate or

7 coerce any person to practice abortions. None of the funds

8 made available to carry out part I of the Foreign Assist9 ance Act of 1961, as amended, may be used to pay for

10 the performance of involuntary sterilization as a method

11 of family planning or to coerce or provide any financial

12 incentive to any person to undergo sterilizations. None of

13 the funds made available to carry out part I of the Foreign

14 Assistance Act of 1961, as amended, may be used to pay

15 for any biomedical research which relates in whole or in

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

17 involuntary sterilization as a means of family planning.

18 None of the funds made available to carry out part I of

19 the Foreign Assistance Act of 1961, as amended, may be

20 obligated or expended for any country or organization if

21 the President certifies that the use of these funds by any

22 such country or organization would violate any of the

23 above provisions related to abortions and involuntary steri24 lizations: Provided, That none of the funds made available
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1 under this Act may be used to lobby for or against abor2 tion.

3 PROHIBITION ON FUNDING FOR ABORTION

4 SEC. 518A. (a) IN GENERAL.—(1) Notwithstanding

5 any other provision of this Act or other law, none of the

6 funds appropriated by this Act for population assistance

7 activities may be made available for any foreign private,

8 nongovernmental, or multilateral organization until the or9 ganization certifies that it will not during the period for

10 which the funds are made available, perform abortions in

11 any foreign country, except where the life of the mother

12 would be endangered if the fetus were carried to term or

13 in cases of forcible rape or incest.

14 (2) Paragraph (1) may not be construed to apply to

15 the treatment of injuries or illnesses caused by legal or

16 illegal abortions or to assistance provided directly to the

17 government of a country.

18 (b) LOBBYING ACTIVITIES.—(1) Notwithstanding

19 any other provision of this Act or other law, none of the

20 funds appropriated by this Act for population assistance

21 activities may be made available for any foreign private,

22 nongovernmental, or multilateral organization until the or23 ganization certifies that it will not during the period for

24 which the funds are made available, violate the laws of

25 any foreign country concerning the circumstances under

26 which abortion is permitted, regulated, or prohibited.
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1 (2) Notwithstanding any other provision of this Act,

2 paragraph (1) shall not apply to activities in opposition

3 to coercive abortion or involuntary sterilization.

4 (c) Subsections (a) and (b) apply to funds made avail5 able for a foreign organization either directly or as a sub6 contractor or sub-grantee, and the required certifications

7 apply to activities in which the organization engages either

8 directly or through a subcontractor or sub-grantee.

9 (d) COERCIVE POPULATION CONTROL METHODS.—

10 Notwithstanding any other provision of this Act or other

11 law, none of the funds appropriated by this Act may be

12 made available for the United Nations Population Fund

13 (UNFPA), unless the President certifies to the appro14 priate congressional committees that (1) the United Na15 tions Population Fund will terminate all family planning

16 activities in the People’s Republic of China no later than

17 March 1, 1996; or (2) during the 12 months preceding

18 such certification, there have been no abortions as the re19 sult of coercion associated with the family planning poli20 cies of the national government or other governmental en21 tities within the People’s Republic of China. As used in

22 this section the term ‘‘coercion’’ includes physical duress

23 or abuse, destruction or confiscation of property, loss of

24 means of livelihood, or severe psychological pressure.
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1 REPORTING REQUIREMENT

2 SEC. 519. The President shall submit to the Commit3 tees on Appropriations the reports required by section

4 25(a)(1) of the Arms Export Control Act.

5 SPECIAL NOTIFICATION REQUIREMENTS

6 SEC. 520. None of the funds appropriated in this Act

7 shall be obligated or expended for Colombia, Dominican

8 Republic, Guatemala, Haiti, Liberia, Nicaragua, Peru,

9 Russia, Sudan, or Zaire except as provided through the

10 regular notification procedures of the Committees on Ap11 propriations: Provided, That this section shall not apply

12 to funds appropriated by this Act to carry out the provi13 sions of chapter 1 of part I of the Foreign Assistance Act

14 of 1961 that are made available for Nicaragua.

15 DEFINITION OF PROGRAM, PROJECT, AND ACTIVITY

16 SEC. 521. For the purpose of this Act, ‘‘program,

17 project, and activity’’ shall be defined at the Appropria18 tions Act account level and shall include all Appropriations

19 and Authorizations Acts earmarks, ceilings, and limita20 tions with the exception that for the following accounts:

21 Economic Support Fund and Foreign Military Financing

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

23 considered to include country, regional, and central pro24 gram level funding within each such account; for the devel25 opment assistance accounts of the Agency for Inter26 national Development ‘‘program, project, and activity’’
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1 shall also be considered to include central program level

2 funding, either as (1) justified to the Congress, or (2) allo3 cated by the executive branch in accordance with a report,

4 to be provided to the Committees on Appropriations within

5 thirty days of enactment of this Act, as required by section

6 653(a) of the Foreign Assistance Act of 1961.

7 CHILD SURVIVAL AND AIDS ACTIVITIES

8 SEC. 522. Up to $8,000,000 of the funds made avail9 able by this Act for assistance for family planning, health,

10 child survival, and AIDS, may be used to reimburse

11 United States Government agencies, agencies of State gov12 ernments, institutions of higher learning, and private and

13 voluntary organizations for the full cost of individuals (in14 cluding for the personal services of such individuals) de15 tailed or assigned to, or contracted by, as the case may

16 be, the Agency for International Development for the pur17 pose of carrying out family planning activities, child sur18 vival activities and activities relating to research on, and

19 the treatment and control of, acquired immune deficiency

20 syndrome in developing countries: Provided, That funds

21 appropriated by this Act that are made available for child

22 survival activities or activities relating to research on, and

23 the treatment and control of, acquired immune deficiency

24 syndrome may be made available notwithstanding any pro25 vision of law that restricts assistance to foreign countries:

26 Provided further, That funds appropriated by this Act that
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1 are made available for family planning activities may be

2 made available notwithstanding section 512 of this Act

3 and section 620(q) of the Foreign Assistance Act of 1961.

4 PROHIBITION AGAINST INDIRECT FUNDING TO CERTAIN

5 COUNTRIES

6 SEC. 523. None of the funds appropriated or other7 wise made available pursuant to this Act shall be obligated

8 to finance indirectly any assistance or reparations to

9 Cuba, Iraq, Libya, Iran, Syria, North Korea, or the Peo10 ple’s Republic of China, unless the President of the United

11 States certifies that the withholding of these funds is con12 trary to the national interest of the United States.

13 RECIPROCAL LEASING

14 SEC. 524. Section 61(a) of the Arms Export Control

15 Act is amended by striking out ‘‘1995’’ and inserting in

16 lieu thereof ‘‘1996’’.

17 NOTIFICATION ON EXCESS DEFENSE EQUIPMENT

18 SEC. 525. Prior to providing excess Department of

19 Defense articles in accordance with section 516(a) of the

20 Foreign Assistance Act of 1961, the Department of De21 fense shall notify the Committees on Appropriations to the

22 same extent and under the same conditions as are other

23 committees pursuant to subsection (c) of that section: Pro24 vided, That before issuing a letter of offer to sell excess

25 defense articles under the Arms Export Control Act, the

26 Department of Defense shall notify the Committees on
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1 Appropriations in accordance with the regular notification

2 procedures of such Committees: Provided further, That

3 such Committees shall also be informed of the original ac4 quisition cost of such defense articles.

5 AUTHORIZATION REQUIREMENT

6 SEC. 526. Funds appropriated by this Act may be

7 obligated and expended notwithstanding section 10 of

8 Public Law 91–672 and section 15 of the State Depart9 ment Basic Authorities Act of 1956.

10 OPPOSITION TO ASSISTANCE TO TERRORIST COUNTRIES

11 BY INTERNATIONAL FINANCIAL INSTITUTIONS

12 SEC. 527. (a) INSTRUCTIONS FOR UNITED STATES

13 EXECUTIVE DIRECTORS.—The Secretary of the Treasury

14 shall instruct the United States Executive Director of each

15 international financial institution designated in subsection

16 (b), and the Administrator of the Agency for International

17 Development shall instruct the United States Executive

18 Director of the International Fund for Agriculture Devel19 opment, to use the voice and vote of the United States

20 to oppose any loan or other use of the funds of the respec21 tive institution to or for a country for which the Secretary

22 of State has made a determination under section 6(j) of

23 the Export Administration Act of 1979.

24 (b) DEFINITION.—For purposes of this section, the

25 term ‘‘international financial institution’’ includes—
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1 (1) the International Bank for Reconstruction

2 and Development, the International Development

3 Association, and the International Monetary Fund;

4 and

5 (2) wherever applicable, the Inter-American De6 velopment Bank, the Asian Development Bank, the

7 African Development Bank, the African Develop8 ment Fund, and the European Bank for Reconstruc9 tion and Development.

10 PROHIBITION ON BILATERAL ASSISTANCE TO TERRORIST

11 COUNTRIES

12 SEC. 527A. (a) Notwithstanding any other provision

13 of law, funds appropriated for bilateral assistance under

14 any heading of this Act and funds appropriated under any

15 such heading in a provision of law enacted prior to enact16 ment of this Act, shall not be made available to any coun17 try which the President determines—

18 (1) grants sanctuary from prosecution to any

19 individual or group which has committed an act of

20 international terrorism, or

21 (2) otherwise supports international terrorism.

22 (b) The President may waive the application of sub23 section (a) to a country if the President determines that

24 national security or humanitarian reasons justify such

25 waiver. The President shall publish each waiver in the

26 Federal Register and, at least fifteen days before the waiv-
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1 er takes effect, shall notify the Committees on Appropria2 tions of the waiver (including the justification for the waiv3 er) in accordance with the regular notification procedures

4 of the Committees on Appropriations.

5 COMMERCIAL LEASING OF DEFENSE ARTICLES

6 SEC. 528. Notwithstanding any other provision of

7 law, and subject to the regular notification requirements

8 of the Committees on Appropriations, the authority of sec9 tion 23(a) of the Arms Export Control Act may be used

10 to provide financing to Israel, Egypt and NATO and

11 major non-NATO allies for the procurement by leasing

12 (including leasing with an option to purchase) of defense

13 articles from United States commercial suppliers, not in14 cluding Major Defense Equipment (other than helicopters

15 and other types of aircraft having possible civilian applica16 tion), if the President determines that there are compel17 ling foreign policy or national security reasons for those

18 defense articles being provided by commercial lease rather

19 than by government-to-government sale under such Act.

20 COMPETITIVE INSURANCE

21 SEC. 528A. All Agency for International Development

22 contracts and solicitations, and subcontracts entered into

23 under such contracts, shall include a clause requiring that

24 United States insurance companies have a fair oppor25 tunity to bid for insurance when such insurance is nec26 essary or appropriate.
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1 STINGERS IN THE PERSIAN GULF REGION

2 SEC. 529. Except as provided in section 581 of the

3 Foreign Operations, Export Financing, and Related Pro4 grams Appropriations Act, 1990, the United States may

5 not sell or otherwise make available any Stingers to any

6 country bordering the Persian Gulf under the Arms Ex7 port Control Act or chapter 2 of part II of the Foreign

8 Assistance Act of 1961.

9 DEBT-FOR-DEVELOPMENT

10 SEC. 530. In order to enhance the continued partici11 pation of nongovernmental organizations in economic as12 sistance activities under the Foreign Assistance Act of

13 1961, including endowments, debt-for-development and

14 debt-for-nature exchanges, a nongovernmental organiza15 tion which is a grantee or contractor of the Agency for

16 International Development may place in interest bearing

17 accounts funds made available under this Act or prior Acts

18 or local currencies which accrue to that organization as

19 a result of economic assistance provided under title II of

20 this Act and any interest earned on such investment may

21 be used for the purpose for which the assistance was pro22 vided to that organization.
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1 COMPETITIVE PRICING FOR SALES OF DEFENSE

2 ARTICLES

3 SEC. 531A. (a) COSTING BASIS.—Section 22 of the

4 Arms Export Control Act (22 U.S.C. 2762) is amended

5 by adding at the end the following:

6 ‘‘(d) COMPETITIVE PRICING.—Procurement con7 tracts made in implementation of sales under this section

8 for defense articles and defense services wholly paid for

9 from funds made available on a nonrepayable basis shall

10 be priced on the same costing basis with regard to profit,

11 overhead, independent research and development, bid and

12 proposal, and other costing elements, as is applicable to

13 procurements of like items purchased by the Department

14 of Defense for its own use.’’.

15 (b) EFFECTIVE DATE AND IMPLEMENTING REGULA16 TIONS.—Section 22(d) of the Arms Export Control Act,

17 as added by subsection (a)—

18 (1) shall take effect on the 60th day following

19 the date of the enactment of this Act;

20 (2) shall be applicable only to contracts made in

21 implementation of sales made after such effective

22 date; and

23 (3) shall be implemented by revised procure24 ment regulations, which shall be issued prior to such

25 effective date.
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1 (c) DIRECT COSTS ALLOWABLE.—Direct costs asso2 ciated with meeting a foreign customer’s additional or

3 unique requirements will continue to be allowable under

4 such contracts. Loadings applicable to such direct costs

5 shall be permitted at the same rates applicable to procure6 ment of like items purchased by the Department of De7 fense for its own use.

8 STOCKPILES OF DEFENSE ARTICLES

9 SEC. 531B. (a) LIMITATION ON VALUE OF ADDI10 TIONS.—Section 514(b)(1) of the Foreign Assistance Act

11 of 1961 (22 U.S.C. 2321h(b)(1)) is amended by inserting

12 ‘‘or in the implementation of agreements with Israel’’ after

13 ‘‘North Atlantic Treaty Organization’’.

14 (b) ADDITIONS IN FISCAL YEARS 1996 AND 1997.—

15 Section 514(b)(2) of such Act (22 U.S.C. 2321h(b)(2))

16 is amended to read as follows:

17 ‘‘(2)(A) The value of such additions to stockpiles of

18 defense articles in foreign countries shall not exceed

19 $50,000,000 for each of the fiscal years 1996 and 1997.

20 ‘‘(B) Of the amount specified in subparagraph (A)

21 for each of the fiscal years 1996 and 1997, not more than

22 $40,000,000 may be made available for stockpiles in the

23 Republic of Korea and not more than $10,000,000 may

24 be made available for stockpiles in Thailand.’’.
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1 (c) LOCATION OF STOCKPILES OF DEFENSE AU2 THORITIES.—Section 514(c) of such Act (22 U.S.C.

3 2321h(c)) is amended to read as follows:

4 ‘‘(c) LOCATION OF STOCKPILES OF DEFENSE ARTI5 CLES.—

6 ‘‘(1) LIMITATION.—Except as provided in para7 graph (2), no stockpile of defense articles may be lo8 cated outside the boundaries of a United States mili9 tary base or a military base used primarily by the

10 United States.

11 ‘‘(2) EXCEPTIONS.—Paragraph (1) shall not

12 apply with respect to stockpiles of defense articles

13 located in the Republic of Korea, Thailand, any

14 country that is a member of the North Atlantic

15 Treaty Organization, any country that is a major

16 non-NATO ally, or any other country the President

17 may designate. At least 15 days before designating

18 a country pursuant to the last clause of the preced19 ing sentence, the President shall notify the congres20 sional committees specified in section 634A(a) in ac21 cordance with the procedures applicable to

22 reprogramming notifications under that section.’’.

23 SEPARATE ACCOUNTS

24 SEC. 532. (a) SEPARATE ACCOUNTS FOR LOCAL

25 CURRENCIES.—(1) If assistance is furnished to the gov26 ernment of a foreign country under chapters 1 and 10 of
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1 part I or chapter 4 of part II of the Foreign Assistance

2 Act of 1961 under agreements which result in the genera3 tion of local currencies of that country, the Administrator

4 of the Agency for International Development shall—

5 (A) require that local currencies be deposited in

6 a separate account established by that government;

7 (B) enter into an agreement with that govern8 ment which sets forth—

9 (i) the amount of the local currencies to be

10 generated, and

11 (ii) the terms and conditions under which

12 the currencies so deposited may be utilized, con13 sistent with this section; and

14 (C) establish by agreement with that govern15 ment the responsibilities of the Agency for Inter16 national Development and that government to mon17 itor and account for deposits into and disbursements

18 from the separate account.

19 (2) USES OF LOCAL CURRENCIES.—As may be

20 agreed upon with the foreign government, local currencies

21 deposited in a separate account pursuant to subsection

22 (a), or an equivalent amount of local currencies, shall be

23 used only—
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1 (A) to carry out chapters 1 or 10 of part I or

2 chapter 4 of part II (as the case may be), for such

3 purposes as—

4 (i) project and sector assistance activities,

5 or

6 (ii) debt and deficit financing; or

7 (B) for the administrative requirements of the

8 United States Government.

9 (3) PROGRAMMING ACCOUNTABILITY.—The Agency

10 for International Development shall take all appropriate

11 steps to ensure that the equivalent of the local currencies

12 disbursed pursuant to subsection (a)(2)(A) from the sepa13 rate account established pursuant to subsection (a)(1) are

14 used for the purposes agreed upon pursuant to subsection

15 (a)(2).

16 (4) TERMINATION OF ASSISTANCE PROGRAMS.—

17 Upon termination of assistance to a country under chap18 ters 1 or 10 of part I or chapter 4 of part II (as the case

19 may be), any unencumbered balances of funds which re20 main in a separate account established pursuant to sub21 section (a) shall be disposed of for such purposes as may

22 be agreed to by the government of that country and the

23 United States Government.

24 (5) CONFORMING AMENDMENTS.—The provisions of

25 this subsection shall supersede the tenth and eleventh pro-
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1 visos contained under the heading ‘‘Sub-Saharan Africa,

2 Development Assistance’’ as included in the Foreign Oper3 ations, Export Financing, and Related Programs Appro4 priations Act, 1989 and sections 531(d) and 609 of the

5 Foreign Assistance Act of 1961.

6 (b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.—

7 (1) If assistance is made available to the government of

8 a foreign country, under chapters 1 or 10 of part I or

9 chapter 4 of part II of the Foreign Assistance Act of 1961,

10 as cash transfer assistance or as nonproject sector assist11 ance, that country shall be required to maintain such

12 funds in a separate account and not commingle them with

13 any other funds.

14 (2) APPLICABILITY OF OTHER PROVISIONS OF

15 LAW.—Such funds may be obligated and expended not16 withstanding provisions of law which are inconsistent with

17 the nature of this assistance including provisions which

18 are referenced in the Joint Explanatory Statement of the

19 Committee of Conference accompanying House Joint Res20 olution 648 (H. Report No. 98–1159).

21 (3) NOTIFICATION.—At least fifteen days prior to ob22 ligating any such cash transfer or nonproject sector assist23 ance, the President shall submit a notification through the

24 regular notification procedures of the Committees on Ap25 propriations, which shall include a detailed description of
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1 how the funds proposed to be made available will be used,

2 with a discussion of the United States interests that will

3 be served by the assistance (including, as appropriate, a

4 description of the economic policy reforms that will be pro5 moted by such assistance).

6 (4) EXEMPTION.—Nonproject sector assistance funds

7 may be exempt from the requirements of subsection (b)(1)

8 only through the notification procedures of the Commit9 tees on Appropriations.

10 COMPENSATION FOR UNITED STATES EXECUTIVE

11 DIRECTORS TO INTERNATIONAL FINANCIAL INSTITUTIONS

12 SEC. 533. (a) No funds appropriated by this Act may

13 be made as payment to any international financial institu14 tion while the United States Executive Director to such

15 institution is compensated by the institution at a rate

16 which, together with whatever compensation such Director

17 receives from the United States, is in excess of the rate

18 provided for an individual occupying a position at level IV

19 of the Executive Schedule under section 5315 of title 5,

20 United States Code, or while any alternate United States

21 Director to such institution is compensated by the institu22 tion at a rate in excess of the rate provided for an individ23 ual occupying a position at level V of the Executive Sched24 ule under section 5316 of title 5, United States Code.

25 (b) For purposes of this section, ‘‘international finan26 cial institutions’’ are: the International Bank for Recon-
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1 struction and Development, the Inter-American Develop2 ment Bank, the Asian Development Bank, the Asian De3 velopment Fund, the African Development Bank, the Afri4 can Development Fund, the International Monetary Fund,

5 the North American Development Bank, and the Euro6 pean Bank for Reconstruction and Development.

7 COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST

8 IRAQ

9 SEC. 534. (a) DENIAL OF ASSISTANCE.—None of the

10 funds appropriated or otherwise made available pursuant

11 to this Act to carry out the Foreign Assistance Act of

12 1961 (including title IV of chapter 2 of part I, relating

13 to the Overseas Private Investment Corporation) or the

14 Arms Export Control Act may be used to provide assist15 ance to any country that is not in compliance with the

16 United Nations Security Council sanctions against Iraq,

17 Serbia or Montenegro unless the President determines and

18 so certifies to the Congress that—

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

20 the United States;

21 (2) such assistance will directly benefit the

22 needy people in that country; or

23 (3) the assistance to be provided will be human24 itarian assistance for foreign nationals who have fled

25 Iraq and Kuwait.
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1 (b) IMPORT SANCTIONS.—If the President considers

2 that the taking of such action would promote the effective3 ness of the economic sanctions of the United Nations and

4 the United States imposed with respect to Iraq, Serbia,

5 or Montenegro, as the case may be, and is consistent with

6 the national interest, the President may prohibit, for such

7 a period of time as he considers appropriate, the importa8 tion into the United States of any or all products of any

9 foreign country that has not prohibited—

10 (1) the importation of products of Iraq, Serbia,

11 or Montenegro into its customs territory, and

12 (2) the export of its products to Iraq, Serbia,

13 or Montenegro, as the case may be.

14 POW/MIA MILITARY DRAWDOWN

15 SEC. 535. (a) Notwithstanding any other provision

16 of law, the President may direct the drawdown, without

17 reimbursement by the recipient, of defense articles from

18 the stocks of the Department of Defense, defense services

19 of the Department of Defense, and military education and

20 training, of an aggregate value not to exceed $15,000,000

21 in fiscal year 1996, as may be necessary to carry out sub22 section (b).

23 (b) Such defense articles, services and training may

24 be provided to Vietnam, Cambodia and Laos, under sub25 section (a) as the President determines are necessary to

26 support efforts to locate and repatriate members of the
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1 United States Armed Forces and civilians employed di2 rectly or indirectly by the United States Government who

3 remain unaccounted for from the Vietnam War, and to

4 ensure the safety of United States Government personnel

5 engaged in such cooperative efforts and to support United

6 States Department of Defense-sponsored humanitarian

7 projects associated with the POW/MIA efforts. Any air8 craft shall be provided under this section only to Laos and

9 only on a lease or loan basis, but may be provided at no

10 cost notwithstanding section 61 of the Arms Export Con11 trol Act and may be maintained with defense articles, serv12 ices and training provided under this section.

13 (c) The President shall, within sixty days of the end

14 of any fiscal year in which the authority of subsection (a)

15 is exercised, submit a report to the Congress which identi16 fies the articles, services, and training drawn down under

17 this section.

18 MEDITERRANEAN EXCESS DEFENSE ARTICLES

19 SEC. 536. During fiscal year 1996, the provisions of

20 section 573(e) of the Foreign Operations, Export Financ21 ing, and Related Programs Appropriations Act, 1990,

22 shall be applicable, for the period specified therein, to ex23 cess defense articles made available under sections 516

24 and 519 of the Foreign Assistance Act of 1961.
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1 CASH FLOW FINANCING

2 SEC. 537. For each country that has been approved

3 for cash flow financing (as defined in section 25(d) of the

4 Arms Export Control Act, as added by section 112(b) of

5 Public Law 99–83) under the Foreign Military Financing

6 Program, any Letter of Offer and Acceptance or other

7 purchase agreement, or any amendment thereto, for a pro8 curement in excess of $100,000,000 that is to be financed

9 in whole or in part with funds made available under this

10 Act shall be submitted through the regular notification

11 procedures to the Committees on Appropriations.

12 AUTHORITIES FOR THE PEACE CORPS, THE INTER-AMER13 ICAN FOUNDATION AND THE AFRICAN DEVELOP14 MENT FOUNDATION

15 SEC. 538. Unless expressly provided to the contrary,

16 provisions of this or any other Act, including provisions

17 contained in prior Acts authorizing or making appropria18 tions for foreign operations, export financing, and related

19 programs, shall not be construed to prohibit activities au20 thorized by or conducted under the Peace Corps Act, the

21 Inter-American Foundation Act, or the African Develop22 ment Foundation Act. The appropriate agency shall

23 promptly report to the Committees on Appropriations

24 whenever it is conducting activities or is proposing to con25 duct activities in a country for which assistance is prohib26 ited.
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1 IMPACT ON JOBS IN THE UNITED STATES

2 SEC. 539. None of the funds appropriated by this Act

3 may be obligated or expended to provide—

4 (a) any financial incentive to a business enter5 prise currently located in the United States for the

6 purpose of inducing such an enterprise to relocate

7 outside the United States if such incentive or in8 ducement is likely to reduce the number of employ9 ees of such business enterprise in the United States

10 because United States production is being replaced

11 by such enterprise outside the United States;

12 (b) assistance for the purpose of establishing or

13 developing in a foreign country any export process14 ing zone or designated area in which the tax, tariff,

15 labor, environment, and safety laws of that country

16 do not apply, in part or in whole, to activities car17 ried out within that zone or area, unless the Presi18 dent determines and certifies that such assistance is

19 not likely to cause a loss of jobs within the United

20 States; or

21 (c) assistance for any project or activity that

22 contributes to the violation of internationally recog23 nized workers rights, as defined in section 502(a)(4)

24 of the Trade Act of 1974, of workers in the recipient

25 country, including any designated zone or area in
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1 that country: Provided, That in recognition that the

2 application of this subsection should be commensu3 rate with the level of development of the recipient

4 country and sector, the provisions of this subsection

5 shall not preclude assistance for the informal sector

6 in such country, micro and small-scale enterprise,

7 and smallholder agriculture.

8 AUTHORITY TO ASSIST BOSNIA-HERCEGOVINA

9 SEC. 540. (a) Congress finds as follows:

10 (1) The United Nations has imposed an embar11 go on the transfer of arms to any country on the

12 territory of the former Yugoslavia.

13 (2) The federated states of Serbia and

14 Montenegro have a large supply of military equip15 ment and ammunition and the Serbian forces fight16 ing the government of Bosnia-Hercegovina have

17 more than one thousand battle tanks, armored vehi18 cles, and artillery pieces.

19 (3) Because the United Nations arms embargo

20 is serving to sustain the military advantage of the

21 aggressor, the United Nations should exempt the

22 government of Bosnia-Hercegovina from its embar23 go.

24 (b) Pursuant to a lifting of the United Nations arms

25 embargo, or to a unilateral lifting of the arms embargo

26 by the President of the United States, against Bosnia-
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1 Hercegovina, the President is authorized to transfer, sub2 ject to prior notification of the Committees on Appropria3 tions, to the government of that nation, without reim4 bursement, defense articles from the stocks of the Depart5 ment of Defense and defense services of the Department

6 of Defense of an aggregate value not to exceed

7 $100,000,000 in fiscal year 1996: Provided, That the

8 President certifies in a timely fashion to the Congress that

9 the transfer of such articles would assist that nation in

10 self-defense and thereby promote the security and stability

11 of the region.

12 (c) Within 60 days of any transfer under the author13 ity provided in subsection (b), and every 60 days there14 after, the President shall report in writing to the Speaker

15 of the House of Representatives and the President pro

16 tempore of the Senate concerning the articles transferred

17 and the disposition thereof.

18 (d) There are authorized to be appropriated to the

19 President such sums as may be necessary to reimburse

20 the applicable appropriation, fund, or account for defense

21 articles provided under this section.

22 RESTRICTIONS ON THE TERMINATION OF SANCTIONS

23 AGAINST SERBIA AND MONTENEGRO

24 SEC. 540A. (a) RESTRICTIONS.—Notwithstanding

25 any other provision of law, no sanction, prohibition, or re26 quirement described in section 1511 of the National De-
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1 fense Authorization Act for Fiscal Year 1994 (Public Law

2 103–160), with respect to Serbia or Montenegro, may

3 cease to be effective, unless—

4 (1) the President first submits to the Congress

5 a certification described in subsection (b); and

6 (2) the requirements of section 1511 of that

7 Act are met.

8 (b) CERTIFICATION.—A certification described in this

9 subsection is a certification that—

10 (1) there is substantial progress toward—

11 (A) the realization of a separate identity

12 for Kosova and the right of the people of

13 Kosova to govern themselves; or

14 (B) the creation of an international protec15 torate for Kosova;

16 (2) there is substantial improvement in the

17 human rights situation in Kosova;

18 (3) international human rights observers are al19 lowed to return to Kosova; and

20 (4) the elected government of Kosova is per21 mitted to meet and carry out its legitimate mandate

22 as elected representatives of the people of Kosova.

23 (c) WAIVER AUTHORITY.—The President may waive

24 the application in whole or in part, of subsection (a) if

25 the President certifies to the Congress that the President
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1 has determined that the waiver is necessary to meet emer2 gency humanitarian needs or to achieve a negotiated set3 tlement of the conflict in Bosnia-Herzegovina that is ac4 ceptable to the parties.

5 (d) EXPANDED AUTHORITY.—Section 660(b) of the

6 Foreign Assistance Act of 1961 is amended—

7 (1) in paragraph (3), by striking ‘‘or’’;

8 (2) in paragraph (4), by striking the period at

9 the end thereof and inserting ‘‘; or’’;

10 (3) adding the following new paragraphs:

11 ‘‘(5) with respect to assistance, including train12 ing, relating to sanctions monitoring and enforce13 ment;

14 ‘‘(6) with respect to assistance provided to re15 constitute civilian police authority and capability in

16 the post-conflict restoration of host nation infra17 structure for the purposes of supporting a nation

18 emerging from instability, and the provision of pro19 fessional public safety training, to include training in

20 internationally recognized standards of human

21 rights, the rule of law, anti-corruption, and the pro22 motion of civilian police roles that support democ23 racy.’’.
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1 SPECIAL AUTHORITIES

2 SEC. 541. (a) Funds appropriated in title II of this

3 Act that are made available for Afghanistan, Lebanon,

4 and Cambodia, and for victims of war, displaced children,

5 displaced Burmese, humanitarian assistance for Romania,

6 and humanitarian assistance for the peoples of Bosnia7 Hercegovina, Croatia, and Kosova, may be made available

8 notwithstanding any other provision of law: Provided,

9 That any such funds that are made available for Cam10 bodia shall be subject to the provisions of section 531(e)

11 of the Foreign Assistance Act of 1961 and section 906

12 of the International Security and Development Coopera13 tion Act of 1985: Provided further, That the President

14 shall terminate assistance to any country or organization

15 that he determines is cooperating, tactically or strategi16 cally, with the Khmer Rouge in their military operations,

17 or to the military of any country which the President de18 termines is not taking steps to prevent a pattern or prac19 tice of commercial relations between its members and the

20 Khmer Rouge.

21 (b) Funds appropriated by this Act to carry out the

22 provisions of sections 103 through 106 of the Foreign As23 sistance Act of 1961 may be used, notwithstanding any

24 other provision of law, for the purpose of supporting tropi25 cal forestry and energy programs aimed at reducing emis-
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1 sions of greenhouse gases, and for the purpose of support2 ing biodiversity conservation activities: Provided, That

3 such assistance shall be subject to sections 116, 502B, and

4 620A of the Foreign Assistance Act of 1961.

5 (c) During fiscal year 1996, the President may use

6 up to $40,000,000 under the authority of section 451 of

7 the Foreign Assistance Act of 1961, notwithstanding the

8 funding ceiling contained in subsection (a) of that section.

9 (d) The Agency for International Development may

10 employ personal services contractors, notwithstanding any

11 other provision of law, for the purpose of administering

12 programs for the West Bank and Gaza.

13 POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT

14 OF ISRAEL

15 SEC. 542. It is the sense of the Congress that—

16 (1) the Arab League countries should imme17 diately and publicly renounce the primary boycott of

18 Israel and the secondary and tertiary boycott of

19 American firms that have commercial ties with Is20 rael; and

21 (2) the President should—

22 (A) take more concrete steps to encourage

23 vigorously Arab League countries to renounce

24 publicly the primary boycotts of Israel and the

25 secondary and tertiary boycotts of American
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1 firms that have commercial relations with Israel

2 as a confidence-building measure;

3 (B) take into consideration the participa4 tion of any recipient country in the primary

5 boycott of Israel and the secondary and tertiary

6 boycotts of American firms that have commer7 cial relations with Israel when determining

8 whether to sell weapons to said country;

9 (C) report to Congress on the specific

10 steps being taken by the President to bring

11 about a public renunciation of the Arab primary

12 boycott of Israel and the secondary and tertiary

13 boycotts of American firms that have commer14 cial relations with Israel; and

15 (D) encourage the allies and trading part16 ners of the United States to enact laws prohib17 iting businesses from complying with the boy18 cott and penalizing businesses that do comply.

19 ANTI-NARCOTICS ACTIVITIES

20 SEC. 543. (a) Of the funds appropriated or otherwise

21 made available by this Act for ‘‘Economic Support Fund’’,

22 assistance may be provided to strengthen the administra23 tion of justice in countries in Latin America and the Car24 ibbean in accordance with the provisions of section 534

25 of the Foreign Assistance Act of 1961, except that pro26 grams to enhance protection of participants in judicial
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1 cases may be conducted notwithstanding section 660 of

2 that Act.

3 (b) Funds made available pursuant to this section

4 may be made available notwithstanding the third sentence

5 of section 534(e) of the Foreign Assistance Act of 1961.

6 Funds made available pursuant to subsection (a) for Bo7 livia, Colombia and Peru may be made available notwith8 standing section 534(c) and the second sentence of section

9 534(e) of the Foreign Assistance Act of 1961.

10 ELIGIBILITY FOR ASSISTANCE

11 SEC. 544. (a) ASSISTANCE THROUGH NONGOVERN12 MENTAL ORGANIZATIONS.—Restrictions contained in this

13 or any other Act with respect to assistance for a country

14 shall not be construed to restrict assistance in support of

15 programs of nongovernmental organizations from funds

16 appropriated by this Act to carry out the provisions of

17 chapters 1 and 10 of part I of the Foreign Assistance Act

18 of 1961: Provided, That the President shall take into con19 sideration, in any case in which a restriction on assistance

20 would be applicable but for this subsection, whether assist21 ance in support of programs of nongovernmental organiza22 tions is in the national interest of the United States: Pro23 vided further, That before using the authority of this sub24 section to furnish assistance in support of programs of

25 nongovernmental organizations, the President shall notify

26 the Committees on Appropriations under the regular noti-
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1 fication procedures of those committees, including a de2 scription of the program to be assisted, the assistance to

3 be provided, and the reasons for furnishing such assist4 ance: Provided further, That nothing in this subsection

5 shall be construed to alter any existing statutory prohibi6 tions against abortion or involuntary sterilizations con7 tained in this or any other Act.

8 (b) PUBLIC LAW 480.—During fiscal year 1996, re9 strictions contained in this or any other Act with respect

10 to assistance for a country shall not be construed to re11 strict assistance under the Agricultural Trade Develop12 ment and Assistance Act of 1954: Provided, That none

13 of the funds appropriated to carry out title I of such Act

14 and made available pursuant to this subsection may be

15 obligated or expended except as provided through the reg16 ular notification procedures of the Committees on Appro17 priations.

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

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

20 Assistance Act or any comparable provision of law

21 prohibiting assistance to countries that support

22 international terrorism; or

23 (2) with respect to section 116 of the Foreign

24 Assistance Act of 1961 or any comparable provision
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1 of law prohibiting assistance to countries that violate

2 internationally recognized human rights.

3 EARMARKS

4 SEC. 544A. (a) Funds appropriated by this Act which

5 are earmarked may be reprogrammed for other programs

6 within the same account notwithstanding the earmark if

7 compliance with the earmark is made impossible by oper8 ation of any provision of this or any other Act or, with

9 respect to a country with which the United States has an

10 agreement providing the United States with base rights

11 or base access in that country, if the President determines

12 that the recipient for which funds are earmarked has sig13 nificantly reduced its military or economic cooperation

14 with the United States since enactment of the Foreign Op15 erations, Export Financing, and Related Programs Appro16 priations Act, 1991; however, before exercising the author17 ity of this subsection with regard to a base rights or base

18 access country which has significantly reduced its military

19 or economic cooperation with the United States, the Presi20 dent shall consult with, and shall provide a written policy

21 justification to the Committees on Appropriations: Pro22 vided, That any such reprogramming shall be subject to

23 the regular notification procedures of the Committees on

24 Appropriations: Provided further, That assistance that is

25 reprogrammed pursuant to this subsection shall be made
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1 available under the same terms and conditions as origi2 nally provided.

3 (b) In addition to the authority contained in sub4 section (a), the original period of availability of funds ap5 propriated by this Act and administered by the Agency

6 for International Development that are earmarked for par7 ticular programs or activities by this or any other Act shall

8 be extended for an additional fiscal year if the Adminis9 trator of such agency determines and reports promptly to

10 the Committees on Appropriations that the termination of

11 assistance to a country or a significant change in cir12 cumstances makes it unlikely that such earmarked funds

13 can be obligated during the original period of availability:

14 Provided, That such earmarked funds that are continued

15 available for an additional fiscal year shall be obligated

16 only for the purpose of such earmark.

17 CEILINGS AND EARMARKS

18 SEC. 545. Ceilings and earmarks contained in this

19 Act shall not be applicable to funds or authorities appro20 priated or otherwise made available by any subsequent Act

21 unless such Act specifically so directs.

22 EXCESS DEFENSE ARTICLES

23 SEC. 546. (a) The authority of section 519 of the

24 Foreign Assistance Act of 1961, as amended, may be used

25 in fiscal year 1996 to provide nonlethal excess defense ar26 ticles to countries for which United States foreign assist-
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1 ance has been requested and for which receipt of such arti2 cles was separately justified for the fiscal year, without

3 regard to the restrictions in subsection (a) of section 519.

4 (b) The authority of section 516 of the Foreign As5 sistance Act of 1961, as amended, may be used in fiscal

6 year 1996 to provide defense articles to Jordan, Estonia,

7 Latvia, and Lithuania.

8 PROHIBITION ON PUBLICITY OR PROPAGANDA

9 SEC. 547. No part of any appropriation contained in

10 this Act shall be used for publicity or propaganda purposes

11 within the United States not authorized before the date

12 of enactment of this Act by the Congress: Provided, That

13 none of the funds appropriated by this Act may be made

14 available to carry out the provisions of section 316 of Pub15 lic Law 96–533.

16 USE OF AMERICAN RESOURCES

17 SEC. 548. To the maximum extent possible, assist18 ance provided under this Act should make full use of

19 American resources, including commodities, products, and

20 services.

21 PROHIBITION OF PAYMENTS TO UNITED NATIONS

22 MEMBERS

23 SEC. 549. None of the funds appropriated or made

24 available pursuant to this Act for carrying out the Foreign

25 Assistance Act of 1961, may be used to pay in whole or
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1 in part any assessments, arrearages, or dues of any mem2 ber of the United Nations.

3 CONSULTING SERVICES

4 SEC. 550. The expenditure of any appropriation

5 under this Act for any consulting service through procure6 ment contract, pursuant to section 3109 of title 5, United

7 States Code, shall be limited to those contracts where such

8 expenditures are a matter of public record and available

9 for public inspection, except where otherwise provided

10 under existing law, or under existing Executive order pur11 suant to existing law.

12 PRIVATE VOLUNTARY ORGANIZATIONS—DOCUMENTATION

13 SEC. 551. None of the funds appropriated or made

14 available pursuant to this Act shall be available to a pri15 vate voluntary organization which fails to provide upon

16 timely request any document, file, or record necessary to

17 the auditing requirements of the Agency for International

18 Development.

19 PROHIBITION ON ASSISTANCE TO FOREIGN GOVERN20 MENTS THAT EXPORT LETHAL MILITARY EQUIP21 MENT TO COUNTRIES SUPPORTING INTERNATIONAL

22 TERRORISM

23 SEC. 552. (a) None of the funds appropriated or oth24 erwise made available by this Act may be available to any

25 foreign government which provides lethal military equip26 ment to a country the government of which the Secretary
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1 of State has determined is a terrorist government for pur2 poses of section 40(d) of the Arms Export Control Act.

3 The prohibition under this section with respect to a for4 eign government shall terminate 12 months after that gov5 ernment ceases to provide such military equipment. This

6 section applies with respect to lethal military equipment

7 provided under a contract entered into after the date of

8 enactment of this Act.

9 (b) Assistance restricted by subsection (a) or any

10 other similar provision of law, may be furnished if the

11 President determines that furnishing such assistance is

12 important to the national interests of the United States.

13 (c) Whenever the waiver of subsection (b) is exer14 cised, the President shall submit to the appropriate con15 gressional committees a report with respect to the furnish16 ing of such assistance. Any such report shall include a de17 tailed explanation of the assistance to be provided, includ18 ing the estimated dollar amount of such assistance, and

19 an explanation of how the assistance furthers United

20 States national interests.

21 WITHHOLDING OF ASSISTANCE FOR PARKING FINES

22 OWED BY FOREIGN COUNTRIES

23 SEC. 553. (a) IN GENERAL.—Of the funds made

24 available for a foreign country under part I of the Foreign

25 Assistance Act of 1961, an amount equivalent to 110 per26 cent of the total unpaid fully adjudicated parking fines
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1 and penalties owed to the District of Columbia by such

2 country as of the date of enactment of this Act shall be

3 withheld from obligation for such country until the Sec4 retary of State certifies and reports in writing to the ap5 propriate congressional committees that such fines and

6 penalties are fully paid to the government of the District

7 of Columbia.

8 (b) DEFINITION.—For purposes of this section, the

9 term ‘‘appropriate congressional committees’’ means the

10 Committee on Foreign Relations and the Committee on

11 Appropriations of the Senate and the Committee on Inter12 national Relations and the Committee on Appropriations

13 of the House of Representatives.

14 LIMITATION ON ASSISTANCE FOR THE PLO FOR THE

15 WEST BANK AND GAZA

16 SEC. 554. None of the funds appropriated by this Act

17 may be obligated for assistance for the Palestine Libera18 tion Organization for the West Bank and Gaza unless the

19 President has exercised the authority under section 583(a)

20 of the Middle East Peace Facilitation Act of 1994 (part

21 E of title V of Public Law 103–236) or any other legisla22 tion to suspend or make inapplicable section 307 of the

23 Foreign Assistance Act of 1961 and that suspension is

24 still in effect: Provided, That if the President fails to make

25 the certification under section 583(b)(2) of the Middle

26 East Peace Facilitation Act or to suspend the prohibition
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1 under other legislation, funds appropriated by this Act

2 may not be obligated for assistance for the Palestine Lib3 eration Organization for the West Bank and Gaza.

4 EXPORT FINANCING TRANSFER AUTHORITIES

5 SEC. 555. Not to exceed 5 percent of any appropria6 tion other than for administrative expenses made available

7 for fiscal year 1996 for programs under title I of this Act

8 may be transferred between such appropriations for use

9 for any of the purposes, programs and activities for which

10 the funds in such receiving account may be used, but no

11 such appropriation, except as otherwise specifically pro12 vided, shall be increased by more than 25 percent by any

13 such transfer: Provided, That the exercise of such author14 ity shall be subject to the regular notification procedures

15 of the Committees on Appropriations.

16 WAR CRIMES TRIBUNALS

17 SEC. 556. If the President determines that doing so

18 will contribute to a just resolution of charges regarding

19 genocide or other violations of international humanitarian

20 law, the authority of section 552(c) of the Foreign Assist21 ance Act of 1961, as amended, may be used to provide

22 up to $25,000,000 of commodities and services to the

23 United Nations War Crimes Tribunal established with re24 gard to the former Yugoslavia by the United Nations Se25 curity Council or such other tribunals or commissions as

26 the Council may establish to deal with such violations,
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1 without regard to the ceiling limitation contained in para2 graph (2) thereof: Provided, That the determination re3 quired under this section shall be in lieu of any determina4 tions otherwise required under section 552(c): Provided

5 further, That 60 days after the date of enactment of this

6 Act, and every 180 days thereafter, the Secretary of State

7 shall submit a report to the Committees on Appropriations

8 describing the steps the United States Government is tak9 ing to collect information regarding allegations of genocide

10 or other violations of international law in the former Yugo11 slavia and to furnish that information to the United Na12 tions War Crimes Tribunal for the former Yugoslavia.

13 NONLETHAL EXCESS DEFENSE ARTICLES

14 SEC. 557. Notwithstanding section 519(f) of the For15 eign Assistance Act of 1961, during fiscal year 1996,

16 funds available to the Department of Defense may be ex17 pended for crating, packing, handling and transportation

18 of nonlethal excess defense articles transferred under the

19 authority of section 519 to countries eligible to participate

20 in the Partnership for Peace and to receive assistance

21 under Public Law 101–179.

22 LANDMINES

23 SEC. 558. Notwithstanding any other provision of

24 law, demining equipment available to any department or

25 agency and used in support of the clearing of landmines

26 for humanitarian purposes may be disposed of on a grant
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1 basis in foreign countries, subject to such terms and condi2 tions as the President may prescribe: Provided, That sec3 tion 1365(c) of the National Defense Authorization Act

4 for Fiscal Year 1993 (Public Law 102–484; 22 U.S.C.,

5 2778 note) is amended by striking out ‘‘During the four6 year period beginning on October 23, 1992’’ and inserting

7 in lieu thereof ‘‘During the five-year period beginning on

8 October 23, 1992’’.

9 CLARIFICATION OF RESTRICTIONS

10 SEC. 559. (a) IN GENERAL.—Section 620E of the

11 Foreign Assistance Act of 1961 (22 U.S.C. 2375) is

12 amended—

13 (1) in subsection (e)—

14 (A) by striking the words ‘‘No assistance’’

15 and inserting the words ‘‘No military assist16 ance’’;

17 (B) by striking the words ‘‘in which assist18 ance is to be furnished or military equipment or

19 technology’’ and inserting the words ‘‘in which

20 military assistance is to be furnished or military

21 equipment or technology’’;

22 (C) by striking the words ‘‘the proposed

23 United States assistance’’ and inserting the

24 words ‘‘the proposed United States military as25 sistance’’;
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1 (D) by inserting ‘‘(1)’’ immediately after

2 ‘‘(e)’’; and

3 (E) by adding the following new para4 graphs:

5 ‘‘(2) The prohibitions in this section do not

6 apply to any assistance or transfer provided for the

7 purposes of:

8 ‘‘(A) International narcotics control (in9 cluding chapter 8 of part I of this Act) or any

10 provision of law available for providing assist11 ance for counternarcotics purposes.

12 ‘‘(B) Facilitating military-to-military con13 tact, training (including chapter 5 of part II of

14 this Act) and humanitarian and civic assistance

15 projects.

16 ‘‘(C) Peacekeeping and other multilateral

17 operations (including chapter 6 of part II of

18 this Act relating to peacekeeping) or any provi19 sion of law available for providing assistance for

20 peacekeeping purposes, except that lethal mili21 tary equipment provided under this subpara22 graph shall be provided on a lease or loan basis

23 only and shall be returned upon completion of

24 the operation for which it was provided.
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1 ‘‘(D) Antiterrorism assistance (including

2 chapter 8 of part II of this Act relating to

3 antiterrorism assistance) or any provision of

4 law available for antiterrorism assistance pur5 poses.

6 ‘‘(3) The restrictions of this subsection shall

7 continue to apply to contracts for the delivery of F–

8 16 aircraft to Pakistan.

9 ‘‘(4) Notwithstanding the restrictions contained

10 in this subsection, military equipment, technology, or

11 defense services, other than F–16 aircraft, may be

12 transferred to Pakistan pursuant to contracts or

13 cases entered into before October 1, 1990.’’; and

14 (2) by adding at the end the following new sub15 sections:

16 ‘‘(f) STORAGE COSTS.—The President may release

17 the Government of Pakistan of its contractual obligation

18 to pay the United States Government for the storage costs

19 of items purchased prior to October 1, 1990, but not deliv20 ered by the United States Government pursuant to sub21 section (e) and may reimburse the Government of Paki22 stan for any such amount paid, on such terms and condi23 tions as the President may prescribe: Provided, That such

24 payments have no budgetary impact.
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1 ‘‘(g) INAPPLICABILITY OF RESTRICTIONS TO PRE2 VIOUSLY OWNED ITEMS.—Section 620E(e) does not apply

3 to broken, worn or unupgraded items or their equivalent

4 which Pakistan paid for and took possession of prior to

5 October 1, 1990 and which the Government of Pakistan

6 sent to the United States for repair or upgrade. Such

7 equipment or its equivalent may be returned to the Gov8 ernment of Pakistan: Provided, That the President deter9 mines and so certifies to the appropriate congressional

10 committees that such equipment or equivalent neither con11 stitutes nor has received any significant qualitative up12 grade since being transferred to the United States and

13 that its total value does not exceed $25,000,000.

14 ‘‘(h) BALLISTIC MISSILE SANCTIONS NOT AF15 FECTED.—Nothing contained herein shall affect sanctions

16 for transfers of missile equipment or technology required

17 under section 11B of the Export Administration Act of

18 1979 or section 73 of the Arms Export Control Act.’’.

19 RESTRICTIONS CONCERNING THE PALESTINIAN

20 AUTHORITY

21 SEC. 560. None of the funds appropriated by this Act

22 may be obligated or expended to create in any part of Je23 rusalem a new office of any department or agency of the

24 United States Government for the purpose of conducting

25 official United States Government business with the Pal26 estinian Authority over Gaza and Jericho or any successor
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1 Palestinian governing entity provided for in the Israel2 PLO Declaration of Principles: Provided, That this re3 striction shall not apply to the acquisition of additional

4 space for the existing Consulate General in Jerusalem:

5 Provided further, That meetings between officers and em6 ployees of the United States and officials of the Palestin7 ian Authority, or any successor Palestinian governing en8 tity provided for in the Israel-PLO Declaration of Prin9 ciples, for the purpose of conducting official United States

10 Government business with such authority should continue

11 to take place in locations other than Jerusalem. As has

12 been true in the past, officers and employees of the United

13 States Government may continue to meet in Jerusalem on

14 other subjects with Palestinians (including those who now

15 occupy positions in the Palestinian Authority), have social

16 contacts, and have incidental discussions.

17 PROHIBITION OF PAYMENT OF CERTAIN EXPENSES

18 SEC. 561. None of the funds appropriated or other19 wise made available by this Act under the heading

20 ‘‘INTERNATIONAL MILITARY EDUCATION AND TRAINING’’

21 or ‘‘FOREIGN MILITARY FINANCING PROGRAM’’ for Infor22 mational Program activities may be obligated or expended

23 to pay for—

24 (1) alcoholic beverages;

25 (2) food (other than food provided at a military

26 installation) not provided in conjunction with Infor-
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1 mational Program trips where students do not stay

2 at a military installation; or

3 (3) entertainment expenses for activities that

4 are substantially of a recreational character, includ5 ing entrance fees at sporting events and amusement

6 parks.

7 SEC. 562. (a) IN GENERAL.—None of the funds

8 made available in this Act may be used for assistance in

9 support of any country when it is made known to the

10 President that the government of such country prohibits

11 or otherwise restricts, directly or indirectly, the transport

12 or delivery of United States humanitarian assistance.

13 (b) EXCEPTION.—Funds may be made available with

14 regard to the restriction in subsection (a) if the President

15 determines that to do so is in the national security interest

16 of the United States.

17 WITHHOLDING OF ASSISTANCE TO COUNTRIES

18 SUPPORTING NUCLEAR PLANT IN CUBA

19 SEC. 563. (a) WITHHOLDING.—The President shall

20 withhold from assistance made available with funds appro21 priated or made available pursuant to this Act an amount

22 equal to the sum of assistance and credits, if any, provided

23 on or after the date of the enactment of this Act by that

24 country, or any entity in that country, in support of the

25 completion of the Cuban nuclear facility at Juragua, near

26 Cienfuegos, Cuba.
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1 (b) EXCEPTIONS.—The requirement of subsection (a)

2 to withhold assistance shall not apply with respect to—

3 (1) assistance to meet urgent humanitarian

4 needs including disaster and refugee relief;

5 (2) democratic political reform and rule of law

6 activities;

7 (3) the creation of private sector and non8 governmental organizations that are independent of

9 government control;

10 (4) the development of a free market economic

11 system; and

12 (5) assistance for the purposes described in the

13 Cooperative Threat Reduction Act of 1993 (title XII

14 of Public Law 103–160).

15 LIMITATION ON FUNDS FOR HAITI

16 SEC. 564. Effective March 1, 1996, none of the funds

17 appropriated in this Act may be made available to the

18 Government of Haiti when it is made known to the Presi19 dent that such Government is controlled by a regime hold20 ing power through means other than the democratic elec21 tions scheduled for calendar year 1995 and held in sub22 stantial compliance with the requirements of the 1987

23 Constitution of Haiti.
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1 PURCHASE OF AMERICAN-MADE EQUIPMENT AND

2 PRODUCTS

3 SEC. 565. (a) SENSE OF CONGRESS.—It is the sense

4 of the Congress that, to the greatest extent practicable,

5 all equipment and products purchased with funds made

6 available in this Act should be American-made.

7 (b) NOTICE REQUIREMENT.—In providing financial

8 assistance to, or entering into any contract with, any en9 tity using funds made available in this Act, the head of

10 each Federal agency, to the greatest extent practicable,

11 shall provide to such entity a notice describing the state12 ment made in subsection (a) by the Congress.

13 LIMITATION ON ASSISTANCE TO TURKEY

14 SEC. 566. Not more than $33,500,000 of the funds

15 appropriated in this Act under the heading ‘‘Economic

16 Support Fund’’ may be made available to the Government

17 of Turkey.

18 LIMITATION OF FUNDS FOR NORTH AMERICAN

19 DEVELOPMENT BANK

20 SEC. 566A. None of the funds appropriated in this

21 Act under the heading ‘‘North American Development

22 Bank’’ and made available for the Community Adjustment

23 and Investment Program shall be used for purposes other

24 than those set out in the binational agreement establishing

25 the Bank.
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1 LIMITATION ON FUNDS FOR BURMA

2 SEC. 567. None of the funds made available in this

3 Act may be used for International Narcotics Control or

4 Crop Substitution Assistance for the Government of

5 Burma.

6 ASIAN DEVELOPMENT BANK

7 SEC. 568. The Secretary of the Treasury may, to ful8 fill commitments of the United States, subscribe to and

9 make payments for shares of the Asian Development Bank

10 in connection with the fourth general capital increase of

11 the Bank. The amount authorized to be appropriated for

12 paid-in shares of the Bank is limited to $66,614,647; the

13 amount authorized to be appropriated for payment for

14 callable shares of the Bank is limited to $3,264,178,021.

15 The amount to be paid in respect of each subscription is

16 authorized to be appropriated without fiscal year limita17 tion. Any subscription by the United States to the capital

18 stock of the Bank shall be effective only to such extent

19 or in such amounts as are provided in advance in appro20 priations Acts.

21 INTERNATIONAL DEVELOPMENT ASSOCIATION

22 SEC. 569. In order to pay for the United States con23 tribution to the tenth replenishment of the resources of

24 the International Development Association authorized in

25 section 526 of Public Law 103–87, there is authorized to

26 be appropriated, without fiscal year limitation,
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1 $700,000,000 for payment by the Secretary of the Treas2 ury.

3 SPECIAL DEBT RELIEF FOR THE POOREST

4 SEC. 570. (a) AUTHORITY TO REDUCE DEBT.—The

5 President may reduce amounts owed to the United States

6 (or any agency of the United States) by an eligible country

7 as a result of—

8 (1) guarantees issued under sections 221 and

9 222 of the Foreign Assistance Act of 1961; or

10 (2) credits extended or guarantees issued under

11 the Arms Export Control Act.

12 (b) LIMITATIONS.—

13 (1) The authority provided by subsection (a)

14 may be exercised only to implement multilateral offi15 cial debt relief and referendum agreements, com16 monly referred to as ‘‘Paris Club Agreed Minutes’’.

17 (2) The authority provided by subsection (a)

18 may be exercised only in such amounts or to such

19 extent as is provided in advance by appropriations

20 Acts.

21 (3) The authority provided by subsection (a)

22 may be exercised only with respect to countries with

23 heavy debt burdens that are eligible to borrow from

24 the International Development Association, but not

25 from the International Bank for Reconstruction and
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1 Development, commonly referred to as ‘‘IDA-only’’

2 countries.

3 (c) CONDITIONS.—The authority provided by sub4 section (a) may be exercised only with respect to a country

5 whose government—

6 (1) does not have an excessive level of military

7 expenditures;

8 (2) has not repeatedly provided support for acts

9 of international terrorism;

10 (3) is not failing to cooperate on international

11 narcotics control matters;

12 (4) (including its military or other security

13 forces) does not engage in a consistent pattern of

14 gross violations of internationally recognized human

15 rights; and

16 (5) is not ineligible for assistance because of the

17 application of section 527 of the Foreign Relations

18 Authorization Act, fiscal years 1994 and 1995.

19 (d) AVAILABILITY OF FUNDS.—The authority pro20 vided by subsection (a) may be used only with regard to

21 funds appropriated by this Act under the heading ‘‘Debt

22 Restructuring’’.

23 (e) CERTAIN PROHIBITIONS INAPPLICABLE.—A re24 duction of debt pursuant to subsection (a) shall not be

25 considered assistance for purposes of any provision of law
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1 limiting assistance to a country. The authority provided

2 by subsection (a) may be exercised notwithstanding sec3 tion 620(r) of the Foreign Assistance Act of 1961.

4 AUTHORITY TO ENGAGE IN DEBT BUYBACKS OR SALES

5 SEC. 571. (a) LOANS ELIGIBLE FOR SALE, REDUC6 TION, OR CANCELLATION.—

7 (1) AUTHORITY TO SELL, REDUCE, OR CANCEL

8 CERTAIN LOANS.—Notwithstanding any other provi9 sion of law, the President may, in accordance with

10 this section, sell to any eligible purchaser any

11 concessional loan or portion thereof made before

12 January 1, 1995, pursuant to the Foreign Assist13 ance Act of 1961, to the government of any eligible

14 country as defined in section 702(6) of that Act or

15 on receipt of payment from an eligible purchaser, re16 duce or cancel such loan or portion thereof, only for

17 the purpose of facilitating—

18 (A) debt-for-equity swaps, debt-for-develop19 ment swaps, or debt-for-nature swaps; or

20 (B) a debt buyback by an eligible country

21 of its own qualified debt, only if the eligible

22 country uses an additional amount of the local

23 currency of the eligible country, equal to not

24 less than 40 percent of the price paid or such

25 debt by such eligible country, or the difference

26 between the price paid for such debt and the
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1 face value of such debt, to support activities

2 that link conservation and sustainable use of

3 natural resources with local community develop4 ment, and child survival and other child devel5 opment, in a manner consistent with section

6 707 through 710 of the Foreign Assistance Act

7 of 1961, if the sale, reduction, or cancellation

8 would not contravene any term or condition of

9 any prior agreement relating to such loan.

10 (2) TERMS AND CONDITIONS.—Notwithstanding

11 any other provision of law, the President shall, in ac12 cordance with this section, establish the terms and

13 conditions under which loans may be sold, reduced,

14 or canceled pursuant to this section.

15 (3) ADMINISTRATION.—The Facility, as defined

16 in section 702(8) of the Foreign Assistance Act of

17 1961, shall notify the administrator of the agency

18 primarily responsible for administering part I of the

19 Foreign Assistance Act of 1961 of purchasers that

20 the President has determined to be eligible, and

21 shall direct such agency to carry out the sale, reduc22 tion, or cancellation of a loan pursuant to this sec23 tion. Such agency shall make an adjustment in its

24 accounts to reflect the sale, reduction, or cancella25 tion.
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1 (4) LIMITATION.—The authorities of this sub2 section shall be available only to the extent that ap3 propriations for the cost of the modification, as de4 fined in section 502 of the Congressional Budget Act

5 of 1974, are made in advance.

6 (b) DEPOSIT OF PROCEEDS.—The proceeds from the

7 sale, reduction, or cancellation of any loan sold, reduced,

8 or canceled pursuant to this section shall be deposited in

9 the United States Government account or accounts estab10 lished for the repayment of such loan.

11 (c) ELIGIBLE PURCHASERS.—A loan may be sold

12 pursuant to subsection (a)(1)(A) only to a purchaser who

13 presents plans satisfactory to the President for using the

14 loan for the purpose of engaging in debt-for-equity swaps,

15 debt-for-development swaps, or debt-for-nature swaps.

16 (d) DEBTOR CONSULTATIONS.—Before the sale to

17 any eligible purchaser, or any reduction or cancellation

18 pursuant to this section, of any loan made to an eligible

19 country, the President shall consult with the country con20 cerning the amount of loans to be sold, reduced, or can21 celed and their uses for debt-for-equity swaps, debt-for22 development swaps, or debt-for-nature swaps.

23 (e) AVAILABILITY OF FUNDS.—The authority pro24 vided by subsection (a) may be used only with regard to
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1 funds appropriated by this Act under the heading ‘‘Debt

2 Restructuring’’.

3 DRAWDOWN AUTHORITY FOR JORDAN

4 SEC. 572. During fiscal year 1996, the President may

5 direct, for the purposes of part II of the Foreign Assist6 ance Act of 1961, the drawdown for Jordan of defense

7 articles from the stocks of the Department of Defense, de8 fense services of the Department of Defense, and military

9 education and training of up to an aggregate of

10 $100,000,000: Provided, That—

11 (a) within six months of the last drawdown

12 under subsection (a), the President shall submit a

13 report to the Committee on Appropriations identify14 ing the articles, services, training or education pro15 vided;

16 (b) section 506(c) of the Foreign Assistance Act

17 of 1961 shall apply to the drawdown authority in

18 this section; and

19 (c) section 632(d) of the Foreign Assistance

20 Act of 1961 shall not apply with respect to

21 drawdowns under this section.

22 LIBERIA

23 SEC. 573. (a) Public Law 102–270 is amended—

24 (1) in subsection (b) by striking ‘‘Notwithstand25 ing section 620(q) of the Foreign Assistance Act of
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1 1961 or any other similar provision, the’’ and insert2 ing ‘‘The’’; and

3 (2) in subsection (b)(2) by striking ‘‘to imple4 ment the Yamoussoukro peace accord’’.

5 (b) Funds appropriated by this Act may be made

6 available for assistance for Liberia notwithstanding sec7 tion 620(q) of the Foreign Assistance Act of 1961 and

8 section 512 of this Act.

9 ANNUAL REPORT ON ECONOMIC AND SOCIAL GROWTH

10 SEC. 574. (a) REPORTING REQUIREMENT.—The

11 President shall submit to the appropriate congressional

12 committees an annual report providing a concise overview

13 of the prospects for economic and social growth on a

14 broad, equitable, and sustainable basis in the countries re15 ceiving economic assistance under title II of this Act. For

16 each country, the report shall discuss the laws, policies

17 and practices of that country that most contribute to or

18 detract from the achievement of this kind of growth. The

19 report should address relevant macroeconomic, micro20 economic, social, legal, environmental, and political factors

21 and include criteria regarding wage and price controls,

22 State ownership of production and distribution, State con23 trol of financial institutions, trade and foreign investment,

24 capital and profit repatriation, tax and private property

25 protections and a country’s commitment to stimulate edu26 cation, health and human development.
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1 (b) COUNTRIES.—The countries referred to in sub2 section (a) are countries—

3 (1) for which in excess of $5,000,000 has been

4 obligated during the previous fiscal year for assist5 ance under sections 103 through 106, chapters 10

6 and 11 of part I, and chapter 4 of part II of the

7 Foreign Assistance of 1961, and under the Support

8 for East European Democracy Act of 1989; or

9 (2) for which in excess of $1,000,000 has been

10 obligated during the previous fiscal year by the

11 Overseas Private Investment Corporation.

12 (c) CONSULTATION.—The Secretary of State shall

13 submit the report required by subsection (a) in consulta14 tion with the Secretary of the Treasury, the Administrator

15 of the Agency for International Development, and the

16 President of the Overseas Private Investment Corporation.

17 The report shall be submitted with the annual congres18 sional presentation for appropriations.

19 SEC. 575. To the maximum extent possible, the funds

20 provided by this Act shall be used to provide surveying

21 and mapping related services through contracts entered

22 into through competitive bidding to qualified United

23 States contractors.

24 REPORTS REGARDING HONG KONG

25 SEC. 576. (a) Section 301 of the United States-Hong

26 Kong Policy Act of 1992 (22 U.S.C. 5731) is amended
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1 in the text above paragraph (1) by inserting ‘‘March 31,

2 1996,’’ after ‘‘March 31, 1995,’’.

3 (b) In light of the deficiencies in reports submitted

4 to the Congress pursuant to section 301 of the United

5 States-Hong Kong Policy Act (22 U.S.C. 5731), the Con6 gress directs that the additional report required to be sub7 mitted under such section by subsection (a) of this section

8 include detailed information on the status of, and other

9 developments affecting, implementation of the Sino-Brit10 ish Joint Declaration on the Question of Hong Kong, in11 cluding—

12 (1) the Basic Law and its consistency with

13 the Joint Declaration;

14 (2) the openness and fairness of elections

15 to the legislature;

16 (3) the openness and fairness of the elec17 tion of the chief executive and the executive’s

18 accountability to the legislature;

19 (4) the treatment of political parties;

20 (5) the independence of the judiciary and

21 its ability to exercise the power of final judg22 ment over Hong Kong law; and

23 (6) the Bill of Rights.

24 SEC. 577. Notwithstanding any other provision of

25 this Act, $20,000,000 of the funds made available under
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1 the headings ‘‘Development Assistance’’ and/or ‘‘Eco2 nomic Support Fund’’ may be transferred to, and merged

3 with, the appropriations account entitled ‘‘International

4 Narcotics Control’’ and may be available for the same pur5 poses for which funds in such account are available.

6 GUATEMALA

7 SEC. 578. (a) Funds provided in this Act may be

8 made available for the Guatemalan military or security

9 forces, and the restrictions on Guatemala under the head10 ings ‘‘International Military Education and Training’’ and

11 ‘‘Foreign Military Financing Program’’ shall not apply,

12 only if the President determines and certifies to the Con13 gress that the Guatemalan military is cooperating with ef14 forts to resolve human rights abuses which elements of

15 the Guatemalan military or security forces are alleged to

16 have committed, ordered or attempted to thwart the inves17 tigation of.

18 (b) The prohibition contained in subsection (a) shall

19 not apply to funds made available to implement a cease20 fire or peace agreement.

21 (c) Any funds made available pursuant to subsections

22 (a) or (b) shall be subject to the regular notification proce23 dures of the Committees on Appropriations.

24 (d) Any funds made available pursuant to subsections

25 (a) and (b) for international military education and train-
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1 ing may only be for expanded international military edu2 cation and training.

3 EXTENSION OF TIED AID CREDIT PROGRAM

4 SEC. 579. (a) Section 10(c)(2) of the Export-Import

5 Bank Act of 1945 (12 U.S.C. 635i–3(c)(2)) is amended

6 by striking ‘‘1995’’ and inserting ‘‘1997’’.

7 (b) Section 10(e) of the Export-Import Bank Act of

8 1945 (12 U.S.C. 635i–3(e)) is amended by striking

9 ‘‘1993, 1994, and 1995’’ and inserting ‘‘1996 and 1997’’.

10 MORATORIUM ON USE OF ANTIPERSONNEL LANDMINES

11 SEC. 580. (a) UNITED STATES MORATORIUM.—For

12 a period of one year beginning three years after the date

13 of enactment of this Act, the United States shall not use

14 antipersonnel landmines except along internationally rec15 ognized national borders or in demilitarized zones within

16 a perimeter marked area that is monitored by military per17 sonnel and protected by adequate means to ensure the ex18 clusion of civilians.

19 (b) DEFINITION AND EXEMPTIONS.—For the pur20 poses of this section:

21 (1) ANTIPERSONNEL LANDMINE.—The term

22 ‘‘antipersonnel landmine’’ means any munition

23 placed under, on, or near the ground or other sur24 face area, delivered by artillery, rocket, mortar, or

25 similar means, or dropped from an aircraft and

26 which is designed, constructed or adapted to be deto-
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1 nated or exploded by the presence, proximity, or con2 tact of a person.

3 (2) EXEMPTIONS.—The term ‘‘antipersonnel

4 landmine’’ does not include command detonated

5 Claymore munitions.

6 EXTENSION OF AU PAIR PROGRAMS

7 SEC. 581. Section 8 of the Eisenhower Exchange Fel8 lowship Act of 1990 is amended in the last sentence by

9 striking ‘‘fiscal year 1995’’ and inserting ‘‘fiscal year

10 1996’’.

11 SANCTIONS AGAINST COUNTRIES HARBORING WAR

12 CRIMINALS

13 SEC. 582. (a) BILATERAL ASSISTANCE.—Funds ap14 propriated by this Act under the Foreign Assistance Act

15 of 1961 or the Arms Export Control Act may not be pro16 vided for any country described in subsection (c).

17 (b) MULTILATERAL ASSISTANCE.—The Secretary of

18 the Treasury shall instruct the United States executive di19 rectors of the international financial institutions to work

20 in opposition to, and vote against, any extension by such

21 institutions of financing or financial or technical assist22 ance to any country described in subsection (c).

23 (c) SANCTIONED COUNTRIES.—A country described

24 in this subsection is a country the government of which

25 knowingly grants sanctuary to persons in its territory for

26 the purpose of evading prosecution, where such persons—
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1 (1) have been indicted by the International

2 Criminal Tribunal for the former Yugoslavia, the

3 International Criminal Tribunal for Rwanda, or any

4 other international tribunal with similar standing

5 under international law, or

6 (2) have been indicted for war crimes or crimes

7 against humanity committed during the period be8 ginning March 23, 1933 and ending on May 8, 1945

9 under the direction of, or in association with—

10 (A) the Nazi government of Germany;

11 (B) any government in any area occupied

12 by the military forces of the Nazi government

13 of Germany;

14 (C) any government which was established

15 with the assistance or cooperation of the Nazi

16 government; or

17 (D) any government which was an ally of

18 the Nazi government of Germany.

19 LIMITATION ON ASSISTANCE FOR HAITI

20 SEC. 583. (a) LIMITATION.—None of the funds ap21 propriated or otherwise made available by this Act, may

22 be provided to the Government of Haiti until the President

23 reports to Congress that—

24 (1) the Government is conducting thorough in25 vestigations of extrajudicial and political killings;

26 and
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1 (2) the Government is cooperating with United

2 States authorities in the investigations of political

3 and extrajudicial killings.

4 (b) Nothing in this section shall be construed to re5 strict the provision of humanitarian or electoral assist6 ance.

7 (c) The President may waive the requirements of this

8 section if he determines and certifies to the appropriate

9 committees of Congress that it is in the national interest

10 of the United States or necessary to assure the safe and

11 timely withdrawal of American forces from Haiti.

12 LIMITATION ON FUNDS TO THE TERRITORY OF THE

13 BOSNIAC-CROAT FEDERATION.

14 SEC. 584. Funds appropriated by this Act for activi15 ties in the internationally-recognized borders of Bosnia

16 and Herzegovina (other than refugee and disaster assist17 ance and assistance for restoration of infrastructure, to

18 include power grids, water supplies and natural gas) may

19 only be made available for activities in the territory of the

20 Bosniac-Croat Federation.

21 NATO PARTICIPATION

22 SEC. 585. REVISIONS TO PROGRAM TO FACILITATE

23 TRANSITION TO NATO MEMBERSHIP.—

24 (a) ELIGIBLE COUNTRIES.—(1) Subsection (d) of

25 section 203 of the NATO Participation Act of 1994 (title
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1 II of Public Law 103–447; 22 U.S.C. 1928 note) is

2 amended to read as follows:

3 ‘‘(d) DESIGNATION OF ELIGIBLE COUNTRIES.—

4 ‘‘(1) INITIAL PRESIDENTIAL REVIEW AND DES5 IGNATION.—Within 60 days of the enactment of the

6 NATO Participation Act Amendments of 1995, the

7 President should evaluate the degree to which any

8 country emerging from communist domination which

9 has expressed its interest in joining NATO meets

10 the criteria set forth in paragraph (3), and may des11 ignate one or more of these countries as eligible to

12 receive assistance under the program established

13 under subsection (a). The President shall, at the

14 time of designation of any country pursuant to this

15 paragraph, determine and report to the Committees

16 on International Relations and Appropriations of the

17 House of Representatives and the Committees on

18 Foreign Relations and Appropriations of the Senate

19 with respect to each country so designated that such

20 country meets the criteria set forth in paragraph

21 (3).

22 ‘‘(2) OTHER EUROPEAN COUNTRIES EMERGING

23 FROM COMMUNIST DOMINATION.—In addition to the

24 countries designated pursuant to paragraph (1), the

25 President may at any time designate other European
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1 countries emerging from communist domination as

2 eligible to receive assistance under the program es3 tablished under subsection (a). The President shall,

4 at the time of designation of any country pursuant

5 to this paragraph, determine and report to the Com6 mittees on International Relations and Appropria7 tions of the House of Representatives and the Com8 mittees on Foreign Relations and Appropriations of

9 the Senate with respect to each country so des10 ignated that such country meets the criteria set

11 forth in paragraph (3).

12 ‘‘(3) CRITERIA.—The criteria referred to in

13 paragraphs (1) and (2) are, with respect to each

14 country, that the country—

15 ‘‘(A) has made significant progress toward

16 establishing—

17 ‘‘(i) shared values and interests;

18 ‘‘(ii) democratic governments;

19 ‘‘(iii) free market economies;

20 ‘‘(iv) civilian control of the military, of

21 the police, and of intelligence services, so

22 that these organizations do not pose a

23 threat to democratic institutions, neighbor24 ing countries, or the security of NATO or

25 the United States;
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1 ‘‘(v) adherence to the rule of law and

2 to the values, principles, and political com3 mitments set forth in the Helsinki Final

4 Act and other declarations by the members

5 of the Organization on Security and Co6 operation in Europe;

7 ‘‘(vi) commitment to further the prin8 ciples of NATO and to contribute to the

9 security of the North Atlantic area;

10 ‘‘(vii) commitment to protecting the

11 rights of all their citizens and respecting

12 the territorial integrity of their neighbors;

13 ‘‘(viii) commitment and ability to ac14 cept the obligations, responsibilities, and

15 costs of NATO membership; and

16 ‘‘(ix) commitment and ability to im17 plement infrastructure development activi18 ties that will facilitate participation in and

19 support for NATO military activities;

20 ‘‘(B) is likely, within five years of such de21 termination, to be in a position to further the

22 principles of the North Atlantic Treaty and to

23 contribute to the security of the North Atlantic

24 area; and
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1 ‘‘(C) is not ineligible to receive assistance

2 under section 552 of the Foreign Operations,

3 Export Financing, and Related Programs Ap4 propriations Act, 1996, with respect to trans5 fers of equipment to a country the government

6 of which the Secretary of State has determined

7 is a terrorist government for purposes of section

8 40(d) of the Arms Export Control Act.’’.

9 (2) CONFORMING AMENDMENTS.—

10 (A) Subsections (b) and (c) of section 203 of

11 such Act are amended by striking ‘‘countries de12 scribed in such subsection’’ each of the two places

13 it appears and inserting ‘‘countries designated under

14 subsection (d)’’.

15 (B) Subsection (e) of section 203 of such Act

16 is amended by inserting ‘‘(22 U.S.C. 2394–1), and

17 shall include with such notification a memorandum

18 of justification with respect to the proposed designa19 tion’’ before the period at the end.

20 (b) TYPES OF ASSISTANCE.—Section 203(c) of such

21 Act is amended by inserting after paragraph (4) the fol22 lowing new paragraphs:

23 ‘‘(5) Assistance under chapter 4 of part II of

24 the Foreign Assistance Act of 1961 (relating to the

25 Economic Support Fund).
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1 ‘‘(6) Funds appropriated under the ‘‘Non2 proliferation and Disarmament Fund’’ account.

3 ‘‘(7) Assistance under chapter 6 of part II of

4 the Foreign Assistance Act of 1961 (relating to

5 peacekeeping operations and other programs).

6 ‘‘(8) Notwithstanding any other provision of

7 law, including any restrictions in sections 516 and

8 519 of the Foreign Assistance Act of 1961, as

9 amended, the President may direct the crating,

10 packing, handling, and transportation of excess de11 fense articles provided pursuant to paragraphs (1)

12 and (2) of this subsection without charge to the re13 cipient of such articles.’’.

14 (c) EFFECT ON OTHER AUTHORITIES.—Section 203

15 of the NATO Participation Act of 1994 (title II of Public

16 Law 103–447, 22 U.S.C. 1928 note), is amended to add

17 a new subsection (g) to read as follows:

18 ‘‘(g) EFFECT ON OTHER AUTHORITIES.—Nothing in

19 this Act shall affect the eligibility of countries to partici20 pate under other provisions of law in programs described

21 in this Act.’’.

22 (d) ANNUAL REPORT.—Section 205 of the NATO

23 Participation Act of 1994 (title II of Public Law 103–

24 447; 22 U.S.C. 1928 note) is amended:
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1 (1) by inserting ‘‘ANNUAL’’ in the section

2 heading before the first word;

3 (2) by inserting ‘‘annual’’ after ‘‘include in the’’

4 in the matter preceding paragraph (1); and

5 (3) in paragraphs (1) and (2), by striking ‘‘and

6 other’’ and all that follows through the period at the

7 end and in both instances inserting in lieu thereof

8 ‘‘and any other country designated by the President

9 pursuant to section 203(d).’’.

10 TITLE VI—MIDDLE EAST PEACE FACILITATION

11 ACT OF 1995

12 SHORT TITLE

13 SEC. 601. This title may be cited as the ‘‘Middle East

14 Peace Facilitation Act of 1995’’.

15 FINDINGS

16 SEC. 602. The Congress finds that—

17 (1) the Palestine Liberation Organization (here18 after the ‘‘P.L.O.’’) has recognized the State of Isra19 el’s right to exist in peace and security, accepted

20 United Nations Security Council Resolutions 242

21 and 338, committed itself to the peace process and

22 peaceful coexistence with Israel, free from violence

23 and all other acts which endanger peace and stabil24 ity, and assumed responsibility over all P.L.O. ele25 ments and personnel in order to assure their compli26 ance, prevent violations, and discipline violators;
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1 (2) Israel has recognized the P.L.O. as the rep2 resentative of the Palestinian people;

3 (3) Israel and the P.L.O. signed a Declaration

4 of Principles on Interim Self-Government Arrange5 ments (hereafter the ‘‘Declaration of Principles’’) on

6 September 13, 1993 at the White House;

7 (4) Israel and the P.L.O. signed an Agreement

8 on the Gaza Strip and the Jericho Area (hereafter

9 the ‘‘Gaza-Jericho Agreement’’) on May 4, 1994

10 which established a Palestinian Authority for the

11 Gaza and Jericho areas;

12 (5) Israel and the P.L.O. signed an Agreement

13 on Preparatory Transfer of Powers and Responsibil14 ities (hereafter the ‘‘Early Empowerment Agree15 ment’’) on August 29, 1994 which provided for the

16 transfer to the Palestinian Authority of certain pow17 ers and responsibilities in the West Bank outside of

18 the Jericho Area;

19 (6) under the terms of the Israeli-Palestinian

20 Interim Agreement on the West Bank and Gaza

21 (hereafter the ‘‘Interim Agreement) signed on Sep22 tember 28, 1995, the Declaration of Principles, the

23 Gaza-Jericho Agreement and the Early

24 Empowerment Agreement, the powers and respon25 sibilities of the Palestinian Authority are to be as-
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1 sumed by an elected Palestinian Council with juris2 diction in the West Bank and Gaza Strip in accord3 ance with the Interim Agreement;

4 (7) permanent status negotiations relating to

5 the West Bank and Gaza Strip are scheduled to

6 begin by May 1996;

7 (8) the Congress has, since the conclusion of

8 the Declaration of Principles and the P.L.O.’s re9 nunciation of terrorism, provided authorities to the

10 President to suspend certain statutory restrictions

11 relating to the P.L.O., subject to Presidential certifi12 cations that the P.L.O. has continued to abide by

13 commitments made in and in connection with or re14 sulting from the good faith implementation of, the

15 Declaration of Principles;

16 (9) the P.L.O. commitments relevant to Presi17 dential certifications have included commitments to

18 renounce and condemn terrorism, to submit to the

19 Palestinian National Council for former approval the

20 necessary changes to those articles of the Palestinian

21 Covenant which call for Israel’s destruction, and to

22 prevent acts of terrorism and hostilities against Is23 rael; and

24 (10) the United States is resolute in its deter25 mination to ensure that in providing assistance to
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1 Palestinians living under the jurisdiction of the Pal2 estinian Authority or elsewhere, the beneficiaries of

3 such assistance shall be held to the same standard

4 of financial accountability and management control

5 as any other recipient of United States assistance.

6 SENSE OF CONGRESS

7 SEC. 603. It is the sense of the Congress that the

8 P.L.O. must do far more to demonstrate an irrevocable

9 denunciation of terrorism and ensure a peaceful settle10 ment of the Middle East dispute, and in particular it

11 must—

12 (1) submit to the Palestinian National Council

13 for formal approval the necessary changes to those

14 articles of the Palestinian National Covenant which

15 call for Israel’s destruction;

16 (2) make greater efforts to pre-empt acts of ter17 ror, discipline violators and contribute to stemming

18 the violence that has resulted in the deaths of over

19 140 Israeli and United States citizens since the sign20 ing of the Declaration of Principles;

21 (3) prohibit participation in its activities and in

22 the Palestinian Authority and its successors by any

23 groups or individuals which continue to promote and

24 commit acts of terrorism;

25 (4) cease all anti-Israel rhetoric, which poten26 tially undermines the peace process;
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1 (5) confiscate all unlicensed weapons;

2 (6) transfer and cooperate in transfer proceed3 ings relating to any person accused by Israel to acts

4 of terrorism; and

5 (7) respect civil liberties, human rights and

6 democratic norms.

7 AUTHORITY TO SUSPEND CERTAIN PROVISIONS

8 SEC. 604. (a) IN GENERAL.—Subject to sub9 section (b), beginning on the date of enactment of this

10 Act and for eighteen months thereafter, the President

11 may suspend for a period of not more than 6 months at

12 a time any provision of law specified in subsection (d).

13 Any such suspension shall cease to be effective after 6

14 months, or at such earlier date as the President may

15 specify.

16 (b) CONDITIONS.—

17 (1) CONSULTATIONS.—Prior to each exercise of

18 the authority provided in subsection (a) or certifi19 cation pursuant to subsection (c), the President shall

20 consult with the relevant congressional committees.

21 The President may not exercise that authority or

22 make such certification until 30 days after a written

23 policy justification is submitted to the relevant con24 gressional committees.

25 (2) PRESIDENTIAL CERTIFICATION.—The

26 President may exercise the authority provided in
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1 subsection (a) only if the President certifies to the

2 relevant congressional committees each time he exer3 cises such authority that—

4 (A) it is in the national interest of the

5 United States to exercise such authority;

6 (B) the P.L.O., the Palestinian Authority,

7 and successor entities are complying with all

8 the commitments described in paragraph (4);

9 and

10 (C) funds provided pursuant to the exer11 cise of this authority and the authorities under

12 section 583(a) of Public Law 103–236 and sec13 tion 3(a) of Public Law 103–125 have been

14 used for the purposes for which they were in15 tended.

16 (3) REQUIREMENT FOR CONTINUING P.L.O.

17 COMPLIANCE.—

18 (A) The President shall ensure that P.L.O.

19 performance is continuously monitored and if

20 the President at any time determines that the

21 P.L.O. has not continued to comply with all the

22 commitments described in paragraph (4), he

23 shall so notify the relevant congressional com24 mittees and any suspension under subsection
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1 (a) of a provision of law specified in subsection

2 (d) shall cease to be effective.

3 (B) Beginning six months after the date of

4 enactment of this Act, if the President on the

5 basis of the continuous monitoring of the

6 P.L.O.’s performance determines that the

7 P.L.O. is not complying with the requirements

8 described in subsection (c), he shall so notify

9 the relevant congressional committees and no

10 assistance shall be provided pursuant to the ex11 ercise by the President of the authority pro12 vided by subsection (a) until such time as the

13 President makes the certification provided for

14 in subsection (c).

15 (4) P.L.O. COMMITMENTS DESCRIBED.—The

16 commitments referred to in paragraphs (2)(B) and

17 (3)(A) are the commitments made by the P.L.O.—

18 (A) in its letter of September 9, 1993, to

19 the Prime Minister of Israel; in its letter of

20 September 9, 1993, to the Foreign Minister of

21 Norway to—

22 (i) recognize the right of the State of

23 Israel to exist in peace and security;

24 (ii) accept United Nations Security

25 Council Resolutions 242 and 338;
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1 (iii) renounce the use of terrorism and

2 other acts of violence;

3 (iv) assume responsibility over all

4 P.L.O. elements and personnel in order to

5 assure their compliance, prevent violations

6 and discipline violators;

7 (v) call upon the Palestinian people in

8 the West Bank and Gaza Strip to take

9 part in the steps leading to the normaliza10 tion of life, rejecting violence and terror11 ism, and contributing to peace and stabil12 ity; and

13 (vi) submit to the Palestine National

14 Council for formal approval the necessary

15 changes to the Palestinian National Cov16 enant eliminating calls for Israel’s destruc17 tion, and

18 (B) in, and resulting from, the good faith

19 implementation of the Declaration of Principles,

20 including good faith implementation of subse21 quent agreements with Israel, with particular

22 attention to the objective of preventing terror23 ism, as reflected in the provisions of the In24 terim Agreement concerning—
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1 (i) prevention of acts of terrorism and

2 legal measures against terrorists, including

3 the arrest and prosecution of individuals

4 suspected of perpetrating acts of violence

5 and terror;

6 (ii) abstention from and prevention of

7 incitement, including hostile propaganda;

8 (iii) operation of armed forces other

9 than the Palestinian Police;

10 (iv) possession, manufacture, sale, ac11 quisition or importation of weapons;

12 (v) employment of police who have

13 been convicted of serious crimes or have

14 been found to be actively involved in ter15 rorist activities subsequent to their employ16 ment;

17 (vi) transfers to Israel of individuals

18 suspected of, charged with, or convicted of

19 an offense that falls within Israeli criminal

20 jurisdiction;

21 (vii) cooperation with the government

22 of Israel in criminal matters, including co23 operation in the conduct of investigations;

24 and
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1 (viii) exercise of powers and respon2 sibilities under the agreement with due re3 gard to internationally accepted norms and

4 principles of human rights and the rule of

5 law.

6 (5) POLICY JUSTIFICATION.—As part of the

7 President’s written policy justification to be submit8 ted to the relevant Congressional Committees pursu9 ant to paragraph (1), the President will report on—

10 (A) the manner in which the P.L.O. has

11 complied with the commitments specified in

12 paragraph (4), including responses to individual

13 acts of terrorism and violence, actions to dis14 cipline perpetrators of terror and violence, and

15 actions to preempt acts of terror and violence;

16 (B) the extent to which the P.L.O. has ful17 filled the requirements specified in subsection

18 (c);

19 (C) actions that the P.L.O. has taken with

20 regard to the Arab League boycott of Israel;

21 (D) the status and activities of the P.L.O.

22 office in the United States;

23 (E) all United States assistance which ben24 efits, directly or indirectly, the projects, pro25 grams, or activities of the Palestinian Authority
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1 in Gaza, Jericho, or any other area it may con2 trol, since September 13, 1993, including—

3 (i) the obligation and disbursal of

4 such assistance, by project, activity, and

5 date, as well as by prime contractor and all

6 subcontractors;

7 (ii) the organizations or individuals

8 responsible for the receipt and obligation

9 of such assistance;

10 (iii) the intended beneficiaries of such

11 assistance; and

12 (iv) the amount of international donor

13 funds that benefit the P.L.O. or the Pal14 estinian Authority in Gaza, Jericho, or any

15 other area the P.L.O. or the Palestinian

16 Authority may control, and to which the

17 United States is a contributor; and

18 (F) statements by senior officials of the

19 P.L.O., the Palestinian Authority, and succes20 sor entities that question the right of Israel to

21 exist or urge armed conflict with or terrorism

22 against Israel or its citizens, including an as23 sessment of the degree to which such state24 ments reflect official policy of the P.L.O., the

25 Palestinian Authority, or successor entities.
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1 (c) REQUIREMENT FOR CONTINUED PROVISION OF

2 ASSISTANCE.—Six months after the enactment of this

3 Act, United States assistance shall not be provided pursu4 ant to the exercise by the President of the authority pro5 vided by subsection (a), unless and until the President de6 termines and so certifies to the Congress that—

7 (1) if the Palestinian Council has been elected

8 and assumed its responsibilities, it has, within 2

9 months, effectively disavowed and thereby nullified

10 the articles of the Palestine National Covenant

11 which call for Israel’s destruction, unless the nec12 essary changes to the Covenant have already been

13 approved by the Palestine National Council;

14 (2) the P.L.O., the Palestinian Authority, and

15 successor entities have exercised their authority reso16 lutely to establish the necessary enforcement institu17 tions; including laws, police, and a judicial system,

18 for apprehending, transferring, prosecuting, convict19 ing, and imprisoning terrorists;

20 (3) the P.L.O., has limited participation in the

21 Palestinian Authority and its successors to individ22 uals and groups that neither engage in nor practice

23 terrorism or violence in the implementation of their

24 political goals;
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1 (4) the P.L.O., the Palestinian Authority, and

2 successor entities have not provided any financial or

3 material assistance or training to any group, wheth4 er or not affiliated with the P.L.O., to carry out ac5 tions inconsistent with the Declaration of Principles,

6 particularly acts of terrorism against Israel;

7 (5) the P.L.O., the Palestinian Authority, or

8 successor entities have cooperated in good faith with

9 Israeli authorities in—

10 (A) the preemption of acts of terrorism;

11 (B) the apprehension, trial, and punish12 ment of individuals who have planned or com13 mitted terrorist acts subject to the jurisdiction

14 of the Palestinian Authority or any successor

15 entity; and

16 (C) the apprehension of and transfer to Is17 raeli authorities of individuals suspected of,

18 charged with, or convicted of, planning or com19 mitting terrorist acts subject to Israeli jurisdic20 tion in accordance with the specific provisions

21 of the Interim Agreement;

22 (6) the P.L.O., the Palestinian Authority, and

23 successor entities have exercised their authority reso24 lutely to enact and implement laws requiring the dis-
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1 arming of civilians not specifically licensed to pos2 sess or carry weapons;

3 (7) the P.L.O., the Palestinian Authority, and

4 successor entities have not funded, either partially or

5 wholly, or have ceased funding, either partially or

6 wholly, any office, or other presence of the Palestin7 ian Authority in Jerusalem unless established by

8 specific agreement between Israel and the P.L.O.,

9 the Palestinian Authority, or successor entities;

10 (8) the P.L.O., the Palestinian Authority, and

11 successor entities are cooperating fully with the Gov12 ernment of the United States on the provision of in13 formation on United States nationals known to have

14 been held at any time by the P.L.O. or factions

15 thereof; and

16 (9) the P.L.O., the Palestinian Authority, and

17 successor entities have not, without the agreement of

18 the Government of Israel, taken any steps that will

19 change the status of Jerusalem or the West Bank

20 and Gaza Strip, pending the outcome of the perma21 nent status negotiations.

22 (d) PROVISIONS THAT MAY BE SUSPENDED.—The

23 provisions that may be suspended under the authority of

24 subsection (a) are the following:
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1 (1) Section 307 of the Foreign Assistance Act

2 of 1961 (22 U.S.C. 2227) as it applies with respect

3 to the P.L.O. or entities associated with it.

4 (2) Section 114 of the Department of State Au5 thorization Act, fiscal years 1984 and 1985 (22

6 U.S.C. 287e note) as it applies with respect to the

7 P.L.O. or entities associated with it.

8 (3) Section 1003 of the Foreign Relations Au9 thorization Act, fiscal years 1988 and 1989 (22

10 U.S.C. 5202).

11 (4) Section 37 of the Bretton Woods Agreement

12 Act (22 U.S.C. 286W) as it applies on the granting

13 to the P.L.O. of observer status or other official sta14 tus at any meeting sponsored by or associated with

15 the International Monetary Fund. As used in this

16 paragraph, the term ‘‘other official status’’ does not

17 include membership in the International Monetary

18 Fund.

19 (e) DEFINITIONS.—As used in this title:

20 (1) RELEVANT CONGRESSIONAL COMMIT21 TEES.—The term ‘‘relevant congressional commit22 tees’’ mean—

23 (A) the Committee on International Rela24 tions, the Committee on Banking and Financial
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1 Services, and the Committee on Appropriations

2 of the House of Representatives; and

3 (B) the Committee on Foreign Relations

4 and the Committee on Appropriations of the

5 Senate.

6 (2) UNITED STATES ASSISTANCE.—The term

7 ‘‘United States assistance’’ means any form of

8 grant, loan, loan guarantee, credit, insurance, in

9 kind assistance, or any other form of assistance.

10 TRANSITION PROVISION

11 SEC. 605. (a) IN GENERAL.—Section 583(a) of the

12 Foreign Relations Authorization Act, Fiscal Years 1994

13 and 1995 (Public Law 103–236) is amended by striking

14 ‘‘November 1, 1995’’ and insert ‘‘January 1, 1996’’.

15 (b) CONSULTATION.—For purposes of any exercise of

16 the authority provided in section 583(a) of the Foreign

17 Relations Authorization Act, Fiscal Years 1994 and 1995

18 (Public Law 103–236) prior to November 15, 1995, the

19 written policy justification dated June 1, 1995, and sub20 mitted to the Congress in accordance with section

21 583(b)(1) of such Act, and the consultations associated

22 with such policy justification, shall be deemed to satisfy

23 the requirements of section 583(b)(1) of such Act.
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1 REPORTING REQUIREMENT

2 SEC. 606. Section 804(b) of the P.L.O. Commitments

3 Compliance Act of 1989 (title VIII of Public Law 101–

4 246) is amended—

5 (1) in the matter preceding paragraph (1), by

6 striking ‘‘section (3)(b)(1) of the Middle East Peace

7 Facilitation Act of 1994’’ and inserting ‘‘section

8 604(b)(1) of the Middle East Peace Facilitation Act

9 of 1995’’; and

10 (2) in paragraph (1), by striking ‘‘section (4)(a)

11 of the Middle East Peace Facilitation Act of 1994

12 (Oslo commitments)’’ and inserting ‘‘section

13 604(b)(4) of the Middle East Peace Facilitation Act

14 of 1995’’.

15 This Act may be cited as the ‘‘Foreign Operations,

16 Export Financing, and Related Programs Appropriations

17 Act, 1996’’.

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