In the Senate of the United States,

July 26, 1996.

Resolved, That the bill from the House of Representatives (H.R. 3540) entitled ‘‘An Act making appropriations for

foreign operations, export financing, and related programs for

the fiscal year ending September 30, 1997, and for other purposes’’, do pass with the following

AMENDMENT:

Strike out all after the enacting clause and insert:

1 That the following sums are appropriated, out of any

2 money in the Treasury not otherwise appropriated, for the

3 fiscal year ending September 30, 1997, and for other pur4 poses, namely:

5 TITLE I—EXPORT AND INVESTMENT ASSISTANCE

6 EXPORT-IMPORT BANK OF THE UNITED STATES

7 The Export-Import Bank of the United States is au8 thorized to make such expenditures within the limits of

9 funds and borrowing authority available to such corpora10 tion, and in accordance with law, and to make such con-
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1 tracts and commitments without regard to fiscal year limi2 tations, as provided by section 104 of the Government Cor3 poration Control Act, as may be necessary in carrying out

4 the program for the current fiscal year for such corporation:

5 Provided, That none of the funds available during the cur6 rent fiscal year may be used to make expenditures, con7 tracts, or commitments for the export of nuclear equipment,

8 fuel, or technology to any country other than a nuclear9 weapon State as defined in Article IX of the Treaty on the

10 Non-Proliferation of Nuclear Weapons eligible to receive

11 economic or military assistance under this Act that has det12 onated a nuclear explosive after the date of enactment of

13 this Act.

14 SUBSIDY APPROPRIATION

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

16 and tied-aid grants as authorized by section 10 of the Ex17 port-Import Bank Act of 1945, as amended, $730,000,000

18 to remain available until September 30, 1998: Provided,

19 That such costs, including the cost of modifying such loans,

20 shall be as defined in section 502 of the Congressional Budg21 et Act of 1974: Provided further, That such sums shall re22 main available until 2012 for the disbursement of direct

23 loans, loan guarantees, insurance and tied-aid grants obli24 gated in fiscal years 1997 and 1998: Provided further, That

25 up to $50,000,000 of funds appropriated by this paragraph
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1 shall remain available until expended and may be used for

2 tied-aid grant purposes: Provided further, That none of the

3 funds appropriated by this paragraph may be used for tied4 aid credits or grants except through the regular notification

5 procedures of the Committees on Appropriations: Provided

6 further, That funds appropriated by this paragraph are

7 made available notwithstanding section 2(b)(2) of the Ex8 port-Import Bank Act of 1945, in connection with the pur9 chase or lease of any product by any East European coun10 try, any Baltic State, or any agency or national thereof.

11 ADMINISTRATIVE EXPENSES

12 For administrative expenses to carry out the direct

13 and guaranteed loan and insurance programs (to be com14 puted on an accrual basis), including hire of passenger

15 motor vehicles and services as authorized by 5 U.S.C. 3109,

16 and not to exceed $20,000 for official reception and rep17 resentation expenses for members of the Board of Directors,

18 $40,000,000: Provided, That necessary expenses (including

19 special services performed on a contract or fee basis, but

20 not including other personal services) in connection with

21 the collection of moneys owed the Export-Import Bank, re22 possession or sale of pledged collateral or other assets ac23 quired by the Export-Import Bank in satisfaction of mon24 eys owed the Export-Import Bank, or the investigation or

25 appraisal of any property, or the evaluation of the legal

26 or technical aspects of any transaction for which an appli-
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1 cation for a loan, guarantee or insurance commitment has

2 been made, shall be considered nonadministrative expenses

3 for the purposes of this heading: Provided further, That,

4 none of the funds made available by this or any other Act

5 may be made available to pay the salary and any other

6 expenses of the incumbent Chairman and President of the

7 Export-Import Bank unless and until he has been con8 firmed by the United States Senate: Provided further, That,

9 notwithstanding subsection (b) of section 117 of the Export

10 Enhancement Act of 1992, subsection (a) thereof shall re11 main in effect until October 1, 1997.

12 OVERSEAS PRIVATE INVESTMENT CORPORATION

13 NONCREDIT ACCOUNT

14 The Overseas Private Investment Corporation is au15 thorized to make, without regard to fiscal year limitations,

16 as provided by 31 U.S.C. 9104, such expenditures and com17 mitments within the limits of funds available to it and in

18 accordance with law as may be necessary: Provided, That

19 the amount available for administrative expenses to carry

20 out the credit and insurance programs (including an

21 amount for official reception and representation expenses

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

23 $32,000,000: Provided further, That project-specific trans24 action costs, including direct and indirect costs incurred

25 in claims settlements, and other direct costs associated with

26 services provided to specific investors or potential investors
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1 pursuant to section 234 of the Foreign Assistance Act of

2 1961, shall not be considered administrative expenses for

3 the purposes of this heading.

4 PROGRAM ACCOUNT

5 For the cost of direct and guaranteed loans,

6 $72,000,000, as authorized by section 234 of the Foreign

7 Assistance Act of 1961, to be derived by transfer from the

8 Overseas Private Investment Corporation Noncredit Ac9 count: Provided, That such costs, including the cost of modi10 fying such loans, shall be as defined in section 502 of the

11 Congressional Budget Act of 1974: Provided further, That

12 such sums shall be available for direct loan obligations and

13 loan guaranty commitments incurred or made during fiscal

14 years 1997 and 1998: Provided further, That such sums

15 shall remain available through fiscal year 2005 for the dis16 bursement of direct and guaranteed loans obligated in fiscal

17 year 1997, and through fiscal year 2006 for the disburse18 ment of direct and guaranteed loans obligated in fiscal year

19 1998. In addition, such sums as may be necessary for ad20 ministrative expenses to carry out the credit program may

21 be derived from amounts available for administrative ex22 penses to carry out the credit and insurance programs in

23 the Overseas Private Investment Corporation Noncredit Ac24 count 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 of

4 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 and

7 other entities for the costs of grants for feasibility studies

8 and other project planning services, to be deposited as an

9 offsetting collection to this account and to be available for

10 obligation until September 30, 1997, for necessary expenses

11 under this paragraph: Provided further, That such reim12 bursements shall not cover, or be allocated against, direct

13 or indirect administrative costs of the agency.

14 TITLE II—BILATERAL ECONOMIC ASSISTANCE

15 FUNDS APPROPRIATED TO THE PRESIDENT

16 For expenses necessary to enable the President to carry

17 out the provisions of the Foreign Assistance Act of 1961,

18 and for other purposes, to remain available until September

19 30, 1997, unless otherwise specified herein, as follows:

20 AGENCY FOR INTERNATIONAL DEVELOPMENT

21 DEVELOPMENT ASSISTANCE

22 (INCLUDING TRANSFER OF FUNDS)

23 For necessary expenses to carry out the provisions of

24 sections 103 through 106 and chapter 10 of part I of the

25 Foreign Assistance Act of 1961, title V of the International

26 Security and Development Cooperation Act of 1980 (Public
7

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1 Law 96–533) and the provisions of section 401 of the For2 eign Assistance Act of 1969, $1,262,000,000, to remain

3 available until September 30, 1998: Provided, That of the

4 amount appropriated under this heading, up to

5 $18,000,000 may be made available for the Inter-American

6 Foundation and shall be apportioned directly to that agen7 cy: Provided further, That of the amount appropriated

8 under this heading, up to $10,500,000 may be made avail9 able for the African Development Foundation and shall be

10 apportioned directly to that agency: Provided further, That

11 of the funds appropriated under title II of this Act that

12 are administered by the Agency for International Develop13 ment and made available for family planning assistance,

14 not less than 65 percent shall be made available directly

15 to the agency’s central Office of Population and shall be

16 programmed by that office for family planning activities:

17 Provided further, That of the funds appropriated under this

18 heading and under the heading ‘‘Population, Development

19 Assistance’’ that are made available by the Agency for

20 International Development for development assistance ac21 tivities, the amount made available to carry out chapter

22 10 of part I of the Foreign Assistance Act of 1961 (relating

23 to the Development Fund for Africa) shall be in at least

24 the same proportion as the amount identified in the fiscal

25 year 1997 draft congressional presentation document for de-
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1 velopment assistance for sub-Saharan Africa is to the total

2 amount requested for development assistance for such fiscal

3 year: Provided further, That funds appropriated under this

4 heading shall be made available, notwithstanding any other

5 provision of law, to assist Vietnam to refom its trade regime

6 through, among other things, reform of its commercial and

7 investment legal codes: Provided further, That up to

8 $5,000,000 of the funds appropriated under this heading

9 may be made available for necessary expenses to carry out

10 the provisions of section 667 of the Foreign Assistance Act

11 of 1961: Provided further, That none of the funds made

12 available in this Act nor any unobligated balances from

13 prior appropriations may be made available to any organi14 zation or program which, as determined by the President

15 of the United States, supports or participates in the man16 agement of a program of coercive abortion or involuntary

17 sterilization: Provided further, That none of the funds made

18 available under this heading or under the heading ‘‘Popu19 lation, Development Assistance’’, may be used to pay for

20 the performance of abortion as a method of family planning

21 or to motivate or coerce any person to practice abortions;

22 and that in order to reduce reliance on abortion in develop23 ing nations, funds shall be available only to voluntary fam24 ily planning projects which offer, either directly or through

25 referral to, or information about access to, a broad range
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1 of family planning methods and services: Provided further,

2 That in awarding grants for natural family planning

3 under section 104 of the Foreign Assistance Act of 1961 no

4 applicant shall be discriminated against because of such ap5 plicant’s religious or conscientious commitment to offer

6 only natural family planning; and, additionally, all such

7 applicants shall comply with the requirements of the pre8 vious proviso: Provided further, That for purposes of this

9 or any other Act authorizing or appropriating funds for

10 foreign operations, export financing, and related programs,

11 the term ‘‘motivate’’, as it relates to family planning assist12 ance, shall not be construed to prohibit the provision, con13 sistent with local law, of information or counseling about

14 all pregnancy options: Provided further, That nothing in

15 this paragraph shall be construed to alter any existing stat16 utory prohibitions against abortion under section 104 of the

17 Foreign Assistance Act of 1961: Provided further, That, not18 withstanding section 109 of the Foreign Assistance Act of

19 1961, of the funds appropriated under this heading in this

20 Act, and of the unobligated balances of funds previously ap21 propriated under this heading, $17,500,000 shall be trans22 ferred to ‘‘International Organizations and Programs’’ for

23 a contribution to the International Fund for Agricultural

24 Development (IFAD), and that any such transfer of funds

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

2 the funds appropriated under this heading that are made

3 available for assistance programs for displaced and or4 phaned children and victims of war, not to exceed $25,000,

5 in addition to funds otherwise available for such purposes,

6 may be used to monitor and provide oversight of such pro7 grams: Provided further, That not less than $650,000 of the

8 funds made available under this heading shall be available

9 only for support of the United States Telecommunications

10 Training Institute: Provided further, That of the amount

11 appropriated under this heading, not less than $15,000,000

12 shall be available only for the American Schools and Hos13 pitals Abroad program under section 214 of the Foreign

14 Assistance Act of 1961.

15 POPULATION, DEVELOPMENT ASSISTANCE

16 For necessary expenses to carry out the provisions of

17 section 104(b) of the Foreign Assistance Act of 1961,

18 $410,000,000, to remain available until September 30,

19 1998.

20 CYPRUS

21 Of the funds appropriated under the headings ‘‘Devel22 opment Assistance’’ and ‘‘Economic Support Fund’’, not

23 less than $15,000,000 shall be made available for Cyprus

24 to be used only for scholarships, administrative support of

25 the scholarship program, bicommunal projects, and meas26 ures aimed at reunification of the island and designed to
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1 reduce tensions and promote peace and cooperation between

2 the two communities on Cyprus.

3 BURMA

4 Of the funds appropriated by this Act to carry out the

5 provisions of chapter 8 of part I and chapter 4 of part II

6 of the Foreign Assistance Act of 1961, not less than

7 $2,500,000 shall be made available to support activities in

8 Burma, along the Burma-Thailand border, and for activi9 ties of Burmese student groups and other organizations lo10 cated outside Burma, for the purposes of fostering democ11 racy in Burma, supporting the provision of medical sup12 plies and other humanitarian assistance to Burmese located

13 in Burma or displaced Burmese along the borders, and for

14 other purposes: Provided, That of this amount, not less than

15 $200,000 shall be made available to support newspapers,

16 publications, and other media activities promoting democ17 racy inside Burma: Provided further, That funds made

18 available under this heading may be made available not19 withstanding any other provision of law: Provided further,

20 That provision of such funds shall be made available subject

21 to the regular notification procedures of the Committees on

22 Appropriations.

23 PRIVATE AND VOLUNTARY ORGANIZATIONS

24 None of the funds appropriated or otherwise made

25 available by this Act for development assistance may be

26 made available to any United States private and voluntary
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1 organization, except any cooperative development organiza2 tion, which obtains less than 20 per centum of its total an3 nual funding for international activities from sources other

4 than the United States Government: Provided, That the re5 quirements of the provisions of section 123(g) of the Foreign

6 Assistance Act of 1961 and the provisions on private and

7 voluntary organizations in title II of the ‘‘Foreign Assist8 ance and Related Programs Appropriations Act, 1985’’ (as

9 enacted in Public Law 98–473) shall be superseded by the

10 provisions of this section, except that the authority con11 tained in the last sentence of section 123(g) may be exer12 cised by the Administrator with regard to the requirements

13 of this paragraph.

14 Funds appropriated or otherwise made available

15 under title II of this Act should be made available to private

16 and voluntary organizations at a level which is equivalent

17 to the level provided in fiscal year 1995. Such private and

18 voluntary organizations shall include those which operate

19 on a not-for-profit basis, receive contributions from private

20 sources, receive voluntary support from the public and are

21 deemed to be among the most cost-effective and successful

22 providers of development assistance.

23 INTERNATIONAL DISASTER ASSISTANCE

24 For necessary expenses for international disaster relief,

25 rehabilitation, and reconstruction assistance pursuant to
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1 section 491 of the Foreign Assistance Act of 1961, as amend2 ed, $190,000,000, to remain available until expended.

3 DEBT RESTRUCTURING

4 For the cost, as defined in section 502 of the Congres5 sional Budget Act of 1974, of modifying direct loans and

6 loan guarantees, as the President may determine, for which

7 funds have been appropriated or otherwise made available

8 for programs within the International Affairs Budget Func9 tion 150, including the cost of selling, reducing, or canceling

10 amounts, through debt buybacks and swaps, owed to the

11 United States as a result of concessional loans made to eli12 gible Latin American and Caribbean countries, pursuant

13 to part IV of the Foreign Assistance Act of 1961; of modify14 ing direct loans extended to least developed countries, as

15 authorized under title I of the Agricultural Trade Develop16 ment and Assistance Act of 1954, as amended; and of modi17 fying concessional loans authorized under title I of the Agri18 cultural Trade Development and Assistance Act of 1954, as

19 amended, as authorized under subsection (a) under the

20 heading ‘‘Debt Reduction for Jordan’’ in title VI of Public

21 Law 103–306, $27,000,000, to remain available until ex22 pended: Provided, That none of the funds appropriated

23 under this heading shall be obligated except through the reg24 ular notification procedures of the Committee on Appro25 priations.
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1 MICRO AND SMALL ENTERPRISE DEVELOPMENT PROGRAM

2 ACCOUNT

3 For the subsidy cost of direct loans and loan guaran4 tees, $1,500,000, as authorized by section 108 of the Foreign

5 Assistance Act of 1961, as amended: Provided, That such

6 costs shall be as defined in section 502 of the Congressional

7 Budget Act of 1974: Provided further, That guarantees of

8 loans made under this heading in support of microenter9 prise activities may guarantee up to 70 percent of the prin10 cipal amount of any such loans notwithstanding section

11 108 of the Foreign Assistance Act of 1961. In addition, for

12 administrative expenses to carry out programs under this

13 heading, $500,000, all of which may be transferred to and

14 merged with the appropriation for Operating Expenses of

15 the Agency for International Development: Provided fur16 ther, That funds made available under this heading shall

17 remain available until September 30, 1998.

18 HOUSING GUARANTY PROGRAM ACCOUNT

19 For the cost, as defined in section 502 of the Congres20 sional Budget Act of 1974, of guaranteed loans authorized

21 by sections 221 and 222 of the Foreign Assistance Act of

22 1961, $4,000,000, to remain available until September 30,

23 1998: Provided, That these funds are available to subsidize

24 loan principal, 100 percent of which shall be guaranteed,

25 pursuant to the authority of such sections. In addition, for

26 administrative expenses to carry out guaranteed loan pro-
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1 grams, $6,000,000, all of which may be transferred to and

2 merged with the appropriation for Operating Expenses of

3 the Agency for International Development: Provided fur4 ther, That commitments to guarantee loans under this head5 ing may be entered into notwithstanding the second and

6 third sentences of section 222(a) and, with regard to pro7 grams for central and Eastern Europe and programs for

8 the benefit of South Africans disadvantaged by apartheid,

9 section 223(j) of the Foreign Assistance Act of 1961.

10 PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND

11 DISABILITY FUND

12 For payment to the ‘‘Foreign Service Retirement and

13 Disability Fund’’, as authorized by the Foreign Service Act

14 of 1980, $43,826,000.

15 OPERATING EXPENSES OF THE AGENCY FOR

16 INTERNATIONAL DEVELOPMENT

17 For necessary expenses to carry out the provisions of

18 section 667, $495,000,000: Provided, That notwithstanding

19 any other provision of law, none of the funds appropriated

20 or otherwise made available by this Act may be made avail21 able for expenses necessary to relocate the Agency for Inter22 national Development, or any part of that agency, to the

23 building at the Federal Triangle in Washington, District

24 of Columbia.
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1 OPERATING EXPENSES OF THE AGENCY FOR INTER2 NATIONAL DEVELOPMENT OFFICE OF INSPECTOR GEN3 ERAL

4 For necessary expenses to carry out the provisions of

5 section 667, $28,000,000, to remain available until ex6 pended, which sum shall be available for the Office of the

7 Inspector General of the Agency for International Develop8 ment.

9 OTHER BILATERAL ECONOMIC ASSISTANCE

10 ECONOMIC SUPPORT FUND

11 For necessary expenses to carry out the provisions of

12 chapter 4 of part II, $2,340,000,000, to remain available

13 until September 30, 1998: Provided, That of the funds ap14 propriated under this heading, not less than $1,200,000,000

15 shall be available only for Israel, which sum shall be avail16 able on a grant basis as a cash transfer and shall be dis17 bursed within thirty days of enactment of this Act or by

18 October 31, 1996, whichever is later: Provided further, That

19 not less than $815,000,000 shall be available only for

20 Egypt, which sum shall be provided on a grant basis, and

21 of which sum cash transfer assistance may be provided,

22 with the understanding that Egypt will undertake signifi23 cant economic reforms which are additional to those which

24 were undertaken in previous fiscal years, and of which not

25 less than $200,000,000 shall be provided as Commodity Im-
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1 port Program assistance: Provided further, That in exercis2 ing the authority to provide cash transfer assistance for Is3 rael and Egypt, the President shall ensure that the level

4 of such assistance does not cause an adverse impact on the

5 total level of non-military exports from the United States

6 to each such country: Provided further, That it is the sense

7 of the Congress that the recommended levels of assistance

8 for Egypt and Israel are based in great measure upon their

9 continued participation in the Camp David Accords and

10 upon the Egyptian-Israeli peace treaty: Provided further,

11 That of the funds appropriated under this heading,

12 $3,000,000 shall be made available to establish an inde13 pendent radio broadcasting service to Iran: Provided fur14 ther, That none of the funds appropriated under this head15 ing shall be made available for Zaire: Provided further,

16 That of the funds appropriated under this heading by prior

17 appropriations Acts, $36,000,000 of unobligated and

18 unearmarked funds shall be transferred to and consolidated

19 with funds appropriated by this Act under the heading

20 ‘‘International Organizations and Programs’’.

21 ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC

22 STATES

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

24 of the Foreign Assistance Act of 1961 and the Support for

25 East European Democracy (SEED) Act of 1989,

26 $475,000,000, to remain available until September 30,
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1 1998, which shall be available, notwithstanding any other

2 provision of law, for economic assistance and for related

3 programs for Central and Eastern Europe and the Baltic

4 States.

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

6 appropriations Acts that are or have been made available

7 for an Enterprise Fund may be deposited by such Fund

8 in interest-bearing accounts prior to the Fund’s disburse9 ment of such funds for program purposes. The Fund may

10 retain for such program purposes any interest earned on

11 such deposits without returning such interest to the Treas12 ury of the United States and without further appropriation

13 by the Congress. Funds made available for Enterprise

14 Funds shall be expended at the minimum rate necessary

15 to make timely payment for projects and activities.

16 (c) Funds appropriated under this heading shall be

17 considered to be economic assistance under the Foreign As18 sistance Act of 1961 for purposes of making available the

19 administrative authorities contained in that Act for the use

20 of economic assistance.

21 (d) With regard to funds appropriated or otherwise

22 made available under this heading for the economic revital23 ization program in Bosnia and Herzegovina, and local cur24 rencies generated by such funds (including the conversion

25 of funds appropriated under this heading into currency
19

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1 used by Bosnia and Herzegovina as local currency and local

2 currency returned or repaid under such program)—

3 (1) the Administrator of the Agency for Inter4 national Development shall provide written approval

5 for grants and loans prior to the obligation and ex6 penditure of funds for such purposes, and prior to the

7 use of funds that have been returned or repaid to any

8 lending facility or grantee; and

9 (2) the provisions of section 534 of this Act shall

10 apply.

11 (e) With regard to funds appropriated under this head12 ing that are made available for economic revitalization pro13 grams in Bosnia and Hercegovina, 50 percent of such funds

14 shall not be available for obligation unless the President de15 termines and certifies to the Committees on Appropriations

16 that the Federation of Bosnia and Hercegovina has com17 plied with article III of annex 1–A of the General Frame18 work Agreement for Peace in Bosnia and Hercegovina con19 cerning the withdrawal of foreign forces, and that intel20 ligence cooperation on training, investigations, and related

21 activities between Iranian officials and Bosnian officials

22 has been terminated.

23 ASSISTANCE FOR THE NEW INDEPENDENT STATES OF THE

24 FORMER SOVIET UNION

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

26 of chapter 11 of part I of the Foreign Assistance Act of 1961
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1 and the FREEDOM Support Act, for assistance for the new

2 independent states of the former Soviet Union and for relat3 ed programs, $640,000,000, to remain available until Sep4 tember 30, 1998: Provided, That the provisions of such

5 chapter shall apply to funds appropriated by this para6 graph: Provided further, That of the funds appropriated

7 under this heading $25,000,000 shall be available for the

8 legal restructuring necessary to support a decentralized

9 market-oriented economic system, including enactment of

10 necessary substantive commercial law, implementation of

11 reforms necessary to establish an independent judiciary and

12 bar, legal education for judges, attorneys, and law students,

13 and education of the public designed to promote under14 standing of a law-based economy.

15 (b) None of the funds appropriated under this heading

16 shall be transferred to the Government of Russia—

17 (1) unless that Government is making progress

18 in implementing comprehensive economic reforms

19 based on market principles, private ownership, nego20 tiating repayment of commercial debt, respect for

21 commercial contracts, and equitable treatment of for22 eign private investment; and

23 (2) if that Government applies or transfers Unit24 ed States assistance to any entity for the purpose of
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1 expropriating or seizing ownership or control of as2 sets, investments, or ventures.

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

5 the national interest.

6 (d) None of the funds appropriated under this heading

7 shall be made available to any government of the new inde8 pendent states of the former Soviet Union if that govern9 ment directs any action in violation of the territorial integ10 rity or national sovereignty of any other new independent

11 state, such as those violations included in the Helsinki

12 Final Act: Provided, That such funds may be made avail13 able without regard to the restriction in this subsection if

14 the President determines that to do so is in the national

15 security interest of the United States: Provided further,

16 That the restriction of this subsection shall not apply to

17 the use of such funds for the provision of assistance for pur18 poses of humanitarian, disaster and refugee relief.

19 (e) None of the funds appropriated under this heading

20 for the new independent states of the former Soviet Union

21 shall be made available for any state to enhance its military

22 capability: Provided, That this restriction does not apply

23 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 Commit3 tees 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)(1) Of the funds appropriated under title II of this

10 Act, including funds appropriated under this heading, not

11 less than $11,000,000 shall be available only for assistance

12 for Mongolia, of which amount not less than $6,000,000

13 shall be available only for the Mongolian energy sector.

14 (2) Funds made available for assistance for Mongolia

15 shall be made available in accordance with the purposes

16 and utilizing the authorities provided in chapter 11 of part

17 I of the Foreign Assistance Act of 1961.

18 (i) Funds made available in this Act for assistance to

19 the New Independent States of the former Soviet Union

20 shall be provided to the maximum extent feasible through

21 the private sector, including small- and medium-size busi22 nesses, entrepreneurs, and others with indigenous private

23 enterprises in the region, intermediary development organi24 zations committed to private enterprise, and private vol25 untary organizations: Provided, That grantees and contrac-
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1 tors should, to the maximum extent possible, place in key

2 staff positions specialists with prior on the ground expertise

3 in the region of activity and fluency in one of the local

4 languages.

5 (j) In issuing new task orders, entering into contracts,

6 or making grants, with funds appropriated under this

7 heading or in prior appropriations Acts, for projects or ac8 tivities that have as one of their primary purposes the fos9 tering of private sector development, the Coordinator for

10 United States Assistance to the New Independent States

11 and the implementing agency shall encourage the participa12 tion of and give significant weight to contractors and grant13 ees who propose investing a significant amount of their own

14 resources (including volunteer services and in-kind con15 tributions) in such projects and activities.

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

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

18 Ukraine, of which funds not less than $25,000,000 shall be

19 made available to carry out United States decommissioning

20 obligations regarding the Chornobyl plant made in the

21 Memorandum of Understanding between the Government of

22 Ukraine and the G–7 Group: Provided, That not less than

23 $35,000,000 shall be made available for agricultural

24 projects, including those undertaken through the Food Sys25 tems Restructuring Program, which leverage private sector
24

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1 resources with United States Government assistance: Pro2 vided further, That $5,000,000 shall be available for a small

3 business incubator project: Provided further, That

4 $5,000,000 shall be made available for screening and treat5 ment of childhood mental and physical illnesses related to

6 Chornobyl radiation: Provided further, That of the amount

7 appropriated under this heading, $5,000,000 shall be avail8 able only for a land and resource management institute to

9 identify nuclear contamination at Chornobyl..

10 (l) Of the funds made available for Ukraine, under this

11 Act or any other Act, not less than $50,000,000 shall be

12 made available to improve safety at nuclear reactors: Pro13 vided, That of this amount $20,000,000 shall be provided

14 for the purchase and installation of, and training for, safety

15 parameter display or control systems at all operational nu16 clear reactors: Provided further, That of this amount,

17 $20,000,000 shall be made available for the purchase, con18 struction, installation and training for Full Scope and An19 alytical/Engineering simulators: Provided further, That of

20 this amount such funds as may be necessary shall be made

21 available to conduct Safety Analysis Reports at all oper22 ational nuclear reactors.

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

24 than $95,000,000 shall be made available for Armenia.
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1 (n) Of the funds made available by this or any other

2 Act, $25,000,000 shall be made available for Georgia.

3 (o) None of the funds appropriated under this heading

4 may be made available for Russia unless the President de5 termines and certifies in writing to the Committees on Ap6 propriations that the Government of Russia has terminated

7 implementation of arrangements to provide Iran with tech8 nical expertise, training, technology, or equipment nec9 essary to develop a nuclear reactor or related nuclear re10 search facilities or programs.

11 (p) Of the funds appropriated under this heading,

12 $15,000,000 shall be provided for hospital partnership pro13 grams, medical assistance to directly reduce the incidence

14 of infectious diseases such as diphtheria or tuberculosis, and

15 a program to reduce the adverse impact of contaminated

16 drinking water.

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

18 under the heading ‘‘Assistance for Eastern Europe and the

19 Baltic States’’, not less than $12,000,000 shall be made

20 available for law enforcement training and exchanges, and

21 investigative and technical assistance activities related to

22 international criminal activities: Provided, That of this

23 amount, not less than $1,000,000 shall be made available

24 for training and exchanges in Russia to combat violence

25 against women.
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1 (r) Of the funds appropriated under this heading, not

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

3 and Central Asian Enterprise Funds: Provided, That obli4 gation of these funds shall be consistent with sound business

5 practices.

6 (s) Of the funds made available under this heading,

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

8 United States contribution to the Trans-Caucasus Enter9 prise Fund.

10 (t) Funds appropriated under this heading or in prior

11 appropriations Acts that are or have been made available

12 for an Enterprise Fund may be deposited by such Fund

13 in interest-bearing accounts prior to the disbursement of

14 such funds by the Fund for program purposes. The Fund

15 may retain for such program proposes any interest earned

16 on such deposits without returning such interest to the

17 Treasury of the United States and without further appro18 priation by the Congress. Funds made available for Enter19 prise Funds shall be expended at the minimum rate nec20 essary to make timely payment for projects and activities.

21 (u) Funds appropriated under this heading may not

22 be made available for the Government of Ukraine if the

23 President determines and reports to the Committees on Ap24 propriations that the Government of Ukraine is engaged in

25 military cooperation with the Government of Libya.
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1 (v) Of the funds appropriated under this heading, not

2 less than $15,000,000 shall be available only for a family

3 planning program for the New Independent States of the

4 former Soviet Union comparable to the family planning

5 program currently administered by the Agency for Inter6 national Development in the Central Asian Republics and

7 focusing on population assistance which provides an alter8 native to abortion.

9 (w) Funds made available under this Act or any other

10 Act (other than assistance under title V of the FREEDOM

11 Support Act) may not be provided to the Government of

12 Azerbaijan until the President determines, and so reports

13 to the Congress, that the Government of Azerbaijan is taking

14 demonstrable steps to cease all blockades and other offensive

15 uses of force against Armenia and Nagorno-Karabakh.

16 (x) Of the funds appropriated under this heading, not

17 less than $2,500,000 shall be made available for the Amer18 ican-Russian Center.

19 INDEPENDENT AGENCY

20 PEACE CORPS

21 For expenses necessary to carry out the provisions of

22 the Peace Corps Act (75 Stat. 612), $205,000,000, including

23 the purchase of not to exceed five passenger motor vehicles

24 for administrative purposes for use outside of the United

25 States: Provided, That none of the funds appropriated
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1 under this heading shall be used to pay for abortions: Pro2 vided further, That funds appropriated under this heading

3 shall remain available until September 30, 1998.

4 DEPARTMENT OF STATE

5 INTERNATIONAL NARCOTICS CONTROL

6 For necessary expenses to carry out the provisions of

7 section 481 of the Foreign Assistance Act of 1961,

8 $213,000,000: Provided, That during fiscal year 1997, 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 from

12 an agency of the United States Government for the purpose

13 of providing it to a foreign country under chapter 8 of part

14 I of that Act subject to the regular notification procedures

15 of the Committees on Appropriations: Provided, That, of

16 the funds appropriated under this heading, $2,000,000 shall

17 be available only for demining operations in Afghanistan.

18 MIGRATION AND REFUGEE ASSISTANCE

19 For expenses, not otherwise provided for, necessary to

20 enable the Secretary of State to provide, as authorized by

21 law, a contribution to the International Committee of the

22 Red Cross, assistance to refugees, including contributions

23 to the International Organization for Migration and the

24 United Nations High Commissioner for Refugees, and other

25 activities to meet refugee and migration needs; salaries and

26 expenses of personnel and dependents as authorized by the
29

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1 Foreign Service Act of 1980; allowances as authorized by

2 sections 5921 through 5925 of title 5, United States Code;

3 purchase and hire of passenger motor vehicles; and services

4 as authorized by section 3109 of title 5, United States Code,

5 $650,000,000: Provided, That not more than $12,000,000

6 shall be available for administrative expenses: Provided fur7 ther, That not less than $80,000,000 shall be made available

8 for refugees from the former Soviet Union and Eastern Eu9 rope and other refugees resettling in Israel.

10 UNITED STATES EMERGENCY REFUGEE AND MIGRATION

11 ASSISTANCE FUND

12 For necessary expenses to carry out the provisions of

13 section 2(c) of the Migration and Refugee Assistance Act

14 of 1962, as amended (22 U.S.C. 260(c)), $50,000,000, to

15 remain available until expended: Provided, That the funds

16 made available under this heading are appropriated not17 withstanding the provisions contained in section 2(c)(2) of

18 the Migration and Refugee Assistance Act of 1962 which

19 would limit the amount of funds which could be appro20 priated for this purpose.

21 NONPROLIFERATION, ANTI-TERRORISM, DEMINING AND

22 RELATED PROGRAMS

23 (INCLUDING TRANSFERS OF FUNDS)

24 For necessary expenses for nonproliferation, anti-ter25 rorism and related programs and activities, $140,000,000

26 to carry out the provisions of chapter 8 of part II of the
30

HR 3540 EAS

1 Foreign Assistance Act of 1961 for anti-terrorism assist2 ance, section 504 of the FREEDOM Support Act for the

3 Nonproliferation and Disarmament Fund, section 23 of the

4 Arms Export Control Act for demining activities, notwith5 standing any other provision of law, including activities

6 implemented through nongovernmental and international

7 organizations, section 301 of the Foreign Assistance Act of

8 1961 for a voluntary contribution to the International

9 Atomic Energy Agency (IAEA) and a voluntary contribu10 tion to the Korean Peninsula Energy Development Organi11 zation (KEDO), and for the acquisition and provision of

12 goods and services, or for grants to Israel necessary to sup13 port the eradication of terrorism in and around Israel: Pro14 vided, That of this amount not to exceed $15,000,000, to

15 remain available until expended, may be made available

16 for the Nonproliferation and Disarmament Fund, notwith17 standing any other provision of law, to promote bilateral

18 and multilateral activities relating to nonproliferation and

19 disarmament: Provided further, That such funds may also

20 be used for such countries other than the new independent

21 states of the former Soviet Union and international organi22 zations when it is in the national security interest of the

23 United States to do so: Provided further, That such funds

24 shall be subject to the regular notification procedures of the

25 Committees on Appropriations: Provided further, That
31

HR 3540 EAS

1 funds appropriated under this heading may be made avail2 able for the International Atomic Energy Agency only if

3 the Secretary of State determines (and so reports to the

4 Congress) that Israel is not being denied its right to partici5 pate in the activities of that Agency: Provided further, That,

6 notwithstanding any prohibitions in this or any other Act

7 on direct or indirect assistance to North Korea, not more

8 than $25,000,000 may be made available to the Korean Pe9 ninsula Energy Development Organization (KEDO) only

10 for heavy fuel oil costs and other expenses associated with

11 the Agreed Framework, of which $13,000,000 shall be from

12 funds appropriated under this heading and $12,000,000

13 may be transferred from funds appropriated by this Act

14 under the headings ‘‘International Organization and Pro15 grams’’, ‘‘Foreign Military Financing Program’’, and

16 ‘‘Economic Support Fund’’: Provided further, That such

17 funds may be obligated to KEDO only if, prior to such obli18 gation of funds, the President certifies and so reports to

19 Congress that (1)(A) the United States is taking steps to

20 assure that progress is made on the implementation of the

21 January 1, 1992, Joint Declaration on the

22 Denuclearization of the Korean Peninsula and the imple23 mentation of the North-South dialogue, and (B) North

24 Korea is complying with the other provisions of the Agreed

25 Framework between North Korea and the United States and
32

HR 3540 EAS

1 with the Confidential Minute; (2) North Korea is cooperat2 ing fully in the canning and safe storage of all spent fuel

3 from its graphite-moderated nuclear reactors and that such

4 canning and safe storage is scheduled to be completed by

5 the end of fiscal year 1997; and (3) North Korea has not

6 significantly diverted assistance provided by the United

7 States for purposes for which such assistance was not in8 tended: Provided further, That the President may waive the

9 certification requirements of the preceding proviso if the

10 President deems it necessary in the vital national security

11 interests of the United States: Provided further, That no

12 funds may be obligated for KEDO until 30 calendar days

13 after the submission to Congress of the waiver permitted

14 under the preceding proviso: Provided further, That before

15 obligating any funds for KEDO, the President shall report

16 to Congress on (1) the cooperation of North Korea in the

17 process of returning to the United States the remains of

18 United States military personnel who are listed as missing

19 in action as a result of the Korean conflict (including con20 ducting joint field activities with the United States); (2)

21 violations of the military armistice agreement of 1953; (3)

22 the actions which the United States is taking and plans

23 to take to assure that North Korea is consistently taking

24 steps to implement the Joint Declaration on

25 Denuclearization of the Korean Peninsula and engage in
33

HR 3540 EAS

1 North-South dialogue; and (4) all instances of non-compli2 ance with the agreed framework between North Korea and

3 the United States and the Confidential Minute, including

4 diversion of heating fuel oil: Provided further, That the obli5 gation of such funds shall be subject to the regular notifica6 tion procedures of the Committees on Appropriations.

7 TITLE III—MILITARY ASSISTANCE

8 FUNDS APPROPRIATED TO THE PRESIDENT

9 INTERNATIONAL MILITARY EDUCATION AND TRAINING

10 For necessary expenses to carry out the provisions of

11 section 541 of the Foreign Assistance Act of 1961,

12 $40,000,000: Provided, That up to $100,000 of the funds

13 appropriated under this heading may be made available for

14 grant financed military education and training for any

15 high income country on the condition that that country

16 agrees to fund from its own resources the transportation

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

18 That the civilian personnel for whom military education

19 and training may be provided under this heading may also

20 include members of national legislatures who are respon21 sible for the oversight and management of the military, and

22 may also include individuals who are not members of a

23 government: Provided further, That none of the funds ap24 propriated under this heading shall be available for Zaire

25 and Guatemala: Provided further, That funds appropriated
34

HR 3540 EAS

1 under this heading for grant financed military education

2 and training for Indonesia may only be available for ex3 panded military education and training.

4 FOREIGN MILITARY FINANCING PROGRAM

5 (INCLUDING TRANSFERS OF FUNDS)

6 For expenses necessary for grants to enable the Presi7 dent to carry out the provisions of section 23 of the Arms

8 Export Control Act, $3,224,000,000: Provided, That of the

9 funds appropriated by this paragraph not less than

10 $1,800,000,000 shall be available for grants only for Israel,

11 and not less than $1,300,000,000 shall be available for

12 grants only for Egypt: Provided further, That the funds ap13 propriated by this paragraph for Israel shall be disbursed

14 within thirty days of enactment of this Act or by October

15 31, 1996, whichever is later: Provided further, That to the

16 extent that the Government of Israel requests that funds be

17 used for such purposes, grants made available for Israel by

18 this paragraph shall, as agreed by Israel and the United

19 States, be available for advanced weapons systems, of which

20 not less than $475,000,000 shall be available for the pro21 curement in Israel of defense articles and defense services,

22 including research and development: Provided further, That

23 Poland, Hungary, and the Czech Republic shall be des24 ignated as eligible for the program established under section

25 203(a) of the NATO Participation Act of 1994: Provided

26 further, That of the funds made available under this para-
35

HR 3540 EAS

1 graph, $30,000,000 shall be available for assistance on a

2 grant basis for Poland, Hungary, and the Czech Republic

3 to carry out title II of Public Law 103–477 and section

4 585 of Public Law 104–107: Provided further, That funds

5 made available under this paragraph shall be nonrepayable

6 notwithstanding any requirement in section 23 of the Arms

7 Export Control Act: Provided further, That, for the purpose

8 only of providing support for NATO expansion and the

9 Warsaw Initiative Program, of the funds appropriated by

10 this Act under the headings ‘‘Assistance for Eastern Europe

11 and the Baltic States’’ and ‘‘Assistance for the New Inde12 pendent States of the Former Soviet Union’’, up to a total

13 of $20,000,000 may be transferred, notwithstanding any

14 other provision of law, to the funds appropriated under this

15 paragraph: Provided further, That none of the funds made

16 available under this heading shall be available for any non17 NATO country participating in the Partnership for Peace

18 Program except through the regular notification procedures

19 of the Committees on Appropriations.

20 For the cost, as defined in section 502 of the Congres21 sional Budget Act of 1974, of direct loans authorized by

22 section 23 of the Arms Export Control Act as follows: cost

23 of direct loans, $60,000,000: Provided, That these funds are

24 available to subsidize gross obligations for the principal

25 amount of direct loans of not to exceed $540,000,000: Pro-
36

HR 3540 EAS

1 vided further, That the rate of interest charged on such

2 loans shall be not less than the current average market yield

3 on outstanding marketable obligations of the United States

4 of comparable maturities: Provided further, That of the

5 funds appropriated under this paragraph $20,000,000 shall

6 be made available to Poland, Hungary, and the Czech Re7 public: Provided further, That funds appropriated under

8 this heading shall be made available for Greece and Turkey

9 only on a loan basis, and the principal amount of direct

10 loans for each country shall not exceed the following:

11 $122,500,000 only for Greece and $175,000,000 only for

12 Turkey.

13 None of the funds made available under this heading

14 shall be available to finance the procurement of defense arti15 cles, defense services, or design and construction services

16 that are not sold by the United States Government under

17 the Arms Export Control Act unless the foreign country pro18 posing to make such procurements has first signed an agree19 ment with the United States Government specifying the

20 conditions under which such procurements may be financed

21 with such funds: Provided, That all country and funding

22 level increases in allocations shall be submitted through the

23 regular notification procedures of section 515 of this Act:

24 Provided further, That funds made available under this

25 heading shall be obligated upon apportionment in accord-
37

HR 3540 EAS

1 ance with paragraph (5)(C) of title 31, United States Code,

2 section 1501(a): Provided further, That none of the funds

3 appropriated under this heading shall be available for

4 Zaire, Sudan, Peru, Liberia, and Guatemala: Provided fur5 ther, That none of the funds appropriated or otherwise

6 made available for use under this heading may be made

7 available for Colombia or Bolivia until the Secretary of

8 State certifies that such funds will be used by such country

9 primarily for counternarcotics activities: Provided further,

10 That funds made available under this heading may be used,

11 notwithstanding any other provision of law, for activities

12 related to the clearance of landmines and unexploded ord13 nance, and may include activities implemented through

14 nongovernmental and international organizations: Pro15 vided further, That not more than $100,000,000 of the funds

16 made available under this heading shall be available for use

17 in financing the procurement of defense articles, defense

18 services, or design and construction services that are not

19 sold by the United States Government under the Arms Ex20 port Control Act to countries other than Israel and Egypt:

21 Provided further, That only those countries for which assist22 ance was justified for the ‘‘Foreign Military Sales Financ23 ing Program’’ in the fiscal year 1989 congressional presen24 tation for security assistance programs may utilize funds

25 made available under this heading for procurement of de-
38

HR 3540 EAS

1 fense articles, defense services or design and construction

2 services that are not sold by the United States Government

3 under the Arms Export Control Act: Provided further, That,

4 subject to the regular notification procedures of the Commit5 tees on Appropriations, funds made available under this

6 heading for the cost of direct loans may also be used to sup7 plement the funds available under this heading for grants,

8 and funds made available under this heading for grants

9 may also be used to supplement the funds available under

10 this heading for the cost of direct loans: Provided further,

11 That funds appropriated under this heading shall be ex12 pended at the minimum rate necessary to make timely pay13 ment for defense articles and services: Provided further,

14 That the Department of Defense shall conduct during the

15 current fiscal year nonreimbursable audits of private firms

16 whose contracts are made directly with foreign governments

17 and are financed with funds made available under this

18 heading (as well as subcontractors thereunder) as requested

19 by the Defense Security Assistance Agency: Provided fur20 ther, That not more than $23,250,000 of the funds appro21 priated under this heading may be obligated for necessary

22 expenses, including the purchase of passenger motor vehicles

23 for replacement only for use outside of the United States,

24 for the general costs of administering military assistance

25 and sales: Provided further, That not more than
39

HR 3540 EAS

1 $355,000,000 of funds realized pursuant to section

2 21(e)(1)(A) of the Arms Export Control Act may be obli3 gated for expenses incurred by the Department of Defense

4 during fiscal year 1997 pursuant to section 43(b) of the

5 Arms Export Control Act, except that this limitation may

6 be exceeded only through the regular notification procedures

7 of the Committees on Appropriations.

8 PEACEKEEPING OPERATIONS

9 For necessary expenses to carry out the provisions of

10 section 551 of the Foreign Assistance Act of 1961,

11 $65,000,000: Provided, That none of the funds appropriated

12 under this paragraph shall be obligated or expended except

13 as provided through the regular notification procedures of

14 the Committees on Appropriations.

15 TITLE IV—MULTILATERAL ECONOMIC

16 ASSISTANCE

17 FUNDS APPROPRIATED TO THE PRESIDENT

18 INTERNATIONAL FINANCIAL INSTITUTIONS

19 CONTRIBUTION TO THE GLOBAL ENVIRONMENT FACILITY

20 For payment to the International Bank for Recon21 struction and Development by the Secretary of the Treas22 ury, for the United States contribution to the Global Envi23 ronment Facility (GEF), $35,000,000, to remain available

24 until September 30, 1998.
40

HR 3540 EAS

1 CONTRIBUTION TO THE INTERIM TRUST FUND AT THE

2 INTERNATIONAL DEVELOPMENT ASSOCIATION

3 For payment to the Interim Trust Fund administered

4 by the International Development Association by the Sec5 retary of the Treasury, $700,000,000, to remain available

6 until expended.

7 CONTRIBUTION TO THE INTERNATIONAL FINANCE

8 CORPORATION

9 For payment to the International Finance Corpora10 tion by the Secretary of the Treasury, $6,656,000, for the

11 United States share of the increase in subscriptions to cap12 ital stock, to remain available until expended.

13 CONTRIBUTION TO THE INTER-AMERICAN DEVELOPMENT

14 BANK

15 For payment to the Inter-American Development Bank

16 by the Secretary of the Treasury, for the United States

17 share of the paid-in share portion of the increase in capital

18 stock, $25,610,667, and for the United States share of the

19 increase in the resources of the Fund for Special Oper20 ations, $10,000,000, to remain available until expended.

21 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

22 The United States Governor of the Inter-American De23 velopment Bank may subscribe without fiscal year limita24 tion to the callable capital portion of the United States

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

26 $1,503,718,910.
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HR 3540 EAS

1 CONTRIBUTION TO THE ENTERPRISE FOR THE AMERICAS

2 MULTILATERAL INVESTMENT FUND

3 For payment to the Enterprise for the Americas Multi4 lateral Investment Fund by the Secretary of the Treasury,

5 for the United States contribution to the Fund to be admin6 istered by the Inter-American Development Bank,

7 $27,500,000 to remain available until expended.

8 CONTRIBUTION TO THE ASIAN DEVELOPMENT BANK

9 For payment to the Asian Development Bank by the

10 Secretary of the Treasury for the United States share of

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

12 $13,221,596, to remain available until expended.

13 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

14 The United States Governor of the Asian Development

15 Bank may subscribe without fiscal year limitation to the

16 callable capital portion of the United States share of such

17 capital stock in an amount not to exceed $647,858,204.

18 CONTRIBUTION TO THE ASIAN DEVELOPMENT FUND

19 For the United States contribution by the Secretary

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

21 Development Fund, as authorized by the Asian Develop22 ment Bank Act, as amended (Public Law 89–369),

23 $100,000,000, to remain available until expended.
42

HR 3540 EAS

1 CONTRIBUTION TO THE EUROPEAN BANK FOR

2 RECONSTRUCTION AND DEVELOPMENT

3 For payment to the European Bank for Reconstruction

4 and Development by the Secretary of the Treasury,

5 $11,916,447, for the United States share of the paid-in

6 share portion of the initial capital subscription, to remain

7 available until expended.

8 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

9 The United States Governor of the European Bank for

10 Reconstruction and Development may subscribe without fis11 cal year limitation to the callable capital portion of the

12 United States share of such capital stock in an amount not

13 to exceed $27,805,043.

14 NORTH AMERICAN DEVELOPMENT BANK

15 For payment to the North American Development

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

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

18 $56,250,000, to remain available until expended.

19 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

20 The United States Governor of the North American De21 velopment Bank may subscribe without fiscal year limita22 tion to the callable capital portion of the United States

23 share of the capital stock of the North American Develop24 ment Bank in an amount not to exceed $318,750,000.
43

HR 3540 EAS

1 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

2 For necessary expenses to carry out the provisions of

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

4 section 2 of the United Nations Environment Program Par5 ticipation Act of 1973, $270,000,000: Provided, That none

6 of the funds appropriated under this heading shall be made

7 available for the United Nations Fund for Science and

8 Technology: Provided further, That not less than $3,000,000

9 of the funds appropriated under this heading shall be made

10 available for the World Food Program: Provided further,

11 That none of the funds appropriated under this heading

12 may be made available to the International Atomic Energy

13 Agency (IAEA): Provided further, That none of the funds

14 appropriated under this heading that are made available

15 to the United Nations Population Fund (UNFPA) shall be

16 made available for activities in the People’s Republic of

17 China: Provided further, That not more than $35,000,000

18 of the funds appropriated under this heading may be made

19 available to the UNFPA: Provided further, That not more

20 than one-half of this amount may be provided to UNFPA

21 before March 1, 1997, and that no later than February 15,

22 1997, the Secretary of State shall submit a report to the

23 Committees on Appropriations indicating the amount

24 UNFPA is budgeting for the People’s Republic of China in

25 1997: Provided further, That any amount UNFPA plans
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HR 3540 EAS

1 to spend in the People’s Republic of China in 1997 shall

2 be deducted from the amount of funds provided to UNFPA

3 after March 1, 1997 pursuant to the previous provisos: Pro4 vided further, That with respect to any funds appropriated

5 under this heading that are made available to UNFPA,

6 UNFPA shall be required to maintain such funds in a sepa7 rate account and not commingle them with any other funds.

8 TITLE V—GENERAL PROVISIONS

9 OBLIGATIONS DURING LAST MONTH OF AVAILABILITY

10 SEC. 501. Except for the appropriations entitled

11 ‘‘International Disaster Assistance’’, and ‘‘United States

12 Emergency Refugee and Migration Assistance Fund’’, not

13 more than 15 per centum of any appropriation item made

14 available by this Act shall be obligated during the last

15 month of availability.

16 PROHIBITION OF BILATERAL FUNDING FOR INTERNATIONAL

17 FINANCIAL INSTITUTIONS

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

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

20 209(d) of the Foreign Assistance Act of 1961.

21 LIMITATION ON RESIDENCE EXPENSES

22 SEC. 503. Of the funds appropriated or made available

23 pursuant to this Act, not to exceed $126,500 shall be for

24 official residence expenses of the Agency for International

25 Development during the current fiscal year: Provided, That

26 appropriate steps shall be taken to assure that, to the maxi-
45

HR 3540 EAS

1 mum extent possible, United States-owned foreign cur2 rencies are utilized in lieu of dollars.

3 LIMITATION ON EXPENSES

4 SEC. 504. Of the funds appropriated or made available

5 pursuant to this Act, not to exceed $5,000 shall be for enter6 tainment expenses of the Agency for International Develop7 ment during the current fiscal year.

8 LIMITATION ON REPRESENTATIONAL ALLOWANCES

9 SEC. 505. Of the funds appropriated or made available

10 pursuant to this Act, not to exceed $95,000 shall be avail11 able for representation allowances for the Agency for Inter12 national Development during the current fiscal year: Pro13 vided, That appropriate steps shall be taken to assure that,

14 to the maximum extent possible, United States-owned for15 eign currencies are utilized in lieu of dollars: Provided fur16 ther, That of the funds made available by this Act for gen17 eral costs of administering military assistance and sales

18 under the heading ‘‘Foreign Military Financing Program’’,

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

20 expenses and not to exceed $50,000 shall be available for

21 representation allowances: Provided further, That of the

22 funds made available by this Act under the heading ‘‘Inter23 national Military Education and Training’’, not to exceed

24 $50,000 shall be available for entertainment allowances:

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

26 Act for the Inter-American Foundation, not to exceed
46

HR 3540 EAS

1 $2,000 shall be available for entertainment and representa2 tion allowances: Provided further, That of the funds made

3 available by this Act for the Peace Corps, not to exceed a

4 total of $4,000 shall be available for entertainment expenses:

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

6 Act under the heading ‘‘Trade and Development Agency’’,

7 not to exceed $2,000 shall be available for representation

8 and entertainment allowances.

9 PROHIBITION ON FINANCING NUCLEAR GOODS

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

11 available (other than funds for ‘‘Nonproliferation, Anti-ter12 rorism, Demining and Related Programs’’) pursuant to this

13 Act, for carrying out the Foreign Assistance Act of 1961,

14 may be used, except for purposes of nuclear safety, to fi15 nance the export of nuclear equipment, fuel, or technology.

16 PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN

17 COUNTRIES

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

19 made available pursuant to this Act shall be obligated or

20 expended to finance directly any assistance or reparations

21 to Cuba, Iraq, Libya, North Korea, Iran, Serbia, Sudan,

22 or Syria: Provided, That for purposes of this section, the

23 prohibition on obligations or expenditures shall include di24 rect loans, credits, insurance and guarantees of the Export25 Import Bank or its agents.
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HR 3540 EAS

1 MILITARY COUPS

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

3 made available pursuant to this Act shall be obligated or

4 expended to finance directly any assistance to any country

5 whose duly elected Head of Government is deposed by mili6 tary coup or decree: Provided, That assistance may be re7 sumed to such country if the President determines and re8 ports to the Committees on Appropriations that subsequent

9 to the termination of assistance a democratically elected

10 government has taken office.

11 TRANSFERS BETWEEN ACCOUNTS

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

13 Act may be obligated under an appropriation account to

14 which they were not appropriated, except for transfers spe15 cifically provided for in this Act, unless the President, prior

16 to the exercise of any authority contained in the Foreign

17 Assistance Act of 1961 to transfer funds, consults with and

18 provides a written policy justification to the Committees

19 on Appropriations of the House of Representatives and the

20 Senate: Provided, That the exercise of such authority shall

21 be subject to the regular notification procedures of the Com22 mittees on Appropriations, except for transfers specifically

23 referred to in this Act.

24 DEOBLIGATION/REOBLIGATION AUTHORITY

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

26 1311 of the Supplemental Appropriations Act, 1955, as
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1 having been obligated against appropriations heretofore

2 made under the authority of the Foreign Assistance Act of

3 1961 for the same general purpose as any of the headings

4 under title II of this Act are, if deobligated, hereby contin5 ued available for the same period as the respective appro6 priations under such headings or until September 30, 1997,

7 whichever is later, and for the same general purpose, and

8 for countries within the same region as originally obligated:

9 Provided, That the Appropriations Committees of both

10 Houses of the Congress are notified fifteen days in advance

11 of the deobligation and reobligation of such funds in accord12 ance with regular notification procedures of the Committees

13 on Appropriations.

14 (b) Obligated balances of funds appropriated to carry

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

16 end of the fiscal year immediately preceding the current

17 fiscal year are, if deobligated, hereby continued available

18 during the current fiscal year for the same purpose under

19 any authority applicable to such appropriations under this

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

21 not be used in fiscal year 1997.

22 AVAILABILITY OF FUNDS

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

24 this Act shall remain available for obligation after the expi25 ration of the current fiscal year unless expressly so provided

26 in this Act: Provided, That funds appropriated for the pur-
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1 poses of chapters 1, 8 and 11 of part I, section 667, and

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

3 as amended, and funds provided under the heading ‘‘Assist4 ance for Eastern Europe and the Baltic States’’, shall re5 main available until expended if such funds are initially

6 obligated before the expiration of their respective periods of

7 availability contained in this Act: Provided further, That,

8 notwithstanding any other provision of this Act, any funds

9 made available for the purposes of chapter 1 of part I and

10 chapter 4 of part II of the Foreign Assistance Act of 1961

11 which are allocated or obligated for cash disbursements in

12 order to address balance of payments or economic policy

13 reform objectives, shall remain available until expended:

14 Provided further, That the report required by section 653(a)

15 of the Foreign Assistance Act of 1961 shall designate for

16 each country, to the extent known at the time of submission

17 of such report, those funds allocated for cash disbursement

18 for balance of payment and economic policy reform pur19 poses.

20 LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT

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

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

23 which is in default during a period in excess of one calendar

24 year in payment to the United States of principal or inter25 est on any loan made to such country by the United States

26 pursuant to a program for which funds are appropriated
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1 under this Act: Provided, That this section and section

2 620(q) of the Foreign Assistance Act of 1961 shall not apply

3 to funds made available in this Act or during the current

4 fiscal year for Nicaragua, and for any narcotics-related as5 sistance for Colombia, Bolivia, and Peru authorized by the

6 Foreign Assistance Act of 1961 or the Arms Export Control

7 Act.

8 COMMERCE AND TRADE

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

10 available pursuant to this Act for direct assistance and

11 none of the funds otherwise made available pursuant to this

12 Act to the Export-Import Bank and the Overseas Private

13 Investment Corporation shall be obligated or expended to

14 finance any loan, any assistance or any other financial

15 commitments for establishing or expanding production of

16 any commodity for export by any country other than the

17 United States, if the commodity is likely to be in surplus

18 on world markets at the time the resulting productive ca19 pacity is expected to become operative and if the assistance

20 will cause substantial injury to United States producers of

21 the same, similar, or competing commodity.

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

23 Act to carry out chapter 1 of part I of the Foreign Assist24 ance Act of 1961 shall be available for any testing or breed25 ing feasibility study, variety improvement or introduction,

26 consultancy, publication, conference, or training in connec-
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1 tion with the growth or production in a foreign country

2 of an agricultural commodity for export which would com3 pete with a similar commodity grown or produced in the

4 United States: Provided, That this subsection shall not pro5 hibit—

6 (1) activities designed to increase food security

7 in developing countries where such activities will not

8 have a significant impact in the export of agricul9 tural commodities of the United States; or

10 (2) research activities intended primarily to ben11 efit American producers.

12 SURPLUS COMMODITIES

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

14 the United States Executive Directors of the International

15 Bank for Reconstruction and Development, the Inter16 national Development Association, the International Fi17 nance Corporation, the Inter-American Development Bank,

18 the International Monetary Fund, the Asian Development

19 Bank, the Inter-American Investment Corporation, the

20 North American Development Bank, the European Bank for

21 Reconstruction and Development, the African Development

22 Bank, and the African Development Fund to use the voice

23 and vote of the United States to oppose any assistance by

24 these institutions, using funds appropriated or made avail25 able pursuant to this Act, for the production or extraction

26 of any commodity or mineral for export, if it is in surplus
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1 on world markets and if the assistance will cause substan2 tial injury to United States producers of the same, similar,

3 or competing commodity.

4 NOTIFICATION REQUIREMENTS

5 SEC. 515. For the purposes of providing the Executive

6 Branch with the necessary administrative flexibility, none

7 of the funds made available under this Act for ‘‘Develop8 ment Assistance’’, ‘‘Population, Development Assistance’’,

9 ‘‘International organizations and programs’’, ‘‘Trade and

10 Development Agency’’, ‘‘International narcotics control’’,

11 ‘‘Assistance for Eastern Europe and the Baltic States’’,

12 ‘‘Assistance for the New Independent States of the Former

13 Soviet Union’’, ‘‘Economic Support Fund’’, ‘‘Peacekeeping

14 operations’’, ‘‘Operating expenses of the Agency for Inter15 national Development’’, ‘‘Operating expenses of the Agency

16 for International Development Office of Inspector General’’,

17 ‘‘Nonproliferation, Anti-terrorism, Demining and Related

18 Programs’’, ‘‘Export-Import Bank of the United States’’,

19 ‘‘Foreign Military Financing Program’’, ‘‘International

20 military education and training’’, ‘‘Peace Corps’’, ‘‘Migra21 tion and refugee assistance’’, and for the ‘‘Inter-American

22 Foundation’’ and the ‘‘African Development Foundation’’,

23 shall be available for obligation for activities, programs,

24 projects, type of materiel assistance, countries, or other op25 erations not justified or in excess of the amount justified

26 to the Appropriations Committees for obligation under any
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1 of these specific headings unless the Appropriations Com2 mittees of both Houses of Congress are previously notified

3 fifteen days in advance: Provided, That the President shall

4 not enter into any commitment of funds appropriated for

5 the purposes of section 23 of the Arms Export Control Act

6 for the provision of major defense equipment, other than

7 conventional ammunition, or other major defense items de8 fined to be aircraft, ships, missiles, or combat vehicles, not

9 previously justified to Congress or 20 per centum in excess

10 of the quantities justified to Congress unless the Committees

11 on Appropriations are notified fifteen days in advance of

12 such commitment: Provided further, That this section shall

13 not apply to any reprogramming for an activity, program,

14 or project under chapter 1 of part I of the Foreign Assist15 ance Act of 1961 of less than 10 per centum of the amount

16 previously justified to the Congress for obligation for such

17 activity, program, or project for the current fiscal year:

18 Provided further, That the requirements of this section or

19 any similar provision of this Act or any other Act, includ20 ing any prior Act requiring notification in accordance with

21 the regular notification procedures of the Committees on

22 Appropriations, may be waived if failure to do so would

23 pose a substantial risk to human health or welfare: Provided

24 further, That in case of any such waiver, notification to

25 the Congress, or the appropriate congressional committees,
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1 shall be provided as early as practicable, but in no event

2 later than three days after taking the action to which such

3 notification requirement was applicable, in the context of

4 the circumstances necessitating such waiver: Provided fur5 ther, That any notification provided pursuant to such a

6 waiver shall contain an explanation of the emergency cir7 cumstances.

8 Drawdowns made pursuant to section 506(a)(2) of the

9 Foreign Assistance Act of 1961 shall be subject to the regu10 lar notification procedures of the Committees on Appropria11 tions.

12 LIMITATION ON AVAILABILITY OF FUNDS FOR

13 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

14 SEC. 516. Notwithstanding any other provision of law

15 or of this Act, none of the funds provided for ‘‘International

16 Organizations and Programs’’ shall be available for the

17 United States proportionate share, in accordance with sec18 tion 307(c) of the Foreign Assistance Act of 1961, for any

19 programs identified in section 307, or for Libya, Iran, or,

20 at the discretion of the President, Communist countries list21 ed in section 620(f) of the Foreign Assistance Act of 1961,

22 as amended: Provided, That, subject to the regular notifica23 tion procedures of the Committees on Appropriations, funds

24 appropriated under this Act or any previously enacted Act

25 making appropriations for foreign operations, export fi26 nancing, and related programs, which are returned or not
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1 made available for organizations and programs because of

2 the implementation of this section or any similar provision

3 of law, shall remain available for obligation through Sep4 tember 30, 1997.

5 ECONOMIC SUPPORT FUND ASSISTANCE FOR ISRAEL

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

7 peace process in the Middle East is vitally important to

8 United States security interests in the region. The Congress

9 recognizes that, in fulfilling its obligations under the Treaty

10 of Peace Between the Arab Republic of Egypt and the State

11 of Israel, done at Washington on March 26, 1979, Israel

12 incurred severe economic burdens. Furthermore, the Con13 gress recognizes that an economically and militarily secure

14 Israel serves the security interests of the United States, for

15 a secure Israel is an Israel which has the incentive and

16 confidence to continue pursuing the peace process. There17 fore, the Congress declares that, subject to the availability

18 of appropriations, it is the policy and the intention of the

19 United States that the funds provided in annual appropria20 tions for the Economic Support Fund which are allocated

21 to Israel shall not be less than the annual debt repayment

22 (interest and principal) from Israel to the United States

23 Government in recognition that such a principle serves

24 United States interests in the region.
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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 amend5 ed, may be used to pay for the performance of abortions

6 as a method of family planning or to motivate or coerce

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

8 available to carry out part I of the Foreign Assistance Act

9 of 1961, as amended, may be used to pay for the perform10 ance of involuntary sterilization as a method of family

11 planning or to coerce or provide any financial incentive

12 to any person to undergo sterilizations. None of the funds

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

14 Act of 1961, as amended, may be used to pay for any bio15 medical research which relates in whole or in part, to meth16 ods of, or the performance of, abortions or involuntary steri17 lization as a means of family planning. None of the funds

18 made available to carry out part I of the Foreign Assistance

19 Act of 1961, as amended, may be obligated or expended for

20 any country or organization if the President certifies that

21 the use of these funds by any such country or organization

22 would violate any of the above provisions related to abor23 tions and involuntary sterilizations: Provided, That none

24 of the funds made available under this Act may be used

25 to lobby for or against abortion.
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1 POPULATION PLANNING ASSISTANCE LIMITATIONS

2 SEC. 519. (a) PROHIBITION ON ABORTION FUNDING.—

3 None of the funds made available under this Act may be

4 used to pay for the performance of abortion as a method

5 of family planning, or to coerce or motivate any person to

6 practice abortions.

7 (b) PROHIBITION ON ABORTION LOBBYING.—None of

8 the funds made available under this Act may be used to

9 lobby for or against abortion.

10 (c) ELIGIBILITY.—In determining eligibility for assist11 ance from funds appropriated to carry out section 104 of

12 the Foreign Assistance Act of 1961, nongovernmental and

13 multilateral organizations shall not be subjected to require14 ments more restrictive than the requirements applicable to

15 foreign governments for such assistance.

16 REPORTING REQUIREMENT

17 SEC. 520. The President shall submit to the Commit18 tees on Appropriations the reports required by section

19 25(a)(1) of the Arms Export Control Act.

20 SPECIAL NOTIFICATION REQUIREMENTS

21 SEC. 521. None of the funds appropriated in this Act

22 shall be obligated or expended for Colombia, Guatemala,

23 Haiti, Liberia, Pakistan, Sudan, or Zaire except as pro24 vided through the regular notification procedures of the

25 Committees on Appropriations.
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1 DEFINITION OF PROGRAM, PROJECT, AND ACTIVITY

2 SEC. 522. For the purpose of this Act, ‘‘program,

3 project, and activity’’ shall be defined at the Appropriations

4 Act account level and shall include all Appropriations and

5 Authorizations Acts earmarks, ceilings, and limitations

6 with the exception that for the following accounts: Economic

7 Support Fund and Foreign Military Financing Program,

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

9 to include country, regional, and central program level

10 funding within each such account; for the development as11 sistance accounts of the Agency for International Develop12 ment ‘‘program, project, and activity’’ shall also be consid13 ered to include central program level funding, either as (1)

14 justified to the Congress, or (2) allocated by the executive

15 branch in accordance with a report, to be provided to the

16 Committees on Appropriations within thirty days of enact17 ment of this Act, as required by section 653(a) of the For18 eign Assistance Act of 1961.

19 CHILD SURVIVAL AND AIDS ACTIVITIES

20 SEC. 523. Up to $8,000,000 of the funds made avail21 able by this Act for assistance for family planning, health,

22 child survival, and AIDS, may be used to reimburse United

23 States Government agencies, agencies of State governments,

24 institutions of higher learning, and private and voluntary

25 organizations for the full cost of individuals (including for

26 the personal services of such individuals) detailed or as-
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1 signed to, or contracted by, as the case may be, the Agency

2 for International Development for the purpose of carrying

3 out family planning activities, child survival activities and

4 activities relating to research on, and the treatment and

5 control of, acquired immune deficiency syndrome in devel6 oping countries: Provided, That funds appropriated by this

7 Act that are made available for child survival activities or

8 activities relating to research on, and the treatment and

9 control of, acquired immune deficiency syndrome may be

10 made available notwithstanding any provision of law that

11 restricts assistance to foreign countries: Provided further,

12 That funds appropriated by this Act that are made avail13 able for family planning activities may be made available

14 notwithstanding section 512 of this Act and section 620(q)

15 of the Foreign Assistance Act of 1961.

16 PROHIBITION AGAINST INDIRECT FUNDING TO CERTAIN

17 COUNTRIES

18 SEC. 524. None of the funds appropriated or otherwise

19 made available pursuant to this Act shall be obligated to

20 finance indirectly any assistance or reparations to Cuba,

21 Iraq, Libya, Iran, Syria, North Korea, or the People’s Re22 public of China, unless the President of the United States

23 certifies that the withholding of these funds is contrary to

24 the national interest of the United States.
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1 RECIPROCAL LEASING

2 SEC. 525. Section 61(a) of the Arms Export Control

3 Act is amended by striking out ‘‘1996’’ and inserting in

4 lieu thereof ‘‘1997’’.

5 NOTIFICATION ON EXCESS DEFENSE EQUIPMENT

6 SEC. 526. Prior to providing excess Department of De7 fense articles in accordance with section 516(a) of the For8 eign Assistance Act of 1961, the Department of Defense shall

9 notify the Committees on Appropriations to the same extent

10 and under the same conditions as are other committees pur11 suant to subsection (c) of that section: Provided, That before

12 issuing a letter of offer to sell excess defense articles under

13 the Arms Export Control Act, the Department of Defense

14 shall notify the Committees on Appropriations in accord15 ance with the regular notification procedures of such Com16 mittees: Provided further, That such Committees shall also

17 be informed of the original acquisition cost of such defense

18 articles.

19 AUTHORIZATION REQUIREMENT

20 SEC. 527. Funds appropriated by this Act may be obli21 gated and expended notwithstanding section 10 of Public

22 Law 91–672 and section 15 of the State Department Basic

23 Authorities Act of 1956.
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1 PROHIBITION ON BILATERAL ASSISTANCE TO TERRORIST

2 COUNTRIES

3 SEC. 528. (a) Notwithstanding any other provision of

4 law, funds appropriated for bilateral assistance under any

5 heading of this Act and funds appropriated under any such

6 heading in a provision of law enacted prior to enactment

7 of this Act, shall not be made available to any country

8 which the President determines—

9 (1) grants sanctuary from prosecution to any in10 dividual or group which has committed an act of

11 international terrorism, or

12 (2) otherwise supports international terrorism.

13 (b) The President may waive the application of sub14 section (a) to a country if the President determines that

15 national security or humanitarian reasons justify such

16 waiver. The President shall publish each waiver in the Fed17 eral Register and, at least fifteen days before the waiver

18 takes effect, shall notify the Committees on Appropriations

19 of the waiver (including the justification for the waiver)

20 in accordance with the regular notification procedures of

21 the Committees on Appropriations.

22 COMMERCIAL LEASING OF DEFENSE ARTICLES

23 SEC. 529. Notwithstanding any other provision of law,

24 and subject to the regular notification procedures of the

25 Committees on Appropriations, the authority of section

26 23(a) of the Arms Export Control Act may be used to pro-
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1 vide financing to Israel, Egypt and NATO and major non2 NATO allies for the procurement by leasing (including leas3 ing with an option to purchase) of defense articles from

4 United States commercial suppliers, not including Major

5 Defense Equipment (other than helicopters and other types

6 of aircraft having possible civilian application), if the

7 President determines that there are compelling foreign pol8 icy or national security reasons for those defense articles

9 being provided by commercial lease rather than by govern10 ment-to-government sale under such Act.

11 COMPETITIVE INSURANCE

12 SEC. 530. All Agency for International Development

13 contracts and solicitations, and subcontracts entered into

14 under such contracts, shall include a clause requiring that

15 United States insurance companies have a fair opportunity

16 to bid for insurance when such insurance is necessary or

17 appropriate.

18 STINGERS IN THE PERSIAN GULF REGION

19 SEC. 531. Except as provided in section 581 of the For20 eign Operations, Export Financing, and Related Programs

21 Appropriations Act, 1990, the United States may not sell

22 or otherwise make available any Stingers to any country

23 bordering the Persian Gulf under the Arms Export Control

24 Act or chapter 2 of part II of the Foreign Assistance Act

25 of 1961.
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1 DEBT-FOR-DEVELOPMENT

2 SEC. 532. In order to enhance the continued participa3 tion of nongovernmental organizations in economic assist4 ance activities under the Foreign Assistance Act of 1961,

5 including endowments, debt-for-development and debt-for6 nature exchanges, a nongovernmental organization which

7 is a grantee or contractor of the Agency for International

8 Development may place in interest bearing accounts funds

9 made available under this Act or prior Acts or local cur10 rencies which accrue to that organization as a result of eco11 nomic assistance provided under title II of this Act and

12 any interest earned on such investment may be used for

13 the purpose for which the assistance was provided to that

14 organization.

15 COMPETITIVE PRICING FOR SALES OF DEFENSE ARTICLES

16 SEC. 533. Direct costs associated with meeting a for17 eign customer’s additional or unique requirements will con18 tinue to be allowable under contracts under section 22(d)

19 of the Arms Export Control Act. Loadings applicable to

20 such direct costs shall be permitted at the same rates appli21 cable to procurement of like items purchased by the Depart22 ment of Defense for its own use.

23 SEPARATE ACCOUNTS

24 SEC. 534. (a) SEPARATE ACCOUNTS FOR LOCAL CUR25 RENCIES.—(1) If assistance is furnished to the government

26 of a foreign country under chapters 1 and 10 of part I or
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1 chapter 4 of part II of the Foreign Assistance Act of 1961

2 under agreements which result in the generation of local

3 currencies of that country, the Administrator of the Agency

4 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 government

15 the responsibilities of the Agency for International

16 Development and that government to monitor and ac17 count for deposits into and disbursements from the

18 separate account.

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

20 upon with the foreign government, local currencies depos21 ited in a separate account pursuant to subsection (a), or

22 an equivalent amount of local currencies, shall be used

23 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 for

10 International Development shall take all appropriate steps

11 to ensure that the equivalent of the local currencies dis12 bursed pursuant to subsection (a)(2)(A) from the separate

13 account established pursuant to subsection (a)(1) are used

14 for the purposes agreed upon pursuant to subsection (a)(2).

15 (4) TERMINATION OF ASSISTANCE PROGRAMS.—Upon

16 termination of assistance to a country under chapters 1 or

17 10 of part I or chapter 4 of part II (as the case may be),

18 any unencumbered balances of funds which remain in a

19 separate account established pursuant to subsection (a)

20 shall be disposed of for such purposes as may be agreed to

21 by the government of that country and the United States

22 Government.

23 (5) CONFORMING AMENDMENTS.—The provisions of

24 this subsection shall supersede the tenth and eleventh provi25 sos contained under the heading ‘‘Sub-Saharan Africa, De-
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1 velopment Assistance’’ as included in the Foreign Oper2 ations, Export Financing, and Related Programs Appro3 priations Act, 1989 and sections 531(d) and 609 of the For4 eign Assistance Act of 1961.

5 (b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.—(1)

6 If assistance is made available to the government of a for7 eign country, under chapters 1 or 10 of part I or chapter

8 4 of part II of the Foreign Assistance Act of 1961, as cash

9 transfer assistance or as nonproject sector assistance, that

10 country shall be required to maintain such funds in a sepa11 rate account and not commingle them with any other funds.

12 (2) APPLICABILITY OF OTHER PROVISIONS OF LAW.—

13 Such funds may be obligated and expended notwithstanding

14 provisions of law which are inconsistent with the nature

15 of this assistance including provisions which are referenced

16 in the Joint Explanatory Statement of the Committee of

17 Conference accompanying House Joint Resolution 648 (H.

18 Report No. 98–1159).

19 (3) NOTIFICATION.—At least fifteen days prior to obli20 gating any such cash transfer or nonproject sector assist21 ance, the President shall submit a notification through the

22 regular notification procedures of the Committees on Appro23 priations, which shall include a detailed description of how

24 the funds proposed to be made available will be used, with

25 a discussion of the United States interests that will be
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1 served by the assistance (including, as appropriate, a de2 scription of the economic policy reforms that will be pro3 moted by such assistance).

4 (4) EXEMPTION.—Nonproject sector assistance funds

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

6 only through the notification procedures of the Committees

7 on Appropriations.

8 COMPENSATION FOR UNITED STATES EXECUTIVE

9 DIRECTORS TO INTERNATIONAL FINANCIAL INSTITUTIONS

10 SEC. 535. (a) No funds appropriated by this Act may

11 be made as payment to any international financial institu12 tion while the United States Executive Director to such in13 stitution is compensated by the institution at a rate which,

14 together with whatever compensation such Director receives

15 from the United States, is in excess of the rate provided

16 for an individual occupying a position at level IV of the

17 Executive Schedule under section 5315 of title 5, United

18 States Code, or while any alternate United States Director

19 to such institution is compensated by the institution at a

20 rate in excess of the rate provided for an individual occupy21 ing a position at level V of the Executive Schedule under

22 section 5316 of title 5, United States Code.

23 (b) For purposes of this section, ‘‘international finan24 cial institutions’’ are: the International Bank for Recon25 struction and Development, the Inter-American Develop26 ment Bank, the Asian Development Bank, the Asian Devel-
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1 opment Fund, the African Development Bank, the African

2 Development Fund, the International Monetary Fund, the

3 North American Development Bank, and the European

4 Bank for Reconstruction and Development.

5 COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST

6 IRAQ

7 SEC. 536. (a) DENIAL OF ASSISTANCE.—None of the

8 funds appropriated or otherwise made available pursuant

9 to this Act to carry out the Foreign Assistance Act of 1961

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

11 Overseas Private Investment Corporation) or the Arms Ex12 port Control Act may be used to provide assistance to any

13 country that is not in compliance with the United Nations

14 Security Council sanctions against Iraq, Serbia or

15 Montenegro unless the President determines and so certifies

16 to the Congress that—

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

18 the United States;

19 (2) such assistance will directly benefit the needy

20 people in that country; or

21 (3) the assistance to be provided will be humani22 tarian assistance for foreign nationals who have fled

23 Iraq and Kuwait.

24 (b) IMPORT SANCTIONS.—If the President considers

25 that the taking of such action would promote the effective26 ness of the economic sanctions of the United Nations and
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1 the United States imposed with respect to Iraq, Serbia, or

2 Montenegro, as the case may be, and is consistent with the

3 national interest, the President may prohibit, for such a

4 period of time as he considers appropriate, the importation

5 into the United States of any or all products of any foreign

6 country that has not prohibited—

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

8 or Montenegro into its customs territory, and

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

10 Montenegro, as the case may be.

11 POW/MIA MILITARY DRAWDOWN

12 SEC. 537. (a) Notwithstanding any other provision of

13 law, the President may direct the drawdown, without reim14 bursement by the recipient, of defense articles from the

15 stocks of the Department of Defense, defense services of the

16 Department of Defense, and military education and train17 ing, of an aggregate value not to exceed $15,000,000 in fis18 cal year 1997, as may be necessary to carry out subsection

19 (b).

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

21 be provided to Vietnam, Cambodia and Laos, under sub22 section (a) as the President determines are necessary to sup23 port efforts to locate and repatriate members of the United

24 States Armed Forces and civilians employed directly or in25 directly by the United States Government who remain un26 accounted for from the Vietnam War, and to ensure the safe-
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1 ty of United States Government personnel engaged in such

2 cooperative efforts and to support United States Depart3 ment of Defense-sponsored humanitarian projects associated

4 with the POW/MIA efforts. Any aircraft shall be provided

5 under this section only to Laos and only on a lease or loan

6 basis, but may be provided at no cost notwithstanding sec7 tion 61 of the Arms Export Control Act and may be main8 tained with defense articles, services and training provided

9 under this section.

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

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

12 is exercised, submit a report to the Congress which identifies

13 the articles, services, and training drawn down under this

14 section.

15 MEDITERRANEAN EXCESS DEFENSE ARTICLES

16 SEC. 538. For the four year period beginning on Octo17 ber 1, 1996, the President shall ensure that excess defense

18 articles will be made available under section 516 and 519

19 of the Foreign Assistance Act of 1961 consistent with the

20 manner in which the President made available excess de21 fense articles under those sections during the four year pe22 riod that began on October 1, 1992, pursuant to section

23 573(e) of the Foreign Operations, Export Financing, Relat24 ed Programs Appropriations Act, 1990.
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1 CASH FLOW FINANCING

2 SEC. 539. 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 pur7 chase agreement, or any amendment thereto, for a procure8 ment in excess of $100,000,000 that is to be financed in

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

10 shall be submitted through the regular notification proce11 dures to the Committees on Appropriations.

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

14 FOUNDATION

15 SEC. 540. 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. 541. 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 induce8 ment is likely to reduce the number of employees of

9 such business enterprise in the United States because

10 United States production is being replaced by such

11 enterprise outside the United States;

12 (b) assistance for the purpose of establishing or

13 developing in a foreign country any export processing

14 zone or designated area in which the tax, tariff, labor,

15 environment, and safety laws of that country do not

16 apply, in part or in whole, to activities carried out

17 within that zone or area, unless the President deter18 mines and certifies that such assistance is not likely

19 to cause a loss of jobs within the United States; or

20 (c) assistance for any project or activity that

21 contributes to the violation of internationally recog22 nized workers rights, as defined in section 502(a)(4)

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

24 country, including any designated zone or area in

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

2 with the level of development of the recipient country

3 and sector, the provisions of this subsection shall not

4 preclude assistance for the informal sector in such

5 country, micro and small-scale enterprise, and

6 smallholder agriculture.

7 AUTHORITY TO ASSIST BOSNIA AND HERZEGOVINA

8 SEC. 542. (a) The President is authorized to direct the

9 transfer, subject to prior notification of the Committees on

10 Appropriations, to the government of Bosnia and

11 Herzegovina, without reimbursement, of defense articles

12 from the stocks of the Department of Defense and defense

13 services of the Department of Defense of an aggregate value

14 of not to exceed $100,000,000 in fiscal years 1996 and 1997:

15 Provided, That the President certifies in a timely fashion

16 to the Congress that the transfer of such articles would assist

17 that nation in self-defense and thereby promote the security

18 and stability of the region.

19 (b) Within 60 days of any transfer under the authority

20 provided in subsection (a), and every 60 days thereafter,

21 the President shall report in writing to the Speaker of the

22 House of Representatives and the President pro tempore of

23 the Senate concerning the articles transferred and the dis24 position thereof.

25 (c) There are authorized to be appropriated to the

26 President such sums as may be necessary to reimburse the
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1 applicable appropriation, fund, or account for defense arti2 cles provided under this section.

3 RESTRICTIONS ON THE TERMINATION OF SANCTIONS

4 AGAINST SERBIA AND MONTENEGRO

5 SEC. 543. (a) RESTRICTIONS.—Notwithstanding any

6 other provision of law, no sanction, prohibition, or require7 ment described in section 1511 of the National Defense Au8 thorization Act for Fiscal Year 1994 (Public Law 103–160),

9 with respect to Serbia or Montenegro, may cease to be effec10 tive, unless—

11 (1) the President first submits to the Congress a

12 certification described in subsection (b); and

13 (2) the requirements of section 1511 of that Act

14 are met.

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

16 subsection is a certification that—

17 (1) there is substantial progress toward—

18 (A) the realization of a separate identity for

19 Kosova and the right of the people of Kosova to

20 govern themselves; or

21 (B) the creation of an international protec22 torate for Kosova;

23 (2) there is substantial improvement in the

24 human rights situation in Kosova;

25 (3) international human rights observers are al26 lowed to return to Kosova; and
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1 (4) the elected government of Kosova is permitted

2 to meet and carry out its legitimate mandate as elect3 ed representatives of the people of Kosova.

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

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

6 President certifies to the Congress that the President has

7 determined that the waiver is necessary to meet emergency

8 humanitarian needs or to achieve a negotiated settlement

9 of the conflict in Bosnia-Herzegovina that is acceptable to

10 the parties.

11 SPECIAL AUTHORITIES

12 SEC. 544. (a) Funds appropriated in title II of this

13 Act that are made available for Afghanistan, Lebanon, and

14 Cambodia, and for victims of war, displaced children, dis15 placed Burmese, humanitarian assistance for Romania,

16 and humanitarian assistance for the peoples of Bosnia and

17 Herzegovina, Croatia, and Kosova, may be made available

18 notwithstanding any other provision of law: Provided, That

19 any such funds that are made available for Cambodia shall

20 be subject to the provisions of section 531(e) of the Foreign

21 Assistance Act of 1961 and section 906 of the International

22 Security and Development Cooperation Act of 1985: Pro23 vided further, That none of the funds appropriated by this

24 Act may be made available, and funds previously obligated

25 may not be expended, for assistance for any country or or-
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1 ganization that the Secretary of State determines is cooper2 ating, tactically or strategically, with the Khmer Rouge in

3 their military operations, or to the military of any country

4 that is not acting vigorously to prevent its members from

5 facilitating the export of timber from Cambodia by the

6 Khmer Rouge: Provided further, That the Secretary of State

7 shall submit reports to the Committees on Appropriations

8 on February 15, 1997 and September 15, 1997, on whether

9 there are any countries, organizations, or militaries for

10 which assistance is prohibited under the previous proviso,

11 the basis for such conclusions and, if appropriate, the steps

12 being taken to terminate assistance.

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

14 provisions of sections 103 through 106 of the Foreign Assist15 ance Act of 1961 may be used, notwithstanding any other

16 provision of law, for the purpose of supporting tropical for17 estry and energy programs aimed at reducing emissions of

18 greenhouse gases, and for the purpose of supporting bio19 diversity conservation activities: Provided, That such as20 sistance shall be subject to sections 116, 502B, and 620A

21 of the Foreign Assistance Act of 1961.

22 (c) During fiscal year 1997, the President may use up

23 to $40,000,000 under the authority of section 451 of the

24 Foreign Assistance Act of 1961, notwithstanding the fund25 ing ceiling contained in subsection (a) of that section.
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1 (d) The Agency for International Development may

2 employ personal services contractors, notwithstanding any

3 other provision of law, for the purpose of administering pro4 grams for the West Bank and Gaza.

5 POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT OF

6 ISRAEL

7 SEC. 545. It is the sense of the Congress that—

8 (1) the Arab League countries should imme9 diately and publicly renounce the primary boycott of

10 Israel and the secondary and tertiary boycott of

11 American firms that have commercial ties with Israel;

12 and

13 (2) the President should—

14 (A) take more concrete steps to encourage

15 vigorously Arab League countries to renounce

16 publicly the primary boycotts of Israel and the

17 secondary and tertiary boycotts of American

18 firms that have commercial relations with Israel

19 as a confidence-building measure;

20 (B) take into consideration the participa21 tion of any recipient country in the primary

22 boycott of Israel and the secondary and tertiary

23 boycotts of American firms that have commercial

24 relations with Israel when determining whether

25 to sell weapons to said country;
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1 (C) report to Congress on the specific steps

2 being taken by the President to bring about a

3 public renunciation of the Arab primary boycott

4 of Israel and the secondary and tertiary boycotts

5 of American firms that have commercial rela6 tions with Israel; and

7 (D) encourage the allies and trading part8 ners of the United States to enact laws prohibit9 ing businesses from complying with the boycott

10 and penalizing businesses that do comply.

11 ANTI-NARCOTICS ACTIVITIES

12 SEC. 546. (a) Of the funds appropriated or otherwise

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

14 assistance may be provided to strengthen the administra15 tion of justice in countries in Latin America and the Carib16 bean in accordance with the provisions of section 534 of

17 the Foreign Assistance Act of 1961, except that programs

18 to enhance protection of participants in judicial cases may

19 be conducted notwithstanding section 660 of that Act.

20 (b) Funds made available pursuant to this section may

21 be made available notwithstanding the third sentence of sec22 tion 534(e) of the Foreign Assistance Act of 1961. Funds

23 made available pursuant to subsection (a) for Bolivia, Co24 lombia and Peru may be made available notwithstanding

25 section 534(c) and the second sentence of section 534(e) of

26 the Foreign Assistance Act of 1961.
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1 ELIGIBILITY FOR ASSISTANCE

2 SEC. 547. (a) ASSISTANCE THROUGH NONGOVERN3 MENTAL ORGANIZATIONS.—Restrictions contained in this

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

5 shall not be construed to restrict assistance in support of

6 programs of nongovernmental organizations from funds ap7 propriated by this Act to carry out the provisions of chap8 ters 1 and 10 of part I of the Foreign Assistance Act of

9 1961: Provided, That the President shall take into consider10 ation, in any case in which a restriction on assistance

11 would be applicable but for this subsection, whether assist12 ance in support of programs of nongovernmental organiza13 tions is in the national interest of the United States: Pro14 vided further, That before using the authority of this sub15 section to furnish assistance in support of programs of non16 governmental organizations, the President shall notify the

17 Committees on Appropriations under the regular notifica18 tion procedures of those committees, including a description

19 of the program to be assisted, the assistance to be provided,

20 and the reasons for furnishing such assistance: Provided

21 further, That nothing in this subsection shall be construed

22 to alter any existing statutory prohibitions against abortion

23 or involuntary sterilizations contained in this or any other

24 Act.
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1 (b) PUBLIC LAW 480.—During fiscal year 1997, re2 strictions contained in this or any other Act with respect

3 to assistance for a country shall not be construed to restrict

4 assistance under the Agricultural Trade Development and

5 Assistance Act of 1954: Provided, That none of the funds

6 appropriated to carry out title I of such Act and made

7 available pursuant to this subsection may be obligated or

8 expended except as provided through the regular notifica9 tion procedures of the Committees on Appropriations.

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

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

12 Assistance Act or any comparable provision of law

13 prohibiting assistance to countries that support inter14 national terrorism; or

15 (2) with respect to section 116 of the Foreign As16 sistance Act of 1961 or any comparable provision of

17 law prohibiting assistance to countries that violate

18 internationally recognized human rights.

19 EARMARKS

20 SEC. 548. (a) Funds appropriated by this Act which

21 are earmarked may be reprogrammed for other programs

22 within the same account notwithstanding the earmark if

23 compliance with the earmark is made impossible by oper24 ation of any provision of this or any other Act or, with

25 respect to a country with which the United States has an

26 agreement providing the United States with base rights or
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1 base access in that country, if the President determines that

2 the recipient for which funds are earmarked has signifi3 cantly reduced its military or economic cooperation with

4 the United States since enactment of the Foreign Oper5 ations, Export Financing, and Related Programs Appro6 priations Act, 1991; however, before exercising the authority

7 of this subsection with regard to a base rights or base access

8 country which has significantly reduced its military or eco9 nomic cooperation with the United States, the President

10 shall consult with, and shall provide a written policy jus11 tification to the Committees on Appropriations: Provided,

12 That any such reprogramming shall be subject to the regu13 lar notification procedures of the Committees on Appropria14 tions: Provided further, That assistance that is repro15 grammed pursuant to this subsection shall be made avail16 able under the same terms and conditions as originally pro17 vided.

18 (b) In addition to the authority contained in sub19 section (a), the original period of availability of funds ap20 propriated by this Act and administered by the Agency for

21 International Development that are earmarked for particu22 lar programs or activities by this or any other Act shall

23 be extended for an additional fiscal year if the Adminis24 trator of such agency determines and reports promptly to

25 the Committees on Appropriations that the termination of
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1 assistance to a country or a significant change in cir2 cumstances makes it unlikely that such earmarked funds

3 can be obligated during the original period of availability:

4 Provided, That such earmarked funds that are continued

5 available for an additional fiscal year shall be obligated

6 only for the purpose of such earmark.

7 CEILINGS AND EARMARKS

8 SEC. 549. Ceilings and earmarks contained in this Act

9 shall not be applicable to funds or authorities appropriated

10 or otherwise made available by any subsequent Act unless

11 such Act specifically so directs.

12 EXCESS DEFENSE ARTICLES

13 SEC. 550. (a) During fiscal year 1997, the authority

14 of section 519 of the Foreign Assistance Act of 1961, as

15 amended, may be used to provide nonlethal excess defense

16 articles to countries for which United States foreign assist17 ance has been requested and for which receipt of such arti18 cles was separately justified for the fiscal year, without re19 gard to the restrictions in subsection (a) of section 519.

20 (b) During fiscal year 1997, the authority of section

21 516 of the Foreign Assistance Act of 1961, as amended, may

22 be used to provide defense articles to Jordan, Tunisia, Esto23 nia, Latvia, Lithuania, and to countries eligible to partici24 pate in the Partnership for Peace and to receive assistance

25 under Public Law 101–179: Provided, That not later than

26 May 1, 1997, the Secretary of State shall submit a report
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1 to the Committees on Appropriations describing actions by

2 the Government of Tunisia during the previous six months

3 to improve respect for civil liberties and promote the inde4 pendence of the judiciary.

5 (c) Section 516(f) of the Foreign Assistance Act of

6 1961, as amended, is repealed.

7 (d) Section 31(d) of the Arms Export Control Act is

8 amended by deleting the words ‘‘or pursuant to sales under

9 this Act’’.

10 PROHIBITION ON PUBLICITY OR PROPAGANDA

11 SEC. 551. No part of any appropriation contained in

12 this Act shall be used for publicity or propaganda purposes

13 within the United States not authorized before the date of

14 enactment of this Act by the Congress: Provided, That not

15 to exceed $750,000 may be made available to carry out the

16 provisions of section 316 of Public Law 96–533.

17 USE OF AMERICAN RESOURCES

18 SEC. 552. To the maximum extent possible, assistance

19 provided under this Act should make full use of American

20 resources, including commodities, products, and services.

21 PROHIBITION OF PAYMENTS TO UNITED NATIONS MEMBERS

22 SEC. 553. None of the funds appropriated or made

23 available pursuant to this Act for carrying out the Foreign

24 Assistance Act of 1961, may be used to pay in whole or

25 in part any assessments, arrearages, or dues of any member

26 of the United Nations.
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1 CONSULTING SERVICES

2 SEC. 554. The expenditure of any appropriation under

3 this Act for any consulting service through procurement

4 contract, pursuant to section 3109 of title 5, United States

5 Code, shall be limited to those contracts where such expendi6 tures are a matter of public record and available for public

7 inspection, except where otherwise provided under existing

8 law, or under existing Executive order pursuant to existing

9 law.

10 PRIVATE VOLUNTARY ORGANIZATIONS—DOCUMENTATION

11 SEC. 555. None of the funds appropriated or made

12 available pursuant to this Act shall be available to a private

13 voluntary organization which fails to provide upon timely

14 request any document, file, or record necessary to the audit15 ing requirements of the Agency for International Develop16 ment.

17 PROHIBITION ON ASSISTANCE TO FOREIGN GOVERNMENTS

18 THAT EXPORT LETHAL MILITARY EQUIPMENT TO

19 COUNTRIES SUPPORTING INTERNATIONAL TERRORISM

20 SEC. 556. (a) None of the funds appropriated or other21 wise made available by this Act may be available to any

22 foreign government which provides lethal military equip23 ment to a country the government of which the Secretary

24 of State has determined is a terrorist government for pur25 poses of section 40(d) of the Arms Export Control Act. The

26 prohibition under this section with respect to a foreign gov-
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1 ernment shall terminate 12 months after that government

2 ceases to provide such military equipment. This section ap3 plies with respect to lethal military equipment provided

4 under a contract entered into after the date of enactment

5 of this Act.

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

7 similar provision of law, may be furnished if the President

8 determines that furnishing such assistance is important to

9 the national interests of the United States.

10 (c) Whenever the waiver of subsection (b) is exercised,

11 the President shall submit to the appropriate congressional

12 committees a report with respect to the furnishing of such

13 assistance. Any such report shall include a detailed expla14 nation of the assistance to be provided, including the esti15 mated dollar amount of such assistance, and an expla16 nation of how the assistance furthers United States national

17 interests.

18 WITHHOLDING OF ASSISTANCE FOR PARKING FINES OWED

19 BY FOREIGN COUNTRIES

20 SEC. 557. (a) IN GENERAL.—Of the funds made avail21 able for a foreign country under part I of the Foreign As22 sistance Act of 1961, an amount equivalent to 110 percent

23 of the total unpaid fully adjudicated parking fines and pen24 alties owed to the District of Columbia by such country as

25 of the date of enactment of this Act shall be withheld from

26 obligation for such country until the Secretary of State cer-
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1 tifies and reports in writing to the appropriate congres2 sional committees that such fines and penalties are fully

3 paid to the government of the District of Columbia.

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

5 term ‘‘appropriate congressional committees’’ means the

6 Committee on Foreign Relations and the Committee on Ap7 propriations of the Senate and the Committee on Inter8 national Relations and the Committee on Appropriations

9 of the House of Representatives.

10 LIMITATION ON ASSISTANCE FOR THE PLO FOR THE WEST

11 BANK AND GAZA

12 SEC. 558. None of the funds appropriated by this Act

13 may be obligated for assistance for the Palestine Liberation

14 Organization for the West Bank and Gaza unless the Presi15 dent has exercised the authority under section 604(a) of the

16 Middle East Peace Facilitation Act of 1995 (title VI of Pub17 lic Law 104–107) or any other legislation to suspend or

18 make inapplicable section 307 of the Foreign Assistance Act

19 of 1961 and that suspension is still in effect: Provided, That

20 if the President fails to make the certification under section

21 604(b)(2) of the Middle East Peace Facilitation Act of 1995

22 or to suspend the prohibition under other legislation, funds

23 appropriated by this Act may not be obligated for assistance

24 for the Palestine Liberation Organization for the West Bank

25 and Gaza.
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1 EXPORT FINANCING TRANSFER AUTHORITIES

2 SEC. 559. Not to exceed 5 percent of any appropriation

3 other than for administrative expenses made available for

4 fiscal year 1997 for programs under title I of this Act may

5 be transferred between such appropriations for use for any

6 of the purposes, programs and activities for which the funds

7 in such receiving account may be used, but no such appro8 priation, except as otherwise specifically provided, shall be

9 increased by more than 25 percent by any such transfer:

10 Provided, That the exercise of such authority shall be subject

11 to the regular notification procedures of the Committees on

12 Appropriations.

13 WAR CRIMES TRIBUNALS

14 SEC. 560. If the President determines that doing so

15 will contribute to a just resolution of charges regarding

16 genocide or other violations of international humanitarian

17 law, the authority of section 552(c) of the Foreign Assist18 ance Act of 1961, as amended, may be used to provide up

19 to $25,000,000 of commodities and services for the United

20 Nations War Crimes Tribunal established with regard to

21 the former Yugoslavia by the United Nations Security

22 Council or such other tribunals or commissions as the Coun23 cil may establish to deal with such violations, without re24 gard to the ceiling limitation contained in paragraph (2)

25 thereof: Provided, That the determination required under

26 this section shall be in lieu of any determinations otherwise
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1 required under section 552(c): Provided further, That 60

2 days after the date of enactment of this Act, and every 180

3 days thereafter, the Secretary of State shall submit a report

4 to the Committees on Appropriations describing the steps

5 the United States Government is taking to collect informa6 tion and intelligence regarding allegations of genocide or

7 other violations of international law in the former Yugo8 slavia and to furnish that information to the United Na9 tions War Crimes Tribunal for the former Yugoslavia.

10 TRANSPORTATION OF EXCESS DEFENSE ARTICLES

11 SEC. 561. Notwithstanding section 519(f) of the For12 eign Assistance Act of 1961, during fiscal year 1997, funds

13 available to the Department of Defense may be expended

14 for crating, packing, handling and transportation of excess

15 defense articles transferred under the authority of sections

16 516 and 519 to countries eligible to participate in the Part17 nership for Peace and to receive assistance under Public

18 Law 101–179.

19 LANDMINES

20 SEC. 562. Notwithstanding any other provision of law,

21 demining equipment available to any department or agency

22 and used in support of the clearing of landmines and

23 unexploded ordnance for humanitarian purposes may be

24 disposed of on a grant basis in foreign countries, subject

25 to such terms and conditions as the President may pre26 scribe: Provided, That section 1365(c) of the National De-
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1 fense Authorization Act for Fiscal Year 1993 (Public Law

2 102–484; 22 U.S.C., 2778 note) is amended by striking out

3 ‘‘During the five-year period beginning on October 23,

4 1992’’ and inserting in lieu thereof ‘‘During the eight-year

5 period beginning on October 23, 1992’’.

6 RESTRICTIONS CONCERNING THE PALESTINIAN AUTHORITY

7 SEC. 563. None of the funds appropriated by this Act

8 may be obligated or expended to create in any part of Jeru9 salem a new office of any department or agency of the Unit10 ed States Government for the purpose of conducting official

11 United States Government business with the Palestinian

12 Authority over Gaza and Jericho or any successor Palestin13 ian governing entity provided for in the Israel-PLO Dec14 laration of Principles: Provided, That this restriction shall

15 not apply to the acquisition of additional space for the ex16 isting Consulate General in Jerusalem: Provided further,

17 That meetings between officers and employees of the United

18 States and officials of the Palestinian Authority, or any

19 successor Palestinian governing entity provided for in the

20 Israel-PLO Declaration of Principles, for the purpose of

21 conducting official United States Government business with

22 such authority should continue to take place in locations

23 other than Jerusalem. As has been true in the past, officers

24 and employees of the United States Government may con25 tinue to meet in Jerusalem on other subjects with Palestin26 ians (including those who now occupy positions in the Pal-
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1 estinian Authority), have social contacts, and have inciden2 tal discussions.

3 PROHIBITION OF PAYMENT OF CERTAIN EXPENSES

4 SEC. 564. None of the funds appropriated or otherwise

5 made available by this Act under the heading ‘‘INTER6 NATIONAL MILITARY EDUCATION AND TRAINING’’ or ‘‘FOR7 EIGN MILITARY FINANCING PROGRAM’’ for Informational

8 Program activities may be obligated or expended to pay

9 for—

10 (1) alcoholic beverages;

11 (2) food (other than food provided at a military

12 installation) not provided in conjunction with Infor13 mational Program trips where students do not stay at

14 a military installation; or

15 (3) entertainment expenses for activities that are

16 substantially of a recreational character, including

17 entrance fees at sporting events and amusement

18 parks.

19 HUMANITARIAN ASSISTANCE

20 SEC. 565. The Foreign Assistance Act of 1961 is

21 amended by adding immediately after section 620H the fol22 lowing new section:

23 ‘‘SEC. 620I. PROHIBITION ON ASSISTANCE TO COUN24 TRIES THAT RESTRICT UNITED STATES HUMANITARIAN

25 ASSISTANCE.—
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1 ‘‘(a) IN GENERAL.—No assistance shall be fur2 nished under this Act or the Arms Export Control Act

3 to any country when it is made known to the Presi4 dent that the government of such country prohibits or

5 otherwise restricts, directly or indirectly, the trans6 port or delivery of United States humanitarian as7 sistance.

8 ‘‘(b) EXCEPTION.—Assistance may be furnished

9 without regard to the restriction in subsection (a) if

10 the President determines that to do so is in the na11 tional security interest of the United States.’’.

12 PURCHASE OF AMERICAN-MADE EQUIPMENT AND

13 PRODUCTS

14 SEC. 566. (a) SENSE OF CONGRESS.—It is the sense

15 of the Congress that, to the greatest extent practicable, all

16 equipment and products purchased with funds made avail17 able in this Act should be American-made.

18 (b) NOTICE REQUIREMENT.—In providing financial

19 assistance to, or entering into any contract with, any entity

20 using funds made available in this Act, the head of each

21 Federal agency, to the greatest extent practicable, shall pro22 vide to such entity a notice describing the statement made

23 in subsection (a) by the Congress.
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1 LIMITATION OF FUNDS FOR NORTH AMERICAN

2 DEVELOPMENT BANK

3 SEC. 567. None of the funds appropriated in this Act

4 under the heading ‘‘North American Development Bank’’

5 and made available for the Community Adjustment and In6 vestment Program shall be used for purposes other than

7 those set out in the binational agreement establishing the

8 Bank.

9 POLICY TOWARD BURMA

10 SEC. 568. (a) Until such time as the President deter11 mines and certifies to Congress that Burma has made meas12 urable and substantial progress in improving human rights

13 practices and implementing democratic government, the fol14 lowing sanctions shall be imposed on Burma:

15 (1) BILATERAL ASSISTANCE.—There shall be no

16 United States assistance to the Government of

17 Burma, other than:

18 (A) humanitarian assistance,

19 (B) counter-narcotics assistance under

20 chapter 8 of part I of the Foreign Assistance Act

21 of 1961, or crop substitution assistance, if the

22 Secretary of State certifies to the appropriate

23 congressional committees that—
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1 (i) the Government of Burma is fully

2 cooperating with United States counter-nar3 cotics efforts, and

4 (ii) the programs are fully consistent

5 with United States human rights concerns

6 in Burma and serve the United States na7 tional interest, and

8 (C) assistance promoting human rights and

9 democratic values.

10 (2) MULTILATERAL ASSISTANCE.—The Secretary

11 of the Treasury shall instruct the United States execu12 tive director of each international financial institu13 tion to vote against any loan or other utilization of

14 funds of the respective bank to or for Burma.

15 (3) VISAS.—Except as required by treaty obliga16 tions or to staff the Burmese mission to the United

17 States, the United States shall not grant entry visas

18 to any Burmese government official.

19 (b) CONDITIONAL SANCTIONS.—The President shall

20 prohibit United States persons from new investment in

21 Burma, if the President determines and certifies to Congress

22 that, after the date of enactment of this Act, the Government

23 of Burma has physically harmed, rearrested for political

24 acts, or exiled Daw Aung San Suu Kyi or has committed
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1 large-scale repression of or violence against the Democratic

2 opposition.

3 (c) MULTILATERAL STRATEGY.—The President shall

4 seek to develop, in coordination with members of ASEAN

5 and other countries having major trading and investment

6 interests in Burma, a comprehensive, multilateral strategy

7 to bring democracy to and improve human rights practices

8 and the quality of life in Burma, including the development

9 of a dialogue between the State Law and Order Restoration

10 Council (SLORC) and democratic opposition groups within

11 Burma.

12 (d) PRESIDENTIAL REPORTS.—Every six months fol13 lowing the enactment of this Act, the President shall report

14 to the Chairmen of the Committee on Foreign Relations,

15 the Committee on International Relations and the House

16 and Senate Appropriations Committees on the following:

17 (1) progress toward democratization in Burma;

18 (2) progress on improving the quality of life of

19 the Burmese people, including progress on market re20 forms, living standards, labor standards, use of forced

21 labor in the tourism industry, and environmental

22 quality; and

23 (3) progress made in developing the strategy re24 ferred to in subsection (c).
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1 (e) WAIVER AUTHORITY.—The President shall have the

2 authority to waive, temporarily or permanently, any sanc3 tion referred to in subsection (a) or subsection (b) if he de4 termines and certifies to Congress that the application of

5 such sanction would be contrary to the national security

6 interests of the United States.

7 (f) DEFINITIONS.—

8 (1) The term ‘‘international financial institu9 tions’’ shall include the International Bank for Re10 construction and Development, the International De11 velopment Association, the International Finance

12 Corporation, the Multilateral Investment Guarantee

13 Agency, the Asian Development Bank, and the Inter14 national Monetary Fund.

15 (2) The term ‘‘new investment’’ shall mean any

16 of the following activities if such an activity is under17 taken pursuant to an agreement, or pursuant to the

18 exercise of rights under such an agreement, that is en19 tered into with the Government of Burma or a non20 governmental entity in Burma, on or after the date

21 of the certification under subsection (b):

22 (A) the entry into a contract that includes

23 the economical development of resources located

24 in Burma, or the entry into a contract providing
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1 for the general supervision and guarantee of an2 other person’s performance of such a contract;

3 (B) the purchase of a share of ownership,

4 including an equity interest, in that develop5 ment;

6 (C) the entry into a contract providing for

7 the participation in royalties, earnings, or prof8 its in that development, without regard to the

9 form of the participation:

10 Provided, That the term ‘‘new investment’’ does not

11 include the entry into, performance of, or financing

12 of a contract to sell or purchase goods, services, or

13 technology.

14 REPORTS ON THE SITUATION IN BURMA

15 SEC. 569. (a) LABOR PRACTICES.—Not later than 90

16 days after the date of the enactment of this Act, the Sec17 retary of Labor, in consultation with the Secretary of State,

18 shall submit a report to the appropriate congressional com19 mittees on—

20 (1) Burma’s compliance with international labor

21 standards including, but not limited to, the use of

22 forced labor, slave labor, and involuntary prison labor

23 by the junta;
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1 (2) the degree to which foreign investment in

2 Burma contributes to violations of fundamental work3 er rights;

4 (3) labor practices in support of Burma’s foreign

5 tourist industry; and

6 (4) efforts by the United States to end violations

7 of fundamental labor rights in Burma.

8 (b) DEFINITION.—As used in this section, the term

9 ‘‘appropriate congressional committees’’ means the Com10 mittee on Appropriations and the Committee on Foreign

11 Relations of the Senate and the Committee on Appropria12 tions and the Committee on International Relations of the

13 House of Representatives.

14 (c) FUNDING.—(1) There are hereby appropriated, out

15 of any money in the Treasury not otherwise appropriated,

16 for the fiscal year ending September 30, 1997, for expenses

17 necessary to carry out the provisions of this section, $30,000

18 to the Department of Labor.

19 (2) The amount appropriated by this Act under the

20 heading ‘‘DEPARTMENT OF STATE, INTERNATIONAL NAR21 COTICS CONTROL’’ shall be reduced by $30,000.

22 SPECIAL DEBT RELIEF FOR THE POOREST

23 SEC. 570. (a) AUTHORITY TO REDUCE DEBT.—The

24 President may reduce amounts owed to the United States

25 (or any agency of the United States) by an eligible country

26 as a result of—
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1 (1) guarantees issued under sections 221 and 222

2 of the Foreign Assistance Act of 1961; or

3 (2) credits extended or guarantees issued under

4 the Arms Export Control Act.

5 (b) LIMITATIONS.—

6 (1) The authority provided by subsection (a)

7 may be exercised only to implement multilateral offi8 cial debt relief and referendum agreements, commonly

9 referred to as ‘‘Paris Club Agreed Minutes’’.

10 (2) The authority provided by subsection (a)

11 may be exercised only in such amounts or to such ex12 tent as is provided in advance by appropriations

13 Acts.

14 (3) The authority provided by subsection (a)

15 may be exercised only with respect to countries with

16 heavy debt burdens that are eligible to borrow from

17 the International Development Association, but not

18 from the International Bank for Reconstruction and

19 Development, commonly referred to as ‘‘IDA-only’’

20 countries.

21 (c) CONDITIONS.—The authority provided by sub22 section (a) may be exercised only with respect to a country

23 whose government—

24 (1) does not have an excessive level of military

25 expenditures;
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1 (2) has not repeatedly provided support for acts

2 of international terrorism;

3 (3) is not failing to cooperate on international

4 narcotics control matters;

5 (4) (including its military or other security

6 forces) does not engage in a consistent pattern of gross

7 violations of internationally recognized human rights;

8 and

9 (5) is not ineligible for assistance because of the

10 application of section 527 of the Foreign Relations

11 Authorization Act, fiscal years 1994 and 1995.

12 (d) AVAILABILITY OF FUNDS.—The authority provided

13 by subsection (a) may be used only with regard to funds

14 appropriated by this Act under the heading ‘‘Debt restruc15 turing’’.

16 (e) CERTAIN PROHIBITIONS INAPPLICABLE.—A reduc17 tion of debt pursuant to subsection (a) shall not be consid18 ered assistance for purposes of any provision of law limit19 ing assistance to a country. The authority provided by sub20 section (a) may be exercised notwithstanding section 620(r)

21 of the Foreign Assistance Act of 1961.

22 AUTHORITY TO ENGAGE IN DEBT BUYBACKS OR SALES

23 SEC. 571. (a) LOANS ELIGIBLE FOR SALE, REDUC24 TION, OR CANCELLATION.—

25 (1) AUTHORITY TO SELL, REDUCE, OR CANCEL

26 CERTAIN LOANS.—Notwithstanding any other provi-
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1 sion of law, the President may, in accordance with

2 this section, sell to any eligible purchaser any

3 concessional loan or portion thereof made before Jan4 uary 1, 1995, pursuant to the Foreign Assistance Act

5 of 1961, to the government of any eligible country as

6 defined in section 702(6) of that Act or on receipt of

7 payment from an eligible purchaser, reduce or cancel

8 such loan or portion thereof, only for the purpose of

9 facilitating—

10 (A) debt-for-equity swaps, debt-for-develop11 ment swaps, or debt-for-nature swaps; or

12 (B) a debt buyback by an eligible country

13 of its own qualified debt, only if the eligible

14 country uses an additional amount of the local

15 currency of the eligible country, equal to not less

16 than 40 percent of the price paid for such debt

17 by such eligible country, or the difference between

18 the price paid for such debt and the face value

19 of such debt, to support activities that link con20 servation and sustainable use of natural re21 sources with local community development, and

22 child survival and other child development, in a

23 manner consistent with sections 707 through 710

24 of the Foreign Assistance Act of 1961, if the sale,

25 reduction, or cancellation would not contravene
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1 any term or condition of any prior agreement

2 relating to such loan.

3 (2) TERMS AND CONDITIONS.—Notwithstanding

4 any other provision of law, the President shall, in ac5 cordance with this section, establish the terms and

6 conditions under which loans may be sold, reduced, or

7 canceled pursuant to this section.

8 (3) ADMINISTRATION.—The Facility, as defined

9 in section 702(8) of the Foreign Assistance Act of

10 1961, shall notify the administrator of the agency

11 primarily responsible for administering part I of the

12 Foreign Assistance Act of 1961 of purchasers that the

13 President has determined to be eligible, and shall di14 rect such agency to carry out the sale, reduction, or

15 cancellation of a loan pursuant to this section. Such

16 agency shall make an adjustment in its accounts to

17 reflect the sale, reduction, or cancellation.

18 (4) LIMITATION.—The authorities of this sub19 section shall be available only to the extent that ap20 propriations for the cost of the modification, as de21 fined in section 502 of the Congressional Budget Act

22 of 1974, are made in advance.

23 (b) DEPOSIT OF PROCEEDS.—The proceeds from the

24 sale, reduction, or cancellation of any loan sold, reduced,

25 or canceled pursuant to this section shall be deposited in
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1 the United States Government account or accounts estab2 lished for the repayment of such loan.

3 (c) ELIGIBLE PURCHASERS.—A loan may be sold pur4 suant to subsection (a)(1)(A) only to a purchaser who pre5 sents plans satisfactory to the President for using the loan

6 for the purpose of engaging in debt-for-equity swaps, debt7 for-development swaps, or debt-for-nature swaps.

8 (d) DEBTOR CONSULTATIONS.—Before the sale to any

9 eligible purchaser, or any reduction or cancellation pursu10 ant to this section, of any loan made to an eligible country,

11 the President shall consult with the country concerning the

12 amount of loans to be sold, reduced, or canceled and their

13 uses for debt-for-equity swaps, debt-for-development swaps,

14 or debt-for-nature swaps.

15 (e) AVAILABILITY OF FUNDS.—The authority provided

16 by subsection (a) may be used only with regard to funds

17 appropriated by this Act under the heading ‘‘Debt Restruc18 turing’’.

19 SANCTIONS AGAINST COUNTRIES HARBORING WAR

20 CRIMINALS

21 SEC. 572. (a) BILATERAL ASSISTANCE.—Funds ap22 propriated by this Act under the Foreign Assistance Act of

23 1961 or the Arms Export Control Act may not be provided

24 for any country described in subsection (c).

25 (b) MULTILATERAL ASSISTANCE.—The Secretary of

26 the Treasury shall instruct the United States executive di-
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1 rectors of the international financial institutions to work

2 in opposition to, and vote against, any extension by such

3 institutions of financing or financial or technical assistance

4 to any country described in subsection (c).

5 (c) SANCTIONED COUNTRIES.—A country described in

6 this subsection is a country the government of which know7 ingly grants sanctuary to persons in its territory for the

8 purpose of evading prosecution, where such persons—

9 (1) have been indicted by the International

10 Criminal Tribunal for the former Yugoslavia, the

11 International Criminal Tribunal for Rwanda, or any

12 other international tribunal with similar standing

13 under international law, or

14 (2) have been indicted for war crimes or crimes

15 against humanity committed during the period begin16 ning March 23, 1933 and ending on May 8, 1945

17 under the direction of, or in association with—

18 (A) the Nazi government of Germany;

19 (B) any government in any area occupied

20 by the military forces of the Nazi government of

21 Germany;

22 (C) any government which was established

23 with the assistance or cooperation of the Nazi

24 government; or
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1 (D) any government which was an ally of

2 the Nazi government of Germany.

3 LIMITATION ON ASSISTANCE FOR HAITI

4 SEC. 573. (a) None of the funds appropriated or other5 wise made available by this Act, may be provided to the

6 Government of Haiti until the President reports to Congress

7 that—

8 (1) the Government is conducting thorough in9 vestigations of extrajudicial and political killings;

10 and

11 (2) the Government is cooperating with United

12 States authorities in the investigations of political

13 and extrajudicial killings.

14 (b) Nothing in this section shall be construed to restrict

15 the provision of humanitarian, development or electoral as16 sistance.

17 (c) The President may waive the requirements of this

18 section if he determines and certifies to the appropriate

19 committees of Congress that it is in the national interest

20 of the United States or necessary to assure the safe and

21 timely withdrawal of American forces from Haiti.

22 LIMITATION ON FUNDS TO THE TERRITORY OF THE

23 BOSNIAC-CROAT FEDERATION

24 SEC. 574. Funds appropriated by this Act for activi25 ties in the internationally-recognized borders of Bosnia and

26 Herzegovina (other than refugee and disaster assistance and
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1 assistance for restoration of infrastructure, to include power

2 grids, water supplies and natural gas) may only be made

3 available for activities in the territory of the Bosniac-Croat

4 Federation.

5 UNITED STATES GOVERNMENT PUBLICATIONS

6 SEC. 575. Beginning in fiscal year 1997, all United

7 States Government publications shall refer to the capital

8 of Israel as Jerusalem.

9 EXTENSION OF CERTAIN ADJUDICATION PROVISIONS

10 SEC. 576. The Foreign Operations, Export Financing,

11 and Related Programs Appropriations Act, 1990 (Public

12 Law 101–167) is amended—

13 (1) in section 599D (8 U.S.C. 1157 note)—

14 (A) in subsection (b)(3), by striking ‘‘and

15 1996’’ and inserting ‘‘1996, and 1997’’; and

16 (B) in subsection (e), by striking out ‘‘Octo17 ber 1, 1996’’ each place it appears and inserting

18 ‘‘October 1, 1997’’; and

19 (2) in section 599E (8 U.S.C. 1255 note) in sub20 section (b)(2), by striking out ‘‘September 30, 1996’’

21 and inserting ‘‘September 30, 1997’’.

22 TRANSPARENCY OF BUDGETS

23 SEC. 577. (a) LIMITATION.—Beginning three years

24 after the date of the enactment of this Act, the Secretary

25 of the Treasury shall instruct the United States Executive

26 Director of each international financial institution to use
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1 the voice and vote of the United States to oppose any loan

2 or other utilization of the funds of their respective institu3 tion, other than to address basic human needs, for the gov4 ernment of any country which the Secretary of the Treasury

5 determines—

6 (1) does not have in place a functioning system

7 for a civilian audit of all receipts and expenditures

8 in the portions of its budget that fund activities of the

9 armed forces and security forces;

10 (2) has not provided a summary of a current

11 audit to the institution; and

12 (3) has not provided to the institution an ac13 counting of the ownership and financial interest in

14 revenue-generating enterprises of the armed forces and

15 security forces.

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

17 term ‘‘international financial institution’’ shall include the

18 institutions identified in section 535(b) of this Act.

19 PROMOTION OF HUMAN RIGHTS

20 SEC. 578. A senior official, or former senior official,

21 of a government that receives funds appropriated by this

22 Act, who applies for a visa to travel to the United States,

23 shall be denied such visa if the Secretary of State has credi24 ble evidence that such official has committed, ordered or at25 tempted to thwart the investigation of a gross violation of

26 an internationally recognized human right: Provided, That
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1 for purposes of this section ‘‘senior official’’ includes an offi2 cer of the armed forces or security forces: Provided further,

3 That the Secretary of State may waive the restrictions of

4 this section on a case-by-case basis if he determines and

5 reports to the Committees on Appropriations that to do so

6 is important to the national interest of the United States.

7 GUARANTEES

8 SEC. 579. Section 251(b)(2)(G) of the Balanced Budget

9 and Emergency Deficit Control Act of 1985 is amended by

10 striking ‘‘fiscal year 1994 and 1995’’ and inserting in lieu

11 thereof ‘‘fiscal years 1994, 1995, and 1997’’ in both places

12 that this appears.

13 INFORMATION ON COOPERATION WITH UNITED STATES

14 ANTI-TERRORISM EFFORTS IN ANNUAL COUNTRY RE15 PORTS ON TERRORISM

16 SEC. 580. Section 140 of the Foreign Relations Author17 ization Act, fiscal years 1988 and 1989 (22 U.S.C. 2656f)

18 is amended—

19 (1) in subsection (a)—

20 (A) by striking ‘‘and’’ at the end of para21 graph (1);

22 (B) by striking the period at the end of

23 paragraph (2) and inserting a semicolon; and

24 (C) by adding at the end the following:

25 ‘‘(3) with respect to each foreign country from

26 which the United States Government has sought co-
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1 operation during the previous five years in the inves2 tigation or prosecution of an act of international ter3 rorism against United States citizens or interests, in4 formation on—

5 ‘‘(A) the extent to which the government of

6 the foreign country is cooperating with the Unit7 ed States Government in apprehending, convict8 ing, and punishing the individual or individuals

9 responsible for the act; and

10 ‘‘(B) the extent to which the government of

11 the foreign country is cooperating in preventing

12 further acts of terrorism against United States

13 citizens in the foreign country; and

14 ‘‘(4) with respect to each foreign country from

15 which the United States Government has sought co16 operation during the previous five years in the pre17 vention of an act of international terrorism against

18 such citizens or interests, the information described in

19 paragraph (3)(B).’’; and

20 (2) in subsection (c)—

21 (A) by striking ‘‘The report’’ and inserting

22 ‘‘(1) Except as provided in paragraph (2), the

23 report’’;

24 (B) by indenting the margin of paragraph

25 (1) as so designated, 2 ems; and
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1 (C) by adding at the end the following:

2 ‘‘(2) If the Secretary of State determines that the

3 transmittal of the information with respect to a for4 eign country under paragraph (3) or (4) of subsection

5 (a) in classified form would make more likely the co6 operation of the government of the foreign country as

7 specified in such paragraph, the Secretary may trans8 mit the information under such paragraph in classi9 fied form.’’.

10 FEMALE GENITAL MUTILATION

11 SEC. 581. (a) LIMITATION.—Beginning 1 year after

12 the date of the enactment of this Act, the Secretary of the

13 Treasury shall instruct the United States Executive Direc14 tor of each international financial institution to use the

15 voice and vote of the United States to oppose any loan or

16 other utilization of the funds of their respective institution,

17 other than to address basic human needs, for the govern18 ment of any country which the Secretary of the Treasury

19 determines—

20 (1) has, as a cultural custom, a known history

21 of the practice of female genital mutilation;

22 (2) has not made the practice of female genital

23 mutilation illegal; and
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1 (3) has not taken steps to implement educational

2 programs designed to prevent the practice of female

3 genital mutilation.

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

5 term ‘‘international financial institution’’ shall include the

6 institutions identified in section 535(b) of this Act.

7 SENSE OF CONGRESS REGARDING THE UNITED STATES8 JAPAN INSURANCE AGREEMENT

9 SEC. 582. (a) FINDINGS.—The Congress makes the fol10 lowing findings:

11 (1) The United States and Japan share a long

12 and important bilateral relationship which serves as

13 an anchor of peace and stability in the Asia Pacific

14 region, an alliance which was reaffirmed at the recent

15 summit meeting between President Clinton and

16 Prime Minister Hashimoto in Tokyo.

17 (2) The Japanese economy has experienced dif18 ficulty over the past few years, demonstrating that it

19 is no longer possible for Japan, the world’s second

20 largest economy, to use exports as the sole engine of

21 economic growth, but that the Government of Japan

22 must promote deregulation of its domestic economy in

23 order to increase economic growth.
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1 (3) Japan is the second largest insurance market

2 in the world and the largest life insurance market in

3 the world.

4 (4) The share of foreign insurance in Japan is

5 less than 3 percent, and large Japanese life and non6 life insurers dominate the market.

7 (5) The Government of Japan has had as its

8 stated policy for several years the deregulation and

9 liberalization of the Japan insurance market, and has

10 developed and adopted a new insurance business law

11 as a means of achieving this publicly stated objective

12 of liberalization and deregulation.

13 (6) The Governments of Japan and the United

14 States concluded in October of 1994 the United

15 States-Japan Insurance Agreement, following more

16 than one and one-half years of negotiations, in which

17 Agreement the Government of Japan reiterated its in18 tent to deregulate and liberalize its market.

19 (7) The Government of Japan in June of 1995

20 undertook additional obligations to provide greater

21 foreign access and liberalization to its market through

22 its schedule of insurance obligations during the finan23 cial services negotiations of the World Trade Organi24 zation (WTO).
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1 (8) The United States insurance industry is the

2 most competitive in the world, operates successfully

3 throughout the world, and thus could be expected to

4 achieve higher levels of market access and profit5 ability under a more open, deregulated and liberal6 ized Japanese market.

7 (9) Despite more than one and one-half years

8 since the conclusion of the United States-Japan In9 surance Agreement, despite more than one year since

10 Japan undertook new commitments under the WTO,

11 despite the entry into force on April 1, 1996, of the

12 new Insurance Business Law, the Japanese market

13 remains closed and highly regulated and thus contin14 ues to deny fair and open treatment for foreign insur15 ers, including competitive United States insurers.

16 (10) The non-implementation of the United

17 States-Japan Insurance Agreement is a matter of

18 grave importance to the United States Government.

19 (11) Dozens of meetings between the United

20 States Trade Representative and the Ministry of Fi21 nance have taken place during the past year.

22 (12) President Clinton, Vice President Gore, Sec23 retary Rubin, Secretary Christopher, Secretary

24 Kantor, Ambassador Barshefsky have all indicated to
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1 their counterparts in the Government of Japan the

2 importance of this matter to the United States.

3 (13) The United States Senate has written re4 peatedly to the Minister of Finance and the Ambas5 sador of Japan.

6 (14) Despite all of these efforts and indications

7 of importance, the Ministry of Finance has failed to

8 implement the United States-Japan Insurance Agree9 ment.

10 (15) Several deadlines have already passed for

11 resolution of this issue with the latest deadline set for

12 July 31, 1996.

13 (b) SENSE OF CONGRESS.—It is the sense of the Con14 gress that—

15 (1) the Ministry of Finance of the Government

16 of Japan should immediately and without further

17 delay completely and fully comply with all provisions

18 of the United States-Japan Insurance Agreement, in19 cluding most especially those which require the Min20 istry of Finance to deregulate and liberalize the pri21 mary sectors of the Japanese market, and those which

22 insure that the current position of foreign insurers in

23 Japan will not be jeopardized until primary sector

24 deregulation has been achieved, and a three-year pe25 riod has elapsed; and
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1 (2) failing satisfactory resolution of this matter

2 on or before July 31, 1996, the United States Govern3 ment should use any and all resources at its disposal

4 to bring about full and complete compliance with the

5 Agreement.

6 SENSE OF CONGRESS REGARDING THE CONFLICT IN

7 CHECHNYA

8 SEC. 583. (a) CONGRESSIONAL DECLARATION.—The

9 Congress declares that the continuation of the conflict in

10 Chechnya, the continued killing of innocent civilians, and

11 the ongoing violation of human rights in that region are

12 unacceptable.

13 (b) SENSE OF CONGRESS.—The Congress hereby—

14 (1) condemns Russia’s infringement of the cease15 fire agreements in Chechnya;

16 (2) calls upon the Government of the Russian

17 Federation to bring an immediate halt to offensive

18 military actions in Chechnya and requests President

19 Yeltsin to honor his decree of June 25, 1996 concern20 ing the withdrawal of Russian armed forces from

21 Chechnya;

22 (3) encourages the two warring parties to resume

23 negotiations without delay so as to find a peaceful po24 litical solution to the Chechen problem; and
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1 (4) supports the Organization for Security and

2 Cooperation in Europe and its representatives in

3 Chechnya in its efforts to mediate in Chechnya.

4 REQUIREMENT FOR DISCLOSURE OF FOREIGN AID IN

5 REPORT OF SECRETARY OF STATE

6 SEC. 584. (a) FOREIGN AID REPORTING REQUIRE7 MENT.—In addition to the voting practices of a foreign

8 country, the report required to be submitted to Congress

9 under section 406(a) of the Foreign Relations Authorization

10 Act, fiscal years 1990 and 1991 (22 U.S.C. 2414a), shall

11 include a side-by-side comparison of individual countries’

12 overall support for the United States at the United Nations

13 and the amount of United States assistance provided to

14 such country in that fiscal year.

15 (b) UNITED STATES ASSISTANCE.—For purposes of

16 this section, the term ‘‘United States assistance’’ has the

17 meaning given the term in section 481(e)(4) of the Foreign

18 Assistance Act of 1961 (22 U.S.C. 2291(e)(4)).

19 REPORT ON DOMESTIC FEDERAL AGENCIES FURNISHING

20 UNITED STATES ASSISTANCE

21 SEC. 585. (a) IN GENERAL.—Not later than June 1,

22 1997, the Comptroller General of the United States shall

23 study and report to the Congress on all assistance furnished

24 directly or indirectly to foreign countries, foreign entities,

25 and international organizations by domestic Federal agen26 cies and Federal agencies.
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1 (b) DEFINITIONS.—As used in this section:

2 (1) DOMESTIC FEDERAL AGENCY.—The term

3 ‘‘domestic Federal agency’’ means a Federal agency

4 the primary mission of which is to carry out func5 tions other than foreign affairs, defense, or national

6 security functions.

7 (2) FEDERAL AGENCY.—The term ‘‘Federal agen8 cy’’ has the meaning given the term in section 551(1)

9 of title 5, United States Code.

10 (3) INTERNATIONAL ORGANIZATION.—The term

11 ‘‘international organization’’ has the meaning given

12 the term in section 1 of the International Organiza13 tion Immunities Act (22 U.S.C. 288).

14 (4) UNITED STATES ASSISTANCE.—The term

15 ‘‘United States assistance’’ has the meaning given the

16 term in section 481(e)(4) of the Foreign Assistance

17 Act of 1961 (22 U.S.C. 2291(e)(4)).

18 RESTRICTIONS ON VOLUNTARY CONTRIBUTIONS TO UNITED

19 NATIONS AGENCIES

20 SEC. 586. (a) PROHIBITION ON VOLUNTARY CON21 TRIBUTIONS FOR THE UNITED NATIONS.—None of the funds

22 appropriated or otherwise made available by this Act may

23 be made available to pay any voluntary contribution of the

24 United States to the United Nations or any of its special25 ized agencies (including the United Nations Development

26 Program) if the United Nations attempts to implement or
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1 impose any taxation or fee on any United States persons

2 or borrows funds from any international financial institu3 tion.

4 (b) CERTIFICATION REQUIRED FOR DISBURSEMENT OF

5 FUNDS.—None of the funds appropriated or otherwise made

6 available under this Act may be made available to pay any

7 voluntary contribution of the United States to the United

8 Nations or any of its specialized agencies (including the

9 United Nations Development Program) unless the President

10 certifies to the Congress 15 days in advance of such pay11 ment that the United Nations or such agency, as the case

12 may be, is not engaged in, and has not been engaged in

13 during the previous fiscal year, any effort to develop, advo14 cate, promote, or publicize any proposal concerning tax15 ation or fees on United States persons in order to raise reve16 nue for the United Nations or any of its specialized agen17 cies.

18 (c) DEFINITIONS.—As used in this section:

19 (1) The term ‘‘international financial institu20 tion’’ includes the African Development Bank, the Af21 rican Development Fund, the Asian Development

22 Bank, the European Bank for Reconstruction and De23 velopment, the Inter-American Development Bank, the

24 International Bank for Reconstruction and Develop25 ment, the International Development Association, the
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1 International Finance Corporation, the International

2 Monetary Fund, and the Multilateral Insurance

3 Guaranty Agency; and

4 (2) The term ‘‘United States person’’ refers to—

5 (A) a natural person who is a citizen or na6 tional of the United States; or

7 (B) a corporation, partnership, or other

8 legal entity organized under the United States or

9 any State, territory, possession, or district of the

10 United States.

11 HAITI

12 SEC. 587. The Government of Haiti shall be eligible

13 to purchase defense articles and services under the Arms

14 Export Control Act (22 U.S.C. 2751 et seq.), for the civil15 ian-led Haitian National Police and Coast Guard, except

16 as otherwise stated in law: Provided, That the authority

17 provided by this section shall be subject to the regular notifi18 cation procedures of the Committees on Appropriations.

19 TRADE RELATIONS WITH EASTERN AND CENTRAL EUROPE.

20 SEC. 588. (a) FINDINGS.—The Congress makes the fol21 lowing findings:

22 (1) The countries of Central and Eastern Eu23 rope, including Poland, Hungary, the Czech Republic,

24 Slovakia, Romania, Slovenia, Lithuania, Latvia, Es25 tonia, and Bulgaria, are important to the long-term
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1 stability and economic success of a future Europe

2 freed from the shackles of communism.

3 (2) The Central and Eastern European coun4 tries, particularly Hungary, Poland, the Czech Re5 public, Romania, Slovakia, Slovenia, Latvia, Lithua6 nia, and Estonia, are in the midst of dramatic re7 forms to transform their centrally planned economies

8 into free market economies and to join the Western

9 community.

10 (3) It is in the long-term interest of the United

11 States to encourage and assist the transformation of

12 Central and Eastern Europe into a free market econ13 omy, which is the solid foundation of democracy, and

14 will contribute to regional stability and greatly in15 creased opportunities for commerce with the United

16 States.

17 (4) Trade with the countries of Central and

18 Eastern Europe accounts for less than one percent of

19 total United States trade.

20 (5) The presence of a market with more than

21 140,000,000 people, with a growing appetite for

22 consumer goods and services and badly in need of

23 modern technology and management, should be an

24 important market for United States exports and in25 vestments.
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1 (6) The United States has concluded agreements

2 granting most-favored-nation status to most of the

3 countries of Central and Eastern Europe.

4 (b) SENSE OF THE CONGRESS.—It is the sense of the

5 Congress that the President should take steps to promote

6 more open, fair, and free trade between the United States

7 and the countries of Central Europe, including Poland,

8 Hungary, the Czech Republic, Slovakia, Lithuania, Latvia,

9 Estonia, Romania, and Slovenia, including—

10 (1) developing closer commercial contacts;

11 (2) the mutual elimination of tariff and non12 tariff discriminatory barriers in trade with these

13 countries;

14 (3) exploring the possibility of framework agree15 ments that would lead to a free trade agreement;

16 (4) negotiating bilateral investment treaties;

17 (5) stimulating increased United States exports

18 and investments to the region;

19 (6) obtaining further liberalization of investment

20 regulations and protection against nationalization in

21 these foreign countries; and

22 (7) establishing fair and expeditious dispute set23 tlement procedures.
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1 LIMITATION ON FOREIGN SOVEREIGN IMMUNITY

2 SEC. 589. (a) IN GENERAL.—Section 1605(a)(7) of

3 title 28, United States Code, is amended to read as follows:

4 ‘‘(7) in which money damages are sought against

5 a foreign state for personal injury or death caused by

6 an act of torture, extrajudicial killing, aircraft sabo7 tage, hostage taking, or the provision of material sup8 port or resources (as defined in section 2339A of title

9 18) for such an act, if—

10 ‘‘(A) such act or provision of material sup11 port was engaged in by an official, employee, or

12 agent of such foreign state while acting within

13 the scope of his or her office, employment, or

14 agency;

15 ‘‘(B) the foreign state against whom the

16 claim was brought—

17 ‘‘(i) was designated as a state sponsor

18 of terrorism under section 6(j) of the Export

19 Administration Act of 1979 (50 U.S.C.

20 App. 2405(j)) or section 620A of the For21 eign Assistance Act of 1961 (22 U.S.C.

22 2371) at the time the act occurred or was

23 later so designated as a result of such act;

24 or
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1 ‘‘(ii) had no treaty of extradition with

2 the United States at the time the act oc3 curred and no adequate and available rem4 edies exist either in such state or in the

5 place in which the act occurred;

6 ‘‘(C) the claimant has afforded the foreign

7 state a reasonable opportunity to arbitrate the

8 claim in accordance with accepted international

9 rules of arbitration; and

10 ‘‘(D) the claimant or victim was a national

11 of the United States (as that term is defined in

12 section 101(a)(22) of the Immigration and Na13 tionality Act) when the act upon which the claim

14 is based occurred.’’.

15 (b) EFFECTIVE DATE.—The amendment made by sub16 section (a) shall apply with respect to actions brought in

17 United States courts on or after the date of enactment of

18 this Act.

19 SENSE OF CONGRESS REGARDING CROATIA

20 SEC. 590. (a) FINDINGS.—The Congress makes the fol21 lowing findings:

22 (1) Croatia has politically and financially con23 tributed to the NATO peacekeeping operations in

24 Bosnia;
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1 (2) The economic stability and security of Cro2 atia is important to the stability of South Central

3 Europe; and

4 (3) Croatia is in the process of joining the Part5 nership for Peace.

6 (b) SENSE OF CONGRESS.—It is the Sense of Congress

7 that:

8 (1) Croatia should be recognized and commended

9 for its contributions to NATO and the various peace10 keeping efforts in Bosnia;

11 (2) The United States should support the active

12 participation of Croatia in activities appropriate for

13 qualifying for NATO membership, provided Croatia

14 continues to adhere fully to the Dayton Peace Accords

15 and continues to make progress toward establishing

16 democratic institutions, a free market, and the rule of

17 law.

18 ROMANIA’S PROGRESS TOWARD NATO MEMBERSHIP

19 SEC. 591. (a) FINDINGS.—The Congress makes the fol20 lowing findings:

21 (1) Romania emerged from years of brutal Com22 munist dictatorship in 1989 and approved a new

23 Constitution and elected a Parliament by 1991, lay24 ing the foundation for a modern parliamentary de25 mocracy charged with guaranteeing fundamental
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1 human rights, freedom of expression, and respect for

2 private property;

3 (2) Local elections, parliamentary elections, and

4 presidential elections have been held in Romania,

5 with 1996 marking the second nationwide presi6 dential elections under the new Constitution;

7 (3) Romania was the first former Eastern bloc

8 country to join NATO’s Partnership for Peace pro9 gram and has hosted Partnership for Peace military

10 exercises on its soil;

11 (4) Romania is the second largest country in

12 terms of size and population in Central Europe and

13 as such is strategically significant;

14 (5) Romania formally applied for NATO mem15 bership in April of 1996 and has begun an individ16 ualized dialogue with NATO on its membership ap17 plication; and

18 (6) Romania has contributed to the peace and

19 reconstruction efforts in Bosnia by participating in

20 the Implementation Force (IFOR).

21 (b) SENSE OF THE CONGRESS.—Therefore, it is the

22 sense of the Congress that:

23 (1) Romania is making significant progress to24 ward establishing democratic institutions, a free mar-
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1 ket economy, civilian control of the armed forces and

2 the rule of law;

3 (2) Romania is making important progress to4 ward meeting the criteria for accession into NATO;

5 (3) Romania deserves commendation for its clear

6 desire to stand with the West in NATO, as evidenced

7 by its early entry into the Partnership for Peace, its

8 formal application for NATO membership, and its

9 participation in IFOR;

10 (4) Romania should be evaluated for membership

11 in the NATO Participation Act’s transition assistance

12 program at the earliest opportunity; and

13 (5) The United States should work closely with

14 Romania and other countries working toward NATO

15 membership to ensure that every opportunity is pro16 vided.

17 SENSE OF CONGRESS REGARDING EXPANSION OF ELIGI18 BILITY FOR HOLOCAUST SURVIVOR COMPENSATION BY

19 THE GOVERNMENT OF GERMANY

20 SEC. 592. (a) FINDINGS.—The Congress makes the fol21 lowing findings:

22 (1) After nearly half a century, tens of thousands

23 of Holocaust survivors continue to be denied justice

24 and compensation by the Government of Germany.

25 (2) These people who suffered grievously at the

26 hands of the Nazis are now victims of unreasonable
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1 and arbitrary rules which keep them outside the

2 framework of the various compensation programs.

3 (3) Compensation for these victims has been non4 existent or, at best, woefully inadequate.

5 (4) The time has come to right this terrible

6 wrong.

7 (b) SENSE OF CONGRESS.—The Congress calls upon

8 the Government of Germany to negotiate in good faith with

9 the Conference on Jewish Material Claims Against Ger10 many to broaden the categories of those eligible for com11 pensation so that the injustice of uncompensated Holocaust

12 survivors may be corrected before it is too late.

13 SENSE OF SENATE ON DELIVERY BY CHINA OF CRUISE

14 MISSILES TO IRAN

15 SEC. 593. (a) FINDINGS.—The Senate makes the fol16 lowing findings:

17 (1) On February 22, 1996, the Director of

18 Central Intelligence informed the Senate that the Gov19 ernment of the People’s Republic of China had deliv20 ered cruise missiles to Iran.

21 (2) On June 19, 1996, the Under Secretary of

22 State for Arms Control and International Security

23 Affairs informed Congress that the Department of

24 State had evidence of Chinese-produced cruise missiles

25 in Iran.
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1 (3) On at least three occasions in 1996, includ2 ing July 15, 1996, the Commander of the United

3 States Fifth Fleet has pointed to the threat posed by

4 Chinese-produced cruise missiles to the 15,000 United

5 States sailors and marines stationed in the Persian

6 Gulf region.

7 (4) Section 1605 of the Iran-Iraq Arms Non-Pro8 liferation Act of 1992 (title XVI of Public Law 102–

9 484; 50 U.S.C. 1701 note) both requires and author10 izes the President to impose sanctions against any

11 foreign government that delivers cruise missiles to

12 Iran.

13 (b) SENSE OF SENATE.—It is the sense of the Senate

14 that—

15 (1) the Government of the People’s Republic of

16 China should immediately halt the delivery of cruise

17 missiles and other advanced conventional weapons to

18 Iran; and

19 (2) the President should enforce all appropriate

20 United States laws with respect to the delivery by

21 that government of cruise missiles to Iran.

22 SENSE OF SENATE ON DELIVERY BY CHINA OF BALLISTIC

23 MISSILE TECHNOLOGY TO SYRIA

24 SEC. 594. (a) FINDINGS.—The Senate makes the fol25 lowing findings:
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1 (1) Credible information exists indicating that

2 defense industrial trading companies of the People’s

3 Republic of China may have transferred ballistic mis4 sile technology to Syria.

5 (2) On October 4, 1994, the Government of the

6 People’s Republic of China entered into a written

7 agreement with the United States pledging not to ex8 port missiles or related technology that would violate

9 the Missile Technology Control Regime (MTCR).

10 (3) Section 73(f) of the Arms Export Control Act

11 (22 U.S.C. 2797b(f)) states that, when determining

12 whether a foreign person may be subject to United

13 States sanctions for transferring technology listed on

14 the MTCR Annex, it should be a rebuttable presump15 tion that such technology is designed for use in a mis16 sile listed on the MTCR Annex if the President deter17 mines that the final destination of the technology is

18 a country the government of which the Secretary of

19 State has determined, for purposes of section

20 6(j)(1)(A) of the Export Administration Act of 1979

21 (50 U.S.C. App. 2405(j)(1)(A)), has repeatedly pro22 vided support for acts of international terrorism.

23 (4) The Secretary of State has determined under

24 the terms of section 6(j)(1)(A) of the Export Adminis-
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1 tration Act of 1979 that Syria has repeatedly pro2 vided support for acts of international terrorism.

3 (5) In 1994 Congress explicitly enacted section

4 73(f) of the Arms Export Control Act in order to tar5 get the transfer of ballistic missile technology to ter6 rorist nations.

7 (6) The presence of ballistic missiles in Syria

8 would pose a threat to United States Armed Forces

9 and to regional peace and stability in the Middle

10 East.

11 (b) SENSE OF SENATE.—It is the sense of the Senate

12 that—

13 (1) it is in the national security interests of the

14 United States and the State of Israel to prevent the

15 spread of ballistic missiles and related technology to

16 Syria;

17 (2) the Government of the People’s Republic of

18 China should continue to honor its agreement with

19 the United States not to export missiles or related

20 technology that would violate the Missile Technology

21 Control Regime; and

22 (3) the President should exercise all legal author23 ity available to the President to prevent the spread of

24 ballistic missiles and related technology to Syria.
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1 REFUGEE STATUS FOR ADULT CHILDREN OF FORMER VIET2 NAMESE REEDUCATION CAMP INTERNEES RESETTLED

3 UNDER THE ORDERLY DEPARTURE PROGRAM

4 SEC. 595. (a) ELIGIBILITY FOR ORDERLY DEPARTURE

5 PROGRAM.—For purposes of eligibility for the Orderly De6 parture Program for nationals of Vietnam, an alien de7 scribed in subsection (b) shall be considered to be a refugee

8 of special humanitarian concern to the United States with9 in the meaning of section 207 of the Immigration and Na10 tionality Act (8 U.S.C. 1157) and shall be admitted to the

11 United States for resettlement if the alien would be admissi12 ble as an immigrant under the Immigration and National13 ity Act (except as provided in section 207(c)(3) of that Act).

14 (b) ALIENS COVERED.—An alien described in this sub15 section is an alien who—

16 (1) is the son or daughter of a national of Viet17 nam who—

18 (A) was formerly interned in a reeducation

19 camp in Vietnam by the Government of the So20 cialist Republic of Vietnam; and

21 (B) has been accepted for resettlement as a

22 refugee under the Orderly Departure Program on

23 or after April 1, 1995;

24 (2) is 21 years of age or older; and
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1 (3) was unmarried as of the date of acceptance

2 of the alien’s parent for resettlement under the Or3 derly Departure Program.

4 (c) SUPERSEDES EXISTING LAW.—This section super5 sedes any other provision of law.

6 DEMOCRATIC PEOPLE’S REPUBLIC OF KOREA

7 SEC. 596. Ninety days after the date of enactment of

8 this Act, and every 180 days thereafter, the Secretary of

9 State, in consultation with the Secretary of Defense, shall

10 provide a report in a classified or unclassified form to the

11 Committee on Appropriations including the following infor12 mation:

13 (a) a best estimate on fuel used by the military

14 forces of the Democratic People’s Republic of Korea

15 (DPRK);

16 (b) the deployment position and military train17 ing and activities of the DPRK forces and best esti18 mate of the associated costs of these activities;

19 (c) steps taken to reduce the DPRK level of

20 forces; and

21 (d) cooperation, training, or exchanges of infor22 mation, technology or personnel between the DPRK

23 and any other nation supporting the development or

24 deployment of a ballistic missile capability.
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1 PROSECUTION OF MAJOR DRUG TRAFFICKERS RESIDING IN

2 MEXICO

3 SEC. 597. (a) REPORT.—(1) Not later than 30 days

4 after the date of enactment of this Act, the Administrator

5 of the Drug Enforcement Administration shall submit a re6 port to the President—

7 (A) identifying the 10 individuals who are in8 dicted in the United States for unlawful trafficking or

9 production of controlled substances most sought by

10 United States law enforcement officials and who there

11 is reason to believe reside in Mexico; and

12 (B) identifying 25 individuals not named under

13 paragraph (1) who have been indicted for such of14 fenses and who there is reason to believe reside in

15 Mexico.

16 (2) The President shall promptly transmit to the Gov17 ernment of Mexico a copy of the report submitted under

18 paragraph (1).

19 (b) PROHIBITION.—

20 (1) IN GENERAL.—None of the funds appro21 priated under the heading ‘‘International Military

22 Education and Training’’ may be made available for

23 any program, project, or activity for Mexico.
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1 (2) EXCEPTION.—Paragraph (1) shall not apply

2 if, not later than 6 months after the date of enactment

3 of this Act, the President certifies to Congress that—

4 (A) the Government of Mexico has extra5 dited to the United States the individuals named

6 pursuant to subsection (a)(1); or

7 (B) the Government of Mexico has appre8 hended and begun prosecution of the individuals

9 named pursuant to subsection (a)(1).

10 (c) WAIVER.—Subsection (b) shall not apply if the

11 President of Mexico certifies to the President of the United

12 States that—

13 (1) the Government of Mexico made intensive,

14 good faith efforts to apprehend the individuals named

15 pursuant to subsection (a)(1) but did not find one or

16 more of the individuals within Mexico; and

17 (2) the Government of Mexico has apprehended

18 and extradited or apprehended and prosecuted 3 indi19 viduals named pursuant to subsection (a)(2) for each

20 individual not found under paragraph (1).

21 DEOBLIGATION OF CERTAIN UNEXPENDED ECONOMIC

22 ASSISTANCE FUNDS

23 SEC. 598. Chapter 3 of part III of the Foreign Assist24 ance Act of 1961 (22 U.S.C. 2401 et seq.) is amended by

25 adding at the end the following:
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1 ‘‘SEC. 668. DEOBLIGATION OF CERTAIN UNEXPENDED

2 ECONOMIC ASSISTANCE FUNDS.

3 ‘‘(a) REQUIREMENT TO DEOBLIGATE.—

4 ‘‘(1) IN GENERAL.—Except as provided in sub5 section (b) of this section and in paragraphs (1) and

6 (3) of section 617(a) of this Act, at the beginning of

7 each fiscal year the President shall deobligate and re8 turn to the Treasury any funds described in para9 graph (2) that, as of the end of the preceding fiscal

10 year, have been obligated for a project or activity for

11 a period of more than 4 years but have not been ex12 pended.

13 ‘‘(2) FUNDS.—Paragraph (1) applies to funds

14 made available for—

15 ‘‘(A) assistance under chapter 1 of part I of

16 this Act (relating to development assistance),

17 chapter 10 of part I of this Act (relating to the

18 Development Fund for Africa), or chapter 4 of

19 part II of this Act (relating to the economic sup20 port fund);

21 ‘‘(B) assistance under the Support for East

22 European Democracy (SEED) Act of 1989; and

23 ‘‘(C) economic assistance for the independ24 ent states of the former Soviet Union under

25 chapter 11 of part I of this Act or under any
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1 other provision of law authorizing economic as2 sistance for such independent states.

3 ‘‘(b) EXCEPTIONS.—The President, on a case-by-case

4 basis, may waive the requirement of subsection (a)(1) if the

5 President determines and reports to the Congress that it is

6 in the national interest to do so.

7 ‘‘(c) APPROPRIATE CONGRESSIONAL COMMITTEES.—

8 As used in this section, the term ‘appropriate congressional

9 committees’ means the Committee on International Rela10 tions and the Committee on Appropriations of the House

11 of Representatives and the Committee on Foreign Relations

12 and the Committee on Appropriations of the Senate.’’.

13 SENSE OF SENATE REGARDING THE GOVERNMENT OF

14 BURUNDI

15 SEC. 599. (a) The Senate finds that:

16 (1) The political situation in the African nation

17 of Burundi has deteriorated and there are reports of

18 a military coup against the elected Government of

19 Burundi.

20 (2) The continuing ethnic conflict in Burundi

21 has caused untold suffering among the people of Bu22 rundi and has resulted in the deaths of over 150,000

23 people in the past two years.

24 (3) The attempt to overthrow the Government of

25 Burundi makes the possibility of an increase in the
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1 tension and the continued slaughter of innocent civil2 ians more likely.

3 (4) The United States and the International

4 Community have an interest in ending the crisis in

5 Burundi before it reaches the level of violence that oc6 curred in Rwanda in 1994 when over 800,000 people

7 died in the war between the Hutu and the Tutsi

8 tribes.

9 (b) Now, therefore it is the sense of the Senate that:

10 (1) The United States Senate condemns any vio11 lent action intended to overthrow the Government of

12 Burundi.

13 (2) Calls on all parties to the conflict in Bu14 rundi to exercise restraint in an effort to restore

15 peace.

16 (3) Urges the Administration to continue diplo17 matic efforts at the highest level to find a peaceful res18 olution to the crisis in Burundi.

19 SENSE OF THE SENATE REGARDING ENVIRONMENTAL

20 IMPACT ASSESSMENTS

21 SEC. 599A. (a) FINDINGS.—Congress finds that—

22 (1) Environmental Impact Assessments as a na23 tional instrument are undertaken for proposed activi24 ties that are likely to have a significant adverse im-
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1 pact on the environment and are subject to a decision

2 of a competent national authority;

3 (2) in 1978 the Senate adopted Senate Resolu4 tion 49, calling on the United States Government to

5 seek the agreement of other governments to a proposed

6 global treaty requiring the preparation of Environ7 mental Impact Assessments for any major project, ac8 tion, or continuing activity that may be reasonably

9 expected to have a significant adverse effect on the

10 physical environment or environmental interests of

11 another nation or a global commons area;

12 (3) subsequent to the adoption of Senate Resolu13 tion 49 in 1978, the United Nations Environment

14 Programme Governing Council adopted Goals and

15 Principles on Environmental Impact Assessment call16 ing on governments to undertake comprehensive Envi17 ronmental Impact Assessments in cases in which the

18 extent, nature, or location of a proposed activity is

19 such that the activity is likely to significantly affect

20 the environment; and

21 (4) on October 7, 1992, the Senate gave its ad22 vice and consent to the Protocol on Environmental

23 Protection to the Antarctic Treaty, which obligates

24 parties to the Antarctic Treaty to require Environ-
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1 mental Impact Assessment procedures for proposed

2 activities in Antarctica.

3 (b) SENSE OF THE SENATE.—It is the sense of the Sen4 ate that—

5 (1) the United States Government should encour6 age the governments of other nations to engage in ad7 ditional regional treaties regarding specific

8 transboundary activities that have adverse impacts on

9 the environment of other nations or a global commons

10 area; and

11 (2) such additional regional treaties should en12 sure that specific transboundary activities are under13 taken in environmentally sound ways and under

14 careful controls designed to avoid or minimize any

15 adverse environmental effects, through requirements

16 for Environmental Impact Assessments where appro17 priate.

18 INTERNATIONAL CRIMINAL TRIBUNAL

19 SEC. 599B. FINDINGS.—

20 (1) The United Nations, recognizing the need for

21 justice in the former Yugoslavia, established the Inter22 national Criminal Tribunal for the former Yugoslavia

23 (hereafter in this resolution referred to as the ‘‘Inter24 national Criminal Tribunal’’);
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1 (2) United Nations Security Council Resolution

2 827 of May 25, 1993, requires states to cooperate fully

3 with the International Criminal Tribunal;

4 (3) The parties to the General Framework Agree5 ment for Peace in Bosnia and Herzegovina and asso6 ciated Annexes (in this resolution referred to as the

7 ‘‘Peace Agreement’’) negotiated in Dayton, Ohio and

8 signed in Paris, France, on December 14, 1995, ac9 cepted, in Article IX, the obligation ‘‘to cooperate in

10 the investigation and prosecution of war crimes and

11 other violations of international humanitarian law’’;

12 (4) The Constitution of Bosnia and Herzegovina,

13 agreed to as Annex 4 of the Peace Agreement, pro14 vides, in Article IX, that ‘‘No person who is serving

15 a sentence imposed by the International Tribunal for

16 the former Yugoslavia, and no person who is under

17 indictment by the Tribunal and who has failed to

18 comply with an order to appear before the Tribunal,

19 may stand as a candidate or hold any appointive,

20 elective, or other public office in Bosnia and

21 Herzegovina’’;

22 (5) The International Criminal Tribunal has is23 sued 57 indictments against individuals from all par24 ties to the conflicts in the former Yugoslavia;
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1 (6) The International Criminal Tribunal contin2 ues to investigate gross violations of international law

3 in the former Yugoslavia with a view to further in4 dictments against the perpetrators;

5 (7) On July 25, 1995, the International Crimi6 nal Tribunal issued an indictment for Radovan

7 Karadzic, president of the Bosnian Serb administra8 tion of Pale, and Ratko Mladic, commander of the

9 Bosnian Serb administration and charged them with

10 genocide and crimes against humanity, violations of

11 the law or customs of war, and grave breaches of the

12 Geneva Conventions of 1949, arising from atrocities

13 perpetrated against the civilian population through14 out Bosnia-Herzegovina, for the sniping campaign

15 against civilians in Sarajevo, and for the taking of

16 United Nations peacekeepers as hostages and for their

17 use as human shields;

18 (8) On November 16, 1995, Karadzic and Mladic

19 were indicted a second time by the International

20 Criminal Tribunal, charged with genocide for the kill21 ing of up to 6,000 Muslims in Srebrenica, Bosnia, in

22 July 1995;

23 (9) The United Nations Security Council, in

24 adopting Resolution 1022 on November 22, 1995, de25 cided that economic sanctions on the Federal Republic
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1 of Yugoslavia (Serbia and Montenegro) and the so2 called Republika Srpska would be reimposed if, at

3 any time, the High Representative or the IFOR com4 mander informs the Security Council that the Federal

5 Republic of Yugoslavia or the Bosnian Serb authori6 ties are failing significantly to meet their obligations

7 under the Peace Agreement;

8 (10) The so-called Republika Srpska and the

9 Federal Republic of Yugoslavia (Serbia and

10 Montenegro) have failed to arrest and turn over for

11 prosecution indicted war criminals, including

12 Karadzic and Mladic;

13 (11) Efforts to politically isolate Karadzic and

14 Mladic have failed thus far and would in any case be

15 insufficient to comply with the Peace Agreement and

16 bring peace with justice to Bosnia and Herzegovina;

17 (12) The International Criminal Tribunal issued

18 international warrants for the arrest of Karadzic and

19 Mladic on July 11, 1996.

20 (13) In the so-called Republika Srpska freedom

21 of the press and freedom of assembly are severely lim22 ited and violence against ethnic and religious minori23 ties and opposition figures is on the rise;

24 (14) It will be difficult for national elections in

25 Bosnia and Herzegovina to take place meaningfully
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1 so long as key war criminals, including Karadzic and

2 Mladic, remain at large and able to influence politi3 cal and military developments;

4 (15) On June 6, 1996, the President of the Inter5 national Criminal Tribunal, declaring that the Fed6 eral Republic of Yugoslavia’s failure to extradite in7 dicted war criminals is a blatant violation of the

8 Peace Agreement and of United Nations Security

9 Council Resolutions, called on the High Representa10 tive to reimpose economic sanctions on the so-called

11 Republika Srpska and on the Federal Republic of

12 Yugoslavia (Serbia and Montenegro); and

13 (16) The apprehension and prosecution of in14 dicted war criminals is essential for peace and rec15 onciliation to be achieved and democracy to be estab16 lished throughout Bosnia and Herzegovina.

17 (b) SENSE OF THE SENATE.—It is the sense of the Sen18 ate that—

19 (1) the Senate finds that the International

20 Criminal Tribunal for the former Yugoslavia merits

21 continued and increased United States support for its

22 efforts to investigate and bring to justice the perpetra23 tors of gross violations of international law in the

24 former Yugoslavia;
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1 (2) the President of the United States should

2 support the request of the President of the Inter3 national Criminal Tribunal for the former Yugoslavia

4 for the High Representative to reimpose full economic

5 sanctions on the Federal Republic of Yugoslavia (Ser6 bia and Montenegro) and the so-called Republika

7 Srpska, in accordance with United Nations Security

8 Council Resolution 1022 (1995), until the Federal Re9 public of Yugoslavia (Serbia and Montenegro) and

10 Bosnian Serb authorities have complied with their ob11 ligations under the Peace Agreement and United Na12 tions Security Council Resolutions to cooperate fully

13 with the International Criminal Tribunal;

14 (3) the NATO-led Implementation Force (IFOR),

15 in carrying out its mandate, should make it an ur16 gent priority to detain and bring to justice persons

17 indicted by the International Criminal Tribunal; and

18 (4) states in the former Yugoslavia should not be

19 admitted to international organizations and fora

20 until and unless they have complied with their obliga21 tions under the Peace Agreement and United Nations

22 Security Council Resolutions to cooperate fully with

23 the International Criminal Tribunal.
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1 TITLE VI—NATO ENLARGEMENT FACILITATION

2 ACT OF 1996

3 SEC. 601. SHORT TITLE.

4 This title may be cited as the ‘‘NATO Enlargement

5 Facilitation Act of 1996’’.

6 SEC. 602. FINDINGS.

7 The Congress makes the following findings:

8 (1) Since 1949, the North Atlantic Treaty Orga9 nization (NATO) has played an essential role in

10 guaranteeing the security, freedom, and prosperity of

11 the United States and its partners in the Alliance.

12 (2) The NATO Alliance is, and has been since its

13 inception, purely defensive in character, and it poses

14 no threat to any nation. The enlargement of the

15 NATO Alliance to include as full and equal members

16 emerging democracies in Central and Eastern Europe

17 will serve to reinforce stability and security in Eu18 rope by fostering their integration into the structures

19 which have created and sustained peace in Europe

20 since 1945. Their admission into NATO will not

21 threaten any nation. America’s security, freedom, and

22 prosperity remain linked to the security of the coun23 tries of Europe.

24 (3) The sustained commitment of the member

25 countries of NATO to a mutual defense has made pos-
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1 sible the democratic transformation of Central and

2 Eastern Europe. Members of the Alliance can and

3 should play a critical role in addressing the security

4 challenges of the post-Cold War era and in creating

5 the stable environment needed for those emerging de6 mocracies in Central and Eastern Europe to success7 fully complete political and economic transformation.

8 (4) The United States continues to regard the

9 political independence and territorial integrity of all

10 emerging democracies in Central and Eastern Europe

11 as vital to European peace and security.

12 (5) The active involvement by the countries of

13 Central and Eastern Europe has made the Partner14 ship for Peace program an important forum to foster

15 cooperation between NATO and those countries seek16 ing NATO membership.

17 (6) NATO has enlarged its membership on 3 dif18 ferent occasions since 1949.

19 (7) Congress supports the admission of qualified

20 new members to NATO and the European Union at

21 an early date and has sought to facilitate the admis22 sion of qualified new members into NATO.

23 (8) As new members of NATO assume the re24 sponsibilities of Alliance membership, the costs of

25 maintaining stability in Europe should be shared
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1 more widely. Facilitation of the enlargement process

2 will require current members of NATO, and the Unit3 ed States in particular, to demonstrate the political

4 will needed to build on successful ongoing programs

5 such as the Warsaw Initiative and the Partnership

6 for Peace by making available the resources necessary

7 to supplement efforts prospective new members are

8 themselves undertaking.

9 (9) New members will be full members of the Al10 liance, enjoying all rights and assuming all the obli11 gations under the Washington Treaty.

12 (10) Cooperative regional peacekeeping initia13 tives involving emerging democracies in Central and

14 Eastern Europe that have expressed interest in join15 ing NATO, such as the Baltic Peacekeeping Battalion,

16 the Polish-Lithuanian Joint Peacekeeping Force, and

17 the Polish-Ukrainian Peacekeeping Force, can make

18 an important contribution to European peace and se19 curity and international peacekeeping efforts, can as20 sist those countries preparing to assume the respon21 sibilities of possible NATO membership, and accord22 ingly should receive appropriate support from the

23 United States.

24 (11) NATO remains the only multilateral secu25 rity organization capable of conducting effective mili-
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1 tary operations and preserving security and stability

2 of the Euro-Atlantic region.

3 (12) NATO is an important diplomatic forum

4 and has played a positive role in defusing tensions

5 between members of the Alliance and, as a result, no

6 military action has occurred between two Alliance

7 member states since the inception of NATO in 1949.

8 (13) The admission to NATO of emerging democ9 racies in Central and Eastern Europe which are

10 found to be in a position to further the principles of

11 the North Atlantic Treaty would contribute to inter12 national peace and enhance the security of the region.

13 Countries which have become democracies and estab14 lished market economies, which practice good neigh15 borly relations, and which have established effective

16 democratic civilian control over their defense estab17 lishments and attained a degree of interoperability

18 with NATO, should be evaluated for their potential to

19 further the principles of the North Atlantic Treaty.

20 (14) A number of Central and Eastern European

21 countries have expressed interest in NATO member22 ship, and have taken concrete steps to demonstrate

23 this commitment, including their participation in

24 Partnership for Peace activities.
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1 (15) The Caucasus region remains important

2 geographically and politically to the future security of

3 Central Europe. As NATO proceeds with the process

4 of enlargement, the United States and NATO should

5 continue to examine means to strengthen the sov6 ereignty and enhance the security of United Nations

7 recognized countries in that region.

8 (16) In recognition that not all countries which

9 have requested membership in NATO will necessarily

10 qualify at the same pace, the accession date for each

11 new member will vary.

12 (17) The provision of additional NATO transi13 tion assistance should include those emerging democ14 racies most ready for closer ties with NATO and

15 should be designed to assist other countries meeting

16 specified criteria of eligibility to move forward to17 ward eventual NATO membership.

18 (18) The Congress of the United States finds in

19 particular that Poland, Hungary, the Czech Republic,

20 and Slovenia have made significant progress toward

21 achieving the stated criteria and should be eligible for

22 the additional assistance described in this Act.

23 (19) The evaluation of future membership in

24 NATO for emerging democracies in Central and East25 ern Europe should be based on the progress of those
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1 nations in meeting criteria for NATO membership,

2 which require enhancement of NATO’s security and

3 the approval of all NATO members.

4 (20) The process of NATO enlargement entails

5 the agreement of the governments of all NATO mem6 bers in accordance with Article 10 of the Washington

7 Treaty.

8 (21) Some NATO members, such as Spain and

9 Norway, do not allow the deployment of nuclear

10 weapons on their territory although they are accorded

11 the full collective security guarantees provided by ar12 ticle V of the Washington treaty. There is no prior re13 quirement for the stationing of nuclear weapons on

14 the territory of new NATO members, particularly in

15 the current security climate, however NATO retains

16 the right to alter its security posture at any time as

17 circumstances warrant.

18 SEC. 603. UNITED STATES POLICY.

19 It is the policy of the United States—

20 (1) to join with the NATO allies of the United

21 States to adapt the role of the NATO Alliance in the

22 post-Cold War world;

23 (2) to actively assist the emerging democracies in

24 Central and Eastern Europe in their transition so
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1 that such countries may eventually qualify for NATO

2 membership; and

3 (3) to work to define a constructive and coopera4 tive political and security relationship between an en5 larged NATO and the Russian Federation.

6 SEC. 604. SENSE OF THE CONGRESS REGARDING FURTHER

7 ENLARGEMENT OF NATO.

8 It is the sense of the Congress that in order to promote

9 economic stability and security in Slovakia, Estonia, Lat10 via, Lithuania, Romania, Bulgaria, Albania, Moldova, and

11 Ukraine—

12 (1) the United States should continue and ex13 pand its support for the full and active participation

14 of these countries in activities appropriate for quali15 fying for NATO membership;

16 (2) the United States Government should use all

17 diplomatic means available to press the European

18 Union to admit as soon as possible any country

19 which qualifies for membership;

20 (3) the United States Government and the North

21 Atlantic Treaty Organization should continue and ex22 pand their support for military exercises and peace23 keeping initiatives between and among these nations,

24 nations of the North Atlantic Treaty Organization,

25 and Russia; and
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1 (4) the process of enlarging NATO to include

2 emerging democracies in Central and Eastern Europe

3 should not be limited to consideration of admitting

4 Poland, Hungary, the Czech Republic, and Slovenia

5 as full members to the NATO Alliance.

6 SEC. 605. SENSE OF THE CONGRESS REGARDING ESTONIA,

7 LATVIA, AND LITHUANIA.

8 In view of the forcible incorporation of Estonia, Lat9 via, Lithuania into the Soviet Union in 1940 under the

10 Molotov-Ribbentrop Pact and the refusal of the United

11 States and other countries to recognize that incorporation

12 for over 50 years, it is the sense of the Congress that—

13 (1) Estonia, Latvia, and Lithuania have valid

14 historical security concerns that must be taken into

15 account by the United States; and

16 (2) Estonia, Latvia, and Lithuania should not

17 be disadvantaged in seeking to join NATO by virtue

18 of their forcible incorporation into the Soviet Union.

19 SEC. 606. DESIGNATION OF COUNTRIES ELIGIBLE FOR

20 NATO ENLARGEMENT ASSISTANCE.

21 (a) IN GENERAL.—The following countries are des22 ignated as eligible to receive assistance under the program

23 established under section 203(a) of the NATO Participation

24 Act of 1994 and shall be deemed to have been so designated
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1 pursuant to section 203(d) of such Act: Poland, Hungary,

2 the Czech Republic, and Slovenia.

3 (b) DESIGNATION OF OTHER COUNTRIES.—The Presi4 dent shall designate other emerging democracies in Central

5 and Eastern Europe as eligible to receive assistance under

6 the program established under section 203(a) of such Act

7 if such countries—

8 (1) have expressed a clear desire to join NATO;

9 (2) have begun an individualized dialogue with

10 NATO in preparation for accession;

11 (3) are strategically significant to an effective

12 NATO defense; and

13 (4) meet the other criteria outlined in section

14 203(d) of the NATO Participation Act of 1994 (title

15 II of Public Law 103–447; 22 U.S.C. 1928 note).

16 (c) RULE OF CONSTRUCTION.—Subsection (a) does not

17 preclude the designation by the President of Estonia, Lat18 via, Lithuania, Romania, Slovakia, Bulgaria, Albania,

19 Moldova, Ukraine, or any other emerging democracy in

20 Central and Eastern Europe pursuant to section 203(d) of

21 the NATO Participation Act of 1994 as eligible to receive

22 assistance under the program established under section

23 203(a) of such Act.
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1 SEC. 607. AUTHORIZATION OF APPROPRIATIONS FOR NATO

2 ENLARGEMENT ASSISTANCE.

3 (a) IN GENERAL.—There are authorized to be appro4 priated $60,000,000 for fiscal year 1997 for the program

5 established under section 203(a) of the NATO Participation

6 Act of 1994.

7 (b) AVAILABILITY.—Of the funds authorized to be ap8 propriated by subsection (a)—

9 (1) not less than $20,000,000 shall be available

10 for the subsidy cost, as defined in section 502(5) of

11 the Credit Reform Act of 1990, of direct loans pursu12 ant to the authority of section 203(c)(4) of the NATO

13 Participation Act of 1994 (relating to the ‘‘Foreign

14 Military Financing Program’’);

15 (2) not less than $30,000,000 shall be available

16 for assistance on a grant basis pursuant to the au17 thority of section 203(c)(4) of the NATO Participa18 tion Act of 1994 (relating to the ‘‘Foreign Military

19 Financing Program’’); and

20 (3) not more than $10,000,000 shall be available

21 for assistance pursuant to the authority of section

22 203(c)(3) of the NATO Participation Act of 1994 (re23 lating to international military education and train24 ing).

25 (c) RULE OF CONSTRUCTION.—Amounts authorized to

26 be appropriated under this section are authorized to be ap-
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1 propriated in addition to such amounts as otherwise may

2 be available for such purposes.

3 SEC. 608. REGIONAL AIRSPACE INITIATIVE AND PARTNER4 SHIP FOR PEACE INFORMATION MANAGE5 MENT SYSTEM.

6 (a) IN GENERAL.—Funds described in subsection (b)

7 are authorized to be made available to support the imple8 mentation of the Regional Airspace Initiative and the Part9 nership for Peace Information Management System, includ10 ing—

11 (1) the procurement of items in support of these

12 programs; and

13 (2) the transfer of such items to countries par14 ticipating in these programs, which may include Po15 land, Hungary, the Czech Republic, Slovenia, Slo16 vakia, Estonia, Latvia, Lithuania, Romania, Bul17 garia, Moldova, Ukraine, and Albania.

18 (b) FUNDS DESCRIBED.—Funds described in this sub19 section are funds that are available—

20 (1) during any fiscal year under the NATO Par21 ticipation Act of 1994 with respect to countries eligi22 ble for assistance under that Act; or

23 (2) during fiscal year 1997 under any Act to

24 carry out the Warsaw Initiative.
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1 SEC. 609. EXCESS DEFENSE ARTICLES.

2 (a) PRIORITY DELIVERY.—Notwithstanding any other

3 provision of law, the provision and delivery of excess defense

4 articles under the authority of section 203(c) (1) and (2)

5 of the NATO Participation Act of 1994 and section 516

6 of the Foreign Assistance Act of 1961 shall be given priority

7 to the maximum extent feasible over the provision and de8 livery of such excess defense articles to all other countries

9 except those countries referred to in section 541 of the For10 eign Operations, Export Financing, and Related Programs

11 Appropriations Act, 1995 (Public Law 103–306; 108 Stat.

12 1640).

13 (b) COOPERATIVE REGIONAL PEACEKEEPING INITIA14 TIVES.—The Congress encourages the President to provide

15 excess defense articles and other appropriate assistance to

16 cooperative regional peacekeeping initiatives involving

17 emerging democracies in Central and Eastern Europe that

18 have expressed an interest in joining NATO in order to en19 hance their ability to contribute to European peace and se20 curity and international peacekeeping efforts.

21 SEC. 610. MODERNIZATION OF DEFENSE CAPABILITY.

22 The Congress endorses efforts by the United States to

23 modernize the defense capability of Poland, Hungary, the

24 Czech Republic, Slovenia, and any other countries des25 ignated by the President pursuant to section 203(d) of the

26 NATO Participation Act of 1994, by exploring with such
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1 countries options for the sale or lease to such countries of

2 weapons systems compatible with those used by NATO

3 members, including air defense systems, advanced fighter

4 aircraft, and telecommunications infrastructure.

5 SEC. 611. TERMINATION OF ELIGIBILITY.

6 Section 203(f) of the NATO Participation Act of 1994

7 (title II of Public Law 103–447; 22 U.S.C. 1928 note) is

8 amended to read as follows:

9 ‘‘(f) TERMINATION OF ELIGIBILITY.—(1) The eligi10 bility of a country designated under subsection (d) for the

11 program established in subsection (a) shall terminate 30

12 days after the President makes a certification under para13 graph (2) unless, within the 30-day period, the Congress

14 enacts a joint resolution disapproving the termination of

15 eligibility.

16 ‘‘(2) Whenever the President determines that the gov17 ernment of a country designated under subsection (d)—

18 ‘‘(A) no longer meets the criteria set forth in sub19 section (d)(2)(A);

20 ‘‘(B) is hostile to the NATO Alliance; or

21 ‘‘(C) poses a national security threat to the

22 United States,

23 then the President shall so certify to the appropriate con24 gressional committees.
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1 ‘‘(3) Nothing in this title affects the eligibility of coun2 tries to participate under other provisions of law in pro3 grams described in this Act.’’.

4 SEC. 612. AMENDMENTS TO THE NATO PARTICIPATION ACT.

5 (a) CONFORMING AMENDMENT.—The NATO Partici6 pation Act of 1994 (title II of Public Law 103–447; 22

7 U.S.C. 1928 note) is amended in sections 203(a), 203(d)(1),

8 and 203(d)(2) by striking ‘‘countries emerging from com9 munist domination’’ each place it appears and inserting

10 ‘‘emerging democracies in Central and Eastern Europe’’.

11 (b) DEFINITIONS.—The NATO Participation Act of

12 1994 (title II of Public Law 103–446; 22 U.S.C. 1928 note)

13 is amended by adding at the end the following new section:

14 ‘‘SEC. 206. DEFINITIONS.

15 ‘‘The term ‘emerging democracies in Central and East16 ern Europe’ includes, but is not limited to, Albania, Bul17 garia, the Czech Republic, Estonia, Hungary, Latvia, Lith18 uania, Moldova, Poland, Romania, Slovakia, Slovenia, and

19 Ukraine.’’.

20 SEC. 613. DEFINITIONS.

21 As used in this title:

22 (1) EMERGING DEMOCRACIES IN CENTRAL AND

23 EASTERN EUROPE.—The term ‘‘emerging democracies

24 in Central and Eastern Europe’’ includes, but is not

25 limited to, Albania, Bulgaria, the Czech Republic, Es-
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1 tonia, Hungary, Latvia, Lithuania, Moldova, Poland,

2 Romania, Slovakia, Slovenia, and Ukraine.

3 (2) NATO.—The term ‘‘NATO’’ means the North

4 Atlantic Treaty Organization.

5 TITLE VII—MIDDLE EAST DEVELOPMENT BANK

6 SEC. 701. SHORT TITLE.

7 This title may be cited as the ‘‘Bank for Economic Co8 operation and Development in the Middle East and North

9 Africa Act’’.

10 SEC. 702. ACCEPTANCE OF MEMBERSHIP.

11 The President is hereby authorized to accept member12 ship for the United States in the Bank for Economic Co13 operation and Development in the Middle East and North

14 Africa (in this title referred to as the ‘‘Bank’’) provided for

15 by the agreement establishing the Bank (in this title referred

16 to as the ‘‘Agreement’’), signed on May 31, 1996.

17 SEC. 703. GOVERNOR AND ALTERNATE GOVERNOR.

18 (a) APPOINTMENT.—At the inaugural meeting of the

19 Board of Governors of the Bank, the Governor and the alter20 nate for the Governor of the International Bank for Recon21 struction and Development, appointed pursuant to section

22 3 of the Bretton Woods Agreements Act, shall serve ex-officio

23 as a Governor and the alternate for the Governor, respec24 tively, of the Bank. The President, by and with the advice
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1 and consent of the Senate, shall appoint a Governor of the

2 Bank and an alternate for the Governor.

3 (b) COMPENSATION.—Any person who serves as a gov4 ernor of the Bank or as an alternate for the Governor may

5 not receive any salary or other compensation from the Unit6 ed States by reason of such service.

7 SEC. 704. APPLICABILITY OF CERTAIN PROVISIONS OF THE

8 BRETTON WOODS AGREEMENTS ACT.

9 Section 4 of the Bretton Woods Agreements Act shall

10 apply to the Bank in the same manner in which such sec11 tion applies to the International Bank for Reconstruction

12 and Development and the International Monetary Fund.

13 SEC. 705. FEDERAL RESERVE BANKS AS DEPOSITORIES.

14 Any Federal Reserve Bank which is requested to do

15 so by the Bank may act as its depository, or as its fiscal

16 agent, and the Board of Governors of the Federal Reserve

17 System shall exercise general supervision over the carrying

18 out of these functions.

19 SEC. 706. SUBSCRIPTION OF STOCK.

20 (a) SUBSCRIPTION AUTHORITY.—

21 (1) IN GENERAL.—The Secretary of the Treasury

22 may subscribe on behalf of the United States to not

23 more than 7,011,270 shares of the capital stock of the

24 Bank.
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1 (2) EFFECTIVENESS OF SUBSCRIPTION COMMIT2 MENT.—Any commitment to make such subscription

3 shall be effective only to such extent or in such

4 amounts as are provided for in advance by appro5 priations Acts.

6 (b) LIMITATIONS ON AUTHORIZATION OF APPROPRIA7 TIONS.—For payment by the Secretary of the Treasury of

8 the subscription of the United States for shares described

9 in subsection (a), there are authorized to be appropriated

10 $1,050,007,800 without fiscal year limitation.

11 (c) LIMITATIONS ON OBLIGATION OF APPROPRIATED

12 AMOUNTS FOR SHARES OF CAPITAL STOCK.—

13 (1) PAID-IN CAPITAL STOCK.—

14 (A) IN GENERAL.—Not more than

15 $105,000,000 of the amounts appropriated pur16 suant to subsection (b) may be obligated for sub17 scription to shares of paid-in capital stock.

18 (B) FISCAL YEAR 1997.—Not more than

19 $52,500,000 of the amounts appropriated pursu20 ant to subsection (b) for fiscal year 1997 may be

21 obligated for subscription to shares of paid-in

22 capital stock.

23 (2) CALLABLE CAPITAL STOCK.—Not more than

24 $787,505,852 of the amounts appropriated pursuant
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1 to subsection (b) may be obligated for subscription to

2 shares of callable capital stock.

3 (d) DISPOSITION OF NET INCOME DISTRIBUTIONS BY

4 THE BANK.—Any payment made to the United States by

5 the Bank as a distribution of net income shall be covered

6 into the Treasury as a miscellaneous receipt.

7 SEC. 707. JURISDICTION AND VENUE OF CIVIL ACTIONS BY

8 OR AGAINST THE BANK.

9 (a) JURISDICTION.—The United States district courts

10 shall have original and exclusive jurisdiction of any civil

11 action brought in the United States by or against the Bank.

12 (b) VENUE.—For purposes of section 1391(b) of title

13 28, United States Code, the Bank shall be deemed to be a

14 resident of the judicial district in which the principal office

15 of the Bank in the United States, or its agent appointed

16 for the purpose of accepting service or notice of service, is

17 located.

18 SEC. 708. EFFECTIVENESS OF AGREEMENT.

19 The Agreement shall have full force and effect in the

20 United States, its territories and possessions, and the Com21 monwealth of Puerto Rico, upon acceptance of membership

22 by the United States in the Bank and the entry into force

23 of the Agreement.
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1 SEC. 709. EXEMPTION FROM SECURITIES LAWS FOR CER2 TAIN SECURITIES ISSUED BY THE BANK; RE3 PORTS REQUIRED.

4 (a) EXEMPTION FROM SECURITIES LAWS; REPORTS TO

5 SECURITIES AND EXCHANGE COMMISSION.—Any securities

6 issued by the Bank (including any guaranty by the Bank,

7 whether or not limited in scope) in connection with borrow8 ing of funds, or the guarantee of securities as to both prin9 cipal and interest, shall be deemed to be exempted securities

10 within the meaning of section 3(a)(2) of the Securities Act

11 of 1933 and section 3(a)(12) of the Securities Exchange Act

12 of 1934. The Bank shall file with the Securities and Ex13 change Commission such annual and other reports with re14 gard to such securities as the Commission shall determine

15 to be appropriate in view of the special character of the

16 Bank and its operations and necessary in the public inter17 est or for the protection of investors.

18 (b) AUTHORITY OF SECURITIES AND EXCHANGE COM19 MISSION TO SUSPEND EXEMPTION; REPORTS TO THE CON20 GRESS.—The Securities and Exchange Commission, acting

21 in consultation with such agency or officer as the President

22 shall designate, may suspend the provisions of subsection

23 (a) at any time as to any or all securities issued or guaran24 teed by the Bank during the period of such suspension. The

25 Commission shall include in its annual reports to the Con-
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1 gress such information as it shall deem advisable with re2 gard to the operations and effect of this section.

3 SEC. 710. TECHNICAL AMENDMENTS.

4 (a) ANNUAL REPORT REQUIRED ON PARTICIPATION OF

5 THE UNITED STATES IN THE BANK.—Section 1701 (c)(2)

6 of the International Financial Institutions Act (22 U.S.C.

7 262r(c)(2)) is amended by inserting ‘‘Bank for Economic

8 Cooperation and Development in the Middle East and

9 North Africa,’’ after ‘‘Inter-American Development Bank’’.

10 (b) EXEMPTION FROM LIMITATIONS AND RESTRIC11 TIONS ON POWER OF NATIONAL, BANKING ASSOCIATIONS

12 TO DEAL IN AND UNDERWRITE INVESTMENT SECURITIES

13 OF THE BANK.—The seventh sentence of paragraph 7 of sec14 tion 5136 of the Revised Statutes of the United States (12

15 U.S.C. 24) is amended by inserting ‘‘Bank for Economic

16 Cooperation and Development in the Middle East and

17 North Africa,’’ after ‘‘the Inter-American Development

18 Bank’’.

19 (c) BENEFITS FOR UNITED STATES CITIZEN-REP20 RESENTATIVES TO THE BANK.—Section 51 of Public Law

21 91–599 (22 U.S.C. 276c–2) is amended by inserting ‘‘the

22 Bank for Economic Cooperation and Development in the

23 Middle East and North Africa,’’ after ‘‘the Inter-American

24 Development Bank,’’.
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1 This Act may be cited as the ‘‘Foreign Operations, Ex2 port Financing, and Related Programs Appropriations Act,

3 1997’’.

Attest:

Secretary.
104TH CONGRESS

2D SESSION H. R. 3540

AMENDMENT
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