Calendar No. 470

104TH CONGRESS

2D SESSION H.R. 3540

[Report No. 104–295]

AN ACT

Making appropriations for foreign operations, exother purposes. cal year ending September 30, 1997, and for port financing, and related programs for the fisJUNE 12, 1996

Received; read twice and referred to the Committee on

J

Appropriations

UNE 27, 1996

Reported with an amendment
II

Calendar No. 470

104TH CONGRESS

2D SESSION H.R. 3540

[Report No. 104–295]

IN THE SENATE OF THE UNITED STATES

JUNE 12, 1996

Received; read twice and referred to the Committee on Appropriations

JUNE 27, 1996

Reported by Mr. MCCONNELL, with an amendment

[Strike all after the enacting clause and insert the part printed in italic]

AN ACT

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

September 30, 1997, and for other purposes.

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

3 That the following sums are appropriated, out of any

4 money in the Treasury not otherwise appropriated, for the

5 fiscal year ending September 30, 1997, and for other pur6 poses, namely:
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1 TITLE I—EXPORT AND INVESTMENT

2 ASSISTANCE

3 EXPORT-IMPORT BANK OF THE UNITED STATES

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

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

10 Corporation Control Act, as may be necessary in carrying

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

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

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

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

19 Act that has detonated a nuclear explosive after the date

20 of enactment of this Act.

21 SUBSIDY APPROPRIATION

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

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

25 $726,000,000 to remain available until September 30,

26 1998: Provided, That such costs, including the cost of
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1 modifying such loans, shall be as defined in section 502

2 of the Congressional Budget Act of 1974: Provided fur3 ther, That such sums shall remain available until 2012 for

4 the disbursement of direct loans, loan guarantees, insur5 ance and tied-aid grants obligated in fiscal years 1997 and

6 1998: Provided further, That up to $50,000,000 of funds

7 appropriated by this paragraph shall remain available

8 until expended and may be used for tied-aid grant pur9 poses: Provided further, That none of the funds appro10 priated by this paragraph may be used for tied-aid credits

11 or grants except through the regular notification proce12 dures of the Committees on Appropriations: Provided fur13 ther, That funds appropriated by this paragraph are made

14 available notwithstanding section 2(b)(2) of the Export15 Import Bank Act of 1945, in connection with the purchase

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

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

18 ADMINISTRATIVE EXPENSES

19 For administrative expenses to carry out the direct

20 and guaranteed loan and insurance programs (to be com21 puted on an accrual basis), including hire of passenger

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

23 3109, and not to exceed $20,000 for official reception and

24 representation expenses for members of the Board of Di25 rectors, $47,614,000 (reduced by $1,000,000): Provided,

26 That necessary expenses (including special services per-
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1 formed on a contract or fee basis, but not including other

2 personal services) in connection with the collection of mon3 eys owed the Export-Import Bank, repossession or sale of

4 pledged collateral or other assets acquired by the Export5 Import Bank in satisfaction of moneys owed the Export6 Import Bank, or the investigation or appraisal of any

7 property, or the evaluation of the legal or technical aspects

8 of any transaction for which an application for a loan,

9 guarantee or insurance commitment has been made, shall

10 be considered nonadministrative expenses for the purposes

11 of this heading: Provided further, That, notwithstanding

12 subsection (b) of section 117 of the Export Enhancement

13 Act of 1992, subsection (a) thereof shall remain in effect

14 until October 1, 1997.

15 OVERSEAS PRIVATE INVESTMENT CORPORATION

16 NONCREDIT ACCOUNT

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

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

20 commitments within the limits of funds available to it and

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

22 That the amount available for administrative expenses to

23 carry out the credit and insurance programs (including an

24 amount for official reception and representation expenses

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

26 $30,000,000: Provided further, That project-specific trans-
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1 action costs, including direct and indirect costs incurred

2 in claims settlements, and other direct costs associated

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

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

7 PROGRAM ACCOUNT

8 For the cost of direct and guaranteed loans,

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

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

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

13 Provided further, That such sums shall be available for di14 rect loan obligations and loan guaranty commitments in15 curred or made during fiscal years 1997 and 1998: Pro16 vided further, That such sums shall remain available

17 through fiscal year 2005 for the disbursement of direct

18 and guaranteed loans obligated in fiscal year 1997, and

19 through fiscal year 2006 for the disbursement of direct

20 and guaranteed loans obligated in fiscal year 1998. In ad21 dition, such sums as may be necessary for administrative

22 expenses to carry out the credit program may be derived

23 from amounts available for administrative expenses to

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

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

2 TRADE AND DEVELOPMENT AGENCY

3 For necessary expenses to carry out the provisions

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

5 $38,000,000, to remain available for obligation until Sep6 tember 30, 1998: Provided, That the Trade and Develop7 ment Agency may receive reimbursements from corpora8 tions and other entities for the costs of grants for feasibil9 ity studies and other project planning services, to be de10 posited as an offsetting collection to this account and to

11 be available for obligation until September 30, 1998, for

12 necessary expenses under this paragraph: Provided fur13 ther, That such reimbursements shall not cover, or be allo14 cated against, direct or indirect administrative costs of the

15 agency.

16 TITLE II—BILATERAL ECONOMIC ASSISTANCE

17 FUNDS APPROPRIATED TO THE PRESIDENT

18 For expenses necessary to enable the President to

19 carry out the provisions of the Foreign Assistance Act of

20 1961, and for other purposes, to remain available until

21 September 30, 1997, unless otherwise specified herein, as

22 follows:

23 AGENCY FOR INTERNATIONAL DEVELOPMENT

24 CHILD SURVIVAL AND DISEASE PROGRAMS FUND

25 For necessary expenses to carry out the provisions

26 of part I and chapter 4 of part II of the Foreign Assist-
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1 ance Act of 1961, for child survival, basic education, as2 sistance to combat tropical and other diseases, and related

3 activities, in addition to funds otherwise available for such

4 purposes, $600,000,000, to remain available until ex5 pended: Provided, That this amount shall be made avail6 able for such activities as (1) immunization programs, (2)

7 oral rehydration programs, (3) health and nutrition pro8 grams, and related education programs, which address the

9 needs of mothers and children, (4) water and sanitation

10 programs, (5) assistance for displaced and orphaned chil11 dren, (6) programs for the prevention, treatment, and con12 trol of, and research on, tuberculosis, HIV/AIDS, polio,

13 malaria and other diseases, (7) not to exceed $98,000,000

14 for basic education programs for children, and (8) a con15 tribution on a grant basis to the United Nations Chil16 dren’s Fund (UNICEF) pursuant to section 301 of the

17 Foreign Assistance Act of 1961.

18 DEVELOPMENT ASSISTANCE

19 (INCLUDING TRANSFER OF FUNDS)

20 For necessary expenses to carry out the provisions

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

22 the Foreign Assistance Act of 1961, $1,150,000,000, to

23 remain available until September 30, 1998: Provided,

24 That none of the funds made available in this Act nor

25 any unobligated balances from prior appropriations may

26 be made available to any organization or program which,
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1 as determined by the President of the United States, sup2 ports or participates in the management of a program of

3 coercive abortion or involuntary sterilization: Provided fur4 ther, That none of the funds made available under this

5 heading may be used to pay for the performance of abor6 tion as a method of family planning or to motivate or co7 erce any person to practice abortions; and that in order

8 to reduce reliance on abortion in developing nations, funds

9 shall be available only to voluntary family planning

10 projects which offer, either directly or through referral to,

11 or information about access to, a broad range of family

12 planning methods and services: Provided further, That in

13 awarding grants for natural family planning under section

14 104 of the Foreign Assistance Act of 1961 no applicant

15 shall be discriminated against because of such applicant’s

16 religious or conscientious commitment to offer only natu17 ral family planning; and, additionally, all such applicants

18 shall comply with the requirements of the previous proviso:

19 Provided further, That for purposes of this or any other

20 Act authorizing or appropriating funds for foreign oper21 ations, export financing, and related programs, the term

22 ‘‘motivate’’, as it relates to family planning assistance,

23 shall not be construed to prohibit the provision, consistent

24 with local law, of information or counseling about all preg25 nancy options: Provided further, That nothing in this para-
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1 graph shall be construed to alter any existing statutory

2 prohibitions against abortion under section 104 of the

3 Foreign Assistance Act of 1961: Provided further, That

4 the total amount of funds appropriated under this heading

5 and under the heading ‘‘Child Survival and Disease Pro6 grams Fund’’ should be made available for each of the

7 sub-Saharan Africa and Latin America and Caribbean re8 gions in at least the same proportion as the total amount

9 identified in the fiscal year 1997 draft congressional pres10 entation document for development assistance for each

11 such region is to the total amount requested for develop12 ment assistance for such fiscal year.

13 PRIVATE AND VOLUNTARY ORGANIZATIONS

14 None of the funds appropriated or otherwise made

15 available by this Act for development assistance may be

16 made available to any United States private and voluntary

17 organization, except any cooperative development organi18 zation, which obtains less than 20 per centum of its total

19 annual funding for international activities from sources

20 other than the United States Government: Provided, That

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

22 Foreign Assistance Act of 1961 and the provisions on pri23 vate and voluntary organizations in title II of the ‘‘Foreign

24 Assistance and Related Programs Appropriations Act,

25 1985’’ (as enacted in Public Law 98–473) shall be super26 seded by the provisions of this section, except that the au-
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1 thority contained in the last sentence of section 123(g)

2 may be exercised by the Administrator with regard to the

3 requirements of this paragraph.

4 Funds appropriated or otherwise made available

5 under title II of this Act should be made available to pri6 vate and voluntary organizations at a level which is equiv7 alent to the level provided in fiscal year 1995. Such private

8 and voluntary organizations shall include those which op9 erate on a not-for-profit basis, receive contributions from

10 private sources, receive voluntary support from the public

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

12 successful providers of development assistance.

13 INTERNATIONAL DISASTER ASSISTANCE

14 For necessary expenses for international disaster re15 lief, rehabilitation, and reconstruction assistance pursuant

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

17 amended, $190,000,000, to remain available until ex18 pended.

19 DEBT RESTRUCTURING

20 For the cost, as defined in section 502 of the Con21 gressional Budget Act of 1974, of modifying direct loans

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

23 which funds have been appropriated or otherwise made

24 available for programs within the International Affairs

25 Budget Function 150, including the cost of selling, reduc26 ing, or canceling amounts, through debt buybacks and
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1 swaps, owed to the United States as a result of

2 concessional loans made to eligible Latin American and

3 Caribbean countries, pursuant to part IV of the Foreign

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

5 until expended: Provided, That none of the funds appro6 priated under this heading shall be obligated or expended

7 except as provided through the regular notification proce8 dures of the Committees on Appropriations.

9 MICRO AND SMALL ENTERPRISE DEVELOPMENT PROGRAM

10 ACCOUNT

11 For the cost of direct loans and loan guarantees,

12 $1,500,000, as authorized by section 108 of the Foreign

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

14 costs shall be as defined in section 502 of the Congres15 sional Budget Act of 1974: Provided further, That guaran16 tees of loans made under this heading in support of micro17 enterprise activities may guarantee up to 70 percent of

18 the principal amount of any such loans notwithstanding

19 section 108 of the Foreign Assistance Act of 1961. In ad20 dition, for administrative expenses to carry out programs

21 under this heading, $500,000, all of which may be trans22 ferred to and merged with the appropriation for Operating

23 Expenses of the Agency for International Development:

24 Provided further, That funds made available under this

25 heading shall remain available until September 30, 1998.
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1 HOUSING GUARANTY PROGRAM ACCOUNT

2 For the cost, as defined in section 502 of the Con3 gressional Budget Act of 1974, of guaranteed loans au4 thorized by sections 221 and 222 of the Foreign Assist5 ance Act of 1961, $500,000, to remain available until Sep6 tember 30, 1998: Provided, That these funds are available

7 to subsidize loan principal, 100 percent of which shall be

8 guaranteed, pursuant to the authority of such sections. In

9 addition, for administrative expenses to carry out guaran10 teed loan programs, $6,000,000, all of which may be

11 transferred to and merged with the appropriation for Op12 erating Expenses of the Agency for International Develop13 ment: Provided further, That commitments to guarantee

14 loans under this heading may be entered into notwith15 standing the second and third sentences of section 222(a)

16 and, with regard to programs for the benefit of South Af17 ricans disadvantaged by apartheid, section 223(j) of the

18 Foreign Assistance Act of 1961: Provided further, That

19 funds appropriated under this heading for the cost of

20 guaranteed loans may be made available for obligation

21 only for activities in South Africa.

22 PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND

23 DISABILITY FUND

24 For payment to the ‘‘Foreign Service Retirement and

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

26 Act of 1980, $43,826,000.
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1 OPERATING EXPENSES OF THE AGENCY FOR

2 INTERNATIONAL DEVELOPMENT

3 For necessary expenses to carry out the provisions

4 of section 667, $465,750,000: Provided, That of this

5 amount not more than $1,475,000 may be made available

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

7 the funds appropriated by this Act for programs adminis8 tered by the Agency for International Development (AID)

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

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

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

12 Administrator of the Agency or the Administrator’s des13 ignee.

14 OPERATING EXPENSES OF THE AGENCY FOR INTER15 NATIONAL DEVELOPMENT OFFICE OF INSPECTOR

16 GENERAL

17 For necessary expenses to carry out the provisions

18 of section 667, $30,000,000, to remain available until Sep19 tember 30, 1998, which sum shall be available for the Of20 fice of the Inspector General of the Agency for Inter21 national Development.

22 OTHER BILATERAL ECONOMIC ASSISTANCE

23 ECONOMIC SUPPORT FUND

24 For necessary expenses to carry out the provisions

25 of chapter 4 of part II, $2,336,000,000, to remain avail26 able until September 30, 1998: Provided, That any funds
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1 appropriated under this heading that are made available

2 for Israel shall be available on a grant basis as a cash

3 transfer and shall be disbursed within thirty days of enact4 ment of this Act or by October 31, 1996, whichever is

5 later: Provided further, That none of the funds appro6 priated under this heading shall be made available for

7 Zaire.

8 INTERNATIONAL FUND FOR IRELAND

9 For necessary expenses to carry out the provisions

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

11 1961, $19,600,000, which shall be available for the United

12 States contribution to the International Fund for Ireland

13 and shall be made available in accordance with the provi14 sions of the Anglo-Irish Agreement Support Act of 1986

15 (Public Law 99–415): Provided, That such amount shall

16 be expended at the minimum rate necessary to make time17 ly payment for projects and activities: Provided further,

18 That funds made available under this heading shall re19 main available until September 30, 1998.

20 ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC

21 STATES

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

23 of the Foreign Assistance Act of 1961 and the Support

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

25 $475,000,000, to remain available until September 30,

26 1998, which shall be available, notwithstanding any other
15

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1 provision of law, for economic assistance and for related

2 programs for Eastern Europe and the Baltic States.

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

4 appropriations Acts that are or have been made available

5 for an Enterprise Fund may be deposited by such Fund

6 in interest-bearing accounts prior to the Fund’s disburse7 ment of such funds for program purposes. The Fund may

8 retain for such program purposes any interest earned on

9 such deposits without returning such interest to the Treas10 ury of the United States and without further appropria11 tion by the Congress. Funds made available for Enterprise

12 Funds shall be expended at the minimum rate necessary

13 to make timely payment for projects and activities.

14 (c) Funds appropriated under this heading shall be

15 considered to be economic assistance under the Foreign

16 Assistance Act of 1961 for purposes of making available

17 the administrative authorities contained in that Act for

18 the use of economic assistance.

19 (d) None of the funds appropriated under this head20 ing may be made available for new housing construction

21 or repair or reconstruction of existing housing in Bosnia

22 and Herzegovina unless directly related to the efforts of

23 United States troops to promote peace in said country.

24 (e) With regard to funds appropriated or otherwise

25 made available under this heading for the economic revi-
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1 talization program in Bosnia and Herzegovina, and local

2 currencies generated by such funds (including the conver3 sion of funds appropriated under this heading into cur4 rency used by Bosnia and Herzegovina as local currency

5 and local currency returned or repaid under such pro6 gram)—

7 (1) the Administrator of the Agency for Inter8 national Development shall provide written approval

9 for grants and loans prior to the obligation and ex10 penditure of funds for such purposes, and prior to

11 the use of funds that have been returned or repaid

12 to any lending facility or grantee; and

13 (2) the provisions of section 531 of this Act

14 shall apply.

15 ASSISTANCE FOR THE NEW INDEPENDENT STATES OF

16 THE FORMER SOVIET UNION

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

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

19 1961 and the FREEDOM Support Act, for assistance for

20 the new independent states of the former Soviet Union

21 and for related programs, $590,000,000, to remain avail22 able until September 30, 1998: Provided, That the provi23 sions of section 498B(j) of the Foreign Assistance Act of

24 1961 shall apply to funds appropriated by this paragraph.

25 (b) None of the funds appropriated under this head26 ing shall be transferred to the Government of Russia—
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1 (1) unless that Government is making progress

2 in implementing comprehensive economic reforms

3 based on market principles, private ownership, nego4 tiating repayment of commercial debt, respect for

5 commercial contracts, and equitable treatment of

6 foreign private investment; and

7 (2) if that Government applies or transfers

8 United States assistance to any entity for the pur9 pose of expropriating or seizing ownership or control

10 of assets, investments, or ventures.

11 (c) Funds may be furnished without regard to sub12 section (b) if the President determines that to do so is

13 in the national interest.

14 (d) None of the funds appropriated under this head15 ing shall be made available to any government of the new

16 independent states of the former Soviet Union if that gov17 ernment directs any action in violation of the territorial

18 integrity or national sovereignty of any other new inde19 pendent state, such as those violations included in the Hel20 sinki Final Act: Provided, That such funds may be made

21 available without regard to the restriction in this sub22 section if the President determines and reports to the

23 Committees on Appropriations that to do so is in the na24 tional security interest of the United States: Provided fur25 ther, That the restriction of this subsection shall not apply
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1 to the use of such funds for the provision of assistance

2 for purposes of humanitarian, disaster and refugee relief.

3 (e) None of the funds appropriated under this head4 ing for the new independent states of the former Soviet

5 Union shall be made available for any state to enhance

6 its military capability: Provided, That this restriction does

7 not apply to demilitarization or nonproliferation programs.

8 (f) Funds appropriated under this heading shall be

9 subject to the regular notification procedures of the Com10 mittees on Appropriations.

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

12 to the new independent states of the former Soviet Union

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

14 to environment and natural resources) of the Foreign As15 sistance Act of 1961.

16 (h) Funds appropriated under this heading may be

17 made available for assistance for Mongolia.

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

19 to 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 orga24 nizations committed to private enterprise, and private vol25 untary organizations: Provided, That grantees and con-
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1 tractors should, to the maximum extent possible, place in

2 key staff positions specialists with prior on the ground ex3 pertise in the region of activity and fluency in one of the

4 local languages.

5 (j) In issuing new task orders, entering into con6 tracts, or making grants, with funds appropriated under

7 this heading or in prior appropriations Acts, for projects

8 or activities that have as one of their primary purposes

9 the fostering of private sector development, the Coordina10 tor for United States Assistance to the New Independent

11 States and the implementing agency shall encourage the

12 participation of and give significant weight to contractors

13 and grantees who propose investing a significant amount

14 of their own resources (including volunteer services and

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

16 (k)(1) None of the funds appropriated under this

17 heading may be made available for Russia unless the

18 President determines and certifies in writing to the Com19 mittees on Appropriations that the Government of Russia

20 has terminated implementation of arrangements to pro21 vide Iran with technical expertise, training, technology, or

22 equipment necessary to develop a nuclear reactor or relat23 ed nuclear research facilities or programs.

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

25 determines and reports to the Committees on Appropria-
20

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1 tions that making such funds available is important to the

2 national security interest of the United States. Any such

3 determination shall cease to be effective six months after

4 being made unless the President determines that its con5 tinuation is important to the national security interest of

6 the United States.

7 (l) Funds appropriated under this heading or in prior

8 appropriations Acts that are or have been made available

9 for an Enterprise Fund may be deposited by such Fund

10 in interest-bearing accounts prior to the disbursement of

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

12 may retain for such program purposes any interest earned

13 on such deposits without returning such interest to the

14 Treasury of the United States and without further appro15 priation by the Congress. Funds made available for Enter16 prise Funds shall be expended at the minimum rate nec17 essary to make timely payment for projects and activities.

18 (m)(1) Notwithstanding section 907 of the FREE19 DOM Support Act or any other provision of law, non20 governmental organizations and private voluntary organi21 zations shall not be precluded from using facilities or vehi22 cles of the Government of Azerbaijan to provide humani23 tarian assistance to refugees and internally displaced per24 sons in Azerbaijan with funds made available under this

25 heading, or from using such assistance to make necessary
21

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1 repairs to such facilities (such as health clinics and hous2 ing) or vehicles that are used to provide the assistance.

3 (2) Humanitarian assistance may be provided with

4 funds made available under this heading to refugees and

5 internally displaced persons in Azerbaijan only if humani6 tarian assistance is also provided to refugees and inter7 nally displaced persons in Nagorno-Karabagh with funds

8 made available under this heading, in accordance with

9 paragraph (3).

10 (3) Humanitarian assistance may be provided with

11 funds made available under this heading to refugees and

12 internally displaced persons in Azerbaijan and Nagorno13 Karabagh only in the proportion that the number of refu14 gees and internally displaced persons in Azerbaijan and

15 Nagorno-Karabagh, respectively, bears to the total num16 ber of refugees and internally displaced persons in both

17 Azerbaijan and Nagorno-Karabagh, but in no case more

18 than $7 to Azerbaijan for every dollar to Nagorno19 Karabagh.

20 INDEPENDENT AGENCIES

21 AFRICAN DEVELOPMENT FOUNDATION

22 For necessary expenses to carry out the provisions

23 of title V of the International Security and Development

24 Cooperation Act of 1980, Public Law 96–533, and to

25 make such contracts and commitments without regard to
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1 fiscal year limitations, as provided by 31 U.S.C. 9104,

2 $11,500,000: Provided, That when, with the permission

3 of the President of the Foundation, funds made available

4 to a grantee are invested pending disbursement, the re5 sulting interest is not required to be deposited in the Unit6 ed States Treasury if the grantee uses the resulting inter7 est for the purpose for which the grant was made: Pro8 vided further, That this provision applies with respect to

9 both interest earned before and interest earned after the

10 enactment of this provision: Provided further, That not11 withstanding section 505(a)(2) of the African Develop12 ment Foundation Act, in exceptional circumstances the

13 board of directors of the Foundation may waive the

14 $250,000 limitation contained in that section with respect

15 to a project: Provided further, That the Foundation shall

16 provide a report to the Committees on Appropriations

17 after each time such waiver authority is exercised.

18 INTER-AMERICAN FOUNDATION

19 For expenses necessary to carry out the functions of

20 the Inter-American Foundation in accordance with the

21 provisions of section 401 of the Foreign Assistance Act

22 of 1969, and to make such contracts and commitments

23 without regard to fiscal year limitations, as provided by

24 31 U.S.C. 9104, $20,000,000.
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1 PEACE CORPS

2 For expenses necessary to carry out the provisions

3 of the Peace Corps Act (75 Stat. 612), $212,000,000, in4 cluding the purchase of not to exceed five passenger motor

5 vehicles for administrative purposes for use outside of the

6 United States: Provided, That none of the funds appro7 priated under this heading shall be used to pay for abor8 tions: Provided further, That funds appropriated under

9 this heading shall remain available until September 30,

10 1998.

11 DEPARTMENT OF STATE

12 INTERNATIONAL NARCOTICS CONTROL

13 For necessary expenses to carry out section 481 of

14 the Foreign Assistance Act of 1961, $150,000,000: Pro15 vided, That during fiscal year 1997, the Department of

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

17 Act, without regard to its restrictions, to receive non-lethal

18 excess property from an agency of the United States Gov19 ernment for the purpose of providing it to a foreign coun20 try under chapter 8 of part I of that Act subject to the

21 regular notification procedures of the Committees on Ap22 propriations.

23 MIGRATION AND REFUGEE ASSISTANCE

24 For expenses, not otherwise provided for, necessary

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

26 by law, a contribution to the International Committee of
24

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1 the Red Cross, assistance to refugees, including contribu2 tions to the International Organization for Migration and

3 the United Nations High Commissioner for Refugees, and

4 other activities to meet refugee and migration needs; sala5 ries and expenses of personnel and dependents as author6 ized by the Foreign Service Act of 1980; allowances as

7 authorized by sections 5921 through 5925 of title 5, Unit8 ed States Code; purchase and hire of passenger motor ve9 hicles; and services as authorized by section 3109 of title

10 5, United States Code, $650,000,000: Provided, That not

11 more than $12,000,000 shall be available for administra12 tive expenses: Provided further, That obligations of funds

13 to the United Nations High Commissioner for Refugees

14 for support of refugees from Rwanda shall be subject to

15 the regular notification procedures of the Committees on

16 Appropriations.

17 REFUGEE RESETTLEMENT ASSISTANCE

18 For necessary expenses for the targeted assistance

19 program authorized by title IV of the Immigration and

20 Nationality Act and section 501 of the Refugee Education

21 Assistance Act of 1980 and administered by the Office of

22 Refugee Resettlement of the Department of Health and

23 Human Services, in addition to amounts otherwise avail24 able for such purposes, $5,000,000.
25

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1 UNITED STATES EMERGENCY REFUGEE AND MIGRATION

2 ASSISTANCE FUND

3 For necessary expenses to carry out the provisions

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

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

6 $50,000,000, to remain available until expended: Pro7 vided, That the funds made available under this heading

8 are appropriated notwithstanding the provisions contained

9 in section 2(c)(2) of the Act which would limit the amount

10 of funds which could be appropriated for this purpose.

11 NONPROLIFERATION, ANTI-TERRORISM, DEMINING AND

12 RELATED PROGRAMS

13 For necessary expenses for nonproliferation, anti-ter14 rorism and related programs and activities, $135,000,000,

15 to carry out the provisions of chapter 8 of part II of the

16 Foreign Assistance Act of 1961 for anti-terrorism assist17 ance, section 504 of the FREEDOM Support Act for the

18 Nonproliferation and Disarmanent Fund, section 23 of the

19 Arms Export Control Act for demining activities, notwith20 standing any other provision of law, including activities

21 implemented through nongovernmental and international

22 organizations, section 301 of the Foreign Assistance Act

23 of 1961 for a voluntary contribution to the International

24 Atomic Energy Agency (IAEA) and a voluntary contribu25 tion to the Korean Peninsula Energy Development Orga26 nization (KEDO), and for the acquisition and provision
26

HR 3540 RS

1 of goods and services, or for grants to Israel necessary

2 to support the eradication of terrorism in and around Is3 rael: Provided, That of this amount not to exceed

4 $15,000,000, to remain available until expended, may be

5 made available for the Nonproliferation and Disarmament

6 Fund, notwithstanding any other provision of law, to pro7 mote bilateral and multilateral activities relating to non8 proliferation and disarmament: Provided further, That

9 such funds may also be used for such countries other than

10 the new independent states of the former Soviet Union

11 and international organizations when it is in the national

12 security interest of the United States to do so: Provided

13 further, That such funds shall be subject to the regular

14 notification procedures of the Committees on Appropria15 tions: Provided further, That funds appropriated under

16 this heading may be made available for the International

17 Atomic Energy Agency only if the Secretary of State de18 termines (and so reports to the Congress) that Israel is

19 not being denied its right to participate in the activities

20 of that Agency: Provided further, That not to exceed

21 $13,000,000 may be made available to the Korean Penin22 sula Energy Development Organization (KEDO) only for

23 administrative expenses and heavy fuel oil costs associated

24 with the Agreed Framework: Provided further, That such
27

HR 3540 RS

1 funds shall be subject to the regular notification proce2 dures of the Committees on Appropriations.

3 TITLE III—MILITARY ASSISTANCE

4 FUNDS APPROPRIATED TO THE PRESIDENT

5 INTERNATIONAL MILITARY EDUCATION AND TRAINING

6 For necessary expenses to carry out the provisions

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

8 $45,000,000 (reduced by $1,525,000): Provided, That

9 none of the funds appropriated under this heading shall

10 be available for Zaire and Guatemala: Provided further,

11 That funds appropriated under this heading for grant fi12 nanced military education and training for Indonesia may

13 only be available for expanded international military edu14 cation and training.

15 FOREIGN MILITARY FINANCING PROGRAM

16 For expenses necessary for grants to enable the

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

18 Arms Export Control Act, $3,222,250,000: Provided, That

19 funds appropriated by this paragraph that are made avail20 able for Israel and Egypt shall be made available only as

21 grants: Provided further, That the funds appropriated by

22 this paragraph that are made available for Israel shall be

23 disbursed within thirty days of enactment of this Act or

24 by October 31, 1996, whichever is later: Provided further,

25 That to the extent that the Government of Israel requests

26 that funds be used for such purposes, grants made avail-
28

HR 3540 RS

1 able for Israel by this paragraph shall, as agreed by Israel

2 and the United States, be available for advanced weapons

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

4 available for the procurement in Israel of defense articles

5 and defense services, including research and development:

6 Provided further, That funds made available under this

7 paragraph shall be nonrepayable notwithstanding any re8 quirement in section 23 of the Arms Export Control Act:

9 Provided further, That none of the funds made available

10 under this heading shall be available for any non-NATO

11 country participating in the Partnership for Peace Pro12 gram except through the regular notification procedures

13 of the Committees on Appropriations.

14 For the cost, as defined in section 502 of the Con15 gressional Budget Act of 1974, of direct loans authorized

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

17 cost of direct loans, $35,000,000: Provided, That these

18 funds are available to subsidize gross obligations for the

19 principal amount of direct loans of not to exceed

20 $323,815,000: Provided further, That the rate of interest

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

22 average market yield on outstanding marketable obliga23 tions of the United States of comparable maturities: Pro24 vided further, That funds appropriated under this heading

25 shall be made available for Greece and Turkey only on
29

HR 3540 RS

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

2 each country shall not exceed the following: $103,471,000

3 only for Greece and $147,816,000 only for Turkey.

4 None of the funds made available under this heading

5 shall be available to finance the procurement of defense

6 articles, defense services, or design and construction serv7 ices that are not sold by the United States Government

8 under the Arms Export Control Act unless the foreign

9 country proposing to make such procurements has first

10 signed an agreement with the United States Government

11 specifying the conditions under which such procurements

12 may be financed with such funds: Provided, That all coun13 try and funding level increases in allocations shall be sub14 mitted through the regular notification procedures of sec15 tion 515 of this Act: Provided further, That funds made

16 available under this heading shall be obligated upon appor17 tionment in accordance with paragraph (5)(C) of title 31,

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

19 That none of the funds appropriated under this heading

20 shall be available for Zaire, Sudan, Liberia, and Guate21 mala: Provided further, That only those countries for

22 which assistance was justified for the ‘‘Foreign Military

23 Sales Financing Program’’ in the fiscal year 1989 con24 gressional presentation for security assistance programs

25 may utilize funds made available under this heading for
30

HR 3540 RS

1 procurement of defense articles, defense services or design

2 and construction services that are not sold by the United

3 States Government under the Arms Export Control Act:

4 Provided further, That, subject to the regular notification

5 procedures of the Committees on Appropriations, funds

6 made available under this heading for the cost of direct

7 loans may also be used to supplement the funds available

8 under this heading for grants, and funds made available

9 under this heading for grants may also be used to supple10 ment the funds available under this heading for the cost

11 of direct loans: Provided further, That funds appropriated

12 under this heading shall be expended at the minimum rate

13 necessary to make timely payment for defense articles and

14 services: Provided further, That not more than

15 $23,250,000 of the funds appropriated under this heading

16 may be obligated for necessary expenses, including the

17 purchase of passenger motor vehicles for replacement only

18 for use outside of the United States, for the general costs

19 of administering military assistance and sales: Provided

20 further, That not more than $355,000,000 of funds real21 ized pursuant to section 21(e)(1)(A) of the Arms Export

22 Control Act may be obligated for expenses incurred by the

23 Department of Defense during fiscal year 1997 pursuant

24 to section 43(b) of the Arms Export Control Act, except

25 that this limitation may be exceeded only through the reg-
31

HR 3540 RS

1 ular notification procedures of the Committees on Appro2 priations.

3 PEACEKEEPING OPERATIONS

4 For necessary expenses to carry out the provisions

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

6 $65,000,000: Provided, That none of the funds appro7 priated under this paragraph shall be obligated or ex8 pended except as provided through the regular notification

9 procedures of the Committees on Appropriations.

10 TITLE IV—MULTILATERAL ECONOMIC

11 ASSISTANCE

12 FUNDS APPROPRIATED TO THE PRESIDENT

13 INTERNATIONAL FINANCIAL INSTITUTIONS

14 CONTRIBUTION TO THE INTERNATIONAL BANK FOR

15 RECONSTRUCTION AND DEVELOPMENT

16 For payment to the International Bank for Recon17 struction and Development by the Secretary of the Treas18 ury, for the United States contribution to the Global Envi19 ronment Facility (GEF), $30,000,000, to remain available

20 until September 30, 1998.

21 CONTRIBUTION TO THE INTERNATIONAL DEVELOPMENT

22 ASSOCIATION

23 For payment to the International Development Asso24 ciation by the Secretary of the Treasury, $525,000,000,

25 for the United States contribution to the tenth replenish26 ment, to remain available until expended: Provided, That
32

HR 3540 RS

1 none of the funds made available for the International De2 velopment Association may be obligated until the Sec3 retary of the Treasury submits a report to the Committees

4 on Appropriations detailing the efforts made by United

5 States officials, during discussions leading to an agree6 ment to undertake the eleventh replenishment of the Asso7 ciation, to oppose the formation of an Interim Trust Fund,

8 and fully describing the adverse impacts to the United

9 States resulting from the Interim Trust Fund and other

10 potential alternative funding structures for the Association

11 during 1996 and 1997.

12 CONTRIBUTION TO THE INTERNATIONAL FINANCE

13 CORPORATION

14 For payment to the International Finance Corpora15 tion by the Secretary of the Treasury, $6,656,000, for the

16 United States share of the increase in subscriptions to

17 capital stock, to remain available until expended.

18 CONTRIBUTION TO THE INTER-AMERICAN DEVELOPMENT

19 BANK

20 For payment to the Inter-American Development

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

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

23 in capital stock, $25,610,667, and for the United States

24 share of the increase in the resources of the Fund for Spe25 cial Operations, $10,000,000, to remain available until ex26 pended.
33

HR 3540 RS

1 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

2 The United States Governor of the Inter-American

3 Development Bank may subscribe without fiscal year limi4 tation to the callable capital portion of the United States

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

6 $1,503,718,910.

7 CONTRIBUTION TO THE ENTERPRISE FOR THE AMERICAS

8 MULTILATERAL INVESTMENT FUND

9 For payment to the Enterprise for the Americas Mul10 tilateral Investment Fund by the Secretary of the Treas11 ury, for the United States contribution to the Fund to

12 be administered by the Inter-American Development

13 Bank, $27,500,000 to remain available until expended.

14 CONTRIBUTION TO THE ASIAN DEVELOPMENT BANK

15 For payment to the Asian Development Bank by the

16 Secretary of the Treasury for the United States share of

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

18 $13,221,596, to remain available until expended.

19 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

20 The United States Governor of the Asian Develop21 ment Bank may subscribe without fiscal year limitation

22 to the callable capital portion of the United States share

23 of such capital stock in an amount not to exceed

24 $647,858,204.
34

HR 3540 RS

1 CONTRIBUTION TO THE ASIAN DEVELOPMENT FUND

2 For the United States contribution by the Secretary

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

4 Development Fund, as authorized by the Asian Develop5 ment Bank Act, as amended (Public Law 89–369),

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

7 CONTRIBUTION TO THE EUROPEAN BANK FOR

8 RECONSTRUCTION AND DEVELOPMENT

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

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

12 share portion of the initial capital subscription, to remain

13 available until expended.

14 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

15 The United States Governor of the European Bank

16 for Reconstruction and Development may subscribe with17 out fiscal year limitation to the callable capital portion of

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

19 not to exceed $27,805,043.

20 NORTH AMERICAN DEVELOPMENT BANK

21 For payment to the North American Development

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

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

24 $50,625,000, to remain available until expended.
35

HR 3540 RS

1 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

2 The United States Governor of the North American

3 Development Bank may subscribe without fiscal year limi4 tation to the callable capital portion of the United States

5 share of the capital stock of the North American Develop6 ment Bank in an amount not to exceed $318,750,000.

7 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

8 For necessary expenses to carry out the provisions

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

10 of section 2 of the United Nations Environment Program

11 Participation Act of 1973, $136,000,000: Provided, That

12 none of the funds appropriated under this heading shall

13 be made available for the United Nations Fund for

14 Science and Technology: Provided further, That none of

15 the funds appropriated under this heading that are made

16 available to the United Nations Population Fund

17 (UNFPA) shall be made available for activities in the Peo18 ple’s Republic of China: Provided further, That not more

19 than $25,000,000 of the funds appropriated under this

20 heading may be made available to the UNFPA: Provided

21 further, That none of the funds appropriated under this

22 heading shall be made available to the UNFPA unless the

23 Secretary of State determines and reports to the Congress

24 that UNFPA programs in the People’s Republic of China

25 have ended and the United States has received assurances

26 that the UNFPA will not resume such programs during
36

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1 fiscal year 1997: Provided further, That none of the funds

2 appropriated under this heading may be made available

3 to the Korean Peninsula Energy Development Organiza4 tion (KEDO).

5 TITLE V—GENERAL PROVISIONS

6 OBLIGATIONS DURING LAST MONTH OF AVAILABILITY

7 SEC. 501. Except for the appropriations entitled

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

9 Emergency Refugee and Migration Assistance Fund’’, not

10 more than 15 per centum of any appropriation item made

11 available by this Act shall be obligated during the last

12 month of availability.

13 PROHIBITION OF BILATERAL FUNDING FOR

14 INTERNATIONAL FINANCIAL INSTITUTIONS

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

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

17 209(d) of the Foreign Assistance Act of 1961.

18 LIMITATION ON RESIDENCE EXPENSES

19 SEC. 503. Of the funds appropriated or made avail20 able pursuant to this Act, not to exceed $126,500 shall

21 be for official residence expenses of the Agency for Inter22 national Development during the current fiscal year: Pro23 vided, That appropriate steps shall be taken to assure

24 that, to the maximum extent possible, United States25 owned foreign currencies are utilized in lieu of dollars.
37

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1 LIMITATION ON EXPENSES

2 SEC. 504. Of the funds appropriated or made avail3 able pursuant to this Act, not to exceed $5,000 shall be

4 for entertainment expenses of the Agency for International

5 Development during the current fiscal year.

6 LIMITATION ON REPRESENTATIONAL ALLOWANCES

7 SEC. 505. Of the funds appropriated or made avail8 able pursuant to this Act, not to exceed $95,000 shall be

9 available for representation allowances for the Agency for

10 International Development during the current fiscal year:

11 Provided, That appropriate steps shall be taken to assure

12 that, to the maximum extent possible, United States13 owned foreign currencies are utilized in lieu of dollars:

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

15 Act for general costs of administering military assistance

16 and sales under the heading ‘‘Foreign Military Financing

17 Program’’, not to exceed $2,000 shall be available for en18 tertainment expenses and not to exceed $50,000 shall be

19 available for representation allowances: Provided further,

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

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

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

23 allowances: Provided further, That of the funds made

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

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

26 and representation allowances: Provided further, That of
38

HR 3540 RS

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

2 not to exceed a total of $4,000 shall be available for enter3 tainment expenses: Provided further, That of the funds

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

5 Development Agency’’, not to exceed $2,000 shall be avail6 able for representation and entertainment allowances.

7 PROHIBITION ON FINANCING NUCLEAR GOODS

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

9 available (other than funds for ‘‘Nonproliferation, Anti10 terrorism, Demining and Related Programs’’) pursuant to

11 this Act, for carrying out the Foreign Assistance Act of

12 1961, may be used, except for purposes of nuclear safety,

13 to finance the export of nuclear equipment, fuel, or tech14 nology.

15 PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN

16 COUNTRIES

17 SEC. 507. None of the funds appropriated or other18 wise made available pursuant to this Act shall be obligated

19 or expended to finance directly any assistance or repara20 tions to Cuba, Iraq, Libya, North Korea, Iran, Sudan, or

21 Syria: Provided, That for purposes of this section, the pro22 hibition on obligations or expenditures shall include direct

23 loans, credits, insurance and guarantees of the Export-Im24 port Bank or its agents.
39

HR 3540 RS

1 MILITARY COUPS

2 SEC. 508. None of the funds appropriated or other3 wise made available pursuant to this Act shall be obligated

4 or expended to finance directly any assistance to any coun5 try whose duly elected Head of Government is deposed by

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

7 resumed to such country if the President determines and

8 reports to the Committees on Appropriations that subse9 quent to the termination of assistance a democratically

10 elected 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

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

16 prior to the exercise of any authority contained in the For17 eign Assistance Act of 1961 to transfer funds, consults

18 with and provides a written policy justification to the

19 Committees on Appropriations of the House of Represent20 atives and the Senate.

21 DEOBLIGATION/REOBLIGATION AUTHORITY

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

23 1311 of the Supplemental Appropriations Act, 1955, as

24 having been obligated against appropriations heretofore

25 made under the authority of the Foreign Assistance Act

26 of 1961 for the same general purpose as any of the head-
40

HR 3540 RS

1 ings under title II of this Act are, if deobligated, hereby

2 continued available for the same period as the respective

3 appropriations under such headings or until September

4 30, 1997, whichever is later, and for the same general pur5 pose, and for countries within the same region as origi6 nally obligated: Provided, That the Appropriations Com7 mittees of both Houses of the Congress are notified fifteen

8 days in advance of the reobligation of such funds in ac9 cordance with regular notification procedures of the Com10 mittees on Appropriations.

11 (b) Obligated balances of funds appropriated to carry

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

13 end of the fiscal year immediately preceding the current

14 fiscal year are, if deobligated, hereby continued available

15 during the current fiscal year for the same purpose under

16 any authority applicable to such appropriations under this

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

18 not be used in fiscal year 1997.

19 AVAILABILITY OF FUNDS

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

21 this Act shall remain available for obligation after the ex22 piration of the current fiscal year unless expressly so pro23 vided in this Act: Provided, That funds appropriated for

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

25 667, and chapter 4 of part II of the Foreign Assistance

26 Act of 1961, as amended, and funds provided under the
41

HR 3540 RS

1 heading ‘‘Assistance for Eastern Europe and the Baltic

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

3 funds are initially obligated before the expiration of their

4 respective periods of availability contained in this Act:

5 Provided further, That, notwithstanding any other provi6 sion of this Act, any funds made available for the purposes

7 of chapter 1 of part I and chapter 4 of part II of the

8 Foreign Assistance Act of 1961 which are allocated for

9 cash disbursements in order to address balance of pay10 ments or economic policy reform objectives, shall remain

11 available until expended: Provided further, That the report

12 required by section 653(a) of the Foreign Assistance Act

13 of 1961 shall designate for each country, to the extent

14 known at the time of submission of such report, those

15 funds allocated for cash disbursement for balance of pay16 ment and economic policy reform purposes.

17 LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT

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

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

20 which is in default during a period in excess of one cal21 endar year in payment to the United States of principal

22 or interest on any loan made to such country by the Unit23 ed States pursuant to a program for which funds are ap24 propriated under this Act: Provided, That this section and

25 section 620(q) of the Foreign Assistance Act of 1961 shall

26 not apply to funds made available in this Act or during
42

HR 3540 RS

1 the current fiscal year for Nicaragua, and for any narcot2 ics-related assistance for Colombia, Bolivia, and Peru au3 thorized by the Foreign Assistance Act of 1961 or the

4 Arms Export Control Act.

5 COMMERCE AND TRADE

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

7 made available pursuant to this Act for direct assistance

8 and none of the funds otherwise made available pursuant

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

10 Private Investment Corporation shall be obligated or ex11 pended to finance any loan, any assistance or any other

12 financial commitments for establishing or expanding pro13 duction of any commodity for export by any country other

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

15 in surplus on world markets at the time the resulting pro16 ductive capacity is expected to become operative and if the

17 assistance will cause substantial injury to United States

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

19 Provided, That such prohibition shall not apply to the Ex20 port-Import Bank if in the judgment of its Board of Direc21 tors the benefits to industry and employment in the Unit22 ed States are likely to outweigh the injury to United

23 States producers of the same, similar, or competing com24 modity, and the Chairman of the Board so notifies the

25 Committees on Appropriations.
43

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

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

3 Assistance Act of 1961 shall be available for any testing

4 or breeding feasibility study, variety improvement or intro5 duction, consultancy, publication, conference, or training

6 in connection with the growth or production in a foreign

7 country of an agricultural commodity for export which

8 would compete with a similar commodity grown or pro9 duced in the United States: Provided, That this subsection

10 shall not prohibit—

11 (1) activities designed to increase food security

12 in developing countries where such activities will not

13 have a significant impact in the export of agricul14 tural commodities of the United States; or

15 (2) research activities intended primarily to

16 benefit American producers.

17 SURPLUS COMMODITIES

18 SEC. 514. The Secretary of the Treasury shall in19 struct the United States Executive Directors of the Inter20 national Bank for Reconstruction and Development, the

21 International Development Association, the International

22 Finance Corporation, the Inter-American Development

23 Bank, the International Monetary Fund, the Asian Devel24 opment Bank, the Inter-American Investment Corpora25 tion, the North American Development Bank, the Euro26 pean Bank for Reconstruction and Development, the Afri-
44

HR 3540 RS

1 can Development Bank, and the African Development

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

3 oppose any assistance by these institutions, using funds

4 appropriated or made available pursuant to this Act, for

5 the production or extraction of any commodity or mineral

6 for export, if it is in surplus on world markets and if the

7 assistance will cause substantial injury to United States

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

9 NOTIFICATION REQUIREMENTS

10 SEC. 515. For the purposes of providing the Execu11 tive Branch with the necessary administrative flexibility,

12 none of the funds made available under this Act for ‘‘Child

13 Survival and Disease Programs Fund’’, ‘‘Development As14 sistance’’, ‘‘Debt restructuring’’, ‘‘International organiza15 tions and programs’’, ‘‘Trade and Development Agency’’,

16 ‘‘International narcotics control’’, ‘‘Assistance for Eastern

17 Europe and the Baltic States’’, ‘‘Assistance for the New

18 Independent States of the Former Soviet Union’’, ‘‘Eco19 nomic Support Fund’’, ‘‘Peacekeeping operations’’, ‘‘Oper20 ating expenses of the Agency for International Develop21 ment’’, ‘‘Operating expenses of the Agency for Inter22 national Development Office of Inspector General’’, ‘‘Non23 proliferation, anti-terrorism, demining and related pro24 grams’’, ‘‘Foreign Military Financing Program’’, ‘‘Inter25 national military education and training’’, ‘‘Inter-Amer26 ican Foundation’’, ‘‘African Development Foundation’’,
45

HR 3540 RS

1 ‘‘Peace Corps’’, ‘‘Migration and refugee assistance’’, shall

2 be available for obligation for activities, programs,

3 projects, type of materiel assistance, countries, or other

4 operations not justified or in excess of the amount justi5 fied to the Appropriations Committees for obligation

6 under any of these specific headings unless the Appropria7 tions Committees of both Houses of Congress are pre8 viously notified fifteen days in advance: Provided, That the

9 President shall not enter into any commitment of funds

10 appropriated for the purposes of section 23 of the Arms

11 Export Control Act for the provision of major defense

12 equipment, other than conventional ammunition, or other

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

14 or combat vehicles, not previously justified to Congress or

15 20 per centum in excess of the quantities justified to Con16 gress unless the Committees on Appropriations are noti17 fied fifteen days in advance of such commitment: Provided

18 further, That this section shall not apply to any re19 programming for an activity, program, or project under

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

21 of less than 10 per centum of the amount previously justi22 fied to the Congress for obligation for such activity, pro23 gram, or project for the current fiscal year: Provided fur24 ther, That the requirements of this section or any similar

25 provision of this Act or any other Act, including any prior
46

HR 3540 RS

1 Act requiring notification in accordance with the regular

2 notification procedures of the Committees on Appropria3 tions, may be waived if failure to do so would pose a sub4 stantial risk to human health or welfare: Provided further,

5 That in case of any such waiver, notification to the Con6 gress, or the appropriate congressional committees, shall

7 be provided as early as practicable, but in no event later

8 than three days after taking the action to which such noti9 fication requirement was applicable, in the context of the

10 circumstances necessitating such waiver: Provided further,

11 That any notification provided pursuant to such a waiver

12 shall contain an explanation of the emergency cir13 cumstances.

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

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

16 regular notification procedures of the Committees on Ap17 propriations.

18 LIMITATION ON AVAILABILITY OF FUNDS FOR

19 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

20 SEC. 516. Notwithstanding any other provision of law

21 or of this Act, none of the funds provided for ‘‘Inter22 national Organizations and Programs’’ shall be available

23 for the United States proportionate share, in accordance

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

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

26 Iran, or, at the discretion of the President, Communist
47

HR 3540 RS

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

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

3 regular notification procedures of the Committees on Ap4 propriations, funds appropriated under this Act or any

5 previously enacted Act making appropriations for foreign

6 operations, export financing, and related programs, which

7 are returned or not made available for organizations and

8 programs because of the implementation of this section

9 or any similar provision of law, shall remain available for

10 obligation through September 30, 1998.

11 ECONOMIC SUPPORT FUND ASSISTANCE FOR ISRAEL

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

13 peace process in the Middle East is vitally important to

14 United States security interests in the region. The Con15 gress recognizes that, in fulfilling its obligations under the

16 Treaty of Peace Between the Arab Republic of Egypt and

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

18 1979, Israel incurred severe economic burdens. Further19 more, the Congress recognizes that an economically and

20 militarily secure Israel serves the security interests of the

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

22 the incentive and confidence to continue pursuing the

23 peace process. Therefore, the Congress declares that, sub24 ject to the availability of appropriations, it is the policy

25 and the intention of the United States that the funds pro26 vided in annual appropriations for the Economic Support
48

HR 3540 RS

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

2 the annual debt repayment (interest and principal) from

3 Israel to the United States Government in recognition that

4 such a principle serves United States interests in the re5 gion.

6 PROHIBITION ON FUNDING FOR ABORTIONS AND

7 INVOLUNTARY STERILIZATION

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

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

10 amended, may be used to pay for the performance of abor11 tions as a method of family planning or to motivate or

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

13 made available to carry out part I of the Foreign Assist14 ance Act of 1961, as amended, may be used to pay for

15 the performance of involuntary sterilization as a method

16 of family planning or to coerce or provide any financial

17 incentive to any person to undergo sterilizations. None of

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

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

20 for any biomedical research which relates in whole or in

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

22 involuntary sterilization as a means of family planning.

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

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

25 obligated or expended for any country or organization if

26 the President certifies that the use of these funds by any
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1 such country or organization would violate any of the

2 above provisions related to abortions and involuntary steri3 lizations: Provided, That none of the funds made available

4 under this Act may be used to lobby for or against abor5 tion.

6 POPULATION ASSISTANCE FUNDING LIMITATIONS

7 SEC. 518A. (a) IN GENERAL.—

8 (1) Notwithstanding any other provision of this

9 Act, funds appropriated by this Act for population

10 assistance activities may be made available for a for11 eign private or nongovernmental organization only if

12 the organization certifies that it will not during the

13 period for which the funds are made available, per14 form abortions in any foreign country, except where

15 the life of the mother would be endangered if the

16 fetus were carried to term or in cases of forcible

17 rape or incest.

18 (2) Paragraph (1) may not be construed to

19 apply to the treatment of injuries or illnesses caused

20 by legal or illegal abortions or to assistance provided

21 directly to the government of a country.

22 (b) LOBBYING ACTIVITIES.—

23 (1) None of the funds made available under this

24 Act may be used to lobby for or against abortion,

25 and, notwithstanding any other provision of this Act

26 or other law, none of the funds appropriated by this
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1 Act for population assistance activities may be made

2 available for any foreign private or nongovernmental

3 organization until the organization certifies that it

4 will not during the period for which the funds are

5 made available, violate the laws of any foreign coun6 try concerning the circumstances under which abor7 tion is permitted, regulated, or prohibited, or engage

8 in any activity or effort in a foreign country to alter

9 the laws or governmental policies of any foreign

10 country concerning the circumstances under which

11 abortion is permitted, regulated, or prohibited.

12 (2) Notwithstanding any other provision of this

13 Act, paragraph (1) shall not apply to activities in

14 opposition to coercive abortion or involuntary steri15 lization.

16 (c) Notwithstanding subsections (a)(1) and (b)(1), a

17 foreign private or nongovernmental organization may re18 ceive funds appropriated by this Act for population assist19 ance activities in the absence of the certifications required

20 in said subsections, but funds made available for each such

21 organization by this Act shall not exceed 50 percent of

22 the funds made available to the organization during fiscal

23 year 1995. Funds for population assistance activities may

24 not be made available for any foreign private or non25 governmental organization that did not receive such funds
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1 during fiscal year 1995 unless the organization meets the

2 certification requirements of subsections (a)(1) and (b)(1).

3 (d) Funds made available pursuant to subsection (c)

4 shall be apportioned on a monthly basis for the first four

5 months of fiscal year 1997 only, and monthly disburse6 ments during such period to each organization covered by

7 said subsection may not exceed 8.34 percent of the total

8 each such organization could receive pursuant to said sub9 section.

10 (e) Subsections (a), (b) and (c) apply to funds made

11 available for a foreign organization either directly or as

12 a subcontractor or sub-grantee, and the required certifi13 cations apply to activities in which the organization en14 gages either directly or through a subcontractor or sub15 grantee.

16 (f) Funds appropriated or otherwise made available

17 in title II of this Act for population planning activities or

18 other population assistance may be made available for ob19 ligation and expenditure in an amount not to exceed 65

20 percent of the total amount appropriated or otherwise

21 made available by Public Law 103–306 and Public Law

22 104–19 for such activities for fiscal year 1995.

23 REPORTING REQUIREMENT

24 SEC. 519. The President shall submit to the Commit25 tees on Appropriations the reports required by section

26 25(a)(1) of the Arms Export Control Act.
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1 SPECIAL NOTIFICATION REQUIREMENTS

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

3 shall be obligated or expended for Colombia, Dominican

4 Republic, Haiti, Liberia, Pakistan, Peru, Russia, Serbia,

5 South Africa, Sudan, or Zaire except as provided through

6 the regular notification procedures of the Committees on

7 Appropriations.

8 DEFINITION OF PROGRAM, PROJECT, AND ACTIVITY

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

10 project, and activity’’ shall be defined at the Appropria11 tions Act account level and shall include all Appropriations

12 and Authorizations Acts earmarks, ceilings, and limita13 tions with the exception that for the following accounts:

14 Economic Support Fund and Foreign Military Financing

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

16 considered to include country, regional, and central pro17 gram level funding within each such account; for the devel18 opment assistance accounts of the Agency for Inter19 national Development ‘‘program, project, and activity’’

20 shall also be considered to include central program level

21 funding, either as (1) justified to the Congress, or (2) allo22 cated by the executive branch in accordance with a report,

23 to be provided to the Committees on Appropriations within

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

25 653(a) of the Foreign Assistance Act of 1961.
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1 CHILD SURVIVAL AND AIDS ACTIVITIES

2 SEC. 522. Up to $8,000,000 of the funds made avail3 able by this Act for assistance for family planning, health,

4 child survival, and AIDS, may be used to reimburse Unit5 ed States Government agencies, agencies of State govern6 ments, institutions of higher learning, and private and vol7 untary organizations for the full cost of individuals (in8 cluding for the personal services of such individuals) de9 tailed or assigned to, or contracted by, as the case may

10 be, the Agency for International Development for the pur11 pose of carrying out family planning activities, child sur12 vival activities and activities relating to research on, and

13 the treatment and control of acquired immune deficiency

14 syndrome in developing countries: Provided, That funds

15 appropriated by this Act that are made available for child

16 survival activities or activities relating to research on, and

17 the treatment and control of, acquired immune deficiency

18 syndrome may be made available notwithstanding any pro19 vision of law that restricts assistance to foreign countries:

20 Provided further, That funds appropriated by this Act that

21 are made available for family planning activities may be

22 made available notwithstanding section 512 of this Act

23 and section 620(q) of the Foreign Assistance Act of 1961.
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1 PROHIBITION AGAINST INDIRECT FUNDING TO CERTAIN

2 COUNTRIES

3 SEC. 523. None of the funds appropriated or other4 wise made available pursuant to this Act shall be obligated

5 to finance indirectly any assistance or reparations to

6 Cuba, Iraq, Libya, Iran, Syria, North Korea, or the Peo7 ple’s Republic of China, unless the President of the United

8 States certifies that the withholding of these funds is con9 trary to the national interest of the United States.

10 RECIPROCAL LEASING

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

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

13 lieu thereof ‘‘1997’’.

14 NOTIFICATION ON EXCESS DEFENSE EQUIPMENT

15 SEC. 525. Prior to providing excess Department of

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

17 Foreign Assistance Act of 1961, the Department of De18 fense shall notify the Committees on Appropriations to the

19 same extent and under the same conditions as are other

20 committees pursuant to subsection (c) of that section: Pro21 vided, That before issuing a letter of offer to sell excess

22 defense articles under the Arms Export Control Act, the

23 Department of Defense shall notify the Committees on

24 Appropriations in accordance with the regular notification

25 procedures of such Committees: Provided further, That
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1 such Committees shall also be informed of the original ac2 quisition cost of such defense articles.

3 AUTHORIZATION REQUIREMENT

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

5 obligated and expended notwithstanding section 10 of

6 Public Law 91–672 and section 15 of the State Depart7 ment Basic Authorities Act of 1956.

8 PROHIBITION ON BILATERAL ASSISTANCE TO TERRORIST

9 COUNTRIES

10 SEC. 527. (a) Funds appropriated for bilateral assist11 ance under any heading of this Act and funds appro12 priated under any such heading in a provision of law en13 acted prior to enactment of this Act, shall not be made

14 available to any country which the President determines—

15 (1) grants sanctuary from prosecution to any

16 individual or group which has committed an act of

17 international terrorism, or

18 (2) otherwise supports international terrorism.

19 (b) The President may waive the application of sub20 section (a) to a country if the President determines that

21 national security or humanitarian reasons justify such

22 waiver. The President shall publish each waiver in the

23 Federal Register and, at least fifteen days before the waiv24 er takes effect, shall notify the Committees on Appropria25 tions of the waiver (including the justification for the waiv-
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1 er) in accordance with the regular notification procedures

2 of the Committees on Appropriations.

3 COMMERCIAL LEASING OF DEFENSE ARTICLES

4 SEC. 528. Notwithstanding any other provision of

5 law, and subject to the regular notification procedures of

6 the Committees on Appropriations, the authority of sec7 tion 23(a) of the Arms Export Control Act may be used

8 to provide financing to Israel, Egypt and NATO and

9 major non-NATO allies for the procurement by leasing

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

11 articles from United States commercial suppliers, not in12 cluding Major Defense Equipment (other than helicopters

13 and other types of aircraft having possible civilian applica14 tion), if the President determines that there are compel15 ling foreign policy or national security reasons for those

16 defense articles being provided by commercial lease rather

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

18 COMPETITIVE INSURANCE

19 SEC. 528A. All Agency for International Development

20 contracts and solicitations, and subcontracts entered into

21 under such contracts, shall include a clause requiring that

22 United States insurance companies have a fair oppor23 tunity to bid for insurance when such insurance is nec24 essary or appropriate.
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1 STINGERS IN THE PERSIAN GULF REGION

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

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

5 not sell or otherwise make available any Stingers to any

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

8 Assistance Act of 1961.

9 DEBT-FOR-DEVELOPMENT

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

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

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

16 International Development may place in interest bearing

17 accounts funds made available under this Act or prior Acts

18 or local currencies which accrue to that organization as

19 a result of economic assistance provided under title II of

20 this Act and any interest earned on such investment shall

21 be used for the purpose for which the assistance was pro22 vided to that organization.

23 SEPARATE ACCOUNTS

24 SEC. 531. (a) SEPARATE ACCOUNTS FOR LOCAL

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

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

4 of the Agency for International Development shall—

5 (A) require that local currencies be deposited in

6 a separate account established by that government;

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

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

10 generated, and

11 (ii) the terms and conditions under which

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

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

18 from the separate account.

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

20 agreed upon with the foreign government, local currencies

21 deposited in a separate account pursuant to subsection

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

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

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

3 purposes as—

4 (i) project and sector assistance activities,

5 or

6 (ii) debt and deficit financing; or

7 (B) for the administrative requirements of the

8 United States Government.

9 (3) PROGRAMMING ACCOUNTABILITY.—The Agency

10 for International Development shall take all necessary

11 steps to ensure that the equivalent of the local currencies

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

14 used for the purposes agreed upon pursuant to subsection

15 (a)(2).

16 (4) TERMINATION OF ASSISTANCE PROGRAMS.—

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

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

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

23 United States Government.

24 (5) CONFORMING AMENDMENTS.—The provisions of

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

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

5 Foreign Assistance Act of 1961.

6 (6) REPORTING REQUIREMENT.—The Administrator

7 of the Agency for International Development shall report

8 on an annual basis as part of the justification documents

9 submitted to the Committees on Appropriations on the use

10 of local currencies for the administrative requirements of

11 the United States Government as authorized in subsection

12 (a)(2)(B), and such report shall include the amount of

13 local currency (and United States dollar equivalent) used

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

15 country.

16 (b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.—

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

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

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

20 as cash transfer assistance or as nonproject sector assist21 ance, that country shall be required to maintain such

22 funds in a separate account and not commingle them with

23 any other funds.

24 (2) APPLICABILITY OF OTHER PROVISIONS OF

25 LAW.—Such funds may be obligated and expended not-
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1 withstanding provisions of law which are inconsistent with

2 the nature of this assistance including provisions which

3 are referenced in the Joint Explanatory Statement of the

4 Committee of Conference accompanying House Joint Res5 olution 648 (H. Report No. 98–1159).

6 (3) NOTIFICATION.—At least fifteen days prior to ob7 ligating any such cash transfer or nonproject sector assist8 ance, the President shall submit a notification through the

9 regular notification procedures of the Committees on Ap10 propriations, which shall include a detailed description of

11 how the funds proposed to be made available will be used,

12 with a discussion of the United States interests that will

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

14 description of the economic policy reforms that will be pro15 moted by such assistance).

16 (4) EXEMPTION.—Nonproject sector assistance funds

17 may be exempt from the requirements of subsection (b)

18 (1) only through the notification procedures of the Com19 mittees on Appropriations.

20 COMPENSATION FOR UNITED STATES EXECUTIVE DIREC21 TORS TO INTERNATIONAL FINANCING INSTITUTIONS

22 SEC. 532. (a) No funds appropriated by this Act may

23 be made as payment to any international financial institu24 tion while the United States Executive Director to such

25 institution is compensated by the institution at a rate

26 which, together with whatever compensation such Director
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1 receives from the United States, is in excess of the rate

2 provided for an individual occupying a position at level IV

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

4 United States Code, or while any alternate United States

5 Director to such institution is compensated by the institu6 tion at a rate in excess of the rate provided for an individ7 ual occupying a position at level V of the Executive Sched8 ule under section 5316 of title 5, United States Code.

9 (b) For purposes of this section, ‘‘international finan10 cial institutions’’ are: the International Bank for Recon11 struction and Development, the Inter-American Develop12 ment Bank, the Asian Development Bank, the Asian De13 velopment Fund, the African Development Bank, the Afri14 can Development Fund, the International Monetary Fund,

15 the North American Development Bank, and the Euro16 pean Bank for Reconstruction and Development.

17 COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST

18 IRAQ

19 SEC. 533. (a) DENIAL OF ASSISTANCE.—None of the

20 funds appropriated or otherwise made available pursuant

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

22 1961 (including title IV of chapter 2 of part I, relating

23 to the Overseas Private Investment Corporation) or the

24 Arms Export Control Act may be used to provide assist25 ance to any country that is not in compliance with the

26 United Nations Security Council sanctions against Iraq,
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1 Serbia or Montenegro unless the President determines and

2 so certifies to the Congress that—

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

4 the United States;

5 (2) such assistance will directly benefit the

6 needy people in that country; or

7 (3) the assistance to be provided will be human8 itarian assistance for foreign nationals who have fled

9 Iraq and Kuwait.

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

11 that the taking of such action would promote the effective12 ness of the economic sanctions of the United Nations and

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

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

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

16 a period of time as he considers appropriate, the importa17 tion into the United States of any or all products of any

18 foreign country that has not prohibited—

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

20 or Montenegro into its customs territory, and

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

22 or Montenegro, as the case may be.

23 POW/MIA MILITARY DRAWDOWN

24 SEC. 534. (a) Notwithstanding any other provision

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

26 reimbursement by the recipient, of defense articles from
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1 the stocks of the Department of Defense, defense services

2 of the Department of Defense, and military education and

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

4 in fiscal year 1997, as may be necessary to carry out sub5 section (b).

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

7 be provided to Vietnam, Cambodia and Laos, under sub8 section (a) as the President determines are necessary to

9 support efforts to locate and repatriate members of the

10 United States Armed Forces and civilians employed di11 rectly or indirectly by the United States Government who

12 remain unaccounted for from the Vietnam War, and to

13 ensure the safety of United States Government personnel

14 engaged in such cooperative efforts and to support United

15 States Department of Defense-sponsored humanitarian

16 projects associated with the POW/MIA efforts. Any air17 craft shall be provided under this section only to Laos and

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

19 cost notwithstanding section 61 of the Arms Export Con20 trol Act and may be maintained with defense articles, serv21 ices and training provided under this section.

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

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

24 is exercised, submit a report to the Congress which identi-
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1 fies the articles, services, and training drawn down under

2 this section.

3 MEDITERRANEAN EXCESS DEFENSE ARTICLES

4 SEC. 535. For the four-year period beginning on Oc5 tober 1, 1996, the President shall ensure that excess de6 fense articles will be made available under section 516 and

7 519 of the Foreign Assistance Act of 1961 consistent with

8 the manner in which the President made available excess

9 defense articles under those sections during the four-year

10 period that began on October 1, 1992, pursuant to section

11 573(e) of the Foreign Operations, Export Financing, Re12 lated Programs Appropriations Act, 1990.

13 CASH FLOW FINANCING

14 SEC. 536. For each country that has been approved

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

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

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

18 Program, any Letter of Offer and Acceptance or other

19 purchase agreement, or any amendment thereto, for a pro20 curement in excess of $100,000,000 that is to be financed

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

22 Act shall be submitted through the regular notification

23 procedures to the Committees on Appropriations.
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1 AUTHORITIES FOR THE PEACE CORPS, THE INTER-AMER2 ICAN FOUNDATION AND THE AFRICAN DEVELOP3 MENT FOUNDATION

4 SEC. 537. Unless expressly provided to the contrary,

5 provisions of this or any other Act, including provisions

6 contained in prior Acts authorizing or making appropria7 tions for foreign operations, export financing, and related

8 programs, shall not be construed to prohibit activities au9 thorized by or conducted under the Peace Corps Act, the

10 Inter-American Foundation Act, or the African Develop11 ment Foundation Act. The appropriate agency shall

12 promptly report to the Committees on Appropriations

13 whenever it is conducting activities or is proposing to con14 duct activities in a country for which assistance is prohib15 ited.

16 IMPACT ON JOBS IN THE UNITED STATES

17 SEC. 538. None of the funds appropriated by this Act

18 may be obligated or expended to provide—

19 (a) any financial incentive to a business enter20 prise currently located in the United States for the

21 purpose of inducing such an enterprise to relocate

22 outside the United States if such incentive or in23 ducement is likely to reduce the number of employ24 ees of such business enterprise in the United States

25 because United States production is being replaced

26 by such enterprise outside the United States;
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1 (b) assistance for the purpose of establishing or

2 developing in a foreign country any export process3 ing zone or designated area in which the tax, tariff,

4 labor, environment, and safety laws of that country

5 do not apply, in part or in whole, to activities car6 ried out within that zone or area, unless the Presi7 dent determines and certifies that such assistance is

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

9 States; or

10 (c) assistance for any project or activity that

11 contributes to the violation of internationally recog12 nized workers rights, as defined in section 502(a)(4)

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

14 country, including any designated zone or area in

15 that country: Provided, That in recognition that the

16 application of this subsection should be commensu17 rate with the level of development of the recipient

18 country and sector, the provisions of this subsection

19 shall not preclude assistance for the informal sector

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

21 and smallholder agriculture.

22 AUTHORITY TO ASSIST BOSNIA AND HERZEGOVINA

23 SEC. 539. (a) The President is authorized to direct

24 the transfer, subject to notification of the Committees on

25 Appropriations, to the government of Bosnia and

26 Herzegovina, without reimbursement, of defense articles
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1 from the stocks of the Department of Defense and defense

2 services of the Department of Defense, of an aggregate

3 value that equals the difference between $100,000,000

4 and the aggregate value of any such articles and services

5 that were transferred under the authority of Section 540

6 of Public Law 104–107, the Foreign Operations, Export

7 Financing, and Related Programs Appropriations Act,

8 1996: Provided, That the President certifies in a timely

9 fashion to the Congress that the transfer of such defense

10 articles would assist that nation in self-defense and there11 by promote the security and stability of the region.

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

15 of the House of Representatives and the President pro

16 tempore of the Senate concerning the articles transferred

17 and the disposition thereof.

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

19 President such sums as may be necessary to reimburse

20 the applicable appropriation, fund, or account for defense

21 articles provided under this section.

22 RESTRICTIONS ON THE TERMINATION OF SANCTIONS

23 AGAINST SERBIA AND MONTENEGRO

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

25 other provision of law, no sanction, prohibition, or require26 ment described in section 1511 of the National Defense
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1 Authorization Act for Fiscal Year 1994 (Public Law 103–

2 160), with respect to Serbia or Montenegro, may cease

3 to be effective, unless—

4 (1) the President first submits to the Congress

5 a certification described in subsection (b); and

6 (2) the requirements of section 1511 of that

7 Act are met.

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

9 subsection is a certification that—

10 (1) there is substantial progress toward—

11 (A) the realization of a separate identity

12 for Kosova and the right of the people of

13 Kosova to govern themselves; or

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

16 (2) there is substantial improvement in the

17 human rights situation in Kosova;

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

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

22 as elected representatives of the people of Kosova.

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

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

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

4 acceptable to the parties.

5 SPECIAL AUTHORITIES

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

7 Act that are made available for Afghanistan, Lebanon,

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

9 displaced Burmese, humanitarian assistance for Romania,

10 and humanitarian assistance for the peoples of Bosnia and

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

12 notwithstanding any other provision of law: Provided,

13 That any such funds that are made available for Cam14 bodia shall be subject to the provisions of section 531(e)

15 of the Foreign Assistance Act of 1961 and section 906

16 of the International Security and Development Coopera17 tion Act of 1985: Provided further, That the President

18 shall terminate assistance to any country or organization

19 that he determines is cooperating, tactically or strategi20 cally, with the Khmer Rouge in their military operations,

21 or to the military of any country which the President de22 termines is not taking steps to prevent a pattern or prac23 tice of commercial relations between its members and the

24 Khmer Rouge.

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

26 provisions of sections 103 through 106 of the Foreign As-
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1 sistance Act of 1961 may be used, notwithstanding any

2 other provision of law, for the purpose of supporting tropi3 cal forestry and energy programs aimed at reducing emis4 sions of greenhouse gases, and for the purpose of support5 ing biodiversity conservation activities: Provided, That

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

7 620A of the Foreign Assistance Act of 1961.

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

9 up to $50,000,000 under the authority of section 451 of

10 the Foreign Assistance Act of 1961, notwithstanding the

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

12 (d) The Agency for International Development may

13 employ personal services contractors, notwithstanding any

14 other provision of law, for the purpose of administering

15 programs for the West Bank and Gaza.

16 POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT

17 OF ISRAEL

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

19 (1) the Arab League countries should imme20 diately and publicly renounce the primary boycott of

21 Israel and the secondary and tertiary boycott of

22 American firms that have commercial ties with Is23 rael; and

24 (2) the President should—

25 (A) take more concrete steps to encourage

26 vigorously Arab League countries to renounce
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1 publicly the primary boycotts of Israel and the

2 secondary and tertiary boycotts of American

3 firms that have commercial relations with Israel

4 as a confidence-building measure;

5 (B) take into consideration the participa6 tion of any recipient country in the primary

7 boycott of Israel and the secondary and tertiary

8 boycotts of American firms that have commer9 cial relations with Israel when determining

10 whether to sell weapons to said country;

11 (C) report to Congress on the specific

12 steps being taken by the President to bring

13 about a public renunciation of the Arab primary

14 boycott of Israel and the secondary and tertiary

15 boycotts of American firms that have commer16 cial relations with Israel; and

17 (D) encourage the allies and trading part18 ners of the United States to enact laws prohib19 iting businesses from complying with the boy20 cott and penalizing businesses that do comply.

21 ANTI-NARCOTICS ACTIVITIES

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

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

24 assistance may be provided to strengthen the administra25 tion of justice in countries in Latin America and the Car26 ibbean and in other regions consistent with the provisions
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1 of section 534(b) of the Foreign Assistance Act of 1961,

2 except that programs to enhance protection of participants

3 in judicial cases may be conducted notwithstanding section

4 660 of that Act.

5 (b) Funds made available pursuant to this section

6 may be made available notwithstanding section 534(c) and

7 the second and third sentences of section 534(e) of the

8 Foreign Assistance Act of 1961. Funds made available

9 pursuant to subsection (a) for Bolivia, Colombia and Peru

10 may be made available notwithstanding section 534(c) and

11 the second sentence of section 534(e) of the Foreign As12 sistance Act of 1961.

13 ELIGIBILITY FOR ASSISTANCE

14 SEC. 544. (a) ASSISTANCE THROUGH NONGOVERN15 MENTAL ORGANIZATIONS.—Restrictions contained in this

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

17 shall not be construed to restrict assistance in support of

18 programs of nongovernmental organizations from funds

19 appropriated by this Act to carry out the provisions of

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

21 of 1961: Provided, That the President shall take into con22 sideration, in any case in which a restriction on assistance

23 would be applicable but for this subsection, whether assist24 ance in support of programs of nongovernmental organiza25 tions is in the national interest of the United States: Pro26 vided further, That before using the authority of this sub-
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1 section to furnish assistance in support of programs of

2 nongovernmental organizations, the President shall notify

3 the Committees on Appropriations under the regular noti4 fication procedures of those committees, including a de5 scription of the program to be assisted, the assistance to

6 be provided, and the reasons for furnishing such assist7 ance: Provided further, That nothing in this subsection

8 shall be construed to alter any existing statutory prohibi9 tions against abortion or involuntary sterilizations con10 tained in this or any other Act.

11 (b) PUBLIC LAW 480.—During fiscal year 1997, re12 strictions contained in this or any other Act with respect

13 to assistance for a country shall not be construed to re14 strict assistance under the Agricultural Trade Develop15 ment and Assistance Act of 1954: Provided, That none

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

17 and made available pursuant to this subsection may be

18 obligated or expended except as provided through the reg19 ular notification procedures of the Committees on Appro20 priations.

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

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

23 Assistance Act or any comparable provision of law

24 prohibiting assistance to countries that support

25 international terrorism; or
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1 (2) with respect to section 116 of the Foreign

2 Assistance Act of 1961 or any comparable provision

3 of law prohibiting assistance to countries that violate

4 internationally recognized human rights.

5 EARMARKS

6 SEC. 544A. (a) Funds appropriated by this Act which

7 are earmarked may be reprogrammed for other programs

8 within the same account notwithstanding the earmark if

9 compliance with the earmark is made impossible by oper10 ation of any provision of this or any other Act or, with

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

12 agreement providing the United States with base rights

13 or base access in that country, if the President determines

14 that the recipient for which funds are earmarked has sig15 nificantly reduced its military or economic cooperation

16 with the United States since enactment of the Foreign Op17 erations, Export Financing, and Related Programs Appro18 priations Act, 1991; however, before exercising the author19 ity of this subsection with regard to a base rights or base

20 access country which has significantly reduced its military

21 or economic cooperation with the United States, the Presi22 dent shall consult with, and shall provide a written policy

23 justification to the Committees on Appropriations: Pro24 vided, That any such reprogramming shall be subject to

25 the regular notification procedures of the Committees on

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

2 available under the same terms and conditions as origi3 nally provided.

4 (b) In addition to the authority contained in sub5 section (a), the original period of availability of funds ap6 propriated by this Act and administered by the Agency

7 for International Development that are earmarked for par8 ticular programs or activities by this or any other Act shall

9 be extended for an additional fiscal year if the Adminis10 trator of such agency determines and reports promptly to

11 the Committees on Appropriations that the termination of

12 assistance to a country or a significant change in cir13 cumstances makes it unlikely that such earmarked funds

14 can be obligated during the original period of availability:

15 Provided, That such earmarked funds that are continued

16 available for an additional fiscal year shall be obligated

17 only for the purpose of such earmark.

18 CEILINGS AND EARMARKS

19 SEC. 545. Ceilings and earmarks contained in this

20 Act shall not be applicable to funds or authorities appro21 priated or otherwise made available by any subsequent Act

22 unless such Act specifically so directs.

23 PROHIBITION ON PUBLICITY OR PROPAGANDA

24 SEC. 546. No part of any appropriation contained in

25 this Act shall be used for publicity or propaganda purposes

26 within the United States not authorized before the date
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1 of enactment of this Act by the Congress: Provided, That

2 not to exceed $750,000 may be made available to carry

3 out the provisions of section 316 of Public Law 96–533.

4 USE OF AMERICAN RESOURCES

5 SEC. 547. To the maximum extent possible, assist6 ance provided under this Act should make full use of

7 American resources, including commodities, products, and

8 services.

9 PROHIBITION OF PAYMENTS TO UNITED NATIONS

10 MEMBERS

11 SEC. 548. None of the funds appropriated or made

12 available pursuant to this Act for carrying out the Foreign

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

14 in part any assessments, arrearages, or dues of any mem15 ber of the United Nations.

16 CONSULTING SERVICES

17 SEC. 549. The expenditure of any appropriation

18 under this Act for any consulting service through procure19 ment contract, pursuant to section 3109 of title 5, United

20 States Code, shall be limited to those contracts where such

21 expenditures are a matter of public record and available

22 for public inspection, except where otherwise provided

23 under existing law, or under existing Executive order pur24 suant to existing law.
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1 PRIVATE VOLUNTARY ORGANIZATIONS—DOCUMENTATION

2 SEC. 550. None of the funds appropriated or made

3 available pursuant to this Act shall be available to a pri4 vate voluntary organization which fails to provide upon

5 timely request any document, file, or record necessary to

6 the auditing requirements of the Agency for International

7 Development.

8 PROHIBITION ON ASSISTANCE TO FOREIGN GOVERN9 MENTS THAT EXPORT LETHAL MILITARY EQUIP10 MENT TO COUNTRIES SUPPORTING INTERNATIONAL

11 TERRORISM

12 SEC. 551. (a) None of the funds appropriated or oth13 erwise made available by this Act may be available to any

14 foreign government which provides lethal military equip15 ment to a country the government of which the Secretary

16 of State has determined is a terrorist government for pur17 poses of section 40(d) of the Arms Export Control Act.

18 The prohibition under this section with respect to a for19 eign government shall terminate 12 months after that gov20 ernment ceases to provide such military equipment. This

21 section applies with respect to lethal military equipment

22 provided under a contract entered into after the date of

23 enactment of this Act.

24 (b) Assistance restricted by subsection (a) or any

25 other similar provision of law, may be furnished if the
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1 President determines that furnishing such assistance is

2 important to the national interests of the United States.

3 (c) Whenever the waiver of subsection (b) is exer4 cised, the President shall submit to the appropriate con5 gressional committees a report with respect to the furnish6 ing of such assistance. Any such report shall include a de7 tailed explanation of the assistance to be provided, includ8 ing the estimated dollar amount of such assistance, and

9 an explanation of how the assistance furthers United

10 States national interests.

11 WITHHOLDING OF ASSISTANCE FOR PARKING FINES

12 OWED BY FOREIGN COUNTRIES

13 SEC. 552. (a) IN GENERAL.—Of the funds made

14 available for a foreign country under part I of the Foreign

15 Assistance Act of 1961, an amount equivalent to 110 per16 cent of the total unpaid fully adjudicated parking fines

17 and penalties owed to the District of Columbia by such

18 country as of the date of enactment of this Act shall be

19 withheld from obligation for such country until the Sec20 retary of State certifies and reports in writing to the ap21 propriate congressional committees that such fines and

22 penalties are fully paid to the government of the District

23 of Columbia.

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

25 term ‘‘appropriate congressional committees’’ means the

26 Committee on Foreign Relations and the Committee on
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1 Appropriations of the Senate and the Committee on Inter2 national Relations and the Committee on Appropriations

3 of the House of Representatives.

4 LIMITATION ON ASSISTANCE FOR THE PLO FOR THE

5 WEST BANK AND GAZA

6 SEC. 553. None of the funds appropriated by this Act

7 may be obligated for assistance for the Palestine Libera8 tion Organization for the West Bank and Gaza unless the

9 President has exercised the authority under section 604(a)

10 of the Middle East Peace Facilitation Act of 1995 (title

11 VI of Public Law 104–107) or any other legislation to sus12 pend or make inapplicable section 307 of the Foreign As13 sistance Act of 1961 and that suspension is still in effect:

14 Provided, That if the President fails to make the certifi15 cation under section 604(b)(2) of the Middle East Peace

16 Facilitation Act of 1995 or to suspend the prohibition

17 under other legislation, funds appropriated by this Act

18 may not be obligated for assistance for the Palestine Lib19 eration Organization for the West Bank and Gaza.

20 EXPORT FINANCING TRANSFER AUTHORITIES

21 SEC. 554. Not to exceed 5 percent of any appropria22 tion other than for administrative expenses made available

23 for fiscal year 1997 for programs under title I of this Act

24 may be transferred between such appropriations for use

25 for any of the purposes, programs and activities for which

26 the funds in such receiving account may be used, but no
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1 such appropriation, except as otherwise specifically pro2 vided, shall be increased by more than 25 percent by any

3 such transfer: Provided, That the exercise of such author4 ity shall be subject to the regular notification procedures

5 of the Committees on Appropriations.

6 WAR CRIMES TRIBUNALS

7 SEC. 555. If the President determines that doing so

8 will contribute to a just resolution of charges regarding

9 genocide or other violations of international humanitarian

10 law, the President may direct a drawdown pursuant to sec11 tion 552(c) of the Foreign Assistance Act of 1961, as

12 amended, of up to $50,000,000 of commodities and serv13 ices for the United Nations War Crimes Tribunal estab14 lished with regard to the former Yugoslavia by the United

15 Nations Security Council or such other tribunals or com16 missions as the Council may establish to deal with such

17 violations, without regard to the ceiling limitation con18 tained in paragraph (2) thereof: Provided, That the deter19 mination required under this section shall be in lieu of

20 any determinations otherwise required under section

21 552(c): Provided further, That 60 days after the date of

22 enactment of this Act, and every 180 days thereafter, the

23 Secretary of State shall submit a report to the Committees

24 on Appropriations describing the steps the United States

25 Government is taking to collect information regarding alle26 gations of genocide or other violations of international law
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1 in the former Yugoslavia and to furnish that information

2 to the United Nations War Crimes Tribunal for the former

3 Yugoslavia.

4 LANDMINES

5 SEC. 556. Notwithstanding any other provision of

6 law, demining equipment available to any department or

7 agency and used in support of the clearing of landmines

8 for humanitarian purposes may be disposed of on a grant

9 basis in foreign countries, subject to such terms and condi10 tions as the President may prescribe.

11 RESTRICTIONS CONCERNING THE PALESTINIAN

12 AUTHORITY

13 SEC. 557. None of the funds appropriated by this Act

14 may be obligated or expended to create in any part of Je15 rusalem a new office of any department or agency of the

16 United States Government for the purpose of conducting

17 official United States Government business with the Pal18 estinian Authority over Gaza and Jericho or any successor

19 Palestinian governing entity provided for in the Israel20 PLO Declaration of Principles: Provided, That this re21 striction shall not apply to the acquisition of additional

22 space for the existing Consulate General in Jerusalem:

23 Provided further, That meetings between officers and em24 ployees of the United States and officials of the Palestin25 ian Authority, or any successor Palestinian governing en26 tity provided for in the Israel-PLO Declaration of Prin-
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1 ciples, for the purpose of conducting official United States

2 Government business with such authority should continue

3 to take place in locations other than Jerusalem. As has

4 been true in the past, officers and employees of the United

5 States Government may continue to meet in Jerusalem on

6 other subjects with Palestinians (including those who now

7 occupy positions in the Palestinian Authority), have social

8 contacts, and have incidental discussions.

9 PROHIBITION OF PAYMENT OF CERTAIN EXPENSES

10 SEC. 558. None of the funds appropriated or other11 wise made available by this Act under the heading

12 ‘‘INTERNATIONAL MILITARY EDUCATION AND TRAINING’’

13 or ‘‘FOREIGN MILITARY FINANCING PROGRAM’’ for Infor14 mational Program activities may be obligated or expended

15 to pay for—

16 (1) alcoholic beverages;

17 (2) food (other than food provided at a military

18 installation) not provided in conjunction with Infor19 mational Program trips where students do not stay

20 at a military installation; or

21 (3) entertainment expenses for activities that

22 are substantially of a recreational character, includ23 ing entrance fees at sporting events and amusement

24 parks.
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1 HUMANITARIAN ASSISTANCE

2 SEC. 559. (a) IN GENERAL.—None of the funds

3 made available in this Act may be used for assistance in

4 support of any country when it is made known to the

5 President that the government of such country prohibits

6 or otherwise restricts, directly or indirectly, the transport

7 or delivery of United States humanitarian assistance.

8 (b) EXCEPTION.—Funds (other than funds appro9 priated in this Act under the heading ‘‘Economic Support

10 Fund’’) may be made available without regard to the re11 striction in subsection (a) if the President determines that

12 to do so is in the national security interest of the United

13 States.

14 WITHHOLDING OF ASSISTANCE TO COUNTRIES

15 SUPPORTING NUCLEAR PLANT IN CUBA

16 SEC. 560. (a) WITHHOLDING.—The President shall

17 withhold from assistance made available with funds appro18 priated or made available pursuant to this Act an amount

19 equal to the sum of assistance and credits, if any, provided

20 on or after the date of the enactment of this Act by that

21 country, or any entity in that country, in support of the

22 completion of the Cuban nuclear facility at Juragua, near

23 Cienfuegos, Cuba.

24 (b) EXCEPTIONS.—The requirement of subsection (a)

25 to withhold assistance shall not apply with respect to—
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1 (1) assistance to meet urgent humanitarian

2 needs including disaster and refugee relief;

3 (2) democratic political reform and rule of law

4 activities;

5 (3) support for private sector and nongovern6 mental organizations that are independent of govern7 ment control;

8 (4) the development of a free market economic

9 system; and

10 (5) assistance for the purposes described in the

11 Cooperative Threat Reduction Act of 1993 (title XII

12 of Public Law 103–160).

13 EQUITABLE ALLOCATION OF FUNDS

14 SEC. 561. Not more than 20 percent of the funds

15 appropriated by this Act to carry out the provisions of sec16 tions 103 through 106 and chapter 4 of part II of the

17 Foreign Assistance Act of 1961, that are made available

18 for Latin America and the Caribbean region may be made

19 available, through bilateral and Latin America and the

20 Caribbean regional programs, to provide assistance for

21 any country in such region.

22 PURCHASE OF AMERICAN-MADE EQUIPMENT AND

23 PRODUCTS

24 SEC. 562. (a) SENSE OF CONGRESS.—It is the sense

25 of the Congress that, to the greatest extent practicable,
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1 all equipment and products purchased with funds made

2 available in this Act should be American-made.

3 (b) NOTICE REQUIREMENT.—In providing financial

4 assistance to, or entering into any contract with, any en5 tity using funds made available in this Act, the head of

6 each Federal agency, to the greatest extent practicable,

7 shall provide to such entity a notice describing the state8 ment made in subsection (a) by the Congress.

9 LIMITATION OF FUNDS FOR NORTH AMERICAN

10 DEVELOPMENT BANK

11 SEC. 563. None of the funds appropriated in this Act

12 under the heading ‘‘North American Development Bank’’

13 and made available for the Community Adjustment and

14 Investment Program shall be used for purposes other than

15 those set out in the binational agreement establishing the

16 Bank.

17 INTERNATIONAL DEVELOPMENT ASSOCIATION

18 SEC. 564. In order to pay for the United States con19 tribution to the tenth replenishment of the resources of

20 the International Development Association authorized in

21 section 526 of Public Law 103–87, there is authorized to

22 be appropriated, without fiscal year limitation,

23 $525,000,000 for payment by the Secretary of the Treas24 ury.
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1 SPECIAL DEBT RELIEF FOR THE POOREST

2 SEC. 565. (a) AUTHORITY TO REDUCE DEBT.—The

3 President may reduce amounts owed to the United States

4 (or any agency of the United States) by an eligible country

5 as a result of—

6 (1) guarantees issued under sections 221 and

7 222 of the Foreign Assistance Act of 1961; or

8 (2) credits extended or guarantees issued under

9 the Arms Export Control Act.

10 (b) LIMITATIONS.—

11 (1) The authority provided by subsection (a)

12 may be exercised only to implement multilateral offi13 cial debt relief and referendum agreements, com14 monly referred to as ‘‘Paris Club Agreed Minutes’’.

15 (2) The authority provided by subsection (a)

16 may be exercised only in such amounts or to such

17 extent as is provided in advance by appropriations

18 Acts.

19 (3) The authority provided by subsection (a)

20 may be exercised only with respect to countries with

21 heavy debt burdens that are eligible to borrow from

22 the International Development Association, but not

23 from the International Bank for Reconstruction and

24 Development, commonly referred to as ‘‘IDA-only’’

25 countries.
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1 (c) CONDITIONS.—The authority provided by sub2 section (a) may be exercised only with respect to a country

3 whose government—

4 (1) does not have an excessive level of military

5 expenditures;

6 (2) has not repeatedly provided support for acts

7 of international terrorism;

8 (3) is not failing to cooperate on international

9 narcotics control matters;

10 (4) (including its military or other security

11 forces) does not engage in a consistent pattern of

12 gross violations of internationally recognized human

13 rights; and

14 (5) is not ineligible for assistance because of the

15 application of section 527 of the Foreign Relations

16 Authorization Act, fiscal years 1994 and 1995.

17 (d) AVAILABILITY OF FUNDS.—The authority pro18 vided by subsection (a) may be used only with regard to

19 funds appropriated by this Act under the heading ‘‘Debt

20 restructuring’’.

21 (e) CERTAIN PROHIBITIONS INAPPLICABLE.—A re22 duction of debt pursuant to subsection (a) shall not be

23 considered assistance for purposes of any provision of law

24 limiting assistance to a country. The authority provided
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1 by subsection (a) may be exercised notwithstanding sec2 tion 620(r) of the Foreign Assistance Act of 1961.

3 AUTHORITY TO ENGAGE IN DEBT BUYBACKS OR SALES

4 SEC. 566. (a) LOANS ELIGIBLE FOR SALE, REDUC5 TION, OR CANCELLATION.—

6 (1) AUTHORITY TO SELL, REDUCE, OR CANCEL

7 CERTAIN LOANS.—Notwithstanding any other provi8 sion of law, the President may, in accordance with

9 this section, sell to any eligible purchaser any

10 concessional loan or portion thereof made before

11 January 1, 1995, pursuant to the Foreign Assist12 ance Act of 1961, to the government of any eligible

13 country as defined in section 702(6) of that Act or

14 on receipt of payment from an eligible purchaser, re15 duce or cancel such loan or portion thereof, only for

16 the purpose of facilitating—

17 (A) debt-for-equity swaps, debt-for-develop18 ment swaps, or debt-for-nature swaps; or

19 (B) a debt buyback by an eligible country

20 of its own qualified debt, only if the eligible

21 country uses an additional amount of the local

22 currency of the eligible country, equal to not

23 less than 40 percent of the price paid for such

24 debt by such eligible country, or the difference

25 between the price paid for such debt and the

26 face value of such debt, to support activities
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1 that link conservation and sustainable use of

2 natural resources with local community develop3 ment, and child survival and other child devel4 opment, in a manner consistent with sections

5 707 through 710 of the Foreign Assistance Act

6 of 1961, if the sale, reduction, or cancellation

7 would not contravene any term or condition of

8 any prior agreement relating to such loan.

9 (2) TERMS AND CONDITIONS.—Notwithstanding

10 any other provision of law, the President shall, in ac11 cordance with this section, establish the terms and

12 conditions under which loans may be sold, reduced,

13 or canceled pursuant to this section.

14 (3) ADMINISTRATION.—The Facility, as defined

15 in section 702(8) of the Foreign Assistance Act of

16 1961, shall notify the administrator of the agency

17 primarily responsible for administering part I of the

18 Foreign Assistance Act of 1961 of purchasers that

19 the President has determined to be eligible, and

20 shall direct such agency to carry out the sale, reduc21 tion, or cancellation of a loan pursuant to this sec22 tion. Such agency shall make an adjustment in its

23 accounts to reflect the sale, reduction, or cancella24 tion.
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1 (4) LIMITATION.—The authorities of this sub2 section shall be available only to the extent that ap3 propriations for the cost of the modification, as de4 fined in section 502 of the Congressional Budget Act

5 of 1974, are made in advance.

6 (b) DEPOSIT OF PROCEEDS.—The proceeds from the

7 sale, reduction, or cancellation of any loan sold, reduced,

8 or canceled pursuant to this section shall be deposited in

9 the United States Government account or accounts estab10 lished for the repayment of such loan.

11 (c) ELIGIBLE PURCHASERS.—A loan may be sold

12 pursuant to subsection (a)(1)(A) only to a purchaser who

13 presents plans satisfactory to the President for using the

14 loan for the purpose of engaging in debt-for-equity swaps,

15 debt-for-development swaps, or debt-for-nature swaps.

16 (d) DEBTOR CONSULTATIONS.—Before the sale to

17 any eligible purchaser, or any reduction or cancellation

18 pursuant to this section, of any loan made to an eligible

19 country, the President should consult with the country

20 concerning the amount of loans to be sold, reduced, or

21 canceled and their uses for debt-for-equity swaps, debt22 for-development swaps, or debt-for-nature swaps.

23 (e) AVAILABILITY OF FUNDS.—The authority pro24 vided by subsection (a) may be used only with regard to
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1 funds appropriated by this Act under the heading ‘‘Debt

2 restructuring’’.

3 LIBERIA

4 SEC. 567. Funds appropriated by this Act may be

5 made available for assistance for Liberia notwithstanding

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

7 section 512 of this Act.

8 GUATEMALA

9 SEC. 568. (a) Funds provided in this Act may be

10 made available for the Guatemalan military forces, and

11 the restrictions on Guatemala under the headings ‘‘Inter12 national Military Education and Training’’ and ‘‘Foreign

13 Military Financing Program’’ shall not apply, only if the

14 President determines and certifies to the Congress that

15 the Guatemalan military is cooperating with efforts to re16 solve human rights abuses which elements of the Guate17 malan military forces are alleged to have committed, or18 dered or attempted to thwart the investigation of.

19 (b) The prohibition contained in subsection (a) shall

20 not apply to funds made available to implement a ceasefire

21 or peace agreement.

22 (c) Any funds made available pursuant to subsections

23 (a) or (b) shall be subject to the regular notification proce24 dures of the Committees on Appropriations.

25 (d) Any funds made available pursuant to subsections

26 (a) and (b) for international military education and train-
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1 ing may only be for expanded international military edu2 cation and training.

3 SANCTIONS AGAINST COUNTRIES HARBORING WAR

4 CRIMINALS

5 SEC. 569. (a) BILATERAL ASSISTANCE.—The Presi6 dent is authorized to withhold funds appropriated by this

7 Act under the Foreign Assistance Act of 1961 or the Arms

8 Export Control Act for any country described in sub9 section (c).

10 (b) MULTILATERAL ASSISTANCE.—The Secretary of

11 the Treasury should instruct the United States executive

12 directors of the international financial institutions to work

13 in opposition to, and vote against, any extension by such

14 institutions of financing or financial or technical assist15 ance to any country described in subsection (c).

16 (c) SANCTIONED COUNTRIES.—A country described

17 in this subsection is a country the government of which

18 knowingly grants sanctuary to persons in its territory for

19 the purpose of evading prosecution, where such persons—

20 (1) have been indicted by the International

21 Criminal Tribunal for the former Yugoslavia, the

22 International Criminal Tribunal for Rwanda, or any

23 other international tribunal with similar standing

24 under international law, or

25 (2) have been indicted for war crimes or crimes

26 against humanity committed during the period be-
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1 ginning March 23, 1933 and ending on May 8, 1945

2 under the direction of, or in association with—

3 (A) the Nazi government of Germany;

4 (B) any government in any area occupied

5 by the military forces of the Nazi government

6 of Germany;

7 (C) any government which was established

8 with the assistance or cooperation of the Nazi

9 government; or

10 (D) any government which was an ally of

11 the Nazi government of Germany.

12 LIMITATION ON ASSISTANCE FOR HAITI

13 SEC. 570. (a) LIMITATION.—None of the funds ap14 propriated or otherwise made available by this Act, may

15 be provided to the Government of Haiti until the President

16 reports to Congress that—

17 (1) the Government is conducting thorough in18 vestigations of extrajudicial and political killings, in19 cluding the murders of Mireille Bertin, Michel Gon20 zalez, and Jean Hubert Feuille; and

21 (2) the Government is cooperating with United

22 States authorities in the investigations of political

23 and extrajudicial killings.

24 (b) Nothing in this section shall be construed to re25 strict the provision of humanitarian or electoral assist26 ance.
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1 (c) The President may waive the requirements of this

2 section on a quarterly basis if he determines and certifies

3 to the appropriate committees of Congress that it is in

4 the national interest of the United States.

5 (d) The authority contained in the previous sub6 section to make such a determination may be exercised

7 by the President only and may not be delegated.

8 LIMITATION OF ASSISTANCE TO TURKEY

9 SEC. 571. Not more than $25,000,000 of the funds

10 appropriated in this Act under the heading ‘‘Economic

11 Support Fund’’ may be made available to the Government

12 of Turkey.

13 REPORTS REGARDING HONG KONG

14 SEC. 572. (a) Section 301 of the United States-Hong

15 Kong Policy Act of 1992 (22 U.S.C. 5731) is amended

16 in the text above paragraph (1) by inserting ‘‘March 31,

17 1997,’’ after ‘‘March 31, 1996,’’.

18 (b) In light of the deficiencies in reports submitted

19 to the Congress pursuant to section 301 of the United

20 States-Hong Kong Policy Act (22 U.S.C. 5731), the Con21 gress directs that the additional report required to be sub22 mitted under such section by subsection (a) of this section

23 include detailed information on the status of, and other

24 developments affecting, implementation of the Sino-Brit25 ish Joint Declaration on the Question of Hong Kong, in26 cluding—
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1 (1) the Basic Law and its consistency with the

2 Joint Declaration;

3 (2) Beijing’s plans to replace the elected legisla4 ture with an appointed body;

5 (3) the openness and fairness of the election of

6 the chief executive and the executive’s accountability

7 to the legislature;

8 (4) the treatment of political parties;

9 (5) the independence of the Judiciary and its

10 ability to exercise the power of final judgment over

11 Hong Kong law; and

12 (6) the Bill of Rights.

13 LIMITATION ON USE OF FUNDS FOR PURCHASE OF

14 PRODUCTS NOT MADE IN AMERICA

15 SEC. 573. None of the funds appropriated in this Act

16 may be made available to the government of any foreign

17 country when it is made known to the Federal official hav18 ing authority to obligate or expend such funds that—

19 (1) the funds are to be used to purchase any

20 equipment or product made in a country other than

21 such foreign country or the United States; and

22 (2) substantially similar equipment or products

23 are made in the United States and available for pur24 chase at a price that is not more than 10 percent

25 higher.
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1 LIMITATION ON ASSISTANCE TO TURKEY

2 SEC. 574. Not more than $22,000,000 of the funds

3 appropriated in this Act under the heading ‘‘Economic

4 Support Fund’’ may be made available to the Government

5 of Turkey, except when it is made known to the Federal

6 official having authority to obligate or expend such funds

7 that the Government of Turkey has (1) joined the United

8 States in acknowledging the atrocity committed against

9 the Armenian population of the Ottoman Empire from

10 1915 to 1923; and (2) taken all appropriate steps to honor

11 the memory of the victims of the Armenian genocide.

12 LIMITATION ON FOREIGN MILITARY FINANCING

13 SEC. 575. None of the funds made available under

14 the heading ‘‘Foreign Military Financing Program’’ may

15 be made available for any country when it is made known

16 to the President that the government of such country has

17 not agreed to the Department of Defense conducting dur18 ing the current fiscal year nonreimbursable audits of pri19 vate firms whose contracts are made directly with foreign

20 governments and are financed with funds made available

21 under this heading (as well as subcontractors thereunder)

22 as requested by the Defense Security Assistance Agency.

23 LIMITATION UNDER ARMS EXPORT CONTROL ACT

24 SEC. 576. Not more than $100,000,000 of the funds

25 made available under the heading ‘‘Foreign Military Fi26 nancing Program’’ may be made available for use in fi-
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1 nancing the procurement of defense articles, defense serv2 ices, or design and construction services that are not sold

3 by the United States Government under the Arms Export

4 Control Act to countries other than Israel and Egypt.

5 LIMITATION ON ASSISTANCE TO MEXICO

6 SEC. 577. None of the funds appropriated or other7 wise made available by this Act may be obligated or ex8 pended for the Government of Mexico, except if it is made

9 known to the Federal entity or official to which funds are

10 appropriated under this Act that—

11 (1) the Government of Mexico is taking actions

12 to reduce the amount of illegal drugs entering the

13 United States from Mexico; and

14 (2) the Government of Mexico—

15 (A) is taking effective actions to apply vig16 orously all law enforcement resources to inves17 tigate, track, capture, incarcerate, and pros18 ecute individuals controlling, supervising, or

19 managing international narcotics cartels or

20 other similar entities and the accomplices of

21 such individuals, individuals responsible for, or

22 otherwise involved in, corruption, and individ23 uals involved in money-laundering;

24 (B) is pursuing international anti-drug

25 trafficking initiatives;
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1 (C) is cooperating fully with international

2 efforts at narcotics interdiction; and

3 (D) is cooperating fully with requests by

4 the United States for assistance in investiga5 tions of money-laundering violations and is

6 making progress toward implementation of ef7 fective laws to prohibit money-laundering.

8 That the following sums are appropriated, out of any

9 money in the Treasury not otherwise appropriated, for the

10 fiscal year ending September 30, 1997, and for other pur11 poses, namely:

12 TITLE I—EXPORT AND INVESTMENT ASSISTANCE

13 EXPORT-IMPORT BANK OF THE UNITED STATES

14 The Export-Import Bank of the United States is au15 thorized to make such expenditures within the limits of

16 funds and borrowing authority available to such corpora17 tion, and in accordance with law, and to make such con18 tracts and commitments without regard to fiscal year limi19 tations, as provided by section 104 of the Government Cor20 poration Control Act, as may be necessary in carrying out

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

22 Provided, That none of the funds available during the cur23 rent fiscal year may be used to make expenditures, con24 tracts, or commitments for the export of nuclear equipment,

25 fuel, or technology to any country other than a nuclear-
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1 weapon State as defined in Article IX of the Treaty on the

2 Non-Proliferation of Nuclear Weapons eligible to receive

3 economic or military assistance under this Act that has det4 onated a nuclear explosive after the date of enactment of

5 this Act.

6 SUBSIDY APPROPRIATION

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

8 and tied-aid grants as authorized by section 10 of the Ex9 port-Import Bank Act of 1945, as amended, $730,000,000

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

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

12 shall be as defined in section 502 of the Congressional Budg13 et Act of 1974: Provided further, That such sums shall re14 main available until 2012 for the disbursement of direct

15 loans, loan guarantees, insurance and tied-aid grants obli16 gated in fiscal years 1997 and 1998: Provided further, That

17 up to $50,000,000 of funds appropriated by this paragraph

18 shall remain available until expended and may be used for

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

20 funds appropriated by this paragraph may be used for tied21 aid credits or grants except through the regular notification

22 procedures of the Committees on Appropriations: Provided

23 further, That funds appropriated by this paragraph are

24 made available notwithstanding section 2(b)(2) of the Ex25 port-Import Bank Act of 1945, in connection with the pur-
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1 chase or lease of any product by any East European coun2 try, any Baltic State, or any agency or national thereof.

3 ADMINISTRATIVE EXPENSES

4 For administrative expenses to carry out the direct

5 and guaranteed loan and insurance programs (to be com6 puted on an accrual basis), including hire of passenger

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

8 and not to exceed $20,000 for official reception and rep9 resentation expenses for members of the Board of Directors,

10 $40,000,000: Provided, That necessary expenses (including

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

12 not including other personal services) in connection with

13 the collection of moneys owed the Export-Import Bank, re14 possession or sale of pledged collateral or other assets ac15 quired by the Export-Import Bank in satisfaction of mon16 eys owed the Export-Import Bank, or the investigation or

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

18 or technical aspects of any transaction for which an appli19 cation for a loan, guarantee or insurance commitment has

20 been made, shall be considered nonadministrative expenses

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

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

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

24 expenses of the incumbent Chairman and President of the

25 Export-Import Bank unless and until he has been con26 firmed by the United States Senate: Provided further, That,
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1 notwithstanding subsection (b) of section 117 of the Export

2 Enhancement Act of 1992, subsection (a) thereof shall re3 main in effect until October 1, 1997.

4 OVERSEAS PRIVATE INVESTMENT CORPORATION

5 NONCREDIT ACCOUNT

6 The Overseas Private Investment Corporation is au7 thorized to make, without regard to fiscal year limitations,

8 as provided by 31 U.S.C. 9104, such expenditures and com9 mitments within the limits of funds available to it and in

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

11 the amount available for administrative expenses to carry

12 out the credit and insurance programs (including an

13 amount for official reception and representation expenses

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

15 $32,000,000: Provided further, That project-specific trans16 action costs, including direct and indirect costs incurred

17 in claims settlements, and other direct costs associated with

18 services provided to specific investors or potential investors

19 pursuant to section 234 of the Foreign Assistance Act of

20 1961, shall not be considered administrative expenses for

21 the purposes of this heading.

22 PROGRAM ACCOUNT

23 For the cost of direct and guaranteed loans,

24 $72,000,000, as authorized by section 234 of the Foreign

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

26 Overseas Private Investment Corporation Noncredit Ac-
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1 count: Provided, That such costs, including the cost of modi2 fying such loans, shall be as defined in section 502 of the

3 Congressional Budget Act of 1974: Provided further, That

4 such sums shall be available for direct loan obligations and

5 loan guaranty commitments incurred or made during fiscal

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

7 shall remain available through fiscal year 2005 for the dis8 bursement of direct and guaranteed loans obligated in fiscal

9 year 1997, and through fiscal year 2006 for the disburse10 ment of direct and guaranteed loans obligated in fiscal year

11 1998. In addition, such sums as may be necessary for ad12 ministrative expenses to carry out the credit program may

13 be derived from amounts available for administrative ex14 penses to carry out the credit and insurance programs in

15 the Overseas Private Investment Corporation Noncredit Ac16 count and merged with said account.

17 FUNDS APPROPRIATED TO THE PRESIDENT

18 TRADE AND DEVELOPMENT AGENCY

19 For necessary expenses to carry out the provisions of

20 section 661 of the Foreign Assistance Act of 1961,

21 $40,000,000: Provided, That the Trade and Development

22 Agency may receive reimbursements from corporations and

23 other entities for the costs of grants for feasibility studies

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

25 offsetting collection to this account and to be available for
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1 obligation until September 30, 1997, for necessary expenses

2 under this paragraph: Provided further, That such reim3 bursements shall not cover, or be allocated against, direct

4 or indirect administrative costs of the agency.

5 TITLE II—BILATERAL ECONOMIC ASSISTANCE

6 FUNDS APPROPRIATED TO THE PRESIDENT

7 For expenses necessary to enable the President to carry

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

9 and for other purposes, to remain available until September

10 30, 1997, unless otherwise specified herein, as follows:

11 AGENCY FOR INTERNATIONAL DEVELOPMENT

12 DEVELOPMENT ASSISTANCE

13 (INCLUDING TRANSFER OF FUNDS)

14 For necessary expenses to carry out the provisions of

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

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

17 Security and Development Cooperation Act of 1980 (Public

18 Law 96–533) and the provisions of section 401 of the For19 eign Assistance Act of 1969, $1,290,000,000, to remain

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

21 amount appropriated under this heading, up to

22 $18,000,000 may be made available for the Inter-American

23 Foundation and shall be apportioned directly to that agen24 cy: Provided further, That of the amount appropriated

25 under this heading, up to $10,500,000 may be made avail26 able for the African Development Foundation and shall be
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1 apportioned directly to that agency: Provided further, That

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

3 are administered by the Agency for International Develop4 ment and made available for family planning assistance,

5 not less than 65 percent shall be made available directly

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

7 programmed by that office for family planning activities:

8 Provided further, That of the funds appropriated under this

9 heading and under the heading ‘‘Population, Development

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

11 International Development for development assistance ac12 tivities, the amount made available for sub-Saharan Africa

13 should be in at least the same proportion as the amount

14 identified in the fiscal year 1997 draft congressional presen15 tation document for development assistance for sub-Saha16 ran Africa is to the total amount requested for development

17 assistance for such fiscal year: Provided further, That funds

18 appropriated under this heading shall be made available,

19 notwithstanding any other provision of law, to assist Viet20 nam to refom its trade regime through, among other things,

21 reform of its commercial and investment legal codes: Pro22 vided further, That up to $5,000,000 of the funds appro23 priated under this heading may be made available for nec24 essary expenses to carry out the provisions of section 667

25 of the Foreign Assistance Act of 1961: Provided further,
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1 That none of the funds made available in this Act nor any

2 unobligated balances from prior appropriations may be

3 made available to any organization or program which, as

4 determined by the President of the United States, supports

5 or participates in the management of a program of coercive

6 abortion or involuntary sterilization: Provided further,

7 That none of the funds made available under this heading

8 or under the heading ‘‘Population, Development Assist9 ance’’, may be used to pay for the performance of abortion

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

11 any person to practice abortions; and that in order to re12 duce reliance on abortion in developing nations, funds shall

13 be available only to voluntary family planning projects

14 which offer, either directly or through referral to, or infor15 mation about access to, a broad range of family planning

16 methods and services: Provided further, That in awarding

17 grants for natural family planning under section 104 of

18 the Foreign Assistance Act of 1961 no applicant shall be

19 discriminated against because of such applicant’s religious

20 or conscientious commitment to offer only natural family

21 planning; and, additionally, all such applicants shall com22 ply with the requirements of the previous proviso: Provided

23 further, That for purposes of this or any other Act authoriz24 ing or appropriating funds for foreign operations, export

25 financing, and related programs, the term ‘‘motivate’’, as
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1 it relates to family planning assistance, shall not be con2 strued to prohibit the provision, consistent with local law,

3 of information or counseling about all pregnancy options:

4 Provided further, That nothing in this paragraph shall be

5 construed to alter any existing statutory prohibitions

6 against abortion under section 104 of the Foreign Assist7 ance Act of 1961: Provided further, That, notwithstanding

8 section 109 of the Foreign Assistance Act of 1961, of the

9 funds appropriated under this heading in this Act, and of

10 the unobligated balances of funds previously appropriated

11 under this heading, up to $30,000,000 shall be transferred

12 to ‘‘International Organizations and Programs’’ for a con13 tribution to the International Fund for Agricultural Devel14 opment (IFAD), and that any such transfer of funds shall

15 be subject to the regular notification procedures of the Com16 mittees on Appropriations: Provided further, That of the

17 funds appropriated under this heading that are made avail18 able for assistance programs for displaced and orphaned

19 children and victims of war, not to exceed $25,000, in addi20 tion to funds otherwise available for such purposes, may

21 be used to monitor and provide oversight of such programs:

22 Provided further, That not less than $650,000 of the funds

23 made available under this heading should be made available

24 for support of the United States Telecommunications

25 Training Institute.
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1 POPULATION, DEVELOPMENT ASSISTANCE

2 For necessary expenses to carry out the provisions of

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

4 $410,000,000, to remain available until September 30,

5 1998.

6 CYPRUS

7 Of the funds appropriated under the headings ‘‘Devel8 opment Assistance’’ and ‘‘Economic Support Fund’’, not

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

10 to be used only for scholarships, administrative support of

11 the scholarship program, bicommunal projects, and meas12 ures aimed at reunification of the island and designed to

13 reduce tensions and promote peace and cooperation between

14 the two communities on Cyprus.

15 BURMA

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

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

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

19 $2,500,000 shall be made available to support activities in

20 Burma, along the Burma-Thailand border, and for activi21 ties of Burmese student groups and other organizations lo22 cated outside Burma, for the purposes of fostering democ23 racy in Burma, supporting the provision of medical sup24 plies and other humanitarian assistance to Burmese located

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

26 other purposes: Provided, That of this amount, not less than
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1 $200,000 shall be made available to support newspapers,

2 publications, and other media activities promoting democ3 racy inside Burma: Provided further, That funds made

4 available under this heading may be made available not5 withstanding any other provision of law: Provided further,

6 That provision of such funds shall be made available subject

7 to the regular notification procedures of the Committees on

8 Appropriations.

9 PRIVATE AND VOLUNTARY ORGANIZATIONS

10 None of the funds appropriated or otherwise made

11 available by this Act for development assistance may be

12 made available to any United States private and voluntary

13 organization, except any cooperative development organiza14 tion, which obtains less than 20 per centum of its total an15 nual funding for international activities from sources other

16 than the United States Government: Provided, That the re17 quirements of the provisions of section 123(g) of the Foreign

18 Assistance Act of 1961 and the provisions on private and

19 voluntary organizations in title II of the ‘‘Foreign Assist20 ance and Related Programs Appropriations Act, 1985’’ (as

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

22 provisions of this section, except that the authority con23 tained in the last sentence of section 123(g) may be exer24 cised by the Administrator with regard to the requirements

25 of this paragraph.
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1 Funds appropriated or otherwise made available

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

3 and voluntary organizations at a level which is equivalent

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

5 voluntary organizations shall include those which operate

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

7 sources, receive voluntary support from the public and are

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

9 providers of development assistance.

10 INTERNATIONAL DISASTER ASSISTANCE

11 For necessary expenses for international disaster relief,

12 rehabilitation, and reconstruction assistance pursuant to

13 section 491 of the Foreign Assistance Act of 1961, as amend14 ed, $190,000,000, to remain available until expended.

15 DEBT RESTRUCTURING

16 For the cost, as defined in section 502 of the Congres17 sional Budget Act of 1974, of modifying direct loans and

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

19 funds have been appropriated or otherwise made available

20 for programs within the International Affairs Budget Func21 tion 150, including the cost of selling, reducing, or canceling

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

23 United States as a result of concessional loans made to eli24 gible Latin American and Caribbean countries, pursuant

25 to part IV of the Foreign Assistance Act of 1961; of modify26 ing direct loans extended to least developed countries, as
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1 authorized under title I of the Agricultural Trade Develop2 ment and Assistance Act of 1954, as amended; and of modi3 fying concessional loans authorized under title I of the Agri4 cultural Trade Development and Assistance Act of 1954, as

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

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

7 Law 103–306, $27,000,000, to remain available until ex8 pended: Provided, That none of the funds appropriated

9 under this heading shall be obligated except through the reg10 ular notification procedures of the Committee on Appro11 priations.

12 MICRO AND SMALL ENTERPRISE DEVELOPMENT PROGRAM

13 ACCOUNT

14 For the subsidy cost of direct loans and loan guaran15 tees, $1,500,000, as authorized by section 108 of the Foreign

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

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

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

19 loans made under this heading in support of microenter20 prise activities may guarantee up to 70 percent of the prin21 cipal amount of any such loans notwithstanding section

22 108 of the Foreign Assistance Act of 1961. In addition, for

23 administrative expenses to carry out programs under this

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

25 merged with the appropriation for Operating Expenses of

26 the Agency for International Development: Provided fur-
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1 ther, That funds made available under this heading shall

2 remain available until September 30, 1998.

3 HOUSING GUARANTY PROGRAM ACCOUNT

4 For the cost, as defined in section 502 of the Congres5 sional Budget Act of 1974, of guaranteed loans authorized

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

7 1961, $4,000,000, to remain available until September 30,

8 1998: Provided, That these funds are available to subsidize

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

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

11 administrative expenses to carry out guaranteed loan pro12 grams, $6,000,000, all of which may be transferred to and

13 merged with the appropriation for Operating Expenses of

14 the Agency for International Development: Provided fur15 ther, That commitments to guarantee loans under this head16 ing may be entered into notwithstanding the second and

17 third sentences of section 222(a) and, with regard to pro18 grams for central and Eastern Europe and programs for

19 the benefit of South Africans disadvantaged by apartheid,

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

21 PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND

22 DISABILITY FUND

23 For payment to the ‘‘Foreign Service Retirement and

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

25 of 1980, $43,826,000.
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1 OPERATING EXPENSES OF THE AGENCY FOR

2 INTERNATIONAL DEVELOPMENT

3 For necessary expenses to carry out the provisions of

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

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

6 or otherwise made available by this Act may be made avail7 able for expenses necessary to relocate the Agency for Inter8 national Development, or any part of that agency, to the

9 building at the Federal Triangle in Washington, District

10 of Columbia.

11 OPERATING EXPENSES OF THE AGENCY FOR INTER12 NATIONAL DEVELOPMENT OFFICE OF INSPECTOR GEN13 ERAL

14 For necessary expenses to carry out the provisions of

15 section 667, $28,000,000, to remain available until ex16 pended, which sum shall be available for the Office of the

17 Inspector General of the Agency for International Develop18 ment.

19 OTHER BILATERAL ECONOMIC ASSISTANCE

20 ECONOMIC SUPPORT FUND

21 For necessary expenses to carry out the provisions of

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

23 until September 30, 1998: Provided, That of the funds ap24 propriated under this heading, not less than $1,200,000,000

25 shall be available only for Israel, which sum shall be avail26 able on a grant basis as a cash transfer and shall be dis-
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1 bursed within thirty days of enactment of this Act or by

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

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

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

5 of which sum cash transfer assistance may be provided,

6 with the understanding that Egypt will undertake signifi7 cant economic reforms which are additional to those which

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

9 less than $200,000,000 shall be provided as Commodity Im10 port Program assistance: Provided further, That in exercis11 ing the authority to provide cash transfer assistance for Is12 rael and Egypt, the President shall ensure that the level

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

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

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

16 of the Congress that the recommended levels of assistance

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

18 continued participation in the Camp David Accords and

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

20 That of the funds appropriated under this heading,

21 $3,000,000 shall be made available to establish an inde22 pendent radio broadcasting service to Iran: Provided fur23 ther, That none of the funds appropriated under this head24 ing shall be made available for Zaire.
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1 ASSISTANCE FOR EASTERN EUROPE AND THE BALTIC

2 STATES

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

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

5 East European Democracy (SEED) Act of 1989,

6 $475,000,000, to remain available until September 30,

7 1998, which shall be available, notwithstanding any other

8 provision of law, for economic assistance and for related

9 programs for Central and Eastern Europe and the Baltic

10 States.

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

12 appropriations Acts that are or have been made available

13 for an Enterprise Fund may be deposited by such Fund

14 in interest-bearing accounts prior to the Fund’s disburse15 ment of such funds for program purposes. The Fund may

16 retain for such program purposes any interest earned on

17 such deposits without returning such interest to the Treas18 ury of the United States and without further appropriation

19 by the Congress. Funds made available for Enterprise

20 Funds shall be expended at the minimum rate necessary

21 to make timely payment for projects and activities.

22 (c) Funds appropriated under this heading shall be

23 considered to be economic assistance under the Foreign As24 sistance Act of 1961 for purposes of making available the
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1 administrative authorities contained in that Act for the use

2 of economic assistance.

3 (d) With regard to funds appropriated or otherwise

4 made available under this heading for the economic revital5 ization program in Bosnia and Herzegovina, and local cur6 rencies generated by such funds (including the conversion

7 of funds appropriated under this heading into currency

8 used by Bosnia and Herzegovina as local currency and local

9 currency returned or repaid under such program)—

10 (1) the Administrator of the Agency for Inter11 national Development shall provide written approval

12 for grants and loans prior to the obligation and ex13 penditure of funds for such purposes, and prior to the

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

15 lending facility or grantee; and

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

17 apply.

18 (e) With regard to funds appropriated under this head19 ing that are made available for economic revitalization pro20 grams in Bosnia and Hercegovina, 50 percent of such funds

21 shall not be available for obligation unless the President de22 termines and certifies to the Committees on Appropriations

23 that the Federation of Bosnia and Hercegovina has com24 plied with article III of annex 1–A of the General Frame25 work Agreement for Peace in Bosnia and Hercegovina con-
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1 cerning the withdrawal of foreign forces, and that intel2 ligence cooperation on training, investigations, and related

3 activities between Iranian officials and Bosnian officials

4 has been terminated.

5 ASSISTANCE FOR THE NEW INDEPENDENT STATES OF THE

6 FORMER SOVIET UNION

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

8 of chapter 11 of part I of the Foreign Assistance Act of 1961

9 and the FREEDOM Support Act, for assistance for the new

10 independent states of the former Soviet Union and for relat11 ed programs, $640,000,000, to remain available until Sep12 tember 30, 1998: Provided, That the provisions of such

13 chapter shall apply to funds appropriated by this para14 graph.

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

25 expropriating or seizing ownership or control of as26 sets, investments, or ventures.
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1 (c) Funds may be furnished without regard to sub2 section (b) if the President determines that to do so is in

3 the national interest.

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

5 shall be made available to any government of the new inde6 pendent states of the former Soviet Union if that govern7 ment directs any action in violation of the territorial integ8 rity or national sovereignty of any other new independent

9 state, such as those violations included in the Helsinki

10 Final Act: Provided, That such funds may be made avail11 able without regard to the restriction in this subsection if

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

13 security interest of the United States: Provided further,

14 That the restriction of this subsection shall not apply to

15 the use of such funds for the provision of assistance for pur16 poses of humanitarian, disaster and refugee relief.

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

18 for the new independent states of the former Soviet Union

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

20 capability: Provided, That this restriction does not apply

21 to demilitarization or nonproliferation programs.

22 (f) Funds appropriated under this heading shall be

23 subject to the regular notification procedures of the Commit24 tees on Appropriations.
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1 (g) Funds made available in this Act for assistance

2 to the new independent states of the former Soviet Union

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

4 to environment and natural resources) of the Foreign As5 sistance Act of 1961.

6 (h) Funds appropriated under this heading may be

7 made available for assistance for Mongolia.

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

9 the New Independent States of the former Soviet Union

10 shall be provided to the maximum extent feasible through

11 the private sector, including small- and medium-size busi12 nesses, entrepreneurs, and others with indigenous private

13 enterprises in the region, intermediary development organi14 zations committed to private enterprise, and private vol15 untary organizations: Provided, That grantees and contrac16 tors should, to the maximum extent possible, place in key

17 staff positions specialists with prior on the ground expertise

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

19 languages.

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

21 or making grants, with funds appropriated under this

22 heading or in prior appropriations Acts, for projects or ac23 tivities that have as one of their primary purposes the fos24 tering of private sector development, the Coordinator for

25 United States Assistance to the New Independent States
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1 and the implementing agency shall encourage the participa2 tion of and give significant weight to contractors and grant3 ees who propose investing a significant amount of their own

4 resources (including volunteer services and in-kind con5 tributions) in such projects and activities.

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

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

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

9 made available to carry out United States decommissioning

10 obligations regarding the Chornobyl plant made in the

11 Memorandum of Understanding between the Government of

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

13 $35,000,000 shall be made available for agricultural

14 projects, including those undertaken through the Food Sys15 tems Restructuring Program, which leverage private sector

16 resources with United States Government assistance: Pro17 vided further, That $5,000,000 shall be available for a small

18 business incubator project: Provided further, That

19 $5,000,000 shall be made available for screening and treat20 ment of childhood mental and physical illnesses related to

21 Chornobyl radiation.

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

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

24 made available to improve safety at nuclear reactors: Pro25 vided, That of this amount $20,000,000 shall be provided
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1 for the purchase and installation of, and training for, safety

2 parameter display or control systems at all operational nu3 clear reactors: Provided further, That of this amount,

4 $20,000,000 shall be made available for the purchase, con5 struction, installation and training for Full Scope and An6 alytical/Engineering simulators: Provided further, That of

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

8 available to conduct Safety Analysis Reports at all oper9 ational nuclear reactors.

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

11 than $95,000,000 shall be made available for Armenia.

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

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

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

15 may be made available for Russia unless the President de16 termines and certifies in writing to the Committees on Ap17 propriations that the Government of Russia has terminated

18 implementation of arrangements to provide Iran with tech19 nical expertise, training, technology, or equipment nec20 essary to develop a nuclear reactor or related nuclear re21 search facilities or programs.

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

23 $15,000,000 shall be provided for hospital partnership pro24 grams, medical assistance to directly reduce the incidence

25 of infectious diseases such as diphtheria or tuberculosis, and
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1 a program to reduce the adverse impact of contaminated

2 drinking water.

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

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

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

6 available for law enforcement training and exchanges, and

7 investigative and technical assistance activities related to

8 international criminal activities: Provided, That of this

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

10 for training and exchanges in Russia to combat violence

11 against women.

12 (r) Of the funds appropriated under this heading, not

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

14 and Central Asian Enterprise Funds: Provided, That obli15 gation of these funds shall be consistent with sound business

16 practices.

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

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

19 United States contribution to the Trans-Caucasus Enter20 prise Fund.

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

22 appropriations Acts that are or have been made available

23 for an Enterprise Fund may be deposited by such Fund

24 in interest-bearing accounts prior to the disbursement of

25 such funds by the Fund for program purposes. The Fund
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1 may retain for such program proposes any interest earned

2 on such deposits without returning such interest to the

3 Treasury of the United States and without further appro4 priation by the Congress. Funds made available for Enter5 prise Funds shall be expended at the minimum rate nec6 essary to make timely payment for projects and activities.

7 (u) Funds appropriated under this heading may not

8 be made available for the Government of Ukraine if the

9 President determines and reports to the Committees on Ap10 propriations that the Government of Ukraine is engaged in

11 military cooperation with the Government of Libya.

12 (v) Of the funds appropriated under this heading, not

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

14 planning program for the New Independent States of the

15 former Soviet Union comparable to the family planning

16 program currently administered by the Agency for Inter17 national Development in the Central Asian Republics and

18 focusing on population assistance which provides an alter19 native to abortion.

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

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

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

23 Azerbaijan until the President determines, and so reports

24 to the Congress, that the Government of Azerbaijan is taking
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1 demonstrable steps to cease all blockades and other offensive

2 uses of force against Armenia and Nagorno-Karabakh.

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

4 less than $2,500,000 shall be made available for the Amer5 ican-Russian Center.

6 INDEPENDENT AGENCY

7 PEACE CORPS

8 For expenses necessary to carry out the provisions of

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

10 the purchase of not to exceed five passenger motor vehicles

11 for administrative purposes for use outside of the United

12 States: Provided, That none of the funds appropriated

13 under this heading shall be used to pay for abortions: Pro14 vided further, That funds appropriated under this heading

15 shall remain available until September 30, 1998.

16 DEPARTMENT OF STATE

17 INTERNATIONAL NARCOTICS CONTROL

18 For necessary expenses to carry out the provisions of

19 section 481 of the Foreign Assistance Act of 1961,

20 $160,000,000: Provided, That during fiscal year 1997, the

21 Department of State may also use the authority of section

22 608 of the Foreign Assistance Act of 1961, without regard

23 to its restrictions, to receive non-lethal excess property from

24 an agency of the United States Government for the purpose

25 of providing it to a foreign country under chapter 8 of part
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1 I of that Act subject to the regular notification procedures

2 of the Committees on Appropriations.

3 MIGRATION AND REFUGEE ASSISTANCE

4 For expenses, not otherwise provided for, necessary to

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

6 law, a contribution to the International Committee of the

7 Red Cross, assistance to refugees, including contributions

8 to the International Organization for Migration and the

9 United Nations High Commissioner for Refugees, and other

10 activities to meet refugee and migration needs; salaries and

11 expenses of personnel and dependents as authorized by the

12 Foreign Service Act of 1980; allowances as authorized by

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

14 purchase and hire of passenger motor vehicles; and services

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

16 $650,000,000: Provided, That not more than $12,000,000

17 shall be available for administrative expenses: Provided fur18 ther, That not less than $80,000,000 shall be made available

19 for refugees from the former Soviet Union and Eastern Eu20 rope and other refugees resettling in Israel.

21 UNITED STATES EMERGENCY REFUGEE AND MIGRATION

22 ASSISTANCE FUND

23 For necessary expenses to carry out the provisions of

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

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

26 remain available until expended: Provided, That the funds
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1 made available under this heading are appropriated not2 withstanding the provisions contained in section 2(c)(2) of

3 the Migration and Refugee Assistance Act of 1962 which

4 would limit the amount of funds which could be appro5 priated for this purpose.

6 NONPROLIFERATION, ANTI-TERRORISM, DEMINING AND

7 RELATED PROGRAMS

8 For necessary expenses for nonproliferation, anti-ter9 rorism and related programs and activities, $140,000,000

10 to carry out the provisions of chapter 8 of part II of the

11 Foreign Assistance Act of 1961 for anti-terrorism assist12 ance, section 504 of the FREEDOM Support Act for the

13 Nonproliferation and Disarmament Fund, section 23 of the

14 Arms Export Control Act for demining activities, notwith15 standing any other provision of law, including activities

16 implemented through nongovernmental and international

17 organizations, section 301 of the Foreign Assistance Act of

18 1961 for a voluntary contribution to the International

19 Atomic Energy Agency (IAEA) and a voluntary contribu20 tion to the Korean Peninsula Energy Development Organi21 zation (KEDO), and for the acquisition and provision of

22 goods and services, or for grants to Israel necessary to sup23 port the eradication of terrorism in and around Israel: Pro24 vided, That of this amount not to exceed $15,000,000, to

25 remain available until expended, may be made available

26 for the Nonproliferation and Disarmament Fund, notwith-
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1 standing any other provision of law, to promote bilateral

2 and multilateral activities relating to nonproliferation and

3 disarmament: Provided further, That such funds may also

4 be used for such countries other than the new independent

5 states of the former Soviet Union and international organi6 zations when it is in the national security interest of the

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

8 shall be subject to the regular notification procedures of the

9 Committees on Appropriations: Provided further, That

10 funds appropriated under this heading may be made avail11 able for the International Atomic Energy Agency only if

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

13 Congress) that Israel is not being denied its right to partici14 pate in the activities of that Agency: Provided further, That

15 not to exceed $13,000,000 may be made available to the Ko16 rean Peninsula Energy Development Organization

17 (KEDO) only for administrative expenses and heavy fuel

18 oil costs associated with the Agreed Framework: Provided

19 further, That of the funds made available to KEDO for

20 heavy fuel oil costs associated with the Agreed Framework,

21 not more than one-third of such funds may be obligated

22 within ninety days after the date of enactment of this Act,

23 not more than two-thirds of such funds may be obligated

24 within 180 days after the date of enactment of this Act and

25 the remaining funds may not be obligated until August 1,
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1 1997: Provided further, That funds may be obligated for

2 such heavy fuel oil costs only if, prior to each obligation

3 of funds, the President certifies and so reports to the Com4 mittees on Appropriations that North Korea is using all

5 fuel oil financed by the parties to the Agreed Framework

6 for purposes allowed by the Agreed Framework: Provided

7 further, That the obligation of such funds shall be subject

8 to the regular notification procedures of the Committees on

9 Appropriations.

10 TITLE III—MILITARY ASSISTANCE

11 FUNDS APPROPRIATED TO THE PRESIDENT

12 INTERNATIONAL MILITARY EDUCATION AND TRAINING

13 For necessary expenses to carry out the provisions of

14 section 541 of the Foreign Assistance Act of 1961,

15 $40,000,000: Provided, That up to $100,000 of the funds

16 appropriated under this heading may be made available for

17 grant financed military education and training for any

18 high income country on the condition that that country

19 agrees to fund from its own resources the transportation

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

21 That the civilian personnel for whom military education

22 and training may be provided under this heading may also

23 include members of national legislatures who are respon24 sible for the oversight and management of the military, and

25 may also include individuals who are not members of a
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1 government: Provided further, That none of the funds ap2 propriated under this heading shall be available for Zaire

3 and Guatemala: Provided further, That funds appropriated

4 under this heading for grant financed military education

5 and training for Indonesia may only be available for ex6 panded military education and training.

7 FOREIGN MILITARY FINANCING PROGRAM

8 (INCLUDING TRANSFERS OF FUNDS)

9 For expenses necessary for grants to enable the Presi10 dent to carry out the provisions of section 23 of the Arms

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

12 funds appropriated by this paragraph not less than

13 $1,800,000,000 shall be available for grants only for Israel,

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

15 grants only for Egypt: Provided further, That the funds ap16 propriated by this paragraph for Israel shall be disbursed

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

18 31, 1996, whichever is later: Provided further, That to the

19 extent that the Government of Israel requests that funds be

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

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

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

23 not less than $475,000,000 shall be available for the pro24 curement in Israel of defense articles and defense services,

25 including research and development: Provided further, That

26 Poland, Hungary, and the Czech Republic shall be des-
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1 ignated as eligible for the program established under section

2 203(a) of the NATO Participation Act of 1994: Provided

3 further, That of the funds made available under this para4 graph, $30,000,000 shall be available for assistance on a

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

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

7 585 of Public Law 104–107: Provided further, That funds

8 made available under this paragraph shall be nonrepayable

9 notwithstanding any requirement in section 23 of the Arms

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

11 only of providing support for NATO expansion and the

12 Warsaw Initiative Program, of the funds appropriated by

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

14 and the Baltic States’’ and ‘‘Assistance for the New Inde15 pendent States of the Former Soviet Union’’, up to a total

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

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

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

19 available under this heading shall be available for any non20 NATO country participating in the Partnership for Peace

21 Program except through the regular notification procedures

22 of the Committees on Appropriations.

23 For the cost, as defined in section 502 of the Congres24 sional Budget Act of 1974, of direct loans authorized by

25 section 23 of the Arms Export Control Act as follows: cost
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1 of direct loans, $60,000,000: Provided, That these funds are

2 available to subsidize gross obligations for the principal

3 amount of direct loans of not to exceed $540,000,000: Pro4 vided further, That the rate of interest charged on such

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

6 on outstanding marketable obligations of the United States

7 of comparable maturities: Provided further, That of the

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

9 be made available to Poland, Hungary, and the Czech Re10 public: Provided further, That funds appropriated under

11 this heading shall be made available for Greece and Turkey

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

13 loans for each country shall not exceed the following:

14 $122,500,000 only for Greece and $175,000,000 only for

15 Turkey.

16 None of the funds made available under this heading

17 shall be available to finance the procurement of defense arti18 cles, defense services, or design and construction services

19 that are not sold by the United States Government under

20 the Arms Export Control Act unless the foreign country pro21 posing to make such procurements has first signed an agree22 ment with the United States Government specifying the

23 conditions under which such procurements may be financed

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

25 level increases in allocations shall be submitted through the
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1 regular notification procedures of section 515 of this Act:

2 Provided further, That funds made available under this

3 heading shall be obligated upon apportionment in accord4 ance with paragraph (5)(C) of title 31, United States Code,

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

6 appropriated under this heading shall be available for

7 Zaire, Sudan, Peru, Liberia, and Guatemala: Provided fur8 ther, That none of the funds appropriated or otherwise

9 made available for use under this heading may be made

10 available for Colombia or Bolivia until the Secretary of

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

12 primarily for counternarcotics activities: Provided further,

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

14 notwithstanding any other provision of law, for activities

15 related to the clearance of landmines and unexploded ord16 nance, and may include activities implemented through

17 nongovernmental and international organizations: Pro18 vided further, That not more than $100,000,000 of the funds

19 made available under this heading shall be available for use

20 in financing the procurement of defense articles, defense

21 services, or design and construction services that are not

22 sold by the United States Government under the Arms Ex23 port Control Act to countries other than Israel and Egypt:

24 Provided further, That only those countries for which assist25 ance was justified for the ‘‘Foreign Military Sales Financ-
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1 ing Program’’ in the fiscal year 1989 congressional presen2 tation for security assistance programs may utilize funds

3 made available under this heading for procurement of de4 fense articles, defense services or design and construction

5 services that are not sold by the United States Government

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

7 subject to the regular notification procedures of the Commit8 tees on Appropriations, funds made available under this

9 heading for the cost of direct loans may also be used to sup10 plement the funds available under this heading for grants,

11 and funds made available under this heading for grants

12 may also be used to supplement the funds available under

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

14 That funds appropriated under this heading shall be ex15 pended at the minimum rate necessary to make timely pay16 ment for defense articles and services: Provided further,

17 That the Department of Defense shall conduct during the

18 current fiscal year nonreimbursable audits of private firms

19 whose contracts are made directly with foreign governments

20 and are financed with funds made available under this

21 heading (as well as subcontractors thereunder) as requested

22 by the Defense Security Assistance Agency: Provided fur23 ther, That not more than $23,250,000 of the funds appro24 priated under this heading may be obligated for necessary

25 expenses, including the purchase of passenger motor vehicles
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1 for replacement only for use outside of the United States,

2 for the general costs of administering military assistance

3 and sales: Provided further, That not more than

4 $355,000,000 of funds realized pursuant to section

5 21(e)(1)(A) of the Arms Export Control Act may be obli6 gated for expenses incurred by the Department of Defense

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

8 Arms Export Control Act, except that this limitation may

9 be exceeded only through the regular notification procedures

10 of the Committees on Appropriations.

11 PEACEKEEPING OPERATIONS

12 For necessary expenses to carry out the provisions of

13 section 551 of the Foreign Assistance Act of 1961,

14 $65,000,000: Provided, That none of the funds appropriated

15 under this paragraph shall be obligated or expended except

16 as provided through the regular notification procedures of

17 the Committees on Appropriations.

18 TITLE IV—MULTILATERAL ECONOMIC

19 ASSISTANCE

20 FUNDS APPROPRIATED TO THE PRESIDENT

21 INTERNATIONAL FINANCIAL INSTITUTIONS

22 CONTRIBUTION TO THE GLOBAL ENVIRONMENT FACILITY

23 For payment to the International Bank for Recon24 struction and Development by the Secretary of the Treas25 ury, for the United States contribution to the Global Envi-
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1 ronment Facility (GEF), $35,000,000, to remain available

2 until September 30, 1998.

3 CONTRIBUTION TO THE INTERIM TRUST FUND AT THE

4 INTERNATIONAL DEVELOPMENT ASSOCIATION

5 For payment to the Interim Trust Fund administered

6 by the International Development Association by the Sec7 retary of the Treasury, $626,000,000, to remain available

8 until expended.

9 CONTRIBUTION TO THE INTERNATIONAL FINANCE

10 CORPORATION

11 For payment to the International Finance Corpora12 tion by the Secretary of the Treasury, $6,656,000, for the

13 United States share of the increase in subscriptions to cap14 ital stock, to remain available until expended.

15 CONTRIBUTION TO THE INTER-AMERICAN DEVELOPMENT

16 BANK

17 For payment to the Inter-American Development Bank

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

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

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

21 increase in the resources of the Fund for Special Oper22 ations, $10,000,000, to remain available until expended.

23 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

24 The United States Governor of the Inter-American De25 velopment Bank may subscribe without fiscal year limita26 tion to the callable capital portion of the United States
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1 share of such capital stock in an amount not to exceed

2 $1,503,718,910.

3 CONTRIBUTION TO THE ENTERPRISE FOR THE AMERICAS

4 MULTILATERAL INVESTMENT FUND

5 For payment to the Enterprise for the Americas Multi6 lateral Investment Fund by the Secretary of the Treasury,

7 for the United States contribution to the Fund to be admin8 istered by the Inter-American Development Bank,

9 $27,500,000 to remain available until expended.

10 CONTRIBUTION TO THE ASIAN DEVELOPMENT BANK

11 For payment to the Asian Development Bank by the

12 Secretary of the Treasury for the United States share of

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

14 $13,221,596, to remain available until expended.

15 LIMITATION ON CALLABLE CAPITAL SUBSCRIPTIONS

16 The United States Governor of the Asian Development

17 Bank may subscribe without fiscal year limitation to the

18 callable capital portion of the United States share of such

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

20 CONTRIBUTION TO THE ASIAN DEVELOPMENT FUND

21 For the United States contribution by the Secretary

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

23 Development Fund, as authorized by the Asian Develop24 ment Bank Act, as amended (Public Law 89–369),

25 $100,000,000, to remain available until expended.
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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.
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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, $295,000,000: 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 Korean Peninsula Energy

13 Development Organization (KEDO) or the International

14 Atomic Energy Agency (IAEA): Provided further, That

15 none of the funds appropriated under this heading that are

16 made available to the United Nations Population Fund

17 (UNFPA) shall be made available for activities in the Peo18 ple’s Republic of China: Provided further, That not more

19 than $35,000,000 of the funds appropriated under this

20 heading may be made available to the UNFPA: Provided

21 further, That not more than one-half of this amount may

22 be provided to UNFPA before March 1, 1997, and that no

23 later than February 15, 1997, the Secretary of State shall

24 submit a report to the Committees on Appropriations indi25 cating the amount UNFPA is budgeting for the People’s Re-
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1 public of China in 1997: Provided further, That any

2 amount UNFPA plans to spend in the People’s Republic

3 of China in 1997 shall be deducted from the amount of

4 funds provided to UNFPA after March 1, 1997 pursuant

5 to the previous provisos: Provided further, That with respect

6 to any funds appropriated under this heading that are

7 made available to UNFPA, UNFPA shall be required to

8 maintain such funds in a separate account and not com9 mingle them with any other funds.

10 TITLE V—GENERAL PROVISIONS

11 OBLIGATIONS DURING LAST MONTH OF AVAILABILITY

12 SEC. 501. Except for the appropriations entitled

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

14 Emergency Refugee and Migration Assistance Fund’’, not

15 more than 15 per centum of any appropriation item made

16 available by this Act shall be obligated during the last

17 month of availability.

18 PROHIBITION OF BILATERAL FUNDING FOR INTERNATIONAL

19 FINANCIAL INSTITUTIONS

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

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

22 209(d) of the Foreign Assistance Act of 1961.

23 LIMITATION ON RESIDENCE EXPENSES

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

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

26 official residence expenses of the Agency for International
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1 Development during the current fiscal year: Provided, That

2 appropriate steps shall be taken to assure that, to the maxi3 mum extent possible, United States-owned foreign cur4 rencies are utilized in lieu of dollars.

5 LIMITATION ON EXPENSES

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

7 pursuant to this Act, not to exceed $5,000 shall be for enter8 tainment expenses of the Agency for International Develop9 ment during the current fiscal year.

10 LIMITATION ON REPRESENTATIONAL ALLOWANCES

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

12 pursuant to this Act, not to exceed $95,000 shall be avail13 able for representation allowances for the Agency for Inter14 national Development during the current fiscal year: Pro15 vided, That appropriate steps shall be taken to assure that,

16 to the maximum extent possible, United States-owned for17 eign currencies are utilized in lieu of dollars: Provided fur18 ther, That of the funds made available by this Act for gen19 eral costs of administering military assistance and sales

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

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

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

23 representation allowances: Provided further, That of the

24 funds made available by this Act under the heading ‘‘Inter25 national Military Education and Training’’, not to exceed

26 $50,000 shall be available for entertainment allowances:
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1 Provided further, That of the funds made available by this

2 Act for the Inter-American Foundation, not to exceed

3 $2,000 shall be available for entertainment and representa4 tion allowances: Provided further, That of the funds made

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

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

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

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

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

10 and entertainment allowances.

11 PROHIBITION ON FINANCING NUCLEAR GOODS

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

13 available (other than funds for ‘‘Nonproliferation, Anti-ter14 rorism, Demining and Related Programs’’) pursuant to this

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

16 may be used, except for purposes of nuclear safety, to fi17 nance the export of nuclear equipment, fuel, or technology.

18 PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN

19 COUNTRIES

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

21 made available pursuant to this Act shall be obligated or

22 expended to finance directly any assistance or reparations

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

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

25 prohibition on obligations or expenditures shall include di-
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1 rect loans, credits, insurance and guarantees of the Export2 Import Bank or its agents.

3 MILITARY COUPS

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

5 made available pursuant to this Act shall be obligated or

6 expended to finance directly any assistance to any country

7 whose duly elected Head of Government is deposed by mili8 tary coup or decree: Provided, That assistance may be re9 sumed to such country if the President determines and re10 ports to the Committees on Appropriations that subsequent

11 to the termination of assistance a democratically elected

12 government has taken office.

13 TRANSFERS BETWEEN ACCOUNTS

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

15 Act may be obligated under an appropriation account to

16 which they were not appropriated, except for transfers spe17 cifically provided for in this Act, unless the President, prior

18 to the exercise of any authority contained in the Foreign

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

20 provides a written policy justification to the Committees

21 on Appropriations of the House of Representatives and the

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

23 be subject to the regular notification procedures of the Com24 mittees on Appropriations, except for transfers specifically

25 referred to in this Act.
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1 DEOBLIGATION/REOBLIGATION AUTHORITY

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

3 1311 of the Supplemental Appropriations Act, 1955, as

4 having been obligated against appropriations heretofore

5 made under the authority of the Foreign Assistance Act of

6 1961 for the same general purpose as any of the headings

7 under title II of this Act are, if deobligated, hereby contin8 ued available for the same period as the respective appro9 priations under such headings or until September 30, 1997,

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

11 for countries within the same region as originally obligated:

12 Provided, That the Appropriations Committees of both

13 Houses of the Congress are notified fifteen days in advance

14 of the deobligation and reobligation of such funds in accord15 ance with regular notification procedures of the Committees

16 on Appropriations.

17 (b) Obligated balances of funds appropriated to carry

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

19 end of the fiscal year immediately preceding the current

20 fiscal year are, if deobligated, hereby continued available

21 during the current fiscal year for the same purpose under

22 any authority applicable to such appropriations under this

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

24 not be used in fiscal year 1997.
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1 AVAILABILITY OF FUNDS

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

3 this Act shall remain available for obligation after the expi4 ration of the current fiscal year unless expressly so provided

5 in this Act: Provided, That funds appropriated for the pur6 poses of chapters 1, 8 and 11 of part I, section 667, and

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

8 as amended, and funds provided under the heading ‘‘Assist9 ance for Eastern Europe and the Baltic States’’, shall re10 main available until expended if such funds are initially

11 obligated before the expiration of their respective periods of

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

13 notwithstanding any other provision of this Act, any funds

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

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

16 which are allocated or obligated for cash disbursements in

17 order to address balance of payments or economic policy

18 reform objectives, shall remain available until expended:

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

20 of the Foreign Assistance Act of 1961 shall designate for

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

22 of such report, those funds allocated for cash disbursement

23 for balance of payment and economic policy reform pur24 poses.
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1 LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT

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

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

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

5 year in payment to the United States of principal or inter6 est on any loan made to such country by the United States

7 pursuant to a program for which funds are appropriated

8 under this Act: Provided, That this section and section

9 620(q) of the Foreign Assistance Act of 1961 shall not apply

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

11 fiscal year for Nicaragua, and for any narcotics-related as12 sistance for Colombia, Bolivia, and Peru authorized by the

13 Foreign Assistance Act of 1961 or the Arms Export Control

14 Act.

15 COMMERCE AND TRADE

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

17 available pursuant to this Act for direct assistance and

18 none of the funds otherwise made available pursuant to this

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

20 Investment Corporation shall be obligated or expended to

21 finance any loan, any assistance or any other financial

22 commitments for establishing or expanding production of

23 any commodity for export by any country other than the

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

25 on world markets at the time the resulting productive ca26 pacity is expected to become operative and if the assistance
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1 will cause substantial injury to United States producers of

2 the same, similar, or competing commodity.

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

4 Act to carry out chapter 1 of part I of the Foreign Assist5 ance Act of 1961 shall be available for any testing or breed6 ing feasibility study, variety improvement or introduction,

7 consultancy, publication, conference, or training in connec8 tion with the growth or production in a foreign country

9 of an agricultural commodity for export which would com10 pete with a similar commodity grown or produced in the

11 United States: Provided, That this subsection shall not pro12 hibit—

13 (1) activities designed to increase food security

14 in developing countries where such activities will not

15 have a significant impact in the export of agricul16 tural commodities of the United States; or

17 (2) research activities intended primarily to ben18 efit American producers.

19 SURPLUS COMMODITIES

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

21 the United States Executive Directors of the International

22 Bank for Reconstruction and Development, the Inter23 national Development Association, the International Fi24 nance Corporation, the Inter-American Development Bank,

25 the International Monetary Fund, the Asian Development

26 Bank, the Inter-American Investment Corporation, the
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1 North American Development Bank, the European Bank for

2 Reconstruction and Development, the African Development

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

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

5 these institutions, using funds appropriated or made avail6 able pursuant to this Act, for the production or extraction

7 of any commodity or mineral for export, if it is in surplus

8 on world markets and if the assistance will cause substan9 tial injury to United States producers of the same, similar,

10 or competing commodity.

11 NOTIFICATION REQUIREMENTS

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

13 Branch with the necessary administrative flexibility, none

14 of the funds made available under this Act for ‘‘Develop15 ment Assistance’’, ‘‘Population, Development Assistance’’,

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

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

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

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

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

21 operations’’, ‘‘Operating expenses of the Agency for Inter22 national Development’’, ‘‘Operating expenses of the Agency

23 for International Development Office of Inspector General’’,

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

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

26 ‘‘Foreign Military Financing Program’’, ‘‘International
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1 military education and training’’, ‘‘Peace Corps’’, ‘‘Migra2 tion and refugee assistance’’, and for the ‘‘Inter-American

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

4 shall be available for obligation for activities, programs,

5 projects, type of materiel assistance, countries, or other op6 erations not justified or in excess of the amount justified

7 to the Appropriations Committees for obligation under any

8 of these specific headings unless the Appropriations Com9 mittees of both Houses of Congress are previously notified

10 fifteen days in advance: Provided, That comparable require11 ments of any similar provision in any other Act shall be

12 applicable only to the extent that funds appropriated by

13 this Act have been previously authorized: Provided further,

14 That the President shall not enter into any commitment

15 of funds appropriated for the purposes of section 23 of the

16 Arms Export Control Act for the provision of major defense

17 equipment, other than conventional ammunition, or other

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

19 or combat vehicles, not previously justified to Congress or

20 20 per centum in excess of the quantities justified to Con21 gress unless the Committees on Appropriations are notified

22 fifteen days in advance of such commitment: Provided fur23 ther, That this section shall not apply to any reprogram24 ming for an activity, program, or project under chapter 1

25 of part I of the Foreign Assistance Act of 1961 of less than
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1 10 per centum of the amount previously justified to the Con2 gress for obligation for such activity, program, or project

3 for the current fiscal year: Provided further, That the re4 quirements of this section or any similar provision of this

5 Act or any other Act, including any prior Act requiring

6 notification in accordance with the regular notification

7 procedures of the Committees on Appropriations, may be

8 waived if failure to do so would pose a substantial risk to

9 human health or welfare: Provided further, That in case

10 of any such waiver, notification to the Congress, or the ap11 propriate congressional committees, shall be provided as

12 early as practicable, but in no event later than three days

13 after taking the action to which such notification require14 ment was applicable, in the context of the circumstances

15 necessitating such waiver: Provided further, That any noti16 fication provided pursuant to such a waiver shall contain

17 an explanation of the emergency circumstances.

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

19 Foreign Assistance Act of 1961 shall be subject to the regu20 lar notification procedures of the Committees on Appropria21 tions.

22 LIMITATION ON AVAILABILITY OF FUNDS FOR

23 INTERNATIONAL ORGANIZATIONS AND PROGRAMS

24 SEC. 516. Notwithstanding any other provision of law

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

26 Organizations and Programs’’ shall be available for the
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1 United States proportionate share, in accordance with sec2 tion 307(c) of the Foreign Assistance Act of 1961, for any

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

4 at the discretion of the President, Communist countries list5 ed in section 620(f) of the Foreign Assistance Act of 1961,

6 as amended: Provided, That, subject to the regular notifica7 tion procedures of the Committees on Appropriations, funds

8 appropriated under this Act or any previously enacted Act

9 making appropriations for foreign operations, export fi10 nancing, and related programs, which are returned or not

11 made available for organizations and programs because of

12 the implementation of this section or any similar provision

13 of law, shall remain available for obligation through Sep14 tember 30, 1997.

15 ECONOMIC SUPPORT FUND ASSISTANCE FOR ISRAEL

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

17 peace process in the Middle East is vitally important to

18 United States security interests in the region. The Congress

19 recognizes that, in fulfilling its obligations under the Treaty

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

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

22 incurred severe economic burdens. Furthermore, the Con23 gress recognizes that an economically and militarily secure

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

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

26 confidence to continue pursuing the peace process. There-
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1 fore, the Congress declares that, subject to the availability

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

3 United States that the funds provided in annual appropria4 tions for the Economic Support Fund which are allocated

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

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

7 Government in recognition that such a principle serves

8 United States interests in the region.

9 PROHIBITION ON FUNDING FOR ABORTIONS AND

10 INVOLUNTARY STERILIZATION

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

12 out part I of the Foreign Assistance Act of 1961, as amend13 ed, may be used to pay for the performance of abortions

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

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

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

17 of 1961, as amended, may be used to pay for the perform18 ance of involuntary sterilization as a method of family

19 planning or to coerce or provide any financial incentive

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

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

22 Act of 1961, as amended, may be used to pay for any bio23 medical research which relates in whole or in part, to meth24 ods of, or the performance of, abortions or involuntary steri25 lization as a means of family planning. None of the funds

26 made available to carry out part I of the Foreign Assistance
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1 Act of 1961, as amended, may be obligated or expended for

2 any country or organization if the President certifies that

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

4 would violate any of the above provisions related to abor5 tions and involuntary sterilizations: Provided, That none

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

7 to lobby for or against abortion.

8 POPULATION PLANNING ASSISTANCE LIMITATIONS

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

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

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

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

13 practice abortions.

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

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

16 lobby for or against abortion.

17 (c) ELIGIBILITY.—In determining eligibility for assist18 ance from funds appropriated to carry out section 104 of

19 the Foreign Assistance Act of 1961, nongovernmental and

20 multilateral organizations shall not be subjected to require21 ments more restrictive than the requirements applicable to

22 foreign governments for such assistance.

23 REPORTING REQUIREMENT

24 SEC. 520. The President shall submit to the Commit25 tees on Appropriations the reports required by section

26 25(a)(1) of the Arms Export Control Act.
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1 SPECIAL NOTIFICATION REQUIREMENTS

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

3 shall be obligated or expended for Colombia, Guatemala,

4 Haiti, Liberia, Pakistan, Sudan, or Zaire except as pro5 vided through the regular notification procedures of the

6 Committees on Appropriations.

7 DEFINITION OF PROGRAM, PROJECT, AND ACTIVITY

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

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

10 Act account level and shall include all Appropriations and

11 Authorizations Acts earmarks, ceilings, and limitations

12 with the exception that for the following accounts: Economic

13 Support Fund and Foreign Military Financing Program,

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

15 to include country, regional, and central program level

16 funding within each such account; for the development as17 sistance accounts of the Agency for International Develop18 ment ‘‘program, project, and activity’’ shall also be consid19 ered to include central program level funding, either as (1)

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

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

22 Committees on Appropriations within thirty days of enact23 ment of this Act, as required by section 653(a) of the For24 eign Assistance Act of 1961.
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1 CHILD SURVIVAL AND AIDS ACTIVITIES

2 SEC. 523. Up to $8,000,000 of the funds made avail3 able by this Act for assistance for family planning, health,

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

5 States Government agencies, agencies of State governments,

6 institutions of higher learning, and private and voluntary

7 organizations for the full cost of individuals (including for

8 the personal services of such individuals) detailed or as9 signed to, or contracted by, as the case may be, the Agency

10 for International Development for the purpose of carrying

11 out family planning activities, child survival activities and

12 activities relating to research on, and the treatment and

13 control of, acquired immune deficiency syndrome in devel14 oping countries: Provided, That funds appropriated by this

15 Act that are made available for child survival activities or

16 activities relating to research on, and the treatment and

17 control of, acquired immune deficiency syndrome may be

18 made available notwithstanding any provision of law that

19 restricts assistance to foreign countries: Provided further,

20 That funds appropriated by this Act that are made avail21 able for family planning activities may be made available

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

23 of the Foreign Assistance Act of 1961.
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1 PROHIBITION AGAINST INDIRECT FUNDING TO CERTAIN

2 COUNTRIES

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

4 made available pursuant to this Act shall be obligated to

5 finance indirectly any assistance or reparations to Cuba,

6 Iraq, Libya, Iran, Syria, North Korea, or the People’s Re7 public of China, unless the President of the United States

8 certifies that the withholding of these funds is contrary to

9 the national interest of the United States.

10 RECIPROCAL LEASING

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

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

13 lieu thereof ‘‘1997’’.

14 NOTIFICATION ON EXCESS DEFENSE EQUIPMENT

15 SEC. 526. Prior to providing excess Department of De16 fense articles in accordance with section 516(a) of the For17 eign Assistance Act of 1961, the Department of Defense shall

18 notify the Committees on Appropriations to the same extent

19 and under the same conditions as are other committees pur20 suant to subsection (c) of that section: Provided, That before

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

22 the Arms Export Control Act, the Department of Defense

23 shall notify the Committees on Appropriations in accord24 ance with the regular notification procedures of such Com25 mittees: Provided further, That such Committees shall also
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1 be informed of the original acquisition cost of such defense

2 articles.

3 AUTHORIZATION REQUIREMENT

4 SEC. 527. Funds appropriated by this Act may be obli5 gated and expended notwithstanding section 10 of Public

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

7 Authorities Act of 1956.

8 PROHIBITION ON BILATERAL ASSISTANCE TO TERRORIST

9 COUNTRIES

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

11 law, funds appropriated for bilateral assistance under any

12 heading of this Act and funds appropriated under any such

13 heading in a provision of law enacted prior to enactment

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

15 which the President determines—

16 (1) grants sanctuary from prosecution to any in17 dividual or group which has committed an act of

18 international terrorism, or

19 (2) otherwise supports international terrorism.

20 (b) The President may waive the application of sub21 section (a) to a country if the President determines that

22 national security or humanitarian reasons justify such

23 waiver. The President shall publish each waiver in the Fed24 eral Register and, at least fifteen days before the waiver

25 takes effect, shall notify the Committees on Appropriations

26 of the waiver (including the justification for the waiver)
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1 in accordance with the regular notification procedures of

2 the Committees on Appropriations.

3 COMMERCIAL LEASING OF DEFENSE ARTICLES

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

5 and subject to the regular notification procedures of the

6 Committees on Appropriations, the authority of section

7 23(a) of the Arms Export Control Act may be used to pro8 vide financing to Israel, Egypt and NATO and major non9 NATO allies for the procurement by leasing (including leas10 ing with an option to purchase) of defense articles from

11 United States commercial suppliers, not including Major

12 Defense Equipment (other than helicopters and other types

13 of aircraft having possible civilian application), if the

14 President determines that there are compelling foreign pol15 icy or national security reasons for those defense articles

16 being provided by commercial lease rather than by govern17 ment-to-government sale under such Act.

18 COMPETITIVE INSURANCE

19 SEC. 530. All Agency for International Development

20 contracts and solicitations, and subcontracts entered into

21 under such contracts, shall include a clause requiring that

22 United States insurance companies have a fair opportunity

23 to bid for insurance when such insurance is necessary or

24 appropriate.
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1 STINGERS IN THE PERSIAN GULF REGION

2 SEC. 531. Except as provided in section 581 of the For3 eign Operations, Export Financing, and Related Programs

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

5 or otherwise make available any Stingers to any country

6 bordering the Persian Gulf under the Arms Export Control

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

8 of 1961.

9 DEBT-FOR-DEVELOPMENT

10 SEC. 532. In order to enhance the continued participa11 tion of nongovernmental organizations in economic assist12 ance activities under the Foreign Assistance Act of 1961,

13 including endowments, debt-for-development and debt-for14 nature exchanges, a nongovernmental organization which

15 is a grantee or contractor of the Agency for International

16 Development may place in interest bearing accounts funds

17 made available under this Act or prior Acts or local cur18 rencies which accrue to that organization as a result of eco19 nomic assistance provided under title II of this Act and

20 any interest earned on such investment may be used for

21 the purpose for which the assistance was provided to that

22 organization.

23 COMPETITIVE PRICING FOR SALES OF DEFENSE ARTICLES

24 SEC. 533. Direct costs associated with meeting a for25 eign customer’s additional or unique requirements will con26 tinue to be allowable under contracts under section 22(d)
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1 of the Arms Export Control Act. Loadings applicable to

2 such direct costs shall be permitted at the same rates appli3 cable to procurement of like items purchased by the Depart4 ment of Defense for its own use.

5 SEPARATE ACCOUNTS

6 SEC. 534. (a) SEPARATE ACCOUNTS FOR LOCAL CUR7 RENCIES.—(1) If assistance is furnished to the government

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

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

10 under agreements which result in the generation of local

11 currencies of that country, the Administrator of the Agency

12 for International Development shall—

13 (A) require that local currencies be deposited in

14 a separate account established by that government;

15 (B) enter into an agreement with that govern16 ment which sets forth—

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

18 generated, and

19 (ii) the terms and conditions under which

20 the currencies so deposited may be utilized, con21 sistent with this section; and

22 (C) establish by agreement with that government

23 the responsibilities of the Agency for International

24 Development and that government to monitor and ac25 count for deposits into and disbursements from the

26 separate account.
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1 (2) USES OF LOCAL CURRENCIES.—As may be agreed

2 upon with the foreign government, local currencies depos3 ited in a separate account pursuant to subsection (a), or

4 an equivalent amount of local currencies, shall be used

5 only—

6 (A) to carry out chapters 1 or 10 of part I or

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

8 purposes as—

9 (i) project and sector assistance activities,

10 or

11 (ii) debt and deficit financing; or

12 (B) for the administrative requirements of the

13 United States Government.

14 (3) PROGRAMMING ACCOUNTABILITY.—The Agency for

15 International Development shall take all appropriate steps

16 to ensure that the equivalent of the local currencies dis17 bursed pursuant to subsection (a)(2)(A) from the separate

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

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

20 (4) TERMINATION OF ASSISTANCE PROGRAMS.—Upon

21 termination of assistance to a country under chapters 1 or

22 10 of part I or chapter 4 of part II (as the case may be),

23 any unencumbered balances of funds which remain in a

24 separate account established pursuant to subsection (a)

25 shall be disposed of for such purposes as may be agreed to
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1 by the government of that country and the United States

2 Government.

3 (5) CONFORMING AMENDMENTS.—The provisions of

4 this subsection shall supersede the tenth and eleventh provi5 sos contained under the heading ‘‘Sub-Saharan Africa, De6 velopment Assistance’’ as included in the Foreign Oper7 ations, Export Financing, and Related Programs Appro8 priations Act, 1989 and sections 531(d) and 609 of the For9 eign Assistance Act of 1961.

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

11 If assistance is made available to the government of a for12 eign country, under chapters 1 or 10 of part I or chapter

13 4 of part II of the Foreign Assistance Act of 1961, as cash

14 transfer assistance or as nonproject sector assistance, that

15 country shall be required to maintain such funds in a sepa16 rate account and not commingle them with any other funds.

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

18 Such funds may be obligated and expended notwithstanding

19 provisions of law which are inconsistent with the nature

20 of this assistance including provisions which are referenced

21 in the Joint Explanatory Statement of the Committee of

22 Conference accompanying House Joint Resolution 648 (H.

23 Report No. 98–1159).

24 (3) NOTIFICATION.—At least fifteen days prior to obli25 gating any such cash transfer or nonproject sector assist-
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1 ance, the President shall submit a notification through the

2 regular notification procedures of the Committees on Appro3 priations, which shall include a detailed description of how

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

5 a discussion of the United States interests that will be

6 served by the assistance (including, as appropriate, a de7 scription of the economic policy reforms that will be pro8 moted by such assistance).

9 (4) EXEMPTION.—Nonproject sector assistance funds

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

11 only through the notification procedures of the Committees

12 on Appropriations.

13 COMPENSATION FOR UNITED STATES EXECUTIVE

14 DIRECTORS TO INTERNATIONAL FINANCIAL INSTITUTIONS

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

16 be made as payment to any international financial institu17 tion while the United States Executive Director to such in18 stitution is compensated by the institution at a rate which,

19 together with whatever compensation such Director receives

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

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

22 Executive Schedule under section 5315 of title 5, United

23 States Code, or while any alternate United States Director

24 to such institution is compensated by the institution at a

25 rate in excess of the rate provided for an individual occupy-
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1 ing a position at level V of the Executive Schedule under

2 section 5316 of title 5, United States Code.

3 (b) For purposes of this section, ‘‘international finan4 cial institutions’’ are: the International Bank for Recon5 struction and Development, the Inter-American Develop6 ment Bank, the Asian Development Bank, the Asian Devel7 opment Fund, the African Development Bank, the African

8 Development Fund, the International Monetary Fund, the

9 North American Development Bank, and the European

10 Bank for Reconstruction and Development.

11 COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST

12 IRAQ

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

14 funds appropriated or otherwise made available pursuant

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

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

17 Overseas Private Investment Corporation) or the Arms Ex18 port Control Act may be used to provide assistance to any

19 country that is not in compliance with the United Nations

20 Security Council sanctions against Iraq, Serbia or

21 Montenegro unless the President determines and so certifies

22 to the Congress that—

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

24 the United States;

25 (2) such assistance will directly benefit the needy

26 people in that country; or
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1 (3) the assistance to be provided will be humani2 tarian assistance for foreign nationals who have fled

3 Iraq and Kuwait.

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

5 that the taking of such action would promote the effective6 ness of the economic sanctions of the United Nations and

7 the United States imposed with respect to Iraq, Serbia, or

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

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

10 period of time as he considers appropriate, the importation

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

12 country that has not prohibited—

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

14 or Montenegro into its customs territory, and

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

16 Montenegro, as the case may be.

17 POW/MIA MILITARY DRAWDOWN

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

19 law, the President may direct the drawdown, without reim20 bursement by the recipient, of defense articles from the

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

22 Department of Defense, and military education and train23 ing, of an aggregate value not to exceed $15,000,000 in fis24 cal year 1997, as may be necessary to carry out subsection

25 (b).
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1 (b) Such defense articles, services and training may

2 be provided to Vietnam, Cambodia and Laos, under sub3 section (a) as the President determines are necessary to sup4 port efforts to locate and repatriate members of the United

5 States Armed Forces and civilians employed directly or in6 directly by the United States Government who remain un7 accounted for from the Vietnam War, and to ensure the safe8 ty of United States Government personnel engaged in such

9 cooperative efforts and to support United States Depart10 ment of Defense-sponsored humanitarian projects associated

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

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

13 basis, but may be provided at no cost notwithstanding sec14 tion 61 of the Arms Export Control Act and may be main15 tained with defense articles, services and training provided

16 under this section.

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

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

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

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

21 section.

22 MEDITERRANEAN EXCESS DEFENSE ARTICLES

23 SEC. 538. For the four year period beginning on Octo24 ber 1, 1996, the President shall ensure that excess defense

25 articles will be made available under section 516 and 519

26 of the Foreign Assistance Act of 1961 consistent with the
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1 manner in which the President made available excess de2 fense articles under those sections during the four year pe3 riod that began on October 1, 1992, pursuant to section

4 573(e) of the Foreign Operations, Export Financing, Relat5 ed Programs Appropriations Act, 1990.

6 CASH FLOW FINANCING

7 SEC. 539. For each country that has been approved

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

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

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

11 Program, any Letter of Offer and Acceptance or other pur12 chase agreement, or any amendment thereto, for a procure13 ment in excess of $100,000,000 that is to be financed in

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

15 shall be submitted through the regular notification proce16 dures to the Committees on Appropriations.

17 AUTHORITIES FOR THE PEACE CORPS, THE INTER-AMER18 ICAN FOUNDATION AND THE AFRICAN DEVELOPMENT

19 FOUNDATION

20 SEC. 540. Unless expressly provided to the contrary,

21 provisions of this or any other Act, including provisions

22 contained in prior Acts authorizing or making appropria23 tions for foreign operations, export financing, and related

24 programs, shall not be construed to prohibit activities au25 thorized by or conducted under the Peace Corps Act, the

26 Inter-American Foundation Act, or the African Develop-
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1 ment Foundation Act. The appropriate agency shall

2 promptly report to the Committees on Appropriations

3 whenever it is conducting activities or is proposing to con4 duct activities in a country for which assistance is prohib5 ited.

6 IMPACT ON JOBS IN THE UNITED STATES

7 SEC. 541. None of the funds appropriated by this Act

8 may be obligated or expended to provide—

9 (a) any financial incentive to a business enter10 prise currently located in the United States for the

11 purpose of inducing such an enterprise to relocate

12 outside the United States if such incentive or induce13 ment is likely to reduce the number of employees of

14 such business enterprise in the United States because

15 United States production is being replaced by such

16 enterprise outside the United States;

17 (b) assistance for the purpose of establishing or

18 developing in a foreign country any export processing

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

20 environment, and safety laws of that country do not

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

22 within that zone or area, unless the President deter23 mines and certifies that such assistance is not likely

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

25 (c) assistance for any project or activity that

26 contributes to the violation of internationally recog-
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1 nized workers rights, as defined in section 502(a)(4)

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

3 country, including any designated zone or area in

4 that country: Provided, That in recognition that the

5 application of this subsection should be commensurate

6 with the level of development of the recipient country

7 and sector, the provisions of this subsection shall not

8 preclude assistance for the informal sector in such

9 country, micro and small-scale enterprise, and

10 smallholder agriculture.

11 AUTHORITY TO ASSIST BOSNIA AND HERZEGOVINA

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

13 transfer, subject to prior notification of the Committees on

14 Appropriations, to the government of Bosnia and

15 Herzegovina, without reimbursement, of defense articles

16 from the stocks of the Department of Defense and defense

17 services of the Department of Defense of an aggregate value

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

19 Provided, That the President certifies in a timely fashion

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

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

22 and stability of the region.

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

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

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

26 House of Representatives and the President pro tempore of
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1 the Senate concerning the articles transferred and the dis2 position thereof.

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

4 President such sums as may be necessary to reimburse the

5 applicable appropriation, fund, or account for defense arti6 cles provided under this section.

7 RESTRICTIONS ON THE TERMINATION OF SANCTIONS

8 AGAINST SERBIA AND MONTENEGRO

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

10 other provision of law, no sanction, prohibition, or require11 ment described in section 1511 of the National Defense Au12 thorization Act for Fiscal Year 1994 (Public Law 103–160),

13 with respect to Serbia or Montenegro, may cease to be effec14 tive, unless—

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

16 certification described in subsection (b); and

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

18 are met.

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

20 subsection is a certification that—

21 (1) there is substantial progress toward—

22 (A) the realization of a separate identity for

23 Kosova and the right of the people of Kosova to

24 govern themselves; or

25 (B) the creation of an international protec26 torate for Kosova;
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1 (2) there is substantial improvement in the

2 human rights situation in Kosova;

3 (3) international human rights observers are al4 lowed to return to Kosova; and

5 (4) the elected government of Kosova is permitted

6 to meet and carry out its legitimate mandate as elect7 ed representatives of the people of Kosova.

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

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

10 President certifies to the Congress that the President has

11 determined that the waiver is necessary to meet emergency

12 humanitarian needs or to achieve a negotiated settlement

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

14 the parties.

15 SPECIAL AUTHORITIES

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

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

18 Cambodia, and for victims of war, displaced children, dis19 placed Burmese, humanitarian assistance for Romania,

20 and humanitarian assistance for the peoples of Bosnia and

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

22 notwithstanding any other provision of law: Provided, That

23 any such funds that are made available for Cambodia shall

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

25 Assistance Act of 1961 and section 906 of the International
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1 Security and Development Cooperation Act of 1985: Pro2 vided further, That none of the funds appropriated by this

3 Act may be made available, and funds previously obligated

4 may not be expended, for assistance for any country or or5 ganization that the Secretary of State determines is cooper6 ating, tactically or strategically, with the Khmer Rouge in

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

8 that is not acting vigorously to prevent its members from

9 facilitating the export of timber from Cambodia by the

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

11 shall submit reports to the Committees on Appropriations

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

13 there are any countries, organizations, or militaries for

14 which assistance is prohibited under the previous proviso,

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

16 being taken to terminate assistance.

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

18 provisions of sections 103 through 106 of the Foreign Assist19 ance Act of 1961 may be used, notwithstanding any other

20 provision of law, for the purpose of supporting tropical for21 estry and energy programs aimed at reducing emissions of

22 greenhouse gases, and for the purpose of supporting bio23 diversity conservation activities: Provided, That such as24 sistance shall be subject to sections 116, 502B, and 620A

25 of the Foreign Assistance Act of 1961.
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1 (c) During fiscal year 1997, the President may use up

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

3 Foreign Assistance Act of 1961, notwithstanding the fund4 ing ceiling contained in subsection (a) of that section.

5 (d) The Agency for International Development may

6 employ personal services contractors, notwithstanding any

7 other provision of law, for the purpose of administering pro8 grams for the West Bank and Gaza.

9 POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT OF

10 ISRAEL

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

12 (1) the Arab League countries should imme13 diately and publicly renounce the primary boycott of

14 Israel and the secondary and tertiary boycott of

15 American firms that have commercial ties with Israel;

16 and

17 (2) the President should—

18 (A) take more concrete steps to encourage

19 vigorously Arab League countries to renounce

20 publicly the primary boycotts of Israel and the

21 secondary and tertiary boycotts of American

22 firms that have commercial relations with Israel

23 as a confidence-building measure;

24 (B) take into consideration the participa25 tion of any recipient country in the primary

26 boycott of Israel and the secondary and tertiary
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1 boycotts of American firms that have commercial

2 relations with Israel when determining whether

3 to sell weapons to said country;

4 (C) report to Congress on the specific steps

5 being taken by the President to bring about a

6 public renunciation of the Arab primary boycott

7 of Israel and the secondary and tertiary boycotts

8 of American firms that have commercial rela9 tions with Israel; and

10 (D) encourage the allies and trading part11 ners of the United States to enact laws prohibit12 ing businesses from complying with the boycott

13 and penalizing businesses that do comply.

14 ANTI-NARCOTICS ACTIVITIES

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

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

17 assistance may be provided to strengthen the administra18 tion of justice in countries in Latin America and the Carib19 bean in accordance with the provisions of section 534 of

20 the Foreign Assistance Act of 1961, except that programs

21 to enhance protection of participants in judicial cases may

22 be conducted notwithstanding section 660 of that Act.

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

24 be made available notwithstanding the third sentence of sec25 tion 534(e) of the Foreign Assistance Act of 1961. Funds

26 made available pursuant to subsection (a) for Bolivia, Co-
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1 lombia and Peru may be made available notwithstanding

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

3 the Foreign Assistance Act of 1961.

4 ELIGIBILITY FOR ASSISTANCE

5 SEC. 547. (a) ASSISTANCE THROUGH NONGOVERN6 MENTAL ORGANIZATIONS.—Restrictions contained in this

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

8 shall not be construed to restrict assistance in support of

9 programs of nongovernmental organizations from funds ap10 propriated by this Act to carry out the provisions of chap11 ters 1 and 10 of part I of the Foreign Assistance Act of

12 1961: Provided, That the President shall take into consider13 ation, in any case in which a restriction on assistance

14 would be applicable but for this subsection, whether assist15 ance in support of programs of nongovernmental organiza16 tions is in the national interest of the United States: Pro17 vided further, That before using the authority of this sub18 section to furnish assistance in support of programs of non19 governmental organizations, the President shall notify the

20 Committees on Appropriations under the regular notifica21 tion procedures of those committees, including a description

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

23 and the reasons for furnishing such assistance: Provided

24 further, That nothing in this subsection shall be construed

25 to alter any existing statutory prohibitions against abortion
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1 or involuntary sterilizations contained in this or any other

2 Act.

3 (b) PUBLIC LAW 480.—During fiscal year 1997, re4 strictions contained in this or any other Act with respect

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

6 assistance under the Agricultural Trade Development and

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

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

9 available pursuant to this subsection may be obligated or

10 expended except as provided through the regular notifica11 tion procedures of the Committees on Appropriations.

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

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

14 Assistance Act or any comparable provision of law

15 prohibiting assistance to countries that support inter16 national terrorism; or

17 (2) with respect to section 116 of the Foreign As18 sistance Act of 1961 or any comparable provision of

19 law prohibiting assistance to countries that violate

20 internationally recognized human rights.

21 EARMARKS

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

23 are earmarked may be reprogrammed for other programs

24 within the same account notwithstanding the earmark if

25 compliance with the earmark is made impossible by oper26 ation of any provision of this or any other Act or, with
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1 respect to a country with which the United States has an

2 agreement providing the United States with base rights or

3 base access in that country, if the President determines that

4 the recipient for which funds are earmarked has signifi5 cantly reduced its military or economic cooperation with

6 the United States since enactment of the Foreign Oper7 ations, Export Financing, and Related Programs Appro8 priations Act, 1991; however, before exercising the authority

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

10 country which has significantly reduced its military or eco11 nomic cooperation with the United States, the President

12 shall consult with, and shall provide a written policy jus13 tification to the Committees on Appropriations: Provided,

14 That any such reprogramming shall be subject to the regu15 lar notification procedures of the Committees on Appropria16 tions: Provided further, That assistance that is repro17 grammed pursuant to this subsection shall be made avail18 able under the same terms and conditions as originally pro19 vided.

20 (b) In addition to the authority contained in sub21 section (a), the original period of availability of funds ap22 propriated by this Act and administered by the Agency for

23 International Development that are earmarked for particu24 lar programs or activities by this or any other Act shall

25 be extended for an additional fiscal year if the Adminis-
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1 trator of such agency determines and reports promptly to

2 the Committees on Appropriations that the termination of

3 assistance to a country or a significant change in cir4 cumstances makes it unlikely that such earmarked funds

5 can be obligated during the original period of availability:

6 Provided, That such earmarked funds that are continued

7 available for an additional fiscal year shall be obligated

8 only for the purpose of such earmark.

9 CEILINGS AND EARMARKS

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

11 shall not be applicable to funds or authorities appropriated

12 or otherwise made available by any subsequent Act unless

13 such Act specifically so directs.

14 EXCESS DEFENSE ARTICLES

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

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

17 amended, may be used to provide nonlethal excess defense

18 articles to countries for which United States foreign assist19 ance has been requested and for which receipt of such arti20 cles was separately justified for the fiscal year, without re21 gard to the restrictions in subsection (a) of section 519.

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

23 516 of the Foreign Assistance Act of 1961, as amended, may

24 be used to provide defense articles to Jordan, Estonia, Lat25 via, Lithuania, and to countries eligible to participate in
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1 the Partnership for Peace and to receive assistance under

2 Public Law 101–179.

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

4 1961, as amended, is repealed.

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

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

7 this Act’’.

8 PROHIBITION ON PUBLICITY OR PROPAGANDA

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

10 this Act shall be used for publicity or propaganda purposes

11 within the United States not authorized before the date of

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

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

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

15 USE OF AMERICAN RESOURCES

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

17 provided under this Act should make full use of American

18 resources, including commodities, products, and services.

19 PROHIBITION OF PAYMENTS TO UNITED NATIONS MEMBERS

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

21 available pursuant to this Act for carrying out the Foreign

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

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

24 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 MORATORIUM ON USE OF ANTIPERSONNEL LANDMINES

7 SEC. 563. (a) UNITED STATES MORATORIUM.—Not8 withstanding any other provision of law, for a period of

9 one year beginning three years after the date of enactment

10 of Public Law 104–107, the United States shall not use

11 antipersonnel landmines except along internationally recog12 nized national borders or in demilitarized zones within a

13 perimeter marked area that is monitored by military per14 sonnel and protected by adequate means to ensure the exclu15 sion of civilians.

16 (b) DEFINITION AND EXEMPTIONS.—For the purposes

17 of this section:

18 (1) ANTIPERSONNEL LANDMINE.—The term

19 ‘‘antipersonnel landmine’’ means any munition

20 placed under, on, or near the ground or other surface

21 area, delivered by artillery, rocket, mortar, or similar

22 means, or dropped from an aircraft and which is de23 signed, constructed or adapted to be detonated or ex24 ploded by the presence, proximity, or contact of a per25 son.
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1 (2) EXEMPTIONS.—The term ‘‘antipersonnel

2 landmine’’ does not include command detonated Clay3 more munitions.

4 RESTRICTIONS CONCERNING THE PALESTINIAN AUTHORITY

5 SEC. 564. None of the funds appropriated by this Act

6 may be obligated or expended to create in any part of Jeru7 salem a new office of any department or agency of the Unit8 ed States Government for the purpose of conducting official

9 United States Government business with the Palestinian

10 Authority over Gaza and Jericho or any successor Palestin11 ian governing entity provided for in the Israel-PLO Dec12 laration of Principles: Provided, That this restriction shall

13 not apply to the acquisition of additional space for the ex14 isting Consulate General in Jerusalem: Provided further,

15 That meetings between officers and employees of the United

16 States and officials of the Palestinian Authority, or any

17 successor Palestinian governing entity provided for in the

18 Israel-PLO Declaration of Principles, for the purpose of

19 conducting official United States Government business with

20 such authority should continue to take place in locations

21 other than Jerusalem. As has been true in the past, officers

22 and employees of the United States Government may con23 tinue to meet in Jerusalem on other subjects with Palestin24 ians (including those who now occupy positions in the Pal25 estinian Authority), have social contacts, and have inciden26 tal discussions.
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1 PROHIBITION OF PAYMENT OF CERTAIN EXPENSES

2 SEC. 565. None of the funds appropriated or otherwise

3 made available by this Act under the heading ‘‘INTER4 NATIONAL MILITARY EDUCATION AND TRAINING’’ or ‘‘FOR5 EIGN MILITARY FINANCING PROGRAM’’ for Informational

6 Program activities may be obligated or expended to pay

7 for—

8 (1) alcoholic beverages;

9 (2) food (other than food provided at a military

10 installation) not provided in conjunction with Infor11 mational Program trips where students do not stay at

12 a military installation; or

13 (3) entertainment expenses for activities that are

14 substantially of a recreational character, including

15 entrance fees at sporting events and amusement

16 parks.

17 HUMANITARIAN ASSISTANCE

18 SEC. 566. The Foreign Assistance Act of 1961 is

19 amended by adding immediately after section 620H the fol20 lowing new section:

21 ‘‘SEC. 620I. PROHIBITION ON ASSISTANCE TO COUN22 TRIES THAT RESTRICT UNITED STATES HUMANITARIAN

23 ASSISTANCE.—

24 ‘‘(a) IN GENERAL.—No assistance shall be fur25 nished under this Act or the Arms Export Control Act

26 to any country when it is made known to the Presi-
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1 dent that the government of such country prohibits or

2 otherwise restricts, directly or indirectly, the trans3 port or delivery of United States humanitarian as4 sistance.

5 ‘‘(b) EXCEPTION.—Assistance may be furnished

6 without regard to the restriction in subsection (a) if

7 the President determines that to do so is in the na8 tional security interest of the United States.’’.

9 PURCHASE OF AMERICAN-MADE EQUIPMENT AND

10 PRODUCTS

11 SEC. 567. (a) SENSE OF CONGRESS.—It is the sense

12 of the Congress that, to the greatest extent practicable, all

13 equipment and products purchased with funds made avail14 able in this Act should be American-made.

15 (b) NOTICE REQUIREMENT.—In providing financial

16 assistance to, or entering into any contract with, any entity

17 using funds made available in this Act, the head of each

18 Federal agency, to the greatest extent practicable, shall pro19 vide to such entity a notice describing the statement made

20 in subsection (a) by the Congress.

21 LIMITATION OF FUNDS FOR NORTH AMERICAN

22 DEVELOPMENT BANK

23 SEC. 568. None of the funds appropriated in this Act

24 under the heading ‘‘North American Development Bank’’

25 and made available for the Community Adjustment and In26 vestment Program shall be used for purposes other than
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1 those set out in the binational agreement establishing the

2 Bank.

3 LIMITATION ON FUNDS FOR BURMA

4 SEC. 569. Until such time as the President determines

5 and certifies to the Committees on Appropriations that an

6 elected government of Burma has been allowed to take office,

7 the following sanctions shall be imposed on Burma:

8 (1) No national of the United States shall make

9 any investment in Burma;

10 (2) United States assistance to Burma is prohib11 ited;

12 (3) The Secretary of the Treasury shall instruct

13 the United States executive director of each inter14 national financial institution to vote against any

15 loan or other utilization of the funds of the respective

16 bank to or for Burma; and

17 (4) Except as required by Treaty obligations,

18 any Burmese national who formulates, implements,

19 or benefits from policies which hinder the transition

20 of Burma to a democratic country shall be ineligible

21 to receive a visa and shall be excluded from admission

22 to the United States.

23 SPECIAL DEBT RELIEF FOR THE POOREST

24 SEC. 570. (a) AUTHORITY TO REDUCE DEBT.—The

25 President may reduce amounts owed to the United States
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1 (or any agency of the United States) by an eligible country

2 as a result of—

3 (1) guarantees issued under sections 221 and 222

4 of the Foreign Assistance Act of 1961; or

5 (2) credits extended or guarantees issued under

6 the Arms Export Control Act.

7 (b) LIMITATIONS.—

8 (1) The authority provided by subsection (a)

9 may be exercised only to implement multilateral offi10 cial debt relief and referendum agreements, commonly

11 referred to as ‘‘Paris Club Agreed Minutes’’.

12 (2) The authority provided by subsection (a)

13 may be exercised only in such amounts or to such ex14 tent as is provided in advance by appropriations

15 Acts.

16 (3) The authority provided by subsection (a)

17 may be exercised only with respect to countries with

18 heavy debt burdens that are eligible to borrow from

19 the International Development Association, but not

20 from the International Bank for Reconstruction and

21 Development, commonly referred to as ‘‘IDA-only’’

22 countries.

23 (c) CONDITIONS.—The authority provided by sub24 section (a) may be exercised only with respect to a country

25 whose government—
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1 (1) does not have an excessive level of military

2 expenditures;

3 (2) has not repeatedly provided support for acts

4 of international terrorism;

5 (3) is not failing to cooperate on international

6 narcotics control matters;

7 (4) (including its military or other security

8 forces) does not engage in a consistent pattern of gross

9 violations of internationally recognized human rights;

10 and

11 (5) is not ineligible for assistance because of the

12 application of section 527 of the Foreign Relations

13 Authorization Act, fiscal years 1994 and 1995.

14 (d) AVAILABILITY OF FUNDS.—The authority provided

15 by subsection (a) may be used only with regard to funds

16 appropriated by this Act under the heading ‘‘Debt restruc17 turing’’.

18 (e) CERTAIN PROHIBITIONS INAPPLICABLE.—A reduc19 tion of debt pursuant to subsection (a) shall not be consid20 ered assistance for purposes of any provision of law limit21 ing assistance to a country. The authority provided by sub22 section (a) may be exercised notwithstanding section 620(r)

23 of the Foreign Assistance Act of 1961.

24 AUTHORITY TO ENGAGE IN DEBT BUYBACKS OR SALES

25 SEC. 571. (a) LOANS ELIGIBLE FOR SALE, REDUC26 TION, OR CANCELLATION.—
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1 (1) AUTHORITY TO SELL, REDUCE, OR CANCEL

2 CERTAIN LOANS.—Notwithstanding any other provi3 sion of law, the President may, in accordance with

4 this section, sell to any eligible purchaser any

5 concessional loan or portion thereof made before Jan6 uary 1, 1995, pursuant to the Foreign Assistance Act

7 of 1961, to the government of any eligible country as

8 defined in section 702(6) of that Act or on receipt of

9 payment from an eligible purchaser, reduce or cancel

10 such loan or portion thereof, only for the purpose of

11 facilitating—

12 (A) debt-for-equity swaps, debt-for-develop13 ment swaps, or debt-for-nature swaps; or

14 (B) a debt buyback by an eligible country

15 of its own qualified debt, only if the eligible

16 country uses an additional amount of the local

17 currency of the eligible country, equal to not less

18 than 40 percent of the price paid for such debt

19 by such eligible country, or the difference between

20 the price paid for such debt and the face value

21 of such debt, to support activities that link con22 servation and sustainable use of natural re23 sources with local community development, and

24 child survival and other child development, in a

25 manner consistent with sections 707 through 710
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1 of the Foreign Assistance Act of 1961, if the sale,

2 reduction, or cancellation would not contravene

3 any term or condition of any prior agreement

4 relating to such loan.

5 (2) TERMS AND CONDITIONS.—Notwithstanding

6 any other provision of law, the President shall, in ac7 cordance with this section, establish the terms and

8 conditions under which loans may be sold, reduced, or

9 canceled pursuant to this section.

10 (3) ADMINISTRATION.—The Facility, as defined

11 in section 702(8) of the Foreign Assistance Act of

12 1961, shall notify the administrator of the agency

13 primarily responsible for administering part I of the

14 Foreign Assistance Act of 1961 of purchasers that the

15 President has determined to be eligible, and shall di16 rect such agency to carry out the sale, reduction, or

17 cancellation of a loan pursuant to this section. Such

18 agency shall make an adjustment in its accounts to

19 reflect the sale, reduction, or cancellation.

20 (4) LIMITATION.—The authorities of this sub21 section shall be available only to the extent that ap22 propriations for the cost of the modification, as de23 fined in section 502 of the Congressional Budget Act

24 of 1974, are made in advance.
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1 (b) DEPOSIT OF PROCEEDS.—The proceeds from the

2 sale, reduction, or cancellation of any loan sold, reduced,

3 or canceled pursuant to this section shall be deposited in

4 the United States Government account or accounts estab5 lished for the repayment of such loan.

6 (c) ELIGIBLE PURCHASERS.—A loan may be sold pur7 suant to subsection (a)(1)(A) only to a purchaser who pre8 sents plans satisfactory to the President for using the loan

9 for the purpose of engaging in debt-for-equity swaps, debt10 for-development swaps, or debt-for-nature swaps.

11 (d) DEBTOR CONSULTATIONS.—Before the sale to any

12 eligible purchaser, or any reduction or cancellation pursu13 ant to this section, of any loan made to an eligible country,

14 the President shall consult with the country concerning the

15 amount of loans to be sold, reduced, or canceled and their

16 uses for debt-for-equity swaps, debt-for-development swaps,

17 or debt-for-nature swaps.

18 (e) AVAILABILITY OF FUNDS.—The authority provided

19 by subsection (a) may be used only with regard to funds

20 appropriated by this Act under the heading ‘‘Debt Restruc21 turing’’.

22 SANCTIONS AGAINST COUNTRIES HARBORING WAR

23 CRIMINALS

24 SEC. 572. (a) BILATERAL ASSISTANCE.—Funds ap25 propriated by this Act under the Foreign Assistance Act of
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1 1961 or the Arms Export Control Act may not be provided

2 for any country described in subsection (c).

3 (b) MULTILATERAL ASSISTANCE.—The Secretary of

4 the Treasury shall instruct the United States executive di5 rectors of the international financial institutions to work

6 in opposition to, and vote against, any extension by such

7 institutions of financing or financial or technical assistance

8 to any country described in subsection (c).

9 (c) SANCTIONED COUNTRIES.—A country described in

10 this subsection is a country the government of which know11 ingly grants sanctuary to persons in its territory for the

12 purpose of evading prosecution, where such persons—

13 (1) have been indicted by the International

14 Criminal Tribunal for the former Yugoslavia, the

15 International Criminal Tribunal for Rwanda, or any

16 other international tribunal with similar standing

17 under international law, or

18 (2) have been indicted for war crimes or crimes

19 against humanity committed during the period begin20 ning March 23, 1933 and ending on May 8, 1945

21 under the direction of, or in association with—

22 (A) the Nazi government of Germany;

23 (B) any government in any area occupied

24 by the military forces of the Nazi government of

25 Germany;
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1 (C) any government which was established

2 with the assistance or cooperation of the Nazi

3 government; or

4 (D) any government which was an ally of

5 the Nazi government of Germany.

6 LIMITATION ON ASSISTANCE FOR HAITI

7 SEC. 573. (a) None of the funds appropriated or other8 wise made available by this Act, may be provided to the

9 Government of Haiti until the President reports to Congress

10 that—

11 (1) the Government is conducting thorough in12 vestigations of extrajudicial and political killings;

13 and

14 (2) the Government is cooperating with United

15 States authorities in the investigations of political

16 and extrajudicial killings.

17 (b) Nothing in this section shall be construed to restrict

18 the provision of humanitarian, development or electoral as19 sistance.

20 (c) The President may waive the requirements of this

21 section if he determines and certifies to the appropriate

22 committees of Congress that it is in the national interest

23 of the United States or necessary to assure the safe and

24 timely withdrawal of American forces from Haiti.
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1 LIMITATION ON FUNDS TO THE TERRITORY OF THE

2 BOSNIAC-CROAT FEDERATION

3 SEC. 574. Funds appropriated by this Act for activi4 ties in the internationally-recognized borders of Bosnia and

5 Herzegovina (other than refugee and disaster assistance and

6 assistance for restoration of infrastructure, to include power

7 grids, water supplies and natural gas) may only be made

8 available for activities in the territory of the Bosniac-Croat

9 Federation.

10 UNITED STATES GOVERNMENT PUBLICATIONS

11 SEC. 575. Beginning in fiscal year 1997, all United

12 States Government publications shall refer to the capital

13 of Israel as Jerusalem.

14 EXTENSION OF CERTAIN ADJUDICATION PROVISIONS

15 SEC. 576. The Foreign Operations, Export Financing,

16 and Related Programs Appropriations Act, 1990 (Public

17 Law 101–167) is amended—

18 (1) in section 599D (8 U.S.C. 1157 note)—

19 (A) in subsection (b)(3), by striking ‘‘and

20 1996’’ and inserting ‘‘1996, and 1997’’; and

21 (B) in subsection (e), by striking out ‘‘Octo22 ber 1, 1996’’ each place it appears and inserting

23 ‘‘October 1, 1997’’; and

24 (2) in section 599E (8 U.S.C. 1255 note) in sub25 section (b)(2), by striking out ‘‘September 30, 1996’’

26 and inserting ‘‘September 30, 1997’’.
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1 TRANSPARENCY OF BUDGETS

2 SEC. 577. (a) LIMITATION.—Beginning three years

3 after the date of the enactment of this Act, the Secretary

4 of the Treasury shall instruct the United States Executive

5 Director of each international financial institution to use

6 the voice and vote of the United States to oppose any loan

7 or other utilization of the funds of their respective institu8 tion, other than to address basic human needs, for the gov9 ernment of any country which the Secretary of the Treasury

10 determines—

11 (1) does not have in place a functioning system

12 for a civilian audit of all receipts and expenditures

13 in the portions of its budget that fund activities of the

14 armed forces and security forces;

15 (2) has not provided a summary of a current

16 audit to the institution; and

17 (3) has not provided to the institution an ac18 counting of the ownership and financial interest in

19 revenue-generating enterprises of the armed forces and

20 security forces.

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

22 term ‘‘international financial institution’’ shall include the

23 institutions identified in section 535(b) of this Act.

24 PROMOTION OF HUMAN RIGHTS

25 SEC. 578. A senior official, or former senior official,

26 of a government that receives funds appropriated by this
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1 Act, who applies for a visa to travel to the United States,

2 shall be denied such visa if the Secretary of State has credi3 ble evidence that such official has committed, ordered or at4 tempted to thwart the investigation of a gross violation of

5 an internationally recognized human right: Provided, That

6 for purposes of this section ‘‘senior official’’ includes an offi7 cer of the armed forces or security forces: Provided further,

8 That the Secretary of State may waive the restrictions of

9 this section on a case-by-case basis if he determines and

10 reports to the Committees on Appropriations that to do so

11 is important to the national interest of the United States.

12 GUARANTEES

13 SEC. 579. Section 251(b)(2)(G) of the Balanced Budget

14 and Emergency Deficit Control Act of 1985 is amended by

15 striking ‘‘fiscal year 1994 and 1995’’ and inserting in lieu

16 thereof ‘‘fiscal years 1994, 1995, and 1997’’ in both places

17 that this appears.

18 This Act may be cited as the ‘‘Foreign Operations,

19 Export Financing, and Related Programs Appropriations

20 Act, 1997’’.