In the Senate of the United States,

September 7, 2000.

Resolved, That the bill from the House of Representatives (H.R. 4919) entitled ‘‘An Act to amend the Foreign Assistance Act of 1961 and the Arms Export Control Act to

make improvements to certain defense and security assistance

provisions under those Acts, to authorize the transfer of

naval vessels to certain foreign countries, and for other purposes.’’, do pass with the following

AMENDMENT:

Strike out all after the enacting clause and insert:

1 SECTION 1. SHORT TITLE.

2 This Act may be cited as the ‘‘Security Assistance Act

3 of 2000’’.
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1 TITLE I—MILITARY AND

2 RELATED ASSISTANCE

3 Subtitle A—Foreign Military

4 Financing Program

5 SEC. 101. AUTHORIZATION OF APPROPRIATIONS.

6 There are authorized to be appropriated for grant as7 sistance under section 23 of the Arms Export Control Act

8 (22 U.S.C. 2763) and for the subsidy cost, as defined in

9 section 502(5) of the Federal Credit Reform Act of 1990,

10 of direct loans under such section for fiscal year 2001, the

11 total amount of $3,627,000,000.

12 Subtitle B—Other Assistance

13 SEC. 111. DEFENSE DRAWDOWN SPECIAL AUTHORITIES.

14 (a) EMERGENCY DRAWDOWN.—Section 506(a)(1) of

15 the Foreign Assistance Act of 1961 (22 U.S.C. 2318(a)(1))

16 is amended by striking ‘‘$100,000,000’’ and inserting

17 ‘‘$150,000,000’’.

18 (b) ADDITIONAL DRAWDOWN.—Section 506(a)(2)(A)(i)

19 of such Act (22 U.S.C. 2318(a)(2)(A)(i)) is amended—

20 (1) by striking ‘‘or’’ the first place it appears;

21 and

22 (2) by striking subclause (III) and inserting the

23 following:

24 ‘‘(III) chapter 8 of part II (relat25 ing to antiterrorism assistance);
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1 ‘‘(IV) chapter 9 of part II (relat2 ing to nonproliferation assistance); or

3 ‘‘(V) the Migration and Refugee

4 Assistance Act of 1962; or’’.

5 SEC. 112. INCREASED TRANSPORT AUTHORITY.

6 Section 516(e)(2)(C) of the Foreign Assistance Act of

7 1961 (22 U.S.C. 23321j(e)(2)(C)) is amended by striking

8 ‘‘25,000’’ and inserting ‘‘50,000’’.

9 TITLE II—INTERNATIONAL MILI10 TARY EDUCATION AND TRAIN11 ING

12 SEC. 201. AUTHORIZATION OF APPROPRIATIONS.

13 There are authorized to be appropriated $65,000,000

14 for fiscal year 2001 to carry out chapter 5 of part II of

15 the Foreign Assistance Act of 1961 (22 U.S.C. 2347 et seq.).

16 SEC. 202. ADDITIONAL REQUIREMENTS RELATING TO

17 INTERNATIONAL MILITARY EDUCATION AND

18 TRAINING.

19 Chapter 5 of part II of the Foreign Assistance Act of

20 1961 (22 U.S.C. 2347 et seq.) is amended by adding at the

21 end the following:

22 ‘‘SEC. 547. CONSULTATION REQUIREMENT.

23 ‘‘The selection of foreign personnel for training under

24 this chapter shall be made in consultation with the United

25 States defense attache to the relevant country.
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1 ‘‘SEC. 548. RECORDS REGARDING FOREIGN PARTICIPANTS.

2 ‘‘In order to contribute most effectively to the develop3 ment of military professionalism in foreign countries, the

4 Secretary of Defense shall develop and maintain a database

5 containing records on each foreign military or defense min6 istry civilian participant in education and training activi7 ties conducted under this chapter after December 31, 2000.

8 This record shall include the type of instruction received,

9 the dates of such instruction, whether such instruction was

10 completed successfully, and, to the extent practicable, a

11 record of the person’s subsequent military or defense min12 istry career and current position and location.’’.

13 TITLE III—NONPROLIFERATION

14 AND EXPORT CONTROL AS15 SISTANCE

16 SEC. 301. NONPROLIFERATION AND EXPORT CONTROL AS17 SISTANCE.

18 Part II of the Foreign Assistance Act of 1961 (22

19 U.S.C. 2301 et seq.) is amended by adding at the end the

20 following new chapter:

21 ‘‘CHAPTER 9—NONPROLIFERATION AND

22 EXPORT CONTROL ASSISTANCE

23 ‘‘SEC. 581. GENERAL AUTHORITY.

24 ‘‘Notwithstanding any other provision of law that re25 stricts assistance to foreign countries (other than sections

26 502B and 620A of this Act), the President is authorized
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1 to furnish, on such terms and conditions as the President

2 may determine, assistance to foreign countries in order to

3 enhance the ability of such countries to halt the prolifera4 tion of nuclear, chemical, and biological weapons, and ad5 vanced conventional weaponry. Such assistance may in6 clude training services and the provision of equipment and

7 other commodities related to the detection, deterrence, moni8 toring, interdiction, and prevention or countering of pro9 liferation, the establishment of effective nonproliferation

10 laws and regulations, and the apprehension of those indi11 viduals involved in acts of proliferation of such weapons.

12 ‘‘SEC. 582. PURPOSES.

13 ‘‘Activities conducted under this chapter shall be

14 designed—

15 ‘‘(1) to enhance the nonproliferation and export

16 control capabilities of friendly countries by providing

17 training and equipment to detect, deter, monitor,

18 interdict, and counter proliferation;

19 ‘‘(2) to strengthen the bilateral ties of the United

20 States with friendly governments by offering concrete

21 assistance in this area of vital national security in22 terest; and

23 ‘‘(3) to accomplish the activities and objectives

24 set forth in sections 503 and 504 of the FREEDOM

25 Support Act (Public Law 102–511).
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1 ‘‘SEC. 583. TRANSIT INTERDICTION.

2 ‘‘(a) ALLOCATION OF FUNDS.—In providing assistance

3 under this chapter, the President should ensure that not less

4 than one-quarter of the total of such assistance is expended

5 for the purpose of enhancing the capabilities of friendly

6 countries to detect and interdict proliferation-related ship7 ments of cargo that originate from, and are destined for,

8 other countries.

9 ‘‘(b) PRIORITY TO CERTAIN COUNTRIES.—Priority

10 shall be given in the apportionment of the assistance de11 scribed under subsection (a) to any friendly country that

12 has been determined by the Secretary of State to be a coun13 try frequently transited by proliferation-related shipments

14 of cargo.

15 ‘‘SEC. 584. LIMITATIONS.

16 ‘‘The limitations contained in section 573 (a) and (d)

17 of this Act shall apply to this chapter.

18 ‘‘SEC. 585. AUTHORIZATION OF APPROPRIATIONS.

19 ‘‘(a) AUTHORIZATION OF APPROPRIATIONS.—There is

20 authorized to be appropriated to the President to carry out

21 this chapter $129,000,000 for the fiscal year 2001.

22 ‘‘(b) AVAILABILITY OF FUNDS.—Funds made available

23 under subsection (a) may be used notwithstanding any

24 other provision of law (other than section 502B or 620A)

25 and shall remain available until expended.’’.
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1 SEC. 302. NONPROLIFERATION AND EXPORT CONTROL

2 TRAINING IN THE UNITED STATES.

3 Of the amount made available for fiscal year 2001

4 under chapter 9 of part II of the Foreign Assistance Act

5 of 1961, as added by section 301, $2,000,000 is authorized

6 to be available for the purpose of training and education

7 of personnel from friendly countries in the United States.

8 SEC. 303. SCIENCE AND TECHNOLOGY CENTERS.

9 (a) AUTHORIZATION OF FUNDS.—Of the amounts

10 made available for fiscal year 2001 under chapter 9 of part

11 II of the Foreign Assistance Act of 1961, as added by section

12 301, $59,000,000 is authorized to be available for each such

13 year for science and technology centers in the independent

14 states of the former Soviet Union.

15 (b) SENSE OF THE SENATE.—It is the sense of the Sen16 ate, taking into account the obligation contained in section

17 1132 of Public Law 106–113, that the practice of auditing

18 entities receiving funds authorized under this section should

19 be significantly expanded and that the burden of supplying

20 auditors should be spread equitably within the United

21 States Government.

22 SEC. 304. TRIAL TRANSIT PROGRAM.

23 (a) ALLOCATION OF FUNDS.—Of the amount made

24 available for fiscal year 2001 under chapter 9 of the Foreign

25 Assistance Act of 1961, as added by section 301, $5,000,000

26 is authorized to be available to establish a static cargo x-
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1 ray facility in Malta, if the Secretary of State first certifies

2 to the appropriate committees of Congress that the Govern3 ment of Malta has provided adequate assurances that such

4 a facility will be utilized in connection with random cargo

5 inspections by Maltese customs officials of container traffic

6 transiting through the Malta Freeport.

7 (b) REQUIREMENT OF WRITTEN ASSESSMENT.—In the

8 event that a facility is established in Malta pursuant to

9 subsection (a), the Secretary of State shall submit a written

10 assessment to the appropriate committees of Congress not

11 later than 270 days after such a facility commences oper12 ation detailing—

13 (1) statistics on utilization of the facility by

14 Malta;

15 (2) the contribution made by the facility to

16 United States nonproliferation and export control ob17 jectives; and

18 (3) the feasibility of establishing comparable fa19 cilities in other countries identified by the Secretary

20 of State pursuant to section 583 of the Foreign Assist21 ance Act of 1961, as added by section 301.

22 (c) TREATMENT OF ASSISTANCE.—Assistance under

23 this section shall be considered as assistance under section

24 583(a) of the Foreign Assistance Act of 1961 (relating to

25 transit interdiction), as added by section 301.
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1 SEC. 305. EXCEPTION TO AUTHORITY TO CONDUCT INSPEC2 TIONS UNDER THE CHEMICAL WEAPONS CON3 VENTION IMPLEMENTATION ACT OF 1998.

4 Section 303 of the Chemical Weapons Convention Im5 plementation Act of 1998 (as contained in division I of

6 Public Law 105–277) is amended by adding at the end the

7 following new subsection:

8 ‘‘(c) EXCEPTION.—The requirement under subsection

9 (b)(2)(A) shall not apply to inspections of United States

10 chemical weapons destruction facilities (as used within the

11 meaning of part IV(C)(13) of the Verification Annex to the

12 Convention).’’.

13 TITLE IV—ANTITERRORISM

14 ASSISTANCE

15 SEC. 401. AUTHORIZATION OF APPROPRIATIONS.

16 Section 574(a) of the Foreign Assistance Act of 1961

17 (22 U.S.C. 2349aa–4(a)) is amended by striking

18 ‘‘$9,840,000’’ and all that follows through the period and

19 inserting the following: ‘‘$73,000,000 for the fiscal year

20 2001.’’.
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1 TITLE V—INTEGRATED SECU2 RITY ASSISTANCE PLANNING

3 Subtitle A—Establishment of a Na4 tional Security Assistance Strat5 egy

6 SEC. 501. NATIONAL SECURITY ASSISTANCE STRATEGY.

7 (a) REQUIREMENT.—Not later than 180 days after the

8 date of enactment of this Act, and annually thereafter in

9 connection with congressional presentation materials of the

10 foreign operations appropriations budget request, the Sec11 retary of State shall submit to the appropriate committees

12 of Congress a report setting forth a National Security As13 sistance Strategy for the United States.

14 (b) ELEMENTS OF THE STRATEGY.—The strategy

15 shall—

16 (1) set forth a 5-year plan for security assistance

17 programs;

18 (2) be consistent with the National Security

19 Strategy of the United States;

20 (3) be coordinated with the Secretary of Defense

21 and the Chairman of the Joint Chiefs of Staff;

22 (4) identify overarching security assistance objec23 tives, including identification of the role that specific

24 security assistance programs will play in achieving

25 such objectives;
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1 (5) identify a primary security assistance objec2 tive, as well as specific secondary objectives, for indi3 vidual countries;

4 (6) identify, on a country-by-country basis, how

5 specific resources will be allocated to accomplish both

6 primary and secondary objectives;

7 (7) discuss how specific types of assistance, such

8 as foreign military financing and international mili9 tary education and training, will be combined at the

10 country level to achieve United States objectives; and

11 (8) detail, with respect to each of the paragraphs

12 (1) through (7), how specific types of assistance pro13 vided pursuant to the Arms Export Control Act and

14 Foreign Assistance Act of 1961 are coordinated with

15 United States assistance programs managed by the

16 Department of Defense and other agencies.

17 (c) COVERED ASSISTANCE.—The National Security

18 Assistance Strategy shall cover assistance provided under—

19 (1) section 23 of the Arms Export Control Act

20 (22 U.S.C. 2763);

21 (2) chapters 5, 8, and 9 of part II of the Foreign

22 Assistance Act of 1961 (22 U.S.C. 2347 et seq.); and

23 (3) section 516 of the Foreign Assistance Act of

24 1961 (22 U.S.C. 2321i).
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1 SEC. 502. SECURITY ASSISTANCE SURVEYS.

2 (a) UTILIZATION.—The Secretary of State shall utilize

3 security assistance surveys in preparation of the National

4 Security Assistance Strategy required pursuant to section

5 501 of this Act.

6 (b) FUNDING.—Of the amounts made available for fis7 cal year 2001 under section 23 of the Arms Export Control

8 Act (22 U.S.C. 2763), $2,000,000 is authorized to be avail9 able to the Secretary of State to conduct security assistance

10 surveys, or to request such a survey, on a reimbursable

11 basis, by the Department of Defense or other United States

12 Government agencies. Such surveys shall be conducted con13 sistent with the requirements of section 26 of the Arms Ex14 port Control Act.

15 Subtitle B—Allocations for Certain

16 Countries

17 SEC. 511. SECURITY ASSISTANCE FOR NEW NATO MEMBERS.

18 (a) FOREIGN MILITARY FINANCING.—Of the amounts

19 made available for fiscal year 2001 under section 23 of the

20 Arms Export Control Act (22 U.S.C. 2763), $35,000,000 is

21 authorized to be available on a grant basis for the Czech

22 Republic, Hungary, and Poland.

23 (b) MILITARY EDUCATION AND TRAINING.—Of the

24 amounts made available for fiscal year 2001 to carry out

25 chapter 5 of part II of the Foreign Assistance Act of 1961

26 (22 U.S.C. 2347 et seq.), $7,000,000 is authorized to be
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1 available only for the Czech Republic, Hungary, and Po2 land.

3 (c) SELECT PRIORITIES.—In providing assistance

4 under this section, the President shall give priority to sup5 porting activities consistent with the objectives set forth in

6 the following conditions of the Senate resolution of ratifica7 tion for the Protocols to the North Atlantic Treaty of 1949

8 on the Accession of Poland, Hungary, and the Czech Repub9 lic:

10 (1) Condition (1)(A)(v), (vi), and (vii), relating

11 to common threats, the core mission of NATO, and

12 the capacity to respond to common threats.

13 (2) Condition (1)(B), relating to the funda14 mental importance of collective defense.

15 (3) Condition (1)(C), relating to defense plan16 ning, command structures, and force goals.

17 (4) Conditions (4)(B)(i) and (4)(B)(ii), relating

18 to intelligence matters.

19 SEC. 512. INCREASED TRAINING ASSISTANCE FOR GREECE

20 AND TURKEY.

21 (a) IN GENERAL.—Of the amounts made available for

22 fiscal year 2001 to carry out chapter 5 of part II of the

23 Foreign Assistance Act of 1961 (22 U.S.C. 2347 et seq.)—

24 (1) $1,000,000 is authorized to be available for

25 Greece; and
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1 (2) $2,500,000 is authorized to be available for

2 Turkey.

3 (b) USE FOR PROFESSIONAL MILITARY EDUCATION.—

4 Of the amounts available under paragraphs (1) and (2) of

5 subsection (a), $500,000 of such amounts should be avail6 able only for purposes of professional military education.

7 (c) USE FOR JOINT TRAINING.—It is the sense of Con8 gress that, to the maximum extent practicable, amounts

9 available under subsection (a) that are used in accordance

10 with subsection (b) should be used for joint training of

11 Greek and Turkish officers.

12 SEC. 513. MINIMUM ALLOCATION FOR EGYPT AND ISRAEL.

13 (a) AVAILABILITY OF FUNDS.—Of the amounts made

14 available for fiscal year 2001 for assistance under the ‘‘For15 eign Military Financing Program’’ account under section

16 23 of the Arms Export Control Act (22 U.S.C. 2763),

17 $1,980,000,000 is authorized to be available on a grant

18 basis for Israel, and $1,300,000,000 is authorized to be

19 available on a grant basis for Egypt.

20 (b) DISBURSEMENT OF FUNDS.—Funds authorized to

21 be available for Israel under subsection (a) shall be dis22 bursed not later than 30 days after the date of enactment

23 of an Act making appropriations for foreign operations, ex24 port financing, and related programs for fiscal year 2001,

25 or October 31, 2000, whichever date is later.
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1 (c) AVAILABILITY OF FUNDS FOR ADVANCED WEAPONS

2 SYSTEMS.—To the extent the Government of Israel requests

3 that funds be used for such purposes, grants made available

4 for Israel out of funds authorized to be available under sub5 section (a) for Israel shall, as agreed by Israel and the

6 United States, be available for advanced weapons systems,

7 of which not less than 26.3 percent shall be available for

8 the procurement in Israel of defense articles and defense

9 services, including research and development.

10 SEC. 514. SECURITY ASSISTANCE FOR CERTAIN COUNTRIES.

11 (a) FOREIGN MILITARY FINANCING.—Of the amounts

12 made available for fiscal year 2001 under section 23 of the

13 Arms Export Control Act (22 U.S.C. 2763)—

14 (1) $20,500,000 is authorized to be available on

15 a grant basis for Estonia, Latvia, and Lithuania;

16 (2) $5,000,000 is authorized to be available on a

17 grant basis for the Philippines;

18 (3) $5,000,000 is authorized to be available on a

19 grant basis for Georgia;

20 (4) $1,000,000 is authorized to be available on a

21 grant basis for Malta;

22 (5) $4,000,000 is authorized to be available on a

23 grant basis for Slovenia;

24 (6) $8,400,000 is authorized to be available on a

25 grant basis for Slovakia;
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1 (7) $11,000,000 is authorized to be available on

2 a grant basis for Romania; and

3 (8) $8,500,000 is authorized to be available on a

4 grant basis for Bulgaria.

5 (b) IMET.—Of the amounts made available for fiscal

6 year 2001 to carry out chapter 5 of part II of the Foreign

7 Assistance Act of 1961 (22 U.S.C. 2347 et seq.)—

8 (1) $4,000,000 is authorized to be available for

9 Estonia, Latvia, and Lithuania;

10 (2) $1,500,000 is authorized to be available for

11 the Philippines;

12 (3) $1,000,000 is authorized to be available for

13 Georgia;

14 (4) $1,000,000 is authorized to be available for

15 Malta;

16 (5) $1,000,000 is authorized to be available for

17 Slovenia;

18 (6) $1,000,000 is authorized to be available for

19 Slovakia;

20 (7) $1,500,000 is authorized to be available for

21 Romania; and

22 (8) $1,200,000 is authorized to be available for

23 Bulgaria.
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1 SEC. 515. BORDER SECURITY AND TERRITORIAL INDEPEND2 ENCE.

3 (a) GUUAM COUNTRIES AND ARMENIA.—For the pur4 pose of carrying out section 499C of the Foreign Assistance

5 Act of 1961 and assisting GUUAM countries and Armenia

6 to strengthen national control of their borders and to pro7 mote the independence and territorial sovereignty of such

8 countries, the following amounts are authorized to be made

9 available for fiscal year 2001:

10 (1) $20,000,000 of the amounts made available

11 for fiscal year 2001 under section 23 of the Arms Ex12 port Control Act (22 U.S.C. 2763).

13 (2) $10,000,000 of the amounts made available

14 for fiscal year 2001 under chapter 9 of part II of the

15 Foreign Assistance Act of 1961, as added by section

16 301.

17 (3) $5,000,000 of the amounts made available for

18 fiscal year 2001 to carry out chapter 5 of part II of

19 the Foreign Assistance Act of 1961 (22 U.S.C. 2347

20 et seq.).

21 (4) $2,000,000 of the amounts made available for

22 fiscal year 2001 to carry out chapter 8 of part II of

23 the Foreign Assistance Act.

24 (b) GUUAM COUNTRIES DEFINED.—In this section,

25 the term ‘‘GUUAM countries’’ means the group of countries
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1 that signed a protocol on quadrilateral cooperation on No2 vember 25, 1997, together with Uzbekistan.

3 TITLE VI—OTHER PROVISIONS

4 SEC. 601. UTILIZATION OF DEFENSE ARTICLES AND SERV5 ICES.

6 Section 502 of the Foreign Assistance Act of 1961 (22

7 U.S.C. 2302) is amended in the first sentence by inserting

8 ‘‘(including for antiterrorism and nonproliferation pur9 poses)’’ after ‘‘internal security’’.

10 SEC. 602. SENSE OF THE SENATE REGARDING EXCESS DE11 FENSE ARTICLES.

12 It is the sense of the Senate that the President should

13 make expanded use of the authority provided under section

14 21(a) of the Arms Export Control Act to sell excess defense

15 articles by utilizing the flexibility afforded by section 47

16 of such Act to ascertain the ‘‘market value’’ of excess defense

17 articles.

18 SEC. 603. SENSE OF THE SENATE.

19 It is the sense of the Senate that, prior to amending

20 the International Traffic in Arms Regulations, the Sec21 retary of State should consult with the Committee on For22 eign Relations of the Senate for the purpose of determining

23 whether certain agreements regarding defense trade with the

24 United Kingdom and Australia should be submitted to the

25 Senate as treaties.
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1 SEC. 604. ADDITIONS TO UNITED STATES WAR RESERVE

2 STOCKPILES FOR ALLIES.

3 Section 514(b)(2) of the Foreign Assistance Act of 1961

4 (22 U.S.C. 2321h(b)(2)) is amended to read as follows:

5 ‘‘(2)(A) The value of such additions to stockpiles of de6 fense articles in foreign countries shall not exceed

7 $50,000,000 for fiscal year 2001.

8 ‘‘(B) Of the amount specified in subparagraph (A) for

9 fiscal year 2001, not more than $50,000,000 may be made

10 available for stockpiles in the Republic of Korea.’’.

11 SEC. 605. TRANSFER OF CERTAIN OBSOLETE OR SURPLUS

12 DEFENSE ARTICLES IN THE WAR RESERVE

13 STOCKPILES FOR ALLIES TO ISRAEL.

14 (a) TRANSFERS TO ISRAEL.—

15 (1) AUTHORITY.—Notwithstanding section 514 of

16 the Foreign Assistance Act of 1961 (22 U.S.C. 2321h),

17 the President may transfer to Israel, in return for

18 concessions to be negotiated by the Secretary of De19 fense, with the concurrence of the Secretary of State,

20 any or all of the items described in paragraph (2).

21 (2) ITEMS COVERED.—The items referred to in

22 paragraph (1) are munitions such as armor, artillery,

23 automatic weapons ammunition, missiles, and other

24 munitions that—

25 (A) are obsolete or surplus items;
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1 (B) are in the inventory of the Department

2 of Defense;

3 (C) are intended for use as reserve stocks for

4 Israel; and

5 (D) as of the date of enactment of this Act,

6 are located in a stockpile in Israel.

7 (b) CONCESSIONS.—The value of concessions nego8 tiated pursuant to subsection (a) shall be at least equal to

9 the fair market value of the items transferred. The conces10 sions shall consist solely of cash compensation.

11 (c) ADVANCE NOTIFICATION OF TRANSFER.—Not less

12 than 30 days before making a transfer under the authority

13 of this section, the President shall transmit to the Com14 mittee on Foreign Relations of the Senate, and the Com15 mittee on International Relations of the House of Rep16 resentatives a notification of the proposed transfer. The no17 tification shall identify the items to be transferred and the

18 concessions to be received.

19 (d) EXPIRATION OF AUTHORITY.—No transfer may be

20 made under the authority of this section 5 years after the

21 date of enactment of this Act.

22 SEC. 606. STINGER MISSILES IN THE PERSIAN GULF RE23 GION.

24 (a) PROHIBITION.—Notwithstanding any other provi25 sion of law and except as provided in subsection (b), the
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1 United States may not sell or otherwise make available

2 under the Arms Export Control Act or chapter 2 of part

3 II of the Foreign Assistance Act of 1961 any Stinger

4 ground-to-air missiles to any country bordering the Persian

5 Gulf.

6 (b) ADDITIONAL TRANSFERS AUTHORIZED.—In addi7 tion to other defense articles authorized to be transferred

8 by section 581 of the Foreign Operations, Export Financ9 ing, and Related Programs Appropriation Act, 1990, the

10 United States may sell or make available, under the Arms

11 Export Control Act or chapter 2 of part II of the Foreign

12 Assistance Act of 1961, Stinger ground to air missiles to

13 any country bordering the Persian Gulf in order to replace,

14 on a one-for-one basis, Stinger missiles previously furnished

15 to such country if the Stinger missiles to be replaced are

16 nearing the scheduled expiration of their shelf-life.

17 SEC. 607. EXCESS DEFENSE ARTICLES FOR MONGOLIA.

18 (a) USES FOR WHICH FUNDS ARE AVAILABLE.—Not19 withstanding section 516(e) of the Foreign Assistance Act

20 of 1961 (22 U.S.C. 2321j(e)), during fiscal year 2001, funds

21 available to the Department of Defense may be expended

22 for crating, packing, handling, and transportation of excess

23 defense articles transferred under the authority of section

24 516 of that Act to Mongolia.
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1 (b) CONTENT OF CONGRESSIONAL NOTIFICATION.—

2 Each notification required to be submitted under section

3 516(f) of the Foreign Assistance Act of 1961 (22 U.S.C.

4 2321j(f)) with respect to a proposed transfer of a defense

5 article described in subsection (a) shall include an estimate

6 of the amount of funds to be expended under subsection (a)

7 with respect to that transfer.

8 SEC. 608. SPACE COOPERATION WITH RUSSIAN PERSONS.

9 (a) ANNUAL CERTIFICATION.—

10 (1) REQUIREMENT.—The President shall submit

11 each year to the appropriate committees of Congress,

12 with respect to each Russian person described in

13 paragraph (2), a certification that the person is not

14 suspected of contributing to the acquisition, design,

15 development, or production of MTCR-class ballistic

16 missiles in Iran at any time since January 1, 2000.

17 (2) APPLICABILITY.—The certification require18 ment under paragraph (1) applies with respect to

19 each Russian person that, as of the date of the certifi20 cation, is a person engaged in commercial cooperation

21 relating to MTCR equipment or technology with a

22 United States person pursuant to an arms export li23 cense that was issued within the 36 months preceding

24 the month in which the certification is made.
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1 (3) COMMENCEMENT AND TERMINATION OF RE2 QUIREMENT.—

3 (A) TIMES FOR SUBMISSION.—The Presi4 dent shall submit—

5 (i) the first certification under para6 graph (1) not later than 60 days after the

7 date of the enactment of this Act; and

8 (ii) each annual certification thereafter

9 on the anniversary of the first submission.

10 (B) TERMINATION OF REQUIREMENT.—No

11 certification is required under paragraph (1)

12 after the submission of the annual certification

13 that is required to be submitted 5 years after the

14 date on which the first certification is submitted.

15 (b) TERMINATION OF EXISTING LICENSES.—If, at any

16 time after the issuance of a license under section 36(c) of

17 the Arms Export Control Act relating to the use, develop18 ment, or co-production of commercial rocket engine tech19 nology with a foreign person, the President determines that

20 the foreign person has engaged in any action described in

21 section 73(a)(1) of the Arms Export Control Act (22 U.S.C.

22 2797b(a)(1)) since the date the license was issued, the Presi23 dent may terminate the license.

24 (c) REPORT ON EXPORT LICENSING OF MTCR ITEMS

25 UNDER $50,000,000.—Section 71(d) of the Arms Export
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1 Control Act (22 U.S.C. 2797(d)) is amended by striking

2 ‘‘Within 15 days’’ and all that follows through ‘‘MTCR

3 Annex,’’ and inserting ‘‘Within 15 days after the issuance

4 of a license (including any brokering license) for the export

5 of items valued at less than $50,000,000 that are controlled

6 under this Act pursuant to United States obligations under

7 the Missile Technology Control Regime or are goods or serv8 ices that are intended to support the design, utilization, de9 velopment, or production of a space launch vehicle system

10 listed in Category I or II of the MTCR Annex,’’.

11 (d) DEFINITIONS.—In this section:

12 (1) APPROPRIATE COMMITTEES OF CONGRESS.—

13 The term ‘‘appropriate committees of Congress’’

14 means the Committee on Foreign Relations of the

15 Senate and the Committee on International Relations

16 of the House of Representatives.

17 (2) FOREIGN PERSON.—The term ‘‘foreign per18 son’’ has the meaning given the term in section 74(7)

19 of the Arms Export Control Act (22 U.S.C. 2797c(7)).

20 (3) MTCR EQUIPMENT OR TECHNOLOGY.—The

21 term ‘‘MTCR equipment or technology’’ has the mean22 ing given the term in section 74(5) of the Arms Ex23 port Control Act (22 U.S.C. 2797c(5)).
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1 (4) PERSON.—The term ‘‘person’’ has the mean2 ing given the term in section 74(8) of the Arms Ex3 port Control Act (22 U.S.C. 2797c(8)).

4 (5) UNITED STATES PERSON.—The term ‘‘United

5 States person’’ has the meaning given the term in sec6 tion 74(6) of the Arms Export Control Act (22 U.S.C.

7 2797c(6).

8 SEC. 609. ASSISTANCE FOR ISRAEL.

9 (a) DEFINITIONS.—In this section:

10 (1) ESF ASSISTANCE.—The term ‘‘ESF assist11 ance’’ means assistance under chapter 4 of part II of

12 the Foreign Assistance Act of 1961 (22 U.S.C. 2346

13 et seq.), relating to the economic support fund.

14 (2) FOREIGN MILITARY FINANCING PROGRAM.—

15 The term ‘‘Foreign Military Financing Program’’

16 means the program authorized by section 23 of the

17 Arms Export Control Act (22 U.S.C. 2763).

18 (b) ESF ASSISTANCE.—

19 (1) IN GENERAL.—Of the amounts made avail20 able for each of the fiscal years 2001 through 2008 for

21 ESF assistance, not less than the amount specified in

22 paragraph (2) for each such fiscal year shall be avail23 able only for Israel.
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1 (2) COMPUTATION OF AMOUNT.—Subject to sub2 section (d), the amount referred to in paragraph (1)

3 is equal to—

4 (A) the amount made available for ESF as5 sistance for Israel for the preceding fiscal year,

6 minus

7 (B) $120,000,000.

8 (c) FMF PROGRAM.—

9 (1) IN GENERAL.—Of the amount made available

10 for each of the fiscal years 2001 through 2008 for as11 sistance under the Foreign Military Financing Pro12 gram, not less than the amount specified in para13 graph (2) for each such fiscal year shall be available

14 only for Israel.

15 (2) COMPUTATION OF AMOUNT.—Subject to sub16 section (d), the amount referred to in paragraph (1)

17 is equal to—

18 (A) the amount made available for assist19 ance under the Foreign Military Financing Pro20 gram for Israel for the preceding fiscal year, plus

21 (B) $60,000,000.

22 (d) EXCLUSION OF RESCISSIONS AND SUPPLEMENTAL

23 APPROPRIATIONS.—For purposes of this section, the com24 putation of amounts made available for a fiscal year shall

25 not take into account any amount rescinded by an Act or
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1 any amount appropriated by an Act making supplemental

2 appropriations for a fiscal year.

3 TITLE VII—TRANSFERS OF

4 NAVAL VESSELS

5 SEC. 701. AUTHORITY TO TRANSFER NAVAL VESSELS TO

6 CERTAIN FOREIGN COUNTRIES.

7 (a) BRAZIL.—The President is authorized to transfer

8 to the Government of Brazil two ‘‘THOMASTON’’ class

9 dock landing ships ALAMO (LSD 33) and HERMITAGE

10 (LSD 34), and four ‘‘GARCIA’’ class frigates BRADLEY

11 (FF 1041), DAVIDSON (FF 1045), SAMPLE (FF 1048)

12 and ALBERT DAVID (FF 1050). Such transfers shall be

13 on a grant basis under section 516 of the Foreign Assistance

14 Act of 1961 (22 U.S.C. 2321j).

15 (b) CHILE.—The President is authorized to transfer to

16 the Government of the Chile two ‘‘OLIVER HAZARD

17 PERRY’’ class guided missile frigates WADSWORTH

18 (FFG 9), and ESTOCIN (FFG 15). Such transfers shall

19 be on a combined lease-sale basis under sections 61 and 21

20 of the Arms Export Control Act (22 U.S.C. 2796, 2761).

21 (c) GREECE.—The President is authorized to transfer

22 to the Government of Greece two ‘‘KNOX’’ class frigates

23 VREELAND (FF 1068), and TRIPPE (FF 1075). Such

24 transfers shall be on a grant basis under section 516 of the

25 Foreign Assistance Act of 1961 (22 U.S.C. 2321j).
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1 (d) TURKEY.—The President is authorized to transfer

2 to the Government of Turkey two ‘‘OLIVER HAZARD

3 PERRY’’ class guided missile frigates JOHN A. MOORE

4 (FFG 19), and FLATLEY (FFG 21). Such transfers shall

5 be on a combined lease-sale basis under sections 61 and 21

6 of the Arms Export Control Act (22 U.S.C. 2796, 2761).

7 The authority granted by this section is in addition to that

8 granted under section 1018(a)(9) of Public Law 106–65.

9 SEC. 702. INAPPLICABILITY OF AGGREGATE ANNUAL LIMI10 TATION ON VALUE OF TRANSFERRED EXCESS

11 DEFENSE ARTICLES.

12 The value of naval vessels authorized under section 701

13 of this Act to be transferred on a grant basis under section

14 516 of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j)

15 shall not be included in the aggregate annual value of trans16 ferred excess defense articles which is subject to the aggre17 gate annual limitation set forth in section 516(g) of the

18 Foreign Assistance Act of 1961 (22 U.S.C. 2321j(g)).

19 SEC. 703. COSTS OF TRANSFERS.

20 Any expense of the United States in connection with

21 a transfer authorized by this Act shall be charged to the

22 recipient.
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1 SEC. 704. CONDITIONS RELATING TO COMBINED LEASE2 SALE TRANSFERS.

3 A transfer of a vessel on a combined lease-sale basis

4 authorized by section 701 shall be made in accordance with

5 the following requirements:

6 (1) The President may initially transfer the ves7 sel by lease, with lease payments suspended for the

8 term of the lease, if the country entering into the lease

9 for the vessel simultaneously enters into a foreign

10 military sales agreement for the transfer of title to the

11 vessel.

12 (2) The President may not deliver to the pur13 chasing country title to the vessel until the purchase

14 price of the vessel under such a foreign military sales

15 agreement is paid in full.

16 (3) Upon payment of the purchase price in full

17 under such a sales agreement and delivery of title to

18 the recipient country, the President shall terminate

19 the lease.

20 (4) If the purchasing country fails to make full

21 payment of the purchase price in accordance with the

22 sales agreement by the date required under the sales

23 agreement—

24 (A) the sales agreement shall be imme25 diately terminated;
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1 (B) the suspension of lease payments under

2 the lease shall be vacated; and

3 (C) the United States shall be entitled to re4 tain all funds received on or before the date of

5 the termination under the sales agreement, up to

6 the amount of lease payments due and payable

7 under the lease and all other costs required by

8 the lease to be paid to that date.

9 (5) If a sales agreement is terminated pursuant

10 to paragraph (4), the United States shall not be re11 quired to pay any interest to the recipient country on

12 any amount paid to the United States by the recipi13 ent country under the sales agreement and not re14 tained by the United States under the lease.

15 SEC. 705. FUNDING OF CERTAIN COSTS OF TRANSFERS.

16 There are authorized to be appropriated to the Defense

17 Vessels Transfer Program Account such funds as may be

18 necessary to cover the costs (as defined in section 502 of

19 the Congressional Budget Act of 1974 (2 U.S.C. 661a)) of

20 the lease-sale transfers authorized by section 701. Funds au21 thorized to be appropriated under the preceding sentence

22 for the purpose described in that sentence may not be avail23 able for any other purpose.
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1 SEC. 706. EXPIRATION OF AUTHORITY.

2 The authority granted by section 701 of this Act shall

3 expire two years after the date of enactment of this Act.

4 TITLE VIII—DEFINITION

5 SEC. 801. APPROPRIATE COMMITTEES OF CONGRESS DE6 FINED.

7 In this Act, the term ‘‘appropriate committees of Con8 gress’’ means the Committee on Foreign Relations and the

9 Committee on Armed Services of the Senate and the Com10 mittee on International Relations and the Committee on

11 Armed Services of the House of Representatives.

Attest:

Secretary.

106TH CONGRESS

2D SESSION H. R. 4919

AMENDMENT
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