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[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 154 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 154

  To provide for the self-determined political, social, and economic 
       development of the insular areas, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            January 5, 1993

 Mr. de Lugo introduced the following bill; which was referred to the 
                     Committee on Natural Resources

_______________________________________________________________________

                                 A BILL

 
  To provide for the self-determined political, social, and economic 
       development of the insular areas, and for other purposes.

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

                  TITLE I--FINDINGS, PURPOSES, POLICY

SEC. 101. SHORT TITLE.

    This Act may be cited as the ``Insular Areas Policy Act''.

SEC. 102. FINDINGS.

    The Congress finds that--
            (1) the United States does not have a clearly defined 
        policy regarding the United States insular areas: the 
        territories of American Samoa, Guam, and the Virgin Islands and 
        the Commonwealths of the Northern Mariana Islands and Puerto 
        Rico;
            (2) the Federal Government has often failed to consider the 
        implications for, effects on, and potential of the insular 
        areas in the formulation and conduct of domestic and foreign 
        policy to the detriment of both the insular areas and the 
        attainment of the objectives of Federal policy;
            (3) Federal policies and programs are often inappropriately 
        applied to the insular areas and should be adapted to the 
        unique circumstances of these areas;
            (4) the Americans of the United States insular areas lack 
        power in the Federal decision-making process;
            (5) the needy in the United States insular areas are 
        inequitably treated in some Federal programs and public 
        services for the residents of the insular areas often compare 
        unfavorably with services enjoyed by the residents of the 
        several States, yet the areas face substantial social problems;
            (6) the economic development of the insular areas has not 
        attained its full potential due to limitations imposed by such 
        factors as location, natural resources, infrastructure, 
        population, availability of capital, and unintentionally 
        imposed Federal constraints and, in some cases, is precariously 
        based;
            (7) the present Federal organizational arrangements for 
        making policy with regards to, liaison with, providing 
        assistance to, and administering programs in the insular areas 
        are not adequate for--
                    (A) developing and implementing policies with 
                respect to insular areas, including adapting policies 
                to the special requirements of each area and modifying 
                the application of Federal programs, laws, and 
                regulations accordingly;
                    (B) coordinating the delivery of Federal programs 
                in and assistance to these areas;
                    (C) fostering the social, economic, and political 
                development of the insular areas; and
                    (D) being responsive to the Congress in the 
                discharge of its constitutional responsibilities with 
                regard to the insular areas; and
            (8) the objectives of the trusteeship agreement for the 
        Territory of the Pacific Islands have not been fulfilled.

SEC. 103. PURPOSES.

    The purposes of this Act are to--
            (1) provide for the development and implementation of 
        Federal policy regarding the insular areas of or associated 
        with the United States; and
            (2) establish a Federal executive organization to serve as 
        a liaison between the executive branch and the governments of 
        the insular areas; coordinate Federal actions in a manner which 
        recognizes the special needs in and of the insular areas, 
        provide the assistance necessary in the insular areas to 
        achieve the objectives of Federal policy and foster the social, 
        economic, and political development of the areas; and ensure 
        that the Congress receives the information necessary to 
        discharge its constitutional responsibilities regarding the 
        insular areas.

SEC. 104. POLICY.

    Pursuant to its authority and responsibility under the Constitution 
regarding the insular areas, the Congress states that it is the policy 
of the Federal Government to promote, to the fullest extent possible, 
the self-determined political, social, and economic development of the 
insular areas, consistent with local cultural values and the status of 
the areas, to the levels enjoyed by the several States and to recognize 
the areas' unique character in the extension of Federal laws, programs, 
and regulations.

                  TITLE II--COUNCIL ON INSULAR AFFAIRS

SEC. 201. COUNCIL.

    (a) There is hereby established a Council on Insular Affairs 
composed of (1) an official designated by the heads of all executive 
departments and agencies, the Director of the Office of Management and 
Budget, and the United States Trade Representative; and (2) the 
President's principal assistants for National Security Affairs and 
Domestic Policy, who shall serve as co-chairmen.
    (b) The Council shall meet at such times as either of the co-
chairmen may request, but not less often than once a year, to oversee 
the development and implementation of the policy set forth in title I 
of this Act, its coordination with other aspects of the foreign and 
domestic policy of the United States, make such recommendations to the 
President, executive departments and agencies, or the Congress as may 
be necessary for these purposes, and consider the annual report to the 
Congress required by section 205 of this Act.

SEC. 202. STAFF.

    (a)(1) The Council shall be assisted by a staff located within the 
Executive Office of the President, which shall advise the President and 
the Council on the development and implementation of the policy set 
forth in title I of this Act and its coordination with other aspects of 
the domestic and foreign policy of the United States; serve as a 
liaison between the governments of the insular areas and the executive 
branch; coordinate Federal actions in a manner which recognizes the 
special needs in and of the insular areas and, provide the assistance 
necessary to achieve the objectives of Federal policy; and ensure that 
the Congress receives the information necessary to discharge its 
responsibilities regarding the insular areas.
    (2) The location of the Council's staff in the Executive Office of 
the President shall not be construed as affecting access by the 
Congress or committees of either House to information, documents, and 
studies in the possession of, conducted by, or at the direction of 
personnel involved in carrying out the provisions of this Act.
    (b) The staff shall be headed by a Director who shall be a person 
who is familiar with and sensitive to the political, social, cultural 
and economic needs and aspirations of the insular areas. The Director 
shall be appointed by the President to serve at his pleasure and shall 
be compensated at the rate now or hereafter provided for Level III of 
the Executive Schedule by section 5314 of title 5, United States Code.
    (c) The Director shall be assisted by two Assistant Directors, one 
of whom shall assist the Director with regard to matters affecting 
Puerto Rico and the other of whom shall assist the Director with regard 
to matters affecting American Samoa, Guam, the Northern Mariana 
Islands, the Territory of the Pacific Islands, and the Virgin Islands. 
The Assistant Directors shall be appointed by and serve at the pleasure 
of the President upon the recommendation of the Director and shall be 
compensated at the rate now or hereafter provided for Level IV of the 
Executive Schedule by section 5315 of title 5, United States Code.
    (d) The Director shall also be assisted, in administering the 
responsibilities of the Council, by a Deputy Director and, in reviewing 
the applicability of laws, rules, regulations, and proposals to the 
insular areas, by a Counsel. The Deputy Director and the Counsel shall 
be appointed by and serve at the pleasure of the President upon the 
recommendation of the Director and shall be compensated at the rate now 
or hereafter provided for Level V of the Executive Schedule by section 
5316 of title 5, United States Code.
    (e) The total employment of the Council shall include not more than 
25 persons in addition to the persons serving pursuant to subsections 
(b), (c), and (d).

SEC. 203. AUTHORITY.

    The Council, directly or through its Director, shall exercise on 
behalf of the President--
            (1) the responsibilities of the Assistant Secretary of the 
        Interior, Territorial and International Affairs under Orders of 
        the Secretary of the Interior 3046 (February 14, 1980) and 3142 
        (October 15, 1990), and all statutory or other authority for 
        administration of insular affairs, except that the Secretary of 
        the Interior shall, subject to policy guidance provided by the 
        Council, continue to be responsible for the administration of 
        grants to territorial governments through the Office of Insular 
        Assistance established pursuant to section 208 of this Act and 
        the audit responsibility regarding Federal funds transferred to 
        the Office of the Inspector General, Department of the Interior 
        pursuant to Public Law 97-357 (96 Stat. 1705) shall continue to 
        be exercised by the Inspector General; except that, if the 
        President deems it advisable, the audit responsibility of the 
        Inspector General regarding insular receipts and expenditures 
        shall be further transferred to auditors in the insular areas 
        if the Director determines that the insular government 
        concerned has established an independent and adequately funded 
        local audit capability;
            (2) the responsibility for American Samoa presently 
        exercised by the Secretary of the Interior pursuant to 
        Executive Order No. 10264 of June 29, 1951;
            (3) the responsibility for Guam presently exercised by the 
        Secretary of the Interior pursuant to the Organic Act of Guam, 
        as amended (64 Stat. 384);
            (4) the responsibility for the Northern Mariana Islands 
        presently exercised by the Secretary of the Interior pursuant 
        to Executive Order No. 12572 of November 3, 1986;
            (5) the responsibility for Puerto Rico assigned to the 
        Office of the President pursuant to the Memorandum of the 
        President concerning the Commonwealth of Puerto Rico of 
        November 30, 1992;
            (6) the responsibility for the Territory of the Pacific 
        Islands presently exercised by the Secretary of the Interior 
        pursuant to Executive Order 11021 of May 8, 1962; and
            (7) the responsibility for the Virgin Islands presently 
        exercised by the Secretary of the Interior pursuant to the 
        Revised Organic Act of the Virgin Islands, as amended (69 Stat. 
        497).

SEC. 204. RESPONSIBILITIES.

    The Director shall have the responsibility to--
            (1) provide the Congress, the President, the Council, and 
        Federal agencies with such information and advice as may be 
        necessary to structure Federal programs, laws, or regulations 
        affecting any of the insular areas to the political, social, 
        cultural, and economic conditions of such areas so as to 
        further the objectives of such programs, laws, or regulations 
        and the policy set forth in title I of this Act and to prevent 
        or reduce any adverse effect upon such area;
            (2) inform the local governments of the insular areas of 
        Federal actions which would affect such area and solicit the 
        comments and recommendations of such local governments and 
        provide those comments and recommendations together with his 
        analysis and advice to the head of the department or agency 
        proposing such action or the Council or the President, as may 
        be appropriate;
            (3) in consultation with the local governments of the 
        insular areas, prepare such information and justification as 
        may be necessary to--
                    (A) assist the President in the preparation of his 
                program, including the annual submission on the budget 
                concerning the allocation of funds to and among the 
                various agencies with responsibilities in any of the 
                insular areas;
                    (B) advise agencies on the appropriateness of 
                activities by such agencies in or concerning the 
                insular areas; and
                    (C) propose and support recommendations for such 
                extensions of, exemptions from, and modifications to 
                such laws, rules and regulations as may facilitate the 
                political, social, and economic development of each 
                insular area, consistent with the policy set forth in 
                title I of this Act;
            (4) coordinate the provision of such technical and other 
        assistance and advice as the local governments of the insular 
        areas may require; and
            (5) perform such specific activities as may be authorized 
        in the insular areas and such other activities as may be 
        necessary to carry out responsibilities of the Council.

SEC. 205. REPORTS TO CONGRESS.

    (a) The Council shall transmit a report on the state of the insular 
areas to the Committee on Natural Resources of the House of 
Representatives and the Committee on Energy and Natural Resources of 
the Senate not later than February 15 of each year. The report shall 
indicate the social, economic, and political conditions of the insular 
areas through the preceding fiscal year. The report shall detail 
changes in those conditions which occurred during the fiscal year as 
well as foreseeable future developments and recommended actions to 
address those conditions and developments.
    (b) Matters on which the report shall provide information for each 
insular area shall include, but not be limited to--
            (1) the insular area's Federal relationship;
            (2) the applicability or inapplicability of Federal 
        statutory and administrative actions and their impacts;
            (3) the effectiveness and delivery of Federal programs;
            (4) differences between the treatment of the insular areas 
        and their citizens under any Federal policy or program relative 
        to the treatment of the States and their citizens;
            (5) the activities and accomplishments of agencies 
        pertaining to the insular areas;
            (6) the adequacy of essential public infrastructure;
            (7) general economic conditions;
            (8) private sector activities and development and 
        investment potential;
            (9) existing employment and job opportunities and training;
            (10) the fiscal positions of the insular areas;
            (11) Federal fiscal and economic policies as they impact 
        the insular areas;
            (12) amounts and uses of Federal direct and indirect 
        assistance;
            (13) the capability of the local governments to administer 
        and manage various programs and meet needs and the efforts of 
        Federal agencies to improve that capability;
            (14) international obligations or undertakings regarding 
        the insular areas; and
            (15) compliance with legislative mandates.
    (c) The report shall clearly state the program of the President 
with regard to the matters specified in subsection (b) together with 
such specific proposals to accomplish the program as the Council deems 
appropriate.
    (d) To facilitate the preparation of the report--
            (1) each Federal agency with programs operating in or 
        affecting the insular areas shall report to the Director on 
        such activities not later than November 15 of each year; and
            (2) the Director shall submit a draft of the report, 
        developed after full consultation with the governments of the 
        insular areas, to the Council for review not later than January 
        15 of each year.

SEC. 206. USE OF FEDERAL AGENCIES.

    To the maximum extent practicable, the Director shall use the 
personnel and services of other Federal agencies in carrying out the 
responsibilities transferred to the Council by this title and such 
responsibilities as may be assigned to him. The head of each Federal 
agency is directed to cooperate with the Director and to make such 
personnel and services available as the Director may request.

SEC. 207. DELEGATION.

    The Council may from time to time make such provisions as it deems 
appropriate authorizing the performance of any of the functions 
transferred to it by the provisions of this title by any of its staff, 
or, with the concurrence of the head of any executive branch department 
or agency, may assign specific functions to such department or agency 
subject to the supervision of the Director. The Director shall notify 
the Committee on Natural Resources of the House of Representatives and 
the Committee on Energy and Natural Resources of the Senate not less 
than 60 days prior to an assignment of responsibility to another 
department or agency. Such notice shall indicate the reasons for such 
assignment, the scope of such assignment, the duration of the 
assignment, the concurrence of the head of the department or agency to 
which the function is assigned in the assignment, and the continued 
supervision and responsibility of the Director.

SEC. 208. OFFICE OF INSULAR ASSISTANCE.

    (a) The Office of Territorial and International Affairs established 
pursuant to the Order of the Secretary of the Interior 3046 is hereby 
abolished.
    (b)(1) There is hereby established an Office of Insular Assistance 
within the Department of the Interior under the direct supervision of 
the Deputy Secretary of the Interior.
    (2) The Office shall assume the responsibilities of the Office of 
Territorial and International Affairs regarding the administration of 
grants to territorial governments.

SEC. 209. TRANSFERS.

    (a) The personnel employed in connection with, and the assets, 
liabilities, contracts, property, facilities, records, and unexpended 
balance of appropriations, and other funds employed, held, used, 
arising from, available to, or to be made available in connection with 
the functions and offices, or portions thereof, referenced in by this 
title, including all senior executive service positions, shall be 
transferred to the Council for appropriate allocation by the Director 
in accordance with any applicable laws and regulations relating to 
transfer of functions. Unexpended funds transferred pursuant to this 
section shall be used only for the purposes for which the funds were 
originally authorized and appropriated, except that such funds may be 
used for the expenses associated with the transfer pursuant to this 
title.
    (b) In order to facilitate the transfers effected by this title, 
the Director of the Office of Management and Budget, in consultation 
with the Director and the Committee on Natural Resources of the House 
of Representatives and the Committee on Energy and Natural Resources of 
the Senate, is authorized and directed to make such determinations as 
may be necessary with regard to functions, offices, or portions 
thereof, dispositions of personnel, assets, liabilities, grants, 
contracts, property, records, and unexpended balances of 
appropriations, authorizations, apportionments, allocations, and other 
funds held, used, arising from, available to, or to be made available 
in connection with such functions, offices, or portions thereof, as may 
be necessary to resolve disputes between the Director and the heads of 
the department or agency from which the transfer was made which may 
arise in connection with the transfers. This section does not vest in 
the Director of the Office of Management and Budget any of the 
functions, power of duties of the Council or its Director or the 
department or agency. The authority and direction given by this section 
to the Director of the Office of Management and Budget shall terminate 
60 days after enactment.

SEC. 210. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as may be 
necessary to carry out the purposes of this Act.

                                 <all>

HR 154 IH----2
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