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[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 3297 Reported in Senate (RS)]

                                                       Calendar No. 699
111th CONGRESS
  2d Session
                                S. 3297

                          [Report No. 111-369]

   To update United States policy and authorities to help advance a 
  genuine transition to democracy and to promote economic recovery in 
                               Zimbabwe.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                              May 4, 2010

Mr. Feingold (for himself, Mr. Isakson, Mr. Kerry, Mr. Cardin, and Mr. 
    Durbin) introduced the following bill; which was read twice and 
             referred to the Committee on Foreign Relations

                           December 15, 2010

                Reported by Mr. Kerry, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL

 
   To update United States policy and authorities to help advance a 
  genuine transition to democracy and to promote economic recovery in 
                               Zimbabwe.

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

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Zimbabwe Transition to 
Democracy and Economic Recovery Act of 2010.''.</DELETED>

<DELETED>SEC. 2. DEFINITIONS.</DELETED>

<DELETED>    In this Act:</DELETED>
        <DELETED>    (1) Appropriate congressional committees.--The 
        term ``appropriate congressional committees'' means--</DELETED>
                <DELETED>    (A) the Committee on Foreign Relations, 
                the Committee on Banking, Housing, and Urban Affairs, 
                and the Committee on Appropriations of the Senate; 
                and</DELETED>
                <DELETED>    (B) the Committee on Foreign Affairs, the 
                Committee on Financial Services, and the Committee on 
                Appropriations of the House of 
                Representatives.</DELETED>
        <DELETED>    (2) International financial institutions.--The 
        term ``international financial institutions'' means the 
        multilateral development banks and the International Monetary 
        Fund.</DELETED>
        <DELETED>    (3) Multilateral development banks.--The term 
        ``multilateral development banks'' means--</DELETED>
                <DELETED>    (A) the International Bank for 
                Reconstruction and Development;</DELETED>
                <DELETED>    (B) the International Development 
                Association;</DELETED>
                <DELETED>    (C) the International Finance 
                Corporation;</DELETED>
                <DELETED>    (D) the Inter-American Development 
                Bank;</DELETED>
                <DELETED>    (E) the Asian Development Bank;</DELETED>
                <DELETED>    (F) the Inter-American Investment 
                Corporation;</DELETED>
                <DELETED>    (G) the African Development 
                Bank;</DELETED>
                <DELETED>    (H) the African Development 
                Fund;</DELETED>
                <DELETED>    (I) the European Bank for Reconstruction 
                and Development; and</DELETED>
                <DELETED>    (J) the Multilateral Investment Guarantee 
                Agency.</DELETED>

<DELETED>SEC. 3. FINDINGS.</DELETED>

<DELETED>    Congress makes the following findings:</DELETED>
        <DELETED>    (1) In the last decade, Robert Mugabe and his 
        government presided over the collapse of Zimbabwe's economy and 
        a dramatic decline in the living conditions of the people of 
        Zimbabwe, while employing violent tactics to maintain 
        power.</DELETED>
        <DELETED>    (2) Through economic mismanagement and 
        undemocratic practices over the past decade, the Government of 
        Zimbabwe rendered itself ineligible to receive new loans, 
        credits, or guarantees from most international financial 
        institutions, which would otherwise be providing substantial 
        resources to assist in the recovery and modernization of 
        Zimbabwe's economy and which would have benefitted the people 
        of Zimbabwe.</DELETED>
        <DELETED>    (3) In September 2008, after months of political 
        violence against opposition members and their supporters 
        following disputed national elections, Robert Mugabe's party, 
        the Zimbabwean African National Union-Patriotic Front (ZANU-
        PF), signed a ``Global Political Agreement'' (GPA) with both 
        factions of the opposition Movement for Democratic Change 
        (MDC), respectively led by Morgan Tsvangirai and Arthur 
        Mutambara, to form a transitional government, which was 
        inaugurated in February 2009.</DELETED>
        <DELETED>    (4) In the GPA, which has been enshrined in the 
        constitution of Zimbabwe and guaranteed by the Southern African 
        Development Community (SADC) and the African Union (AU), the 
        parties declared their commitment to ``work together to create 
        a genuine, viable, permanent, sustainable, and nationally 
        acceptable solution to the Zimbabwe situation and in particular 
        to implement the following agreement with the aims of resolving 
        once and for all the current political and economic situations 
        and charting a new political direction for the 
        country''.</DELETED>
        <DELETED>    (5) Under the direction of the new Prime Minister, 
        Morgan Tsvangirai, and Minister of Finance, Tendai Biti, both 
        from the MDC, the transitional government in Zimbabwe has 
        initiated a series of critical economic reforms, putting a stop 
        to some of the quasi-fiscal activities of the previous 
        administration, resuming salary payments to civil servants, and 
        directing limited budget resources toward critical social 
        protection services and infrastructure repairs.</DELETED>
        <DELETED>    (6) While reform-minded members of the new 
        coalition government have made some progress in initiating 
        reforms in the economic sector, the agreement has yet to be 
        fully implemented, and political and human rights abuses 
        continue, in contravention of the Global Political Agreement 
        signed by the parties.</DELETED>
        <DELETED>    (7) As of the date of the enactment of this Act, 
        state security forces remain largely under the control of ZANU-
        PF and continue to harass MDC supporters and civic activists in 
        Zimbabwe, to force illegal and often violent seizures of 
        private land and property, and to exert extrajudicial control 
        of diamond fields in the Marange district of eastern 
        Zimbabwe.</DELETED>
        <DELETED>    (8) The continued disrespect for the rule of law 
        and property rights in Zimbabwe deters much needed private 
        investment in the country.</DELETED>
        <DELETED>    (9) The formation of the transitional government 
        has brought changes to the political landscape in Zimbabwe and 
        created new opportunities for the United States and others to 
        help advance real reform and recovery by engaging with those in 
        the government who share those goals, while continuing to put 
        targeted pressure on those who are undermining the rule of 
        law.</DELETED>

<DELETED>SEC. 4. STATEMENT OF POLICY.</DELETED>

<DELETED>    It is the policy of the United States to support the 
people of Zimbabwe in their struggle to affect peaceful, democratic 
change, achieve broad-based and equitable economic growth, and restore 
the rule of law, including through--</DELETED>
        <DELETED>    (1) the continued provision of humanitarian 
        assistance to meet the urgent needs of the people of 
        Zimbabwe;</DELETED>
        <DELETED>    (2) increased resources through non-governmental 
        entities to provide assistance to the critical agriculture, 
        economic, education, and health sectors;</DELETED>
        <DELETED>    (3) the promotion of trade by United States 
        companies with Zimbabwe to stimulate the country's economic 
        growth and support the livelihoods of its people;</DELETED>
        <DELETED>    (4) engagement and close consultation with 
        regional governments and organizations, international financial 
        institutions, and other donors to push for the full 
        implementation of the Global Political Agreement and provide 
        targeted support for fundamental reforms in Zimbabwe;</DELETED>
        <DELETED>    (5) continued support for and engagement with 
        civil society organizations in their efforts to promote the 
        rule of law and respect for human rights in Zimbabwe, including 
        through their contributions to the development of a new 
        democratic constitution;</DELETED>
        <DELETED>    (6) technical assistance to those within the 
        transitional government in Zimbabwe who demonstrate commitment 
        to fundamental reforms in line with the Global Political 
        Agreement;</DELETED>
        <DELETED>    (7) the continuation of the ban on the transfer of 
        defense items and services and the suspension of direct 
        monetary assistance to the Government of Zimbabwe until there 
        is greater progress toward restoring the rule of law, civilian 
        control over security forces, and respect for human rights; 
        and</DELETED>
        <DELETED>    (8) the updating and renewal of targeted financial 
        sanctions and travel bans against those found to be responsible 
        for the deliberate breakdown of the rule of law, politically 
        motivated violence, hindrance of democracy, and other ongoing 
        illegal activities in Zimbabwe.</DELETED>

<DELETED>SEC. 5. TECHNICAL ASSISTANCE TO THE TRANSITIONAL GOVERNMENT OF 
              ZIMBABWE TO SUPPORT REFORMS.</DELETED>

<DELETED>    (a) Authority.--In accordance with section 531 of the 
Foreign Assistance Act of 1961 (22 U.S.C. 2346) and notwithstanding any 
other provision of law, the President is authorized to provide 
technical assistance to ministries of the transitional Government of 
Zimbabwe and to the Parliament of Zimbabwe to provide the expertise and 
support necessary to ensure progress on economic, political, and 
security sector reforms.</DELETED>
<DELETED>    (b) Sense of Congress.--It is the sense of Congress that--
</DELETED>
        <DELETED>    (1) the transitional Government of Zimbabwe should 
        work to fully enact the economic, political, and security 
        sector reforms envisaged under the Global Political 
        Agreement;</DELETED>
        <DELETED>    (2) the United States should continue to provide 
        technical assistance to build the capacity of ministries and 
        offices within the transitional Government of Zimbabwe that 
        demonstrate a commitment to those reforms;</DELETED>
        <DELETED>    (3) the Parliament of Zimbabwe should work to make 
        the government in that country accountable and to hasten the 
        pace of reform; and</DELETED>
        <DELETED>    (4) the United States should continue to provide 
        technical assistance as needed to the Parliament of Zimbabwe to 
        support efforts to review, and as necessary, amend or repeal 
        legislation that--</DELETED>
                <DELETED>    (A) violates freedom of expression, 
                assembly, or association; or</DELETED>
                <DELETED>    (B) violates private property rights and 
                deters much-needed private investment.</DELETED>

<DELETED>SEC. 6. SUPPORT FOR LAND REFORM, AGRICULTURAL DEVELOPMENT, AND 
              FOOD SECURITY TO LAY THE GROUNDWORK FOR ECONOMIC 
              RECOVERY.</DELETED>

<DELETED>    (a) Land Reform.--It is the sense of Congress that--
</DELETED>
        <DELETED>    (1) the absence of respect for property rights in 
        Zimbabwe continues to hinder agricultural productivity and 
        economic recovery; and</DELETED>
        <DELETED>    (2) the United States should support credible 
        efforts to conduct a comprehensive, transparent, and non-
        partisan land audit as a critical step toward establishing 
        accountability and security of tenure.</DELETED>
<DELETED>    (b) Food Distribution and Production.--It is the sense of 
Congress that United States assistance to Zimbabwe should, to the 
extent possible given existing concerns about land tenure security--
</DELETED>
        <DELETED>    (1) support market-based mechanisms for the 
        provision of credit and access to the inputs necessary for 
        agricultural production and for the handling, marketing, 
        storage, and processing of agricultural commodities;</DELETED>
        <DELETED>    (2) encourage policies that provide incentives for 
        agricultural production; and</DELETED>
        <DELETED>    (3) support institutions that provide technical 
        and financial support for the agriculture sector.</DELETED>

<DELETED>SEC. 7. AMENDMENT TO THE ZIMBABWE DEMOCRACY AND ECONOMIC 
              RECOVERY ACT OF 2001 TO RESPOND TO ZIMBABWE'S POLITICAL 
              TRANSITION.</DELETED>

<DELETED>    Section 4 of the Zimbabwe Democracy and Economic Recovery 
Act of 2001 (Public Law No. 107-99; 115 Stat. 962) is amended to read 
as follows:</DELETED>

<DELETED>``SEC. 4. SUPPORT FOR DEMOCRATIC TRANSITION AND ECONOMIC 
              RECOVERY.</DELETED>

<DELETED>    ``(a) Findings.--Congress finds that the parties to the 
September 15, 2008, Global Political Agreement between the Zimbabwe 
African National Union-Patriotic Front (ZANU-PF) and the Movement for 
Democratic Change (MDC) committed themselves by law to work together to 
chart a new political direction for Zimbabwe, to prioritize the 
restoration of economic stability and growth, and to create conditions 
for the drafting of a new constitution that respects human rights and 
democratic principles.</DELETED>
<DELETED>    ``(b) Sense of Congress.--It is the sense of Congress 
that, in order for the United States to most effectively support a 
transition to democratic and economic recovery in Zimbabwe to the 
greatest effect, United States policy should, to the extent possible, 
reflect new political conditions and opportunities created by the 
Global Political Agreement.</DELETED>
<DELETED>    ``(c) Debt Relief.--The Secretary of the Treasury, in 
consultation with the Secretary of State, shall gather information on 
the debt incurred by Zimbabwe held by international financial 
institutions and private financial institutions, and the feasibility 
and advisability of restructuring, rescheduling, or eliminating such 
debt in the future, including by using the resources of the 
International Monetary Fund, the International Bank for Reconstruction 
and Development, and other appropriate international financial 
institutions.</DELETED>
<DELETED>    ``(d) Multilateral Financing Conditions.--The Secretary of 
the Treasury shall instruct the United States executive director to 
each international financial institution to oppose any extension by the 
respective institution of any loan, credit, or guarantee to the 
Government of Zimbabwe unless the proposed extension meets the 
following conditions:</DELETED>
        <DELETED>    ``(1) There are sufficient controls for 
        transparency and international oversight of the use of relevant 
        funds.</DELETED>
        <DELETED>    ``(2) Relevant funds, in cases where the 
        international financial institutions are providing direct 
        funding to or through the Government of Zimbabwe, will not be 
        administered through or in coordination with--</DELETED>
                <DELETED>    ``(A) ministries that have not 
                demonstrated a commitment to reform and responsible 
                fiscal management; or</DELETED>
                <DELETED>    ``(B) the Reserve Bank of Zimbabwe, unless 
                there are sufficient guarantees and a pattern of 
                evidence that governance problems within the Reserve 
                Bank of Zimbabwe have been addressed such that relevant 
                funds will not be redirected for extra-legal 
                purposes.</DELETED>
        <DELETED>    ``(3) Relevant funds will not be administered by 
        or directly accessible to individuals or financial institutions 
        sanctioned by the United States.</DELETED>
<DELETED>    ``(e) Notification.--</DELETED>
        <DELETED>    ``(1) In general.--If the United States votes in 
        favor of any loan, credit, or guarantee to the Government of 
        Zimbabwe by an international financial institution, the 
        Secretary of the Treasury, in coordination with the Secretary 
        of State, shall notify the appropriate congressional committees 
        within 30 days of such vote and provide appropriate information 
        on such vote pertaining to the conditions in subsection 
        (d).</DELETED>
        <DELETED>    ``(2) Appropriate congressional committees 
        defined.--In this subsection, the term `appropriate 
        congressional committees' means--</DELETED>
                <DELETED>    ``(A) the Committee on Foreign Relations, 
                the Committee on Banking, Housing, and Urban Affairs, 
                and the Committee on Appropriations of the Senate; 
                and</DELETED>
                <DELETED>    ``(B) the Committee on Foreign Affairs, 
                the Committee on Financial Services, and the Committee 
                on Appropriations of the House of 
                Representatives.</DELETED>
<DELETED>    ``(f) Waiver.--The President may waive the provisions in 
subsection (d) and (e) if the President determines that it is in the 
national interest of the United States to do so.''.</DELETED>

<DELETED>SEC. 8. AMENDMENT TO THE DEPARTMENT OF STATE, FOREIGN 
              OPERATIONS, AND RELATED PROGRAMS APPROPRIATIONS ACT OF 
              2010 TO UPDATE RESTRICTIONS ON UNITED STATES ASSISTANCE 
              FOR THE GOVERNMENT OF ZIMBABWE.</DELETED>

<DELETED>    Subsection 7070(i) of the Department of State, Foreign 
Operations, and Related Programs Appropriations Act of 2010 (division F 
of Public Law 111-117; 123 Stat. 3388) is amended to read as follows: 
``None of the funds appropriated by this Act may be made available for 
assistance for the central Government of Zimbabwe, except for 
macroeconomic growth, health, and education assistance, unless the 
Secretary of State determines and reports in writing to the Committees 
on Appropriations that the rule of law has been restored in Zimbabwe, 
including respect for ownership and title to property and freedom of 
speech and association.''</DELETED>

<DELETED>SEC. 9. ACTIONS TO STOP ILLEGAL DIAMOND FLOWS.</DELETED>

<DELETED>    (a) Findings.--Congress makes the following 
findings:</DELETED>
        <DELETED>    (1) According to credible human rights 
        organizations, the armed forces of Zimbabwe continue to exert 
        control over diamond mines in the Marange district of eastern 
        Zimbabwe, and have committed horrific abuses against miners and 
        local residents, including extrajudicial killings, beatings, 
        and torture.</DELETED>
        <DELETED>    (2) A review mission of the Kimberley Process 
        traveled to Zimbabwe from June 30 to July 4, 2009, and 
        documented extensive smuggling of diamonds and abuses against 
        civilians by the police and army forces of the Government of 
        Zimbabwe. The review mission reportedly found there to be 
        ``credible indications of significant non-compliance'' by the 
        Government of Zimbabwe with the minimum standards of the 
        Kimberley Process.</DELETED>
        <DELETED>    (3) On December 11, 2009, the United States Senior 
        Advisor to the Permanent Representative of the United States to 
        the 64th Session of the General Assembly stated that the United 
        States has ``serious concerns about Zimbabwe's non-compliance 
        with the minimum requirements of the Kimberley Process, 
        particularly relating to smuggling and grave violence in and 
        around the Marange diamond fields''.</DELETED>
        <DELETED>    (4) The army and police forces of the Government 
        of Zimbabwe continue to serve primarily as instruments of ZANU-
        PF, and their illegal activities involving diamonds continue to 
        fuel the efforts of ZANU-PF to undermine democratic processes 
        and institutions.</DELETED>
<DELETED>    (b) Sense of Congress.--In order to promote respect for 
the rule of law and to prevent further human rights violations by state 
security forces in Zimbabwe, it is the sense of Congress that, until 
the Secretary of State can certify that Zimbabwe is in full compliance 
with the Kimberley Process, the President should--</DELETED>
        <DELETED>    (1) press for Zimbabwe to be suspended from the 
        Kimberley Process diamond certification scheme;</DELETED>
        <DELETED>    (2) work with Zimbabwe's neighbors as well as with 
        regional organizations to help stop the flow of diamonds mined 
        in Zimbabwe from crossing their shared border; and</DELETED>
        <DELETED>    (3) seek to identify and prepare sanctions 
        pursuant to Executive Order 13391 on individuals and entities 
        funding efforts to undermine democratic processes and 
        institutions in Zimbabwe through illegal activities involving 
        diamonds.</DELETED>

<DELETED>SEC. 10. UPDATING AND TIGHTENING OF UNITED STATES TARGETED 
              SANCTIONS RELATING TO ZIMBABWE.</DELETED>

<DELETED>    It is the sense of Congress that the Secretary of the 
Treasury, in close consultation with the Secretary of State and other 
relevant officials of the United States Government, should regularly 
review and update targeted sanctions related to Zimbabwe, giving 
particular attention to--</DELETED>
        <DELETED>    (1) the ways in which certain entities directly 
        support or fund activities in Zimbabwe that undermine 
        democratic processes and institutions;</DELETED>
        <DELETED>    (2) the role and functions of certain entities in 
        activities critical to economic recovery in Zimbabwe; 
        and</DELETED>
        <DELETED>    (3) how sanctions could be strengthened against 
        those entities that continue to directly support or fund 
        activities that are undermining democratic processes and 
        institutions in Zimbabwe.</DELETED>

<DELETED>SEC. 11. PREPARATIONS TO SUPPORT EFFORTS TO PREVENT FUTURE 
              ELECTION VIOLENCE AND ABUSES.</DELETED>

<DELETED>    It is the sense of Congress that the United States 
Government should begin engaging with international partners and 
regional governments to develop a coordinated strategy to prepare for 
future elections in Zimbabwe, particularly to help reduce the risk of 
violence and other abuses related to such elections.</DELETED>

<DELETED>SEC. 12. BRIEFING TO CONGRESS.</DELETED>

<DELETED>    (a) In General.--Not later than 180 days after the date of 
the enactment of this Act, the Secretary of the Treasury, the Secretary 
of State, and the Administrator of the United States Agency for 
International Development shall provide the appropriate congressional 
committees a briefing on efforts made pursuant to this Act.</DELETED>
<DELETED>    (b) Content.--The briefing required by subsection (a) 
shall include the following:</DELETED>
        <DELETED>    (1) A description of what technical assistance has 
        been provided by the United States and by international 
        financial institutions to ministries of the transitional 
        Government of Zimbabwe and to the Parliament of Zimbabwe, an 
        assessment of how that assistance has contributed to 
        demonstrable progress on economic and political reforms, and 
        recommendations for any additional changes in United States law 
        or policy that are needed to strengthen the opportunity for 
        democratic and economic reforms in Zimbabwe to 
        succeed.</DELETED>
        <DELETED>    (2) A description of steps taken pursuant to 
        section 9 to investigate and address the connection between 
        illegal activities involving diamonds and efforts to undermine 
        democratic processes and institutions in Zimbabwe.</DELETED>
        <DELETED>    (3) A description of efforts made pursuant to 
        section 10 and any changes resulting from the review and 
        updating of United States targeted sanctions relating to 
        Zimbabwe.</DELETED>
        <DELETED>    (4) A description of efforts made pursuant to 
        section 11 and progress made toward developing a coordinated 
        strategy to prepare for future elections in Zimbabwe.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Zimbabwe Transition to Democracy and 
Economic Recovery Act of 2010.''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Foreign Relations, the 
                Committee on Banking, Housing, and Urban Affairs, and 
                the Committee on Appropriations of the Senate; and
                    (B) the Committee on Foreign Affairs, the Committee 
                on Financial Services, and the Committee on 
                Appropriations of the House of Representatives.
            (2) International financial institutions.--The term 
        ``international financial institutions'' means the multilateral 
        development banks and the International Monetary Fund.
            (3) Multilateral development banks.--The term 
        ``multilateral development banks'' has the meaning given that 
        term in section 1307 of the International Financial 
        Institutions Act (22 U.S.C. 262m-7).

SEC. 3. FINDINGS.

    Congress makes the following findings:
            (1) In the last decade, Robert Mugabe and his government 
        presided over the collapse of Zimbabwe's economy and a dramatic 
        decline in the living conditions of the people of Zimbabwe, 
        while employing violent tactics to maintain power.
            (2) Through economic mismanagement and undemocratic 
        practices over the past decade, the Government of Zimbabwe 
        rendered itself ineligible to receive new loans, credits, or 
        guarantees from most international financial institutions, 
        which would otherwise be providing substantial resources to 
        assist in the recovery and modernization of Zimbabwe's economy 
        and which would have benefitted the people of Zimbabwe.
            (3) In September 2008, after months of political violence 
        against opposition members and their supporters following 
        disputed national elections, Robert Mugabe's party, the 
        Zimbabwean African National Union-Patriotic Front (ZANU-PF), 
        signed a ``Global Political Agreement'' (GPA) with both 
        factions of the opposition Movement for Democratic Change 
        (MDC), respectively led by Morgan Tsvangirai and Arthur 
        Mutambara, to form a transitional government, which was 
        inaugurated in February 2009.
            (4) In the GPA, which has been enshrined in the 
        constitution of Zimbabwe and guaranteed by the Southern African 
        Development Community (SADC) and the African Union (AU), the 
        parties declared their commitment to ``work together to create 
        a genuine, viable, permanent, sustainable, and nationally 
        acceptable solution to the Zimbabwe situation and in particular 
        to implement the following agreement with the aims of resolving 
        once and for all the current political and economic situations 
        and charting a new political direction for the country''.
            (5) Under the direction of the new Prime Minister, Morgan 
        Tsvangirai, and Minister of Finance, Tendai Biti, both from the 
        MDC, the transitional government in Zimbabwe has initiated a 
        series of critical economic reforms, putting a stop to some of 
        the quasi-fiscal activities of the previous administration, 
        resuming salary payments to civil servants, and directing 
        limited budget resources toward critical social protection 
        services and infrastructure repairs.
            (6) While reform-minded members of the new coalition 
        government have made some progress in initiating reforms in the 
        economic sector, the agreement has yet to be fully implemented, 
        and political and human rights abuses continue, in 
        contravention of the Global Political Agreement signed by the 
        parties.
            (7) As of the date of the enactment of this Act, state 
        security forces remain largely under the control of ZANU-PF and 
        continue to harass MDC supporters and civic activists in 
        Zimbabwe, to force illegal and often violent seizures of 
        private land and property, and to exert extrajudicial control 
        of diamond fields in the Marange district of eastern Zimbabwe.
            (8) The continued disrespect for the rule of law and 
        property rights in Zimbabwe deters much needed private 
        investment in the country.
            (9) The formation of the transitional government has 
        brought changes to the political landscape in Zimbabwe and 
        created new opportunities for the United States and others to 
        help advance real reform and recovery by engaging with those in 
        the government who share those goals, while continuing to put 
        targeted pressure on those who are undermining the rule of law.

SEC. 4. STATEMENT OF POLICY.

    It is the policy of the United States to support the people of 
Zimbabwe in their struggle to affect peaceful, democratic change, 
achieve broad-based and equitable economic growth, and restore the rule 
of law, including through--
            (1) the continued provision of humanitarian assistance to 
        meet the urgent needs of the people of Zimbabwe;
            (2) provide resources through non-governmental entities to 
        assist the critical agriculture, economic, education, and 
        health sectors;
            (3) the promotion of trade by United States companies with 
        non-sanctioned individuals and entities in Zimbabwe to 
        stimulate the country's economic growth and support the 
        livelihoods of its people;
            (4) engagement and close consultation with regional 
        governments and organizations, international financial 
        institutions, and other donors to push for the full 
        implementation of the Global Political Agreement and provide 
        targeted support for fundamental reforms in Zimbabwe;
            (5) continued support for and engagement with civil society 
        organizations in their efforts to promote the rule of law and 
        respect for human rights in Zimbabwe, including through their 
        contributions to the development of a new democratic 
        constitution;
            (6) technical assistance to those within the transitional 
        government in Zimbabwe who demonstrate commitment to 
        fundamental reforms in line with the Global Political 
        Agreement;
            (7) the continuation of the ban on the transfer of defense 
        items and services and the suspension of direct monetary 
        assistance to the Government of Zimbabwe until there is greater 
        progress toward restoring the rule of law, civilian control 
        over security forces, and respect for human rights; and
            (8) the updating and renewal of targeted financial 
        sanctions and travel bans against those found to be responsible 
        for the deliberate breakdown of the rule of law, politically 
        motivated violence, hindrance of democracy, and other ongoing 
        illegal activities in Zimbabwe.

SEC. 5. TECHNICAL ASSISTANCE TO THE TRANSITIONAL GOVERNMENT OF ZIMBABWE 
              TO SUPPORT REFORMS.

    (a) Authority.--In accordance with section 531 of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2346) and notwithstanding any other 
provision of law, the President is authorized to provide technical 
assistance to ministries of the transitional government of Zimbabwe and 
to the Parliament of Zimbabwe to provide the expertise and support 
necessary to ensure progress on economic, political, and security 
sector reforms.
    (b) Sense of Congress.--It is the sense of Congress that--
            (1) the transitional Government of Zimbabwe should work to 
        fully enact the economic, political, and security sector 
        reforms envisaged under the Global Political Agreement;
            (2) the United States should continue to provide technical 
        assistance to build the capacity of ministries and offices 
        within the transitional government of Zimbabwe that demonstrate 
        a commitment to those reforms;
            (3) the Parliament of Zimbabwe should work to make the 
        government in that country accountable and to hasten the pace 
        of reform; and
            (4) the United States should continue to provide technical 
        assistance as needed to the Parliament of Zimbabwe to support 
        efforts to review, and as necessary, amend or repeal 
        legislation that violates democratic principles.
    (c) Sunset.--The authority under subsection (a) shall expire on 
September 30, 2014.

SEC. 6. SUPPORT FOR LAND REFORM, AGRICULTURAL DEVELOPMENT, AND FOOD 
              SECURITY TO LAY THE GROUNDWORK FOR ECONOMIC RECOVERY.

    (a) Land Reform.--It is the sense of Congress that--
            (1) the absence of respect for property rights in Zimbabwe 
        continues to hinder agricultural productivity and economic 
        recovery; and
            (2) the United States should support credible efforts to 
        conduct a comprehensive, transparent, and non-partisan land 
        audit as a critical step toward establishing accountability and 
        security of tenure.
    (b) Food Distribution and Production.--It is the sense of Congress 
that United States assistance to Zimbabwe should, to the extent 
possible given existing concerns about land tenure security--
            (1) support market-based mechanisms for the provision of 
        credit and access to the inputs necessary for agricultural 
        production and for the handling, marketing, storage, and 
        processing of agricultural commodities;
            (2) encourage policies that provide incentives for 
        agricultural production; and
            (3) support institutions that provide technical and 
        financial support for the agriculture sector.

SEC. 7. AMENDMENT TO THE ZIMBABWE DEMOCRACY AND ECONOMIC RECOVERY ACT 
              OF 2001 TO RESPOND TO ZIMBABWE'S POLITICAL TRANSITION.

    Section 4 of the Zimbabwe Democracy and Economic Recovery Act of 
2001 (Public Law No. 107-99; 115 Stat. 962) is amended to read as 
follows:

``SEC. 4. SUPPORT FOR DEMOCRATIC TRANSITION AND ECONOMIC RECOVERY.

    ``(a) Findings.--Congress finds that the parties to the September 
15, 2008, Global Political Agreement between the Zimbabwe African 
National Union-Patriotic Front (ZANU-PF) and the Movement for 
Democratic Change (MDC) committed themselves by law to work together to 
chart a new political direction for Zimbabwe, to prioritize the 
restoration of economic stability and growth, and to create conditions 
for the drafting of a new constitution that respects human rights and 
democratic principles.
    ``(b) Sense of Congress.--It is the sense of Congress that, in 
order for the United States to most effectively support a transition to 
democratic and economic recovery in Zimbabwe to the greatest effect, 
United States policy should, to the extent possible, reflect new 
political conditions and opportunities created by the Global Political 
Agreement.
    ``(c) Debt Relief.--The Secretary of the Treasury, in consultation 
with the Secretary of State, shall gather information on the debt 
incurred by Zimbabwe held by international financial institutions and 
private financial institutions, and the feasibility and advisability of 
restructuring, rescheduling, or eliminating such debt in the future if 
the Government of Zimbabwe makes significant progress toward restoring 
the rule of law and enacting democratic reforms.
    ``(d) Multilateral Financing Conditions.--The Secretary of the 
Treasury shall instruct the United States executive director to each 
international financial institution to oppose any extension by the 
respective institution of any loan, credit, or guarantee to the 
Government of Zimbabwe unless the proposed extension meets the 
following conditions:
            ``(1) There are sufficient controls for transparency and 
        international oversight of the use of relevant funds.
            ``(2) Relevant funds, in cases where the international 
        financial institutions are providing direct funding to or 
        through the Government of Zimbabwe, will not be administered 
        through or in coordination with--
                    ``(A) ministries that have not demonstrated a 
                commitment to reform and responsible fiscal management; 
                or
                    ``(B) the Reserve Bank of Zimbabwe, unless there 
                are sufficient guarantees and a pattern of evidence 
                that governance problems within the Reserve Bank of 
                Zimbabwe have been addressed such that relevant funds 
                will not be redirected for extra-legal purposes.
            ``(3) Relevant funds will not be administered by or 
        directly accessible to individuals or financial institutions 
        sanctioned by the United States.
    ``(e) Notification.--
            ``(1) In general.--If the United States votes in favor of 
        any loan, credit, or guarantee to the Government of Zimbabwe by 
        an international financial institution, the Secretary of the 
        Treasury, in coordination with the Secretary of State, shall 
        notify the appropriate congressional committees within 30 days 
        of such vote and provide appropriate information on such vote 
        pertaining to the conditions in subsection (d).
            ``(2) Appropriate congressional committees defined.--In 
        this subsection, the term `appropriate congressional 
        committees' means--
                    ``(A) the Committee on Foreign Relations, the 
                Committee on Banking, Housing, and Urban Affairs, and 
                the Committee on Appropriations of the Senate; and
                    ``(B) the Committee on Foreign Affairs, the 
                Committee on Financial Services, and the Committee on 
                Appropriations of the House of Representatives.
    ``(f) Waiver.--The President may waive the provisions in subsection 
(d) and (e) if the President determines that it is in the national 
interest of the United States to do so.''.

SEC. 8. AMENDMENT TO THE DEPARTMENT OF STATE, FOREIGN OPERATIONS, AND 
              RELATED PROGRAMS APPROPRIATIONS ACT OF 2010 TO UPDATE 
              RESTRICTIONS ON UNITED STATES ASSISTANCE FOR THE 
              GOVERNMENT OF ZIMBABWE.

    Subsection 7070(i) of the Department of State, Foreign Operations, 
and Related Programs Appropriations Act of 2010 (division F of Public 
Law 111-117; 123 Stat. 3388) is amended to read as follows: ``None of 
the funds appropriated by this Act may be made available for assistance 
for the central government of Zimbabwe, except for macroeconomic 
growth, health, and education assistance, unless the Secretary of State 
determines and reports in writing to the Committees on Appropriations 
that the rule of law has been restored in Zimbabwe, including respect 
for ownership and title to property and freedom of speech and 
association.''

SEC. 9. ACTIONS TO STOP ILLEGAL DIAMOND FLOWS.

    (a) Findings.--Congress makes the following findings:
            (1) According to credible human rights organizations, the 
        armed forces of Zimbabwe continue to exert control over diamond 
        mines in the Marange district of eastern Zimbabwe, and have 
        committed horrific abuses against miners and local residents, 
        including extrajudicial killings, beatings, and torture.
            (2) A review mission of the Kimberley Process traveled to 
        Zimbabwe from June 30 to July 4, 2009, and documented extensive 
        smuggling of diamonds and abuses against civilians by the 
        police and army forces of the Government of Zimbabwe. The 
        review mission reportedly found there to be ``credible 
        indications of significant non-compliance'' by the Government 
        of Zimbabwe with the minimum standards of the Kimberley 
        Process.
            (3) On December 11, 2009, the United States Senior Advisor 
        to the Permanent Representative of the United States to the 
        64th Session of the General Assembly stated that the United 
        States has ``serious concerns about Zimbabwe's non-compliance 
        with the minimum requirements of the Kimberley Process, 
        particularly relating to smuggling and grave violence in and 
        around the Marange diamond fields''.
            (4) The army and police forces of the Government of 
        Zimbabwe continue to serve primarily as instruments of ZANU-PF, 
        and their illegal activities involving diamonds continue to 
        fuel the efforts of ZANU-PF to undermine democratic processes 
        and institutions.
    (b) Sense of Congress.--In order to promote respect for the rule of 
law and to prevent further human rights violations by state security 
forces in Zimbabwe, it is the sense of Congress that, until the 
Secretary of State can certify that Zimbabwe is in full compliance with 
the Kimberley Process, the President should--
            (1) press for Zimbabwe to be suspended from the Kimberley 
        Process diamond certification scheme;
            (2) work with Zimbabwe's neighbors as well as with regional 
        organizations to help stop the flow of illegal diamonds mined 
        in Zimbabwe from crossing their shared border; and
            (3) seek to identify and prepare sanctions pursuant to 
        Executive Order 13391 on individuals and entities funding 
        efforts to undermine democratic processes and institutions in 
        Zimbabwe through illegal activities involving diamonds.

SEC. 10. UPDATING AND TIGHTENING OF UNITED STATES TARGETED SANCTIONS 
              RELATING TO ZIMBABWE.

    It is the sense of Congress that the Secretary of the Treasury, in 
close consultation with the Secretary of State and other relevant 
officials of the United States Government, should regularly review and 
update targeted sanctions related to Zimbabwe, giving particular 
attention to--
            (1) the ways in which certain entities directly support or 
        fund activities in Zimbabwe that undermine democratic processes 
        and institutions;
            (2) the role and functions of certain entities in 
        activities critical to economic recovery in Zimbabwe; and
            (3) how sanctions could be strengthened against those 
        entities that continue to directly support or fund activities 
        that are undermining democratic processes and institutions in 
        Zimbabwe.

SEC. 11. PREPARATIONS TO SUPPORT EFFORTS TO PREVENT FUTURE ELECTION 
              VIOLENCE AND ABUSES.

    It is the sense of Congress that the United States Government 
should begin engaging with international partners and regional 
governments to develop a coordinated strategy to prepare for future 
elections in Zimbabwe, particularly to help reduce the risk of violence 
and other abuses related to such elections.

SEC. 12. BRIEFING TO CONGRESS.

    (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of the Treasury, the Secretary of 
State, and the Administrator of the United States Agency for 
International Development shall provide the appropriate congressional 
committees a briefing on efforts made pursuant to this Act.
    (b) Content.--The briefing required by subsection (a) shall include 
the following:
            (1) A description of what technical assistance has been 
        provided by the United States and by international financial 
        institutions to ministries of the transitional government of 
        Zimbabwe and to the Parliament of Zimbabwe, an assessment of 
        how that assistance has contributed to demonstrable progress on 
        economic and political reforms, and recommendations for any 
        additional changes in United States law or policy that are 
        needed to strengthen the opportunity for democratic and 
        economic reforms in Zimbabwe to succeed.
            (2) A description of steps taken pursuant to section 9 to 
        investigate and address the connection between illegal 
        activities involving diamonds and efforts to undermine 
        democratic processes and institutions in Zimbabwe.
            (3) A description of efforts made pursuant to section 10 
        and any changes resulting from the review and updating of 
        United States targeted sanctions relating to Zimbabwe.
            (4) A description of efforts made pursuant to section 11 
        and progress made toward developing a coordinated strategy to 
        prepare for future elections in Zimbabwe.
                                                       Calendar No. 699

111th CONGRESS

  2d Session

                                S. 3297

                          [Report No. 111-369]

_______________________________________________________________________

                                 A BILL

   To update United States policy and authorities to help advance a 
  genuine transition to democracy and to promote economic recovery in 
                               Zimbabwe.

_______________________________________________________________________

                           December 15, 2010

                       Reported with an amendment
```