‘‘(2) local currencies which accrue to that orga-
nization as a result of grant assistance provided
under part I of this Act or assistance under titles I
through III of the Agricultural Trade Development
and Assistance Act of 1954, section 416(b) of the
Agricultural Act of 1949, or the Food for Progress
Act of 1985.
Any interest so earned may be retained by the nongovern-
mental organization and used for the purpose for which
the assistance was provided to that organization.
‘‘(b) LIMITATION
ON ENDOWMENTS.—Any grant
agreement entered into after the date of enactment of this
section to establish an endowment pursuant to the author-
ity of subsection (a)(1) shall provide that—
‘‘(1) the grant proceeds shall be maintained in
a separate account;
‘‘(2) the agency primarily responsible for ad-
ministering part I may terminate at any time, in its
sole discretion, the endowment and recover endow-
ment principal equal to the amount of the grant;
and
‘‘(3) unless the authority described in para-
graph (2) has been exercised, not later than 20
years after the date of the grant—
‘‘(A) the endowment shall be terminated,
and
‘‘(B) all funds in the endowment and all
interest earned as a result of the endowment
shall be expended for the purpose for which the
assistance was provided or returned to the Gov-
ernment of the United States.’’.
(b) EFFECTIVE DATE.—The amendment made by
this section applies to both interest earned before and in-
terest earned after the date of enactment of this Act.
SEC. 502. PRIVATE SECTOR REVOLVING FUND.
Section 108 of the Foreign Assistance Act of 1961
is amended by adding at the end the following:
‘‘(j) TERMINATION OF AUTHORITY.—After the date
of enactment of this subsection, loans may not be made,
loan guarantees may not be issued, previously issued guar-
antees may not be renewed or otherwise extended, and as-
sistance may not otherwise be provided under the author-
ity of this section.’’.
SEC. 503. DEVELOPMENT ASSISTANCE THROUGH NON-
GOVERNMENTAL ORGANIZATIONS.
Chapter 1 of part III of the Foreign Assistance Act
of 1961 is amended by inserting before section 620 the
following:
‘‘SEC. 619. ASSISTANCE THROUGH NONGOVERNMENTAL
ORGANIZATIONS.
‘‘(a) DEVELOPMENT ASSISTANCE.—Restrictions con-
tained in this or any other Act with respect to assistance
for a country shall not restrict assistance in support of
programs of nongovernmental organizations that is pro-
vided under chapter 1 or chapter 10 of part I of this Act.
The President shall take into consideration, in any case
in which a restriction on assistance would be applicable
but for this section, whether assistance in support of pro-
grams of nongovernmental organizations is in the national
interest of the United States.
‘‘(b) NOTICE TO CONGRESS.—Before using the au-
thority of this section to furnish assistance in support of
programs of nongovernmental organizations, the President
shall notify the congressional committees specified in sec-
tion 634A(a) of this Act in accordance with the procedures
applicable to reprogramming notifications under that sec-
tion. Such notice shall include a description of the pro-
gram to be assisted, the assistance to be provided, and
the reasons for furnishing such assistance.
‘‘(c) EXCEPTIONS.—This section shall not apply with
respect to—
‘‘(1) section 620A of this Act or any com-
parable provision of law prohibiting assistance to
countries that support international terrorism; or
‘‘(2) section 116 of this Act or any comparable
provision of law prohibiting assistance to countries
that violate internationally recognized human rights.
‘‘(d) ABORTION AND INVOLUNTARY STERILIZATION
PROHIBITIONS.—Nothing in this section alters any statu-
tory prohibition against funding for abortion or involun-
tary sterilizations.’’.
SEC. 504. IMPACT OF FOREIGN ASSISTANCE PROGRAMS ON
JOBS IN THE UNITED STATES.
Funds authorized to be appropriated by this Act for
foreign assistance programs for fiscal year 1994 may not
be obligated or expended to provide—
(1) any financial incentive to a business enter-
prise located in the United States for the purpose of
inducing that enterprise to relocate outside the Unit-
ed States if such incentive or inducement is likely to
reduce the number of individuals employed in the
United States by that enterprise because that enter-
prise would replace production in the United States
with production outside the United States;
(2) assistance for the purpose of establishing or
developing in a foreign country any export process-
ing zone or designated area in which the tax, tariff,
labor, environment, and safety laws of that country
do not apply, in part or in whole, to activities car-
ried out within that zone or area, unless the Presi-
dent determines and certifies that such assistance is
not likely to cause a loss of jobs within the United
States; or
(3) assistance for any project or activity that
contributes to the violation of internationally recog-
nized workers rights (as defined in section 502(a)(4)
of the Trade Act of 1974) of workers in the recipi-
ent country, including in any designated zone or
area in that country.
In recognition that the application of paragraph (3) should
be commensurate with the level of development of the re-
cipient country and sector, that paragraph does not pre-
clude assistance for the informal sector in such country,
for microenterprises and small-scale enterprises, or for
small-holder agriculture.
SEC. 505. CAPITAL PROJECTS.
Chapter 3 of part III of the Foreign Assistance Act
of 1961 is amended by inserting after section 661 the fol-
lowing:
‘‘SEC. 662. CAPITAL PROJECTS.
‘‘(a) ESTABLISHMENT
OF PILOT PROGRAM.—The
Director of the Trade and Development Agency shall es-
tablish a capital projects pilot program to carry out the
purpose described in subsection (b).
‘‘(b) PURPOSE OF PROGRAM.—The purpose referred
to in subsection (a) is to develop a program administered
by TDA that would focus solely on developmentally sound
capital projects in developing countries and in countries
making the transition from a nonmarket to a market econ-
omy, taking into consideration the development needs of
the host country and the export opportunities for the
United States.
‘‘(c) ACTIVITIES.—The Director, in coordination with
the appropriate other members of the Trade Promotion
Coordination Committee—
‘‘(1) shall support capital projects in developing
countries and in countries making the transition
from a nonmarket to a market economy; and
‘‘(2) shall periodically review infrastructure
needs in these countries and shall explore opportuni-
ties for United States firms in the development of
new capital projects in these countries, keeping both
United States firms and the Congress informed of
these reviews.
‘‘(d) GUARANTEE AUTHORITY.—In addition to mak-
ing grants to carry out this section, the Director is author-
ized to issue guarantees to eligible investors (as defined
in section 238(c)) assuring against losses incurred in con-
nection with loans obtained by such investors to finance