H. R. 7776—900 
added to the amount that may be used for Foreign Military 
Financing to Taiwan in the subsequent fiscal year. 
(f) ANNUAL REPORT ON ADVANCING THE DEFENSE OF TAIWAN.— 
(1) INITIAL
REPORT.—Concurrently with the first certifi-
cation required under subsection (e)(2), the Secretary of State 
and the Secretary of Defense shall jointly submit a report 
to the appropriate congressional committees that describes 
steps taken to enhance the United States-Taiwan defense rela-
tionship and Taiwan’s modernization of its defense capabilities. 
(2) MATTERS TO BE INCLUDED.—Each report required under 
paragraph (1) shall include— 
(A) an assessment of the commitment of Taiwan to 
implement a military strategy that will deter and, if nec-
essary, defeat military aggression by the People’s Republic 
of China, including the steps that Taiwan has taken and 
the steps that Taiwan has not taken towards such 
implementation; 
(B) an assessment of the efforts of Taiwan to acquire 
and employ within its forces counterintervention capabili-
ties, including— 
(i) long-range precision fires; 
(ii) integrated air and missile defense systems; 
(iii) anti-ship cruise missiles; 
(iv) land-attack cruise missiles; 
(v) coastal defense; 
(vi) anti-armor; 
(vii) undersea warfare, including manned and 
unmanned systems; 
(viii) survivable swarming maritime assets; 
(ix) manned and unmanned aerial systems; 
(x) mining and countermining capabilities; 
(xi) intelligence, surveillance, and reconnaissance 
capabilities; 
(xii) command and control systems; 
(xiii) defensive cybersecurity capabilities; and 
(xiv) any other defense capabilities that the United 
States determines, including jointly with Taiwan, are 
crucial to the defense of Taiwan, consistent with the 
joint consultative mechanism with Taiwan created 
pursuant to section 5506; 
(C) an evaluation of the balance between conventional 
and counter intervention capabilities in the defense force 
of Taiwan as of the date on which the report is submitted; 
(D) an assessment of steps taken by Taiwan to enhance 
the overall readiness of its defense forces, including— 
(i) the extent to which Taiwan is requiring and 
providing regular and relevant training to such forces; 
(ii) the extent to which such training is realistic 
to the security environment that Taiwan faces; and 
(iii) the sufficiency of the financial and budgetary 
resources Taiwan is putting toward readiness of such 
forces; 
(E) an assessment of steps taken by Taiwan to ensure 
that the Taiwan’s reserve forces and All-Out Defense 
Mobilization Agency can recruit, train, equip, and mobilize 
its forces; 
(F) an evaluation of—
H. R. 7776—901 
(i) the severity of manpower shortages in the mili-
tary of Taiwan, including in the reserve forces; 
(ii) the impact of such shortages in the event of 
a conflict scenario; and 
(iii) the efforts made by Taiwan to address such 
shortages; 
(G) an assessment of the efforts made by Taiwan to 
boost its civilian defenses, including any informational cam-
paigns to raise awareness among the population of Taiwan 
of the risks Taiwan faces; 
(H) an assessment of the efforts made by Taiwan to 
secure its critical infrastructure, including in transpor-
tation, telecommunications networks, satellite communica-
tions, and energy; 
(I) an assessment of the efforts made by Taiwan to 
enhance its cybersecurity, including the security and 
survivability of official civilian and military networks; 
(J) an assessment of the efforts made by Taiwan to 
improve the image and prestige of its defense forces among 
the population of Taiwan; 
(K) an assessment of any significant gaps in any of 
the matters described in subparagraphs (A) through (J) 
with respect to which the United States assesses that addi-
tional action is needed; 
(L) a description of cooperative efforts between the 
United States and Taiwan on the matters described in 
subparagraphs (A) through (K); and 
(M) a description of any challenge in Taiwan to— 
(i) implement the matters described in subpara-
graphs (A) through (J); or 
(ii) United States support or engagement with 
regard to such matters. 
(3) SUBSEQUENT REPORTS.—Concurrently with subsequent 
certifications required under subsection (e)(2), the Secretary 
of State and the Secretary of Defense shall jointly submit 
updates to the initial report required under paragraph (1) that 
provides a description of changes and developments that 
occurred in the prior year. 
(4) FORM.—The reports required under paragraphs (1) and 
(3) shall be submitted in an unclassified form, but may contain 
a classified annex. 
(5) SHARING
OF
SUMMARY.—The Secretary of State and 
the Secretary of Defense shall jointly share any unclassified 
portions of the reports, pursuant to paragraph (4), with Taiwan, 
as appropriate. 
(g) FOREIGN MILITARY FINANCING LOAN AND LOAN GUARANTEE 
AUTHORITY.— 
(1) DIRECT LOANS.— 
(A) IN GENERAL.—Notwithstanding section 23(c)(1) of 
the Arms Export Control Act (22 U.S.C. 2763), during 
fiscal years 2023 through 2027, the Secretary of State 
is authorized to make direct loans available for Taiwan 
pursuant to section 23 of such Act. 
(B) MAXIMUM OBLIGATIONS.—Gross obligations for the 
principal amounts of loans authorized under subparagraph 
(A) may not exceed $2,000,000,000. 
(C) SOURCE OF FUNDS.—
H. R. 7776—902 
(i) DEFINED TERM.—In this subparagraph, the term 
‘‘cost’’— 
(I) has the meaning given such term in section 
502(5) of the Congressional Budget Act of 1974 
(2 U.S.C. 661a(5)); 
(II) shall include the cost of modifying a loan 
authorized under subparagraph (A); and 
(III) may include the costs of selling, reducing, 
or cancelling any amounts owed to the United 
States or to any agency of the United States. 
(ii) IN GENERAL.—Amounts authorized to be appro-
priated pursuant to subsection (g) may be made avail-
able to pay for the cost of loans authorized under 
subparagraph (A). 
(D) FEES AUTHORIZED.— 
(i) IN GENERAL.—The Government of the United 
States may charge processing and origination fees for 
a loan made pursuant to subparagraph (A), not to 
exceed the cost to the Government of making such 
loan, which shall be collected from borrowers through 
a financing account (as defined in section 502(7) of 
the Congressional Budget Act of 1974 (2 U.S.C. 
661a(7)). 
(ii) LIMITATION ON FEE PAYMENTS.—Amounts made 
available under any appropriations Act for any fiscal 
year may not be used to pay any fees associated with 
a loan authorized under subparagraph (A). 
(E) REPAYMENT.—Loans made pursuant to subpara-
graph (A) shall be repaid not later than 12 years after 
the loan is received by the borrower, including a grace 
period of not more than 1 year on repayment of principal. 
(F) INTEREST.— 
(i) IN GENERAL.—Notwithstanding section 23(c)(1) 
of the Arms Export Control Act (22 U.S.C. 2763(c)(1)), 
interest for loans made pursuant to subparagraph (A) 
may be charged at a rate determined by the Secretary 
of State, except that such rate may not be less than 
the prevailing interest rate on marketable Treasury 
securities of similar maturity. 
(ii) TREATMENT OF LOAN AMOUNTS USED TO PAY 
INTEREST.—Amounts made available under this para-
graph for interest costs shall not be considered assist-
ance for the purposes of any statutory limitation on 
assistance to a country. 
(2) LOAN GUARANTEES.— 
(A) IN
GENERAL.—Amounts authorized to be appro-
priated pursuant to subsection (g) may be made available 
for the costs of loan guarantees for Taiwan under section 
24 of the Arms Export Control Act (22 U.S.C. 2764) for 
Taiwan to subsidize gross obligations for the principal 
amount of commercial loans and total loan principal, any 
part of which may be guaranteed, not to exceed 
$2,000,000,000. 
(B) MAXIMUM AMOUNTS.—A loan guarantee authorized 
under subparagraph (A)— 
(i) may not guarantee a loan that exceeds 
$2,000,000,000; and
H. R. 7776—903 
(ii) may not exceed 80 percent of the loan principal 
with respect to any single borrower. 
(C) SUBORDINATION.—Any loan guaranteed pursuant 
to subparagraph (A) may not be subordinated to— 
(i) another debt contracted by the borrower; or 
(ii) any other claims against the borrower in the 
case of default. 
(D) REPAYMENT.—Repayment in United States dollars 
of any loan guaranteed under this paragraph shall be 
required not later than 12 years after the loan agreement 
is signed. 
(E) FEES.—Notwithstanding section 24 of the Arms 
Export Control Act (22 U.S.C. 2764), the Government of 
the United States may charge processing and origination 
fees for a loan guarantee authorized under subparagraph 
(A), not to exceed the cost to the Government of such 
loan guarantee, which shall be collected from borrowers, 
or from third parties on behalf of such borrowers, through 
a financing account (as defined in section 502(7) of the 
Congressional Budget Act of 1974 (2 U.S.C. 661a(7)). 
(F) TREATMENTS
OF
LOAN
GUARANTEES.—Amounts 
made available under this paragraph for the costs of loan 
guarantees authorized under subparagraph (A) shall not 
be considered assistance for the purposes of any statutory 
limitation on assistance to a country. 
(3) NOTIFICATION REQUIREMENT.—Amounts authorized to 
be appropriated to carry out this subsection may not be 
expended without prior notification of the appropriate commit-
tees of Congress. 
(h) AUTHORIZATION OF APPROPRIATIONS.— 
(1) AUTHORIZATION
OF
APPROPRIATIONS.—In addition to 
amounts otherwise authorized to be appropriated for Foreign 
Military Financing, there is authorized to be appropriated to 
the Department of State for Taiwan Foreign Military Finance 
grant assistance up to $2,000,000,000 for each of the fiscal 
years 2023 through 2027. 
(2) TRAINING AND EDUCATION.—Of the amounts authorized 
to be appropriated under paragraph (1), the Secretary of State 
should use not less than $2,000,000 per fiscal year for one 
or more blanket order Foreign Military Financing training pro-
grams related to the defense needs of Taiwan. 
(3) DIRECT COMMERCIAL CONTRACTING.—The Secretary of 
State may use amounts authorized to be appropriated under 
paragraph (1) for the procurement of defense articles, defense 
services, or design and construction services that are not sold 
by the United States Government under the Arms Export Con-
trol Act (22 U.S.C. 2751 et seq.). 
(4) PROCUREMENT IN TAIWAN.—Of the amounts authorized 
to be appropriated for Foreign Military Financing and made 
available for Taiwan, not more than 15 percent of the amount 
made available for each fiscal year may be available for the 
procurement by Taiwan in Taiwan of defense articles and 
defense services, including research and development, as agreed 
by the United States and Taiwan. 
(i) SUNSET PROVISION.—Assistance may not be provided under 
this section after September 30, 2032.
H. R. 7776—904 
SEC. 5503. INCREASE IN ANNUAL REGIONAL CONTINGENCY STOCKPILE 
ADDITIONS AND SUPPORT FOR TAIWAN. 
(a) IN GENERAL.—Section 514(b)(2)(A) of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2321h(b)(2)(A)) is amended by striking 
‘‘$200,000,000’’ and all that follows and inserting ‘‘$500,000,000 
for any of the fiscal years 2023, 2024, or 2025.’’. 
(b) ESTABLISHMENT.—Subject to section 514 of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2321h), the President may estab-
lish a regional contingency stockpile for Taiwan that consists of 
munitions and other appropriate defense articles. 
(c) INCLUSION OF TAIWAN AMONG OTHER ALLIES ELIGIBLE FOR 
DEFENSE ARTICLES.—Chapter 2 of part II of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2311 et seq.) is amended— 
(1) in section 514(c)(2) (22 U.S.C. 2321h(c)(2)), by inserting 
‘‘Taiwan,’’ after ‘‘Thailand,’’; and 
(2) in section 516(c)(2) (22 U.S.C. 2321j(c)(2)), by inserting 
‘‘to Taiwan,’’ after ‘‘major non-NATO allies on such southern 
and southeastern flank,’’. 
(d) ANNUAL BRIEFING.—Not later than 1 year after the date 
of enactment of this Act, and annually thereafter for 7 years, 
the President shall provide a briefing to the appropriate committees 
of Congress regarding the status of a regional contingency stockpile 
established under subsection (b). 
SEC. 5504. INTERNATIONAL MILITARY EDUCATION AND TRAINING 
COOPERATION WITH TAIWAN. 
(a) IN GENERAL.—The Secretary of State and the Secretary 
of Defense shall establish or expand a comprehensive training pro-
gram with Taiwan designed to— 
(1) enhance interoperability and capabilities for joint oper-
ations between the United States and Taiwan; 
(2) enhance rapport and deepen partnership between the 
militaries of the United States and Taiwan, and foster under-
standing of the United States among individuals in Taiwan; 
(3) improve Taiwan’s defense capabilities; and 
(4) train future leaders of Taiwan, promote professional 
military education, civilian control of the military, and protec-
tion of human rights. 
(b) ELEMENTS.—The training program required by subsection 
(a) should prioritize relevant and realistic training, including as 
necessary joint United States-Taiwan contingency tabletop exer-
cises, war games, full-scale military exercises, and an enduring 
rotational United States military presence that assists Taiwan in 
maintaining force readiness and utilizing United States defense 
articles and services transferred from the United States to Taiwan. 
(c) AUTHORIZATION OF PARTICIPATION OF TAIWAN IN THE INTER-
NATIONAL MILITARY EDUCATION AND TRAINING PROGRAM.—The Sec-
retary of State is authorized to provide training and education 
to relevant entities in Taiwan through the International Military 
Education and Training program authorized under chapter 5 of 
part II of the Foreign Assistance Act of 1961 (22 U.S.C. 2347 
et seq). 
SEC. 5505. ADDITIONAL AUTHORITIES TO SUPPORT TAIWAN. 
(a) DRAWDOWN AUTHORITY.—Section 506(a) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2318(a)) is amended by adding 
at the end the following paragraph:
H. R. 7776—905 
‘‘(3) In addition to amounts already specified in this section, 
the President may direct the drawdown of defense articles from 
the stocks of the Department of Defense, defense services of the 
Department of Defense, and military education and training, of 
an aggregate value of not to exceed $1,000,000,000 per fiscal year, 
to be provided to Taiwan.’’. 
(b) EMERGENCY AUTHORITY.—Section 552(c) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2348a(c)) is amended by adding 
at the end the following: ‘‘In addition to the aggregate value of 
$25,000,000 authorized in paragraph (2) of the preceding sentence, 
the President may direct the drawdown of commodities and services 
from the inventory and resources of any agency of the United 
States Government for the purposes of providing necessary and 
immediate assistance to Taiwan of a value not to exceed $25,000,000 
in any fiscal year.’’. 
(c) USE OF SPECIAL DEFENSE ACQUISITION FUND.—The Sec-
retary of Defense, in consultation with the Secretary of State, 
shall seek to utilize the Special Defense Acquisition Fund estab-
lished under chapter 5 of the Arms Export Control Act (22 U.S.C. 
2795 et seq.) to expedite the procurement and delivery of defense 
articles and defense services for the purpose of assisting and sup-
porting the armed forces of Taiwan. 
SEC. 5506. MULTI-YEAR PLAN TO FULFILL DEFENSIVE REQUIREMENTS 
OF MILITARY FORCES OF TAIWAN. 
(a) MULTI-YEAR PLAN.—Not later than 180 days after the date 
of the enactment of this Act, the Secretary of Defense and the 
Secretary of State, in consultation with the Director of National 
Intelligence, shall engage for the purposes of establishing a joint 
consultative mechanism with appropriate officials of Taiwan to 
develop and implement a multi-year plan to provide for the acquisi-
tion of appropriate defensive capabilities by Taiwan and to engage 
with Taiwan in a series of combined training, exercises, and plan-
ning activities consistent with the Taiwan Relations Act (Public 
Law 96–8; 22 U.S.C. 3301 et seq.). 
(b) ELEMENTS.—The plan required by subsection (a) shall 
include the following: 
(1) An identification of the defensive military capability 
gaps and capacity shortfalls of Taiwan that are required to— 
(A) allow Taiwan to respond effectively to aggression 
by the People’s Liberation Army or other actors from the 
People’s Republic of China; and 
(B) advance a strategy of denial, reduce the threat 
of conflict, thwart an invasion, and mitigate other risks 
to the United States and Taiwan. 
(2) An assessment of the relative priority assigned by 
appropriate departments and agencies of Taiwan to include 
its military to address such capability gaps and capacity short-
falls. 
(3) An explanation of the annual resources committed by 
Taiwan to address such capability gaps and capacity shortfalls. 
(4) A description and justification of the relative importance 
of overcoming each identified capability gap and capacity short-
fall for deterring, delaying, or defeating military aggression 
by the People’s Republic of China; 
(5) An assessment of—
H. R. 7776—906 
(A) the capability gaps and capacity shortfalls that 
could be addressed in a sufficient and timely manner by 
Taiwan; and 
(B) the capability gaps and capacity shortfalls that 
are unlikely to be addressed in a sufficient and timely 
manner solely by Taiwan. 
(6) An assessment of the capability gaps and capacity short-
falls described in paragraph (5)(B) that could be addressed 
in a sufficient and timely manner by— 
(A) the Foreign Military Financing, Foreign Military 
Sales, and Direct Commercial Sales programs of the 
Department of State; 
(B) Department of Defense security assistance author-
ized by chapter 16 of title 10, United States Code; 
(C) Department of State training and education pro-
grams authorized by chapter 5 of part II of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2347 et seq.); 
(D) section 506 of the Foreign Assistance Act of 1961 
(22 U.S.C. 2318); 
(E) the provision of excess defense articles pursuant 
to the requirements of the Arms Export Control Act (22 
U.S.C. 2751 et seq.); or 
(F) any other authority available to the Secretary of 
Defense or the Secretary of State. 
(7) A description of United States or Taiwan engagement 
with other countries that could assist in addressing in a suffi-
cient and timely manner the capability gaps and capacity short-
falls identified pursuant to paragraph (1). 
(8) An identification of opportunities to build interoper-
ability, combined readiness, joint planning capability, and 
shared situational awareness between the United States, 
Taiwan, and other foreign partners and allies, as appropriate, 
through combined training, exercises, and planning events, 
including— 
(A) table-top exercises and wargames that allow oper-
ational commands to improve joint and combined planning 
for contingencies involving a well-equipped adversary in 
a counter-intervention campaign; 
(B) joint and combined exercises that test the feasibility 
of counter-intervention strategies, develop interoperability 
across services, and develop the lethality and survivability 
of combined forces against a well-equipped adversary; 
(C) logistics exercises that test the feasibility of expedi-
tionary logistics in an extended campaign with a well- 
equipped adversary; 
(D) service-to-service exercise programs that build func-
tional mission skills for addressing challenges posed by 
a well-equipped adversary in a counter-intervention cam-
paign; and 
(E) any other combined training, exercises, or planning 
with Taiwan’s military forces that the Secretary of Defense 
and Secretary of State consider relevant. 
(9) An identification of options for the United States to 
use, to the maximum extent practicable, existing authorities 
or programs to expedite military assistance to Taiwan in the 
event of a crisis or conflict, including—
H. R. 7776—907 
(A) a list of defense articles of the United States that 
may be transferred to Taiwan during a crisis or conflict; 
(B) a list of authorities that may be used to provide 
expedited military assistance to Taiwan during a crisis 
or conflict; 
(C) an assessment of methods that could be used to 
deliver such assistance to Taiwan during a crisis or conflict, 
including— 
(i) the feasibility of employing such methods in 
different scenarios; and 
(ii) recommendations for improving the ability of 
the Armed Forces to deliver such assistance to Taiwan; 
and 
(D) an assessment of any challenges in providing such 
assistance to Taiwan in the event of a crisis or conflict 
and recommendations for addressing such challenges. 
(c) RECURRENCE.—The joint consultative mechanism required 
in subsection (a) shall convene on a recurring basis and not less 
than annually. 
SEC. 5507. FAST-TRACKING SALES TO TAIWAN UNDER FOREIGN MILI-
TARY SALES PROGRAM. 
(a) PRECLEARANCE
OF
CERTAIN
FOREIGN
MILITARY
SALES 
ITEMS.— 
(1) IN
GENERAL.—Not later than 1 year after the date 
of the enactment of this Act, and annually thereafter, the 
Secretary of State, in coordination with the Secretary of 
Defense, and in conjunction with coordinating entities such 
as the National Disclosure Policy Committee, the Arms Transfer 
and Technology Release Senior Steering Group, and other 
appropriate entities, shall compile a list of available and 
emerging military platforms, technologies, and equipment that 
are pre-cleared and prioritized for sale and release to Taiwan 
through the Foreign Military Sales program. 
(2) RULES OF CONSTRUCTION.— 
(A) SELECTION OF ITEMS.—The list compiled pursuant 
to paragraph (1) shall not be construed as limiting the 
type, timing, or quantity of items that may be requested 
by, or sold to, Taiwan under the Foreign Military Sales 
program. 
(B) NOTIFICATIONS
REQUIRED.—Nothing in this Act 
may be construed to supersede congressional notification 
requirements under the Arms Export Control Act (22 
U.S.C. 2751 et. seq.). 
(b) PRIORITIZED
PROCESSING
OF
FOREIGN
MILITARY
SALES 
REQUESTS FROM TAIWAN.— 
(1) REQUIREMENT.—The Secretary of State and the Sec-
retary of Defense shall prioritize and expedite the processing 
of requests from Taiwan under the Foreign Military Sales pro-
gram, and may not delay the processing of requests for bundling 
purposes. 
(2) DURATION.—The requirement under paragraph (1) shall 
continue until the Secretary of State determines and certifies 
to the Committee on Foreign Relations of the Senate and the 
Committee on Foreign Affairs of the House of Representatives 
that the threat to Taiwan has significantly abated.
H. R. 7776—908 
(c) INTERAGENCY POLICY.—The Secretary of State and the Sec-
retary of Defense shall jointly review and update interagency poli-
cies and implementation guidance related to Foreign Military Sales 
requests from Taiwan, including incorporating the preclearance 
provisions of this section. 
SEC. 5508. ARMS EXPORTS DELIVERY SOLUTIONS FOR TAIWAN AND 
UNITED STATES ALLIES IN THE INDO-PACIFIC. 
(a) APPROPRIATE COMMITTEES OF CONGRESS DEFINED.—In this 
section, the term ‘‘appropriate committees of Congress’’ means— 
(1) the Committee on Foreign Relations and the Committee 
on Armed Services of the Senate; and 
(2) the Committee on Foreign Affairs and the Committee 
on Armed Services of the House of Representatives. 
(b) REPORT REQUIRED.—Not later than March 1, 2023, and 
annually thereafter for a period of 5 years, the Secretary of State, 
in coordination with the Secretary of Defense, shall transmit to 
the appropriate committees of Congress a report with respect to 
the transfer of all defense articles or defense services that have 
yet to be completed pursuant to the authorities provided by— 
(1) section 3, 21, or 36 of the Arms Export Control Act 
(22 U.S.C. 2753, 2761, or 2776); or 
(2) section 516(c)(2) of the Foreign Assistance Act of 1961 
(22 U.S.C. 2321j(c)(2)). 
(c) ELEMENTS.—The report required by subsection (b) shall 
include the following elements: 
(1) A list of all approved transfers of defense articles and 
services authorized by Congress pursuant to sections 25 and 
36 of the Arms Export Control Act (22 U.S.C. 2765, 2776) 
with a total value of $25,000,000 or more, to Taiwan, Japan, 
South Korea, Australia, the Philippines, Thailand, or New Zea-
land, that have not been fully delivered by the start of the 
fiscal year in which the report is being submitted. 
(2) The estimated start and end dates of delivery for each 
approved and incomplete transfer listed pursuant to paragraph 
(1), including additional details and dates for any transfers 
that involve multiple tranches of deliveries. 
(3) With respect to each approved and incomplete transfer 
listed pursuant to paragraph (1), a detailed description of— 
(A) any changes in the delivery dates of defense articles 
or services relative to the dates anticipated at the time 
of congressional approval of the transfer, including specific 
reasons for any delays related to the United States Govern-
ment, defense suppliers, or a foreign partner; 
(B) the feasibility and advisability of providing the 
partner subject to such delayed delivery with an interim 
capability or solution, including drawing from United 
States stocks, and the mechanisms under consideration 
for doing so as well as any challenges to implementing 
such a capability or solution; 
(C) authorities, appropriations, or waiver requests that 
Congress could provide to improve delivery timelines or 
authorize the provision of interim capabilities or solutions 
identified pursuant to subparagraph (B); and 
(D) a description of which countries are ahead of 
Taiwan for delivery of each item listed pursuant to para-
graph (1).