332
ligence activities within the United States harmful to the
national security of the United States.
‘‘(c) DEFINITION.—As used in this section, the term
‘humanitarian assistance’ means food (including the mone-
tization of food), clothing, medicine, and medical supplies.’’.
SEC. 3413. DEBT RESTRUCTURING FOR FOREIGN ASSIST-
ANCE.
Chapter 1 of part III of the Foreign Assistance Act
of 1961 (22 U.S.C. 2370 et seq.), as amended by this Act,
is further amended by adding at the end the following new
section:
‘‘SEC. 620K. SPECIAL DEBT RELIEF FOR POOR COUNTRIES.
‘‘(a) AUTHORITY TO REDUCE DEBT.—The President
may reduce amounts owed to the United States Government
by a country described in subsection (b) as a result of—
‘‘(1) loans or guarantees issued under this Act;
or
‘‘(2) credits extended or guarantees issued under
the Arms Export Control Act (22 U.S.C. 2751 et seq.).
‘‘(b) COUNTRY DESCRIBED.—A country described in
this subsection is a country—
‘‘(1) with a heavy debt burden that is eligible to
borrow from the International Development Associa-
tion but not from the International Bank for Recon-
333
struction and Development (commonly referred to as
an ‘IDA-only’ country); and
‘‘(2) the government of which—
‘‘(A) does not have an excessive level of
military expenditures;
‘‘(B) has not repeatedly provided support
for acts of international terrorism; and
‘‘(C) is cooperating with the United States
on international narcotics control matters;
‘‘(3) (including the military or other security
forces of such government) does not engage in a con-
sistent pattern of gross violations of internationally
recognized human rights; and
‘‘(4) is not prohibited from receiving assistance
described in section 527(a) of the Foreign Relations
Authorization Act, Fiscal Years 1994 and 1995 by
reason of such section.
‘‘(c) LIMITATIONS.—The authority under subsection
(a) may be exercised—
‘‘(1) only to implement multilateral official debt
relief ad referendum agreements (commonly referred
to as ‘Paris Club Agreed Minutes’); and
‘‘(2) only to the extent that appropriations for
the cost of the modification, as defined in section 502
334
of the Congressional Budget Act of 1974, are made in
advance.
‘‘(d) CERTAIN PROHIBITIONS INAPPLICABLE.—A re-
duction of debt pursuant to the exercise of authority under
subsection (a)—
‘‘(1) shall not be considered assistance for pur-
poses of any provision of law limiting assistance to
a country; and
‘‘(2) may be exercised notwithstanding section
620(r) of this Act or any comparable provision of
law.
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—
‘‘(1) IN GENERAL.—There are authorized to be
appropriated to the President for the purpose of car-
rying out this section $7,000,000 for each of the fiscal
years 1996 and 1997.
‘‘(2) AVAILABILITY.—Amounts authorized to be
appropriated under paragraph (1) are authorized to
remain available until expended.’’.
SEC. 3414. DEBT BUYBACKS OR SALES FOR DEBT SWAPS.
Part IV of the Foreign Assistance Act of 1961 (22
U.S.C. 2430 et seq.) is amended by adding at the end the
following new section:
335
‘‘SEC. 711. AUTHORITY TO ENGAGE IN DEBT BUYBACKS OR
SALES.
‘‘(a) LOANS ELIGIBLE FOR SALE, REDUCTION, OR
CANCELLATION.—
‘‘(1) AUTHORITY TO SELL, REDUCE, OR CANCEL
CERTAIN LOANS.—Notwithstanding any other provi-
sion of law, the President may, in accordance with
this section, sell to any eligible purchaser any
concessional loan or portion thereof made before Jan-
uary 1, 1995, to the government of any eligible coun-
try pursuant to this Act, or on receipt of payment
from an eligible purchaser, reduce or cancel such loan
or portion thereof, only for the purpose of facilitat-
ing—
‘‘(A) debt-for-equity swaps, debt-for-develop-
ment swaps, or debt-for-nature swaps; or
‘‘(B) a debt buyback by an eligible country
of its own qualified debt, only if the eligible
country uses an additional amount of the local
currency of the eligible country, equal to not less
than 40 percent of the price paid for such debt
by such eligible country, or the difference between
the price paid for such debt and the face value
of such debt, to support activities that link con-
servation and sustainable use of natural re-
sources with local community development, and
336
child survival and other child development, in a
manner consistent with sections 707 through
710, if the sale, reduction, or cancellation would
not contravene any term or condition of any
prior agreement relating to such loan.
‘‘(2) TERMS AND CONDITIONS.—Notwithstanding
any other provision of law, the President shall, in ac-
cordance with this section, establish the terms and
conditions under which loans may be sold, reduced, or
canceled pursuant to this section.
‘‘(3) ADMINISTRATION.—The Facility shall no-
tify the administrator of the agency primarily re-
sponsible for administering part I of this Act of pur-
chasers that the President has determined to be eligi-
ble, and shall direct such agency to carry out the sale,
reduction, or cancellation of a loan pursuant to this
section. Such agency shall make an adjustment in its
accounts to reflect the sale, reduction, or cancellation.
‘‘(4) LIMITATION.—The authorities of this sub-
section shall be available only to the extent that ap-
propriations for the cost of the modification, as de-
fined in section 502 of the Congressional Budget Act
of 1974, are made in advance.
‘‘(b) DEPOSIT OF PROCEEDS.—The proceeds from the
sale, reduction, or cancellation of any loan sold, reduced,
337
or canceled pursuant to this section shall be deposited in
an account or accounts established in the Treasury for the
repayment of such loan.
‘‘(c) ELIGIBLE PURCHASERS.—A loan may be sold
pursuant to subsection (a)(1)(A) only to a purchaser who
presents plans satisfactory to the President for using the
loan for the purpose of engaging in debt-for-equity swaps,
debt-for-development swaps, or debt-for-nature swaps.
‘‘(d) DEBTOR CONSULTATIONS.—Before the sale to any
eligible purchaser, or any reduction or cancellation pursu-
ant to this section, of any loan made to an eligible country,
the President shall consult with the country concerning the
amount of loans to be sold, reduced, or canceled and their
uses for debt-for-equity swaps, debt-for-development swaps,
or debt-for-nature swaps.
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—
‘‘(1) IN GENERAL.—For the sale, reduction, and
cancellation of loans or portions thereof pursuant to
this section, there are authorized to be appropriated
to the President $3,000,000 for each of the fiscal years
1996 and 1997.
‘‘(2) AVAILABILITY.—Amounts authorized to be
appropriated under paragraph (1) are authorized to
remain available until expended.’’.
338
SEC. 3415. IMPACT ON JOBS IN THE UNITED STATES.
Section 636 of the Foreign Assistance Act of 1961 (22
U.S.C. 2396) is amended by adding at the end the following
new subsection:
‘‘(j)(1) Funds made available to carry out the provi-
sions of this Act may not be made available to provide—
‘‘(A) any financial incentive to a business enter-
prise located in the United States for the purpose of
inducing that enterprise to relocate outside the United
States if such incentive or inducement is likely to re-
duce 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;
‘‘(B) assistance for the purpose of establishing or
developing in a foreign country any export processing
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 carried out
within that zone or area, unless the President deter-
mines and certifies that such assistance is not likely
to cause a loss of jobs within the United States; or
‘‘(C) subject to paragraph (2), assistance for any
project or activity that contributes to the violation of
internationally recognized workers rights (as defined
in section 502(a)(4) of the Trade Act of 1974) of
339
workers in the foreign country, including in any des-
ignated zone or area in that country.
‘‘(2) Paragraph (1)(C) shall not apply with respect to
the provision of assistance for the informal sector,
microenterprises and small-scale enterprises, and small-
holder agriculture of the foreign country.’’.
SEC. 3416. PROHIBITION ON ASSISTANCE TO FOREIGN GOV-
ERNMENTS THAT EXPORT LETHAL MILITARY
EQUIPMENT 
TO 
COUNTRIES 
SUPPORTING
INTERNATIONAL TERRORISM.
(a) IN GENERAL.—Section 620 of the Foreign Assist-
ance Act of 1961 (22 U.S.C. 2370), as amended by this Act,
is further amended by adding at the end the following new
subsection:
‘‘(z)(1) No assistance may be provided under this Act
or the Arms Export Control Act to any foreign government
that provides lethal military equipment to a country, the
government of which the Secretary of State has determined
pursuant to section 40(d) of the Arms Export Control Act
is a government that has repeatedly provided support for
acts of international terrorism.
‘‘(2) The prohibition under paragraph (1) with respect
to a foreign government shall terminate 12 months after
the date on which that government ceases to provide such
lethal military equipment.
340
‘‘(3) The President may waive the requirements of
paragraph (1) if the President determines that the provision
of such assistance is important to the national security in-
terests of the United States.
‘‘(4) Whenever the waiver of paragraph (3) is exer-
cised, the President shall prepare and transmit to the ap-
propriate congressional committees a report with respect to
the furnishing of such assistance. Such report shall include
a detailed explanation of the assistance to be provided, in-
cluding the estimated dollar amount of such assistance, and
an explanation of how the assistance furthers the national
interests of the United States.
‘‘(5) For purposes of this subsection, the term ‘appro-
priate congressional committees’ means the Committee on
International Relations and the Committee on Appropria-
tions of the House of Representatives and the Committee
on Foreign Relations and the Committee on Appropriations
of the Senate.’’.
(b) EFFECTIVE DATE.—Section 620(z) of the Foreign
Assistance Act of 1961, as added by subsection (a), applies
with respect to lethal military equipment provided pursu-
ant to a contract entered into on or after the date of enact-
ment of this Act.
341
SEC. 3417. PROHIBITION ON ASSISTANCE TO COUNTRIES
THAT CONSISTENTLY OPPOSE THE UNITED
STATES POSITION IN THE UNITED NATIONS
GENERAL ASSEMBLY.
(a) PROHIBITION.—United States assistance may not
be provided to a country that consistently opposed the
United States position in the United Nations General As-
sembly during the most recent session of the General Assem-
bly.
(b) CHANGE IN GOVERNMENT.—If—
(1) the Secretary of State determines that, since
the beginning of the most recent session of the General
Assembly, there has been a fundamental change in the
leadership and policies of the government of a country
to which the prohibition in subsection (a) applies,
and
(2) the Secretary believes that because of that
change the government of that country will no longer
consistently oppose the United States position in the
General Assembly,
the Secretary may exempt that country from that prohibi-
tion. Any such exemption shall be effective only until sub-
mission of the next report under section 406 of the Foreign
Relations Authorization Act, Fiscal Years 1990 and 1991.
The Secretary shall submit to the Congress a certification
of each exemption made under this subsection. Such certifi-
342
cation shall be accompanied by a discussion of the basis
for the Secretary’s determination and belief with respect to
such exemption.
(c) WAIVER AUTHORITY.—The Secretary of State may
waive the requirement of subsection (a) if the Secretary de-
termines and reports to the Congress that despite the United
Nations voting pattern of a particular country, the provi-
sion of United States assistance to that country is necessary
to promote United States foreign policy objectives.
(d) DEFINITIONS.—As used in this section—
(1) the term ‘‘consistently opposed the United
States position’’ means that the country’s votes in the
United Nations General Assembly coincided with the
United States position less than 25 percent of the
time, using for this purpose the overall percentage-of-
voting coincidences set forth in the annual report sub-
mitted to the Congress pursuant to section 406 of the
Foreign Relations Authorization Act, Fiscal Years
1990 and 1991;
(2) the term ‘‘most recent session of the General
Assembly’’ means the most recently completed plenary
session of the General Assembly for which overall per-
centage-of-voting coincidences is set forth in the most
recent report submitted to the Congress pursuant to