COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST
IRAQ
SEC. 533. (a) DENIAL OF ASSISTANCE.—None of the
funds appropriated or otherwise made available pursuant
to this Act to carry out the Foreign Assistance Act of
1961 (including title IV of chapter 2 of part I, relating
to the Overseas Private Investment Corporation) or the
Arms Export Control Act may be used to provide assist-
ance to any country that is not in compliance with the
United Nations Security Council sanctions against Iraq,
Serbia or Montenegro unless the President determines and
so certifies to the Congress that—
(1) such assistance is in the national interest of
the United States;
(2) such assistance will directly benefit the
needy people in that country; or
(3) the assistance to be provided will be human-
itarian assistance for foreign nationals who have fled
Iraq and Kuwait.
(b) IMPORT SANCTIONS.—If the President considers
that the taking of such action would promote the effective-
ness of the economic sanctions of the United Nations and
the United States imposed with respect to Iraq, Serbia,
or Montenegro, as the case may be, and is consistent with
the national interest, the President may prohibit, for such
a period of time as he considers appropriate, the importa-
tion into the United States of any or all products of any
foreign country that has not prohibited—
(1) the importation of products of Iraq, Serbia,
or Montenegro into its customs territory, and
(2) the export of its products to Iraq, Serbia,
or Montenegro, as the case may be.
POW/MIA MILITARY DRAWDOWN
SEC. 534. (a) Notwithstanding any other provision
of law, the President may direct the drawdown, without
reimbursement by the recipient, 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 not to exceed $15,000,000
in fiscal year 1997, as may be necessary to carry out sub-
section (b).
(b) Such defense articles, services and training may
be provided to Vietnam, Cambodia and Laos, under sub-
section (a) as the President determines are necessary to
support efforts to locate and repatriate members of the
United States Armed Forces and civilians employed di-
rectly or indirectly by the United States Government who
remain unaccounted for from the Vietnam War, and to
ensure the safety of United States Government personnel
engaged in such cooperative efforts and to support United
States Department of Defense-sponsored humanitarian
projects associated with the POW/MIA efforts. Any air-
craft shall be provided under this section only to Laos and
only on a lease or loan basis, but may be provided at no
cost notwithstanding section 61 of the Arms Export Con-
trol Act and may be maintained with defense articles, serv-
ices and training provided under this section.
(c) The President shall, within sixty days of the end
of any fiscal year in which the authority of subsection (a)
is exercised, submit a report to the Congress which identi-
fies the articles, services, and training drawn down under
this section.
MEDITERRANEAN EXCESS DEFENSE ARTICLES
SEC. 535. For the four-year period beginning on Oc-
tober 1, 1996, the President shall ensure that excess de-
fense articles will be made available under section 516 and
519 of the Foreign Assistance Act of 1961 consistent with
the manner in which the President made available excess
defense articles under those sections during the four-year
period that began on October 1, 1992, pursuant to section
573(e) of the Foreign Operations, Export Financing, Re-
lated Programs Appropriations Act, 1990.
CASH FLOW FINANCING
SEC. 536. For each country that has been approved
for cash flow financing (as defined in section 25(d) of the
Arms Export Control Act, as added by section 112(b) of
Public Law 99–83) under the Foreign Military Financing
Program, any Letter of Offer and Acceptance or other
purchase agreement, or any amendment thereto, for a pro-
curement in excess of $100,000,000 that is to be financed
in whole or in part with funds made available under this
Act shall be submitted through the regular notification
procedures to the Committees on Appropriations.
AUTHORITIES FOR THE PEACE CORPS, THE INTER-AMER-
ICAN
FOUNDATION
AND
THE
AFRICAN
DEVELOP-
MENT FOUNDATION
SEC. 537. Unless expressly provided to the contrary,
provisions of this or any other Act, including provisions
contained in prior Acts authorizing or making appropria-
tions for foreign operations, export financing, and related
programs, shall not be construed to prohibit activities au-
thorized by or conducted under the Peace Corps Act, the
Inter-American Foundation Act, or the African Develop-
ment Foundation Act. The appropriate agency shall
promptly report to the Committees on Appropriations
whenever it is conducting activities or is proposing to con-
duct activities in a country for which assistance is prohib-
ited.
IMPACT ON JOBS IN THE UNITED STATES
SEC. 538. None of the funds appropriated by this Act
may be obligated or expended to provide—
(a) any financial incentive to a business enter-
prise currently located in the United States for the
purpose of inducing such an enterprise to relocate
outside the United States if such incentive or in-
ducement is likely to reduce the number of employ-
ees of such business enterprise in the United States
because United States production is being replaced
by such enterprise outside the United States;
(b) 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
(c) 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 recipient
country, including any designated zone or area in
that country: Provided, That in recognition that the
application of this subsection should be commensu-
rate with the level of development of the recipient
country and sector, the provisions of this subsection
shall not preclude assistance for the informal sector
in such country, micro and small-scale enterprise,
and smallholder agriculture.
AUTHORITY TO ASSIST BOSNIA AND HERZEGOVINA
SEC. 539. (a) The President is authorized to direct
the transfer, subject to notification of the Committees on
Appropriations, to the government of Bosnia and
Herzegovina, without reimbursement, of defense articles
from the stocks of the Department of Defense and defense
services of the Department of Defense, of an aggregate
value that equals the difference between $100,000,000
and the aggregate value of any such articles and services
that were transferred under the authority of Section 540
of Public Law 104–107, the Foreign Operations, Export
Financing, and Related Programs Appropriations Act,
1996: Provided, That the President certifies in a timely
fashion to the Congress that the transfer of such defense
articles would assist that nation in self-defense and there-
by promote the security and stability of the region.
(b) Within 60 days of any transfer under the author-
ity provided in subsection (b), and every 60 days there-
after, the President shall report in writing to the Speaker
of the House of Representatives and the President pro
tempore of the Senate concerning the articles transferred
and the disposition thereof.
(c) There are authorized to be appropriated to the
President such sums as may be necessary to reimburse
the applicable appropriation, fund, or account for defense
articles provided under this section.
RESTRICTIONS ON THE TERMINATION OF SANCTIONS
AGAINST SERBIA AND MONTENEGRO
SEC. 540. (a) RESTRICTIONS.—Notwithstanding any
other provision of law, no sanction, prohibition, or require-
ment described in section 1511 of the National Defense
Authorization Act for Fiscal Year 1994 (Public Law 103–
160), with respect to Serbia or Montenegro, may cease
to be effective, unless—
(1) the President first submits to the Congress
a certification described in subsection (b); and
(2) the requirements of section 1511 of that
Act are met.
(b) CERTIFICATION.—A certification described in this
subsection is a certification that—
(1) there is substantial progress toward—
(A) the realization of a separate identity
for Kosova and the right of the people of
Kosova to govern themselves; or
(B) the creation of an international protec-
torate for Kosova;
(2) there is substantial improvement in the
human rights situation in Kosova;
(3) international human rights observers are al-
lowed to return to Kosova; and
(4) the elected government of Kosova is per-
mitted to meet and carry out its legitimate mandate
as elected representatives of the people of Kosova.
(c) WAIVER AUTHORITY.—The President may waive
the application in whole or in part, of subsection (a) if
the President certifies to the Congress that the President
has determined that the waiver is necessary to meet emer-
gency humanitarian needs or to achieve a negotiated set-
tlement of the conflict in Bosnia and Herzegovina that is
acceptable to the parties.
SPECIAL AUTHORITIES
SEC. 541. (a) Funds appropriated in title II of this
Act that are made available for Afghanistan, Lebanon,
and Cambodia, and for victims of war, displaced children,
displaced Burmese, humanitarian assistance for Romania,
and humanitarian assistance for the peoples of Bosnia and
Herzegovina, Croatia, and Kosova, may be made available
notwithstanding any other provision of law: Provided,
That any such funds that are made available for Cam-
bodia shall be subject to the provisions of section 531(e)
of the Foreign Assistance Act of 1961 and section 906
of the International Security and Development Coopera-
tion Act of 1985: Provided further, That the President
shall terminate assistance to any country or organization
that he determines is cooperating, tactically or strategi-
cally, with the Khmer Rouge in their military operations,
or to the military of any country which the President de-
termines is not taking steps to prevent a pattern or prac-
tice of commercial relations between its members and the
Khmer Rouge.
(b) Funds appropriated by this Act to carry out the
provisions of sections 103 through 106 of the Foreign As-
sistance Act of 1961 may be used, notwithstanding any
other provision of law, for the purpose of supporting tropi-
cal forestry and energy programs aimed at reducing emis-
sions of greenhouse gases, and for the purpose of support-
ing biodiversity conservation activities: Provided, That
such assistance shall be subject to sections 116, 502B, and
620A of the Foreign Assistance Act of 1961.
(c) During fiscal year 1997, the President may use
up to $50,000,000 under the authority of section 451 of
the Foreign Assistance Act of 1961, notwithstanding the
funding ceiling contained in subsection (a) of that section.
(d) The Agency for International Development may
employ personal services contractors, notwithstanding any
other provision of law, for the purpose of administering
programs for the West Bank and Gaza.
POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT
OF ISRAEL
SEC. 542. It is the sense of the Congress that—
(1) the Arab League countries should imme-
diately and publicly renounce the primary boycott of
Israel and the secondary and tertiary boycott of
American firms that have commercial ties with Is-
rael; and
(2) the President should—
(A) take more concrete steps to encourage
vigorously Arab League countries to renounce
publicly the primary boycotts of Israel and the
secondary and tertiary boycotts of American
firms that have commercial relations with Israel
as a confidence-building measure;
(B) take into consideration the participa-
tion of any recipient country in the primary
boycott of Israel and the secondary and tertiary
boycotts of American firms that have commer-
cial relations with Israel when determining
whether to sell weapons to said country;
(C) report to Congress on the specific
steps being taken by the President to bring
about a public renunciation of the Arab primary
boycott of Israel and the secondary and tertiary
boycotts of American firms that have commer-
cial relations with Israel; and
(D) encourage the allies and trading part-
ners of the United States to enact laws prohib-
obligated or expended except as provided through the reg-
ular notification procedures of the Committees on Appro-
priations.
(c) EXCEPTION.—This section shall not apply—
(1) with respect to section 620A of the Foreign
Assistance Act or any comparable provision of law
prohibiting assistance to countries that support
international terrorism; or
(2) with respect to section 116 of the Foreign
Assistance Act of 1961 or any comparable provision
of law prohibiting assistance to countries that violate
internationally recognized human rights.
EARMARKS
SEC. 544A. (a) Funds appropriated by this Act which
are earmarked may be reprogrammed for other programs
within the same account notwithstanding the earmark if
compliance with the earmark is made impossible by oper-
ation of any provision of this or any other Act or, with
respect to a country with which the United States has an
agreement providing the United States with base rights
or base access in that country, if the President determines
that the recipient for which funds are earmarked has sig-
nificantly reduced its military or economic cooperation
with the United States since enactment of the Foreign Op-
erations, Export Financing, and Related Programs Appro-
priations Act, 1991; however, before exercising the author-
ity of this subsection with regard to a base rights or base
access country which has significantly reduced its military
or economic cooperation with the United States, the Presi-
dent shall consult with, and shall provide a written policy
justification to the Committees on Appropriations: Pro-
vided, That any such reprogramming shall be subject to
the regular notification procedures of the Committees on
Appropriations: Provided further, That assistance that is
reprogrammed pursuant to this subsection shall be made
available under the same terms and conditions as origi-
nally provided.
(b) In addition to the authority contained in sub-
section (a), the original period of availability of funds ap-
propriated by this Act and administered by the Agency
for International Development that are earmarked for par-
ticular programs or activities by this or any other Act shall
be extended for an additional fiscal year if the Adminis-
trator of such agency determines and reports promptly to
the Committees on Appropriations that the termination of
assistance to a country or a significant change in cir-
cumstances makes it unlikely that such earmarked funds
can be obligated during the original period of availability:
Provided, That such earmarked funds that are continued
available for an additional fiscal year shall be obligated
only for the purpose of such earmark.
CEILINGS AND EARMARKS
SEC. 545. Ceilings and earmarks contained in this
Act shall not be applicable to funds or authorities appro-
priated or otherwise made available by any subsequent Act
unless such Act specifically so directs.
PROHIBITION ON PUBLICITY OR PROPAGANDA
SEC. 546. No part of any appropriation contained in
this Act shall be used for publicity or propaganda purposes
within the United States not authorized before the date
of enactment of this Act by the Congress: Provided, That
not to exceed $750,000 may be made available to carry
out the provisions of section 316 of Public Law 96–533.
USE OF AMERICAN RESOURCES
SEC. 547. To the maximum extent possible, assist-
ance provided under this Act should make full use of
American resources, including commodities, products, and
services.
PROHIBITION OF PAYMENTS TO UNITED NATIONS
MEMBERS
SEC. 548. None of the funds appropriated or made
available pursuant to this Act for carrying out the Foreign
Assistance Act of 1961, may be used to pay in whole or
in part any assessments, arrearages, or dues of any mem-
ber of the United Nations.
CONSULTING SERVICES
SEC. 549. The expenditure of any appropriation
under this Act for any consulting service through procure-
ment contract, pursuant to section 3109 of title 5, United
States Code, shall be limited to those contracts where such
expenditures are a matter of public record and available
for public inspection, except where otherwise provided
under existing law, or under existing Executive order pur-
suant to existing law.
PRIVATE VOLUNTARY ORGANIZATIONS—DOCUMENTATION
SEC. 550. None of the funds appropriated or made
available pursuant to this Act shall be available to a pri-
vate voluntary organization which fails to provide upon
timely request any document, file, or record necessary to
the auditing requirements of the Agency for International
Development.
PROHIBITION
ON
ASSISTANCE
TO
FOREIGN
GOVERN-
MENTS
THAT
EXPORT
LETHAL
MILITARY
EQUIP-
MENT TO COUNTRIES SUPPORTING INTERNATIONAL
TERRORISM
SEC. 551. (a) None of the funds appropriated or oth-
erwise made available by this Act may be available to any
foreign government which provides lethal military equip-
ment to a country the government of which the Secretary
of State has determined is a terrorist government for pur-
poses of section 40(d) of the Arms Export Control Act.
The prohibition under this section with respect to a for-
eign government shall terminate 12 months after that gov-
ernment ceases to provide such military equipment. This
section applies with respect to lethal military equipment
provided under a contract entered into after the date of
enactment of this Act.
(b) Assistance restricted by subsection (a) or any
other similar provision of law, may be furnished if the
President determines that furnishing such assistance is
important to the national interests of the United States.
(c) Whenever the waiver of subsection (b) is exer-
cised, the President shall submit to the appropriate con-
gressional committees a report with respect to the furnish-
ing of such assistance. Any such report shall include a de-
tailed explanation of the assistance to be provided, includ-
ing the estimated dollar amount of such assistance, and
an explanation of how the assistance furthers United
States national interests.
WITHHOLDING OF ASSISTANCE FOR PARKING FINES
OWED BY FOREIGN COUNTRIES
SEC. 552. (a) IN GENERAL.—Of the funds made
available for a foreign country under part I of the Foreign
Assistance Act of 1961, an amount equivalent to 110 per-
cent of the total unpaid fully adjudicated parking fines
and penalties owed to the District of Columbia by such
country as of the date of enactment of this Act shall be
withheld from obligation for such country until the Sec-
retary of State certifies and reports in writing to the ap-
propriate congressional committees that such fines and
penalties are fully paid to the government of the District
of Columbia.
(b) DEFINITION.—For purposes of this section, the
term ‘‘appropriate congressional committees’’ means the
Committee on Foreign Relations and the Committee on
Appropriations of the Senate and the Committee on Inter-
national Relations and the Committee on Appropriations
of the House of Representatives.
LIMITATION ON ASSISTANCE FOR THE PLO FOR THE
WEST BANK AND GAZA
SEC. 553. None of the funds appropriated by this Act
may be obligated for assistance for the Palestine Libera-
tion Organization for the West Bank and Gaza unless the
President has exercised the authority under section 604(a)
of the Middle East Peace Facilitation Act of 1995 (title
VI of Public Law 104–107) or any other legislation to sus-
pend or make inapplicable section 307 of the Foreign As-
sistance Act of 1961 and that suspension is still in effect:
Provided, That if the President fails to make the certifi-
cation under section 604(b)(2) of the Middle East Peace
Facilitation Act of 1995 or to suspend the prohibition
under other legislation, funds appropriated by this Act
may not be obligated for assistance for the Palestine Lib-
eration Organization for the West Bank and Gaza.
EXPORT FINANCING TRANSFER AUTHORITIES
SEC. 554. Not to exceed 5 percent of any appropria-
tion other than for administrative expenses made available
for fiscal year 1997 for programs under title I of this Act
may be transferred between such appropriations for use
for any of the purposes, programs and activities for which
the funds in such receiving account may be used, but no
such appropriation, except as otherwise specifically pro-
vided, shall be increased by more than 25 percent by any
such transfer: Provided, That the exercise of such author-
ity shall be subject to the regular notification procedures
of the Committees on Appropriations.
WAR CRIMES TRIBUNALS
SEC. 555. If the President determines that doing so
will contribute to a just resolution of charges regarding
genocide or other violations of international humanitarian
law, the President may direct a drawdown pursuant to sec-
tion 552(c) of the Foreign Assistance Act of 1961, as
amended, of up to $50,000,000 of commodities and serv-
ices for the United Nations War Crimes Tribunal estab-
lished with regard to the former Yugoslavia by the United
Nations Security Council or such other tribunals or com-
missions as the Council may establish to deal with such
violations, without regard to the ceiling limitation con-
tained in paragraph (2) thereof: Provided, That the deter-
mination required under this section shall be in lieu of
any determinations otherwise required under section
552(c): Provided further, That 60 days after the date of
enactment of this Act, and every 180 days thereafter, the
Secretary of State shall submit a report to the Committees
on Appropriations describing the steps the United States
Government is taking to collect information regarding alle-
gations of genocide or other violations of international law
in the former Yugoslavia and to furnish that information
to the United Nations War Crimes Tribunal for the former
Yugoslavia.
LANDMINES
SEC. 556. Notwithstanding any other provision of
law, demining equipment available to any department or
agency and used in support of the clearing of landmines
for humanitarian purposes may be disposed of on a grant
basis in foreign countries, subject to such terms and condi-
tions as the President may prescribe.
RESTRICTIONS CONCERNING THE PALESTINIAN
AUTHORITY
SEC. 557. None of the funds appropriated by this Act
may be obligated or expended to create in any part of Je-
rusalem a new office of any department or agency of the
United States Government for the purpose of conducting
official United States Government business with the Pal-
estinian Authority over Gaza and Jericho or any successor
Palestinian governing entity provided for in the Israel-
PLO Declaration of Principles: Provided, That this re-
striction shall not apply to the acquisition of additional
space for the existing Consulate General in Jerusalem:
Provided further, That meetings between officers and em-
ployees of the United States and officials of the Palestin-
ian Authority, or any successor Palestinian governing en-
tity provided for in the Israel-PLO Declaration of Prin-
ciples, for the purpose of conducting official United States
Government business with such authority should continue
to take place in locations other than Jerusalem. As has
been true in the past, officers and employees of the United
States Government may continue to meet in Jerusalem on
other subjects with Palestinians (including those who now
occupy positions in the Palestinian Authority), have social
contacts, and have incidental discussions.
PROHIBITION OF PAYMENT OF CERTAIN EXPENSES
SEC. 558. None of the funds appropriated or other-
wise made available by this Act under the heading
‘‘INTERNATIONAL MILITARY EDUCATION AND TRAINING’’
or ‘‘FOREIGN MILITARY FINANCING PROGRAM’’ for Infor-
mational Program activities may be obligated or expended
to pay for—
(1) alcoholic beverages;
(2) food (other than food provided at a military
installation) not provided in conjunction with Infor-
mational Program trips where students do not stay
at a military installation; or
(3) entertainment expenses for activities that
are substantially of a recreational character, includ-
ing entrance fees at sporting events and amusement
parks.
HUMANITARIAN ASSISTANCE
SEC. 559. (a) IN GENERAL.—None of the funds
made available in this Act may be used for assistance in
support of any country when it is made known to the
President that the government of such country prohibits
or otherwise restricts, directly or indirectly, the transport
or delivery of United States humanitarian assistance.
(b) EXCEPTION.—Funds (other than funds appro-
priated in this Act under the heading ‘‘Economic Support
Fund’’) may be made available without regard to the re-
striction in subsection (a) if the President determines that
to do so is in the national security interest of the United
States.
WITHHOLDING OF ASSISTANCE TO COUNTRIES
SUPPORTING NUCLEAR PLANT IN CUBA
SEC. 560. (a) WITHHOLDING.—The President shall
withhold from assistance made available with funds appro-
priated or made available pursuant to this Act an amount
equal to the sum of assistance and credits, if any, provided
on or after the date of the enactment of this Act by that
country, or any entity in that country, in support of the
completion of the Cuban nuclear facility at Juragua, near
Cienfuegos, Cuba.
(b) EXCEPTIONS.—The requirement of subsection (a)
to withhold assistance shall not apply with respect to—
(1) assistance to meet urgent humanitarian
needs including disaster and refugee relief;
(2) democratic political reform and rule of law
activities;
(3) support for private sector and nongovern-
mental organizations that are independent of govern-
ment control;
(4) the development of a free market economic
system; and
(5) assistance for the purposes described in the
Cooperative Threat Reduction Act of 1993 (title XII
of Public Law 103–160).
EQUITABLE ALLOCATION OF FUNDS
SEC. 561. Not more than 20 percent of the funds
appropriated by this Act to carry out the provisions of sec-
tions 103 through 106 and chapter 4 of part II of the
Foreign Assistance Act of 1961, that are made available
for Latin America and the Caribbean region may be made
available, through bilateral and Latin America and the
Caribbean regional programs, to provide assistance for
any country in such region.
PURCHASE OF AMERICAN-MADE EQUIPMENT AND
PRODUCTS
SEC. 562. (a) SENSE OF CONGRESS.—It is the sense
of the Congress that, to the greatest extent practicable,
all equipment and products purchased with funds made
available in this Act should be American-made.
(b) NOTICE REQUIREMENT.—In providing financial
assistance to, or entering into any contract with, any en-
tity using funds made available in this Act, the head of
each Federal agency, to the greatest extent practicable,
shall provide to such entity a notice describing the state-
ment made in subsection (a) by the Congress.
LIMITATION OF FUNDS FOR NORTH AMERICAN
DEVELOPMENT BANK
SEC. 563. None of the funds appropriated in this Act
under the heading ‘‘North American Development Bank’’
and made available for the Community Adjustment and
Investment Program shall be used for purposes other than
those set out in the binational agreement establishing the
Bank.
INTERNATIONAL DEVELOPMENT ASSOCIATION
SEC. 564. In order to pay for the United States con-
tribution to the tenth replenishment of the resources of
the International Development Association authorized in