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governmental and international organizations, section
301 of the Foreign Assistance Act of 1961 for a vol-
untary contribution to the International Atomic Energy
Agency (IAEA) and a voluntary contribution to the Ko-
rean 
Peninsula 
Energy 
Development 
Organization
(KEDO), and for the acquisition and provision of goods
and services, or for grants to Israel necessary to support
the eradication of terrorism in and around Israel: Pro-
vided, That of this amount not to exceed $15,000,000, to
remain available until expended, may be made available
for the Nonproliferation and Disarmament Fund, not-
withstanding any other provision of law, to promote bilat-
eral and multilateral activities relating to nonproliferation
and disarmament: Provided further, That such funds may
also be used for such countries other than the new inde-
pendent states of the former Soviet Union and inter-
national organizations when it is in the national security
interest of the United States to do so: Provided further,
That such funds shall be subject to the regular notifica-
tion procedures of the Committees on Appropriations:
Provided further, That funds appropriated under this
heading may be made available for the International
Atomic Energy Agency only if the Secretary of State de-
termines (and so reports to the Congress) that Israel is
not being denied its right to participate in the activities
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of that Agency: Provided further, That not to exceed
$25,000,000 may be made available to the Korean Penin-
sula Energy Development Organization (KEDO) only for
the administrative expenses and heavy fuel oil costs asso-
ciated with the Agreed Framework: Provided further,
That such funds may be obligated to KEDO only if, prior
to such obligation of funds, the President certifies and so
reports to Congress that (1)(A) the United States is tak-
ing steps to assure that progress is made on the imple-
mentation of the January 1, 1992, Joint Declaration on
the Denuclearization of the Korean Peninsula and the
implementation of the North-South dialogue, and (B)
North Korea is complying with the other provisions of
the Agreed Framework between North Korea and the
United States and with the Confidential Minute; (2)
North Korea is cooperating fully in the canning and safe
storage of all spent fuel from its graphite-moderated nu-
clear reactors and that such canning and safe storage is
scheduled to be completed by the end of fiscal year 1997;
and (3) North Korea has not significantly diverted assist-
ance provided by the United States for purposes for
which it was not intended: Provided further, That the
President may waive the certification requirements of the
preceding proviso if the President determines that it is
vital to the national security interests of the United
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States: Provided further, That no funds may be obligated
for KEDO until 30 calendar days after submission to
Congress of the waiver permitted under the preceding
proviso: Provided further, That before obligating any
funds for KEDO, the President shall report to Congress
on (1) the cooperation of North Korea in the process of
returning to the United States the remains of United
States military personnel who are listed as missing in ac-
tion as a result of the Korean conflict (including conduct-
ing joint field activities with the United States); (2) viola-
tions of the military armistice agreement of 1953; (3) the
actions which the United States is taking to assure that
North Korea is consistently taking steps to implement
the Joint Declaration on Denuclearization of the Korean
Peninsula and engage in North-South dialogue; and (4)
all instances of non-compliance with the Agreed Frame-
work between North Korea and the United States and
the Confidential Minute, including diversion of heavy fuel
oil: Provided further, That the obligation of such funds
shall be subject to the regular notification procedures of
the Committees on Appropriations: Provided further,
That the Secretary of State shall submit to the appro-
priate congressional committees an annual report (to be
submitted with the annual presentation for appropria-
tions) providing a full and detailed accounting of the fis-
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cal year request for the United States contribution to
KEDO, the expected operating budget of the Korean Pe-
ninsula Energy Development Organization, to include
proposed annual costs associated with heavy fuel oil pur-
chases and other related activities, and the amount of
funds pledged by other donor nations and organizations
to support KEDO activities on a per country basis.
TITLE III—MILITARY ASSISTANCE
FUNDS APPROPRIATED TO THE PRESIDENT
INTERNATIONAL MILITARY EDUCATION AND TRAINING
For necessary expenses to carry out the provisions
of section 541 of the Foreign Assistance Act of 1961,
$43,475,000: Provided, That none of the funds appro-
priated under this heading shall be available for Zaire
and Guatemala: Provided further, That funds appro-
priated under this heading for grant financed military
education and training for Indonesia may only be avail-
able for expanded international military education and
training.
FOREIGN MILITARY FINANCING PROGRAM
For expenses necessary for grants to enable the
President to carry out the provisions of section 23 of the
Arms Export Control Act, $3,164,000,000: Provided,
That of the funds appropriated by this paragraph not
less than $1,800,000,000 shall be available for grants
only for Israel, and not less than $1,300,000,000 shall be
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available for grants only for Egypt: Provided further,
That the funds appropriated by this paragraph for Israel
shall be disbursed within thirty days of enactment of this
Act or by October 31, 1996, whichever is later: Provided
further, That to the extent that the Government of Israel
requests that funds be used for such purposes, grants
made available for Israel by this paragraph shall, as
agreed by Israel and the United States, be available for
advanced weapons systems, of which not less than
$475,000,000 shall be available for the procurement in
Israel of defense articles and defense services, including
research and development: Provided further, That of the
funds made available under this paragraph, $30,000,000
shall be available for assistance on a grant basis for Po-
land, Hungary, and the Czech Republic to carry out title
II of Public Law 103–477 and section 585 of Public Law
104–107: Provided further, That funds made available
under this paragraph shall be nonrepayable notwithstand-
ing any requirement in section 23 of the Arms Export
Control Act: Provided further, That, for the purpose only
of providing support for NATO expansion and the War-
saw Initiative Program, of the funds appropriated by this
Act under the headings ‘‘Assistance for Eastern Europe
and the Baltic States’’ and ‘‘Assistance for the New
Independent States of the Former Soviet Union’’, up to
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a total of $7,000,000 may be transferred, notwithstand-
ing any other provision of law, to the funds appropriated
under this paragraph: Provided further, That none of the
funds made available under this heading shall be avail-
able for any non-NATO country participating in the
Partnership for Peace Program except through the regu-
lar notification procedures of the Committees on Appro-
priations.
For the cost, as defined in section 502 of the Con-
gressional Budget Act of 1974, of direct loans authorized
by section 23 of the Arms Export Control Act as follows:
cost of direct loans, $60,000,000: Provided, That these
funds are available to subsidize gross obligations for the
principal amount of direct loans of not to exceed
$540,000,000: Provided further, That the rate of interest
charged on such loans shall be not less than the current
average market yield on outstanding marketable obliga-
tions of the United States of comparable maturities: Pro-
vided further, That of the funds appropriated under this
paragraph $20,000,000 shall be made available to Po-
land, Hungary, and the Czech Republic: Provided further,
That funds appropriated under this heading shall be
made available for Greece and Turkey only on a loan
basis, and the principal amount of direct loans for each