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(d) STATUS
OF AVAILABILITY
OF AMOUNTS
IN 
FUND.—The President is authorized to transfer to the 
Fund amounts under paragraphs (2) and (3) of subsection 
(b). Such amounts shall be merged with and shall be avail-
able for any purpose for which any of the amounts so 
transferred are available. 
(e) REPORT.—The President shall transmit to the 
appropriate congressional committees not later than 180 
days after the date of the enactment of this Act, and every 
180 days thereafter until September 30, 2018, a report 
on programs, projects, and activities carried out using 
amounts obligated and expended from the Fund. 
SEC. 105. AUTHORIZATION OF APPROPRIATIONS. 
(a) IN GENERAL.—There are authorized to be appro-
priated to the President to carry out this title 
$1,500,000,000 for each of the fiscal years 2010 through 
2013. 
(b) AVAILABILITY.—Amounts authorized to be appro-
priated to carry out this title for a fiscal year are— 
(1) authorized to remain available until Sep-
tember 30 of the succeeding fiscal year; and 
(2) in addition to amounts otherwise available 
for such purposes. 
(c) SENSE OF THE CONGRESS.—It is the sense of 
Congress that United States assistance provided under 
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this title should be made available on a proportional and 
equitable basis between the FATA and other regions of 
Pakistan. 
TITLE II—SECURITY 
ASSISTANCE FOR PAKISTAN 
SEC. 201. SENSE OF CONGRESS. 
It is the sense of Congress that— 
(1) United States security assistance for Paki-
stan should be used to improve relationships between 
United States military and Pakistani military per-
sonnel, including outreach to the ‘‘lost generation’’ 
of Pakistan’s officers who did not attend United 
States-sponsored training as a result of restrictions 
placed on United States assistance for Pakistan due 
to Pakistan’s possession of a nuclear device; and 
(2) United States security assistance for Paki-
stan should be fully accountable, should be contin-
gent on Pakistan ending support for terrorist 
groups, and should meet the national security needs 
of Pakistan. 
SEC. 202. PURPOSES OF ASSISTANCE. 
The purposes of assistance under this title are— 
(1) to support Pakistan’s paramount national 
security need to fight and win the ongoing counter-
insurgency within its borders; 
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(2) to work with the Government of Pakistan to 
protect and secure Pakistan’s borders and prevent 
any Pakistani territory from being used as a base or 
conduit for terrorist attacks in Pakistan, or else-
where; 
(3) to work in close cooperation with the Gov-
ernment of Pakistan to coordinate action against ex-
tremist and terrorist targets; and 
(4) to develop knowledge of and appreciation 
for democratic governance and a military that is 
controlled by and responsible to democratically elect-
ed civilian leadership. 
SEC. 203. AUTHORIZATION OF ASSISTANCE. 
(a) INTERNATIONAL
MILITARY
EDUCATION
AND 
TRAINING.— 
(1) IN GENERAL.—Of the amounts authorized 
to be appropriated to carry out this title, not less 
than $4,000,000 for fiscal year 2010 and such sums 
as may be necessary for each of the fiscal years 
2011 through 2013 are authorized be made available 
for assistance under chapter 5 of part II of the For-
eign Assistance Act of 1961 (22 U.S.C. 2347 et 
seq.; relating to international military education and 
training) for Pakistan, including expanded inter-
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national military education and training (commonly 
known as ‘‘E–IMET’’). 
(2) USE OF FUNDS.—Not less than 30 percent 
of the amount made available to carry out this sub-
section for a fiscal year may be used to pay for 
courses of study and training in counterinsurgency 
and civil-military relations. 
(b) FOREIGN MILITARY FINANCING PROGRAM.— 
(1) IN GENERAL.—Of the amounts authorized 
to be appropriated to carry out this title, not less 
than $300,000,000 for fiscal year 2010 and such 
sums as may be necessary for each of the fiscal 
years 2011 through 2013 are authorized to be made 
available for grant assistance under section 23 of the 
Arms Export Control Act (22 U.S.C. 2763; relating 
to the Foreign Military Financing program) for the 
purchase of defense articles, defense services, and 
military education and training for Pakistan. 
(2) USE OF FUNDS.—Not less than 75 percent 
of the amount made available to carry out this sub-
section for a fiscal year may be used for the pur-
chase of defense articles, defense services, and mili-
tary education and training for activities relating to 
counterinsurgency and counterterrorism operations 
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in Pakistan. Such articles, services, and military 
education and training may include the following: 
(A) Aviation maintenance and logistics 
support for United States-origin and United 
States-supported rotary wing aircraft and up-
grades to such aircraft to include modern night 
vision and targeting capabilities. 
(B) Intelligence, surveillance, and recon-
naissance (ISR) ground and air manned and 
unmanned platforms, including sustainment. 
(C) Command and control capabilities. 
(D) Force protection and counter impro-
vised explosive device capabilities, including pro-
tection of vehicles. 
(E) Protective equipment, such as body 
armor and helmets, night vision goggles, and 
other individual equipment, including load-bear-
ing equipment, individual and unit level first 
aid equipment, ballistic eye protection, and cold 
weather equipment. 
(F) Appropriate individual and unit level 
medical services and articles for the Pakistan 
Army, the Pakistan Frontier Corps, and other 
appropriate security forces. 
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(G) Assistance to enable the Pakistani 
military to distribute humanitarian assistance 
and establish a tactical civil-military operations 
capability, including a civil affairs directorate. 
(3) RESTRICTION
RELATING
TO
F–16
PRO-
GRAM.— 
(A) CONGRESSIONAL FINDING.—In accord-
ance with the Letters of Offer and Acceptance 
signed between the United States and Pakistan 
in 2006, Congress finds that the Government of 
Pakistan is responsible for making the remain-
ing payments on the 2006 sales relating to F– 
16 fighter aircraft and associated equipment 
with its own national funds, including the mid- 
life updates and munitions for such aircraft in-
cluded in such Letters of Offer and Acceptance. 
(B) RESTRICTION.—Subject to subpara-
graph (C), amounts authorized to be made 
available under this subsection for a fiscal year 
may not be used for the purchase of, or up-
grade to, F–16 fighter aircraft or munitions for 
such aircraft. 
(C) EXCEPTION.—Amounts authorized to 
be made available under this subsection for a 
fiscal year are authorized to be used for mili-
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tary construction pursuant to the security plan 
contained in the Letters of Offer and Accept-
ance signed between the United States and 
Pakistan in 2006. 
(D) WAIVER.—The President may waive 
the restriction under subparagraph (B) with re-
spect to amounts authorized to be made avail-
able under this subsection for a fiscal year, 
other than amounts authorized to be made 
available under paragraph (2) of this sub-
section, if the President certifies to the appro-
priate congressional committees not later than 
15 days prior to exercising the authority of this 
subparagraph that the waiver is important to 
the national security interests of the United 
States. 
(4) SECURITY
ASSISTANCE
PLAN.—Not later 
than 180 days after the date of the enactment of 
this Act, the President shall transmit to the appro-
priate congressional committees a plan for the pro-
posed use of amounts authorized to be made avail-
able under this subsection for each of the fiscal 
years 2010 through 2013. Such plan shall include 
an assessment of how the use of such amounts com-
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plements or otherwise is related to amounts de-
scribed in section 204. 
(5) ADDITIONAL AUTHORITY.—Except as pro-
vided in section 3(a)(2) of the Arms Export Control 
Act and except as otherwise provided in this title, 
amounts authorized to be made available to carry 
out paragraph (2) for fiscal years 2010 and 2011 
are authorized to be made available notwithstanding 
any other provision of law. 
(6) DEFINITIONS.—In this section, the terms 
‘‘defense articles’’, ‘‘defense services’’, and ‘‘military 
education and training’’ have the meaning given 
such terms in section 644 of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2403). 
(c) SENSE OF CONGRESS.—It is the sense of Con-
gress that the United States should facilitate Pakistan’s 
establishment of a program to enable the Pakistani mili-
tary to provide reconstruction assistance in areas damaged 
by combat operations. 
SEC. 204. PAKISTAN COUNTERINSURGENCY CAPABILITY 
FUND. 
(a) FOR FISCAL YEAR 2010.— 
(1) IN GENERAL.—For fiscal year 2010, the 
Department of State’s Pakistan Counterinsurgency 
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Capability Fund, hereinafter in this section referred 
to as the ‘‘Fund’’, shall consist of the following: 
(A) Amounts appropriated to carry out 
this subsection. 
(B) Amounts otherwise available to the 
Secretary of State to carry out this subsection. 
(2) PURPOSES
OF
FUND.—Amounts in the 
Fund made available to carry out this subsection for 
any fiscal year are authorized to be used by the Sec-
retary of State, with the concurrence of the Sec-
retary of Defense, to build and maintain the 
counterinsurgency capability of Pakistan under the 
same terms and conditions (except as otherwise pro-
vided in this subsection) that are applicable to 
amounts made available under the Fund for fiscal 
year 2009. 
(3) TRANSFER AUTHORITY.— 
(A) IN GENERAL.—The Secretary of State 
is authorized to transfer amounts in the Fund 
made available to carry out this subsection for 
any fiscal year to the Department of Defense’s 
Pakistan Counterinsurgency Fund. 
(B) 
TREATMENT
OF
TRANSFERRED 
FUNDS.—Subject to the requirements of para-
graph (4), transfers from the Fund under the 
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authority of subparagraph (A) shall be merged 
with and be available for the same purposes and 
for the same time period as amounts in the De-
partment of Defense’s Pakistan Counterinsur-
gency Fund. 
(C) RELATION TO OTHER AUTHORITIES.— 
The authority to make transfers from the Fund 
under subparagraph (A) is in addition to any 
other transfer of funds authority of the Depart-
ment of State. The authority to provide assist-
ance under this subsection is in addition to any 
other authority to provide assistance to foreign 
countries. 
(D) NOTIFICATION.—The Secretary of 
State shall, not less than 15 days prior to mak-
ing transfers from the Fund under subpara-
graph (A), notify the appropriate congressional 
committees in writing of the details of any such 
transfer. 
(4) RESTRICTION.— 
(A) IN
GENERAL.—Subject to subpara-
graph (B), amounts in the Fund made available 
to carry out this subsection for any fiscal year 
may not be used to purchase F–16 fighter air-
craft, to purchase mid-life updates for such air-
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craft, or to make payments on the sales of F– 
16 fighter aircraft and associated equipment 
described in section 203(b)(3)(A). 
(B) EXCEPTION.—Amounts in the Fund 
made available to carry out this subsection for 
any fiscal year are authorized to be used for 
military construction activities. 
(C) WAIVER.—The President may waive 
the restriction under subparagraph (A) with re-
spect to amounts described in subparagraph (A) 
if the President certifies to the appropriate con-
gressional committees not later than 15 days 
prior to exercising the authority of this sub-
paragraph that the waiver is important to the 
national security interests of the United States. 
(5) AUTHORIZATION OF APPROPRIATIONS.—For 
fiscal year 2010, $300,000,000 is hereby authorized 
to be appropriated to carry out this subsection. 
(b) SUBMISSION OF NOTIFICATIONS.—Any notifica-
tion required by this section shall be submitted in classi-
fied form, but may include a unclassified annex if nec-
essary. 
(c) APPROPRIATE CONGRESSIONAL COMMITTEES DE-
FINED.—In this section, the term ‘‘appropriate congres-
sional committees’’ means— 
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(1) the Committee on Appropriations, the Com-
mittee on Armed Services, and the Committee on 
Foreign Affairs of the House of Representatives; 
and 
(2) the Committee on Appropriations, the Com-
mittee on Armed Services, and the Committee on 
Foreign Relations of the Senate. 
SEC. 205. EXCHANGE PROGRAM BETWEEN MILITARY AND 
CIVILIAN PERSONNEL OF PAKISTAN AND 
CERTAIN OTHER COUNTRIES. 
(a) IN GENERAL.—The Secretary of State is author-
ized to establish an exchange program between— 
(1) military and civilian personnel of Pakistan; 
and 
(2)(A) military and civilian personnel of coun-
tries determined by the Secretary of State to be in 
transition to democracy; or 
(B) military and civilian personnel of North At-
lantic Treaty Organization member countries, 
in order to foster greater respect for and understanding 
of the principle of civilian rule of Pakistan’s military. The 
program established under this subsection shall be known 
as the ‘‘Pakistan Military Transition Program’’. 
(b) ELEMENTS OF PROGRAM.—The program author-
ized under subsection (a) may include— 
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(1) conferences, seminars, and other events; 
(2) distribution of publications; and 
(3) reimbursement of expenses of foreign mili-
tary personnel participating in the program, includ-
ing transportation expenses, translation services ex-
penses, and administrative expenses relating to the 
program. 
(c) 
ROLE
OF
NONGOVERNMENTAL
ORGANIZA-
TIONS.—Amounts authorized to be appropriated to carry 
out this title for a fiscal year are authorized to be made 
available for nongovernmental organizations to facilitate 
the implementation of the program authorized under sub-
section (a). 
SEC. 206. LIMITATION ON UNITED STATES MILITARY AS-
SISTANCE TO PAKISTAN. 
(a) PROHIBITION ON USE OF FUNDS.—None of the 
funds authorized to be appropriated for military assistance 
to Pakistan for fiscal year 2011 and each fiscal year there-
after may be obligated or expended if the President has 
not made the determinations described in subsection (b) 
for such fiscal year. 
(b) DETERMINATIONS REGARDING ENHANCED CO-
OPERATION BETWEEN THE UNITED STATES AND PAKI-
STAN.—The determinations referred to in subsection (a) 
are— 
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(1) a determination by the President at the be-
ginning of each fiscal year that the Government of 
Pakistan is continuing to cooperate with the United 
States in efforts to dismantle supplier networks re-
lating to the acquisition of nuclear weapons-related 
materials, including, as necessary, providing direct 
access to Pakistani nationals associated with such 
networks; and 
(2) a determination by the President at the be-
ginning of each fiscal year that the Government of 
Pakistan during the preceding fiscal year has dem-
onstrated a sustained commitment to and making 
progress towards combating terrorist groups, includ-
ing taking into account the progress the Government 
of Pakistan has made with regard to— 
(A) ceasing support, including by any ele-
ments within the Pakistan military or its intel-
ligence agency, to extremist and terrorist 
groups, particularly to any group that has con-
ducted attacks against United States or coali-
tion forces in Afghanistan, or against the terri-
tory or people of neighboring countries; 
(B) closing terrorist camps in the FATA, 
dismantling terrorist bases of operations in 
other parts of the country, including Quetta 
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and Muridke, and taking action when provided 
with intelligence about high-level terrorist tar-
gets; 
(C) preventing cross-border attacks into 
neighboring countries; and 
(D) strengthening counter-terrorism and 
anti-money laundering laws. 
(c) WAIVER.—The President may waive the restric-
tion under subsection (a) for any fiscal year if the Presi-
dent certifies to the appropriate congressional committees 
15 days before the President exercises the authority of this 
subsection that the provision of military assistance to 
Pakistan is important to the national security interests of 
the United States. 
(d) CONSULTATION
AND
WRITTEN
JUSTIFICA-
TION.—Not later than 5 days prior to making a deter-
mination described in subsection (b), the President shall 
consult with the appropriate congressional committees 
and, upon making such determination, shall submit to the 
appropriate congressional committees a written justifica-
tion that specifies the basis upon which the President 
made such a determination, including an acknowledgment 
of the extent to which the Government of Pakistan has 
made progress with regard to subsection (b)(2). The jus-
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tification shall be unclassified but may include a classified 
annex. 
(e) GAO ANALYSIS AND REPORT.—Not later than 
120 days after the President makes the determinations de-
scribed in subsection (b), the Comptroller General of the 
United States shall conduct an independent analysis of 
each of the determinations under subsection (b) and writ-
ten justifications for such determinations under subsection 
(d) and shall submit to the appropriate congressional com-
mittees a report containing the results of the independent 
analysis. 
(f) DEFINITIONS.—For purposes of this section— 
(1) the term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committee on Foreign Affairs, the 
Committee on Armed Services, the Committee 
on Oversight and Government Reform, and the 
Permanent Select Committee on Intelligence of 
the House of Representatives; and 
(B) the Committee on Foreign Relations, 
the Committee on Armed Services, and the Se-
lect Committee on Intelligence of the Senate; 
and 
(2) the term ‘‘military assistance’’— 
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(A) means assistance authorized under sec-
tion 23 of the Arms Export Control Act (22 
U.S.C. 2763; relating to the Foreign Military 
Financing program), including assistance au-
thorized under section 203(b) of this division 
and assistance authorized under part II of the 
Foreign Assistance Act of 1961 (22 U.S.C. 
2301 et seq.), other than assistance authorized 
under chapter 5 of part II of such Act (22 
U.S.C. 2347 et seq.); but 
(B) does not include assistance authorized 
under any provision of law that is funded from 
accounts within budget function 050 (National 
Defense). 
SEC. 207. AUTHORIZATION OF APPROPRIATIONS. 
(a) IN GENERAL.—There are authorized to be appro-
priated to the President to carry out this title, other than 
section 204, $400,000,000 for fiscal year 2010 and such 
sums as may be necessary for each of the fiscal years 2011 
through 2013. 
(b) RELATION
TO OTHER AVAILABLE FUNDS.— 
Amounts authorized to be appropriated to carry out this 
title for a fiscal year are in addition to amounts otherwise 
available for such purposes. 
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TITLE III—MISCELLANEOUS 
PROVISIONS 
SEC. 301. COMPREHENSIVE REGIONAL SECURITY STRAT-
EGY. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that the achievement of United States national secu-
rity goals to eliminate terrorist threats and close safe ha-
vens in Pakistan requires the development of a com-
prehensive plan that utilizes all elements of national 
power, including in coordination and cooperation with 
other concerned governments, and that it is critical to 
Pakistan’s long-term prosperity and security to strengthen 
regional relationships among India, Pakistan, and Afghan-
istan. 
(b) COMPREHENSIVE REGIONAL SECURITY STRAT-
EGY.—The President shall develop a comprehensive re-
gional security strategy to eliminate terrorist threats and 
close safe havens in Pakistan, including by working with 
the Government of Pakistan and other relevant govern-
ments and organizations in the region and elsewhere, as 
appropriate, to best implement effective counterinsurgency 
and counterterrorism efforts in and near the border areas 
of Pakistan and Afghanistan, including the FATA, 
NWFP, parts of Balochistan, and parts of Punjab. 
(c) REPORT.— 
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(1) IN
GENERAL.—Not later than 180 days 
after the date of the enactment of this Act, the 
President shall transmit to the appropriate congres-
sional committees a report on the comprehensive re-
gional security strategy required under subsection 
(b). 
(2) CONTENTS.—The report shall include a 
copy of the comprehensive regional security strategy, 
including specifications of goals, and proposed 
timelines and budgets for implementation of the 
strategy. 
(d) DEFINITION.—For purposes of this section, the 
term ‘‘appropriate congressional committees’’ means the 
Committees on Foreign Affairs and Armed Services of the 
House of Representatives and the Committees on Foreign 
Relations and Armed Services of the Senate. 
SEC. 302. MONITORING AND EVALUATION OF ASSISTANCE. 
(a) DEFINITIONS.—In this section: 
(1) 
IMPACT
EVALUATION
RESEARCH.—The 
term ‘‘impact evaluation research’’ means the appli-
cation of research methods and statistical analysis to 
measure the extent to which change in a population- 
based outcome can be attributed to program inter-
vention instead of other environmental factors. 
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(2) OPERATIONS RESEARCH.—The term ‘‘oper-
ations research’’ means the application of social 
science research methods, statistical analysis, and 
other appropriate scientific methods to judge, com-
pare, and improve policies and program outcomes, 
from the earliest stages of defining and designing 
programs through their development and implemen-
tation, with the objective of the rapid dissemination 
of conclusions and concrete impact on programming. 
(3) PROGRAM
MONITORING.—The term ‘‘pro-
gram monitoring’’ means the collection, analysis, 
and use of routine program data to determine how 
well a program is carried out and how much the pro-
gram costs. 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that— 
(1) to successfully enhance democracy and the 
rule of law in Pakistan, defeat extremist elements, 
and ensure the protection of human rights, the 
President should establish a program to conduct im-
pact evaluation research, operations research, and 
program monitoring to ensure effectiveness of assist-
ance provided under title I of this division; 
(2) long-term solutions to Pakistan’s security 
problems depend on increasing the effectiveness and 
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responsiveness of civilian institutions in Pakistan, 
including the parliament and judicial system; 
(3) a specific program of impact evaluation re-
search, operations research, and program moni-
toring, established at the inception of the program, 
is required to permit assessment of the operational 
effectiveness of impact of United States assistance 
towards these goals; and 
(4) the President, in developing performance 
measurement methods under the impact evaluation 
research, operations research, and program moni-
toring, should consult with the appropriate congres-
sional committees as well as the Government of 
Pakistan. 
(c) IMPACT EVALUATION RESEARCH, OPERATIONS 
RESEARCH, AND PROGRAM MONITORING
OF ASSIST-
ANCE.—The President shall establish and implement a 
program to assess the effectiveness of assistance provided 
under title I of this division through impact evaluation re-
search on a selected set of programmatic interventions, op-
erations research in areas to ensure efficiency and effec-
tiveness of program implementation, and monitoring to 
ensure timely and transparent delivery of assistance. 
(d) REQUIREMENTS.—The program required under 
subsection (c) shall include— 
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(1) a delineation of key impact evaluation re-
search and operations research questions for main 
components of assistance provided under title I of 
this division; 
(2) an identification of measurable performance 
goals for each of the main components of assistance 
provided under title I of this division to be expressed 
in an objective and quantifiable form at the incep-
tion of the program; 
(3) the use of appropriate methods, based on 
rigorous social science tools, to measure program im-
pact and operational efficiency; and 
(4) adherence to a high standard of evidence in 
developing recommendations for adjustments to the 
assistance to enhance the impact of the assistance. 
(e) ASSISTANCE TO ENHANCE THE CAPACITY OF 
PAKISTAN.—In carrying out the program required under 
subsection (c), the President is authorized to provide as-
sistance to enhance the capacity of the Government of 
Pakistan to monitor and evaluate programs carried out 
by the national, provincial, and local governments in Paki-
stan in order to maximize the long-term sustainable devel-
opment impact of such programs. 
(f) CONSULTATION WITH CONGRESS.—Not later 
than 120 days after the date of the enactment of this Act, 
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the President shall brief and consult with the appropriate 
congressional committees regarding the progress in estab-
lishing and implementing the program required under sub-
section (c). 
(g) AUTHORIZATION OF APPROPRIATIONS.—Of the 
amounts authorized to be appropriated under section 105 
of this division for each of the fiscal years 2010 through 
2013, up to 5 percent of such amounts for such fiscal year 
is authorized to be made available to carry out this section 
for the fiscal year. 
SEC. 303. AUDITING. 
(a) ASSISTANCE AUTHORIZED.—The Inspector Gen-
eral of the Department of State and the Inspector General 
of the United States Agency for International Develop-
ment shall audit, investigate, and oversee the obligation 
and expenditure of funds to carry out title I of this divi-
sion. 
(b) REQUIREMENT FOR IN-COUNTRY PRESENCE.— 
The Inspector General of the Department of State and 
the Inspector General of the United States Agency for 
International Development, after consultation with the 
Secretary of State and the Administrator of the United 
States Agency for International Development, are author-
ized to establish field offices in Pakistan with sufficient 
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staff from each of the Offices of the Inspector General 
in Pakistan respectively to carry out subsection (a). 
(c) AUTHORIZATION OF APPROPRIATIONS.— 
(1) IN GENERAL.—Of the amounts authorized 
to be appropriated under section 105 for each of the 
fiscal years 2010 through 2013, not less than 
$2,000,000 for each fiscal year is authorized to be 
made available to the Office of the Inspector General 
of the Department of State and not less than 
$2,000,000 for each fiscal year is authorized to be 
made available to the Office of the Inspector General 
of the United States Agency for International Devel-
opment to carry out this section. 
(2) RELATION TO OTHER AVAILABLE FUNDS.— 
Amounts made available under paragraph (1) are in 
addition to amounts otherwise available for such 
purposes. 
SEC. 304. REQUIREMENTS FOR CIVILIAN CONTROL OF 
UNITED STATES ASSISTANCE FOR PAKISTAN. 
(a) REQUIREMENTS.—Any direct assistance provided 
or payments made on or after January 1, 2010, by the 
United States to the Government of Pakistan, and any 
information required by the United States prior to pro-
viding the assistance or making the payments, may only 
be provided or made to, or received from, civilian authori-
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ties of a government of Pakistan constituted through a 
free and fair election. For purposes of this subsection, a 
government of Pakistan constituted through a free and 
fair election is a government that is determined by the 
President to have been elected in a free and fair manner, 
taking into account the laws and constitution of Pakistan 
and internationally recognized standards. 
(b) WAIVER.—The President may waive— 
(1) the requirements under subsection (a); or 
(2) the requirements under any other provision 
of law that restricts assistance to the government of 
any country whose duly elected head of government 
is deposed by military coup or decree, as such provi-
sion of law applies with respect to the Government 
of Pakistan, 
if the President certifies to the appropriate congressional 
committees that the waiver is important to the national 
security interests of the United States. 
(c) RULE OF CONSTRUCTION.—Nothing in this sec-
tion shall apply with respect to any activities subject to 
reporting requirements under title V of the National Secu-
rity Act of 1947 (50 U.S.C. 413 et seq.). 
(d) DEFINITION.—In this section, the term ‘‘appro-
priate congressional committees’’ means the Committees 
on Appropriations, Armed Services, and Foreign Affairs 
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of the House of Representatives and the Committees on 
Appropriations, Armed Services, and Foreign Relations of 
the Senate. 
SEC. 305. SENSE OF CONGRESS. 
It is the sense of Congress that— 
(1) the Secretary of State, with the concurrence 
of the Secretary of Defense, should establish a co-
ordinated, strategic communications strategy to en-
gage the people of Pakistan—one that is fully fund-
ed, staffed, and implemented—to help ensure the 
success of the measures authorized by this division; 
and 
(2) the strategy should have clear and achiev-
able objectives, based on available resources, and 
should be overseen by the United States Chief of 
Mission in Pakistan. 
SEC. 306. REPORTS. 
(a) REPORT BY PRESIDENT.— 
(1) IN GENERAL.—The President shall transmit 
to the appropriate congressional committees a report 
on assistance provided under titles I and II of this 
division during the preceding fiscal year. The first 
report shall be transmitted not later than 180 days 
after the date of the enactment of this Act and sub-
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sequent reports shall be transmitted not later than 
December 31 of each year thereafter. 
(2) MATTERS TO BE INCLUDED.—The report 
required under subsection (a) shall include the fol-
lowing: 
(A) A detailed description of the assistance 
by program, project, and activity, as well as by 
geographic area. 
(B) A general description of the perform-
ance goals established under section 302 and 
the progress made in meeting the goals. 
(C) An evaluation of efforts undertaken by 
the Government of Pakistan to— 
(i) disrupt, dismantle, and defeat al 
Qaeda, the Taliban, and other extremist 
and terrorist groups in the FATA and set-
tled areas; 
(ii) close terrorist camps, including 
those 
of 
Jamaat-ud-Dawa, 
Lashkar-e- 
Taiba, and Jaish-e-Mohammed; 
(iii) cease all support for extremist 
and terrorist groups; 
(iv) prevent cross-border attacks; 
(v) increase oversight over curriculum 
in madrasas, including closing madrasas 
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with direct links to the Taliban or other 
extremist and terrorist groups; and 
(vi) improve counter-terrorism financ-
ing and anti-money laundering laws, apply 
for observer status for the Financial Ac-
tion Task Force, and steps taken to adhere 
to the United Nations International Con-
vention for the Suppression of Financing 
of Terrorism. 
(D) A detailed description of Pakistan’s ef-
forts to prevent proliferation of nuclear-related 
material and expertise. 
(E) An assessment of whether assistance 
provided to Pakistan pursuant to this division 
has directly or indirectly aided the expansion of 
Pakistan’s nuclear weapons program, whether 
by the diversion of United States assistance or 
the reallocation of Pakistan financial resources 
that would otherwise be spent for programs and 
activities unrelated to its nuclear weapons pro-
gram. 
(F) A description of the transfer or pur-
chase of military equipment pursuant to title II 
of this division, including— 
(i) a list of equipment provided; and 
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(ii) a detailed description of the extent 
to which funds obligated and expended 
pursuant to section 203(b) meet the re-
quirements of such section. 
(G) An analysis of a suitable replacement 
for the AH–1F and AH–1S Cobra attack heli-
copters, which includes recommendations for 
sustainment, training, and any other matters 
determined to be appropriate. 
(H) An assessment of the extent to which 
the Government of Pakistan exercises effective 
civilian control of the military, including a de-
scription of the extent to which civilian execu-
tive leaders and parliament exercise oversight 
and approval of military budgets, the chain of 
command, the process of promotion for senior 
military leaders, civilian involvement in stra-
tegic guidance and planning, and military in-
volvement in civil administration. 
(b) REPORT BY COMPTROLLER GENERAL.— 
(1) IN
GENERAL.—Not later than April 1, 
2011, the Comptroller General of the United States 
shall submit to the appropriate congressional com-
mittees a report evaluating the effectiveness of secu-
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rity assistance provided to Pakistan under title II of 
this division during fiscal years 2010 and 2011. 
(2) MATTERS TO BE INCLUDED.—The report 
required under subsection (a) shall include the fol-
lowing: 
(A) A detailed description of the expendi-
tures made by Pakistan pursuant to grant as-
sistance under section 23 of the Arms Export 
Control Act (22 U.S.C. 2763; relating to the 
Foreign Military Financing program). 
(B) An assessment of the impact of the as-
sistance on the security and stability of Paki-
stan. 
(C) An evaluation of any issues of financial 
impropriety on behalf of personnel imple-
menting the assistance. 
(D) An assessment of the extent to which 
civilian authorities are involved in administra-
tion of the assistance provided by the United 
States. 
SEC. 307. SUNSET. 
The authority of this division, other than section 104 
and title IV of this division, shall expire after September 
30, 2013. 
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TITLE 
IV—DUTY-FREE 
TREAT-
MENT FOR CERTAIN GOODS 
FROM RECONSTRUCTION OP-
PORTUNITY 
ZONES 
IN 
AF-
GHANISTAN AND PAKISTAN 
SEC. 401. SHORT TITLE. 
This title may be cited as the ‘‘Afghanistan-Pakistan 
Security and Prosperity Enhancement Act’’. 
SEC. 402. DEFINITIONS; PURPOSES. 
(a) DEFINITIONS.—In this title: 
(1) AGREEMENT
ON
TEXTILES
AND
CLOTH-
ING.—The term ‘‘Agreement on Textiles and Cloth-
ing’’ means the Agreement on Textiles and Clothing 
referred to in section 101(d)(4) of the Uruguay 
Round Agreements Act (19 U.S.C. 3511(d)(4)). 
(2) CATEGORY; TEXTILE
AND
APPAREL
CAT-
EGORY NUMBER.—The terms ‘‘category’’ and ‘‘tex-
tile and apparel category number’’ mean the number 
assigned under the U.S. Textile and Apparel Cat-
egory System of the Office of Textiles and Apparel 
of the Department of Commerce, as listed in the 
HTS under the applicable heading or subheading (as 
in effect on September 1, 2007). 
(3) CORE LABOR STANDARDS.—The term ‘‘core 
labor standards’’ means— 
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(A) freedom of association; 
(B) the effective recognition of the right to 
bargain collectively; 
(C) the elimination of all forms of compul-
sory or forced labor; 
(D) the effective abolition of child labor 
and a prohibition on the worst forms of child 
labor; and 
(E) the elimination of discrimination in re-
spect of employment and occupation. 
(4) ENTERED.—The term ‘‘entered’’ means en-
tered, or withdrawn from warehouse for consump-
tion, in the customs territory of the United States. 
(5) ENTITY.—The term ‘‘entity’’ means— 
(A) a natural person, corporation, com-
pany, business association, partnership, society, 
trust, any other nongovernmental entity, orga-
nization, or group, whether or not for profit; 
(B) any governmental entity or instrumen-
tality of a government; and 
(C) any successor, subunit, or subsidiary of 
any entity described in subparagraph (A) or 
(B). 
(6) HTS.—The term ‘‘HTS’’ means the Har-
monized Tariff Schedule of the United States. 
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(7) NAFTA.—The term ‘‘NAFTA’’ means the 
North American Free Trade Agreement concluded 
between the United States, Mexico, and Canada on 
December 17, 1992. 
(8) RECONSTRUCTION
OPPORTUNITY
ZONE.— 
The term ‘‘Reconstruction Opportunity Zone’’ means 
any area that— 
(A) solely encompasses portions of the ter-
ritory of— 
(i) Afghanistan; or 
(ii) 1 or more of the following areas of 
Pakistan: 
(I) the Federally Administered 
Tribal Areas; 
(II) areas of Pakistan-adminis-
tered Kashmir that the President de-
termines were harmed by the earth-
quake of October 8, 2005; 
(III) areas of Baluchistan that 
are within 100 miles of Pakistan’s 
border with Afghanistan; and 
(IV) the North West Frontier 
Province; 
(B) has been designated by the competent 
authorities in Afghanistan or Pakistan, as the 
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case may be, as an area in which merchandise 
may be introduced without payment of duty or 
excise tax; and 
(C) has been designated by the President 
as a Reconstruction Opportunity Zone pursuant 
to section 403(a). 
(b) PURPOSES.—The purposes of this title are— 
(1) to stimulate economic activity and develop-
ment in Afghanistan and the border region of Paki-
stan, critical fronts in the struggle against violent 
extremism; 
(2) to reflect the strong support that the 
United States has pledged to Afghanistan and Paki-
stan for their sustained commitment in the global 
war on terrorism; 
(3) to support the 3-pronged United States 
strategy in Afghanistan and the border region of 
Pakistan that leverages political, military, and eco-
nomic tools, with Reconstruction Opportunity Zones 
as a critical part of the economic component of that 
strategy; and 
(4) to offer a vital opportunity to improve liveli-
hoods of indigenous populations of Reconstruction 
Opportunity Zones, promote good governance, im-
prove economic and commercial ties between the 
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people of Afghanistan and Pakistan, and strengthen 
the Governments of Afghanistan and Pakistan. 
SEC. 403. DESIGNATION OF RECONSTRUCTION OPPOR-
TUNITY ZONES. 
(a) AUTHORITY TO DESIGNATE.—The President is 
authorized to designate an area within Afghanistan or 
Pakistan described in section 402(a)(8) (A) and (B) as 
a Reconstruction Opportunity Zone if the President deter-
mines that— 
(1) Afghanistan or Pakistan, as the case may 
be, meets the eligibility criteria set forth in sub-
section (b); 
(2) Afghanistan or Pakistan, as the case may 
be, meets the eligibility criteria set forth in sub-
section (c) of section 502 of the Trade Act of 1974 
(19 U.S.C. 2462(c)) for designation as a beneficiary 
developing country under that section and is not in-
eligible under subsection (b) of such section; and 
(3) designation of the area as a Reconstruction 
Opportunity Zone is appropriate taking into account 
the factors listed in subsection (c). 
(b) ELIGIBILITY CRITERIA.—Afghanistan or Paki-
stan, as the case may be, meets the eligibility criteria set 
forth in this subsection if that country— 
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(1) has established, or is making continual 
progress toward establishing— 
(A) a market-based economy that protects 
private property rights, incorporates an open 
rules-based trading system, and minimizes gov-
ernment interference in the economy through 
measures such as price controls, subsidies, and 
government ownership of economic assets; 
(B) the rule of law, political pluralism, and 
the right to due process, a fair trial, and equal 
protection under the law; 
(C) economic policies to— 
(i) reduce poverty; 
(ii) increase the availability of health 
care and educational opportunities; 
(iii) expand physical infrastructure; 
(iv) promote the development of pri-
vate enterprise; and 
(v) encourage the formation of capital 
markets through microcredit or other pro-
grams; 
(D) a system to combat corruption and 
bribery, such as ratifying and implementing the 
United Nations Convention Against Corruption; 
and 
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(E) protection of core labor standards and 
acceptable conditions of work with respect to 
minimum wages, hours of work, and occupa-
tional health and safety; 
(2) is eliminating or has eliminated barriers to 
trade and investment, including by— 
(A) providing national treatment and 
measures to create an environment conducive to 
domestic and foreign investment; 
(B) protecting intellectual property; and 
(C) resolving bilateral trade and invest-
ment disputes; 
(3) does not engage in activities that undermine 
United States national security or foreign policy in-
terests; 
(4) does not engage in gross violations of inter-
nationally recognized human rights; 
(5) does not provide support for acts of inter-
national terrorism; and 
(6) cooperates in international efforts to elimi-
nate human rights violations and terrorist activities. 
(c) ADDITIONAL FACTORS.—In determining whether 
to designate an area in Afghanistan or Pakistan as a Re-
construction Opportunity Zone, the President shall take 
into account— 
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(1) an expression by the government of the 
country of its desire to have a particular area des-
ignated as a Reconstruction Opportunity Zone under 
this title; 
(2) the capability of the country to establish a 
program in the area meeting the requirements of 
section 407(d)(3) based on assessments undertaken 
by the Secretary of Labor and the government of the 
country of such factors as— 
(A) the geographical suitability of the area 
for such a program; 
(B) the nature of the labor market in the 
area; 
(C) skills requirements and infrastructure 
needs for operation of such a program in the 
area; and 
(D) all other relevant information; 
(3) whether the government of the country has 
provided the United States with a monitoring and 
enforcement plan outlining specific steps the country 
will take to cooperate with the United States to— 
(A) facilitate legitimate cross-border com-
merce; 
(B) ensure that articles for which duty-free 
treatment is sought pursuant to this title sat-
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isfy the applicable rules of origin described in 
section 404 (c) and (d) or section 405 (c) and 
(d), whichever is applicable; and 
(C) prevent unlawful transshipment, as de-
scribed in section 406(b)(4); 
(4) the potential for such designation to create 
local employment and to promote local and regional 
economic development; 
(5) the physical security of the proposed Recon-
struction Opportunity Zone; 
(6) the economic viability of the proposed Re-
construction Opportunity Zone, including— 
(A) whether there are commitments to fi-
nance economic activity proposed for the Recon-
struction Opportunity Zone; and 
(B) whether there is existing or planned 
infrastructure for power, water, transportation, 
and communications in the area; 
(7) whether such designation would be compat-
ible with and contribute to the foreign policy and na-
tional security objectives of the United States, tak-
ing into account the information provided under sub-
section (d); and 
(8) the views of interested persons submitted 
pursuant to subsection (e). 
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(d) INFORMATION RELATING
TO COMPATIBILITY 
WITH AND CONTRIBUTION TO FOREIGN POLICY AND NA-
TIONAL
SECURITY
OBJECTIVES
OF
THE
UNITED 
STATES.—In determining whether designation of a Recon-
struction Opportunity Zone would be compatible with and 
contribute to the foreign policy and national security ob-
jectives of the United States in accordance with subsection 
(c)(7), the President shall take into account whether Af-
ghanistan or Pakistan, as the case may be, has provided 
the United States with a plan outlining specific steps it 
will take to verify the ownership and nature of the activi-
ties of entities to be located in the proposed Reconstruc-
tion Opportunity Zone. The specific steps outlined in a 
country’s plan shall include a mechanism to annually reg-
ister each entity by a competent authority of the country 
and— 
(1) to collect from each entity operating in, or 
proposing to operate in, a Reconstruction Oppor-
tunity Zone, information including— 
(A) the name and address of the entity; 
(B) the name and location of all facilities 
owned or operated by the entity that are oper-
ating in or proposed to be operating in a Recon-
struction Opportunity Zone; 
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(C) the name, nationality, date and place 
of birth, and position title of each person who 
is an owner, director, or officer of the entity; 
and 
(D) the nature of the activities of each en-
tity; 
(2) to update the information required under 
paragraph (1) as changes occur; and 
(3) to provide such information promptly to the 
Secretary of State. 
(e) OPPORTUNITY FOR PUBLIC COMMENT.—Before 
the President designates an area as a Reconstruction Op-
portunity Zone pursuant to subsection (a), the President 
shall afford an opportunity for interested persons to sub-
mit their views concerning the designation. 
(f) NOTIFICATION TO CONGRESS.—Before the Presi-
dent designates an area as a Reconstruction Opportunity 
Zone pursuant to subsection (a), the President shall notify 
Congress of the President’s intention to make the designa-
tion, together with the reasons for making the designation. 
SEC. 404. DUTY-FREE TREATMENT FOR CERTAIN NONTEX-
TILE AND NONAPPAREL ARTICLES. 
(a) IN GENERAL.—The President is authorized to 
proclaim duty-free treatment for— 
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(1) any article from a Reconstruction Oppor-
tunity Zone that the President has designated as an 
eligible article under section 503(a)(1)(A) of the 
Trade Act of 1974 (19 U.S.C. 2463(a)(1)(A)); 
(2) any article from a Reconstruction Oppor-
tunity Zone located in Afghanistan that the Presi-
dent has designated as an eligible article under sec-
tion 503(a)(1)(B) of the Trade Act of 1974 (19 
U.S.C. 2463(a)(1)(B)); or 
(3) any article from a Reconstruction Oppor-
tunity Zone that is not a textile or apparel article, 
regardless of whether the article has been designated 
as an eligible article under section 503(a)(1)(A) or 
(B) of the Trade Act of 1974 (19 U.S.C. 2463(a)(1) 
(A) or (B)), if, after receiving the advice of the 
International Trade Commission pursuant to sub-
section (b), the President determines that such arti-
cle is not import-sensitive in the context of imports 
from a Reconstruction Opportunity Zone. 
(b) ADVICE CONCERNING CERTAIN ELIGIBLE ARTI-
CLES.—Before proclaiming duty-free treatment for an ar-
ticle pursuant to subsection (a)(3), the President shall 
publish in the Federal Register and provide the Inter-
national Trade Commission a list of articles which may 
be considered for such treatment. The provisions of sec-
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tions 131 through 134 of the Trade Act of 1974 (19 
U.S.C. 2151 through 2154) shall apply to any designation 
under subsection (a)(3) in the same manner as such sec-
tions apply to action taken under section 123 of the Trade 
Act of 1974 (19 U.S.C. 2133) regarding a proposed trade 
agreement. 
(c) GENERAL RULES OF ORIGIN.— 
(1) IN
GENERAL.—The duty-free treatment 
proclaimed with respect to an article described in 
paragraph (1) or (3) of subsection (a) shall apply to 
any article subject to such proclamation which is the 
growth, product, or manufacture of 1 or more Re-
construction Opportunity Zones if— 
(A) that article is imported directly from a 
Reconstruction Opportunity Zone into the cus-
toms territory of the United States; and 
(B)(i) with respect to an article that is an 
article of a Reconstruction Opportunity Zone in 
Pakistan, the sum of— 
(I) the cost or value of the materials 
produced in 1 or more Reconstruction Op-
portunity Zones in Pakistan or Afghani-
stan; 
(II) the direct costs of processing op-
erations performed in 1 or more Recon-
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HR 2410 RFS 
struction Opportunity Zones in Pakistan or 
Afghanistan; and 
(III) the cost or value of materials 
produced in the United States, determined 
in accordance with paragraph (2), 
is not less than 35 percent of the appraised 
value of the article at the time it is entered into 
the United States; or 
(ii) with respect to an article that is an ar-
ticle of a Reconstruction Opportunity Zone in 
Afghanistan, the sum of— 
(I) the cost or value of the materials 
produced in 1 or more Reconstruction Op-
portunity Zones in Pakistan or Afghani-
stan; 
(II) the cost or value of the materials 
produced in 1 or more countries that are 
members of the South Asian Association 
for Regional Cooperation; 
(III) the direct costs of processing op-
erations performed in 1 or more Recon-
struction Opportunity Zones in Pakistan or 
Afghanistan; and 
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(IV) the cost or value of materials 
produced in the United States, determined 
in accordance with paragraph (2), 
is not less than 35 percent of the appraised 
value of the article at the time it is entered into 
the United States. 
(2) DETERMINATION OF 35 PERCENT FOR ARTI-
CLES FROM RECONSTRUCTION OPPORTUNITY ZONES 
IN
PAKISTAN
AND
AFGHANISTAN.—If the cost or 
value of materials produced in the customs territory 
of the United States is included with respect to an 
article described in paragraph (1)(B), for purposes 
of determining the 35-percent appraised value re-
quirement under clause (i) or (ii) of paragraph 
(1)(B), not more than 15 percent of the appraised 
value of the article at the time the article is entered 
into the United States may be attributable to the 
cost or value of such United States materials. 
(d) RULES OF ORIGIN FOR CERTAIN ARTICLES OF 
RECONSTRUCTION OPPORTUNITY ZONES
IN AFGHANI-
STAN.— 
(1) IN
GENERAL.—The duty-free treatment 
proclaimed with respect to an article described in 
paragraph (2) of subsection (a) shall apply to any 
article subject to such proclamation which is the 
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HR 2410 RFS 
growth, product, or manufacture of 1 or more Re-
construction Opportunity Zones in Afghanistan if— 
(A) that article is imported directly from a 
Reconstruction Opportunity Zone in Afghani-
stan into the customs territory of the United 
States; and 
(B) with respect to that article, the sum 
of— 
(i) the cost or value of the materials 
produced in 1 or more Reconstruction Op-
portunity Zones in Afghanistan; 
(ii) the cost or value of the materials 
produced in 1 or more countries that are 
members of the South Asian Association 
for Regional Cooperation; 
(iii) the direct costs of processing op-
erations performed in 1 or more Recon-
struction Opportunity Zones in Afghani-
stan; and 
(iv) the cost or value of materials pro-
duced in the United States, determined in 
accordance with paragraph (2), 
is not less than 35 percent of the appraised 
value of the product at the time it is entered 
into the United States. 
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(2) DETERMINATION OF 35 PERCENT FOR ARTI-
CLES FROM RECONSTRUCTION OPPORTUNITY ZONES 
IN
PAKISTAN
AND
AFGHANISTAN.—If the cost or 
value of materials produced in the customs territory 
of the United States is included with respect to an 
article described in paragraph (1)(B), for purposes 
of determining the 35-percent appraised value re-
quirement under paragraph (1)(B), not more than 
15 percent of the appraised value of the article at 
the time the article is entered into the United States 
may be attributable to the cost or value of such 
United States materials. 
(e) EXCLUSIONS.—An article shall not be treated as 
the growth, product, or manufacture of 1 or more Recon-
struction Opportunity Zones, and no material shall be in-
cluded for purposes of determining the 35-percent ap-
praised value requirement under subsection (c)(1) or 
(d)(1), by virtue of having merely undergone— 
(1) simple combining or packaging operations; 
or 
(2) mere dilution with water or with another 
substance that does not materially alter the charac-
teristics of the article or material. 
(f) DIRECT COSTS OF PROCESSING OPERATIONS.— 
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(1) IN
GENERAL.—As used in subsections 
(c)(1)(B)(i)(II), (c)(1)(B)(ii)(III), and (d)(1)(B)(iii), 
the term ‘‘direct costs of processing operations’’ in-
cludes, but is not limited to— 
(A) all actual labor costs involved in the 
growth, production, manufacture, or assembly 
of the article, including— 
(i) fringe benefits; 
(ii) on-the-job training; and 
(iii) costs of engineering, supervisory, 
quality control, and similar personnel; and 
(B) dies, molds, tooling, and depreciation 
on machinery and equipment which are allo-
cable to the article. 
(2) EXCLUDED COSTS.—As used in subsections 
(c)(1)(B)(i)(II), (c)(1)(B)(ii)(III), and (d)(1)(B)(iii), 
the term ‘‘direct costs of processing operations’’ does 
not include costs which are not directly attributable 
to the article or are not costs of manufacturing the 
article, such as— 
(A) profit; and 
(B) general expenses of doing business 
which are either not allocable to the article or 
are not related to the growth, production, man-
ufacture, or assembly of the article, such as ad-
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ministrative salaries, casualty and liability in-
surance, advertising, and salesmen’s salaries, 
commissions, or expenses. 
(g) REGULATIONS.—The Secretary of the Treasury, 
after consultation with the United States Trade Rep-
resentative, shall prescribe such regulations as may be 
necessary to carry out this section. The regulations may 
provide that, in order for an article to be eligible for duty- 
free treatment under this section, the article— 
(1) shall be wholly the growth, product, or man-
ufacture of 1 or more Reconstruction Opportunity 
Zones; or 
(2) shall be a new or different article of com-
merce which has been grown, produced, or manufac-
tured in 1 or more Reconstruction Opportunity 
Zones. 
SEC. 405. DUTY-FREE TREATMENT FOR CERTAIN TEXTILE 
AND APPAREL ARTICLES. 
(a) DUTY-FREE TREATMENT.—The President is au-
thorized to proclaim duty-free treatment for any textile or 
apparel article described in subsection (b), if— 
(1) the article is a covered article described in 
subsection (b); and 
(2) the President determines that the country 
in which the Reconstruction Opportunity Zone is lo-
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cated has satisfied the requirements set forth in sec-
tion 406. 
(b) COVERED ARTICLES.—A covered article described 
in this subsection is an article in 1 of the following cat-
egories: 
(1) ARTICLES
OF
RECONSTRUCTION
OPPOR-
TUNITY ZONES.—An article that is the product of 1 
or more Reconstruction Opportunity Zones and falls 
within the scope of 1 of the following textile and ap-
parel category numbers, as set forth in the HTS (as 
in effect on September 1, 2007): 
237 .................................
641 ................................
751 
330 .................................
642 ................................
752 
331 .................................
643 ................................
758 
333 .................................
644 ................................
759 
334 .................................
650 ................................
831 
335 ................................
651 ................................
832 
336 ................................
653 ................................
833 
341 .................................
654 ................................
834 
342 .................................
665 ................................
835 
350 .................................
669 ................................
836 
351 .................................
733 ................................
838 
353 .................................
734 ................................
839 
354 .................................
735 ................................
840 
360 .................................
736 ................................
842 
361 .................................
738 ................................
843 
362 .................................
739 ................................
844 
363 .................................
740 ................................
845 
369 .................................
741 ................................
846 
465 .................................
742 ................................
850 
469 .................................
743 ................................
851 
630 .................................
744 ................................
852 
631 .................................
745 ................................
858 
633 .................................
746 ................................
859 
634 .................................
747 ................................
863 
635 .................................
748 ................................
899 
636 .................................
750 
(2) ARTICLES
OF
RECONSTRUCTION
OPPOR-
TUNITY ZONES IN AFGHANISTAN.—The article is the 
product of 1 or more Reconstruction Opportunity 
Zones in Afghanistan and falls within the scope of 
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1 of the following textile and apparel category num-
bers, as set forth in the HTS (as in effect on Sep-
tember 1, 2007): 
201 .................................
439 ................................
459 
414 .................................
440 ................................
464 
431 .................................
442 ................................
670 
433 .................................
444 ................................
800 
434 .................................
445 ................................
810 
435 .................................
446 ................................
870 
436 .................................
448 ................................
871 
438 
(3) CERTAIN
OTHER
TEXTILE
AND
APPAREL 
ARTICLES.—The article is the product of 1 or more 
Reconstruction Opportunity Zones and falls within 
the scope of 1 of the following textile and apparel 
category numbers as set forth in the HTS (as in ef-
fect on September 1, 2007) and is covered by the 
corresponding description for such category: 
(A) CATEGORY 239.—An article in category 
239 (relating to cotton and man-made fiber ba-
bies’ garments) except for baby socks and baby 
booties described in subheading 6111.20.6050, 
6111.30.5050, or 6111.90.5050 of the HTS. 
(B) CATEGORY 338.—An article in category 
338 (relating to men’s and boys’ cotton knit 
shirts) if the article is a certain knit-to-shape 
garment that meets the definition included in 
Statistical Note 6 to Chapter 61 of the HTS, 
and 
is 
provided 
for 
in 
subheading 
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6110.20.1026, 6110.20.2067, or 6110.90.9067 
of the HTS. 
(C) CATEGORY 339.—An article in category 
339 (relating to women’s and girls’ cotton knit 
shirts and blouses) if the article is a knit-to- 
shape garment that meets the definition in-
cluded in Statistical Note 6 to Chapter 61 of 
the HTS, and is provided for in subheading 
6110.20.1031, 6110.20.2077, or 6110.90.9071 
of the HTS. 
(D) CATEGORY
359.—An article in cat-
egory 359 (relating to other cotton apparel) ex-
cept swimwear provided for in subheading 
6112.39.0010, 6112.49.0010, 6211.11.8010, 
6211.11.8020, 6211.12.8010, or 6211.12.8020 
of the HTS. 
(E) CATEGORY 632.—An article in category 
632 (relating to man-made fiber hosiery) if the 
article is panty hose provided for in subheading 
6115.21.0020 of the HTS. 
(F) CATEGORY 638.—An article in category 
638 (relating to men’s and boys’ man-made 
fiber knit shirts) if the article is a knit-to-shape 
garment that meets the definition included in 
Statistical Note 6 to Chapter 61 of the HTS, 
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and 
is 
provided 
for 
in 
subheading 
6110.30.2051, 6110.30.3051, or 6110.90.9079 
of the HTS. 
(G) CATEGORY 639.—An article in category 
639 (relating to women’s and girls’ man-made 
fiber knit shirts and blouses) if the article is a 
knit-to-shape garment that meets the definition 
included in Statistical Note 6 to Chapter 61 of 
the HTS, and is provided for in subheading 
6110.30.2061, 6110.30.3057, or 6110.90.9081 
of the HTS. 
(H) CATEGORY
647.—An article in cat-
egory 647 (relating to men’s and boys’ man- 
made fiber trousers) if the article is ski/ 
snowboard pants that meets the definition in-
cluded in Statistical Note 4 to Chapter 62 of 
the HTS, and is provided for in subheading 
6203.43.3510, 6210.40.5031, or 6211.20.1525 
of the HTS. 
(I) CATEGORY 648.—An article in category 
648 (relating to women’s and girls’ man-made 
fiber trousers) if the article is ski/snowboard 
pants that meets the definition included in Sta-
tistical Note 4 to Chapter 62 of the HTS, and 
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is provided for in subheading 6204.63.3010, 
6210.50.5031, or 6211.20.1555 of the HTS. 
(J) CATEGORY 659.—An article in category 
659 (relating to other man-made fiber apparel) 
except for swimwear provided for in subheading 
6112.31.0010, 6112.31.0020, 6112.41.0010, 
6112.41.0020, 6112.41.0030, 6112.41.0040, 
6211.11.1010, 6211.11.1020, 6211.12.1010, or 
6211.12.1020 of the HTS. 
(K) CATEGORY
666.—An article in cat-
egory 666 (relating to other man-made fiber 
furnishings) except for window shades and win-
dow 
blinds 
provided 
for 
in 
subheading 
6303.12.0010 or 6303.92.2030 of the HTS. 
(4) CERTAIN OTHER ARTICLES.—The article is 
the product of 1 or more Reconstruction Oppor-
tunity Zones and falls within the scope of 1 of the 
following statistical reporting numbers of the HTS 
(as in effect on September 1, 2007): 
4202.12.8010 .................
6210.20.3000 ................
6304.99.1000 
4202.12.8050 .................
6210.20.7000 ................
6304.99.2500 
4202.22.4010 .................
6210.30.3000 ................
6304.99.4000 
4202.22.7000 .................
6210.30.7000 ................
6304.99.6030 
4202.22.8070 .................
6210.40.3000 ................
6306.22.9010 
4202.92.3010 .................
6210.40.7000 ................
6306.29.1100 
4202.92.6010 .................
6210.50.3000 ................
6306.29.2100 
4202.92.9010 .................
6210.50.7000 ................
6306.40.4100 
4202.92.9015 .................
6211.20.0810 ................
6306.40.4900 
5601.29.0010 .................
6211.20.0820 ................
6306.91.0000 
5702.39.2090 .................
6211.32.0003 ................
6306.99.0000 
5702.49.2000 .................
6211.33.0003 ................
6307.10.2030 
5702.50.5900 .................
6211.42.0003 ................
6307.20.0000 
5702.99.2000 .................
6211.43.0003 ................
6307.90.7200 
5703.90.0000 .................
6212.10.3000 ................
6307.90.7500 
5705.00.2090 .................
6212.10.7000 ................
6307.90.8500 
6108.22.1000 .................
6212.90.0050 ................
6307.90.8950 
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6111.90.7000 .................
6213.90.0500 ................
6307.90.8985 
6113.00.1005 .................
6214.10.1000 ................
6310.90.1000 
6113.00.1010 .................
6216.00.0800 ................
6406.99.1580 
6113.00.1012 .................
6216.00.1300 ................
6501.00.6000 
6115.29.4000 .................
6216.00.1900 ................
6502.00.2000 
6115.30.1000 .................
6216.00.2600 ................
6502.00.4000 
6115.99.4000 .................
6216.00.3100 ................
6502.00.9060 
6116.10.0800 .................
6216.00.3500 ................
6504.00.3000 
6116.10.1300 .................
6216.00.4600 ................
6504.00.6000 
6116.10.4400 .................
6217.10.1010 ................
6504.00.9045 
6116.10.6500 .................
6217.10.8500 ................
6504.00.9075 
6116.10.9500 .................
6301.90.0020 ................
6505.10.0000 
6116.92.0800 .................
6302.29.0010 ................
6505.90.8015 
6116.93.0800 .................
6302.39.0020 ................
6505.90.9050 
6116.99.3500 .................
6302.59.3010 ................
6505.90.9076 
6117.10.4000 .................
6302.99.1000 ................
9404.90.2000 
6117.80.3010 .................
6303.99.0030 ................
9404.90.8523 
6117.80.8500 .................
6304.19.3030 ................
9404.90.9523 
6210.10.2000 .................
6304.91.0060 ................
9404.90.9570 
6210.10.7000 
(c) RULES OF ORIGIN FOR CERTAIN COVERED ARTI-
CLES.— 
(1) GENERAL RULES.—Except with respect to 
an article listed in paragraph (2) of subsection (b), 
duty-free treatment may be proclaimed for an article 
listed in subsection (b) only if the article is imported 
directly into the customs territory of the United 
States from a Reconstruction Opportunity Zone 
and— 
(A) the article is wholly the growth, prod-
uct, or manufacture of 1 or more Reconstruc-
tion Opportunity Zones; 
(B) the article is a yarn, thread, twine, 
cordage, rope, cable, or braiding, and— 
(i) the constituent staple fibers are 
spun in; or 
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(ii) the continuous filament fiber is 
extruded in, 
1 or more Reconstruction Opportunity Zones; 
(C) the article is a fabric, including a fab-
ric classifiable under chapter 59 of the HTS, 
and the constituent fibers, filaments, or yarns 
are woven, knitted, needled, tufted, felted, en-
tangled, or transformed by any other fabric- 
making process in 1 or more Reconstruction 
Opportunity Zones; or 
(D) the article is any other textile or ap-
parel article that is cut (or knit-to-shape) and 
sewn or otherwise assembled in 1 or more Re-
construction Opportunity Zones from its compo-
nent pieces. 
(2) SPECIAL RULES.— 
(A) CERTAIN MADE-UP ARTICLES, TEXTILE 
ARTICLES IN THE PIECE, AND CERTAIN OTHER 
TEXTILES AND TEXTILE ARTICLES.—Notwith-
standing paragraph (1)(D) and except as pro-
vided in subparagraphs (C) and (D) of this 
paragraph, subparagraph (A), (B), or (C) of 
paragraph (1), as appropriate, shall determine 
whether a good that is classifiable under 1 of 
the following headings or subheadings of the 
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HR 2410 RFS 
HTS shall be considered to meet the rules of 
origin of this subsection: 5609, 5807, 5811, 
6209.20.50.40, 6213, 6214, 6301, 6302, 6303, 
6304, 6305, 6306, 6307.10, 6307.90, 6308, 
and 9404.90. 
(B) CERTAIN
KNIT-TO-SHAPE
TEXTILES 
AND
TEXTILE
ARTICLES.—Notwithstanding 
paragraph (1)(D) and except as provided in 
subparagraphs (C) and (D) of this paragraph, 
a textile or apparel article that is wholly formed 
on seamless knitting machines or by hand-knit-
ting in 1 or more Reconstruction Opportunity 
Zones shall be considered to meet the rules of 
origin of this subsection. 
(C) CERTAIN
DYED
AND
PRINTED
TEX-
TILES
AND
TEXTILE
ARTICLES.—Notwith-
standing paragraph (1)(D), an article classifi-
able under subheading 6117.10, 6213.00, 
6214.00, 6302.22, 6302.29, 6302.52, 6302.53, 
6302.59, 6302.92, 6302.93, 6302.99, 6303.92, 
6303.99, 
6304.19, 
6304.93, 
6304.99, 
9404.90.85, or 9404.90.95 of the HTS, except 
for an article classifiable under 1 of such sub-
headings as of cotton or of wool or consisting 
of fiber blends containing 16 percent or more 
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HR 2410 RFS 
by weight of cotton, shall be considered to meet 
the rules of origin of this subsection if the fab-
ric in the article is both dyed and printed in 1 
or more Reconstruction Opportunity Zones, and 
such dyeing and printing is accompanied by 2 
or more of the following finishing operations: 
bleaching, shrinking, fulling, napping, decating, 
permanent stiffening, weighting, permanent em-
bossing, or moireing. 
(D) FABRICS OF SILK, COTTON, MAN-MADE 
FIBER, 
OR
VEGETABLE
FIBER.—Notwith-
standing paragraph (1)(C), a fabric classifiable 
under the HTS as of silk, cotton, man-made 
fiber, or vegetable fiber shall be considered to 
meet the rules of origin of this subsection if the 
fabric is both dyed and printed in 1 or more 
Reconstruction Opportunity Zones, and such 
dyeing and printing is accompanied by 2 or 
more of the following finishing operations: 
bleaching, shrinking, fulling, napping, decating, 
permanent stiffening, weighting, permanent em-
bossing, or moireing. 
(d) RULES
OF ORIGIN
FOR COVERED ARTICLES 
THAT ARE PRODUCTS OF 1 OR MORE RECONSTRUCTION 
OPPORTUNITY ZONES IN AFGHANISTAN.— 
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HR 2410 RFS 
(1) GENERAL
RULES.—Duty-free treatment 
may be proclaimed for an article listed in paragraph 
(2) of subsection (b) only if the article is imported 
directly into the customs territory of the United 
States from a Reconstruction Opportunity Zone in 
Afghanistan and— 
(A) the article is wholly the growth, prod-
uct, or manufacture of 1 or more Reconstruc-
tion Opportunity Zones in Afghanistan; 
(B) the article is a yarn, thread, twine, 
cordage, rope, cable, or braiding, and— 
(i) the constituent staple fibers are 
spun in; or 
(ii) the continuous filament fiber is 
extruded in, 
1 or more Reconstruction Opportunity Zones in 
Afghanistan; 
(C) the article is a fabric, including a fab-
ric classifiable under chapter 59 of the HTS, 
and the constituent fibers, filaments, or yarns 
are woven, knitted, needled, tufted, felted, en-
tangled, or transformed by any other fabric- 
making process in 1 or more Reconstruction 
Opportunity Zones in Afghanistan; or 
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HR 2410 RFS 
(D) the article is any other textile or ap-
parel article that is cut (or knit-to-shape) and 
sewn or otherwise assembled in 1 or more Re-
construction Opportunity Zones in Afghanistan 
from its component pieces. 
(2) SPECIAL RULES.— 
(A) CERTAIN MADE-UP ARTICLES, TEXTILE 
ARTICLES IN THE PIECE, AND CERTAIN OTHER 
TEXTILES AND TEXTILE ARTICLES.—Notwith-
standing paragraph (1)(D) and except as pro-
vided in subparagraphs (C) and (D) of this 
paragraph, subparagraph (A), (B), or (C) of 
paragraph (1), as appropriate, shall determine 
whether a good that is classifiable under 1 of 
the following headings or subheadings of the 
HTS shall be considered to meet the rules of 
origin of this subsection: 5609, 5807, 5811, 
6209.20.50.40, 6213, 6214, 6301, 6302, 6303, 
6304, 6305, 6306, 6307.10, 6307.90, 6308, 
and 9404.90. 
(B) CERTAIN
KNIT-TO-SHAPE
TEXTILES 
AND
TEXTILE
ARTICLES.—Notwithstanding 
paragraph (1)(D) and except as provided in 
subparagraphs (C) and (D) of this paragraph, 
a textile or apparel article that is wholly formed 
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on seamless knitting machines or by hand-knit-
ting in 1 or more Reconstruction Opportunity 
Zones in Afghanistan shall be considered to 
meet the rules of origin of this subsection. 
(C) CERTAIN
DYED
AND
PRINTED
TEX-
TILES
AND
TEXTILE
ARTICLES.—Notwith-
standing paragraph (1)(D), an article classifi-
able under subheading 6117.10, 6213.00, 
6214.00, 6302.22, 6302.29, 6302.52, 6302.53, 
6302.59, 6302.92, 6302.93, 6302.99, 6303.92, 
6303.99, 
6304.19, 
6304.93, 
6304.99, 
9404.90.85, or 9404.90.95 of the HTS, except 
for an article classifiable under 1 of such sub-
headings as of cotton or of wool or consisting 
of fiber blends containing 16 percent or more 
by weight of cotton, shall be considered to meet 
the rules of origin of this subsection if the fab-
ric in the article is both dyed and printed in 1 
or more Reconstruction Opportunity Zones in 
Afghanistan, and such dyeing and printing is 
accompanied by 2 or more of the following fin-
ishing operations: bleaching, shrinking, fulling, 
napping, 
decating, 
permanent 
stiffening, 
weighting, permanent embossing, or moireing. 
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(D) FABRICS OF SILK, COTTON, MAN-MADE 
FIBER
OR
VEGETABLE
FIBER.—Notwith-
standing paragraph (1)(C), a fabric classifiable 
under the HTS as of silk, cotton, man-made 
fiber, or vegetable fiber shall be considered to 
meet the rules of origin of this subsection if the 
fabric is both dyed and printed in 1 or more 
Reconstruction Opportunity Zones in Afghani-
stan, and such dyeing and printing is accom-
panied by 2 or more of the following finishing 
operations: bleaching, shrinking, fulling, nap-
ping, decating, permanent stiffening, weighting, 
permanent embossing, or moireing. 
(e) REGULATIONS.—The Secretary of the Treasury, 
after consultation with the United States Trade Rep-
resentative, shall prescribe such regulations as may be 
necessary to carry out this section. 
SEC. 406. PROTECTIONS AGAINST UNLAWFUL TRANS-
SHIPMENT. 
(a) DUTY-FREE TREATMENT CONDITIONED ON EN-
FORCEMENT MEASURES.— 
(1) IN GENERAL.—The duty-free treatment de-
scribed in section 405 shall not be provided to cov-
ered articles that are imported from a Reconstruc-
tion Opportunity Zone in a country unless the Presi-
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dent determines that country meets the following 
criteria: 
(A) The country has adopted— 
(i) an effective visa or electronic cer-
tification system; and 
(ii) domestic laws and enforcement 
procedures applicable to covered articles to 
prevent unlawful transshipment of the arti-
cles and the use of false documents relat-
ing to the importation of the articles into 
the United States. 
(B) The country has enacted legislation or 
promulgated regulations that would permit U.S. 
Customs and Border Protection verification 
teams to have the access necessary to inves-
tigate thoroughly allegations of unlawful trans-
shipment through such country. 
(C) The country agrees to provide U.S. 
Customs and Border Protection with a monthly 
report on shipments of covered articles from 
each producer of those articles in a Reconstruc-
tion Opportunity Zone in that country. 
(D) The country will cooperate fully with 
the United States to address and take action 
necessary to prevent circumvention, as de-
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scribed in Article 5 of the Agreement on Tex-
tiles and Clothing. 
(E) The country agrees to require each 
producer of a covered article in a Reconstruc-
tion Opportunity Zone in that country to reg-
ister with the competent government authority, 
to provide that authority with the following in-
formation, and to update that information as 
changes occur: 
(i) The name and address of the pro-
ducer, including the location of all textile 
or apparel facilities owned or operated by 
that producer in Afghanistan or Pakistan. 
(ii) The telephone number, facsimile 
number, and electronic mail address of the 
producer. 
(iii) The names and nationalities of 
the producer’s owners, directors, and cor-
porate officers, and their positions. 
(iv) The number of employees the pro-
ducer employs and their occupations. 
(v) A general description of the cov-
ered articles of the producer and the pro-
ducer’s production capacity. 
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(vi) The number and type of machines 
the producer uses to produce textile or ap-
parel articles at each facility. 
(vii) The approximate number of 
hours the machines operate per week. 
(viii) The identity of any supplier to 
the producer of textile or apparel goods, or 
fabrics, yarns, or fibers used in the produc-
tion of textile or apparel goods. 
(ix) The name of, and contact infor-
mation for, each of the producer’s cus-
tomers in the United States. 
(F) The country agrees to provide to U.S. 
Customs and Border Protection on a timely 
basis all of the information received by the com-
petent government authority in accordance with 
subparagraph (E) and to provide U.S. Customs 
and Border Protection with an annual update 
of that information. 
(G) The country agrees to require that all 
producers and exporters of covered articles in a 
Reconstruction Opportunity Zone in that coun-
try maintain complete records of the production 
and the export of covered articles, including 
materials used in the production, for at least 5 
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484 
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years after the production or export (as the 
case may be). 
(H) The country agrees to provide, on a 
timely basis, at the request of U.S. Customs 
and Border Protection, documentation estab-
lishing the eligibility of covered articles for 
duty-free treatment under section 405. 
(2) DOCUMENTATION
ESTABLISHING
ELIGI-
BILITY
OF
ARTICLES
FOR
DUTY-FREE
TREAT-
MENT.—For purposes of paragraph (1)(H), docu-
mentation establishing the eligibility of a covered ar-
ticle for duty-free treatment under section 405 in-
cludes documentation such as production records, in-
formation relating to the place of production, the 
number and identification of the types of machinery 
used in production, the number of workers employed 
in production, and certification from both the pro-
ducer and the exporter. 
(b) CUSTOMS PROCEDURES AND ENFORCEMENT.— 
(1) IN GENERAL.— 
(A) REGULATIONS.—The Secretary of the 
Treasury, after consultation with the United 
States Trade Representative, shall promulgate 
regulations setting forth customs procedures 
similar in all material respects to the require-
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485 
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ments of article 502(1) of the NAFTA as im-
plemented pursuant to United States law, which 
shall apply to any importer that claims duty- 
free treatment for an article under section 405. 
(B) DETERMINATION.—In order for arti-
cles produced in a Reconstruction Opportunity 
Zone to qualify for the duty-free treatment 
under section 405, there shall be in effect a de-
termination by the President that Afghanistan 
or Pakistan, as the case may be— 
(i) has implemented and follows; or 
(ii) is making substantial progress to-
ward implementing and following, 
procedures and requirements similar in all ma-
terial respects to the relevant procedures and 
requirements under chapter 5 of the NAFTA. 
(2) CERTIFICATE OF ORIGIN.—A certificate of 
origin that otherwise would be required pursuant to 
the provisions of paragraph (1) shall not be required 
in the case of an article imported under section 405 
if such certificate of origin would not be required 
under article 503 of the NAFTA, as implemented 
pursuant to United States law, if the article were 
imported from Mexico. 
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(3) PENALTIES.—If the President determines, 
based on sufficient evidence, that an entity has en-
gaged in unlawful transshipment described in para-
graph (4), the President shall deny for a period of 
5 years beginning on the date of the determination 
all benefits under section 405 to the entity, any suc-
cessor of the entity, and any other entity owned, op-
erated, or controlled by the principals of the entity. 
(4) UNLAWFUL TRANSSHIPMENT DESCRIBED.— 
For purposes of this section, unlawful transshipment 
occurs when duty-free treatment for a covered article 
has been claimed on the basis of material false infor-
mation concerning the country of origin, manufac-
ture, processing, or assembly of the article or any of 
its components. For purposes of the preceding sen-
tence, false information is material if disclosure of 
the true information would mean or would have 
meant that the article is or was ineligible for duty- 
free treatment under section 405. 
(5) MONITORING
AND
REPORTS
TO
CON-
GRESS.—U.S. Customs and Border Protection shall 
monitor and the Commissioner responsible for U.S. 
Customs and Border Protection shall submit to Con-
gress, not later than March 31 of each year, a report 
on the effectiveness of the visa or electronic certifi-
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487 
HR 2410 RFS 
cation systems and the implementation of legislation 
and regulations described in subsection (a) and on 
measures taken by Afghanistan and Pakistan to pre-
vent circumvention as described in article 5 of the 
Agreement on Textile and Clothing. 
(c) ADDITIONAL CUSTOMS ENFORCEMENT.—U.S. 
Customs and Border Protection shall— 
(1) make available technical assistance to Af-
ghanistan and Pakistan— 
(A) in the development and implementation 
of visa or electronic certification systems, legis-
lation, and regulations described in subsection 
(a)(1)(A) and (B); and 
(B) to train their officials in anti-trans-
shipment enforcement; 
(2) send production verification teams to Af-
ghanistan and Pakistan as necessary; and 
(3) to the extent feasible, place Afghanistan 
and Pakistan on a relevant e-certification program. 
(d) AUTHORIZATION OF APPROPRIATIONS.—To carry 
out subsection (c), there are authorized to be appropriated 
to U.S. Customs and Border Protection $10,000,000 for 
each of the fiscal years 2010 through 2023. 
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HR 2410 RFS 
SEC. 407. TECHNICAL ASSISTANCE, CAPACITY BUILDING, 
COMPLIANCE ASSESSMENT, AND REMEDI-
ATION PROGRAM. 
(a) DEFINITIONS.—In this section: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committee on Finance and the 
Committee on Armed Services of the Senate; 
and 
(B) the Committee on Ways and Means 
and the Committee on Armed Services of the 
House of Representatives. 
(2) TEXTILE
OR
APPAREL
PRODUCER.—The 
term ‘‘textile or apparel producer’’ means a producer 
of a covered article described in section 405(b) that 
is located in a Reconstruction Opportunity Zone. 
(b) ELIGIBILITY.— 
(1) PRESIDENTIAL CERTIFICATION OF COMPLI-
ANCE
BY
AFGHANISTAN
OR
PAKISTAN
WITH
RE-
QUIREMENTS.—Upon the expiration of the 16-month 
period beginning on the date on which the President 
designates an area within Afghanistan or Pakistan, 
as the case may be, as a Reconstruction Opportunity 
Zone under section 403(a), duty-free treatment pro-
claimed under section 404(a) or 405(a) for articles 
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from such Reconstruction Opportunity Zone may re-
main in effect only if the President determines and 
certifies to Congress that Afghanistan or Pakistan, 
as the case may be— 
(A) has implemented the requirements set 
forth in subsections (c) and (d) with respect to 
such Reconstruction Opportunity Zone; and 
(B) has agreed to require textile or apparel 
producers in such Reconstruction Opportunity 
Zone to participate in the program described in 
subsection (d) and has developed a system to 
ensure participation in such program by such 
producers, including by developing and main-
taining the registry described in subsection 
(c)(2)(A). 
(2) EXTENSION.— 
(A) INITIAL
EXTENSION.—The President 
may extend the period for compliance by Af-
ghanistan or Pakistan under paragraph (1) for 
an initial 6-month period if the President— 
(i) determines that Afghanistan or 
Pakistan, as the case may be, has made a 
good faith effort toward implementing the 
requirements set forth in paragraph (1) 
(A) and (B) and has agreed to take addi-
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490 
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tional steps towards implementing such re-
quirements that are satisfactory to the 
President; and 
(ii) provides to the appropriate con-
gressional committees, not later than 30 
days before the last day of the 16-month 
period specified in paragraph (1), a report 
identifying the additional steps that Af-
ghanistan or Pakistan, as the case may be, 
has agreed to take as described in clause 
(i). 
(B) 
SUBSEQUENT
EXTENSIONS.—The 
President may extend the period for compliance 
by Afghanistan or Pakistan under paragraph 
(1) for subsequent 6-month periods if, with re-
spect to each such extension, the President— 
(i) provides an opportunity for public 
comment and a public hearing on the pos-
sible extension not later than 45 days be-
fore the last day of the existing 6-month 
extension; 
(ii) consults with the Secretary of 
Labor and the appropriate congressional 
committees with respect to the possible ex-
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tension not later than 45 days before the 
last day of the existing 6-month extension; 
(iii) determines, taking into account 
any public comments and input received 
during the public hearing described in 
clause (i) and the consultations described 
in clause (ii), that extraordinary cir-
cumstances exist that preclude Afghanistan 
or Pakistan, as the case may be, from 
meeting the requirements set forth in 
paragraph (1) (A) and (B); and 
(iv) publishes in the Federal Register 
a notice that describes— 
(I) 
the 
extraordinary 
cir-
cumstances described in clause (iii); 
(II) the reasons why the extraor-
dinary circumstances preclude Af-
ghanistan or Pakistan, as the case 
may be, from meeting the require-
ments set forth in paragraph (1) (A) 
and (B); and 
(III) the steps Afghanistan or 
Pakistan, as the case may be, will 
take during the 6-month period of the 
extension to implement the require-
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(d) TECHNICAL ASSISTANCE, CAPACITY BUILDING, 
COMPLIANCE
ASSESSMENT, AND
REMEDIATION
PRO-
GRAM.— 
(1) IN GENERAL.—The requirement under this 
subsection is that Afghanistan or Pakistan, as the 
case may be, in cooperation with the entity des-
ignated by the Secretary of Labor under paragraph 
(3)(A)(i), has established a program meeting the re-
quirements under paragraph (3)— 
(A) to assess compliance by textile or ap-
parel producers listed in the registry described 
in subsection (c)(2)(A) with the conditions set 
forth in paragraph (2) and to assist such pro-
ducers in meeting such conditions; and 
(B) to provide assistance to improve the 
capacity of the Government of Afghanistan or 
Pakistan, as the case may be— 
(i) to inspect facilities of textile or ap-
parel producers listed in the registry de-
scribed in subsection (c)(2)(A); and 
(ii) to enforce national labor laws and 
resolve labor disputes, including through 
measures described in paragraph (5). 
(2) CONDITIONS
DESCRIBED.—The conditions 
referred to in paragraph (1) are— 
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(A) compliance with core labor standards; 
and 
(B) compliance with the labor laws of Af-
ghanistan or Pakistan, as the case may be, that 
relate directly to core labor standards and to 
ensuring acceptable conditions of work with re-
spect to minimum wages, hours of work, and 
occupational health and safety. 
(3) REQUIREMENTS.—The requirements for the 
program are that the program— 
(A) is operated by an entity that— 
(i) is designated by the Secretary of 
Labor, in consultation with appropriate of-
ficials of the Government of Afghanistan 
or Pakistan, as the case may be; 
(ii) operates independently of the Gov-
ernment of Afghanistan or Pakistan, as 
the case may be; 
(iii) has expertise relating to moni-
toring of core labor standards; 
(iv) if the entity designated under 
clause (i) is an entity other than the Inter-
national Labor Organization, is subject to 
evaluation by the International Labor Or-
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499 
HR 2410 RFS 
ganization at the request of the Secretary 
of Labor, including— 
(I) annual review of the oper-
ation of the program; and 
(II) annual recommendations to 
the entity operating the program, the 
Government of Afghanistan or Paki-
stan, as the case may be, and the Sec-
retary of Labor to improve the oper-
ation of the program; 
(v) prepares the annual report de-
scribed in paragraph (4); 
(B) is developed through a participatory 
process that includes the labor official described 
in subsection (c) of Afghanistan or Pakistan, as 
the case may be, and appropriate representa-
tives of government agencies, employers, and 
workers; 
(C) assess compliance by each textile or 
apparel producer listed in the registry described 
in subsection (c)(2)(A) with the conditions set 
forth in paragraph (2) and identify any defi-
ciencies by such producer with respect to meet-
ing such conditions, including by— 
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500 
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(i) conducting site visits to facilities of 
the producer; 
(ii) conducting confidential interviews 
with workers and management of the fa-
cilities of the producer; and 
(iii) providing to management and 
workers, and where applicable, worker or-
ganizations of the producer, on a confiden-
tial basis— 
(I) the results of the assessment 
carried out under this subparagraph; 
and 
(II) specific suggestions for reme-
diating any such deficiencies; 
(D) assist the textile or apparel producer 
in remediating any deficiencies identified under 
subparagraph (C); 
(E) conduct prompt follow-up site visits to 
the facilities of the textile or apparel producer 
to assess progress on remediation of any defi-
ciencies identified under subparagraph (C); and 
(F) provide training to workers and man-
agement of the textile or apparel producer, and 
where appropriate, to other persons or entities, 
to promote compliance with paragraph (2). 
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(4) ANNUAL REPORT.—The annual report re-
ferred to in paragraph (3)(A)(v) is a report, by the 
entity operating the program, that is published (and 
available to the public in a readily accessible man-
ner) on an annual basis, beginning 1 year after Af-
ghanistan or Pakistan, as the case may be, has im-
plemented a program under this subsection, covering 
the preceding 1-year period, and that includes the 
following: 
(A) The name of each textile or apparel 
producer listed in the registry described in sub-
section (c)(2)(A) that has been in operation in 
the Reconstruction Opportunity Zone for at 
least 1 year and has been identified as having 
met the conditions under paragraph (2). 
(B) The name of each textile or apparel 
producer listed in the registry described in sub-
section (c)(2)(A) that has been in operation in 
the Reconstruction Opportunity Zone for at 
least 1 year and has been identified as having 
deficiencies with respect to the conditions under 
paragraph (2), and has failed to remedy such 
deficiencies. 
(C) For each textile or apparel producer 
listed under subparagraph (B)— 
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(i) a description of the deficiencies 
found to exist and the specific suggestions 
for remediating such deficiencies made by 
the entity operating the program; 
(ii) a description of the efforts by the 
producer to remediate the deficiencies, in-
cluding a description of assistance provided 
by any entity to assist in such remediation; 
and 
(iii) with respect to deficiencies that 
have not been remediated, the amount of 
time that has elapsed since the deficiencies 
were first identified in a report under this 
subparagraph. 
(D) For each textile or apparel producer 
identified as having deficiencies with respect to 
the conditions described under paragraph (2) in 
a prior report under this paragraph, a descrip-
tion of the progress made in remediating such 
deficiencies since the submission of the prior re-
port, and an assessment of whether any aspect 
of such deficiencies persists. 
(5) CAPACITY
BUILDING.—The assistance to 
the Government of Afghanistan or Pakistan referred 
to in paragraph (1)(B) shall include programs— 
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503 
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(A) to review the labor laws and regula-
tions of Afghanistan or Pakistan, as the case 
may be, and to develop and implement strate-
gies for improving such labor laws and regula-
tions; 
(B) to develop additional strategies for 
protecting core labor standards and providing 
acceptable conditions of work with respect to 
minimum wages, hours of work, and occupa-
tional safety and health, including through 
legal, regulatory, and institutional reform; 
(C) to increase awareness of core labor 
standards and national labor laws; 
(D) to promote consultation and coopera-
tion between government representatives, em-
ployers, worker representatives, and United 
States importers on matters relating to core 
labor standards and national labor laws; 
(E) to assist the labor official of Afghani-
stan or Pakistan, as the case may be, des-
ignated pursuant to subsection (c) in estab-
lishing and coordinating operation of the com-
mittee described in subsection (c)(2)(E); 
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504 
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(F) to assist worker representatives in 
more fully and effectively advocating on behalf 
of their members; and 
(G) to provide on-the-job training and 
technical assistance to labor inspectors, judicial 
officers, and other relevant personnel to build 
their capacity to enforce national labor laws 
and resolve labor disputes. 
(e) COMPLIANCE WITH ELIGIBILITY CRITERIA.— 
(1) COUNTRY COMPLIANCE WITH CORE LABOR 
STANDARDS
ELIGIBILITY
CRITERIA.—In making a 
determination of whether Afghanistan or Pakistan is 
meeting the eligibility requirement set forth in sec-
tion 403(b)(1)(E) relating to core labor standards, 
the President shall consider any reports produced 
under subsection (d)(4) and acceptable conditions of 
work with respect to minimum wages, hours of work, 
and occupational health and safety. 
(2) PRODUCER ELIGIBILITY.— 
(A) IDENTIFICATION OF PRODUCERS.— 
(i) IN GENERAL.—Except as provided 
in clause (ii), beginning 2 years after the 
President makes the certification under 
subsection (b)(1), the President shall iden-
tify on a biennial basis whether a textile or 
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HR 2410 RFS 
apparel producer listed in the registry de-
scribed in subsection (c)(2)(A) and in oper-
ation for at least 1 year has failed to com-
ply with core labor standards and with the 
labor laws of Afghanistan or Pakistan, as 
the case may be, that directly relate to and 
are consistent with core labor standards. 
(ii) EXCEPTION.—The President may 
identify a textile or apparel producer at 
any time under clause (i) if the evidence 
warrants such a review. 
(B) ASSISTANCE
TO
PRODUCERS; WITH-
DRAWAL, ETC., OF DUTY-FREE TREATMENT.— 
For each textile or apparel producer that the 
President identifies under subparagraph (A), 
the President shall seek to assist such producer 
in coming into compliance with core labor 
standards and with the labor laws of Afghani-
stan or Pakistan, as the case may be, that di-
rectly relate to and are consistent with core 
labor standards. If, within a reasonable period 
of time, such efforts fail, the President shall 
withdraw, suspend, or limit the application of 
duty-free treatment to textile and apparel cov-
ered articles of such producer. 
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HR 2410 RFS 
(C) 
REINSTATING
DUTY-FREE
TREAT-
MENT.—If the President, after withdrawing, 
suspending, or limiting the application of duty- 
free treatment under subparagraph (B) to arti-
cles of a textile or apparel producer, determines 
that such producer is complying with core labor 
standards and with the labor laws of Afghani-
stan or Pakistan, as the case may be, that di-
rectly relate to and are consistent with core 
labor standards, the President shall reinstate 
the application of duty-free treatment under 
section 405 to the textile and apparel covered 
articles of such producer. 
(D) CONSIDERATION
OF
REPORTS.—In 
making the identification under subparagraph 
(A) and the determination under subparagraph 
(C), the President shall consider the reports 
made available under subsection (d)(4). 
(f) REPORTS BY THE PRESIDENT.— 
(1) IN GENERAL.—Not later than 1 year after 
the date of the enactment of this Act, and annually 
thereafter, the President shall transmit to the appro-
priate congressional committees a report on the im-
plementation of this section during the preceding 1- 
year period. 
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HR 2410 RFS 
(2) MATTERS TO BE INCLUDED.—Each report 
required by paragraph (1) shall include the fol-
lowing: 
(A) An explanation of the efforts of Af-
ghanistan and Pakistan, the President, and en-
tity designated by the Secretary of Labor to 
carry out this section. 
(B) A summary of each report produced 
under subsection (d)(4) during the preceding 1- 
year period and a summary of the findings con-
tained in such report. 
(C) Identifications made under subsection 
(e)(2)(A) and determinations made under sub-
section (e)(2)(C). 
(g) EVALUATION AND REPORT BY SECRETARY OF 
LABOR.— 
(1) EVALUATION.—The Secretary of Labor 
shall evaluate the monitoring program established 
under this section to determine ways to improve 
adoption and adherence to core labor standards and 
acceptable conditions of work with respect to min-
imum wages, hours of work, and occupational health 
and safety. To the extent that producers of nontex-
tile or nonapparel articles described in section 404 
of this division have established operations in Recon-
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HR 2410 RFS 
struction Opportunity Zones, the report shall also 
evaluate options for expanding the program to in-
clude such producers. 
(2) REPORT.—Not later than 1 year after the 
date on which Afghanistan or Pakistan, as the case 
may be, has implemented a program under this sec-
tion, the Secretary of Labor shall submit to the ap-
propriate congressional committees a report that 
contains the results of the evaluation required under 
paragraph (1) and recommendations to improve the 
program under this section and, if applicable, to ex-
pand the program to include producers of nontextile 
or nonapparel articles. 
(3) AUTHORIZATION
OF
APPROPRIATIONS.— 
There is authorized to be appropriated to the Sec-
retary of Labor such sums as may be necessary to 
carry out this subsection. 
(h) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this section 
(other than subsection (g)) $20,000,000 for the period be-
ginning on October 1, 2009, and ending on September 30, 
2023. 
SEC. 408. PETITION PROCESS. 
Any interested party may file a request to have the 
status of Afghanistan or Pakistan reviewed with respect 
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