H. R. 3547—502 
of the United States Government as authorized in subsection 
(a)(2)(B), and such report shall include the amount of local 
currency (and United States dollar equivalent) used and/or 
to be used for such purpose in each applicable country. 
(b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.— 
(1) If assistance is made available to the government of 
a foreign country, under chapter 1 or 10 of part I or chapter 
4 of part II of the Foreign Assistance Act of 1961, as cash 
transfer assistance or as nonproject sector assistance, that 
country shall be required to maintain such funds in a separate 
account and not commingle them with any other funds. 
(2) APPLICABILITY
OF
OTHER
PROVISIONS
OF
LAW.—Such 
funds may be obligated and expended notwithstanding provi-
sions of law which are inconsistent with the nature of this 
assistance including provisions which are referenced in the 
Joint Explanatory Statement of the Committee of Conference 
accompanying House Joint Resolution 648 (House Report No. 
98–1159). 
(3) NOTIFICATION.—At least 15 days prior to obligating 
any such cash transfer or nonproject sector assistance, the 
President shall submit a notification through the regular 
notification procedures of the Committees on Appropriations, 
which shall include a detailed description of how the funds 
proposed to be made available will be used, with a discussion 
of the United States interests that will be served by the assist-
ance (including, as appropriate, a description of the economic 
policy reforms that will be promoted by such assistance). 
(4) EXEMPTION.—Nonproject sector assistance funds may 
be exempt from the requirements of subsection (b)(1) only 
through the regular notification procedures of the Committees 
on Appropriations. 
ELIGIBILITY FOR ASSISTANCE 
SEC. 7027. (a) ASSISTANCE
THROUGH
NONGOVERNMENTAL 
ORGANIZATIONS.—Restrictions contained in this or any other Act 
with respect to assistance for a country shall not be construed 
to restrict assistance in support of programs of nongovernmental 
organizations from funds appropriated by this Act to carry out 
the provisions of chapters 1, 10, 11, and 12 of part I and chapter 
4 of part II of the Foreign Assistance Act of 1961: Provided, That 
before using the authority of this subsection to furnish assistance 
in support of programs of nongovernmental organizations, the Presi-
dent shall notify the Committees on Appropriations under the reg-
ular notification procedures of those committees, including a 
description of the program to be assisted, the assistance to be 
provided, and the reasons for furnishing such assistance: Provided 
further, That nothing in this subsection shall be construed to alter 
any existing statutory prohibitions against abortion or involuntary 
sterilizations contained in this or any other Act. 
(b) PUBLIC LAW 480.—During fiscal year 2014, restrictions con-
tained in this or any other Act with respect to assistance for 
a country shall not be construed to restrict assistance under the 
Food for Peace Act (Public Law 83–480): Provided, That none of 
the funds appropriated to carry out title I of such Act and made 
available pursuant to this subsection may be obligated or expended
H. R. 3547—503 
except as provided through the regular notification procedures of 
the Committees on Appropriations. 
(c) EXCEPTION.—This section shall not apply— 
(1) with respect to section 620A of the Foreign Assistance 
Act of 1961 or any comparable provision of law prohibiting 
assistance to countries that support international terrorism; 
or 
(2) with respect to section 116 of the Foreign Assistance 
Act of 1961 or any comparable provision of law prohibiting 
assistance to the government of a country that violates inter-
nationally recognized human rights. 
LOCAL COMPETITION 
SEC. 7028. (a) REQUIREMENTS FOR EXCEPTIONS TO COMPETITION 
FOR LOCAL ENTITIES.—Funds appropriated by this Act that are 
made available to the United States Agency for International 
Development (USAID) may only be made available for limited com-
petitions through local entities if— 
(1) prior to the determination to limit competition to local 
entities, USAID has— 
(A) assessed the level of local capacity to effectively 
implement, manage, and account for programs included 
in such competition; and 
(B) documented the written results of the assessment 
and decisions made; and 
(2) prior to making an award after limiting competition 
to local entities— 
(A) each successful local entity has been determined 
to be responsible in accordance with USAID guidelines; 
and 
(B) effective monitoring and evaluation systems are 
in place to ensure that award funding is used for its 
intended purposes; and 
(3) no level of acceptable fraud is assumed. 
(b) In addition to the requirements of paragraph (1), the USAID 
Administrator shall report, on a semi-annual basis, to the appro-
priate congressional committees on all awards subject to limited 
or no competition for local entities: Provided, That such report 
should be posted on the USAID Web site: Provided further, That 
the requirements of this subsection shall only apply to awards 
in excess of $3,000,000 and sole source awards to local entities 
in excess of $2,000,000. 
(c) Section 7077 of division I of Public Law 112–74 shall con-
tinue in effect during fiscal year 2014: Provided, That subsection 
(b) of such section is amended in subsection (b)(3) by striking 
‘‘either’’ and in subsection (b)(3)(A) by striking ‘‘or’’ after the semi-
colon and replacing in lieu thereof ‘‘and’’. 
INTERNATIONAL FINANCIAL INSTITUTIONS 
SEC. 7029. (a) None of the funds appropriated under title V 
of this Act should be made as payment to any international financial 
institution unless the Secretary of the Treasury certifies to the 
Committees on Appropriations that such institution has a policy 
and practice of requiring independent, outside evaluations of each 
project and program loan or grant and significant analytical, non- 
lending activity, and the impact of such loan, grant, or activity
H. R. 3547—504 
on achieving the institution’s goals, including reducing poverty and 
promoting equitable economic growth, consistent with effective safe-
guards. 
(b) None of the funds appropriated under title V of this Act 
may be made as payment to any international financial institution 
while the United States executive director to such institution is 
compensated by the institution at a rate which, together with 
whatever compensation such executive director receives from the 
United States, is in excess of the rate provided for an individual 
occupying a position at level IV of the Executive Schedule under 
section 5315 of title 5, United States Code, or while any alternate 
United States executive director to such institution is compensated 
by the institution at a rate in excess of the rate provided for 
an individual occupying a position at level V of the Executive 
Schedule under section 5316 of title 5, United States Code. 
(c) The Secretary of the Treasury shall instruct the United 
States executive director of each international financial institution 
to oppose any loan, grant, strategy, or policy of such institution 
that would require user fees or service charges on poor people 
for primary education or primary healthcare, including maternal 
and child health, and the prevention, care and treatment of HIV/ 
AIDS, malaria, and tuberculosis in connection with such institu-
tion’s financing programs. 
(d) The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Monetary Fund (IMF) 
to use the voice and vote of the United States to oppose any 
loan, project, agreement, memorandum, instrument, plan, or other 
program of the IMF to a Heavily Indebted Poor Country that 
imposes budget caps or restraints that do not allow the maintenance 
of or an increase in governmental spending on healthcare or edu-
cation; and to promote government spending on healthcare, edu-
cation, agriculture and food security, or other critical safety net 
programs in all of the IMF’s activities with respect to Heavily 
Indebted Poor Countries. 
(e) The Secretary of the Treasury shall instruct the United 
States executive director of each international financial institution 
to seek to ensure that each such institution responds to the findings 
and recommendations of its accountability mechanisms by providing 
just compensation or other appropriate redress to individuals and 
communities that suffer violations of human rights, including forced 
displacement, resulting from any loan, grant, strategy or policy 
of such institution. 
(f) The Secretary of the Treasury shall direct the United States 
executive directors of the World Bank and the Inter-American 
Development Bank to report to the Committees on Appropriations 
not later than 30 days after enactment of this Act and every 
90 days thereafter until September 30, 2014, on the steps being 
taken by such institutions to support implementation of the April 
2010 Reparations Plan for Damages Suffered by the Communities 
Affected by the Construction of the Chixoy Hydroelectric Dam in 
Guatemala. 
(g) For the purposes of this Act ‘‘international financial institu-
tions’’ shall mean the International Bank for Reconstruction and 
Development, the International Development Association, the Inter-
national Finance Corporation, the Inter-American Development 
Bank, the International Monetary Fund, the Asian Development 
Bank, the Asian Development Fund, the Inter-American Investment
H. R. 3547—505 
Corporation, the North American Development Bank, the European 
Bank for Reconstruction and Development, the African Development 
Bank, and the African Development Fund. 
DEBT-FOR-DEVELOPMENT 
SEC. 7030. In order to enhance the continued participation 
of nongovernmental organizations in debt-for-development and debt- 
for-nature exchanges, a nongovernmental organization which is a 
grantee or contractor of the United States Agency for International 
Development may place in interest bearing accounts local currencies 
which accrue to that organization as a result of economic assistance 
provided under title III of this Act and, subject to the regular 
notification procedures of the Committees on Appropriations, any 
interest earned on such investment shall be used for the purpose 
for which the assistance was provided to that organization. 
FINANCIAL MANAGEMENT AND BUDGET TRANSPARENCY 
SEC. 7031. (a) LIMITATION ON DIRECT GOVERNMENT-TO-GOVERN-
MENT ASSISTANCE.— 
(1) Funds appropriated by this Act may be made available 
for direct government-to-government assistance only if— 
(A) each implementing agency or ministry to receive 
assistance has been assessed and is considered to have 
the systems required to manage such assistance and any 
identified vulnerabilities or weaknesses of such agency or 
ministry have been addressed; and 
(i) the recipient agency or ministry employs and 
utilizes staff with the necessary technical, financial, 
and management capabilities; 
(ii) the recipient agency or ministry has adopted 
competitive procurement policies and systems; 
(iii) effective monitoring and evaluation systems 
are in place to ensure that such assistance is used 
for its intended purposes; 
(iv) no level of acceptable fraud is assumed; and 
(v) the government of the recipient country is 
taking steps to publicly disclose on an annual basis 
its national budget, to include income and expendi-
tures; 
(B) the recipient government is in compliance with 
the principles set forth in section 7013 of this Act; 
(C) the recipient agency or ministry is not headed 
or controlled by an organization designated as a foreign 
terrorist organization under section 219 of the Immigration 
and Nationality Act; 
(D) the Government of the United States and the 
government of the recipient country have agreed, in 
writing, on clear and achievable objectives for the use of 
such assistance, which should be made available on a cost- 
reimbursable basis; and 
(E) the recipient government is taking steps to protect 
the rights of civil society, including freedom of association 
and assembly.