H. R. 3225
One Hundred Third Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Tuesday,
the fifth day of January, one thousand nine hundred and ninety-three
An Act
To support the transition to nonracial democracy in South Africa.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘South African Democratic Transi-
tion Support Act of 1993’’.
SEC. 2. FINDINGS.
The Congress makes the following findings:
(1) After decades of apartheid, South Africa has entered
a new era which presents a historic opportunity for a transition
to a peaceful, stable, and democratic future.
(2) The United States policy of economic sanctions toward
the apartheid government of South Africa, as expressed in
the Comprehensive Anti-Apartheid Act of 1986, helped bring
about reforms in that system of government and has facilitated
the establishment of a nonracial government.
(3) Through broad and open negotiations, the parties in
South Africa have reached a landmark agreement on the future
of their country. This agreement includes the establishment
of a Transitional Executive Council and the setting of a date
for nonracial elections.
(4) The international community has a vital interest in
supporting the transition from apartheid toward nonracial
democracy.
(5) The success of the transition in South Africa is crucial
to the stability and economic development of the southern Afri-
can region.
(6) Nelson Mandela of the African National Congress and
other representative leaders in South Africa have declared that
the time has come when the international community should
lift all economic sanctions against South Africa.
(7) In light of recent developments, the continuation of
these economic sanctions is detrimental to persons disadvan-
taged by apartheid.
(8) Those calling for the lifting of economic sanctions
against South Africa have made clear that they do not seek
the immediate termination of the United Nations-sponsored
special sanctions relating to arms transfers, nuclear coopera-
tion, and exports of oil. The Ad Hoc Committee on Southern
Africa of the Organization of African Unity, for example, has
urged that the oil embargo established pursuant to a 1986
General Assembly resolution be lifted after the establishment
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H. R. 3225—2
and commencement of the work of the Transitional Executive
Council.
SEC. 3. UNITED STATES POLICY.
It is the sense of the Congress that—
(1) the United States should—
(A) strongly support the Transitional Executive Council
in South Africa,
(B) encourage rapid progress toward the establishment
of a nonracial democratic government in South Africa, and
(C) support a consolidation of democracy in South
Africa through democratic elections for an interim govern-
ment and a new nonracial constitution;
(2) the United States should continue to provide assistance
to support the transition to a nonracial democracy in South
Africa, and should urge international financial institutions and
other donors to also provide such assistance;
(3) to the maximum extent practicable, the United States
should consult closely with international financial institutions,
other donors, and South African entities on a coordinated strat-
egy to support the transition to a nonracial democracy in South
Africa;
(4) in order to provide ownership and managerial opportuni-
ties, professional advancement, training, and employment for
disadvantaged South Africans and to respond to the historical
inequities created under apartheid, the United States should—
(A) promote the expansion of private enterprise and
free markets in South Africa,
(B) encourage the South African private sector to take
a special responsibility and interest in providing such
opportunities, advancement, training, and employment for
disadvantaged South Africans,
(C) encourage United States private sector investment
in and trade with South Africa,
(D) urge United States investors to develop a working
partnership with representative organs of South African
civil society, particularly churches and trade unions, in
promoting responsible codes of corporate conduct and other
measures to address the historical inequities created under
apartheid;
(5) the United States should urge the Government of South
Africa to liberalize its trade and investment policies to facilitate
the expansion of the economy, and to shift resources to meet
the needs of disadvantaged South Africans;
(6) the United States should promote cooperation between
South Africa and other countries in the region to foster regional
stability and economic growth; and
(7) the United States should demonstrate its support for
an expedited transition to, and should adopt a long term policy
beneficial to the establishment and perpetuation of, a nonracial
democracy in South Africa.
SEC. 4. REPEAL OF APARTHEID SANCTIONS LAWS AND OTHER MEAS-
URES DIRECTED AT SOUTH AFRICA.
(a) COMPREHENSIVE ANTI-APARTHEID ACT.—
(1) IN GENERAL.—All provisions of the Comprehensive Anti-
Apartheid Act of 1986 (22 U.S.C. 5001 and following) are
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H. R. 3225—3
repealed as of the date of enactment of this Act, except for
the sections specified in paragraph (2).
(2) EFFECTIVE
DATE
OF
REPEAL
OF
CODE
OF
CONDUCT
REQUIREMENTS.—Sections 1, 3, 203(a), 203(b), 205, 207, 208,
601, 603, and 604 of the Comprehensive Anti-Apartheid Act
of 1986 are repealed as of the date on which the President
certifies to the Congress that an interim government, elected
on a nonracial basis through free and fair elections, has taken
office in South Africa.
(3) CONFORMING AMENDMENTS.—(A) Section 3 of the Com-
prehensive Anti-Apartheid Act of 1986 is amended by striking
paragraphs (2) through (4) and paragraphs (7) through (9),
by inserting ‘‘and’’ at the end of paragraph (5), and by striking
‘‘; and’’ at the end of paragraph (6) and inserting a period.
(B) The following provisions of the Foreign Assistance Act
of 1961 that were enacted by the Comprehensive Anti-Apartheid
Act of 1986 are repealed: subsections (e)(2), (f), and (g) of
section 116 (22 U.S.C. 2151n); section 117 (22 U.S.C. 2151o),
relating to assistance for disadvantaged South Africans; and
section 535 (22 U.S.C. 2346d). Section 116(e)(1) of the Foreign
Assistance Act of 1961 is amended by striking ‘‘(1)’’.
(b) OTHER PROVISIONS.—The following provisions are repealed
or amended as follows:
(1) Subsections (c) and (d) of section 802 of the International
Security and Development Cooperation Act of 1985 (99 Stat.
261) is repealed.
(2) Section 211 of the Foreign Relations Authorization Act,
Fiscal Years 1986 and 1987 (99 Stat. 432) is repealed, and
section 1(b) of that Act is amended by striking the item in
the table of contents relating to section 211.
(3) Sections 1223 and 1224 of the Foreign Relations
Authorization Act, Fiscal Years 1988 and 1989 (101 Stat. 1415)
is repealed, and section 1(b) of that Act is amended by striking
the items in the table of contents relating to sections 1223
and 1224.
(4) Section 362 of the Foreign Relations Authorization Act,
Fiscal Years 1992 and 1993 (105 Stat. 716) is repealed, and
section 2 of that Act is amended by striking the item in the
table of contents relating to section 362.
(5) Section 2(b)(9) of the Export-Import Bank Act of 1945
(12 U.S.C. 635(b)(9)) is repealed.
(6) Section 43 of the Bretton Woods Agreements Act (22
U.S.C. 286aa) is amended by repealing subsection (b) and by
striking ‘‘(a)’’.
(7) Section 330 of H.R. 5205 of the 99th Congress (Depart-
ment of Transportation and Related Agencies Appropriations
Act, 1987) (22 U.S.C. 5056a) as incorporated by reference in
section 101(l) of Public Law 99–500 and Public Law 99–591,
and made effective as if enacted into law by section 106 of
Public Law 100–202, is repealed.
(8)(A) Section 901(j)(2)(C) of the Internal Revenue Code
of 1986 (26 U.S.C. 901(j)(2)(C)) is repealed.
(B) Subparagraph (A) shall not be construed as affecting
any of the transitional rules contained in Revenue Ruling 92–
62 which apply by reason of the termination of the period
for which section 901(j) of the Internal Revenue Code of 1986
was applicable to South Africa.
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H. R. 3225—4
(9) The table in section 502(b) of the Trade Act of 1974
(19 U.S.C. 2462(b)) is amended by striking ‘‘Republic of South
Africa’’.
(c) SANCTIONS
MEASURES
ADOPTED
BY
STATE
OR
LOCAL
GOVERNMENTS OR PRIVATE ENTITIES.—
(1) POLICY
REGARDING
RESCISSION.—The Congress urges
all State or local governments and all private entities in the
United States that have adopted any restriction on economic
interactions with South Africa, or any policy discouraging such
interaction, to rescind such restriction or policy.
(2) REPEAL OF PROVISIONS RELATING TO WITHHOLDING FED-
ERAL FUNDS.—Effective October 1, 1995, the following provi-
sions are repealed:
(A) The undesignated paragraph entitled ‘‘STATE AND
LOCAL ANTI-APARTHEID POLICIES’’ in chapter IX of the Dire
Emergency Supplemental Appropriations and Transfers,
Urgent Supplementals, and Correcting Enrollment Errors
Act of 1989 (22 U.S.C. 5117).
(B) Section 210 of the Urgent Supplemental Appropria-
tions Act, 1986 (100 Stat. 749).
(d) CONTINUATION OF UN SPECIAL SANCTIONS.—It is the sense
of the Congress that the United States should continue to respect
United Nations Security Council resolutions on South Africa, includ-
ing the resolution providing for a mandatory embargo on arms
sales to South Africa and the resolutions relating to the import
of arms, restricting exports to the South African military and police,
and urging states to refrain from nuclear cooperation that would
contribute to the manufacture and development by South Africa
of nuclear weapons or nuclear devices.
SEC. 5. UNITED STATES ASSISTANCE FOR THE TRANSITION TO A
NONRACIAL DEMOCRACY.
(a) IN GENERAL.—The President is authorized and encouraged
to provide assistance under chapter 10 of part I of the Foreign
Assistance Act of 1961 (relating to the Development Fund for Africa)
or chapter 4 of part II of that Act (relating to the Economic Support
Fund) to support the transition to nonracial democracy in South
Africa. Such assistance shall—
(1) focus on building the capacity of disadvantaged South
Africans to take their rightful place in the political, social,
and economic systems of their country;
(2) give priority to working with and through South African
nongovernmental organizations whose leadership and staff rep-
resent the majority population and which have the support
of the disadvantaged communities being served by such
organizations;
(3) in the case of education programs—
(A) be used to increase the capacity of South African
institutions to better serve the needs of individuals dis-
advantaged by apartheid;
(B) emphasize education within South Africa to the
extent that assistance takes the form of scholarships for
disadvantaged South African students; and
(C) fund nontraditional training activities;
(4) support activities to prepare South Africa for elections,
including voter and civic education programs, political party
building, and technical electoral assistance;
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H. R. 3225—5
(5) support activities and entities, such as the Peace Accord
structures, which are working to end the violence in South
Africa; and
(6) support activities to promote human rights, democra-
tization, and a civil society.
(b) GOVERNMENT OF SOUTH AFRICA.—
(1) LIMITATION
ON
ASSISTANCE.—Except as provided in
paragraph (2), assistance provided in accordance with this sec-
tion may not be made available to the Government of South
Africa, or organizations financed and substantially controlled
by that government, unless the President certifies to the Con-
gress that an interim government that was elected on a
nonracial basis through free and fair elections has taken office
in South Africa.
(2) EXCEPTIONS.—Notwithstanding paragraph (1), assist-
ance may be provided for—
(A) the Transitional Executive Council;
(B) South African higher education institutions,
particularly those traditionally disadvantaged by apartheid
policies; and
(C) any other organization, entity, or activity if the
President determines that the assistance would promote
the transition to nonracial democracy in South Africa.
Any determination under subparagraph (C) should be based
on consultations with South African individuals and organiza-
tions representative of the majority population in South Africa
(particularly consultations through the Transitional Executive
Council) and consultations with the appropriate congressional
committees.
(c) INELIGIBLE ORGANIZATIONS.—
(1) ACTS OF VIOLENCE.—An organization that has engaged
in armed struggle or other acts of violence shall not be eligible
for assistance provided in accordance with this section unless
that organization is committed to a suspension of violence
in the context of progress toward nonracial democracy.
(2) VIEWS INCONSISTENT WITH DEMOCRACY AND FREE ENTER-
PRISE.—Assistance provided in accordance with this section may
not be made available to any organization that has espoused
views inconsistent with democracy and free enterprise unless
such organization is engaged actively and positively in the
process of transition to a nonracial democracy and such assist-
ance would advance the United States objective of promoting
democracy and free enterprise in South Africa.
SEC. 6. UNITED STATES INVESTMENT AND TRADE.
(a) TAX TREATY.—The President should begin immediately to
negotiate a tax treaty with South Africa to facilitate United States
investment in that country.
(b) OPIC.—The President should immediately initiate negotia-
tions with the Government of South Africa for an agreement
authorizing the Overseas Private Investment Corporation to carry
out programs with respect to South Africa in order to expand
United States investment in that country.
(c) TRADE AND DEVELOPMENT AGENCY.—In carrying out section
661 of the Foreign Assistance Act of 1961, the Director of the
Trade and Development Agency should provide additional funds
for activities related to projects in South Africa.
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H. R. 3225—6
(d) EXPORT-IMPORT BANK.—The Export-Import Bank of the
United States should expand its activities in connection with exports
to South Africa.
(e) PROMOTING DISADVANTAGED ENTERPRISES.—
(1) INVESTMENT AND TRADE PROGRAMS.—Each of the agen-
cies referred to in subsections (b) through (d) should take
active steps to encourage the use of its programs to promote
business enterprises in South Africa that are majority-owned
by South Africans disadvantaged by apartheid.
(2) UNITED STATES GOVERNMENT PROCUREMENT.—To the
extent not inconsistent with the obligations of the United States
under any international agreement, the Secretary of State and
the head of any other department or agency of the United
States carrying out activities in South Africa shall, to the
maximum extent practicable, in procuring goods or services,
make affirmative efforts to assist business enterprises having
more than 50 percent beneficial ownership by South African
blacks or other nonwhite South Africans, notwithstanding any
law relating to the making or performance of, or the expenditure
of funds for, United States Government contracts.
SEC. 7. INFORMATION AND EDUCATIONAL EXCHANGE PROGRAMS.
The Director of the United States Information Agency should
use the authorities of the United States Information and Edu-
cational Exchange Act of 1948 to promote the development of a
nonracial democracy in South Africa.
SEC. 8. OTHER COOPERATIVE AGREEMENTS.
In addition to the actions specified in the preceding sections
of this Act, the President should seek to conclude cooperative agree-
ments with South Africa on a range of issues, including cultural
and scientific issues.
SEC. 9. INTERNATIONAL 
FINANCIAL 
INSTITUTIONS 
AND 
OTHER
DONORS.
(a) IN GENERAL.—The President should encourage other donors,
particularly Japan and the European Community countries, to
expand their activities in support of the transition to nonracial
democracy in South Africa.
(b) INTERNATIONAL FINANCIAL INSTITUTIONS.—The Secretary of
the Treasury should instruct the United States Executive Director
of each relevant international financial institution, including the
International Bank for Reconstruction and Development and the
International Development Association, to urge that institution to
initiate or expand its lending and other financial assistance activi-
ties to South Africa in order to support the transition to nonracial
democracy in South Africa.
(c) TECHNICAL ASSISTANCE.—The Secretary of the Treasury
should instruct the United States Executive Director of each rel-
evant international financial institution to urge that institution
to fund programs to initiate or expand technical assistance to South
Africa for the purpose of training the people of South Africa in
government management techniques.
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H. R. 3225—7
SEC. 10. CONSULTATION WITH SOUTH AFRICANS.
In carrying out this Act, the President should consult closely
with South African individuals and organizations representative
of the majority population in South Africa (particularly consulta-
tions through the Transitional Executive Council) and others
committed to abolishing the remnants of apartheid.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.
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