sions could inevitably lead the two countries into an-
other round of fratricidal war, the Security Council
has an obligation, arising out of the UN Charter, to
avert such a threat to regional peace and stability.’’.
(12) On October 3, 2003, the United Nations
Security Council wrote to Prime Minister Zenawi
and stated: ‘‘The members of the Security Council
therefore wish to convey to you their deep regret at
the intention of the government of Ethiopia not to
accept the entirety of the delimitation and demarca-
tion decision as decided by the boundary commis-
sion. They note in particular, that Ethiopia has com-
mitted itself under the Algiers Agreements to accept
the boundary decision as final and binding.’’.
(13)(A) In an attempt to resolve the continued
impasse, United Nations Secretary General Kofi
Annan offered his good offices to the two parties
and appointed Mr. Lloyd Axworthy, former Minister
for Foreign Affairs of Canada, to serve as his Spe-
cial Envoy for Ethiopia and Eritrea on January 29,
2004.
(B) Despite the assurances of the United Na-
tions Secretary General, including in his Progress
Reports of March 6, 2004, and July 7, 2004, that
the appointment of the Special Envoy was ‘‘not in-
tended to establish an alternative mechanism to the
Boundary Commission or to renegotiate its final and
binding decision’’, President Isaias of Eritrea has re-
fused to meet with the Special Envoy or otherwise
engage in political dialogue aimed at resolving the
current impasse.
(14) In his July 7, 2004, ‘‘Progress Report’’ to
the United Nations Security Council, Secretary Gen-
eral Kofi Annan reported that the Ethiopian Min-
istry of Foreign Affairs continues to reiterate its po-
sition that ‘‘the current demarcation line would dis-
rupt the lives of border communities and lead to fu-
ture conflict’’.
(15) In that same report, Secretary General
Annan reminded both governments that they them-
selves ‘‘entrusted the Boundary Commission with
the entire demarcation process, drew up its mandate
and selected its Commissioners’’ and called upon the
Government of Ethiopia to ‘‘unequivocally restate its
acceptance of the Boundary Commission’s decision,
appoint field liaison officers, and pay its dues to and
otherwise cooperate fully and expeditiously with the
Commission’’.
SEC. 4. SENSE OF CONGRESS.
It is the sense of Congress that Ethiopia and
Eritrea—
(1) should take all appropriate actions to imple-
ment the Algiers Agreements, including by accepting
the ‘‘Delimitation Decision’’ issued by the neutral
Boundary Commission on April 13, 2002, with re-
spect to the boundary between the two countries;
and
(2) should fully cooperate with the United Na-
tions Special Envoy for Ethiopia-Eritrea, Lloyd
Axworthy, whose mandate is the implementation of
the Algiers Agreements, the Delimitation Decision of
the Boundary Commission, and the relevant resolu-
tions and decisions of the United Nations Security
Council.
SEC. 5. DECLARATIONS OF POLICY.
Congress makes the following declarations:
(1) Congress expresses its support for the
Boundary Commission established by the Com-
prehensive Peace Agreement and calls on the inter-
national community to continue to support the
United Nations trust fund established to facilitate
the process of demarcation between Ethiopia and
Eritrea and the economic and social transition of af-
fected communities to new borders determined by
the Commission.
(2) Congress further declares that it shall be
the policy of the United States to limit United
States assistance for Ethiopia or Eritrea if either
such country is not in compliance with, or is not
taking significant steps to comply with, the terms
and conditions of the Algiers Agreements.
(3) Congress strongly condemns statements by
senior Ethiopian officials criticizing the Boundary
Commission’s decision and calls on the Government
of Ethiopia to immediately and unconditionally fulfill
its commitments under the Algiers Agreements, pub-
licly accept the Boundary Commission’s decision,
and fully cooperate with the implementation of such
decision.
(4) Congress recognizes the acceptance by the
Government of Eritrea of the Boundary Commis-
sion’s decision as final and binding, but condemns
the Government of Eritrea’s continued refusal to
take advantage of the good offices offered by the
United Nations Secretary General, to work with
Special Envoy Lloyd Axworthy, or to otherwise en-
gage in dialogue aimed at resolving the current im-
passe, and calls on the President of Eritrea to do so
without further delay.
SEC. 6. LIMITATIONS ON UNITED STATES ASSISTANCE.
(a) LIMITATION ON ECONOMIC ASSISTANCE.—Eco-
nomic assistance may only be provided for Ethiopia or Eri-
trea for any period of time for which the President deter-
mines that Ethiopia or Eritrea (as the case may be) is
in compliance with, or is taking significant steps to comply
with, the terms and conditions of the Algiers Agreements.
(b) LIMITATION
ON MILITARY ASSISTANCE
AND
ARMS TRANSFERS.—Military assistance and arms trans-
fers may only be provided for Ethiopia or Eritrea for any
period of time for which the President determines that
Ethiopia or Eritrea (as the case may be) is in compliance
with, or is taking significant steps to comply with, the
terms and conditions of the Algiers Agreements.
(c) EXCEPTIONS.—The limitation on assistance
under subsections (a) and (b) shall not apply with respect
to humanitarian assistance (such as food or medical as-
sistance), assistance to protect or promote human rights,
and assistance to prevent, treat, and control HIV/AIDS.
(d) WAIVER.—The President may waive the applica-
tion of subsection (a) or (b) with respect to Ethiopia or
Eritrea, particularly for the provision of peacekeeping as-
sistance or counterterrorism assistance, if the President
determines and certifies to the appropriate congressional
committees that it is in the national interests of the
United States to do so.
SEC. 7. INTEGRATION AND BORDER DEVELOPMENT INITIA-
TIVE.
(a) ASSISTANCE.—After the date on which the border
demarcation between Ethiopia and Eritrea is finalized
(consistent with the decision of the Boundary Commission
established by the Comprehensive Peace Agreement), the
President shall establish and carry out an initiative in con-
junction with the Governments of Ethiopia and Eritrea
under which assistance is provided to reduce the adverse
humanitarian impacts on the populations of the border re-
gion, prevent conflict which might result from the demar-
cation process, and further social and economic develop-
ment projects that are identified and evaluated by local
authorities to establish sustainable integration, develop-
ment, and trade at the border region.
(b) PROJECT EXAMPLES.—Examples of development
projects referred to in subsection (a) are—
(1) 
startup 
initiatives, 
including 
farming
projects, to promote community economic develop-
ment and the free flow of trade across the border be-
tween the two countries;
(2) generous compensation packages for fami-
lies displaced by the border demarcation and support
for relocation;
(3) effective mechanisms for managing move-
ment of persons across the border between the two
countries;
(4) an increase in the supply of basic services
in the border region, including water, sanitation,
housing, health care, and education; and
(5) support for local efforts to reinforce peace
and reconciliation in the border region.
SEC. 8. REPORT.
Until the date on which the border demarcation be-
tween Ethiopia and Eritrea is finalized, the President
shall prepare and transmit on a regular basis to the appro-
priate congressional committees a report that contains a
description of progress being made toward such demarca-
tion, including the extent to which Ethiopia and Eritrea
are in compliance with, or are taking significant steps to
comply with, the terms and conditions of the Algiers
Agreements, and are otherwise cooperating with inter-
nationally-sanctioned efforts to resolve the current im-
passe.
Passed the House of Representatives October 8,
2004.
Attest:
Clerk.
108TH CONGRESS
2D SESSION
H. R. 2760
AN ACT
To limit United States assistance for Ethiopia and
Eritrea if those countries are not in compliance
with the terms and conditions of agreements en-
tered into by the two countries to end hostilities
and provide for a demarcation of the border be-
tween the two countries, and for other purposes.