H. R. 2029—530 
assure the Comptroller General of the United States will have 
access to appropriate United States financial information in order 
to review the uses of United States assistance for the Program 
funded under the heading ‘‘Economic Support Fund’’ for the West 
Bank and Gaza. 
(b) VETTING.—Prior to the obligation of funds appropriated 
by this Act under the heading ‘‘Economic Support Fund’’ for assist-
ance for the West Bank and Gaza, the Secretary of State shall 
take all appropriate steps to ensure that such assistance is not 
provided to or through any individual, private or government entity, 
or educational institution that the Secretary knows or has reason 
to believe advocates, plans, sponsors, engages in, or has engaged 
in, terrorist activity nor, with respect to private entities or edu-
cational institutions, those that have as a principal officer of the 
entity’s governing board or governing board of trustees any indi-
vidual that has been determined to be involved in, or advocating 
terrorist activity or determined to be a member of a designated 
foreign terrorist organization: Provided, That the Secretary of State 
shall, as appropriate, establish procedures specifying the steps to 
be taken in carrying out this subsection and shall terminate assist-
ance to any individual, entity, or educational institution which 
the Secretary has determined to be involved in or advocating ter-
rorist activity. 
(c) PROHIBITION.— 
(1) RECOGNITION
OF
ACTS
OF
TERRORISM.—None of the 
funds appropriated under titles III through VI of this Act 
for assistance under the West Bank and Gaza Program may 
be made available for the purpose of recognizing or otherwise 
honoring individuals who commit, or have committed acts of 
terrorism. 
(2) SECURITY ASSISTANCE AND REPORTING REQUIREMENT.— 
Notwithstanding any other provision of law, none of the funds 
made available by this or prior appropriations Acts, including 
funds made available by transfer, may be made available for 
obligation for security assistance for the West Bank and Gaza 
until the Secretary of State reports to the Committees on Appro-
priations on the benchmarks that have been established for 
security assistance for the West Bank and Gaza and reports 
on the extent of Palestinian compliance with such benchmarks. 
(d) AUDITS BY THE UNITED STATES AGENCY FOR INTERNATIONAL 
DEVELOPMENT.— 
(1) The Administrator of the United States Agency for 
International Development shall ensure that Federal or non- 
Federal audits of all contractors and grantees, and significant 
subcontractors and sub-grantees, under the West Bank and 
Gaza Program, are conducted at least on an annual basis 
to ensure, among other things, compliance with this section. 
(2) Of the funds appropriated by this Act up to $500,000 
may be used by the Office of Inspector General of the United 
States Agency for International Development for audits, inspec-
tions, and other activities in furtherance of the requirements 
of this subsection: Provided, That such funds are in addition 
to funds otherwise available for such purposes. 
(e) COMPTROLLER GENERAL OF THE UNITED STATES AUDIT.— 
Subsequent to the certification specified in subsection (a), the Comp-
troller General of the United States shall conduct an audit and 
an investigation of the treatment, handling, and uses of all funds
H. R. 2029—531 
for the bilateral West Bank and Gaza Program, including all funds 
provided as cash transfer assistance, in fiscal year 2016 under 
the heading ‘‘Economic Support Fund’’, and such audit shall 
address— 
(1) the extent to which such Program complies with the 
requirements of subsections (b) and (c); and 
(2) an examination of all programs, projects, and activities 
carried out under such Program, including both obligations 
and expenditures. 
(f) NOTIFICATION PROCEDURES.—Funds made available in this 
Act for West Bank and Gaza shall be subject to the regular notifica-
tion procedures of the Committees on Appropriations. 
(g) REPORT.—Not later than 180 days after enactment of this 
Act, the Secretary of State shall submit a report to the Committees 
on Appropriations updating the report contained in section 2106 
of chapter 2 of title II of the Emergency Supplemental Appropria-
tions Act for Defense, the Global War on Terror, and Tsunami 
Relief, 2005 (Public Law 109–13). 
LIMITATION ON ASSISTANCE FOR THE PALESTINIAN AUTHORITY 
SEC. 7040. (a) PROHIBITION
OF FUNDS.—None of the funds 
appropriated by this Act to carry out the provisions of chapter 
4 of part II of the Foreign Assistance Act of 1961 may be obligated 
or expended with respect to providing funds to the Palestinian 
Authority. 
(b) WAIVER.—The prohibition included in subsection (a) shall 
not apply if the President certifies in writing to the Speaker of 
the House of Representatives, the President pro tempore of the 
Senate, and the Committees on Appropriations that waiving such 
prohibition is important to the national security interest of the 
United States. 
(c) PERIOD OF APPLICATION OF WAIVER.—Any waiver pursuant 
to subsection (b) shall be effective for no more than a period of 
6 months at a time and shall not apply beyond 12 months after 
the enactment of this Act. 
(d) REPORT.—Whenever the waiver authority pursuant to sub-
section (b) is exercised, the President shall submit a report to 
the Committees on Appropriations detailing the justification for 
the waiver, the purposes for which the funds will be spent, and 
the accounting procedures in place to ensure that the funds are 
properly disbursed: Provided, That the report shall also detail the 
steps the Palestinian Authority has taken to arrest terrorists, con-
fiscate weapons and dismantle the terrorist infrastructure. 
(e) CERTIFICATION.—If the President exercises the waiver 
authority under subsection (b), the Secretary of State must certify 
and report to the Committees on Appropriations prior to the obliga-
tion of funds that the Palestinian Authority has established a 
single treasury account for all Palestinian Authority financing and 
all financing mechanisms flow through this account, no parallel 
financing mechanisms exist outside of the Palestinian Authority 
treasury account, and there is a single comprehensive civil service 
roster and payroll, and the Palestinian Authority is acting to 
counter incitement of violence against Israelis and is supporting 
activities aimed at promoting peace, coexistence, and security 
cooperation with Israel.
H. R. 2029—532 
(f) PROHIBITION
TO HAMAS
AND
THE PALESTINE LIBERATION 
ORGANIZATION.— 
(1) None of the funds appropriated in titles III through 
VI of this Act may be obligated for salaries of personnel of 
the Palestinian Authority located in Gaza or may be obligated 
or expended for assistance to Hamas or any entity effectively 
controlled by Hamas, any power-sharing government of which 
Hamas is a member, or that results from an agreement with 
Hamas and over which Hamas exercises undue influence. 
(2) Notwithstanding the limitation of paragraph (1), assist-
ance may be provided to a power-sharing government only 
if the President certifies and reports to the Committees on 
Appropriations that such government, including all of its min-
isters or such equivalent, has publicly accepted and is complying 
with the principles contained in section 620K(b)(1) (A) and 
(B) of the Foreign Assistance Act of 1961, as amended. 
(3) The President may exercise the authority in section 
620K(e) of the Foreign Assistance Act of 1961, as added by 
the Palestinian Anti-Terrorism Act of 2006 (Public Law 109– 
446) with respect to this subsection. 
(4) Whenever the certification pursuant to paragraph (2) 
is exercised, the Secretary of State shall submit a report to 
the Committees on Appropriations within 120 days of the cer-
tification and every quarter thereafter on whether such govern-
ment, including all of its ministers or such equivalent are 
continuing to comply with the principles contained in section 
620K(b)(1) (A) and (B) of the Foreign Assistance Act of 1961, 
as amended: Provided, That the report shall also detail the 
amount, purposes and delivery mechanisms for any assistance 
provided pursuant to the abovementioned certification and a 
full accounting of any direct support of such government. 
(5) None of the funds appropriated under titles III through 
VI of this Act may be obligated for assistance for the Palestine 
Liberation Organization. 
MIDDLE EAST AND NORTH AFRICA 
SEC. 7041. (a) EGYPT.— 
(1) CERTIFICATION AND REPORT.—Funds appropriated by 
this Act that are available for assistance for Egypt may be 
made available notwithstanding any other provision of law 
restricting assistance for Egypt, except for this subsection and 
section 620M of the Foreign Assistance Act of 1961, and may 
only be made available for assistance for the Government of 
Egypt if the Secretary of State certifies and reports to the 
Committees on Appropriations that such government is— 
(A) sustaining the strategic relationship with the 
United States; and 
(B) meeting its obligations under the 1979 Egypt-Israel 
Peace Treaty. 
(2) ECONOMIC SUPPORT FUND.— 
(A) FUNDING.—Of the funds appropriated by this Act 
under the heading ‘‘Economic Support Fund’’, up to 
$150,000,000 may be made available for assistance for 
Egypt, of which not less than $35,000,000 should be made 
available for higher education programs including not less
H. R. 2029—533 
than $10,000,000 for scholarships at not-for-profit institu-
tions for Egyptian students with high financial need: Pro-
vided, That such funds may be made available for democ-
racy programs and for development programs in the Sinai: 
Provided further, That such funds may not be made avail-
able for cash transfer assistance or budget support unless 
the Secretary of State certifies and reports to the appro-
priate congressional committees that the Government of 
Egypt is taking consistent and effective steps to stabilize 
the economy and implement market-based economic 
reforms. 
(B) WITHHOLDING.—The Secretary of State shall with-
hold from obligation funds appropriated by this Act under 
the heading ‘‘Economic Support Fund’’ for assistance for 
Egypt, an amount of such funds that the Secretary deter-
mines to be equivalent to that expended by the United 
States Government for bail, and by nongovernmental 
organizations for legal and court fees, associated with 
democracy-related trials in Egypt until the Secretary cer-
tifies and reports to the Committees on Appropriations 
that the Government of Egypt has dismissed the convictions 
issued by the Cairo Criminal Court on June 4, 2013, in 
‘‘Public Prosecution Case No. 1110 for the Year 2012’’. 
(3) FOREIGN MILITARY FINANCING PROGRAM.— 
(A) CERTIFICATION.—Of the funds appropriated by this 
Act under the heading ‘‘Foreign Military Financing Pro-
gram’’, $1,300,000,000, to remain available until September 
30, 2017, may be made available for assistance for Egypt: 
Provided, That 15 percent of such funds shall be withheld 
from obligation until the Secretary of State certifies and 
reports to the Committees on Appropriations that the 
Government of Egypt is taking effective steps to— 
(i) advance democracy and human rights in Egypt, 
including to govern democratically and protect religious 
minorities and the rights of women, which are in addi-
tion to steps taken during the previous calendar year 
for such purposes; 
(ii) implement reforms that protect freedoms of 
expression, 
association, 
and 
peaceful 
assembly, 
including the ability of civil society organizations and 
the media to function without interference; 
(iii) 
release 
political 
prisoners 
and 
provide 
detainees with due process of law; 
(iv) hold Egyptian security forces accountable, 
including officers credibly alleged to have violated 
human rights; and 
(v) provide regular access for United States offi-
cials to monitor such assistance in areas where the 
assistance is used: 
Provided further, That such funds may be transferred to 
an interest bearing account in the Federal Reserve Bank 
of New York, following consultation with the Committees 
on Appropriations: Provided further, That the certification 
requirement of this paragraph shall not apply to funds 
appropriated by this Act under such heading for counterter-
rorism, border security, and nonproliferation programs for 
Egypt.