106 
strengthened, as appropriate, to reflect best prac-
tices: Provided further, That the Secretary shall 
make an annual determination of ‘‘progress’’ or ‘‘no 
progress’’ for countries that do not meet minimum 
standards of fiscal transparency and make those de-
terminations publicly available in an annual ‘‘Fiscal 
Transparency Report’’. 
(2) MINIMUM STANDARDS OF FISCAL TRANS-
PARENCY.—For purposes of paragraph (1), ‘‘min-
imum standards of fiscal transparency’’ shall include 
standards for the public disclosure of budget docu-
mentation, including receipts and expenditures by 
ministry, and government contracts and licenses for 
natural resource extraction, to include bidding and 
concession allocation practices. 
(3) WAIVER.—The Secretary of State may 
waive the limitation on funding in paragraph (1) on 
a country-by-country basis if the Secretary reports 
to the Committees on Appropriations that the waiver 
is important to the national interest of the United 
States: Provided, That such waiver shall identify any 
steps taken by the government of the country to 
publicly disclose its national budget and contracts 
which are additional to those which were undertaken 
in previous fiscal years, include specific rec-
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107 
ommendations of short- and long-term steps such 
government can take to improve budget trans-
parency, and identify benchmarks for measuring 
progress. 
(4) ASSISTANCE.—Of the funds appropriated 
under title III of this Act, not less than $5,000,000 
should be made available for programs and activities 
to assist the central governments of countries named 
in the list required by paragraph (1) to improve 
budget transparency or to support civil society orga-
nizations in such countries that promote budget 
transparency: Provided, That such sums shall be in 
addition to funds otherwise made available for such 
purposes. 
(c) ANTI-KLEPTOCRACY.— 
(1) Officials of foreign governments and their 
immediate family members who the Secretary of 
State has credible information have been involved in 
significant corruption, including corruption related 
to the extraction of natural resources, shall be ineli-
gible for entry into the United States. 
(2) Individuals shall not be ineligible if entry 
into the United States would further important 
United States law enforcement objectives or is nec-
essary to permit the United States to fulfill its obli-
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108 
gations under the United Nations Headquarters 
Agreement: Provided, That nothing in this para-
graph shall be construed to derogate from United 
States Government obligations under applicable 
international agreements. 
(3) The Secretary of State may waive the appli-
cation of paragraph (1) if the Secretary determines 
that the waiver would serve a compelling national in-
terest or that the circumstances which caused the in-
dividual to be ineligible have changed sufficiently. 
(4) Not later than 90 days after enactment of 
this Act and 180 days thereafter, the Secretary of 
State shall submit a report, in classified form if nec-
essary, to the Committees on Appropriations describ-
ing the information regarding corruption concerning 
each of the individuals found ineligible pursuant to 
paragraph (1), a list of any waivers provided under 
paragraph (3), and the justification for each waiver. 
PROMOTION OF DEMOCRACY 
SEC. 7032. (a)(1) Of the funds appropriated in this 
Act, not less than $2,839,000,000 should be made avail-
able for the promotion of democracy as defined in para-
graph (3). 
(2) Funds made available by this Act that are 
made available for the promotion of democracy may 
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109 
be made available notwithstanding any other provi-
sion of law, and with regard to the National Endow-
ment for Democracy, any regulation. 
(3) For the purposes of funds appropriated by 
this Act, the term ‘‘promotion of democracy’’ means 
programs that support good governance, human 
rights, independent media, and the rule of law, and 
otherwise strengthen the capacity of democratic po-
litical parties, governments, nongovernmental organi-
zations and institutions, and citizens to support the 
development of democratic states, institutions, and 
practices that are responsive and accountable to citi-
zens. 
(4) With respect to the provision of assistance 
for democracy, human rights, and governance activi-
ties in this Act, the organizations implementing such 
assistance and the specific nature of that assistance 
shall not be subject to the prior approval by the gov-
ernment of any foreign country: Provided, That the 
Secretary of State, in coordination with the Admin-
istrator of the United States Agency for Inter-
national Development (USAID), shall report to the 
Committees on Appropriations, not later than 120 
days after enactment of this Act, detailing steps 
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110 
taken by the Department of State and USAID to 
comply with the requirements of this subsection. 
(5) With respect to the provision of assistance 
to build institutional capacity of a government, as-
sistance should only be available if such government 
is sincere in the pursuit of democracy. 
(6) Funds appropriated by this Act that are 
made available to promote democracy and human 
rights shall also be made available to support free-
dom of religion, especially in the Middle East and 
North Africa. 
(b) None of the funds appropriated or otherwise 
made available by title III of this Act may be obligated 
for direct Government-to-Government assistance if such 
assistance is to a government that is actively and signifi-
cantly interfering with the operation of civil society organi-
zations. 
MULTI-YEAR COMMITMENTS 
SEC. 7033. None of the funds appropriated by this 
Act may be used to make a future year funding pledge 
for any multilateral or bilateral program funded in titles 
III through VI of this Act unless such pledge was— 
(1) previously justified in a congressional budg-
et justification; 
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111 
(2) included in an Act making appropriations 
for the Department of State, foreign operations, and 
related programs or previously authorized by an Act 
of Congress; 
(3) notified in accordance with the regular noti-
fication procedures of the Committees on Appropria-
tions; or 
(4) the subject of prior consultation with the 
Committees on Appropriations and such consultation 
was conducted at least 7 days in advance of the 
pledge. 
SPECIAL PROVISIONS 
SEC. 7034. (a) VICTIMS OF WAR, DISPLACED CHIL-
DREN, AND DISPLACED BURMESE.—Funds appropriated 
in titles III and VI of this Act that are made available 
for victims of war, displaced children, and displaced Bur-
mese, and to assist victims of trafficking in persons and, 
subject to the regular notification procedures of the Com-
mittees on Appropriations, to combat such trafficking, 
may be made available notwithstanding any other provi-
sion of law. 
(b) RECONSTITUTING CIVILIAN POLICE AUTHOR-
ITY.—In providing assistance with funds appropriated by 
this Act under section 660(b)(6) of the Foreign Assistance 
Act of 1961, support for a nation emerging from insta-
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112 
bility may be deemed to mean support for regional, dis-
trict, municipal, or other sub-national entity emerging 
from instability, as well as a nation emerging from insta-
bility. 
(c) WORLD FOOD PROGRAM.—Funds managed by 
the Bureau for Democracy, Conflict, and Humanitarian 
Assistance, United States Agency for International Devel-
opment (USAID), from this or any other Act, may be 
made available as a general contribution to the World 
Food Program, notwithstanding any other provision of 
law. 
(d) DISARMAMENT, DEMOBILIZATION
AND
RE-
INTEGRATION.—Notwithstanding any other provision of 
law, regulation or Executive order, funds appropriated by 
this Act and prior Acts making appropriations for the De-
partment of State, foreign operations, and related pro-
grams under the headings ‘‘Economic Support Fund’’, 
‘‘Peacekeeping Operations’’, ‘‘International Disaster As-
sistance’’, and ‘‘Transition Initiatives’’ may be made avail-
able to support programs to disarm, demobilize, and re-
integrate into civilian society former members of foreign 
terrorist organizations: Provided, That the Secretary of 
State shall consult with the Committees on Appropriations 
prior to the obligation of funds pursuant to this sub-
section: Provided further, That for the purposes of this 
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113 
subsection the term ‘‘foreign terrorist organization’’ 
means an organization designated as a terrorist organiza-
tion under section 219 of the Immigration and Nationality 
Act. 
(e) RESEARCH AND TRAINING.—Funds appropriated 
by this Act under the heading ‘‘Economic Support Fund’’ 
may be made available to carry out the Program for Re-
search and Training on Eastern Europe and the Inde-
pendent States of the Former Soviet Union (title VIII) 
as authorized by the Soviet-Eastern European Research 
and Training Act of 1983 (22 U.S.C. 4501–4508). 
(f) PARTNER VETTING.—Funds appropriated in this 
Act or any prior Acts making appropriations for the De-
partment of State, foreign operations, and related pro-
grams shall be used by the Secretary of State and the Ad-
ministrator of the United States Agency for International 
Development (USAID), as appropriate, to support the 
continued implementation of the Partner Vetting System 
(PVS) pilot program: Provided, That the Secretary of 
State and the Administrator of USAID shall jointly sub-
mit a report to the Committees on Appropriations, not 
later than 30 days after completion of the pilot program, 
on the estimated timeline and criteria for evaluating the 
PVS for expansion: Provided further, That such report 
shall include a description of consultations with govern-
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114 
mental and nongovernmental stakeholders affected by the 
pilot program, concerns raised during such consultations, 
and any changes USAID and the Department of State 
plan to make in response to such concerns: Provided fur-
ther, That such report may be delivered in classified form, 
if necessary. 
ARAB LEAGUE BOYCOTT OF ISRAEL 
SEC. 7035. It is the sense of the Congress that— 
(1) the Arab League boycott of Israel, and the 
secondary boycott of American firms that have com-
mercial ties with Israel, is an impediment to peace 
in the region and to United States investment and 
trade in the Middle East and North Africa; 
(2) the Arab League boycott, which was regret-
tably reinstated in 1997, should be immediately and 
publicly terminated, and the Central Office for the 
Boycott of Israel immediately disbanded; 
(3) all Arab League states should normalize re-
lations with their neighbor Israel; 
(4) the President and the Secretary of State 
should continue to vigorously oppose the Arab 
League boycott of Israel and find concrete steps to 
demonstrate that opposition by, for example, taking 
into consideration the participation of any recipient 
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115 
country in the boycott when determining to sell 
weapons to said country; and 
(5) the President should report to Congress an-
nually on specific steps being taken by the United 
States to encourage Arab League states to normalize 
their relations with Israel to bring about the termi-
nation of the Arab League boycott of Israel, includ-
ing those to encourage allies and trading partners of 
the United States to enact laws prohibiting busi-
nesses from complying with the boycott and penal-
izing businesses that do comply. 
PALESTINIAN STATEHOOD 
SEC. 7036. (a) LIMITATION ON ASSISTANCE.—None 
of the funds appropriated under titles III through VI of 
this Act may be provided to support a Palestinian state 
unless the Secretary of State determines and certifies to 
the appropriate congressional committees that— 
(1) the governing entity of a new Palestinian 
state— 
(A) has demonstrated a firm commitment 
to peaceful co-existence with the State of Israel; 
(B) is taking appropriate measures to 
counter terrorism and terrorist financing in the 
West Bank and Gaza, including the dismantling 
of terrorist infrastructures, and is cooperating 
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116 
with appropriate Israeli and other appropriate 
security organizations; and 
(2) the Palestinian Authority (or the governing 
entity of a new Palestinian state) is working with 
other countries in the region to vigorously pursue ef-
forts to establish a just, lasting, and comprehensive 
peace in the Middle East that will enable Israel and 
an independent Palestinian state to exist within the 
context of full and normal relationships, which 
should include— 
(A) termination of all claims or states of 
belligerency; 
(B) respect for and acknowledgment of the 
sovereignty, territorial integrity, and political 
independence of every state in the area through 
measures including the establishment of demili-
tarized zones; 
(C) their right to live in peace within se-
cure and recognized boundaries free from 
threats or acts of force; 
(D) freedom of navigation through inter-
national waterways in the area; and 
(E) a framework for achieving a just set-
tlement of the refugee problem. 
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117 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that the governing entity should enact a constitution 
assuring the rule of law, an independent judiciary, and 
respect for human rights for its citizens, and should enact 
other laws and regulations assuring transparent and ac-
countable governance. 
(c) WAIVER.—The President may waive subsection 
(a) if the President determines that it is important to the 
national security interests of the United States to do so. 
(d) EXEMPTION.—The restriction in subsection (a) 
shall not apply to assistance intended to help reform the 
Palestinian Authority and affiliated institutions, or the 
governing entity, in order to help meet the requirements 
of subsection (a), consistent with the provisions of section 
7040 of this Act (‘‘Limitation on Assistance for the Pales-
tinian Authority’’). 
RESTRICTIONS CONCERNING THE PALESTINIAN 
AUTHORITY 
SEC. 7037. None of the funds appropriated under ti-
tles II through VI of this Act may be obligated or ex-
pended to create in any part of Jerusalem a new office 
of any department or agency of the United States Govern-
ment for the purpose of conducting official United States 
Government business with the Palestinian Authority over 
Gaza and Jericho or any successor Palestinian governing 
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118 
entity provided for in the Israel-PLO Declaration of Prin-
ciples: Provided, That this restriction shall not apply to 
the acquisition of additional space for the existing Con-
sulate General in Jerusalem: Provided further, That meet-
ings between officers and employees of the United States 
and officials of the Palestinian Authority, or any successor 
Palestinian governing entity provided for in the Israel- 
PLO Declaration of Principles, for the purpose of con-
ducting official United States Government business with 
such authority should continue to take place in locations 
other than Jerusalem: Provided further, That as has been 
true in the past, officers and employees of the United 
States Government may continue to meet in Jerusalem on 
other subjects with Palestinians (including those who now 
occupy positions in the Palestinian Authority), have social 
contacts, and have incidental discussions. 
PROHIBITION ON ASSISTANCE TO THE PALESTINIAN 
BROADCASTING CORPORATION 
SEC. 7038. None of the funds appropriated or other-
wise made available by this Act may be used to provide 
equipment, technical support, consulting services, or any 
other form of assistance to the Palestinian Broadcasting 
Corporation. 
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119 
ASSISTANCE FOR THE WEST BANK AND GAZA 
SEC. 7039. (a) OVERSIGHT.—For fiscal year 2013, 
30 days prior to the initial obligation of funds for the bi-
lateral West Bank and Gaza Program, the Secretary of 
State shall certify to the Committees on Appropriations 
that procedures have been established to assure the Comp-
troller 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 Pro-
gram funded under the heading ‘‘Economic Support 
Fund’’ for the West Bank and Gaza. 
(b) VETTING.—Prior to the obligation of funds ap-
propriated by this Act under the heading ‘‘Economic Sup-
port Fund’’ for assistance 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 edu-
cational 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 educational institutions, those that have as a 
principal officer of the entity’s governing board or gov-
erning board of trustees any individual that has been de-
termined to be involved in, or advocating terrorist activity 
or determined to be a member of a designated foreign ter-
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rorist 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 assistance to any individual, entity, or edu-
cational institution which the Secretary has determined to 
be involved in or advocating terrorist activity. 
(c) PROHIBITION.— 
(1) 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 avail-
able for the purpose of recognizing or otherwise hon-
oring individuals who commit, or have committed 
acts of terrorism. 
(2) Notwithstanding any other provision of law, 
none of the funds made available by this or prior ap-
propriations Acts, including funds made available by 
transfer, may be made available for obligation for se-
curity assistance for the West Bank and Gaza until 
the Secretary of State reports to the Committees on 
Appropriations on the benchmarks that have been 
established for security assistance for the West 
Bank and Gaza and reports on the extent of Pales-
tinian compliance with such benchmarks. 
(d) AUDITS.— 
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121 
(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 Pro-
gram, 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 Inter-
national Development for audits, inspections, and 
other activities in furtherance of the requirements of 
this subsection: Provided, That such funds are in ad-
dition to funds otherwise available for such pur-
poses. 
(e) Subsequent to the certification specified in sub-
section (a), the Comptroller General of the United States 
shall conduct an audit and an investigation of the treat-
ment, handling, and uses of all funds for the bilateral 
West Bank and Gaza Program, including all funds pro-
vided as cash transfer assistance, in fiscal year 2013 
under the heading ‘‘Economic Support Fund’’, and such 
audit shall address— 
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122 
(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, in-
cluding both obligations and expenditures. 
(f) Funds made available in this Act for West Bank 
and Gaza shall be subject to the regular notification proce-
dures of the Committees on Appropriations. 
(g) 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 con-
tained in section 2106 of chapter 2 of title II of Public 
Law 109–13. 
(h) Prior to the obligation of any assistance appro-
priated in title III of this Act for the West Bank and 
Gaza, the Secretary of State shall certify and report to 
the Committees on Appropriations that— 
(1) such assistance is— 
(A) advancing Middle East peace; 
(B) improving security in the region; or 
(C) supporting critical and immediate hu-
manitarian needs; and 
(2) the Palestinian Authority is moving to halt 
anti-Israel incitement and is engaged in activities 
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123 
aimed at promoting peace and coexistence with 
Israel. 
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 provi-
sions 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 Presi-
dent pro tempore of the Senate, and the Committees on 
Appropriations that waiving such prohibition is important 
to the national security interests 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 pursu-
ant to subsection (b) is exercised, the President shall sub-
mit a report to the Committees on Appropriations detail-
ing 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: Pro-
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124 
vided, That the report shall also detail the steps the Pales-
tinian Authority has taken to arrest terrorists, confiscate 
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 Ap-
propriations prior to the obligation of funds that the Pal-
estinian Authority has established a single treasury ac-
count for all Palestinian Authority financing and all fi-
nancing mechanisms flow through this account, no parallel 
financing mechanisms exist outside of the Palestinian Au-
thority treasury account, and there is a single comprehen-
sive civil service roster and payroll. 
(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 agree-
ment with Hamas. 
(2) Notwithstanding the limitation of subsection 
(1), assistance may be provided to a power-sharing 
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125 
government only if the President certifies and re-
ports to the Committees on Appropriations that such 
government, including all of its ministers 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 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 Appro-
priations within 120 days of the certification and 
every quarter thereafter on whether such govern-
ment, including all of its ministers or such equiva-
lent 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: Pro-
vided, That the report shall also detail the amount, 
purposes and delivery mechanisms for any assistance 
provided pursuant to the abovementioned certifi-
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