H. R. 7776—933 
(B) the people, history, and political climate on Taiwan; 
and 
(C) the issues affecting the relationship between the 
United States and the Indo-Pacific region. 
(2) SECOND YEAR.—During the second year of each fellow-
ship under this section, each fellow, subject to the approval 
of the Department of State, the American Institute in Taiwan, 
and the implementing partner, and in accordance with the 
purposes of this subtitle, should work in— 
(A) a parliamentary office, ministry, or other agency 
of Taiwan; or 
(B) an organization outside the public sector in Taiwan, 
whose interests are associated with the interests of the 
fellow and the agency of the United States Government 
from which the fellow is or had been employed. 
(e) PROGRAM REQUIREMENTS.— 
(1) ELIGIBILITY REQUIREMENTS.—A United States citizen 
is eligible for a fellowship under this section if the citizen— 
(A) is an employee of the United States Government; 
(B) has received at least one exemplary performance 
review in his or her current United States Government 
role within at least the last three years prior to beginning 
the fellowship; 
(C) has at least 2 years of experience in any branch 
of the United States Government; 
(D) has a demonstrated professional or educational 
background in the relationship between the United States 
and countries in the Indo-Pacific region; and 
(E) has demonstrated his or her commitment to further 
service in the United States Government. 
(2) RESPONSIBILITIES
OF
FELLOWS.—Each recipient of a 
fellowship under this section shall agree, as a condition of 
such fellowship— 
(A) to maintain satisfactory progress in language 
training and appropriate behavior in Taiwan, consistent 
with United States Government policy toward Taiwan, as 
determined by the Department of State, the American 
Institute in Taiwan and, as appropriate, its implementing 
partner; 
(B) to refrain from engaging in any intelligence or 
intelligence-related activity on behalf of the United States 
Government; and 
(C) to continue Federal Government employment for 
a period of not less than 4 years after the conclusion 
of the fellowship or for not less than 2 years for a fellowship 
that is 1 year or shorter. 
(3) RESPONSIBILITIES OF IMPLEMENTING PARTNER.— 
(A) 
SELECTION
OF
FELLOWS.—The 
implementing 
partner, with the concurrence of the Department of State 
and the American Institute in Taiwan, shall— 
(i) make efforts to recruit fellowship candidates 
who reflect the diversity of the United States; 
(ii) select fellows for the Taiwan Fellowship Pro-
gram based solely on merit, with appropriate super-
vision from the Department of State and the American 
Institute in Taiwan; and
H. R. 7776—934 
(iii) prioritize the selection of candidates willing 
to serve in a fellowship lasting 1 year or longer. 
(B) FIRST
YEAR.—The implementing partner should 
provide each fellow in the first year (or shorter duration, 
as jointly determined by the Department of State and 
the American Institute in Taiwan for those who are not 
serving a 2-year fellowship) with— 
(i) intensive Mandarin Chinese language training; 
and 
(ii) courses in the politics, culture, and history 
of Taiwan, China, and the broader Indo-Pacific. 
(C) WAIVER OF FIRST-YEAR TRAINING.—The Department 
of State, in coordination with the American Institute in 
Taiwan and, as appropriate, the implementing partner, 
may waive any of the training required under paragraph 
(2) to the extent that a fellow has Mandarin language 
skills, knowledge of the topic described in subparagraph 
(B)(ii), or for other related reasons approved by the Depart-
ment of State and the American Institute in Taiwan. If 
any of the training requirements are waived for a fellow 
serving a 2-year fellowship, the training portion of his 
or her fellowship may be shortened to the extent appro-
priate. 
(D) OFFICE; STAFFING.—The implementing partner, in 
consultation with the Department of State and the Amer-
ican Institute in Taiwan, may maintain an office and at 
least 1 full-time staff member in Taiwan— 
(i) to liaise with the American Institute in Taiwan 
and institutions of Taiwan; and 
(ii) to serve as the primary in-country point of 
contact for the recipients of fellowships under this part 
and their dependents. 
(E) OTHER
FUNCTIONS.—The implementing partner 
may perform other functions in association with support 
of the Taiwan Fellowship Program, including logistical and 
administrative functions, as prescribed by the Department 
of State and the American Institute in Taiwan. 
(4) NONCOMPLIANCE.— 
(A) IN GENERAL.—Any fellow who fails to comply with 
the requirements under this section shall reimburse the 
American Institute in Taiwan, or the appropriate United 
States Government agency for— 
(i) the Federal funds expended for the fellow’s 
participation in the fellowship, as set forth in subpara-
graphs (B) and (C); and 
(ii) interest accrued on such funds (calculated at 
the prevailing rate). 
(B) FULL REIMBURSEMENT.—Any fellow who violates 
subparagraph (A) or (B) of paragraph (2) shall reimburse 
the American Institute in Taiwan, or the appropriate 
United States Government agency, in an amount equal 
to the sum of— 
(i) all of the Federal funds expended for the fellow’s 
participation in the fellowship; and 
(ii) interest on the amount specified in subpara-
graph (A), which shall be calculated at the prevailing 
rate.
H. R. 7776—935 
(C) PRO RATA REIMBURSEMENT.—Any fellow who vio-
lates subparagraph (C) of paragraph (2) shall reimburse 
the American Institute in Taiwan, or the appropriate 
United States Government agency, in an amount equal 
to the difference between— 
(i) the amount specified in subparagraph (B); and 
(ii) the product of— 
(I) the amount the fellow received in com-
pensation during the final year of the fellowship, 
including the value of any allowances and benefits 
received by the fellow; multiplied by 
(II) the percentage of the period specified in 
paragraph (2)(C) during which the fellow did not 
remain employed by the Federal Government. 
(f) FLEXIBLE FELLOWSHIP DURATION.—Notwithstanding any 
requirement under this section, the Secretary of State, in consulta-
tion with the American Institute in Taiwan and, as appropriate, 
the implementing partner, may award fellowships that have a dura-
tion of less than 2 years, and may alter the curriculum requirements 
under subsection (d) for such purposes. 
(g) SUNSET.—The fellowship program under this part shall 
terminate 7 years after the date of the enactment of this Act. 
SEC. 5531. REPORTS AND AUDITS. 
(a) ANNUAL REPORT.—Not later than 90 days after the selection 
of the first class of fellows under this part, and annually thereafter 
for 7 years, the Department of State shall offer to brief the appro-
priate committees of Congress regarding the following issues: 
(1) An assessment of the performance of the implementing 
partner in fulfilling the purposes of this part. 
(2) The names and sponsoring agencies of the fellows 
selected by the implementing partner and the extent to which 
such fellows represent the diversity of the United States. 
(3) The names of the parliamentary offices, ministries, 
other agencies of Taiwan, and nongovernmental institutions 
to which each fellow was assigned during the second year 
of the fellowship. 
(4) Any recommendations, as appropriate, to improve the 
implementation of the Taiwan Fellowship Program, including 
added flexibilities in the administration of the program. 
(5) An assessment of the Taiwan Fellowship Program’s 
value upon the relationship between the United States and 
Taiwan or the United States and Asian countries. 
(b) ANNUAL FINANCIAL AUDIT.— 
(1) IN GENERAL.—The financial records of any implementing 
partner shall be audited annually in accordance with generally 
accepted government auditing standards by independent cer-
tified public accountants or independent licensed public 
accountants who are certified or licensed by a regulatory 
authority of a State or another political subdivision of the 
United States. 
(2) LOCATION.—Each audit under paragraph (1) shall be 
conducted at the place or places where the financial records 
of the implementing partner are normally kept. 
(3) ACCESS
TO
DOCUMENTS.—The implementing partner 
shall make available to the accountants conducting an audit 
under paragraph (1)—
H. R. 7776—936 
(A) all books, financial records, files, other papers, 
things, and property belonging to, or in use by, the imple-
menting partner that are necessary to facilitate the audit; 
and 
(B) full facilities for verifying transactions with the 
balances or securities held by depositories, fiscal agents, 
and custodians. 
(4) REPORT.— 
(A) IN GENERAL.—Not later than 270 days after the 
end of each fiscal year, the implementing partner shall 
provide a report of the audit conducted for such fiscal 
year under paragraph (1) to the Department of State and 
the American Institute in Taiwan. 
(B) CONTENTS.—Each audit report shall— 
(i) set forth the scope of the audit; 
(ii) include such statements, along with the audi-
tor’s opinion of those statements, as may be necessary 
to present fairly the implementing partner’s assets and 
liabilities, surplus or deficit, with reasonable detail; 
(iii) include a statement of the implementing part-
ner’s income and expenses during the year; and 
(iv) include a schedule of— 
(I) all contracts and cooperative agreements 
requiring payments greater than $5,000; and 
(II) any payments of compensation, salaries, 
or fees at a rate greater than $5,000 per year. 
(C) COPIES.—Each audit report shall be produced in 
sufficient copies for distribution to the public. 
SEC. 5532. TAIWAN FELLOWS ON DETAIL FROM GOVERNMENT 
SERVICE. 
(a) IN GENERAL.— 
(1) DETAIL AUTHORIZED.—With the approval of the Sec-
retary of State, an agency head may detail, for a period of 
not more than 2 years, an employee of the agency of the 
United States Government who has been awarded a fellowship 
under this part, to the American Institute in Taiwan for the 
purpose of assignment to Taiwan or an organization described 
in section 5530(d)(2)(B). 
(2) AGREEMENT.—Each detailee shall enter into a written 
agreement with the Federal Government before receiving a 
fellowship, in which the fellow shall agree— 
(A) to continue in the service of the sponsoring agency 
at the end of fellowship for a period of at least 4 years 
(or at least 2 years if the fellowship duration is 1 year 
or shorter) unless the detailee is involuntarily separated 
from the service of such agency; and 
(B) to pay to the American Institute in Taiwan, or 
the United States Government agency, as appropriate, any 
additional expenses incurred by the Federal Government 
in connection with the fellowship if the detailee voluntarily 
separates from service with the sponsoring agency before 
the end of the period for which the detailee has agreed 
to continue in the service of such agency. 
(3) EXCEPTION.—The payment agreed to under paragraph 
(2)(B) may not be required from a detailee who leaves the 
service of the sponsoring agency to enter into the service of