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(1) by inserting ‘‘(1)’’ after ‘‘(f)’’; and
(2) by adding at the end the following:
‘‘(2) The President may not authorize an exemption
for a foreign country from the licensing requirements of
this Act for the export of defense items under subsection
(j) or any other provision of this Act until 45 days after
the date on which the President has transmitted to the
Committee on International Relations of the House of
Representatives and the Committee on Foreign Relations
of the Senate a notification that includes—
‘‘(A) a description of the scope of the exemp-
tion, including a detailed summary of the defense ar-
ticles, defense services, and related technical data
proposed to be exported under the exemption; and
‘‘(B) a determination by the Attorney General
that the bilateral agreement requires sufficient docu-
mentation relating to the export of United States de-
fense articles, defense services, and related technical
data under an exemption which will be compiled and
maintained in order to facilitate law enforcement ef-
forts to detect, prevent, and prosecute criminal viola-
tions of any provision of this Act, including the ef-
forts on the part of countries and factions engaged
in international terrorism to illicitly acquire sophisti-
cated United States weaponry.’’.
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(c) NOTIFICATION RELATING TO EXPORT OF COM-
MERCIAL
COMMUNICATIONS
SATELLITE.—Section
36(c)(1) of the Arms Export Control Act (22 U.S.C.
2776(c)(1)) is amended in the first sentence by inserting
at the end before the period the following: ‘‘, except that
a certification shall not be required in the case of an appli-
cation for a license for export of a commercial communica-
tions satellite designated on the United States Munitions
List for launch from, and by nationals of, the United
States, or the territory of a member country of the North
Atlantic Treaty Organization (NATO), the Russian Fed-
eration, Ukraine, Australia, Japan, or New Zealand’’.
SEC. 107. REPORT ON GOVERNMENT-TO-GOVERNMENT
ARMS SALES END-USE MONITORING PRO-
GRAM.
Not later than 90 days after the date of the enact-
ment of this Act, the President shall prepare and transmit
to the Committee on International Relations and the Com-
mittee on Foreign Relations of the Senate a report that
contains a summary of the status of the efforts of the De-
fense Security Cooperation Agency to implement the End-
Use Monitoring Enhancement Plan relating to govern-
ment-to-government transfers of defense articles, defense
services, and related technologies.
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SEC. 108. WAIVER OF CERTAIN COSTS.
Notwithstanding any other provision of law, the
President may waive the requirement to impose an appro-
priate charge for a proportionate amount of any non-
recurring costs of research, development, and production
under section 21(e)(1)(B) of the Arms Export Control Act
(22 U.S.C. 2761(e)(1)(B)) for the November 1999 sale
of 5 UH–60L helicopters to the Republic of Colombia in
support of counternarcotics activities.
TITLE II—TRANSFERS OF NAVAL
VESSELS
SEC. 201. AUTHORITY TO TRANSFER NAVAL VESSELS TO
CERTAIN FOREIGN COUNTRIES.
(a) BRAZIL.—The President is authorized to transfer
to the Government of Brazil the ‘‘THOMASTON’’ class
dock landing ships ALAMO (LSD 33) and HERMITAGE
(LSD 34) and the ‘‘GARCIA’’ class frigates BRADLEY
(FF 1041), DAVIDSON (FF 1045), SAMPLE (FF
1048), and ALBERT DAVID (FF 1050). Such transfers
shall be on a grant basis under section 516 of the Foreign
Assistance Act of 1961 (22 U.S.C. 2321j).
(b) CHILE.—The President is authorized to transfer
to the Government of the Chile the ‘‘OLIVER HAZARD
PERRY’’ class guided missile frigates WADSWORTH
(FFG 9) and ESTOCIN (FFG 15). Such transfers shall
be on a combined lease-sale basis under sections 61 and
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21 of the Arms Export Control Act (22 U.S.C. 2796,
2761).
(c) GREECE.—The President is authorized to trans-
fer to the Government of Greece the ‘‘KNOX’’ class frig-
ates VREELAND (FF 1068) and TRIPPE (FF 1075).
Such transfers shall be on a grant basis under section 516
of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j).
(d) TURKEY.—The President is authorized to trans-
fer to the Government of Turkey the ‘OLIVER HAZARD
PERRY‘ class guided missile frigates JOHN A MOORE
(FFG 19) and FLATLEY (FFG 21). Such transfers shall
be on a combined lease-sale basis under sections 61 and
21 of the Arms Export Control Act (22 U.S.C. 2796,
2761).
SEC. 202. INAPPLICABILITY OF AGGREGATE ANNUAL LIMI-
TATION ON VALUE OF TRANSFERRED EXCESS
DEFENSE ARTICLES.
In the case of the transfer of a naval vessel author-
ized under section 201 of this Act to be transferred on
a grant basis under section 516 of the Foreign Assistance
Act of 1961 (22 U.S.C. 2321j), the value of the vessel
transferred shall not be included for purposes of sub-
section (g) of that section in the aggregate value of excess
defense articles transferred to countries under that section
in any fiscal year.
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SEC. 203. COSTS OF TRANSFERS.
Any expense incurred by the United States in connec-
tion with a transfer authorized by this title shall be
charged to the recipient.
SEC. 204. CONDITIONS RELATING TO COMBINED LEASE-
SALE TRANSFERS.
A transfer of a vessel on a combined lease-sale basis
authorized by section 201 shall be made in accordance
with the following requirements:
(1) The President may initially transfer the ves-
sel by lease, with lease payments suspended for the
term of the lease, if the country entering into the
lease for the vessel simultaneously enters into a for-
eign military sales agreement for the transfer of title
to the vessel.
(2) The President may not deliver to the pur-
chasing country title to the vessel until the purchase
price of the vessel under such a foreign military
sales agreement is paid in full.
(3) Upon payment of the purchase price in full
under such a sales agreement and delivery of title to
the recipient country, the President shall terminate
the lease.
(4) If the purchasing country fails to make full
payment of the purchase price in accordance with
the sales agreement—
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(A) the sales agreement shall be imme-
diately terminated;
(B) the suspension of lease payments
under the lease shall be vacated; and
(C) the United States shall be entitled to
retain all funds received on or before the date
of the termination under the sales agreement,
up to the amount of lease payments due and
payable under the lease and all other costs re-
quired by the lease to be paid to that date.
(5) If a sales agreement is terminated pursuant
to paragraph (4), the United States shall not be re-
quired to pay any interest to the recipient country
on any amount paid to the United States by the re-
cipient country under the sales agreement and not
retained by the United States under the lease.
SEC. 205. FUNDING OF CERTAIN COSTS OF TRANSFERS.
There is authorized to be appropriated to the Defense
Vessels Transfer Program Account such funds as may be
necessary to cover the costs (as defined in section 502 of
the Congressional Budget Act of 1974 (2 U.S.C. 661a))
of the lease-sale transfers authorized by section 201.
Funds appropriated pursuant to the authorization of ap-
propriations under preceding sentence for the purpose de-