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INTERNATIONAL ORGANIZATIONS AND PROGRAMS 
For necessary expenses to carry out the provisions 
of section 301 of the Foreign Assistance Act of 1961, 
and of section 2 of the United Nations Environment Pro-
gram Participation Act of 1973, $327,570,000: Provided, 
That none of the funds appropriated under this heading 
may be made available to the International Atomic En-
ergy Agency (IAEA): Provided further, That section 
307(a) of the Foreign Assistance Act shall not apply to 
contributions to the United Nations Democracy Fund. 
TITLE V—GENERAL PROVISIONS 
COMPENSATION FOR UNITED STATES EXECUTIVE 
DIRECTORS TO INTERNATIONAL FINANCIAL INSTITUTIONS 
SEC. 501. (a) No funds appropriated by this Act may 
be made as payment to any international financial institu-
tion while the United States Executive Director to such 
institution is compensated by the institution at a rate 
which, together with whatever compensation such Director 
receives from the United States, is in excess of the rate 
provided for an individual occupying a position at level IV 
of the Executive Schedule under section 5315 of title 5, 
United States Code, or while any alternate United States 
Director to such institution is compensated by the institu-
tion at a rate in excess of the rate provided for an indi-
vidual occupying a position at level V of the Executive 
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Schedule under section 5316 of title 5, United States 
Code. 
(b) For purposes of this section ‘‘international finan-
cial institutions’’ are: the International Bank for Recon-
struction and Development, the Inter-American Develop-
ment Bank, the Asian Development Bank, the Asian De-
velopment Fund, the African Development Bank, the Afri-
can Development Fund, the International Monetary Fund, 
the North American Development Bank, and the Euro-
pean Bank for Reconstruction and Development. 
RESTRICTIONS ON VOLUNTARY CONTRIBUTIONS TO 
UNITED NATIONS AGENCIES 
SEC. 502. None of the funds appropriated by this Act 
may be made available to pay any voluntary contribution 
of the United States to the United Nations (including the 
United Nations Development Program) if the United Na-
tions implements or imposes any taxation on any United 
States persons. 
LIMITATION ON RESIDENCE EXPENSES 
SEC. 503. Of the funds appropriated or made avail-
able pursuant to this Act, not to exceed $100,500 shall 
be for official residence expenses of the United States 
Agency for International Development during the current 
fiscal year: Provided, That appropriate steps shall be 
taken to assure that, to the maximum extent possible, 
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United States-owned foreign currencies are utilized in lieu 
of dollars. 
UNOBLIGATED BALANCES REPORT 
SEC. 504. Any Department or Agency to which funds 
are appropriated or otherwise made available by this Act 
shall provide to the Committees on Appropriations a quar-
terly accounting by program, project, and activity of the 
funds received by such Department or Agency in this fiscal 
year or any previous fiscal year that remain unobligated 
and unexpended. 
LIMITATION ON REPRESENTATIONAL ALLOWANCES 
SEC. 505. Of the funds appropriated or made avail-
able pursuant to this Act, not to exceed $250,000 shall 
be available for representation and entertainment allow-
ances, of which not to exceed $2,500 shall be available 
for entertainment allowances, for the United States Agen-
cy for International Development during the current fiscal 
year: Provided, That no such entertainment funds may be 
used for the purposes listed in section 548 of this Act: 
Provided further, That appropriate steps shall be taken to 
assure that, to the maximum extent possible, United 
States-owned foreign currencies are utilized in lieu of dol-
lars: Provided further, That of the funds made available 
by this Act for general costs of administering military as-
sistance and sales under the heading ‘‘Foreign Military 
Financing Program’’, not to exceed $4,000 shall be avail-
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able for entertainment expenses and not to exceed 
$130,000 shall be available for representation allowances: 
Provided further, That of the funds made available by this 
Act under the heading ‘‘International Military Education 
and Training’’, not to exceed $55,000 shall be available 
for entertainment allowances: Provided further, That of 
the funds made available by this Act for the Inter-Amer-
ican Foundation, not to exceed $2,000 shall be available 
for entertainment and representation allowances: Provided 
further, That of the funds made available by this Act for 
the Peace Corps, not to exceed a total of $4,000 shall be 
available for entertainment expenses: Provided further, 
That of the funds made available by this Act under the 
heading ‘‘Trade and Development Agency’’, not to exceed 
$4,000 shall be available for representation and entertain-
ment allowances: Provided further, That of the funds made 
available by this Act under the heading ‘‘Millennium Chal-
lenge Corporation’’, not to exceed $115,000 shall be avail-
able for representation and entertainment allowances. 
PROHIBITION ON TAXATION OF UNITED STATES 
ASSISTANCE 
SEC. 506. (a) PROHIBITION ON TAXATION.—None of 
the funds appropriated by this Act may be made available 
to provide assistance for a foreign country under a new 
bilateral agreement governing the terms and conditions 
under which such assistance is to be provided unless such 
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agreement includes a provision stating that assistance pro-
vided by the United States shall be exempt from taxation, 
or reimbursed, by the foreign government, and the Sec-
retary of State shall expeditiously seek to negotiate 
amendments to existing bilateral agreements, as nec-
essary, to conform with this requirement. 
(b) REIMBURSEMENT
OF
FOREIGN
TAXES.—An 
amount equivalent to 200 percent of the total taxes as-
sessed during fiscal year 2007 on funds appropriated by 
this Act by a foreign government or entity against com-
modities financed under United States assistance pro-
grams for which funds are appropriated by this Act, either 
directly or through grantees, contractors and subcontrac-
tors shall be withheld from obligation from funds appro-
priated for assistance for fiscal year 2008 and allocated 
for the central government of such country and for the 
West Bank and Gaza Program to the extent that the Sec-
retary of State certifies and reports in writing to the Com-
mittees on Appropriations that such taxes have not been 
reimbursed to the Government of the United States. 
(c) DE MINIMIS EXCEPTION.—Foreign taxes of a de 
minimis nature shall not be subject to the provisions of 
subsection (b). 
(d) REPROGRAMMING OF FUNDS.—Funds withheld 
from obligation for each country or entity pursuant to sub-
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section (b) shall be reprogrammed for assistance to coun-
tries which do not assess taxes on United States assistance 
or which have an effective arrangement that is providing 
substantial reimbursement of such taxes. 
(e) DETERMINATIONS.— 
(1) The provisions of this section shall not 
apply to any country or entity the Secretary of State 
determines— 
(A) does not assess taxes on United States 
assistance or which has an effective arrange-
ment that is providing substantial reimburse-
ment of such taxes; or 
(B) the foreign policy interests of the 
United States outweigh the policy of this sec-
tion to ensure that United States assistance is 
not subject to taxation. 
(2) The Secretary of State shall consult with 
the Committees on Appropriations at least 15 days 
prior to exercising the authority of this subsection 
with regard to any country or entity. 
(f) IMPLEMENTATION.—The Secretary of State shall 
issue rules, regulations, or policy guidance, as appropriate, 
to implement the prohibition against the taxation of assist-
ance contained in this section. 
(g) DEFINITIONS.—As used in this section— 
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(1) the terms ‘‘taxes’’ and ‘‘taxation’’ refer to 
value added taxes and customs duties imposed on 
commodities financed with United States assistance 
for programs for which funds are appropriated by 
this Act; and 
(2) the term ‘‘bilateral agreement’’ refers to a 
framework bilateral agreement between the Govern-
ment of the United States and the government of 
the country receiving assistance that describes the 
privileges and immunities applicable to United 
States foreign assistance for such country generally, 
or an individual agreement between the Government 
of the United States and such government that de-
scribes, among other things, the treatment for tax 
purposes that will be accorded the United States as-
sistance provided under that agreement. 
PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN 
COUNTRIES 
SEC. 507. None of the funds appropriated or other-
wise made available pursuant to this Act shall be obligated 
or expended to finance directly any assistance or repara-
tions to Cuba, Libya, North Korea, Iran, or Syria: Pro-
vided, That for purposes of this section, the prohibition 
on obligations or expenditures shall include direct loans, 
credits, insurance and guarantees of the Export-Import 
Bank or its agents: Provided further, That for purposes 
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of this section, the prohibition shall not include activities 
of the Overseas Private Investment Corporation in Libya: 
Provided further, That the prohibition shall not include di-
rect loans, credits, insurance and guarantees made avail-
able by the Export-Import Bank or its agents for or in 
Libya. 
MILITARY COUPS 
SEC. 508. None of the funds appropriated or other-
wise made available pursuant to this Act shall be obligated 
or expended to finance directly any assistance to the gov-
ernment of any country whose duly elected head of govern-
ment is deposed by military coup or decree: Provided, That 
assistance may be resumed to such government if the 
President determines and certifies to the Committees on 
Appropriations that subsequent to the termination of as-
sistance a democratically elected government has taken of-
fice: Provided further, That the provisions of this section 
shall not apply to assistance to promote democratic elec-
tions or public participation in democratic processes: Pro-
vided further, That funds made available pursuant to the 
previous provisos shall be subject to the regular notifica-
tion procedures of the Committees on Appropriations. 
TRANSFERS 
SEC. 509. (a)(1) LIMITATION ON TRANSFERS BE-
TWEEN AGENCIES.—None of the funds made available by 
this Act may be transferred to any department, agency, 
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or instrumentality of the United States Government, ex-
cept pursuant to a transfer made by, or transfer authority 
provided in, this Act or any other appropriation Act. 
(2) Notwithstanding paragraph (1), in addition to 
transfers made by, or authorized elsewhere in, this Act, 
funds appropriated by this Act to carry out the purposes 
of the Foreign Assistance Act of 1961 may be allocated 
or transferred to agencies of the United States Govern-
ment pursuant to the provisions of sections 109, 610, and 
632 of the Foreign Assistance Act of 1961. 
(b) TRANSFERS BETWEEN ACCOUNTS.—None of the 
funds made available by this Act may be obligated under 
an appropriation account to which they were not appro-
priated, except for transfers specifically provided for in 
this Act, unless the President, not less than 5 days prior 
to the exercise of any authority contained in the Foreign 
Assistance Act of 1961 to transfer funds, consults with 
and provides a written policy justification to the Commit-
tees on Appropriations of the House of Representatives 
and the Senate. 
(c) AUDIT
OF INTER-AGENCY TRANSFERS.—Any 
agreement for the transfer or allocation of funds appro-
priated by this Act, or prior Acts, entered into between 
the United States Agency for International Development 
and another agency of the United States Government 
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under the authority of section 632(a) of the Foreign As-
sistance Act of 1961 or any comparable provision of law, 
shall expressly provide that the Office of the Inspector 
General for the agency receiving the transfer or allocation 
of such funds shall perform periodic program and financial 
audits of the use of such funds: Provided, That funds 
transferred under such authority may be made available 
for the cost of such audits. 
COMMERCIAL LEASING OF DEFENSE ARTICLES 
SEC. 510. Notwithstanding any other provision of 
law, and subject to the regular notification procedures of 
the Committees on Appropriations, the authority of sec-
tion 23(a) of the Arms Export Control Act may be used 
to provide financing to Israel, Egypt and NATO and 
major non-NATO allies for the procurement by leasing 
(including leasing with an option to purchase) of defense 
articles from United States commercial suppliers, not in-
cluding Major Defense Equipment (other than helicopters 
and other types of aircraft having possible civilian applica-
tion), if the President determines that there are compel-
ling foreign policy or national security reasons for those 
defense articles being provided by commercial lease rather 
than by government-to-government sale under such Act. 
AVAILABILITY OF FUNDS 
SEC. 511. No part of any appropriation contained in 
this Act shall remain available for obligation after the ex-
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piration of the current fiscal year unless expressly so pro-
vided in this Act: Provided, That funds appropriated for 
the purposes of chapters 1, 8, 11, and 12 of part I, section 
667, chapters 4, 5, 6, 8, and 9 of part II of the Foreign 
Assistance Act of 1961, section 23 of the Arms Export 
Control Act, and funds provided under the heading ‘‘As-
sistance for Eastern Europe and the Baltic States’’, shall 
remain available for an additional 4 years from the date 
on which the availability of such funds would otherwise 
have expired, if such funds are initially obligated before 
the expiration of their respective periods of availability 
contained in this Act: Provided further, That, notwith-
standing any other provision of this Act, any funds made 
available for the purposes of chapter 1 of part I and chap-
ter 4 of part II of the Foreign Assistance Act of 1961 
which are allocated or obligated for cash disbursements 
in order to address balance of payments or economic policy 
reform objectives, shall remain available until expended. 
LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT 
SEC. 512. No part of any appropriation contained in 
this Act shall be used to furnish assistance to the govern-
ment of any country which is in default during a period 
in excess of 1 calendar year in payment to the United 
States of principal or interest on any loan made to the 
government of such country by the United States pursuant 
to a program for which funds are appropriated under this 
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