I
107TH CONGRESS
1ST SESSION
H. R. 502
To amend the Foreign Assistance Act of 1961 to establish a coordinated
program to provide economic and development assistance for the coun-
tries of the Caribbean region.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 7, 2001
Mr. GALLEGLY introduced the following bill; which was referred to the
Committee on International Relations
A BILL
To amend the Foreign Assistance Act of 1961 to establish
a coordinated program to provide economic and develop-
ment assistance for the countries of the Caribbean re-
gion.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Caribbean Regional
Assistance Act of 2001’’.
SEC. 2. FINDINGS.
The Congress makes the following findings:
(1) The 16 countries of the Caribbean region
constitute a ‘‘third border’’ with the United States
because of the proximity and importance of coun-
tries in this region as a tourist destination.
(2) Unemployment, weak judicial systems, envi-
ronmental degradation, and natural disasters in the
Caribbean region directly affect the well-being of the
United States and the future of the countries in this
region will inevitably affect the future of the United
States.
(3) The public sector in many Caribbean coun-
tries lacks appropriate training and clearly defined
authority and needs to become more efficient.
(4) In the 1990’s economic growth in the Carib-
bean region lagged seriously behind economic growth
in the Latin American region. This discrepancy will
produce significantly lower living standards and
lower levels of tax revenues with which to address
critical social needs for the Caribbean region.
(5) Highly trained labor is often unavailable in
the Caribbean region and governmental red tape lim-
its the ability of the private sector to take full ad-
vantage of opportunities in the world marketplace.
(6) Heavy reliance on relatively few exports and
tourism products and the relatively high cost of
transportation and telecommunications services fur-
ther constrain growth in the Caribbean region.
(7) A more regional corporate strategy for busi-
ness success and competition in the global market-
place needs to be developed for the Caribbean re-
gion.
(8) Many small Caribbean countries are facing
severe economic and social stress due to the decline
in banana production and the prospective loss or
curtailment of existing European Union trade pref-
erences.
(9) Economic displacement of small farmers
and individuals employed in the supporting infra-
structure of the banana industry—individuals who
comprise approximately 50 percent of the workforce
of some Caribbean countries—will continue and will
place added pressures on the economies of these
countries.
(10) In the small open economies of countries
in the Caribbean region, growth can only be achieved
as the policies and products of these countries, both
goods and services, become increasingly competitive
in the global market.
(11) Deterioration in economic, social, and po-
litical conditions in the small countries of the Carib-
bean region is leading to increased crime in the re-
gion and increased illegal immigration to the United
States.
(12) The United States is also concerned about
narcotics trafficking in the Caribbean region, par-
ticularly with respect to continuing bilateral coopera-
tion with Caribbean governments in drug interdic-
tion and combating money laundering.
(13) The economic and social development of
the Caribbean region depends on the efficiency and
fairness of the legal systems of this region. There is
a widespread perception that the legal systems in
the Caribbean region are inefficient and ineffective
and that the administration of law and the quality
of justice that is rendered needs to be improved.
(14) The ecosystems which sustain the econo-
mies of the countries of the Caribbean region,
whether based on agriculture, fisheries, or tourism,
are under severe and increasing stress.
(15) Environmental problems in the Caribbean
region arise from inadequate and inappropriate
waste management, land use practices, and coastal
zone management.
(16) The Caribbean region currently has the
highest HIV/AIDS prevalence rate of any region in
nomic benefits in the Americas [result] from more
open trade, transparency in economic regulations,
sound market-based policies, as well as efforts by the
private sector to increase competitiveness’’.
(21) The United States is committed to com-
pleting a Free Trade Area of the Americas (FTAA)
process by 2005 in order to expand markets for
United States goods and services and to help ensure
safe destinations for United States foreign invest-
ment.
SEC. 3. AMENDMENT TO FOREIGN ASSISTANCE ACT OF
1961.
Part I of the Foreign Assistance Act of 1961 (22
U.S.C. 2151 et seq.) is amended by adding at the end
the following:
‘‘CHAPTER 13—ASSISTANCE FOR THE
CARIBBEAN REGION
‘‘SEC. 499N. PURPOSE.
‘‘The purpose of this chapter is to provide assistance
for the countries of the Caribbean region to promote
broad-based, sustainable, and successful economic develop-
ment and growth that emphasizes small economy diver-
sification, technical training, trade enhancement, judicial
reform, environmental management, and other related
goals.
‘‘SEC. 499O. AUTHORIZATION.
‘‘The President, acting through the Administrator of
the United States Agency for International Development,
is authorized to establish and carry out a coordinated pro-
gram to provide assistance for the countries of the Carib-
bean region to support the economic and development ac-
tivities described in section 499P.
‘‘SEC. 499P. ACTIVITIES.
‘‘Activities that may be supported by assistance
under section 499O include the following:
‘‘(1) IMPROVEMENT OF GOVERNMENTAL INSTI-
TUTIONS.—Activities to improve the quality and ca-
pacity of governmental institutions of countries of
the Caribbean region, including activities—
‘‘(A) to provide technical assistance and
training for institutions that provide customs
services, revenue collection, or institutions
which promote investment opportunities;
‘‘(B) to provide assistance for specialized
training to judges and magistrates in order to
improve efficiency and to reduce case backlogs
of Caribbean court systems; and
‘‘(C) to coordinate and consolidate admin-
istrative procedures and to expand the use of
alternative dispute resolution mechanisms.
‘‘(2) ECONOMIC
DIVERSIFICATION.—Activities
to improve the economic diversification of countries
of the Caribbean region, including activities—
‘‘(A) to provide technical assistance and
training to such countries to develop more fo-
cused regional business strategies to increase
the development of new businesses and stimu-
late competition among businesses;
‘‘(B) to increase lending assistance to
small and micro-enterprises, to improve institu-
tions that provide training for such enterprises,
and to enhance the ability of such enterprises
to market products and increase production ca-
pacity;
‘‘(C) to promote compliance by such coun-
tries and regional organizations with the World
Trade Organization (WTO) and the proposed
Free Trade Area of the Americas (FTAA);
‘‘(D) to promote the tourism industry of
the Caribbean region through the development
of community-based tourism, sustainable tour-
ism, and public-private partnerships; and
‘‘(E) to promote the diversification of the
agricultural sector by improving the production
and marketing of competitive, non-traditional
agricultural commodities.
‘‘(3) ENVIRONMENTAL
MANAGEMENT.—Activi-
ties to increase the capacity of governments of coun-
tries of the Caribbean region to provide environ-
mental management services, including activities—
‘‘(A) to fund programs to strengthen envi-
ronmental management organizations and legal
frameworks; and
‘‘(B) to increase public awareness of and
encourage public compliance with environmental
regulations.
‘‘(4) HIV/AIDS 
PREVENTION
AND
TREAT-
MENT.—Activities to reduce the rate of HIV/AIDS
in countries of the Caribbean region and to provide
treatment for individuals with HIV/AIDS in such re-
gion.
‘‘SEC. 499Q. CREDIT ASSISTANCE.
‘‘In carrying out the program authorized under sec-
tion 499O, the President is encouraged to provide credit
assistance to carry out the economic and development ac-
tivities described in section 499P. The provisions of sec-
tion 107A(d) (relating to general provisions applicable to
development credit authority), as proposed to be added to
this Act by section 306 of H.R. 1486 (as reported in the
House of Representatives in the 105th Congress), shall
apply with respect to credit assistance provided under the
program.
‘‘SEC. 499R. DEFINITIONS.
‘‘In this chapter:
‘‘(1) COUNTRIES
OF
THE
CARIBBEAN
RE-
GION.—The term ‘countries of the Caribbean
region’—
‘‘(A) means Antigua and Barbuda, the
Commonwealth of the Bahamas, Barbados,
Belize, the Commonwealth of Dominica, the
Dominican Republic, Grenada, the Co-operative
Republic of Guyana, the Republic of Haiti, Ja-
maica, Saint Kitts and Nevis, Saint Lucia,
Saint Vincent and the Grenadines, the Republic
of Suriname, and the Republic of Trinidad and
Tobago; and
‘‘(B) includes Montserrat.
‘‘(2) HIV/AIDS.—The term ‘HIV/AIDS’ means
infection with the human immunodeficiency virus.
Such term includes the acquired immune deficiency
syndrome.
‘‘SEC. 499S. AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) IN GENERAL.—In addition to amounts other-
wise available for the purposes of this chapter, there are
authorized to be appropriated to carry out this chapter
$8,000,000 for each of the fiscal years 2002 through
2006.
‘‘(b) AVAILABILITY.—Amounts appropriated pursu-
ant to the authorization of appropriations under sub-
section (a) are authorized to remain available until ex-
pended.’’.
SEC. 4. USAID OFFICE FOR THE CARIBBEAN REGION.
The Administrator of the United States Agency for
International Development is authorized to establish an
office in Bridgetown, Barbados, or in another appropriate
country in the Caribbean region, for the purpose of car-
rying out chapter 13 of part I of the Foreign Assistance
Act of 1961, as added by section 3 of this Act.
SEC. 5. REPORT.
(a) REPORT.—
(1) IN GENERAL.—Not later than 90 days after
the date of the enactment of this Act, the Adminis-
trator of the United States Agency for International
Development shall prepare and submit to the appro-
priate congressional committees a report that con-
tains a proposed plan to implement chapter 13 of
part I of the Foreign Assistance Act of 1961, as
added by section 3 of this Act.