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STINGERS IN THE PERSIAN GULF REGION
SEC. 529. Except as provided in section 581 of the
Foreign Operations, Export Financing, and Related Pro-
grams Appropriations Act, 1990, the United States may
not sell or otherwise make available any Stingers to any
country bordering the Persian Gulf under the Arms Ex-
port Control Act or chapter 2 of part II of the Foreign
Assistance Act of 1961.
DEBT-FOR-DEVELOPMENT
SEC. 530. In order to enhance the continued partici-
pation of nongovernmental organizations in economic as-
sistance activities under the Foreign Assistance Act of
1961, including endowments, debt-for-development and
debt-for-nature exchanges, a nongovernmental organiza-
tion which is a grantee or contractor of the Agency for
International Development may place in interest bearing
accounts funds made available under this Act or prior Acts
or local currencies which accrue to that organization as
a result of economic assistance provided under title II of
this Act and any interest earned on such investment may
be used for the purpose for which the assistance was pro-
vided to that organization.
LOCATION OF STOCKPILES
SEC. 531. Section 514(b)(2) of the Foreign Assist-
ance Act of 1961 is amended by striking out ‘‘a total of
$200,000,000 for stockpiles in Israel for fiscal years 1994
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and 1995, up to $40,000,000 may be made available for
stockpiles in the Republic of Korea, and up to
$10,000,000 may be made available for stockpiles in Thai-
land for fiscal year 1995.’’ and inserting in lieu thereof
‘‘$40,000,000 for stockpiles in the Republic of Korea and
$10,000,000 for stockpiles in Thailand for fiscal year
1996’’.
SEPARATE ACCOUNTS
SEC. 532. (a) SEPARATE ACCOUNTS
FOR LOCAL
CURRENCIES.—(1) If assistance is furnished to the gov-
ernment of a foreign country under chapters 1 and 10 of
part I or chapter 4 of part II of the Foreign Assistance
Act of 1961 under agreements which result in the genera-
tion of local currencies of that country, the Administrator
of the Agency for International Development shall—
(A) require that local currencies be deposited in
a separate account established by that government;
(B) enter into an agreement with that govern-
ment which sets forth—
(i) the amount of the local currencies to be
generated, and
(ii) the terms and conditions under which
the currencies so deposited may be utilized, con-
sistent with this section; and
(C) establish by agreement with that govern-
ment the responsibilities of the Agency for Inter-
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national Development and that government to mon-
itor and account for deposits into and disbursements
from the separate account.
(2) USES
OF LOCAL CURRENCIES.—As may be
agreed upon with the foreign government, local currencies
deposited in a separate account pursuant to subsection
(a), or an equivalent amount of local currencies, shall be
used only—
(A) to carry out chapters 1 or 10 of part I or
chapter 4 of part II (as the case may be), for such
purposes as—
(i) project and sector assistance activities,
or
(ii) debt and deficit financing; or
(B) for the administrative requirements of the
United States Government.
(3) PROGRAMMING ACCOUNTABILITY.—The Agency
for International Development shall take all appropriate
steps to ensure that the equivalent of the local currencies
disbursed pursuant to subsection (a)(2)(A) from the sepa-
rate account established pursuant to subsection (a)(1) are
used for the purposes agreed upon pursuant to subsection
(a)(2).
(4) TERMINATION
OF ASSISTANCE PROGRAMS.—
Upon termination of assistance to a country under chap-
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ters 1 or 10 of part I or chapter 4 of part II (as the case
may be), any unencumbered balances of funds which re-
main in a separate account established pursuant to sub-
section (a) shall be disposed of for such purposes as may
be agreed to by the government of that country and the
United States Government.
(5) CONFORMING AMENDMENTS.—The provisions of
this subsection shall supersede the tenth and eleventh pro-
visos contained under the heading ‘‘Sub-Saharan Africa,
Development Assistance’’ as included in the Foreign Oper-
ations, Export Financing, and Related Programs Appro-
priations Act, 1989 and sections 531(d) and 609 of the
Foreign Assistance Act of 1961.
(b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.—
(1) If assistance is made available to the government of
a foreign country, under chapters 1 or 10 of part I or
chapter 4 of part II of the Foreign Assistance Act of 1961,
as cash transfer assistance or as nonproject sector assist-
ance, that country shall be required to maintain such
funds in a separate account and not commingle them with
any other funds.
(2) APPLICABILITY
OF
OTHER
PROVISIONS
OF
LAW.—Such funds may be obligated and expended not-
withstanding provisions of law which are inconsistent with
the nature of this assistance including provisions which
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are referenced in the Joint Explanatory Statement of the
Committee of Conference accompanying House Joint Res-
olution 648 (H. Report No. 98–1159).
(3) NOTIFICATION.—At least fifteen days prior to ob-
ligating any such cash transfer or nonproject sector assist-
ance, the President shall submit a notification through the
regular notification procedures of the Committees on Ap-
propriations, which shall include a detailed description of
how the funds proposed to be made available will be used,
with a discussion of the United States interests that will
be served by the assistance (including, as appropriate, a
description of the economic policy reforms that will be pro-
moted by such assistance).
(4) EXEMPTION.—Nonproject sector assistance funds
may be exempt from the requirements of subsection (b)(1)
only through the notification procedures of the Commit-
tees on Appropriations.
COMPENSATION FOR UNITED STATES EXECUTIVE
DIRECTORS TO INTERNATIONAL FINANCIAL INSTITUTIONS
SEC. 533. (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
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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 individ-
ual occupying a position at level V of the Executive Sched-
ule 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.
COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST
IRAQ
SEC. 534. (a) DENIAL OF ASSISTANCE.—None of the
funds appropriated or otherwise made available pursuant
to this Act to carry out the Foreign Assistance Act of
1961 (including title IV of chapter 2 of part I, relating
to the Overseas Private Investment Corporation) or the
Arms Export Control Act may be used to provide assist-
ance to any country that is not in compliance with the
United Nations Security Council sanctions against Iraq,
Serbia or Montenegro unless the President determines and
so certifies to the Congress that—
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(1) such assistance is in the national interest of
the United States;
(2) such assistance will directly benefit the
needy people in that country; or
(3) the assistance to be provided will be human-
itarian assistance for foreign nationals who have fled
Iraq and Kuwait.
(b) IMPORT SANCTIONS.—If the President considers
that the taking of such action would promote the effective-
ness of the economic sanctions of the United Nations and
the United States imposed with respect to Iraq, Serbia,
or Montenegro, as the case may be and is consistent with
the national interest, the President may prohibit, for such
a period of time as he considers appropriate, the importa-
tion into the United States of any or all products of any
foreign country that has not prohibited—
(1) the importation of products of Iraq, Serbia,
or Montenegro into its customs territory, and
(2) the export of its products to Iraq, Serbia,
or Montenegro, as the case may be.
POW/MIA MILITARY DRAWDOWN
SEC. 535. (a) Notwithstanding any other provision
of law, the President may direct the drawdown, without
reimbursement by the recipient, of defense articles from
the stocks of the Department of Defense, defense services
of the Department of Defense, and military education and
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training, of an aggregate value not to exceed $15,000,000
in fiscal year 1996, as may be necessary to carry out sub-
section (b).
(b) Such defense articles, services and training may
be provided to Vietnam, Cambodia and Laos, under sub-
section (a) as the President determines are necessary to
support efforts to locate and repatriate members of the
United States Armed Forces and civilians employed di-
rectly or indirectly by the United States Government who
remain unaccounted for from the Vietnam War, and to
ensure the safety of United States Government personnel
engaged in such cooperative efforts and to support United
States Department of Defense-sponsored humanitarian
projects associated with the POW/MIA efforts. Any air-
craft shall be provided under this section only to Laos and
only on a lease or loan basis, but may be provided at no
cost notwithstanding section 61 of the Arms Export Con-
trol Act and may be maintained with defense articles, serv-
ices and training provided under this section.
(c) The President shall, within sixty days of the end
of any fiscal year in which the authority of subsection (a)
is exercised, submit a report to the Congress which identi-
fies the articles, services, and training drawn down under
this section.
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MEDITERRANEAN EXCESS DEFENSE ARTICLES
SEC. 536. During fiscal year 1996, the provisions of
section 573(e) of the Foreign Operations, Export Financ-
ing, and Related Programs Appropriations Act, 1990,
shall be applicable, for the period specified therein, to ex-
cess defense articles made available under sections 516
and 519 of the Foreign Assistance Act of 1961.
CASH FLOW FINANCING
SEC. 537. For each country that has been approved
for cash flow financing (as defined in section 25(d) of the
Arms Export Control Act, as added by section 112(b) of
Public Law 99–83) under the Foreign Military Financing
Program, any Letter of Offer and Acceptance or other
purchase agreement, or any amendment thereto, for a pro-
curement in excess of $100,000,000 that is to be financed
in whole or in part with funds made available under this
Act shall be submitted through the regular notification
procedures to the Committees on Appropriations.
AUTHORITIES FOR THE PEACE CORPS, THE INTER-AMER-
ICAN
FOUNDATION
AND
THE
AFRICAN
DEVELOP-
MENT FOUNDATION
SEC. 538. Unless expressly provided to the contrary,
provisions of this or any other Act, including provisions
contained in prior Acts authorizing or making appropria-
tions for foreign operations, export financing, and related
programs, shall not be construed to prohibit activities au-
•HR 1868 RH1S
thorized by or conducted under the Peace Corps Act, the
Inter-American Foundation Act, or the African Develop-
ment Foundation Act. The appropriate agency shall
promptly report to the Committees on Appropriations
whenever it is conducting activities or is proposing to con-
duct activities in a country for which assistance is prohib-
ited.
IMPACT ON JOBS IN THE UNITED STATES
SEC. 539. None of the funds appropriated by this Act
may be obligated or expended to provide—
(a) any financial incentive to a business enter-
prise currently located in the United States for the
purpose of inducing such an enterprise to relocate
outside the United States if such incentive or in-
ducement is likely to reduce the number of employ-
ees of such business enterprise in the United States
because United States production is being replaced
by such enterprise outside the United States;
(b) assistance for the purpose of establishing or
developing in a foreign country any export process-
ing zone or designated area in which the tax, tariff,
labor, environment, and safety laws of that country
do not apply, in part or in whole, to activities car-
ried out within that zone or area, unless the Presi-
dent determines and certifies that such assistance is
•HR 1868 RH1S
not likely to cause a loss of jobs within the United
States; or
(c) assistance for any project or activity that
contributes to the violation of internationally recog-
nized workers rights, as defined in section 502(a)(4)
of the Trade Act of 1974, of workers in the recipient
country, including any designated zone or area in
that country: Provided, That in recognition that the
application of this subsection should be commensu-
rate with the level of development of the recipient
country and sector, the provisions of this subsection
shall not preclude assistance for the informal sector
in such country, micro and small-scale enterprise,
and smallholder agriculture.
AUTHORITY TO ASSIST BOSNIA-HERCEGOVINA
SEC. 540. (a) Congress finds as follows:
(1) The United Nations has imposed an embar-
go on the transfer of arms to any country on the
territory of the former Yugoslavia.
(2) The federated states of Serbia and
Montenegro have a large supply of military equip-
ment and ammunition and the Serbian forces fight-
ing the government of Bosnia-Hercegovina have
more than one thousand battle tanks, armored vehi-
cles, and artillery pieces.
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(3) Because the United Nations arms embargo
is serving to sustain the military advantage of the
aggressor, the United Nations should exempt the
government of Bosnia-Hercegovina from its embar-
go.
(b) Pursuant to a lifting of the United Nations arms
embargo, or to a unilateral lifting of the arms embargo
by the President of the United States, against Bosnia-
Hercegovina, the President is authorized to transfer, sub-
ject to prior notification of the Committees on Appropria-
tions, to the government of that nation, without reim-
bursement, defense articles from the stocks of the Depart-
ment of Defense and defense services of the Department
of Defense of an aggregate value not to exceed
$50,000,000 in fiscal year 1996: Provided, That the Presi-
dent certifies in a timely fashion to the Congress that the
transfer of such articles would assist that nation in self-
defense and thereby promote the security and stability of
the region.
(c) Within 60 days of any transfer under the author-
ity provided in subsection (b), and every 60 days there-
after, the President shall report in writing to the Speaker
of the House of Representatives and the President pro
tempore of the Senate concerning the articles transferred
and the disposition thereof.
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(d) There are authorized to be appropriated to the
President such sums as may be necessary to reimburse
the applicable appropriation, fund, or account for defense
articles provided under this section.
SPECIAL AUTHORITIES
SEC. 541. (a) Funds appropriated in title II of this
Act that are made available for Haiti, Afghanistan, Leb-
anon, and Cambodia, and for victims of war, displaced
children, displaced Burmese, humanitarian assistance for
Romania, and humanitarian assistance for the peoples of
Bosnia-Hercegovina, Croatia, and Kosova, may be made
available notwithstanding any other provision of law: Pro-
vided, That any such funds that are made available for
Cambodia shall be subject to the provisions of section
531(e) of the Foreign Assistance Act of 1961 and section
906 of the International Security and Development Co-
operation Act of 1985: Provided further, That the Presi-
dent shall terminate assistance to any country or organiza-
tion that he determines is cooperating, tactically or strate-
gically, with the Khmer Rouge in their military operations.
(b) Funds appropriated by this Act to carry out the
provisions of sections 103 through 106 of the Foreign As-
sistance Act of 1961 may be used, notwithstanding any
other provision of law, for the purpose of supporting tropi-
cal forestry and energy programs aimed at reducing emis-
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sions of greenhouse gases, and for the purpose of support-
ing biodiversity conservation activities: Provided, That
such assistance shall be subject to sections 116, 502B, and
620A of the Foreign Assistance Act of 1961.
(c) During fiscal year 1996, the President may use
up to $40,000,000 under the authority of section 451 of
the Foreign Assistance Act of 1961, notwithstanding the
funding ceiling contained in subsection (a) of that section.
(d) The Agency for International Development may
employ personal services contractors, notwithstanding any
other provision of law, for the purpose of administering
programs for the West Bank and Gaza.
POLICY ON TERMINATING THE ARAB LEAGUE BOYCOTT
OF ISRAEL
SEC. 542. It is the sense of the Congress that—
(1) the Arab League countries should imme-
diately and publicly renounce the primary boycott of
Israel and the secondary and tertiary boycott of
American firms that have commercial ties with Is-
rael; and
(2) the President should—
(A) take more concrete steps to encourage
vigorously Arab League countries to renounce
publicly the primary boycotts of Israel and the
secondary and tertiary boycotts of American
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firms that have commercial relations with Israel
as a confidence-building measure;
(B) take into consideration the participa-
tion of any recipient country in the primary
boycott of Israel and the secondary and tertiary
boycotts of American firms that have commer-
cial relations with Israel when determining
whether to sell weapons to said country;
(C) report to Congress on the specific
steps being taken by the President to bring
about a public renunciation of the Arab primary
boycott of Israel and the secondary and tertiary
boycotts of American firms that have commer-
cial relations with Israel; and
(D) encourage the allies and trading part-
ners of the United States to enact laws prohib-
iting businesses from complying with the boy-
cott and penalizing businesses that do comply.
ANTI-NARCOTICS ACTIVITIES
SEC. 543. (a) Of the funds appropriated or otherwise
made available by this Act for ‘‘Economic Support Fund’’,
assistance may be provided to strengthen the administra-
tion of justice in countries in Latin America and the Car-
ibbean in accordance with the provisions of section 534
of the Foreign Assistance Act of 1961, except that pro-
grams to enhance protection of participants in judicial
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cases may be conducted notwithstanding section 660 of
that Act.
(b) Funds made available pursuant to this section
may be made available notwithstanding the third sentence
of section 534(e) of the Foreign Assistance Act of 1961.
Funds made available pursuant to subsection (a) for Bo-
livia, Colombia and Peru may be made available notwith-
standing section 534(c) and the second sentence of section
534(e) of the Foreign Assistance Act of 1961.
ELIGIBILITY FOR ASSISTANCE
SEC. 544. (a) ASSISTANCE THROUGH NONGOVERN-
MENTAL ORGANIZATIONS.—Restrictions contained in this
or any other Act with respect to assistance for a country
shall not be construed to restrict assistance in support of
programs of nongovernmental organizations from funds
appropriated by this Act to carry out the provisions of
chapters 1 and 10 of part I of the Foreign Assistance Act
of 1961: Provided, That the President shall take into con-
sideration, in any case in which a restriction on assistance
would be applicable but for this subsection, whether assist-
ance in support of programs of nongovernmental organiza-
tions is in the national interest of the United States: Pro-
vided further, That before using the authority of this sub-
section to furnish assistance in support of programs of
nongovernmental organizations, the President shall notify
the Committees on Appropriations under the regular noti-
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fication procedures of those committees, including a de-
scription of the program to be assisted, the assistance to
be provided, and the reasons for furnishing such assist-
ance: Provided further, That nothing in this subsection
shall be construed to alter any existing statutory prohibi-
tions against abortion or involuntary sterilizations con-
tained in this or any other Act.
(b) PUBLIC LAW 480.—During fiscal year 1996, re-
strictions contained in this or any other Act with respect
to assistance for a country shall not be construed to re-
strict assistance under the Agricultural Trade Develop-
ment and Assistance Act of 1954: Provided, That none
of the funds appropriated to carry out title I of such Act
and made available pursuant to this subsection may be
obligated or expended except as provided through the reg-
ular notification procedures of the Committees on Appro-
priations.
(c) EXCEPTION.—This section shall not apply—
(1) with respect to section 620A of the Foreign
Assistance Act or any comparable provision of law
prohibiting assistance to countries that support
international terrorism; or
(2) with respect to section 116 of the Foreign
Assistance Act of 1961 or any comparable provision
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of law prohibiting assistance to countries that violate
internationally recognized human rights.
CEILINGS
SEC. 545. Ceilings and earmarks contained in this
Act shall not be applicable to funds or authorities appro-
priated or otherwise made available by any subsequent Act
unless such Act specifically so directs.
EXCESS DEFENSE ARTICLES
SEC. 546. (a) The authority of section 519 of the
Foreign Assistance Act of 1961, as amended, may be used
in fiscal year 1996 to provide nonlethal excess defense ar-
ticles to countries for which United States foreign assist-
ance has been requested and for which receipt of such arti-
cles was separately justified for the fiscal year, without
regard to the restrictions in subsection (a) of section 519.
(b) The authority of section 516 of the Foreign As-
sistance Act of 1961, as amended, may be used in fiscal
year 1996 to provide defense articles to Jordan, except
that the provision of such defense articles shall be subject
to section 534 of this Act.
PROHIBITION ON PUBLICITY OR PROPAGANDA
SEC. 547. No part of any appropriation contained in
this Act shall be used for publicity or propaganda purposes
within the United States not authorized before the date
of enactment of this Act by the Congress: Provided, That
none of the funds appropriated by this Act may be made