H. R. 2295—25
(2) the ability of an official or employee of the United
States to express the policies of the President; or
(3) the ability of an official or employee of the United
States to communicate with any foreign country government,
group or individual, either directly or through a third party,
with respect to the prohibitions of this section including the
reasons for such prohibitions, and the actions, terms, or condi-
tions which might lead to the removal of the prohibitions of
this section.
DEBT-FOR-DEVELOPMENT
SEC. 534. In order to enhance the continued participation of
nongovernmental organizations in economic assistance activities
under the Foreign Assistance Act of 1961, including endowments,
debt-for-development and debt-for-nature exchanges, a nongovern-
mental organization 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 the heading ‘‘Agency for Inter-
national Development’’ and any interest earned on such investment
may be for the purpose for which the assistance was provided
to that organization.
LOCATION OF STOCKPILES
SEC. 535. Section 514(b)(2) of the Foreign Assistance Act of
1961 is amended by striking out ‘‘$389,000,000 for fiscal year 1993,
of which amount not less than $200,000,000 shall be available
for stockpiles in Israel, and up to $189,000,000 may be available
for stockpiles in the Republic of Korea’’ and inserting in lieu thereof
‘‘$200,000,000 for stockpiles in Israel for fiscal year 1994’’, up to
$72,000,000 may be made available for stockpiles in the Republic
of Korea, and up to $20,000,000 may be made available for stock-
piles in Thailand.
ASSISTANCE FOR PAKISTAN
SEC. 536. (a) The date specified in section 620E(d) of the Foreign
Assistance Act of 1961 is amended to read as follows: ‘‘September
30, 1994’’.
(b) None of the funds appropriated in this Act shall be obligated
or expended for Pakistan except as provided through the regular
notification procedures of the Committees on Appropriations.
SEPARATE ACCOUNTS
SEC. 537. (a) SEPARATE ACCOUNTS FOR LOCAL CURRENCIES.—
(1) If assistance is furnished to the government of a foreign country
under chapters 1 and 10 of part I (including the Philippines Multi-
lateral Assistance Initiative) 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 government which
sets forth—
H. R. 2295—26
(i) the amount of the local currencies to be generated,
and
(ii) the terms and conditions under which the cur-
rencies so deposited may be utilized, consistent with this
section; and
(C) establish by agreement with that government the
responsibilities of the Agency for International Development
and that government to monitor 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 Inter-
national Development shall take all appropriate steps to ensure
that the equivalent of the local currencies disbursed pursuant to
subsection (a)(2)(A) from the separate 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 chapters 1 or 10 of part I or
chapter 4 of part II (as the case may be), any unencumbered
balances of funds which remain in a separate account established
pursuant to subsection (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 sub-
section shall supersede the tenth and eleventh provisos contained
under the heading ‘‘Sub-Saharan Africa, Development Assistance’’
as included in the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1989 and sections 531(d)
and 609 of the Foreign Assistance Act of 1961.
(b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.—(1) If assist-
ance is made available to the government of a foreign country,
under chapters 1 or 10 of part I (including the Philippines Multilat-
eral Assistance Initiative) or chapter 4 of part II of the Foreign
Assistance Act of 1961, as cash transfer assistance or as nonproject
sector assistance, 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 notwithstanding provisions of law
which are inconsistent with the nature of this assistance including
provisions which are referenced in the Joint Explanatory Statement
of the Committee of Conference accompanying House Joint Resolu-
tion 648 (H. Report No. 98–1159).
(3) NOTIFICATION.—At least fifteen days prior to obligating
any such cash transfer or nonproject sector assistance, the President
shall submit a notification through the regular notification proce-
dures of the Committees on Appropriations, which shall include
a detailed description of how the funds proposed to be made avail-
H. R. 2295—27
able 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 promoted
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 Committees on Appropriations.
COMPENSATION FOR UNITED STATES EXECUTIVE DIRECTORS TO
INTERNATIONAL FINANCIAL INSTITUTIONS
SEC. 538. (a) No funds appropriated by this Act may be made
as payment to any international financial institution while the
United States Executive Director to such institution is compensated
by the institution at a rate which, together with whatever com-
pensation 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 institution at a rate
in excess of the rate provided for an individual occupying a position
at level V of the Executive Schedule under section 5316 of title
5, United States Code.
(b) For purposes of this section, ‘‘international financial institu-
tions’’ are: the International Bank for Reconstruction and
Development, the Inter-American Development Bank, the Asian
Development Bank, the Asian Development Fund, the African
Development Bank, the African Development Fund, the Inter-
national Monetary Fund, and the European Bank for Reconstruction
and Development.
COMPLIANCE WITH UNITED NATIONS SANCTIONS AGAINST IRAQ
SEC. 539. (a) DENIAL OF ASSISTANCE.—None of the funds appro-
priated 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 assistance
to any country that is not in compliance with the United Nations
Security Council sanctions against Iraq unless the President deter-
mines and so certifies to the Congress that—
(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 humanitarian
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 effectiveness of the eco-
nomic sanctions of the United Nations and the United States
imposed with respect to Iraq, and is consistent with the national
interest, the President may prohibit, for such a period of time
as he considers appropriate, the importation into the United States
of any or all products of any foreign country that has not
prohibited—
(1) the importation of products of Iraq into its customs
territory, and
(2) the export of its products to Iraq.
H. R. 2295—28
POW/MIA MILITARY DRAWDOWN
SEC. 540. (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 training, of an aggregate value not to exceed
$15,000,000 in fiscal year 1994, as may be necessary to carry
out subsection (b).
(b) Such defense articles, services and training may be provided
to Cambodia and Laos, under subsection (a) as the President deter-
mines are necessary to support efforts to locate and repatriate
members of the United States Armed Forces and civilians employed
directly 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-spon-
sored humanitarian projects associated with the POW/MIA efforts.
Any aircraft 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 Control Act
and may be maintained with defense articles, services 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 identifies the articles, serv-
ices, and training drawn down under this section.
(d) There are authorized to be appropriated to the President
such sums as may be necessary to reimburse the applicable appro-
priation, fund, or account for defense articles, defense services,
and military education and training provided under this section.
MEDITERRANEAN EXCESS DEFENSE ARTICLES
SEC. 541. During fiscal year 1994, the provisions of section
573(e) of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1990, shall be applicable, for the
period specified therein, to excess defense articles made available
under sections 516 and 519 of the Foreign Assistance Act of 1961.
PRIORITY DELIVERY OF EQUIPMENT
SEC. 542. Notwithstanding any other provision of law, the
delivery of excess defense articles that are to be transferred on
a grant basis under section 516 of the Foreign Assistance Act
to NATO allies and to major non-NATO allies on the southern
and southeastern flank of NATO shall be given priority to the
maximum extent feasible over the delivery of such excess defense
articles to other countries.
ISRAEL DRAWDOWN
SEC. 543. Section 599B(a) of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1991 (as
amended by Public Law 102–145, as amended, and Public Law
102–391), is further amended—
(a) by striking out ‘‘fiscal year 1993’’ and inserting in lieu
thereof ‘‘fiscal year 1994’’; and