227
to facilitate their transition to full NATO
membership and should be invited to be-
come full NATO members.
SEC. 604. REVISIONS TO PROGRAM TO FACILITATE TRANSI-
TION TO NATO MEMBERSHIP.
(a) ESTABLISHMENT
OF
PROGRAM.—Sub-
section (a) of section 203 of the NATO Partici-
pation Act of 1994 (title II of Public Law 103–
447; 22 U.S.C. 1928 note) is amended to read
as follows:
‘‘(a) ESTABLISHMENT
OF
PROGRAM.—The
President shall establish a program to assist
in the transition to full NATO membership of
Poland, Hungary, the Czech Republic, and Slo-
vakia and any other European country emerg-
ing from communist domination that is des-
ignated by the President under subsection
(d)(2).’’.
(b) ELIGIBLE COUNTRIES.—
(1) 
DESIGNATED
COUNTRIES.—Sub-
section (d) of such section is amended to
read as follows:
‘‘(d) 
DESIGNATION
OF
ELIGIBLE
COUN-
TRIES.—
228
‘‘(1) SPECIFIED COUNTRIES.—The follow-
ing countries are hereby designated for
purposes of this title: Poland, Hungary,
the Czech Republic, and Slovakia.
‘‘(2) AUTHORITY FOR PRESIDENT TO DES-
IGNATE OTHER EUROPEAN COUNTRIES EMERG-
ING
FROM
COMMUNIST
DOMINATION.—The
President may designate other European
countries emerging from communist domi-
nation (as defined in section 206) to re-
ceive assistance under the program estab-
lished under subsection (a). The President
may make such a designation in the case
of any such country only if the President
determines, and reports to the designated
congressional committees, that such coun-
try—
‘‘(A) 
has 
made 
significant
progress toward establishing—
‘‘(i) shared values and inter-
ests;
‘‘(ii) democratic governments;
‘‘(iii) free market economies;
229
‘‘(iv) civilian control of the
military, of the police, and of in-
telligence services;
‘‘(v) adherence to the values,
principles, and political commit-
ments embodied in the Helsinki
Final Act of the Conference on Se-
curity and Cooperation in Europe;
and
‘‘(vi) commitment to further
the principles of NATO and to
contribute to the security of the
North Atlantic area;
‘‘(vii) commitment to accept
the 
obligations, 
responsibilities,
and costs of NATO membership;
and
‘‘(viii) commitment to imple-
ment infrastructure development
activities that will facilitate par-
ticipation 
in 
and 
support 
for
NATO military activities; and
‘‘(B) is likely, within five years of
such determination, to be in a posi-
tion to further the principles of the
230
North Atlantic Treaty and to contrib-
ute to the security of the North Atlan-
tic area.’’.
(2) CONFORMING AMENDMENTS.—
(A) Subsections (b) and (c) of such
section 
are 
amended 
by 
striking
‘‘countries described in such sub-
section’’ and inserting ‘‘countries des-
ignated under subsection (d)’’.
(B) Subsection (e) of such section
is amended—
(i) by striking ‘‘subsection (d)’’
and inserting ‘‘subsection (d)(2)’’;
and
(ii) by inserting ‘‘(22 U.S.C.
2394)’’ before the period at the
end.
(C) Section 204(c) of such Act is
amended by striking ‘‘any other’’ and
inserting 
‘‘any 
country 
designated
under section 203(d)(2)’’.
(c) TYPES OF ASSISTANCE.—
(1) ECONOMIC
SUPPORT
ASSISTANCE.—
Subsection (c) of section 203 of such Act is
amended—
231
(A) by redesignating paragraphs
(3) and (4) as paragraphs (4) and (5),
respectively; and
(B) by inserting after paragraph
(2) the following new paragraph (3):
‘‘(3) Assistance under chapter 4 of
part II of the Foreign Assistance Act of
1961 (relating to the Economic Support
Fund).’’.
(2) ADDITIONAL ASSISTANCE.—
(A) IN GENERAL.—Subsection (f) of
such section is amended to read as
follows:
‘‘(f) ADDITIONAL ASSISTANCE.—In carrying
out the program established under subsection
(a), the President may, in addition to the secu-
rity assistance authorized to be provided
under subsection (c), provide assistance to
countries designated under subsection (d)
from funds appropriated under the ‘Non-
proliferation and Disarmament Fund’ ac-
count.’’.
(B) EFFECTIVE DATE.—The amend-
ment made by subparagraph (A) does
not apply with respect to funds appro-
232
priated before the date of the enact-
ment of this Act.
(d) DISQUALIFICATION FROM ASSISTANCE FOR
SUPPORT OF TERRORISM.—Section 203 of such
Act is further amended by adding at the end
the following new subsection:
‘‘(g) PROHIBITION ON PROVIDING ASSISTANCE
TO FOREIGN GOVERNMENTS THAT EXPORT LE-
THAL MILITARY EQUIPMENT TO COUNTRIES SUP-
PORTING
INTERNATIONAL
TERRORISM.—Assist-
ance may only be provided through the pro-
gram established under subsection (a) subject
to the same terms and conditions that apply
under section 563 of the Foreign Operations,
Export Financing, and Related Programs Ap-
propriations Act, 1995 (Public Law 103–306),
with respect to the making available to foreign
governments of funds appropriated or other-
wise made available under that Act.’’.
(e) ANNUAL REPORT.—Section 205 of the
NATO Participation Act of 1994 (title II of
Public Law 103–447; 22 U.S.C. 1928 note) is
amended—
(1) by inserting ‘‘ANNUAL’’ in the sec-
tion heading before the first word;
233
(2) by inserting ‘‘annual’’ after ‘‘in-
clude in the’’ in the matter preceding
paragraph (1);
(3) by redesignating paragraphs (1)
and (2) as paragraphs (2) and (3), respec-
tively;
(4) by inserting before paragraph (2),
as so redesignated, the following new
paragraph (1):
‘‘(1) An assessment of the progress
made by Poland, Hungary, the Czech Re-
public, and Slovakia and by any country
designated by the President under section
203(d)(2) toward meeting the standards
for NATO membership set forth in Article
10 of the North Atlantic Treaty, includ-
ing—
‘‘(A) an assessment of the progress
of each such country toward establish-
ing—
‘‘(i) shared values and inter-
ests;
‘‘(ii) democratic governments;
‘‘(iii) free market economies;
234
‘‘(iv) civilian control of the
military, of the police, and of in-
telligence services;
‘‘(v) adherence to the values,
principles, and political commit-
ments embodied in the Helsinki
Final Act of the Conference on Se-
curity and Cooperation in Europe;
‘‘(vi) commitment to further
the principles of NATO and to
contribute to the security of the
North Atlantic area;
‘‘(vii) commitment to accept
the 
obligations, 
responsibilities,
and costs of NATO membership;
and
‘‘(viii) commitment to imple-
ment infrastructure development
activities that will facilitate par-
ticipation 
in 
and 
support 
for
NATO military activities; and
‘‘(B) the commitment of each such
country to protecting the rights of all
its citizens and respecting the terri-
torial integrity of its neighbors.’’; and
235
(5) in paragraphs (2) and (3), as so re-
designated, by striking ‘‘and other’’ and
all that follows through the period at the
end and inserting ‘‘and any country des-
ignated by the President pursuant to sec-
tion 203(d)(2).’’.
(f) DEFINITIONS.—The NATO Participation
Act of 1994 (title II of Public Law 103–447; 22
U.S.C. 1928 note) is amended by adding at the
end the following new section:
‘‘SEC. 206. DEFINITIONS.
‘‘For purposes of this title:
‘‘(1) NATO.—The term ‘NATO’ means
the North Atlantic Treaty Organization.
‘‘(2) 
OTHER
EUROPEAN
COUNTRIES
EMERGING FROM COMMUNIST DOMINATION.—
The 
term 
‘other 
European 
countries
emerging from communist domination’
means—
‘‘(A) any member of the Partner-
ship for Peace that is located—
‘‘(i) in the territory of the
former Union of Soviet Socialist
Republics; or
236
‘‘(ii) in the territory of the
former Socialist Federal Republic
of Yugoslavia; or
‘‘(B) Estonia, Latvia, Lithuania,
Romania, Bulgaria, or Albania.
‘‘(3) DESIGNATED CONGRESSIONAL COM-
MITTEES.—The term ‘designated congres-
sional committees’ means—
‘‘(A) 
the 
Committee 
on 
Inter-
national Relations, the Committee on
National Security, and the Committee
on Appropriations of the House of
Representatives; and
‘‘(B) the Committee on Foreign Re-
lations, the Committee on Armed Serv-
ices, and the Committee on Appropria-
tions of the Senate.’’.
TITLE VII—BUDGET FIREWALLS
SEC. 701. RESTORATION OF BUDGET FIREWALLS FOR DE-
FENSE SPENDING.
It is the sense of the Congress that so-
called ‘‘budget firewalls’’ between defense and
domestic discretionary spending should be es-
tablished for each of fiscal years 1996, 1997,
and 1998.
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104TH CONGRESS
1ST SESSION
H. R. 7
[Report No. 104–18, Parts I, II, and III]
A BILL
To revitalize the national security of the United
States.
FEBRUARY 6, 1995
Reported with amendments