H. R. 2055—410 
PERSONNEL ACTIONS 
SEC. 7005. Any costs incurred by a department or agency funded 
under title I of this Act resulting from personnel actions taken 
in response to funding reductions included in this Act shall be 
absorbed within the total budgetary resources available under title 
I to such department or agency: Provided, That the authority to 
transfer funds between appropriations accounts as may be necessary 
to carry out this section is provided in addition to authorities 
included elsewhere in this Act: Provided further, That use of funds 
to carry out this section shall be treated as a reprogramming 
of funds under section 7015 of this Act and shall not be available 
for obligation or expenditure except in compliance with the proce-
dures set forth in that section. 
LOCAL GUARD CONTRACTS 
SEC. 7006. In evaluating proposals for local guard contracts, 
the Secretary of State shall award contracts in accordance with 
section 136 of the Foreign Relations Authorization Act, Fiscal Years 
1990 and 1991 (22 U.S.C. 4864), except that the Secretary may 
grant authorization to award such contracts on the basis of best 
value as determined by a cost-technical tradeoff analysis (as 
described in Federal Acquisition Regulation part 15.101) in Iraq, 
Afghanistan, and Pakistan, notwithstanding subsection (c)(3) of 
such section: Provided, That the authority in this section shall 
apply to any options for renewal that may be exercised under 
such contracts that are awarded during the current fiscal year: 
Provided further, That prior to issuing a solicitation for a contract 
to be awarded pursuant to the authority under this section, the 
Secretary of State shall consult with the Committees on Appropria-
tions and other relevant congressional committees. 
PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN COUNTRIES 
SEC. 7007. None of the funds appropriated or otherwise made 
available pursuant to titles III through VI of this Act shall be 
obligated or expended to finance directly any assistance or repara-
tions for the governments of Cuba, North Korea, Iran, or Syria: 
Provided, That for purposes of this section, the prohibition on 
obligations or expenditures shall include direct loans, credits, insur-
ance and guarantees of the Export-Import Bank or its agents. 
COUPS D’E´ TAT 
SEC. 7008. None of the funds appropriated or otherwise made 
available pursuant to titles III through VI of this Act shall be 
obligated or expended to finance directly any assistance to the 
government of any country whose duly elected head of government 
is deposed by military coup d’e´tat or decree or, after the date 
of enactment of this Act, a coup d’e´tat or decree in which the 
military plays a decisive role: Provided, That assistance may be 
resumed to such government if the President determines and cer-
tifies to the Committees on Appropriations that subsequent to the 
termination of assistance a democratically elected government has 
taken office: Provided further, That the provisions of this section 
shall not apply to assistance to promote democratic elections or 
public participation in democratic processes: Provided further, That
H. R. 2055—411 
funds made available pursuant to the previous provisos shall be 
subject to the regular notification procedures of the Committees 
on Appropriations. 
TRANSFER AUTHORITY 
SEC. 7009. (a) DEPARTMENT
OF STATE
AND BROADCASTING 
BOARD OF GOVERNORS.— 
(1) Not to exceed 5 percent of any appropriation made 
available for the current fiscal year for the Department of 
State under title I of this Act may be transferred between 
such appropriations, but no such appropriation, except as other-
wise specifically provided, shall be increased by more than 
10 percent by any such transfers. 
(2) Not to exceed 5 percent of any appropriation made 
available for the current fiscal year for the Broadcasting Board 
of Governors under title I of this Act may be transferred 
between such appropriations, but no such appropriation, except 
as otherwise specifically provided, shall be increased by more 
than 10 percent by any such transfers. 
(3) Any transfer pursuant to this section shall be treated 
as a reprogramming of funds under section 7015(a) and (b) 
of this Act and shall not be available for obligation or expendi-
ture except in compliance with the procedures set forth in 
that section. 
(b) EXPORT FINANCING TRANSFER AUTHORITIES.—Not to exceed 
5 percent of any appropriation other than for administrative 
expenses made available for fiscal year 2012, for programs under 
title VI of this Act may be transferred between such appropriations 
for use for any of the purposes, programs, and activities for which 
the funds in such receiving account may be used, but no such 
appropriation, except as otherwise specifically provided, shall be 
increased by more than 25 percent by any such transfer: Provided, 
That the exercise of such authority shall be subject to the regular 
notification procedures of the Committees on Appropriations. 
(c) LIMITATION ON TRANSFERS BETWEEN AGENCIES.— 
(1) None of the funds made available under titles II through 
V of this Act may be transferred to any department, agency, 
or instrumentality of the United States Government, except 
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 appro-
priated by this Act to carry out the purposes of the Foreign 
Assistance Act of 1961 may be allocated or transferred to agen-
cies of the United States Government pursuant to the provisions 
of sections 109, 610, and 632 of the Foreign Assistance Act 
of 1961. 
(3) Any agreement entered into by the United States 
Agency for International Development (USAID) or the Depart-
ment of State with any department, agency, or instrumentality 
of the United States Government pursuant to section 632(b) 
of the Foreign Assistance Act of 1961 valued in excess of 
$1,000,000 and any agreement made pursuant to section 632(a) 
of such Act, with funds appropriated by this Act and prior 
Acts making appropriations for the Department of State, foreign 
operations, and related programs under the headings ‘‘Global
H. R. 2055—412 
Health Programs’’, ‘‘Development Assistance’’, and ‘‘Economic 
Support Fund’’ shall be subject to the regular notification proce-
dures of the Committees on Appropriations: Provided, That 
the requirement in the previous sentence shall not apply to 
agreements entered into between USAID and the Department 
of State. 
(d) TRANSFERS BETWEEN ACCOUNTS.—None of the funds made 
available under titles II through V of 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 jus-
tification to the Committees on Appropriations. 
(e) AUDIT OF INTER-AGENCY TRANSFERS.—Any agreement for 
the transfer or allocation of funds appropriated by this Act, or 
prior Acts, entered into between the Department of State or USAID 
and another agency of the United States Government under the 
authority of section 632(a) of the Foreign Assistance Act of 1961 
or any comparable provision of law, shall expressly provide that 
the Inspector General (IG) for the agency receiving the transfer 
or allocation of such funds, or other entity with audit responsibility 
if the receiving agency does not have an IG, shall perform periodic 
program and financial audits of the use of such funds: Provided, 
That such audits shall be transmitted to the Committees on Appro-
priations: Provided further, That funds transferred under such 
authority may be made available for the cost of such audits. 
REPORTING REQUIREMENT 
SEC. 7010. The Secretary of State shall provide the Committees 
on Appropriations, not later than April 1, 2012, and for each fiscal 
quarter, a report in writing on the uses of funds made available 
under the headings ‘‘Foreign Military Financing Program’’, ‘‘Inter-
national Military Education and Training’’, ‘‘Peacekeeping Oper-
ations’’, and ‘‘Pakistan Counterinsurgency Capability Fund’’: Pro-
vided, That such report shall include a description of the obligation 
and expenditure of funds, and the specific country in receipt of, 
and the use or purpose of the assistance provided by such funds. 
AVAILABILITY OF FUNDS 
SEC. 7011. No part of any appropriation contained in this 
Act shall remain available for obligation after the expiration of 
the current fiscal year unless expressly so provided in this Act: 
Provided, That funds appropriated for the purposes of chapters 
1 and 8 of part I, section 661, 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 headings 
‘‘Assistance for Europe, Eurasia and Central Asia’’ and ‘‘Develop-
ment Credit Authority’’, 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 con-
tained in this Act: Provided further, That notwithstanding any 
other provision of this Act, any funds made available for the pur-
poses of chapter 1 of part I and chapter 4 of part II of the Foreign 
Assistance Act of 1961 which are allocated or obligated for cash
H. R. 2055—413 
disbursements in order to address balance of payments or economic 
policy reform objectives, 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 allocated 
or obligated before the expiration of their respective periods of 
availability contained in this Act: Provided further, That the Sec-
retary of State shall provide a report to the Committees on Appro-
priations at the beginning of each fiscal year, detailing by account 
and source year, the use of this authority during the previous 
fiscal year. 
LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT 
SEC. 7012. No part of any appropriation provided under titles 
III through VI in this Act shall be used to furnish assistance 
to the government of any country which is in default during a 
period in excess of one 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 Act unless the President 
determines, following consultations with the Committees on Appro-
priations, that assistance for such country is in the national interest 
of the United States. 
PROHIBITION ON TAXATION OF UNITED STATES ASSISTANCE 
SEC. 7013. (a) PROHIBITION ON TAXATION.—None of the funds 
appropriated under titles III through VI of 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 agreement includes 
a provision stating that assistance provided by the United States 
shall be exempt from taxation, or reimbursed, by the foreign govern-
ment, and the Secretary of State shall expeditiously seek to nego-
tiate amendments to existing bilateral agreements, as necessary, 
to conform with this requirement. 
(b) REIMBURSEMENT OF FOREIGN TAXES.—An amount equiva-
lent to 200 percent of the total taxes assessed during fiscal year 
2012 on funds appropriated by this Act by a foreign government 
or entity against commodities financed under United States assist-
ance programs for which funds are appropriated by this Act, either 
directly or through grantees, contractors and subcontractors shall 
be withheld from obligation from funds appropriated for assistance 
for fiscal year 2013 and allocated for the central government of 
such country and for the West Bank and Gaza program to the 
extent that the Secretary of State certifies and reports in writing 
to the Committees 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 obliga-
tion for each country or entity pursuant to subsection (b) shall 
be reprogrammed for assistance to countries 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.—