H. R. 3445 
One Hundred Fifteenth Congress 
of the 
United States of America 
AT THE SECOND SESSION 
Begun and held at the City of Washington on Wednesday, 
the third day of January, two thousand and eighteen 
An Act 
To enhance the transparency and accelerate the impact of programs under the 
African Growth and Opportunity Act and the Millennium Challenge Corporation, 
and for other purposes. 
Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘African Growth and Opportunity 
Act and Millennium Challenge Act Modernization Act’’ or the 
‘‘AGOA and MCA Modernization Act’’. 
SEC. 2. TABLE OF CONTENTS. 
The table of contents for this Act is as follows: 
Sec. 1. Short title. 
Sec. 2. Table of contents. 
TITLE I—ENHANCEMENT OF THE AFRICAN GROWTH AND OPPORTUNITY 
ACT 
Sec. 101. Statement of policy. 
Sec. 102. Definitions. 
Sec. 103. Activities in support of transparency. 
Sec. 104. Activities in support of trade capacity building. 
TITLE II—MODERNIZATION OF THE MILLENNIUM CHALLENGE 
CORPORATION 
Sec. 201. Candidacy status. 
Sec. 202. Carryover authority for private-sector members of board of directors. 
Sec. 203. Additional reporting to the board on the treatment of civil society in an 
eligible country. 
Sec. 204. Concurrent compacts under the Millennium Challenge Act of 2003. 
Sec. 205. Public notification of entering into a compact. 
Sec. 206. Disclosure. 
Sec. 207. Restriction on the use of assistance under section 616. 
Sec. 208. Study on subnational compacts. 
TITLE I—ENHANCEMENT OF THE AFRI-
CAN GROWTH AND OPPORTUNITY ACT 
SEC. 101. STATEMENT OF POLICY. 
It is the policy of the United States to support efforts to— 
(1) improve the rule of law, promote free and fair elections, 
strengthen and expand the private sector, and fight corruption 
in sub-Saharan Africa; and 
(2) promote the role of women in social, political, and 
economic development in sub-Saharan Africa.
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SEC. 102. DEFINITIONS. 
In this title— 
(1) AGOA WEBSITE.—The term ‘‘AGOA Website’’ means the 
website established pursuant to section 103(a). 
(2) ELIGIBLE SUB-SAHARAN AFRICAN COUNTRY.—The term 
‘‘eligible sub-Saharan African country’’ means a country that 
the President has determined meets the eligibility requirements 
set forth in section 104 of the African Growth and Opportunity 
Act (19 U.S.C. 3703). 
SEC. 103. ACTIVITIES IN SUPPORT OF TRANSPARENCY. 
(a) AGOA WEBSITE.— 
(1) IN GENERAL.—The President shall establish a publicly 
available website for the collection and dissemination of 
information regarding the African Growth and Opportunity 
Act (19 U.S.C. 3701 et seq.). 
(2) CONTENTS.—The President shall publish on the AGOA 
Website the information described in paragraph (1), including— 
(A) information and technical assistance provided at 
United States Agency for International Development 
regional trade hubs; and 
(B) a link to the websites of United States embassies 
located in eligible sub-Saharan African countries. 
(3) ACTIONS BY UNITED STATES EMBASSIES.—The Secretary 
of State should direct United States embassies located in 
eligible sub-Saharan African countries to— 
(A) encourage individuals and businesses in such coun-
tries to use the benefits available under the African Growth 
and Opportunity Act; and 
(B) include a link to the AGOA Website on the websites 
of such diplomatic missions. 
(b) AGOA FORUM.—After each meeting of the United States– 
Sub-Saharan Africa Trade and Economic Cooperation Forum, the 
President should publish on the AGOA Website the following: 
(1) The outcomes of the meeting of the Forum, including 
any commitments made by member countries and the private 
sector. 
(2) An assessment of progress made with respect to any 
commitments made by member countries and the private sector 
from the previous meeting of the Forum. 
(c) OTHER INFORMATION.—The President should disseminate 
the information required under this section in a digital format 
to the public and publish such information on the AGOA Website. 
SEC. 104. ACTIVITIES IN SUPPORT OF TRADE CAPACITY BUILDING. 
The President should— 
(1) develop and implement policies that— 
(A) encourage and facilitate cross-boundary cooperation 
among eligible sub-Saharan African countries in order to 
facilitate trade; and 
(B) encourage the provision of technical assistance to 
eligible sub-Saharan African countries to establish and sus-
tain adequate trade capacity development; 
(2) provide specific training for businesses in eligible sub- 
Saharan African countries and government trade officials of 
such countries on accessing the benefits under the African
H. R. 3445—3 
Growth and Opportunity Act and other trade preference pro-
grams; 
(3) provide capacity building for African entrepreneurs and 
trade associations on production strategies, quality standards, 
formation of cooperatives, market research, and market 
development; 
(4) provide capacity building training to promote diver-
sification of African products and value-added processing; and 
(5) provide capacity building and technical assistance 
funding for African businesses and institutions to help such 
businesses and institutions comply with United States counter-
terrorism initiatives and policies. 
TITLE 
II—MODERNIZATION 
OF 
THE 
MILLENNIUM CHALLENGE CORPORA-
TION 
SEC. 201. CANDIDACY STATUS. 
(a) LOW INCOME COUNTRIES.—Section 606(a) of the Millennium 
Challenge Act of 2003 (22 U.S.C. 7705(a)) is amended— 
(1) in paragraph (1)(B), by striking ‘‘(3)’’ and inserting 
‘‘(4)’’; 
(2) in paragraph (2)— 
(A) by amending the paragraph heading to read as 
follows: ‘‘FISCAL YEARS 2005 THROUGH 2012’’; and 
(B) by striking ‘‘fiscal year 2005 or a subsequent fiscal 
year’’ and inserting ‘‘each of fiscal years 2005 through 
2012’’; 
(3) by redesignating paragraph (3) as paragraph (4); and 
(4) by inserting after paragraph (2) the following: 
‘‘(3) FISCAL YEAR 2013 AND SUBSEQUENT FISCAL YEARS.— 
A country shall be a candidate country for purposes of eligibility 
for assistance for fiscal year 2013 or a subsequent fiscal year 
if the country— 
‘‘(A) has a per capita income not greater than the 
lower middle income country threshold established by the 
International Bank for Reconstruction and Development 
for such fiscal year; 
‘‘(B) is among the 75 countries identified by the Inter-
national Bank for Reconstruction and Development as 
having the lowest per capita income; and 
‘‘(C) meets the requirements under paragraph (1)(B).’’. 
(b) LOWER MIDDLE INCOME COUNTRIES.—Section 606(b) of the 
Millennium Challenge Act of 2003 (22 U.S.C. 7705(b)) is amended— 
(1) in paragraph (1)— 
(A) by amending the paragraph heading to read as 
follows: ‘‘FISCAL YEARS 2006 THROUGH 2012’’; and 
(B) in the matter preceding subparagraph (A), by 
striking ‘‘fiscal year 2006 or a subsequent fiscal year’’ and 
inserting ‘‘fiscal years 2006 through 2012’’; 
(2) by redesignating paragraph (2) as paragraph (3); and 
(3) by inserting after paragraph (1) the following: 
‘‘(2) FISCAL YEAR 2013 AND SUBSEQUENT FISCAL YEARS.— 
In addition to the countries described in subsection (a), a 
country shall be a candidate country for purposes of eligibility
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for assistance for fiscal year 2013 or a subsequent fiscal year 
if the country— 
‘‘(A) has a per capita income not greater than the 
lower middle income country threshold established by the 
International Bank for Reconstruction and Development 
for the fiscal year; 
‘‘(B) is not among the 75 countries identified by the 
International Bank for Reconstruction and Development 
as having the lowest per capita income; and 
‘‘(C) 
meets 
the 
requirements 
under 
subsection 
(a)(1)(B).’’. 
(c) RECLASSIFICATION.—Section 606 of the Millennium Chal-
lenge Act of 2003 (22 U.S.C. 7705) is amended— 
(1) by redesignating subsection (c) as subsection (d); and 
(2) by inserting after subsection (b) the following: 
‘‘(c) TREATMENT
OF COUNTRIES WITH PER CAPITA INCOME 
CHANGES.—A country qualifying for candidate status under this 
section with a per capita income that changes during the fiscal 
year such that the country would be reclassified from a low income 
country to a lower middle income country or from a lower middle 
income country to a low income country shall retain its candidacy 
status in its former income classification for such fiscal year and 
the 2 subsequent fiscal years.’’. 
SEC. 202. CARRYOVER AUTHORITY FOR PRIVATE-SECTOR MEMBERS 
OF BOARD OF DIRECTORS. 
Section 604(c)(4)(B) of the Millennium Challenge Act of 2003 
(22 U.S.C. 7703(c)(4)(B)) is amended to read as follows: 
‘‘(B) OTHER
MEMBERS.—Each member of the Board 
described in paragraph (3)(B)— 
‘‘(i) shall be appointed for a term of 3 years; 
‘‘(ii) may be reappointed for a term of an additional 
2 years; and 
‘‘(iii) may continue to serve in each such appoint-
ment until the earlier of— 
‘‘(I) the date on which his or her successor 
is appointed; or 
‘‘(II) the date that is 1 year after the expiration 
of his or her appointment or reappointment, as 
the case may be.’’. 
SEC. 203. ADDITIONAL REPORTING TO THE BOARD ON THE TREAT-
MENT OF CIVIL SOCIETY IN AN ELIGIBLE COUNTRY. 
Section 607 of the Millennium Challenge Act of 2003 (22 U.S.C. 
7706) is amended— 
(1) in subsection (a), by adding at the end the following: 
‘‘A determination whether a country is eligible for a subsequent, 
non-concurrent Millennium Challenge Compact shall also be 
based, to the extent practicable, on significantly improved 
performance across the criteria in subsection (b) that, at a 
minimum, are relevant to the preceding Compact, compared 
to the country’s performance with respect to such criteria when 
selected for such preceding Compact.’’ 
(2) in subsection (b)(1)— 
(A) in subparagraph (D), by striking ‘‘and’’ at the end; 
(B) in subparagraph (E), by adding ‘‘and’’ at the end; 
and 
(C) by adding at the end the following:
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‘‘(F) the quality of the civil society enabling environ-
ment;’’; 
(3) by redesignating subsections (d) and (e) as subsections 
(e) and (f), respectively; and 
(4) by inserting after subsection (c) the following: 
‘‘(d) REPORTING
ON TREATMENT
OF CIVIL SOCIETY.—For the 
7-year period beginning on the date of the enactment of this sub-
section, before the Board selects an eligible country for a Compact 
under subsection (c), the Corporation shall provide information 
to the Board regarding the country’s treatment of civil society, 
including classified information, as appropriate. The information 
shall include an assessment and analysis of factors including— 
‘‘(1) any relevant laws governing the formation or establish-
ment of a civil society organization, particularly laws intended 
to curb the activities of foreign civil society organizations; 
‘‘(2) any relevant laws governing the operations of a civil 
society organization, particularly those laws seeking to define 
or otherwise regulate the actions of foreign civil society 
organizations; 
‘‘(3) laws relating to the legal status of civil society 
organizations, including laws which effectively discriminate 
against foreign civil society organizations as compared to simi-
larly situated domestic organizations; 
‘‘(4) laws regulating the freedom of expression and peaceful 
assembly; and 
‘‘(5) laws regulating the usage of the Internet, particularly 
by foreign civil society organizations.’’. 
SEC. 204. CONCURRENT COMPACTS UNDER THE MILLENNIUM CHAL-
LENGE ACT OF 2003. 
(a) IN GENERAL.—Section 609 of the Millennium Challenge 
Act of 2003 (22 U.S.C. 7708) is amended— 
(1) by striking the first sentence of subsection (k); 
(2) by redesignating subsection (k) (as so amended) as 
subsection (l); and 
(3) by inserting after subsection (j) the following: 
‘‘(k) CONCURRENT COMPACTS.—An eligible country that has 
entered into and has in effect a Compact under this section may 
enter into and have in effect at the same time not more than 
one additional Compact in accordance with the requirements of 
this title if— 
‘‘(1) one or both of the Compacts are or will be for purposes 
of regional economic integration, increased regional trade, or 
cross-border collaborations; and 
‘‘(2) the Board determines that the country is making 
considerable and demonstrable progress in implementing the 
terms of the existing Compact and supplementary agreements 
thereto.’’. 
(b) CONFORMING AMENDMENT.—Section 613(b)(2)(A) of such Act 
(22 U.S.C. 7712(b)(2)(A)) is amended by striking ‘‘the’’ before ‘‘Com-
pact’’ and inserting ‘‘any’’. 
(c) APPLICABILITY.—The amendments made by this section 
apply with respect to Compacts entered into between the United 
States and an eligible country under the Millennium Challenge 
Act of 2003 before, on, or after the date of the enactment of this 
Act.
H. R. 3445—6 
SEC. 205. PUBLIC NOTIFICATION OF ENTERING INTO A COMPACT. 
Section 610 of the Millennium Challenge Act of 2003 (22 U.S.C. 
7709) is amended to read as follows: 
‘‘SEC. 610. CONGRESSIONAL AND PUBLIC NOTIFICATION. 
‘‘(a) CONGRESSIONAL CONSULTATIONS AND NOTIFICATIONS.— 
‘‘(1) IN GENERAL.—The Board, acting through the Chief 
Executive Officer, shall consult with and notify the appropriate 
congressional committees not later than 15 days before taking 
any of the actions described in paragraph (2). 
‘‘(2) ACTIONS
DESCRIBED.—The actions described in this 
paragraph are— 
‘‘(A) providing assistance for an eligible country under 
section 609(g); 
‘‘(B) commencing negotiations with an eligible country 
to provide assistance for— 
‘‘(i) a Compact under section 605; or 
‘‘(ii) an agreement under section 616; 
‘‘(C) signing such a Compact or agreement; and 
‘‘(D) terminating assistance under such a Compact or 
agreement. 
‘‘(3) ECONOMIC
JUSTIFICATION.—Any notification relating 
to the intent to negotiate or sign a Compact shall include 
a report describing the projected economic justification for the 
Compact, including, as applicable— 
‘‘(A) the expected economic rate of return of the Com-
pact; 
‘‘(B) a cost-benefit analysis of the Compact; 
‘‘(C) a description of the impact on beneficiary popu-
lations; 
‘‘(D) the likelihood that the investment will catalyze 
private sector investments; and 
‘‘(E) any other applicable economic factors that justify 
each project to be funded under such a Compact to the 
extent practicable and appropriate. 
‘‘(4) RISK
MANAGEMENT
PLAN.—Not later than 60 days 
before signing each concurrent Compact, as authorized under 
section 609, the Board, acting through the Chief Executive 
Officer, shall consult with and provide to the appropriate 
congressional committees— 
‘‘(A) an assessment and, as appropriate, the identifica-
tion of potential measures to mitigate risks, of— 
‘‘(i) the countries’ commitment to regional integra-
tion and cross-border cooperation and capacity to carry 
out commitments; 
‘‘(ii) political and policy risks, including risks that 
could affect country eligibility; 
‘‘(iii) risks associated with realizing economic 
returns; 
‘‘(iv) time and completion risks; and 
‘‘(v) cost and financial risks; and 
‘‘(B) an assessment of measures to be taken to mitigate 
any identified risks, including— 
‘‘(i) securing other potential donors to finance 
projects or parts of projects as needed; and 
‘‘(ii) partnering with regional organizations to sup-
port and oversee effective cross-border cooperation.
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‘‘(b) 
CONGRESSIONAL
AND
PUBLIC
NOTIFICATION
AFTER 
ENTERING INTO A COMPACT.—Not later than 10 days after entering 
into a Compact with an eligible country, the Board, acting through 
the Chief Executive Officer, shall— 
‘‘(1) publish the text of the Compact on the website of 
the Corporation; 
‘‘(2) provide the appropriate congressional committees with 
a detailed summary of the Compact and, upon request, the 
text of the Compact; and 
‘‘(3) publish in the Federal Register a detailed summary 
of the Compact and a notice of availability of the text of the 
Compact on the website of the Corporation.’’. 
SEC. 206. DISCLOSURE. 
(a) REQUIREMENT FOR TIMELY DISCLOSURE.—Section 612(a) of 
the Millennium Challenge Act of 2003 (22 U.S.C. 7711(a)) is 
amended— 
(1) in the subsection heading, by inserting ‘‘TIMELY’’ before 
‘‘DISCLOSURE’’; and 
(2) in the matter preceding paragraph (1)— 
(A) by striking ‘‘The Corporation’’ and inserting ‘‘Not 
later than 90 days after the last day of each fiscal quarter, 
the Corporation’’; and 
(B) by striking ‘‘on at least a quarterly basis,’’. 
(b) DISSEMINATION.—Section 612(b) of the Millennium Chal-
lenge Act of 2003 (22 U.S.C. 7711(b)) is amended to read as follows: 
‘‘(b) DISSEMINATION.—The Board, acting through the Chief 
Executive Officer, shall make the information required to be dis-
closed under subsection (a) available to the public— 
‘‘(1) by publishing it on the website of the Corporation; 
‘‘(2) by providing notice of the availability of such informa-
tion in the Federal Register; and 
‘‘(3) by any other methods that the Board determines to 
be appropriate.’’. 
SEC. 207. RESTRICTION ON THE USE OF ASSISTANCE UNDER SECTION 
616. 
Section 616(d) of the Millennium Challenge Act of 2003 (22 
U.S.C. 7715(d)) is amended to read as follows: 
‘‘(d) FUNDING.— 
‘‘(1) LIMITATION.—Not more than 10 percent of the amounts 
made available to carry out this Act for a fiscal year may 
be made available to carry out this section. 
‘‘(2) RESTRICTION RELATING TO ASSISTANCE.—None of the 
funds authorized to carry out the purposes of this Act shall 
be available for assistance under this section to a country 
that does not qualify as a candidate country under section 
606 for the fiscal year during which such assistance is pro-
vided.’’. 
SEC. 208. STUDY ON SUBNATIONAL COMPACTS. 
(a) IN GENERAL.—Not later than 180 days after the date of 
the enactment of this Act, the Board of the Millennium Challenge 
Corporation, acting through the Chief Executive Officer, shall 
submit a study to the appropriate congressional committees that 
assesses the feasibility and desirability of developing partnerships 
at the subnational level within candidate countries that would 
be complementary to, and, as applicable, concurrent with, any
H. R. 3445—8 
Millennium Challenge Corporation national-level or regional invest-
ments. 
(b) CONTENT.—The study required under subsection (a) shall 
examine— 
(1) the extent to which targeting investments at the sub-
national level might provide new opportunities for reducing 
poverty through economic growth; 
(2) the extent to which traditional approaches to defining 
poverty may not adequately capture the nature of poverty 
within a country; 
(3) the types of subnational entities that might be appro-
priate partners for subnational Millennium Challenge Corpora-
tion compacts; 
(4) how candidates for subnational partners might best 
be identified; and 
(5) what role each national government should play in 
creating or implementing a subnational partnership. 
(c) APPROPRIATE CONGRESSIONAL COMMITTEES.—In this sub-
section, the term ‘‘appropriate congressional committees’’ means— 
(1) the Committee on Foreign Relations of the Senate; 
(2) the Committee on Appropriations of the Senate; 
(3) the Committee on Foreign Affairs of the House of Rep-
resentatives; and 
(4) the Committee on Appropriations of the House of Rep-
resentatives. 
Speaker of the House of Representatives. 
Vice President of the United States and
President of the Senate.