I 
115TH CONGRESS 
2D SESSION 
H. R. 5105 
To establish the United States International Development Finance 
Corporation, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 27, 2018 
Mr. YOHO (for himself and Mr. SMITH of Washington) introduced the 
following bill; which was referred to the Committee on Foreign Affairs 
A BILL 
To establish the United States International Development 
Finance Corporation, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Better Utilization of Investments Leading to Develop-
ment Act of 2018’’ or the ‘‘BUILD Act of 2018’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Definitions. 
TITLE I—ESTABLISHMENT 
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Sec. 101. Statement of policy. 
Sec. 102. United States International Development Finance Corporation. 
Sec. 103. Management of Corporation. 
Sec. 104. Inspector General of the Corporation. 
TITLE II—AUTHORITIES 
Sec. 201. Authorities relating to provision of support. 
Sec. 202. Terms and conditions. 
Sec. 203. Payment of losses. 
Sec. 204. Termination. 
TITLE III—ADMINISTRATIVE AND GENERAL PROVISIONS 
Sec. 301. Operations. 
Sec. 302. Corporate powers. 
Sec. 303. Maximum contingent liability. 
Sec. 304. Corporate funds. 
Sec. 305. Coordination with Millennium Challenge Corporation on constraints 
analysis. 
TITLE IV—MONITORING, EVALUATION, AND REPORTING 
Sec. 401. Establishment of risk and audit committees. 
Sec. 402. Performance measures. 
Sec. 403. Annual report. 
Sec. 404. Publicly available project information. 
Sec. 405. Audits and financial statements of the Corporation. 
Sec. 406. Engagement with investors. 
TITLE V—CONDITIONS, RESTRICTIONS, AND PROHIBITIONS 
Sec. 501. Limitations and preferences. 
Sec. 502. Additionality and avoidance of market distortion. 
Sec. 503. Prohibition on support in sanctioned countries and with sanctioned 
persons. 
Sec. 504. Penalties for misrepresentation, fraud, and bribery. 
Sec. 505. Market displacement by state-owned enterprises and monopolies. 
TITLE VI—TRANSITIONAL PROVISIONS 
Sec. 601. Definitions. 
Sec. 602. Reorganization plan. 
Sec. 603. Transfer of functions. 
Sec. 604. Termination of Overseas Private Investment Corporation and other 
superceded authorities. 
Sec. 605. Transitional authorities. 
Sec. 606. Savings provisions. 
Sec. 607. Other terminations. 
Sec. 608. Incidental transfers. 
Sec. 609. Reference. 
Sec. 610. Conforming amendments. 
SEC. 2. DEFINITIONS. 
In this Act: 
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(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committee on Foreign Relations 
and the Committee on Appropriations of the 
Senate; and 
(B) the Committee on Foreign Affairs and 
the Committee on Appropriations of the House 
of Representatives. 
(2) LESS
DEVELOPED
COUNTRY.—The term 
‘‘less developed country’’ means a country with a 
low-income economy, lower-middle-income economy, 
or upper-middle-income economy, as defined by the 
International Bank for Reconstruction and Develop-
ment and the International Development Association 
(collectively referred to as the ‘‘World Bank’’). 
(3) 
PREDECESSOR
AUTHORITY.—The 
term 
‘‘predecessor authority’’ means authorities repealed 
by title VI. 
(4) QUALIFYING
SOVEREIGN
ENTITY.—The 
term ‘‘qualifying sovereign entity’’ means— 
(A) any agency or instrumentality of a for-
eign state (as defined in section 1603 of title 
28, United States Code); and 
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(B) any international financial institution 
(as defined in section 1701(c) of the Inter-
national Financial Institutions Act (22 U.S.C. 
262r(c))). 
TITLE I—ESTABLISHMENT 
SEC. 101. STATEMENT OF POLICY. 
It is the policy of the United States to facilitate mar-
ket-based private sector development and economic growth 
in less developed countries through the provision of credit, 
capital, and other financial support— 
(1) to mobilize private capital in support of sus-
tainable, broad-based economic growth, poverty re-
duction, and development through demand-driven 
partnerships with the private sector that further the 
foreign policy interests of the United States; 
(2) to finance development in a way that builds 
and strengthens civic institutions, promotes competi-
tion, provides for public accountability and trans-
parency; 
(3) to help private sector actors overcome iden-
tifiable market gaps and inefficiencies without dis-
torting markets; 
(4) to achieve clearly defined economic and so-
cial development outcomes; 
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(5) to coordinate with institutions with pur-
poses similar to the purposes of the Corporation to 
leverage resources of those institutions to produce 
the greatest impact; 
(6) to help countries currently receiving United 
States assistance to graduate from their status as 
recipients of assistance; 
(7) to leverage the private sector and innovative 
development tools as a means to lessen the reliance 
of the United States on traditional forms of foreign 
assistance over time; and 
(8) to complement and be guided by overall 
United States foreign policy and development objec-
tives, taking into account the policies of countries re-
ceiving support. 
SEC. 102. UNITED STATES INTERNATIONAL DEVELOPMENT 
FINANCE CORPORATION. 
(a) ESTABLISHMENT.—There is established in the 
Executive branch the United States International Devel-
opment Finance Corporation (in this Act referred to as 
the ‘‘Corporation’’), which shall be a wholly owned Gov-
ernment corporation (as defined in section 9101 of title 
31, United States Code). 
(b) PURPOSE.—The purpose of the Corporation shall 
be to mobilize and facilitate the participation of private 
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sector capital and skills in the economic development of 
less developed countries, as described in subsection (c), 
and countries in transition from nonmarket to market 
economies, in order to complement the development assist-
ance objectives, and advance the foreign policy interests, 
of the United States. In carrying out its purpose, the Cor-
poration, utilizing broad criteria, shall take into account 
in its financing operations the economic and financial 
soundness of projects for which it provides support under 
title II. 
(c) LESS DEVELOPED ECONOMY FOCUS.— 
(1) 
IN
GENERAL.—The 
Corporation 
shall 
prioritize the provision of support under title II in 
countries with low-income economies or lower-mid-
dle-income economies, as defined by the World 
Bank. 
(2) SUPPORT IN COUNTRIES WITH UPPER-MID-
DLE-INCOME
ECONOMIES.—The Corporation shall 
restrict the provision of support under title II in a 
country with an upper-middle-income economy, as 
defined by the World Bank, unless— 
(A) the President determines such support 
furthers the national economic or foreign policy 
interests of the United States; and 
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(B) such support is likely to be highly de-
velopmental or provide developmental benefits 
to the poorest population of that country. 
(d) AUTHORIZATION TO MAKE EXPENDITURES AND 
COMMITMENTS.—The Corporation may make, without re-
gard to fiscal year limitation, such expenditures and com-
mitments as may be necessary using amounts appro-
priated to the Corporation pursuant to section 9104 of 
title 31, United States Code, and otherwise in accordance 
with law. 
(e) PROJECT-SPECIFIC TRANSACTION COSTS NOT 
ADMINISTRATIVE
EXPENSES.—Project-specific 
trans-
action costs, including direct and indirect costs incurred 
in claims settlements, and other direct costs associated 
with the provision of support to private sector entities and 
qualifying sovereign entities under title II shall not be con-
sidered administrative expenses for the purposes of this 
section. 
SEC. 103. MANAGEMENT OF CORPORATION. 
(a) STRUCTURE OF CORPORATION.—There shall be 
in the Corporation a Board of Directors (in this Act re-
ferred to as the ‘‘Board’’), a Chief Executive Officer, a 
Deputy Chief Executive Officer, a Chief Risk Officer, and 
such other officers as the Board may determine. 
(b) BOARD OF DIRECTORS.— 
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(1) DUTIES.—All powers of the Corporation 
shall vest in and be exercised by or under the au-
thority of the Board. The Board— 
(A) shall perform the functions specified to 
be carried out by the Board in this Act; and 
(B) may prescribe, amend, and repeal by-
laws, rules, regulations, and procedures gov-
erning the manner in which the business of the 
Corporation may be conducted and in which the 
powers granted to the Corporation by law may 
be exercised. 
(2) MEMBERSHIP OF BOARD.— 
(A) IN GENERAL.—The Board shall consist 
of— 
(i) the Chief Executive Officer of the 
Corporation; 
(ii) the officers specified in subpara-
graph (B); and 
(iii) four other individuals who shall 
be appointed by the President, by and with 
the advice and consent of the Senate, of 
which— 
(I) one individual should be ap-
pointed from among a list of individ-
uals submitted by the majority leader 
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