I
106TH CONGRESS
2D SESSION
H. R. 5253
To provide assistance to East Timor to facilitate the transition of East
Timor to an independent nation, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
SEPTEMBER 21, 2000
Mr. GEJDENSON (for himself, Mr. LANTOS, Mrs. LOWEY, Ms. PELOSI, Mr.
ACKERMAN, Mr. MCGOVERN, Mr. EVANS, Mr. WEXLER, Mr. KUCINICH,
Mr. BERMAN, Mr. CAPUANO, Mr. BLUMENAUER, Mr. HALL of Ohio, Mr.
SMITH of New Jersey, Mr. WEYGAND, Mr. FALEOMAVAEGA, Mr. KEN-
NEDY of Rhode Island, Mr. FRANK of Massachusetts, and Mr. HOEFFEL)
introduced the following bill; which was referred to the Committee on
International Relations, and in addition to the Committees on Banking
and Financial Services, and Ways and Means, for a period to be subse-
quently determined by the Speaker, in each case for consideration of such
provisions as fall within the jurisdiction of the committee concerned
A BILL
To provide assistance to East Timor to facilitate the transi-
tion of East Timor to an independent nation, 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.
This Act may be cited as the ‘‘East Timor Transition
to Independence Act of 2000’’.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) On August 30, 1999, the East Timorese
people voted overwhelmingly in favor of independ-
ence from Indonesia in elections organized by the
United Nations Assistance Mission in East Timor
(UNAMET). Pro-integration militias, with the sup-
port of the Indonesian military, attempted to pre-
vent then retaliated against this vote by launching a
campaign of terror and violence. As a result, over
500,000 people, or approximately 2⁄3 of the popu-
lation, were displaced. Hundreds were murdered,
and many were raped.
(2) The violent campaign devastated East
Timor’s infrastructure, including its schools, water
and power supplies, and transportation and commu-
nications systems. The militias destroyed or severely
damaged 60 to 80 percent of public and private
property across East Timor. Virtually all vestiges of
government, public services (including sanitation),
and public security in East Timor also collapsed.
(3) The International Force for East Timor
(INTERFET) entered East Timor in September
1999 and successfully restored order. INTERFET
was organized and led by Australia, with the active
participation of the Philippines, South Korea, New
Zealand, and Thailand.
(4) On October 25, 1999, the United Nations
Security Council established a new mandate for its
operations in East Timor. The United Nations
Transitional 
Administration 
for 
East 
Timor
(UNTAET), which replaced UNAMET, was directed
to provide overall administration of East Timor,
guide the people of East Timor in the establishment
of a new democratic government, and maintain secu-
rity and order.
(5) The leadership of UNTAET and the East
Timorese leadership currently anticipate that East
Timor will become an independent nation in mid- to
late-2001.
(6) East Timor is one of the poorest places in
Asia. A large percentage of the population live below
the poverty line, only 20 percent of East Timor’s
population is literate, most of East Timor’s people
remain unemployed, the annual per capita Gross Na-
tional Product is $340, and life expectancy is only
56 years.
(7) The World Bank and the United Nations
have estimated that it will require $300,000,000 in
development assistance over the next three years in
order to meet East Timor’s basic development needs.
Donor countries, including the United States, have
pledged a total of $173,000,000 to the Trust Fund
established by the World Bank to manage the dis-
tribution of donor funds in East Timor, and
$37,000,000 to the Trust Fund of UNTAET.
(8) The United States has been a leading con-
tributor to the development of East Timor since
1994. As a result of the United States Agency for
International Development’s funding a successful
coffee cooperative project, small farmers have been
able to enter the cash economy and to increase the
amount of money earned from the coffee they grow.
(9) The Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 2000,
provided $25,000,000 for East Timor. Utilizing
these funds, the United States Agency for Inter-
national Development has helped to restart the cof-
fee cooperative project after it ceased to operate dur-
ing the militia rampage, funded job creation pro-
grams for East Timorese, contributed to UNTAET
and to the World Bank Trust Fund for East Timor,
supported community organizations, and funded
forensics, human rights, independent media, and ju-
dicial development projects.
SEC. 3. SENSE OF CONGRESS RELATING TO SUPPORT FOR
EAST TIMOR.
It is the sense of Congress that the United States—
(1) should support formation of broad-based de-
mocracy in East Timor, and help lay the ground-
work for East Timor’s economic recovery, the
strengthening of East Timor’s security, and the pro-
motion of East Timor’s ability to play a positive role
in the Asia-Pacific region and in international orga-
nizations.
(2) should continue to support the provision of
bilateral and multilateral assistance to East Timor,
with such assistance targeted to creation of jobs,
promotion of civil society, preparation for East
Timor’s first elections, development of East Timor’s
educational and health care systems, and support for
East Timor’s judicial system and the truth and rec-
onciliation process;
(3) should begin to lay the groundwork, prior to
East Timor’s independence, for an equitable future
trade and investment relationship with East Timor,
including trade and investment promotion activities
to be carried out by the Overseas Private Investment
Corporation, the Trade and Development Agency,
and the Export-Import Bank of the United States;
(4) should officially open a diplomatic mission
in East Timor as soon as possible to ensure that the
United States can continue to play a leadership role
in building East Timor’s political and economic fu-
ture; and
(5) should support the efforts by the United
Nations to ensure justice and accountability related
to past atrocities in East Timor through United Na-
tions investigations, United Nations support for the
development of East Timor’s judicial system, and
the possible establishment of an international tri-
bunal for East Timor.
SEC. 4. BILATERAL ASSISTANCE.
(a) AUTHORIZATION.—The President, acting through
the Administrator of the United States Agency for Inter-
national Development, is authorized and encouraged to
provide assistance under the Foreign Assistance Act of
1961 (22 U.S.C. 2151 et seq.) and other applicable laws
to support the transition to democracy and self-govern-
ment in East Timor.
(b) ADDITIONAL REQUIREMENTS.—Assistance pro-
vided pursuant to subsection (a)—
(1) shall support the development of civil soci-
ety, including nongovernmental organizations in
East Timor;
(2) shall promote the development of an inde-
pendent news media;
(3) shall support job creation and economic de-
velopment in East Timor, including support for
microenterprise programs and technical education,
as well as environmental protection and education
programs;
(4) shall fund efforts to promote reconciliation,
conflict resolution, and prevention of further conflict
with respect to East Timor, including establishing
accountability for past gross human rights viola-
tions;
(5) shall support the repatriation and reintegra-
tion of refugees into East Timor; and
(6) shall support political party development,
voter education, voter registration and other activi-
ties in support of free and fair elections in East
Timor.
(c) AUTHORIZATION OF APPROPRIATIONS.—
(1) IN GENERAL.—There are authorized to be
appropriated to carry out this section $25,000,000
for each of the fiscal years 2001, 2002, and 2003.
(2) AVAILABILITY.—Amounts appropriated pur-
suant to the authorization of appropriations under
paragraph (1) are authorized to remain available
until expended.
SEC. 5. MULTILATERAL ASSISTANCE.
The President shall instruct the United States execu-
tive director at each international financial institution to
which the United States is a member, in particular the
International Bank for Reconstruction and Development
and the Asian Development Bank, to use the voice, vote,
and influence of the United States to ensure that the insti-
tution provides timely and appropriate resources to help
East Timor to continue to develop its economy, meet basic
human needs, and evolve toward economic self-sufficiency,
pluralism, and democracy.
SEC. 6. PEACE CORPS ASSISTANCE.
(a) AUTHORIZATION.—The President, acting through
the Director of the Peace Corps, is authorized to carry
out a program in East Timor under the Peace Corps Act
(22 U.S.C. 2501 et seq.) which shall include the use of
Peace Corps volunteers—
(1) to provide English language and other tech-
nical training for individuals in East Timor as well
as other activities which promote education, eco-
nomic development, and economic self-sufficiency;
and
(2) to quickly address immediate assistance
needs in East Timor using the Peace Corps Crisis
Corps, to the extent practicable.
(b) AUTHORIZATION OF APPROPRIATIONS.—
(1) IN GENERAL.—In addition to amounts oth-
erwise available to carry out subsection (a), there
are authorized to be appropriated $2,000,000 for
each of the fiscal years 2001, 2002, and 2003 to
carry out such subsection.
(2) AVAILABILITY.—Amounts appropriated pur-
suant to the authorization of appropriations under
paragraph (1) are authorized to remain available
until expended.
SEC. 7. TRADE AND INVESTMENT ASSISTANCE.
(a) OPIC.—Beginning on the date of the enactment
of this Act, the President shall initiate negotiations with
the United Nations Transitional Administration for East
Timor (UNTAET), the National Council of East Timor,
and the government of East Timor (after independence
for East Timor)—
(1) to apply to East Timor the existing agree-
ment between the Overseas Private Investment Cor-
poration and Indonesia, or
(2) to enter into a new agreement authorizing
the Overseas Private Investment Corporation to
carry out programs with respect to East Timor,
in order to expand United States investment in East
Timor.
(b) TRADE AND DEVELOPMENT AGENCY.—
(1) IN GENERAL.—The Director of the Trade
and Development Agency is authorized to carry out
projects in East Timor under section 661 of the
Foreign Assistance Act of 1961 (22 U.S.C. 2421).
(2) AUTHORIZATION OF APPROPRIATIONS.—
(A) IN GENERAL.—There are authorized to
be appropriated to carry out this subsection
$1,000,000 for each of the fiscal years 2001,
2002, and 2003.
(B) 
AVAILABILITY.—Amounts 
appro-
priated pursuant to the authorization of appro-
priations under subparagraph (A) are author-
ized to remain available until expended.
(c) EXPORT-IMPORT
BANK.—The Export-Import
Bank of the United States shall expand its activities in
connection with exports to East Timor.
SEC. 8. GENERALIZED SYSTEM OF PREFERENCES.
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that the President should encourage the United Na-
tions Transitional Administration for East Timor
(UNTAET), in close consultation with the National Coun-
cil of East Timor, to seek to become eligible for duty-free
treatment under title V of the Trade Act of 1974 (19
U.S.C. 2461 et seq.; relating to generalized system of pref-
erences).
(b) TECHNICAL ASSISTANCE.—The United States
Trade Representative and the Commissioner of the United
States Customs Service are authorized to provide technical
assistance to UNTAET, the National Council of East
Timor, and the government of East Timor (after inde-
pendence for East Timor) in order to assist East Timor
to become eligible for duty-free treatment under title V
of the Trade Act of 1974.
SEC. 9. BILATERAL INVESTMENT TREATY.
It is the sense of the Congress that the President
should seek to enter into a bilateral investment treaty with
the United Nations Transitional Administration for East
Timor (UNTAET), in close consultation with the National
Council of East Timor, in order to establish a more stable
legal framework for United States investment in East
Timor.
SEC. 10. SCHOLARSHIPS FOR EAST TIMORESE STUDENTS.
There are authorized to be appropriated to the De-
partment of State, $1,000,000 for the fiscal year 2002
and $1,000,000 for the fiscal year 2003 to carry out an
East Timorese scholarship program under the authorities
of the United States Information and Educational Ex-
change Act of 1948, the Mutual Educational and Cultural
Exchange Act of 1961, Reorganization Plan Number 2 of
1977, and the National Endowment for Democracy Act.
The Department of State shall make every effort to iden-
tify and provide scholarships and other support to East
Timorese students interested in pursuing undergraduate
and graduate studies at institutions of higher education
in the United States.
SEC. 11. PLAN FOR ESTABLISHMENT OF DIPLOMATIC FA-
CILITIES IN EAST TIMOR.
The Secretary of State shall develop a detailed plan
for the official establishment of a diplomatic mission in
Dili, East Timor.
SEC. 12. SECURITY ASSISTANCE FOR EAST TIMOR.
(a) AUTHORIZATION.—Beginning on and after the
date on which the President transmits to the Congress a
certification described in subsection (b), the President is
authorized—
(1) to transfer excess defense articles under
section 516 of such Act (22 U.S.C. 2321j) to East
Timor in accordance with such section; and
(2) to provide military education and training
under chapter 5 of part II of the Foreign Assistance
Act of 1961 (22 U.S.C. 2347 et seq.) for the armed
forces of East Timor in accordance with such chap-
ter.
(b) CERTIFICATION.—A certification described in this
subsection is a certification that—
(1) East Timor has established an independent
armed forces; and
(2) the assistance proposed to be provided pur-
suant to subsection (a)—
(A) is in the national security interests of
the United States; and
(B) will promote both human rights in
East Timor and the professionalization of the
armed forces of East Timor.
SEC. 13. REPORTING REQUIREMENT.
(a) IN GENERAL.—Not later than three months after
the date of the enactment of this Act, and every six
months thereafter until January 1, 2004, the Secretary
of State, in coordination with the Administrator of the
United States Agency for International Development, the
Secretary of the Treasury, the United States Trade Rep-
resentative, the Secretary of Commerce, the Overseas Pri-
vate Investment Corporation, the Director of the Trade