I
103D CONGRESS
2D SESSION
H. R. 4587
To authorize United States contributions to the Inter-American Development
Bank, the Fund for Special Operations, the African Development Fund,
the Global Environment Facility, and the Enhanced Structural Adjust-
ment Facility of the International Monetary Fund, and for other pur-
poses.
IN THE HOUSE OF REPRESENTATIVES
JUNE 16, 1994
Mr. FRANK of Massachusetts (for himself and Mr. BEREUTER) introduced the
following bill; which was referred to the Committee on Banking, Finance
and Urban Affairs
A BILL
To authorize United States contributions to the Inter-Amer-
ican Development Bank, the Fund for Special Oper-
ations, the African Development Fund, the Global Envi-
ronment Facility, and the Enhanced Structural Adjust-
ment Facility of the International Monetary Fund, 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 ‘‘International Develop-
ment Act of 1994’’.
SEC. 2. GLOBAL ENVIRONMENT FACILITY.
The Bretton Woods Agreements Act (22 U.S.C. 286–
286mm) is amended by adding at the end the following:
‘‘SEC. 
61. 
CONTRIBUTION 
TO 
GLOBAL 
ENVIRONMENT
FACILITY.
‘‘(a) CONTRIBUTION AUTHORITY.—
‘‘(1) IN
GENERAL.—The United States Gov-
ernor of the Bank may contribute $400,000,000 on
behalf of the United States to the Global Environ-
ment Facility.
‘‘(2) SUBJECT TO APPROPRIATIONS.—The au-
thority provided by paragraph (1) shall be effective
only to such extent and in such amounts as are pro-
vided in advance in appropriations Acts.
‘‘(b) LIMITATIONS ON AUTHORIZATION OF APPRO-
PRIATIONS.—For the contribution authorized by sub-
section (a), there are authorized to be appropriated to the
Secretary of the Treasury not more than $400,000,000,
without fiscal year limitation.’’.
SEC. 3. AFRICAN DEVELOPMENT FUND.
(a) IN GENERAL.—The African Development Fund
Act (22 U.S.C. 290g–290g–15) is amended by adding at
the end the following:
‘‘SEC. 217. SEVENTH REPLENISHMENT.
‘‘(a) CONTRIBUTION AUTHORITY.—
‘‘(1) IN
GENERAL.—The United States Gov-
ernor of the Fund may contribute $315,000,000 to
the seventh replenishment of the resources of the
Fund.
‘‘(2) SUBJECT TO APPROPRIATIONS.—The au-
thority provided by paragraph (1) shall be effective
only to such extent and in such amounts as are pro-
vided in advance in appropriations Acts.
‘‘(b) LIMITATIONS ON AUTHORIZATION OF APPRO-
PRIATIONS.—For the contribution authorized by sub-
section (a), there are authorized to be appropriated to the
Secretary of the Treasury not more than $315,000,000,
without fiscal year limitation.’’.
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect on the later of—
(1) October 1, 1994; or
(2) the date the Secretary of the Treasury noti-
fies the Congress that the negotiations of the sev-
enth replenishment of the resources of the African
Development Fund have been concluded successfully.
SEC. 4. INTER-AMERICAN DEVELOPMENT BANK AND FUND
FOR SPECIAL OPERATIONS.
The Inter-American Development Bank Act (22
U.S.C. 283–283z–9) is amended by adding at the end the
following:
‘‘SEC. 38. CAPITAL INCREASE; INCREASE IN RESOURCES OF
FUND FOR SPECIAL OPERATIONS.
‘‘(a) AUTHORITY TO VOTE FOR INCREASE IN AU-
THORIZED CAPITAL STOCK OF BANK AND INCREASE IN
RESOURCES OF FUND FOR SPECIAL OPERATIONS.—The
United States Governor of the Bank may vote for resolu-
tions which—
‘‘(1) were transmitted by the Board of Execu-
tive Directors to the Governors of the Bank by reso-
lution of lllll;
‘‘(2) are pending before the Board of Governors
of the Bank; and
‘‘(3) provide for—
‘‘(A) an increase in the authorized capital
stock of the Bank and subscriptions to the
Bank; and
‘‘(B) an increase in the resources of the
Fund for Special Operations and contributions
to the Fund.
‘‘(b) SUBSCRIPTION AND CONTRIBUTION AUTHOR-
ITY.—
‘‘(1) IN GENERAL.—On adoption of the resolu-
tions described in subsection (a), the United States
Governor of the Bank may, on behalf of the United
States—
‘‘(A) subscribe to 760,644 shares of the in-
crease in the authorized capital stock of the
Bank, 12,738 of which shall be shares of paid-
in capital stock and 747,906 of which shall be
shares of callable capital stock; and
‘‘(B) contribute $82,304,000 to the Fund
for Special Operations.
‘‘(2) SUBJECT TO APPROPRIATIONS.—The au-
thority provided by paragraph (1) shall be effective
only to such extent and in such amounts as are pro-
vided in advance in appropriations Acts.
‘‘(c) LIMITATIONS ON AUTHORIZATION OF APPRO-
PRIATIONS.—
‘‘(1) SUBSCRIPTION.—For the subscription au-
thorized by subsection (b)(1)(A), there are author-
ized to be appropriated to the Secretary of the
Treasury, without fiscal year limitation—
‘‘(A) not more than $76,832,001 for
shares of paid-in capital stock of the Bank; and
‘‘(B) not more than $4,511,156,729 for
shares of callable capital stock of the Bank.
‘‘(2) CONTRIBUTION.—For the contribution au-
thorized by subsection (b)(1)(B), there are author-
ized to be appropriated to the Secretary of the
Treasury not more than $82,304,000, without fiscal
year limitation.
‘‘(d) AUTHORITY TO VOTE FOR CERTAIN RESOLU-
TIONS.—The United States Governor of the Bank may
vote for a proposed resolution of the Board of Governors
entitled ‘Amendments to the Agreement Establishing the
Inter-American Development Bank, the Regulations of the
Board of Governors, the General Rules Governing Admis-
sion of Nonregional Countries to Membership in the Bank,
and the Regulations for the Election of Executive Direc-
tors’, which was submitted to the Board of Governors pur-
suant to a resolution of the Board of Executive Directors
approved on lllll.’’.
SEC. 5. ENHANCED STRUCTURAL ADJUSTMENT FACILITY
OF THE INTERNATIONAL MONETARY FUND.
The Bretton Woods Agreements Act (22 U.S.C. 286–
286mm), as amended by section 2 of this Act, is amended
by adding at the end the following:
‘‘SEC. 62. CONTRIBUTION TO THE INTEREST SUBSIDY AC-
COUNT OF THE ENHANCED STRUCTURAL AD-
JUSTMENT 
FACILITY 
OF 
THE 
INTER-
NATIONAL MONETARY FUND.
‘‘(a) CONTRIBUTION AUTHORITY.—
‘‘(1) IN GENERAL.—Subject to paragraph (2),
the United States Governor of the Fund may make
contributions on behalf of the United States in ful-
fillment of the United States commitment to contrib-
ute to the Interest Subsidy Account of the Enhanced
Structural Adjustment Facility of the Fund.
‘‘(2) SUBJECT TO APPROPRIATIONS.—The au-
thority provided by paragraph (1) shall be effective
only to such extent and in such amounts as are pro-
vided in advance in appropriations Acts.
‘‘(b) LIMITATION
ON AUTHORIZATION
OF APPRO-
PRIATIONS.—For the contribution authorized by sub-
section (a), there are authorized to be appropriated to the
Secretary of the Treasury not more than $25,000,000,
without fiscal year limitation.’’.
SEC. 6. MILITARY SPENDING BY RECIPIENT COUNTRIES;
MILITARY INVOLVEMENT IN THE ECONOMIES
OF RECIPIENT COUNTRIES.
Title XV of the International Financial Institutions
Act (22 U.S.C. 262o) is amended by adding at the end
the following:
‘‘SEC. 1502. MILITARY SPENDING BY RECIPIENT COUN-
TRIES; 
MILITARY 
INVOLVEMENT 
IN 
THE
ECONOMIES OF RECIPIENT COUNTRIES.
‘‘(a) CONSIDERATION OF COMMITMENT TO ACHIEV-
ING CERTAIN GOALS.—The Secretary of the Treasury
shall instruct the United States Executive Directors of the
international financial institutions (as defined in section
1701(c)(2)) to promote growth in the international econ-
omy by taking into account, when considering whether to
support or oppose loan proposals at these institutions, the
extent to which the recipient government has dem-
onstrated a commitment to achieving the following goals:
‘‘(1) To provide accurate and complete data on
the annual expenditures and receipts of the armed
forces.
‘‘(2) To end excessive military involvement in
the economy.
‘‘(3) To make substantial reductions in exces-
sive military spending and forces.
‘‘(4) To end corruption involoving members of
the armed forces.
The Secretary shall submit to the Committees on Bank-
ing, Finance and Urban Affairs and on Appropriations of
the House of Representatives and the Committees on For-
eign Relations and on Appropriations of the Senate a re-
port on the steps taken to determine appropriate defini-
tions of the goals set forth in subsection (a).
‘‘(b) STEPS TO ACHIEVE GOALS REQUIRED.—The
Secretary of the Treasury shall instruct the United States
Executive Directors of the international financial institu-
tions (as so defined) to promote a policy at each institu-
tion under which—
‘‘(1) the staff will include in its supporting doc-
uments for each proposed loan a report on military
expenditures and an assessment of the steps taken
by the recipient government to achieve the goals set
forth in subsection (a);
‘‘(2) the governing body will not approve pro-
posed loans where insufficient effort has been made
to achieve such goals, except in cases where the pro-
posed loans are specifically designed to meet the
basic human needs of the poor; and
‘‘(3) a report on military expenditures and an
assessment of the steps taken by the recipient gov-
ernment to achieve the goals set forth in subsection
(a) will be included in regular policy consultations
with developing countries.
‘‘(c) CONDITIONAL OPPOSITION TO LOANS TO INDO-
NESIA.—In furtherance of the policy established by sub-
section (a), the Secretary of the Treasury, in consultation
with the Secretary of State, shall, not later than May 1,
1995, submit to the Committees on Banking, Finance and
Urban Affairs and on Appropriations of the House of Rep-
resentatives and the Committees on Foreign Relations and
on Appropriations of the Senate a report on the perform-
ance of the Government of Indonesia in achieving or im-
plementing a credible plan to achieve the goals set forth
in subsection (a).’’.
SEC. 7. RESPECT FOR INDIGENOUS PEOPLES.
Title XVI of the International Financial Institutions
Act (22 U.S.C. 262p–262p–5) is amended by redesignat-
ing section 1620 as section 1621 and by inserting after
section 1619 the following:
‘‘SEC. 1620. RESPECT FOR INDIGENOUS PEOPLES.
‘‘The Secretary of the Treasury shall direct the Unit-
ed States Executive Directors of the international finan-
cial institutions (as defined in section 1701(c)(2)) and the
United States representative to the council of the Global
Environment Facility administered by the International
Bank for Reconstruction and Development to use the voice
and vote of the United States to bring about the creation
and full implementation of policies designed to promote
respect for and full protection of the territorial rights, tra-
ditional economies, cultural integrity, traditional knowl-
edge, and human rights of indigenous peoples.’’.
SEC. 8. FOCUS ON LOW-INCOME AREAS OF LATIN AMERICA
AND THE CARRIBEAN.
The Inter-American Development Bank Act (22
U.S.C. 283–283z–9) is amended by adding at the end the
following:
‘‘SEC. 38. FOCUS ON LOW-INCOME AREAS OF LATIN AMER-
ICA AND THE CARRIBEAN.
‘‘The Secretary of the Treasury shall direct the Unit-
ed States Executive Director of the Bank to use the voice
and vote of the United States to support an increased
focus on the poorest countries in Latin America and the
Carribean, and on poorer areas of better off countries, and
to support porgrams conducted by the Multilateral Invest-
ment Fund, particularly in targeting low-income countries
and populations, working with nongovernmental organiza-
tions and training and assisting former combatants from
civil conflicts in Latin America.’’.
SEC. 9. GUARANTEE OF WORKER RIGHTS.
Title XVI of the International Financial Institutions
Act (22 U.S.C. 262p–262p–5), as amended by section 7
of this Act, is amended by redesignating section 1621 as
section 1622 and by inserting after section 1620 the fol-
lowing:
‘‘SEC. 1621. GUARANTEE OF WORKER RIGHTS.
‘‘The Secretary of the Treasury shall direct the Unit-
ed States Executive Director at each international finan-
cial institution (as defined in section 1701(c)(2) of this
Act) to use the voice and vote of the United States to
urge the respective institution to adopt policies to encour-
age borrowing countries to guarantee internationally rec-
ognized worker rights (within the meaning of section
502(a)(4) of the Trade Act of 1974).’’.
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