H. R. 2055—422 
(B) for the administrative requirements of the United 
States Government. 
(3) PROGRAMMING ACCOUNTABILITY.—USAID shall take all 
necessary steps to ensure that the equivalent of the local cur-
rencies disbursed pursuant to subsection (a)(2)(A) from the 
separate account established pursuant to subsection (a)(1) are 
used for the purposes agreed upon pursuant to subsection (a)(2). 
(4) TERMINATION OF ASSISTANCE PROGRAMS.—Upon termi-
nation of assistance to a country under chapter 1 or 10 of 
part I or chapter 4 of part II of the Foreign Assistance Act 
of 1961 (as the case may be), any unencumbered balances 
of funds which remain in a separate account established pursu-
ant to subsection (a) shall be disposed of for such purposes 
as may be agreed to by the government of that country and 
the United States Government. 
(5) REPORTING REQUIREMENT.—The USAID Administrator 
shall report on an annual basis as part of the justification 
documents submitted to the Committees on Appropriations on 
the use of local currencies for the administrative requirements 
of the United States Government as authorized in subsection 
(a)(2)(B), and such report shall include the amount of local 
currency (and United States dollar equivalent) used and/or 
to be used for such purpose in each applicable country. 
(b) SEPARATE ACCOUNTS FOR CASH TRANSFERS.— 
(1) If assistance is made available to the government of 
a foreign country, under chapter 1 or 10 of part I or chapter 
4 of part II of the Foreign Assistance Act of 1961, as cash 
transfer assistance or as nonproject sector assistance, that 
country shall be required to maintain such funds in a separate 
account and not commingle them with any other funds. 
(2) APPLICABILITY
OF
OTHER
PROVISIONS
OF
LAW.—Such 
funds may be obligated and expended notwithstanding provi-
sions of law which are inconsistent with the nature of this 
assistance including provisions which are referenced in the 
Joint Explanatory Statement of the Committee of Conference 
accompanying House Joint Resolution 648 (House Report No. 
98–1159). 
(3) NOTIFICATION.—At least 15 days prior to obligating 
any such cash transfer or nonproject sector assistance, the 
President shall submit a notification through the regular 
notification procedures of the Committees on Appropriations, 
which shall include a detailed description of how the funds 
proposed to be made available will be used, with a discussion 
of the United States interests that will be served by the assist-
ance (including, as appropriate, a description of the economic 
policy reforms that will be promoted by such assistance). 
(4) EXEMPTION.—Nonproject sector assistance funds may 
be exempt from the requirements of subsection (b)(1) only 
through the regular notification procedures of the Committees 
on Appropriations. 
ELIGIBILITY FOR ASSISTANCE 
SEC. 7027. (a) ASSISTANCE
THROUGH
NONGOVERNMENTAL 
ORGANIZATIONS.—Restrictions contained in this or any other Act 
with respect to assistance for a country shall not be construed 
to restrict assistance in support of programs of nongovernmental
H. R. 2055—423 
organizations from funds appropriated by this Act to carry out 
the provisions of chapters 1, 10, 11, and 12 of part I and chapter 
4 of part II of the Foreign Assistance Act of 1961, and from funds 
appropriated under the heading ‘‘Assistance for Europe, Eurasia 
and Central Asia’’: Provided, That before using the authority of 
this subsection to furnish assistance in support of programs of 
nongovernmental organizations, the President shall notify the 
Committees on Appropriations under the regular notification proce-
dures of those committees, including a description of the program 
to be assisted, the assistance to be provided, and the reasons 
for furnishing such assistance: Provided further, That nothing in 
this subsection shall be construed to alter any existing statutory 
prohibitions against abortion or involuntary sterilizations contained 
in this or any other Act. 
(b) PUBLIC LAW 480.—During fiscal year 2012, restrictions con-
tained in this or any other Act with respect to assistance for 
a country shall not be construed to restrict assistance under the 
Agricultural Trade Development and Assistance Act of 1954: Pro-
vided, That none of the funds appropriated to carry out title I 
of such Act and made available pursuant to this subsection may 
be obligated or expended except as provided through the regular 
notification procedures of the Committees on Appropriations. 
(c) EXCEPTION.—This section shall not apply— 
(1) with respect to section 620A of the Foreign Assistance 
Act of 1961 or any comparable provision of law prohibiting 
assistance to countries that support international terrorism; 
or 
(2) with respect to section 116 of the Foreign Assistance 
Act of 1961 or any comparable provision of law prohibiting 
assistance to the government of a country that violates inter-
nationally recognized human rights. 
IMPACT ON JOBS IN THE UNITED STATES 
SEC. 7028. None of the funds appropriated under titles III 
through VI of this Act may be obligated or expended to provide— 
(1) any financial incentive to a business enterprise cur-
rently located in the United States for the purpose of inducing 
such an enterprise to relocate outside the United States if 
such incentive or inducement is likely to reduce the number 
of employees of such business enterprise in the United States 
because United States production is being replaced by such 
enterprise outside the United States; or 
(2) assistance for any program, project, or activity that 
contributes to the violation of internationally recognized 
workers rights, as defined in section 507(4) of the Trade Act 
of 1974, of workers in the recipient country, including any 
designated zone or area in that country: Provided, That the 
application of section 507(4) (D) and (E) of such Act should 
be commensurate with the level of development of the recipient 
country and sector, and shall not preclude assistance for the 
informal sector in such country, micro and small-scale enter-
prise, and smallholder agriculture. 
INTERNATIONAL FINANCIAL INSTITUTIONS 
SEC. 7029. (a) None of the funds appropriated under title V 
of this Act may be made as payment to any international financial
H. R. 2055—424 
institution while the United States executive director to such 
institution is compensated by the institution at a rate which, 
together with whatever compensation such executive director 
receives from the United States, is in excess of the rate provided 
for an individual occupying a position at level IV of the Executive 
Schedule under section 5315 of title 5, United States Code, or 
while any alternate United States executive director to such institu-
tion is compensated by the institution at a rate in excess of the 
rate provided for an individual occupying a position at level V 
of the Executive Schedule under section 5316 of title 5, United 
States Code. 
(b) The Secretary of the Treasury shall instruct the United 
States executive director of each international financial institution 
to oppose any loan, grant, strategy or policy of such institution 
that would require user fees or service charges on poor people 
for primary education or primary healthcare, including prevention, 
care and treatment for HIV/AIDS, malaria, tuberculosis, and infant, 
child, and maternal health, in connection with such institution’s 
financing programs. 
(c) The Secretary of the Treasury shall instruct the United 
States Executive Director of the International Monetary Fund (the 
Fund) to use the voice and vote of the United States to oppose 
any loan, project, agreement, memorandum, instrument, plan, or 
other program of the Fund to a Heavily Indebted Poor Country 
that imposes budget caps or restraints that do not allow the mainte-
nance of or an increase in governmental spending on healthcare 
or education; and to promote government spending on healthcare, 
education, agriculture and food security, or other critical safety 
net programs in all of the Fund’s activities with respect to Heavily 
Indebted Poor Countries. 
(d) For the purposes of this Act ‘‘international financial institu-
tions’’ shall mean the International Bank for Reconstruction and 
Development, the International Development Association, the Inter-
national Finance Corporation, the Inter-American Development 
Bank, the International Monetary Fund, the Asian Development 
Bank, the Asian Development Fund, the Inter-American Investment 
Corporation, the North American Development Bank, the European 
Bank for Reconstruction and Development, the African Development 
Bank and the African Development Fund. 
DEBT-FOR-DEVELOPMENT 
SEC. 7030. In order to enhance the continued participation 
of nongovernmental organizations in debt-for-development and debt- 
for-nature exchanges, a nongovernmental organization which is a 
grantee or contractor of the United States Agency for International 
Development may place in interest bearing accounts local currencies 
which accrue to that organization as a result of economic assistance 
provided under title III of this Act and, subject to the regular 
notification procedures of the Committees on Appropriations, any 
interest earned on such investment shall be used for the purpose 
for which the assistance was provided to that organization. 
FINANCIAL MANAGEMENT AND BUDGET TRANSPARENCY 
SEC. 7031. (a) LIMITATION ON DIRECT GOVERNMENT-TO-GOVERN-
MENT ASSISTANCE.—
H. R. 2055—425 
(1) Funds appropriated by this Act may be made available 
for direct Government-to-Government assistance only if— 
(A) each implementing agency or ministry to receive 
assistance has been assessed and is considered to have 
the systems required to manage such assistance and any 
identified vulnerabilities or weaknesses of such agency or 
ministry have been addressed; and 
(i) the recipient agency or ministry employs and 
utilizes staff with the necessary technical, financial, 
and management capabilities; 
(ii) the recipient agency or ministry has adopted 
competitive procurement policies and systems; 
(iii) effective monitoring and evaluation systems 
are in place to ensure that such assistance is used 
for its intended purposes; and 
(iv) no level of acceptable fraud is assumed. 
(B) the Government of the United States and the 
government of the recipient country have agreed, in 
writing— 
(i) on clear and achievable objectives for the use 
of such assistance; and 
(ii) that such assistance should be made on a cost- 
reimbursable basis. 
(2) In addition to the requirements in subsection (a), no 
funds may be made available for such assistance without prior 
consultation with, and notification to, the Committees on Appro-
priations: Provided, That such notification shall contain an 
explanation of how the proposed activity meets the require-
ments of paragraph (1): Provided further, That the require-
ments of this paragraph shall only apply to direct Government- 
to-Government assistance in excess of $10,000,000 and all funds 
available for cash transfer, budget support, and cash payments 
to individuals. 
(3) The USAID Administrator or the Secretary of State, 
as appropriate, shall suspend any such assistance if the 
Administrator or the Secretary has credible information of 
material misuse of such assistance, unless the Administrator 
or the Secretary determines and reports to the Committees 
on Appropriations that it is in the national interest of the 
United States to continue such assistance. 
(4) Not later than 90 days after the enactment of this 
Act and 6 months thereafter, the USAID Administrator shall 
submit to the Committees on Appropriations a report that— 
(A) details all assistance described in subsection (a) 
provided during the previous 6-month period by country, 
funding amount, source of funds, and type of such assist-
ance; and 
(B) the type of procurement instrument or mechanism 
utilized and whether the assistance was provided on a 
cost-reimbursable basis. 
(5) The USAID Administrator shall submit to the Commit-
tees on Appropriations, concurrent with the fiscal year 2013 
congressional budget justification materials, amounts planned 
for assistance described in subsection (a) by country, proposed 
funding amount, source of funds, and type of assistance. 
(b) NATIONAL BUDGET AND CONTRACT TRANSPARENCY.—