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would not contravene any term or condition of 
any prior agreement relating to such loan. 
(2) TERMS AND CONDITIONS.—Notwithstanding 
any other provision of law, the President shall, in ac-
cordance with this section, establish the terms and 
conditions under which loans may be sold, reduced, 
or canceled pursuant to this section. 
(3) ADMINISTRATION.—The Facility, as defined 
in section 702(8) of the Foreign Assistance Act of 
1961, shall notify the administrator of the agency 
primarily responsible for administering part I of the 
Foreign Assistance Act of 1961 of purchasers that 
the President has determined to be eligible, and 
shall direct such agency to carry out the sale, reduc-
tion, or cancellation of a loan pursuant to this sec-
tion. Such agency shall make adjustment in its ac-
counts to reflect the sale, reduction, or cancellation. 
(4) LIMITATION.—The authorities of this sub-
section shall be available only to the extent that ap-
propriations for the cost of the modification, as de-
fined in section 502 of the Congressional Budget Act 
of 1974, are made in advance. 
(b) DEPOSIT OF PROCEEDS.—The proceeds from the 
sale, reduction, or cancellation of any loan sold, reduced, 
or canceled pursuant to this section shall be deposited in
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the United States Government account or accounts estab-
lished for the repayment of such loan. 
(c) ELIGIBLE PURCHASERS.—A loan may be sold 
pursuant to subsection (a)(1)(A) only to a purchaser who 
presents plans satisfactory to the President for using the 
loan for the purpose of engaging in debt-for-equity swaps, 
debt-for-development swaps, or debt-for-nature swaps. 
(d) DEBTOR CONSULTATIONS.—Before the sale to 
any eligible purchaser, or any reduction or cancellation 
pursuant to this section, of any loan made to an eligible 
country, the President should consult with the country 
concerning the amount of loans to be sold, reduced, or 
canceled and their uses for debt-for-equity swaps, debt-
for-development swaps, or debt-for-nature swaps. 
(e) AVAILABILITY OF FUNDS.—The authority pro-
vided by subsection (a) may be used only with regard to 
funds appropriated by this Act under the heading ‘‘Debt 
Restructuring’’. 
BASIC EDUCATION 
SEC. 567. Of the funds appropriated by title II of 
this Act, not less than $400,000,000 shall be made avail-
able for basic education. 
RECONCILIATION PROGRAMS 
SEC. 568. Of the funds appropriated under the head-
ing ‘‘Economic Support Fund’’, not less than $12,000,000 
should be made available to support reconciliation pro-
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grams and activities which bring together individuals of 
different ethnic, religious, and political backgrounds from 
areas of civil conflict and war. 
DEBT RESTRUCTURING AUTHORITY 
SEC. 569. Funds appropriated under the heading 
‘‘Iraq Relief and Reconstruction Fund’’ in title II of the 
Emergency Supplemental Appropriations Act for Defense 
and for the Reconstruction of Iraq and Afghanistan, 2004 
(Public Law 108–106) may be made available for the 
costs, as defined in section 502 of the Congressional 
Budget Act of 1974, of modifying direct loans and loan 
guarantees for Iraq, without regard to the sectoral alloca-
tions and related provisos under that heading in such Act: 
Provided, That the authority of this section shall be used 
subject to prior consultation with the Committees on Ap-
propriations: Provided further, That the obligation of 
funds pursuant to the authority provided in this section 
shall be subject to the regular notification procedures of 
the Committees on Appropriations: Provided further, That 
amounts made available pursuant to the authority of this 
section are designated as an emergency requirement pur-
suant to section 402 of S. Con. Res. 95 (108th Congress), 
as made applicable to the House of Representatives by H. 
Res.
649
(108th
Congress):
Provided
further,
That 
amounts made available pursuant to the authority of this
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section shall not be considered ‘‘assistance’’ for the pur-
poses of provisions of law limiting assistance to a country. 
TRADE CAPACITY BUILDING 
SEC. 570. Of the funds appropriated by this Act, 
under the headings ‘‘Trade and Development Agency’’, 
‘‘Development
Assistance’’,
‘‘Transition
Initiatives’’, 
‘‘Economic Support Fund’’, ‘‘International Affairs Tech-
nical Assistance’’, and ‘‘International Organizations and 
Programs’’, not less than $517,000,000 should be made 
available for trade capacity building assistance. 
EXCESS DEFENSE ARTICLES FOR CENTRAL AND SOUTH 
EUROPEAN COUNTRIES AND CERTAIN OTHER COUNTRIES 
SEC. 571. Notwithstanding section 516(e) of the For-
eign Assistance Act of 1961 (22 U.S.C. 2321j(e)), during 
fiscal year 2005, funds available to the Department of De-
fense may be expended for crating, packing, handling, and 
transportation of excess defense articles transferred under 
the authority of section 516 of such Act to Albania, Bul-
garia, Croatia, Estonia, Former Yugoslavian Republic of 
Macedonia, Georgia, India, Kazakhstan, Kyrgyzstan, Lat-
via, Lithuania, Moldova, Mongolia, Pakistan, Romania, 
Slovakia,
Tajikistan,
Turkmenistan,
Ukraine,
and 
Uzbekistan. 
CUBA 
SEC. 572. None of the funds appropriated by this Act 
under the heading ‘‘International Narcotics Control and