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(A) require that local currencies be deposited in 
a separate account established by that government; 
(B) enter into an agreement with that govern-
ment which sets forth— 
(i) the amount of the local currencies to be 
generated; and 
(ii) the terms and conditions under which 
the currencies so deposited may be utilized, con-
sistent with this section; and 
(C) establish by agreement with that govern-
ment the responsibilities of the United States Agen-
cy for International Development and that govern-
ment to monitor and account for deposits into and 
disbursements from the separate account. 
(2) USES OF LOCAL CURRENCIES.—As may be agreed 
upon with the foreign government, local currencies depos-
ited in a separate account pursuant to subsection (a), or 
an equivalent amount of local currencies, shall be used 
only— 
(A) to carry out chapter 1 or 10 of part I or 
chapter 4 of part II (as the case may be), for such 
purposes as— 
(i) project and sector assistance activities; 
or 
(ii) debt and deficit financing; or
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(B) for the administrative requirements of the 
United States Government. 
(3) PROGRAMMING ACCOUNTABILITY.—The United 
States Agency for International Development shall take all 
necessary steps to ensure that the equivalent of the local 
currencies disbursed pursuant to subsection (a)(2)(A) 
from the separate account established pursuant to sub-
section (a)(1) are used for the purposes agreed upon pur-
suant to subsection (a)(2). 
(4)
TERMINATION
OF
ASSISTANCE
PROGRAMS.— 
Upon termination of assistance to a country under chapter 
1 or 10 of part I or chapter 4 of part II (as the case 
may be), any unencumbered balances of funds which re-
main in a separate account established pursuant to sub-
section (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 Administrator 
of the United States Agency for International Develop-
ment shall report on an annual basis as part of the jus-
tification documents submitted to the Committees on Ap-
propriations on the use of local currencies for the adminis-
trative 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
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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 chap-
ter 4 of part II of the Foreign Assistance Act of 1961, 
as cash transfer assistance or as nonproject sector assist-
ance, 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 not-
withstanding provisions 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 Res-
olution 648 (House Report No. 98–1159). 
(3) NOTIFICATION.—At least 15 days prior to obli-
gating any such cash transfer or nonproject sector assist-
ance, the President shall submit a notification through the 
regular notification procedures of the Committees on Ap-
propriations, 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 assistance (including, as appropriate, a
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description of the economic policy reforms that will be pro-
moted by such assistance). 
(4) EXEMPTION.—Nonproject sector assistance funds 
may be exempt from the requirements of subsection (b)(1) 
only through the notification procedures of the Commit-
tees on Appropriations. 
ENTERPRISE FUND RESTRICTIONS 
SEC. 530. (a) Prior to the distribution of any assets 
resulting from any liquidation, dissolution, or winding up 
of an Enterprise Fund, in whole or in part, the President 
shall submit to the Committees on Appropriations, in ac-
cordance with the regular notification procedures of the 
Committees on Appropriations, a plan for the distribution 
of the assets of the Enterprise Fund. 
(b) Funds made available by this Act for Enterprise 
Funds shall be expended at the minimum rate necessary 
to make timely payment for projects and activities. 
FINANCIAL MARKET ASSISTANCE IN TRANSITION 
COUNTRIES 
SEC. 531. 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’’, ‘‘Assistance for the Independent States 
of the Former Soviet Union’’, ‘‘Nonproliferation, Anti-ter-
rorism, Demining and Related Programs’’, and ‘‘Assist-
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ance for Eastern Europe and Baltic States’’, not less than 
$40,000,000 should be made available for building capital 
markets and financial systems in countries in transition. 
AUTHORITIES FOR THE PEACE CORPS, INTER-AMERICAN 
FOUNDATION AND AFRICAN DEVELOPMENT FOUNDATION 
SEC. 532. Unless expressly provided to the contrary, 
provisions of this Act, and provisions contained in prior 
Acts authorizing or making appropriations for foreign op-
erations, export financing, and related programs, shall not 
be construed to prohibit activities authorized by or con-
ducted under the Peace Corps Act, the Inter-American 
Foundation Act or the African Development Foundation 
Act. The agency shall promptly report to the Committees 
on Appropriations whenever it is conducting activities or 
is proposing to conduct activities in a country for which 
assistance is prohibited. 
IMPACT ON JOBS IN THE UNITED STATES 
SEC. 533. None of the funds appropriated by this Act 
may be obligated or expended to provide— 
(1) any financial incentive to a business enter-
prise currently located in the United States for the 
purpose of inducing such an enterprise to relocate 
outside the United States if such incentive or in-
ducement is likely to reduce the number of employ-
ees of such business enterprise in the United States
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because United States production is being replaced 
by such enterprise outside the United States; or 
(2) assistance for any program, project, or ac-
tivity that contributes to the violation of internation-
ally 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 enterprise, and smallholder 
agriculture. 
SPECIAL AUTHORITIES 
SEC. 534. (a) AFGHANISTAN, PAKISTAN, LEBANON, 
MONTENEGRO, VICTIMS OF WAR, DISPLACED CHILDREN, 
AND DISPLACED BURMESE.—Funds appropriated by this 
Act that are made available for assistance for Afghanistan 
may be made available notwithstanding section 512 of this 
Act or any similar provision of law and section 660 of the 
Foreign Assistance Act of 1961, and funds appropriated 
in titles I and II of this Act that are made available for 
Lebanon, Montenegro, Pakistan, and for victims of war, 
displaced children, and displaced Burmese, and to assist 
victims of trafficking in persons and, subject to the regular
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notification procedures of the Committees on Appropria-
tions, to combat such trafficking, may be made available 
notwithstanding any other provision of law that restricts 
assistance to foreign countries and section 660 of the For-
eign Assistance Act of 1961. 
(b) TROPICAL FORESTRY AND BIODIVERSITY CON-
SERVATION ACTIVITIES.—Funds appropriated by this Act 
to carry out the provisions of sections 103 through 106, 
and chapter 4 of part II, of the Foreign Assistance Act 
of 1961 may be used, notwithstanding any other provision 
of law that restricts assistance to foreign countries and 
section 660 of the Foreign Assistance Act of 1961, for 
the purpose of supporting tropical forestry and biodiver-
sity conservation activities and energy programs aimed at 
reducing greenhouse gas emissions: Provided, That such 
assistance shall be subject to sections 116, 502B, and 
620A of the Foreign Assistance Act of 1961. 
(c) PERSONAL SERVICES CONTRACTORS.—Funds ap-
propriated by this Act to carry out chapter 1 of part I, 
chapter 4 of part II, and section 667 of the Foreign As-
sistance Act of 1961, and title II of the Agricultural Trade 
Development and Assistance Act of 1954, may be used 
by the United States Agency for International Develop-
ment to employ up to 25 personal services contractors in 
the United States, for the purpose of providing direct, in-
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terim support for new or expanded overseas programs and 
activities managed by the agency until permanent direct 
hire personnel are hired and trained: Provided, That not 
more than 10 of such contractors shall be assigned to any 
bureau or office: Provided further, That such funds appro-
priated to carry out title II of the Agricultural Trade De-
velopment and Assistance Act of 1954, may be made avail-
able only for personal services contractors assigned to the 
Office of Food for Peace. 
(d)(1) WAIVER.—The President may waive the provi-
sions of section 1003 of Public Law 100–204 if the Presi-
dent determines and certifies in writing to the Speaker 
of the House of Representatives and the President pro 
tempore of the Senate that it is important to the national 
security interests of the United States. 
(2) PERIOD
OF APPLICATION
OF WAIVER.—Any 
waiver pursuant to paragraph (1) shall be effective for no 
more than a period of 6 months at a time and shall not 
apply beyond 12 months after the enactment of this Act. 
(e) SMALL BUSINESS.—In entering into multiple 
award indefinite-quantity contracts with funds appro-
priated by this Act, the United States Agency for Inter-
national Development may provide an exception to the fair 
opportunity process for placing task orders under such
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contracts when the order is placed with any category of 
small or small disadvantaged business. 
(f) CONTINGENCIES.—During fiscal year 2006, the 
President may use up to $45,000,000 under the authority 
of section 451 of the Foreign Assistance Act of 1961, not-
withstanding the funding ceiling in section 451(a). 
(g) RECONSTITUTING CIVILIAN POLICE AUTHOR-
ITY.—In providing assistance with funds appropriated by 
this Act under section 660(b)(6) of the Foreign Assistance 
Act of 1961, support for a nation emerging from insta-
bility may be deemed to mean support for regional, dis-
trict, municipal, or other sub-national entity emerging 
from instability, as well as a nation emerging from insta-
bility. 
(h) WORLD FOOD PROGRAM.—Of the funds managed 
by the Bureau for Democracy, Conflict, and Humanitarian 
Assistance of the United States Agency for International 
Development, from this or any other Act, not less than 
$6,000,000 shall be made available as a general contribu-
tion to the World Food Program, notwithstanding any 
other provision of law that restricts assistance to foreign 
countries. 
(i) NATIONAL ENDOWMENT
FOR DEMOCRACY.— 
Funds appropriated by this Act that are provided to the 
National Endowment for Democracy may be provided not-
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withstanding any other provision of law or regulation that 
restricts assistance to foreign countries. 
ARAB LEAGUE BOYCOTT OF ISRAEL 
SEC. 535. It is the sense of the Congress that— 
(1) the Arab League boycott of Israel, and the 
secondary boycott of American firms that have com-
mercial ties with Israel, is an impediment to peace 
in the region and to United States investment and 
trade in the Middle East and North Africa; 
(2) the Arab League boycott, which was regret-
tably reinstated in 1997, should be immediately and 
publicly terminated, and the Central Office for the 
Boycott of Israel immediately disbanded; 
(3) all Arab League states should normalize re-
lations with their neighbor Israel; 
(4) the President and the Secretary of State 
should
continue
to
vigorously
oppose
the
Arab 
League boycott of Israel and find concrete steps to 
demonstrate that opposition by, for example, taking 
into consideration the participation of any recipient 
country in the boycott when determining to sell 
weapons to said country; and 
(5) the President should report to Congress an-
nually on specific steps being taken by the United 
States to encourage Arab League states to normalize 
their relations with Israel to bring about the termi-
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nation of the Arab League boycott of Israel, includ-
ing those to encourage allies and trading partners of 
the United States to enact laws prohibiting busi-
nesses from complying with the boycott and penal-
izing businesses that do comply. 
ELIGIBILITY FOR ASSISTANCE 
SEC. 536. (a) ASSISTANCE THROUGH NONGOVERN-
MENTAL ORGANIZATIONS.—Restrictions on assistance for 
foreign countries contained in this or any other Act shall 
not be construed to restrict assistance in support of pro-
grams of nongovernmental organizations from funds ap-
propriated by this Act to carry out the provisions of chap-
ters 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 Eastern 
Europe and the Baltic States’’: 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 Appropria-
tions under the regular notification procedures 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 involun-
tary sterilizations contained in this or any other Act.
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(b) PUBLIC LAW 480.—During fiscal year 2006, re-
strictions on assistance to foreign countries contained in 
this or any other Act shall not be construed to restrict 
assistance under the Agricultural Trade Development and 
Assistance Act of 1954: Provided, 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 notifica-
tion 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 sup-
port 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
internationally
recognized 
human rights. 
RESERVATIONS OF FUNDS 
SEC. 537. (a) Funds appropriated by this Act which 
are earmarked may be reprogrammed for other programs 
within the same account notwithstanding the earmark if 
compliance with the earmark is made impossible by oper-
ation of any provision of this Act or any other provision 
contained in prior Acts authorizing or making appropria-
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tions for foreign operations, export financing, and related 
programs: Provided, That any such reprogramming shall 
be subject to the regular notification procedures of the 
Committees on Appropriations: Provided further, That as-
sistance that is reprogrammed pursuant to this subsection 
shall be made available under the same terms and condi-
tions as originally provided. 
(b) In addition to the authority contained in sub-
section (a), the original period of availability of funds ap-
propriated by this Act and administered by the United 
States Agency for International Development that are ear-
marked for particular programs or activities by this or any 
other Act shall be extended for an additional fiscal year 
if the Administrator of such agency determines and re-
ports promptly to the Committees on Appropriations that 
the termination of assistance to a country or a significant 
change in circumstances makes it unlikely that such ear-
marked funds can be obligated during the original period 
of availability: Provided, That such earmarked funds that 
are continued available for an additional fiscal year shall 
be obligated only for the purpose of such earmark. 
CEILINGS AND EARMARKS 
SEC. 538. Ceilings and earmarks contained in this 
Act shall not be applicable to funds or authorities appro-
priated or otherwise made available by any subsequent Act 
unless such Act specifically so directs. Earmarks or min-
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imum funding requirements contained in any other Act 
shall not be applicable to funds appropriated by this Act. 
PROHIBITION ON PUBLICITY OR PROPAGANDA 
SEC. 539. No part of any appropriation contained in 
this Act shall be used for publicity or propaganda purposes 
within the United States not authorized before the date 
of the enactment of this Act by the Congress. 
PROHIBITION OF PAYMENTS TO UNITED NATIONS 
MEMBERS 
SEC. 540. None of the funds appropriated or made 
available pursuant to this Act for carrying out the Foreign 
Assistance Act of 1961, may be used to pay in whole or 
in part any assessments, arrearages, or dues of any mem-
ber of the United Nations or, from funds appropriated by 
this Act to carry out chapter 1 of part I of the Foreign 
Assistance Act of 1961, the costs for participation of an-
other country’s delegation at international conferences 
held under the auspices of multilateral or international or-
ganizations. 
NONGOVERNMENTAL ORGANIZATIONS—DOCUMENTATION 
SEC. 541. None of the funds appropriated or made 
available pursuant to this Act shall be available to a non-
governmental organization which fails to provide upon 
timely request any document, file, or record necessary to 
the auditing requirements of the United States Agency for 
International Development.
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PROHIBITION
ON
ASSISTANCE
TO
FOREIGN
GOVERN-
MENTS
THAT
EXPORT
LETHAL
MILITARY
EQUIP-
MENT TO COUNTRIES SUPPORTING INTERNATIONAL 
TERRORISM 
SEC. 542. (a) None of the funds appropriated or oth-
erwise made available by this Act may be available to any 
foreign government which provides lethal military equip-
ment to a country the government of which the Secretary 
of State has determined is a terrorist government for pur-
poses of section 6(j) of the Export Administration Act of 
1979. The prohibition under this section with respect to 
a foreign government shall terminate 12 months after that 
government ceases to provide such military equipment. 
This section applies with respect to lethal military equip-
ment provided under a contract entered into after October 
1, 1997. 
(b) Assistance restricted by subsection (a) or any 
other similar provision of law, may be furnished if the 
President determines that furnishing such assistance is 
important to the national interests of the United States. 
(c) Whenever the waiver authority of subsection (b) 
is exercised, the President shall submit to the appropriate 
congressional committees a report with respect to the fur-
nishing of such assistance. Any such report shall include 
a detailed explanation of the assistance to be provided, in-
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cluding the estimated dollar amount of such assistance, 
and an explanation of how the assistance furthers United 
States national interests. 
WITHHOLDING OF ASSISTANCE FOR PARKING FINES AND 
REAL PROPERTY TAXES OWED BY FOREIGN COUNTRIES 
SEC. 543. (a) Subject to subsection (c), of the funds 
appropriated by this Act that are made available for as-
sistance for a foreign country, an amount equal to 110 
percent of the total amount of the unpaid fully adjudicated 
parking fines and penalties and unpaid property taxes 
owed by the central government of such country shall be 
withheld from obligation for assistance for the central gov-
ernment of such country until the Secretary of State sub-
mits a certification to the appropriate congressional com-
mittees stating that such parking fines and penalties and 
unpaid property taxes are fully paid. 
(b) Funds withheld from obligation pursuant to sub-
section (a) may be made available for other programs or 
activities funded by this Act, after consultation with and 
subject to the regular notification procedures of the appro-
priate congressional committees, provided that no such 
funds shall be made available for assistance for the central 
government of a foreign country that has not paid the 
total amount of the fully adjudicated parking fines and 
penalties and unpaid property taxes owed by such country.
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(c) Subsection (a) shall not include amounts that 
have been withheld under any other provision of law. 
(d)(1) The Secretary of State may waive the require-
ments set forth in subsection (a) with respect to parking 
fines and penalties no sooner than 60 days from the date 
of enactment of this Act, or at any time with respect to 
a particular country, if the Secretary determines that it 
is in the national interests of the United States to do so. 
(2) The Secretary of State may waive the require-
ments set forth in subsection (a) with respect to the un-
paid property taxes if the Secretary of State determines 
that it is in the national interests of the United States 
to do so. 
(e) Not later than 6 months after the initial exercise 
of the waiver authority in subsection (d), the Secretary 
of State, after consultations with the City of New York, 
shall submit a report to the Committees on Appropriations 
describing a strategy, including a timetable and steps cur-
rently being taken, to collect the parking fines and pen-
alties and unpaid property taxes and interest owed by na-
tions receiving foreign assistance under this Act. 
(f) In this section: 
(1) The term ‘‘appropriate congressional com-
mittees’’ means the Committee on Appropriations of
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the Senate and the Committee on Appropriations of 
the House of Representatives. 
(2) The term ‘‘fully adjudicated’’ includes cir-
cumstances in which the person to whom the vehicle 
is registered— 
(A)(i) has not responded to the parking 
violation summons; or 
(ii) has not followed the appropriate adju-
dication procedure to challenge the summons; 
and 
(B) the period of time for payment of or 
challenge to the summons has lapsed. 
(3) The term ‘‘parking fines and penalties’’ 
means parking fines and penalties— 
(A) owed to— 
(i) the District of Columbia; or 
(ii) New York, New York; and 
(B) incurred during the period April 1, 
1997, through September 30, 2005. 
(4) The term ‘‘unpaid property taxes’’ means 
the amount of unpaid taxes and interest determined 
to be owed by a foreign country on real property in 
the District of Columbia or New York, New York in 
a court order or judgment entered against such
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country by a court of the United States or any State 
or subdivision thereof. 
LIMITATION ON ASSISTANCE FOR THE PLO FOR THE 
WEST BANK AND GAZA 
SEC. 544. None of the funds appropriated by this Act 
may be obligated for assistance for the Palestine Libera-
tion Organization for the West Bank and Gaza unless the 
President has exercised the authority under section 604(a) 
of the Middle East Peace Facilitation Act of 1995 (title 
VI of Public Law 104–107) or any other legislation to sus-
pend or make inapplicable section 307 of the Foreign As-
sistance Act of 1961 and that suspension is still in effect: 
Provided, That if the President fails to make the certifi-
cation under section 604(b)(2) of the Middle East Peace 
Facilitation Act of 1995 or to suspend the prohibition 
under other legislation, funds appropriated by this Act 
may not be obligated for assistance for the Palestine Lib-
eration Organization for the West Bank and Gaza. 
WAR CRIMES TRIBUNALS DRAWDOWN 
SEC. 545. If the President determines that doing so 
will contribute to a just resolution of charges regarding 
genocide or other violations of international humanitarian 
law, the President may direct a drawdown pursuant to sec-
tion 552(c) of the Foreign Assistance Act of 1961 of up 
to $30,000,000 of commodities and services for the United 
Nations War Crimes Tribunal established with regard to
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the former Yugoslavia by the United Nations Security 
Council or such other tribunals or commissions as the 
Council may establish or authorize to deal with such viola-
tions, without regard to the ceiling limitation contained 
in paragraph (2) thereof: Provided, That the determina-
tion required under this section shall be in lieu of any de-
terminations otherwise required under section 552(c): Pro-
vided further, That the drawdown made under this section 
for any tribunal shall not be construed as an endorsement 
or precedent for the establishment of any standing or per-
manent international criminal tribunal or court: Provided 
further, That funds made available for tribunals other 
than Yugoslavia, Rwanda, or the Special Court for Sierra 
Leone shall be made available subject to the regular notifi-
cation procedures of the Committees on Appropriations. 
LANDMINES 
SEC. 546. Notwithstanding any other provision of law 
that restricts assistance to foreign countries, demining 
equipment available to the United States Agency for Inter-
national Development and the Department of State and 
used in support of the clearance of landmines and 
unexploded ordnance for humanitarian purposes may be 
disposed of on a grant basis in foreign countries, subject 
to such terms and conditions as the President may pre-
scribe.
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RESTRICTIONS CONCERNING THE PALESTINIAN 
AUTHORITY 
SEC. 547. None of the funds appropriated by this Act 
may be obligated or expended to create in any part of Je-
rusalem a new office of any department or agency of the 
United States Government for the purpose of conducting 
official United States Government business with the Pal-
estinian Authority over Gaza and Jericho or any successor 
Palestinian governing entity provided for in the Israel- 
PLO Declaration of Principles: Provided, That this re-
striction shall not apply to the acquisition of additional 
space for the existing Consulate General in Jerusalem: 
Provided further, That meetings between officers and em-
ployees of the United States and officials of the Pales-
tinian Authority, or any successor Palestinian governing 
entity provided for in the Israel-PLO Declaration of Prin-
ciples, for the purpose of conducting official United States 
Government business with such authority should continue 
to take place in locations other than Jerusalem. As has 
been true in the past, officers and employees of the United 
States Government may continue to meet in Jerusalem on 
other subjects with Palestinians (including those who now 
occupy positions in the Palestinian Authority), have social 
contacts, and have incidental discussions.
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PROHIBITION OF PAYMENT OF CERTAIN EXPENSES 
SEC. 548. None of the funds appropriated or other-
wise made available by this Act under the heading ‘‘Inter-
national Military Education and Training’’ or ‘‘Foreign 
Military Financing Program’’ for Informational Program 
activities or under the headings ‘‘Child Survival and 
Health Programs Fund’’, ‘‘Development Assistance’’, and 
‘‘Economic Support Fund’’ may be obligated or expended 
to pay for— 
(1) alcoholic beverages; or 
(2) entertainment expenses for activities that 
are substantially of a recreational character, includ-
ing but not limited to entrance fees at sporting 
events,
theatrical
and
musical
productions,
and 
amusement parks. 
HAITI 
SEC. 549. The Government of Haiti shall be eligible 
to purchase defense articles and services under the Arms 
Export Control Act (22 U.S.C. 2751 et seq.), for the Coast 
Guard. 
LIMITATION ON ASSISTANCE TO THE PALESTINIAN 
AUTHORITY 
SEC. 550. (a) PROHIBITION OF FUNDS.—None of the 
funds appropriated by this Act to carry out the provisions 
of chapter 4 of part II of the Foreign Assistance Act of
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1961 may be obligated or expended with respect to pro-
viding funds to the Palestinian Authority. 
(b) WAIVER.—The prohibition included in subsection 
(a) shall not apply if the President certifies in writing to 
the Speaker of the House of Representatives and the 
President pro tempore of the Senate that waiving such 
prohibition is important to the national security interests 
of the United States. 
(c) PERIOD
OF APPLICATION
OF WAIVER.—Any 
waiver pursuant to subsection (b) shall be effective for no 
more than a period of 6 months at a time and shall not 
apply beyond 12 months after the enactment of this Act. 
(d) REPORT.—Whenever the waiver authority pursu-
ant to subsection (b) is exercised, the President shall sub-
mit a report to the Committees on Appropriations detail-
ing the steps the Palestinian Authority has taken to arrest 
terrorists, confiscate weapons and dismantle the terrorist 
infrastructure. The report shall also include a description 
of how funds will be spent and the accounting procedures 
in place to ensure that they are properly disbursed. 
LIMITATION ON ASSISTANCE TO SECURITY FORCES 
SEC. 551. None of the funds made available by this 
Act may be provided to any unit of the security forces 
of a foreign country if the Secretary of State has credible 
evidence that such unit has committed gross violations of 
human rights, unless the Secretary determines and reports
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to the Committees on Appropriations that the government 
of such country is taking effective measures to bring the 
responsible members of the security forces unit to justice: 
Provided, That nothing in this section shall be construed 
to withhold funds made available by this Act from any 
unit of the security forces of a foreign country not credibly 
alleged to be involved in gross violations of human rights: 
Provided further, That in the event that funds are withheld 
from any unit pursuant to this section, the Secretary of 
State shall promptly inform the foreign government of the 
basis for such action and shall, to the maximum extent 
practicable, assist the foreign government in taking effec-
tive measures to bring the responsible members of the se-
curity forces to justice. 
FOREIGN MILITARY TRAINING REPORT 
SEC. 552. The annual foreign military training report 
required by section 656 of the Foreign Assistance Act of 
1961 shall be submitted by the Secretary of Defense and 
the Secretary of State to the Committees on Appropria-
tions of the House of Representatives and the Senate by 
the date specified in that section. 
AUTHORIZATION REQUIREMENT 
SEC. 553. Funds appropriated by this Act, except 
funds appropriated under the headings ‘‘Trade and Devel-
opment Agency’’, ‘‘Overseas Private Investment Corpora-
tion’’, and ‘‘Global HIV/AIDS Initiative’’, may be obli-
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gated and expended notwithstanding section 10 of Public 
Law 91–672 and section 15 of the State Department 
Basic Authorities Act of 1956. 
CAMBODIA 
SEC. 554. The Secretary of the Treasury should in-
struct the United States executive directors of the inter-
national financial institutions to use the voice and vote 
of the United States to oppose loans to the Central Gov-
ernment of Cambodia, except loans to meet basic human 
needs. 
PALESTINIAN STATEHOOD 
SEC. 555. (a) LIMITATION ON ASSISTANCE.—None 
of the funds appropriated by this Act may be provided 
to support a Palestinian state unless the Secretary of 
State determines and certifies to the appropriate congres-
sional committees that— 
(1) a new leadership of a Palestinian governing 
entity has been democratically elected through cred-
ible and competitive elections; 
(2) the elected governing entity of a new Pales-
tinian state— 
(A) has demonstrated a firm commitment 
to peaceful co-existence with the State of Israel; 
(B) is taking appropriate measures to 
counter terrorism and terrorist financing in the
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West Bank and Gaza, including the dismantling 
of terrorist infrastructures; 
(C) is establishing a new Palestinian secu-
rity entity that is cooperative with appropriate 
Israeli and other appropriate security organiza-
tions; and 
(3) the Palestinian Authority (or the governing 
body of a new Palestinian state) is working with 
other countries in the region to vigorously pursue ef-
forts to establish a just, lasting, and comprehensive 
peace in the Middle East that will enable Israel and 
an independent Palestinian state to exist within the 
context of full and normal relationships, which 
should include— 
(A) termination of all claims or states of 
belligerency; 
(B) respect for and acknowledgement of 
the sovereignty, territorial integrity, and polit-
ical independence of every state in the area 
through measures including the establishment 
of demilitarized zones; 
(C) their right to live in peace within se-
cure
and
recognized
boundaries
free
from 
threats or acts of force;
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(D) freedom of navigation through inter-
national waterways in the area; and 
(E) a framework for achieving a just set-
tlement of the refugee problem. 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that the newly-elected governing entity should enact 
a constitution assuring the rule of law, an independent ju-
diciary, and respect for human rights for its citizens, and 
should enact other laws and regulations assuring trans-
parent and accountable governance. 
(c) WAIVER.—The President may waive subsection 
(a) if he determines that it is vital to the national security 
interests of the United States to do so. 
(d) EXEMPTION.—The restriction in subsection (a) 
shall not apply to assistance intended to help reform the 
Palestinian Authority and affiliated institutions, or a 
newly-elected governing entity, in order to help meet the 
requirements of subsection (a), consistent with the provi-
sions of section 550 of this Act (‘‘Limitation on Assistance 
to the Palestinian Authority’’). 
COLOMBIA 
SEC. 556. (a) DETERMINATION AND CERTIFICATION 
REQUIRED.—Funds appropriated by this Act that are 
available for assistance for the Colombian Armed Forces, 
may be made available as follows:
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(1) Up to 75 percent of such funds may be obli-
gated prior to a determination and certification by 
the Secretary of State pursuant to paragraph (2). 
(2) Up to 12.5 percent of such funds may be 
obligated only after the Secretary of State certifies 
and reports to the appropriate congressional com-
mittees that: 
(A) The Commander General of the Co-
lombian Armed Forces is suspending from the 
Armed Forces those members, of whatever rank 
who, according to the Minister of Defense or 
the Procuraduria General de la Nacion, have 
been credibly alleged to have committed gross 
violations of human rights, including extra-judi-
cial killings, or to have aided or abetted para-
military organizations. 
(B) The Colombian Government is vigor-
ously investigating and prosecuting those mem-
bers of the Colombian Armed Forces, of what-
ever rank, who have been credibly alleged to 
have
committed
gross
violations
of
human 
rights, including extra-judicial killings, or to 
have aided or abetted paramilitary organiza-
tions, and is promptly punishing those members 
of the Colombian Armed Forces found to have
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committed such violations of human rights or to 
have aided or abetted paramilitary organiza-
tions. 
(C) The Colombian Armed Forces have 
made substantial progress in cooperating with 
civilian prosecutors and judicial authorities in 
such cases (including providing requested infor-
mation, such as the identity of persons sus-
pended from the Armed Forces and the nature 
and cause of the suspension, and access to wit-
nesses, relevant military documents, and other 
requested information). 
(D) The Colombian Armed Forces have 
made substantial progress in severing links (in-
cluding denying access to military intelligence, 
vehicles, and other equipment or supplies, and 
ceasing other forms of active or tacit coopera-
tion) at the command, battalion, and brigade 
levels, with paramilitary organizations, espe-
cially in regions where these organizations have 
a significant presence. 
(E) The Colombian Government is disman-
tling paramilitary leadership and financial net-
works by arresting commanders and financial
102 
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backers, especially in regions where these net-
works have a significant presence. 
(3) The balance of such funds may be obligated 
after July 31, 2006, if the Secretary of State cer-
tifies and reports to the appropriate congressional 
committees, after such date, that the Colombian 
Armed Forces are continuing to meet the conditions 
contained in paragraph (2) and are conducting vig-
orous operations to restore government authority 
and respect for human rights in areas under the ef-
fective control of paramilitary and guerrilla organi-
zations. 
(b) CONGRESSIONAL NOTIFICATION.—Funds made 
available by this Act for the Colombian Armed Forces 
shall be subject to the regular notification procedures of 
the Committees on Appropriations. 
(c) CONSULTATIVE PROCESS.—Not later than 60 
days after the date of enactment of this Act, and every 
90 days thereafter until September 30, 2007, the Sec-
retary of State shall consult with internationally recog-
nized human rights organizations regarding progress in 
meeting the conditions contained in that subsection. 
(d) DEFINITIONS.—In this section: 
(1) AIDED OR ABETTED.—The term ‘‘aided or 
abetted’’ means to provide any support to para-