Title: World Bank Accountability Act of 2017
Policy area: International Affairs

Summary:
World Bank Accountability Act of 2017
This bill provides that for each of FY2018-FY2023, 15% of appropriations for the World Bank's International Development Association shall be withheld and not disbursed until the Department of the Treasury reports to Congress that the International Bank for Reconstruction and Development: (1) is implementing institutional incentives that prioritize poverty reduction, development outcomes, and capable project management over the Bank's lending and grant making volume; (2) is taking, or has completed, steps to address the management failures from the Uganda Transport Sector Development Project; and (3) is strengthening its trust fund management in order to increase accountability for poverty reduction and development outcomes.
An additional 15% of appropriations for such fiscal years shall be withheld and not disbursed until Treasury reports that the International Bank for Reconstruction and Development: (1) is emphasizing its support for secure property rights, due process of law, and economic freedom as essential to sustained poverty reduction in World Bank borrowing countries; (2) has not approved any loans or grants to a country designated by the U.S. as a state sponsor of terrorism and is strengthening the ability of Bank-funded projects to undermine violent extremism; (3) is taking steps to conduct randomized forensic audits of projects receiving Bank assistance; and (4) is working to detect and minimize corruption in projects involving development policy lending.
Such conditions will be considered to have been satisfied for a fiscal year if they have been satisfied for the preceding three fiscal years.
The bill amends the International Development Association Act to authorize the Governor of the International Development Association to contribute a specified amount on behalf of the United States to the 18th replenishment of the association's resources.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3326 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 3326

     To increase accountability, combat corruption, and strengthen 
              management effectiveness at the World Bank.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 20, 2017

   Mr. Barr introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
     To increase accountability, combat corruption, and strengthen 
              management effectiveness at the World Bank.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``World Bank Accountability Act of 
2017''.

SEC. 2. WITHHOLDING OF FUNDS UNTIL CERTAIN CONDITIONS ARE MET.

    (a) Institutional Reforms.--
            (1) In general.--With respect to each of fiscal years 2018 
        through 2023, in addition to any amounts withheld from 
        disbursement under subsection (b), 15 percent of the amounts 
        provided in appropriations Acts for the International 
        Development Association for the fiscal year--
                    (A) shall be withheld from disbursement until the 
                conditions of paragraph (2) or (3) are satisfied; and
                    (B)(i) shall be disbursed after, the conditions of 
                paragraph (2) are satisfied; and
                    (ii) may be disbursed after, the conditions of 
                paragraph (3) are satisfied.
            (2) Initial conditions.--The conditions of this paragraph 
        are satisfied with respect to the amounts provided in 
        appropriations Acts for a fiscal year if, in the fiscal year, 
        the Secretary of the Treasury reports to the appropriate 
        congressional committees that the International Bank for 
        Reconstruction and Development--
                    (A) is implementing institutional incentives, 
                including through formal staff evaluation criteria, 
                that prioritize poverty reduction, development 
                outcomes, and capable project management over the 
                volume of the Bank's lending and grantmaking;
                    (B) is taking, or has completed, steps to address 
                the management failures described in Inspection Panel 
                Investigation Report 106710-UG, and to prevent their 
                recurrence in countries that are eligible for World 
                Bank support; and
                    (C) is taking measures to strengthen its management 
                of trust funds, with the goal of increasing the 
                accountability of the trust funds for poverty reduction 
                and development outcomes.
            (3) Subsequent conditions.--The conditions of this 
        paragraph are satisfied if the Secretary of the Treasury 
        reports to the appropriate congressional committees, in each of 
        the 3 fiscal years most recently preceding the fiscal year in 
        which the report is made, that the International Bank for 
        Reconstruction and Development has instituted the measures 
        described in paragraph (2) of this subsection and the measures 
        described in subsection (b)(2).
    (b) Governance and Anticorruption Reforms.--
            (1) In general.--With respect to each of fiscal years 2018 
        through 2023, in addition to any amounts withheld from 
        disbursement under subsection (a), 15 percent of the amounts 
        provided in appropriations Acts for the International 
        Development Association for the fiscal year--
                    (A) shall be withheld from disbursement until the 
                conditions of paragraph (2) or (3) are satisfied; and
                    (B)(i) shall be disbursed after, the conditions of 
                paragraph (2) are satisfied; and
                    (ii) may be disbursed after, the conditions of 
                paragraph (3) are satisfied.
            (2) Initial conditions.--The conditions of this paragraph 
        are satisfied with respect to the amounts provided in 
        appropriations Acts for a fiscal year if, in the fiscal year, 
        the Secretary of the Treasury reports to the appropriate 
        congressional committees that the International Bank for 
        Reconstruction and Development--
                    (A) is emphasizing in appropriate operational 
                policies, directives, and country strategies its 
                support for secure property rights, due process of law, 
                and economic freedom as essential conditions for 
                sustained poverty reduction in World Bank borrowing 
                countries;
                    (B)(i) has not approved any loans or grants 
                assistance by the Bank to a country designated by the 
                United States as a state sponsor of terrorism in the 
                preceding fiscal year; and
                    (ii) is strengthening the ability of Bank-funded 
                projects to undermine violent extremism;
                    (C) is taking steps to conduct randomized forensic 
                audits of projects receiving assistance from the Bank, 
                increase the number of the audits, and strengthen the 
                capacity of the Bank's Integrity Vice Presidency; and
                    (D) is taking measures to detect and minimize 
                corruption in all World Bank projects involving 
                development policy lending.
            (3) Subsequent conditions.--The conditions of this 
        paragraph are satisfied if the Secretary of the Treasury 
        reports to the appropriate congressional committees, in each of 
        the 3 fiscal years most recently preceding the fiscal year in 
        which the report is made that the International Bank for 
        Reconstruction and Development has instituted the measures 
        described in paragraph (2) of this subsection and the measures 
        described in subsection (a)(2).
    (c) Appropriate Congressional Committees Defined.--In this section, 
the term ``appropriate congressional committees'' means the Committees 
on Financial Services and Appropriations of the House of 
Representatives and the Committees on Foreign Relations and 
Appropriations of the Senate.

SEC. 3. REPORTS TO CONGRESS.

    The Chairman of the National Advisory Council on International 
Monetary and Financial Policies shall include in the report required by 
section 1701 of the International Financial Institutions Act for each 
of fiscal years 2018 through 2023 a detailed description of the actions 
undertaken by the International Bank for Reconstruction and Development 
in the fiscal year covered by the report to institute the measures 
described in subsections (a)(2) and (b)(2) of section 2 of this Act.

SEC. 4. EIGHTEENTH REPLENISHMENT OF THE INTERNATIONAL DEVELOPMENT 
              ASSOCIATION; REDUCTION FROM IDA-17 AUTHORIZED LEVEL.

    The International Development Association Act (22 U.S.C. 284 et 
seq.) is amended by adding at the end the following:

``SEC. 30. EIGHTEENTH REPLENISHMENT.

    ``(a) Contribution Authority.--The United States Governor of the 
International Development Association may contribute on behalf of the 
United States $3,291,030,000 to the eighteenth replenishment of the 
resources of the Association, subject to obtaining the necessary 
appropriations.
    ``(b) Limitations on Authorization of Appropriations.--In order to 
pay for the contribution provided for in subsection (a), there are 
authorized to be appropriated, without fiscal year limitation, 
$3,291,030,000 for payment by the Secretary of the Treasury.''.
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