Enterprise for the Americas Initiative Act of 1992
PL 102-532 (H.R.4059), enacted 10/27/1992

PUBLIC LAW 102-532—OCT. 27,1992 
106 STAT. 3509 
Public Law 102-532 
102d Congress 
An Act 
To amend the Agricultural Trade Development and Assistance Act of 1954 to 
authorize additional functions writhin the Enterprise for the Americas Initiative, 
and for other purposes. 
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 'Enterprise for the Americas 
Initiative Act of 1992". 
SEC. 2. GOOD NEIGHBOR ENVIRONMENTAL ACT OF 1992. 
Title VI of the Agricultural Trade Development and Assistance 
Act of 1954 (7 U.S.C. 1738 and following) is amended by adding 
at the end the following new sections: 
'nSEC. 616. SALE OF QUALIFIED DEBT TO EUGIBLE COUNTRIES. 
Oct. 27,1992 
[H.R. 4059] 
Enterprise for 
the Americas 
Initiative Act of 
1992 
7 use 1691 note. 
7 u s e 1638o. 
"(a) IN GENERAL.— 
"(1) AUTHORIZATION.—The President may sell to an eligible 
country up to 40 percent of such countr/s qualified debt, only 
if an amount of the local currency of such coimtry (other than 
the price paid for the debt) equal to— 
"(A) not less than 40 percent of the price paid for 
such debt by such eligible coimtry, or 
"(B) the difference between the price paid for such 
debt and the face value of such debt; 
whichever is less, is used by such country through an Environ-
mental Fund for eligible activities described in section 612. 
"(2) ENVIRONMENTAL FUNDS.—For purposes of this section, 
the term 'Environmental Fund' means an Environmental Fimd 
established imder section 608. In the case of Mexico, such 
fund may be designated as the Good Neighbor Environmental 
Fund for the Border. 
"(3) ESTABLISHMENT AND OPERATION OF ENVIRONMENTAL 
FUNDS.—^The President should advise eligible coimtries on the 
procedures required to establish and operate the Environmental 
Funds required to be established under paragraph (1). 
"(b) TERMS AND CONDITIONS.—The President shall establish President, 
the terms and conditions, including the amoimt to be paid by 
the eligible country, under which such country's qualified debt 
may be sold under this section. 
"(c) APPROPRIATIONS REQUIREMENT.—The authorities provided 
by this section may be exercised only in such amounts and to 
such extent as is provided in advance in appropriations Acts. 
"(d) CERTAIN PROHIBITIONS INAPPLICABLE.—A sale of debt imder 
this section shall not be considered assistance for purposes of any 
provision of law limiting assistance to a country. 
"(e) IMPLEMENTATION BY THE FACIUTY.—A sale of debt author-
ized under this section shall be accomplished at the direction of 
the Facility. The Facility shall direct the Commodity Credit Cor-
106 STAT. 3510 
PUBLIC LAW 102-532—OCT. 27, 1992 
poration to carry out such sale. The Commodity Credit Corporation 
shall make an adjustment in its accounts to reflect the sale. 
"(£) DEPOSIT OF PROCEEDS.—^The proceeds from a sale of quali-
fied debt under this section shall be deposited in the account or 
accounts established by the Commodity Credit Corporation for the 
repayment of such debt by the eligible country. 
"(g) DEBTOR CONSULTATION.—Before any sale of qualified debt 
may occur under this section, the President should consult with 
the eligible country's government concerning such sale. The topics 
addressed in the consultation shall include the amount of qualified 
debt involved in the transaction and the uses to which funds made 
available as a result of the sale shall be applied. 
7 use 1738p. 
«SEC. 617. SALE, REDUCTION, O
R C
A
N
C
E
L
L
A
T
I
O
N OF QUALIFIED DEBT 
TO FACILITATE CERTAIN DEBT SWAPS. 
"(a) AUTHORITY TO SELL, REDUCE, OR CANCEL QUALIFIED 
DEBT.—For the purpose offacilitating eligible debt swaps, the Presi-
dent, in accordance with this section— 
"(1) may sell to an eligible purchaser (as determined pursu-
ant to subsection (c)(1)) any qualified debt of an eligible coimtry; 
or 
"(2) may reduce or cancel eligible debt of an eligible country 
upon receipt of payment from an eligible payor (as determined 
under subsection (cX2)). 
President. 
"(b) T
E
R
M
S A
N
D CONDITIONS.—The President shall establish 
the terms and conditions under which qualified debt may be sold, 
reduced, or canceled pursuant to this section. 
"(c) ELIGIBLE PURCHASERS A
N
D ELIGIBLE PAYORS.— 
"(1) SALES OF DEBT.—Qualified debt may be sold pursuant 
to subsection (aXD only to a purchaser who presents plans 
satisfactory to the President for using the debt for the purpose 
of engaging in eligible debt swaps. 
"(2) REDUCTION OR CANCELLATION OF DEBT.—Qualified debt 
may be reduced or cancelled pursuant to subsection (aX2) only 
if the payor presents plans satisfactory to the President for 
using such reduction or cancellation for the piirpose of facilitat-
ing eligible debt swaps. 
"(d) DEBTOR CONSULTATION AND RIGHT OF FIRST REFUSAL.— 
"(1) CONSULTATION.—Before selling, reducing, or canceling 
any qualified debt of an eligible countrv pursuant to this sec-
tion, the President should consult with that country concerning, 
among other things, the amount of debt to be sold, reduced, 
or canceled and the uses of such debt for eligible debt swaps. 
"(2) RIGHT OF FIRST REFUSAL.—The qualified debt of an 
eligible country may be sold, reduced, or cancelled pursuant 
to this section only if that country has been offered the oppor-
tunity to purchase that debt pursuant to section 616 and has 
not accepted that offer. 
"(e) LIMITATION.—In the aggregate, not more than 40 percent 
of the qualified debt of an eligible coimtry may be sold, reduced, 
or cancelled under this section or sold imder section 616. 
"(0 ADMINISTRATION.—The Facility shall notify the Commodity 
Credit Corporation of purchasers and payors the President has 
determined to be eligiole under subsection (c), and shall direct 
the corporation to carry out the sale, reduction, or cancellation 
of a qualified debt pursuant to this section. The Commodity Credit 
PUBLIC LAW 102-532—OCT. 27, 1992 
106 STAT. 3511 
Corporation shall make an adjustment in its accounts to reflect 
such sale, reduction, or cancellation. 
"(g) APPROPRIATIONS REQUIREMENT.—The authorities provided 
by this section may be exercised only in such amounts and to 
such extent as is provided in advance in appropriations Acts. 
"(h) DEPOSIT OF PROCEEDS.—^The proceeds from the sale, reduc-
tion, or cancellation of qualified debt pursuant to this section shall 
be deposited in the United States Government account or accounts 
established for the repajmient of such debt. 
"(i) ELIGIBLE DEBT SWAPS.—^AS used in this section, the term 
'eligible debt swap' means a debt-for-development swap or debt-
for-nature swap. 
"SEC. 618. NOTIFICATION TO CONGRESSIONAL COMMITTEES. 
7 USC 1738q. 
"(a) NOTICE OF NECSOTIATIONS.—The Secretary of State and 
the Secretary of the Ti*easury shall, in every feasible instance, 
notify the designated congressional committees not less than 15 
days prior to any formal negotiation for debt reUef under this 
title. 
"(b) TRANSMITTAL OF TEXT OF AGREEMENTS.—The Secretary 
of State shall transmit to the designated congressional committees 
a copy of the text of any agreement with any foreign government 
which would result in any debt relief under this title no less 
than 30 days prior to its entiy into force, together with a detailed 
justification of the interest of the United States in the proposed 
debt relief. 
"(c) ANNUAL REPORT.—The Secretary of State or the Secretary 
of the Treasury, as appropriate, shall submit to the designated 
congressional committees not later than February 1 of each year 
a consolidated statement of the budgetary implications of all debt 
relief agreements entered into force under this title during the 
preceding fiscal year. 
"(d) DESIGNATED CONGRESSIONAL COMMITTEES.—AS used in this 
section, the term 'designated congressional committees' means the 
Committee on Agriculture and the Committee on Foreign Affairs 
of the House of Representatives and the Committee on Agriculture, 
Nutrition, and Forestry of the Senate. 
"SEC. 619. DEFINITION OF QUALIFIED DEBT. 
7 USC 1738r. 
"As used in sections 616, 617, and 618, the term 'qualified 
debt' means any obligation, or portion of such obligation, of an 
eligible country to pay for purchases of United States agriciiltural 
commodities guaranteed by the Commodity Credit Corporation 
imder export credit guarantee programs authorized pursuant to 
section 5(f) of the Commodity Credit Corporation Charter Act or 
section 4(b) of the Food for Peace Act of 1966— 
"(1) in which the Commodity Credit Corporation obtained 
a legal right or interest, as a result of assignment or subroga-
tion, not later than September 1,1992; and 
"(2) the payment of which obligation has been, not later 
than September 1, 1992, rescheduled in accordance with prin-
ciples set forth in an Agreed Minute of the Paris Club. 
Such term includes the obligation to pay any interest which was 
due or accrued not later than September 1, 1992, and unpaid 
as of the date of a debt sale pursuant to section 616 or a debt 
sale, reduction, or cancellation pursuant to section 617 (as the 
case may be).". 
106 STAT. 3512 
PUBLIC LAW 102-532—OCT. 27, 1992 
7 use 1738m. 
SEC. 3. ANNUAL REPORTS TO THE CONGRESS. 
Section 614(a) of the Agricultural Trade Development and 
Assistance Act of 1954 (7 U.S.C. 1738mm(a)) is amended by adding 
at the end the following: "This report shall include— 
"(1) a description of the activities undertaken by the Facil-
ity during the previous fiscal year; 
"(2) a description of any Enviromental Framework Agree-
ment entered into under this title; 
"(3) a report on what Environmental Fvmds have been 
established iinder this title and on the operations of such Funds; 
and 
"(4) a description of any grants that have been extended 
by administering bodies pursuant to an Enviromental Frame-
work Agreement under this title.". 
Canada. 
SEC. 4. CENTER FOR NORTH AMERICAN STUDIES. 
I^cxico 
7 use 3294. 
(^) ESTABLISHMENT.—^The Secretanr of Agriculture shall estab-
lish a center, to be known as the Center For North American 
Studies, whose primary purpose shall be to promote better agricul-
tural relationships among Canada, Mexico, and the United States 
through cooperative study, training, and research. 
(b) LOCATION.—^The Institute shall be located at an institution 
of higher education or at a consortium of such institutions. 
(c) AUTHOMZATION OF APPROPRIATIONS.—To carry out this sec-
tion, there are authorized to be appropriated $10,000,000 for fiscal 
year 1994 and such sums as may necessary for each of fiscal 
years 1995 and 1996. 
SEC. 5. STUDY OF THE EFFECT OF FREE TRADE WITH LATIN AMER-
ICAN AND CARIBBEAN COUNTRIES ON THE UNITED STATES 
ECONOMY. 
President. 
The President shall transmit to the Congress, not later than 
8 months after the date of the enactment of this Act, a study 
describing— 
(1) in summary fashion, the likely effect on major United 
States industries and other sectors, including agriculture, that 
could be most affected by a hemispherical free trade zone 
with Latin American and Caribbean countries; 
(2) the regions in the United States that would be most 
affected by a hemispherical free trade zone with Latin American 
and Caribbean coimtries and, in summary fashion, the nature 
of these effects; 
(3) the extent to which horticultural exports from Latin 
American and Caribbean countries complement or compete with 
United States production; 
(4) a coimtry-by-country overview of recent economic devel-
opments in Latin American and Caribbean countries signifi-
cantly influencing United States relations with such coimtries, 
including present trade and investment patterns in these 
regions; 
(5) the likely effect of a hemispherical free trade zone 
with Latin American and Caribbean countries on the United 
States economy and its multilateral interrelationship with other 
coimtries in the region, including Canada and Mexico; 
(6) the extent to which manufactured products exported 
from Latin American and Caribbean countries complement or 
compete with United States production; and 
PUBLIC LAW 102-532—OCT. 27, 1992 
106 STAT. 3513 
(7) the likely effects of a hemispherical free trade zone 
with Latin American and Caribbean countries on existing 
environmental, agricultural, labor, and consumer protection 
laws and practices within the United States and within the 
other coimtries included in the zone. 
SEC. 6. THE GOOD NEIGHBOR ENVmONMENTAL BOARD. 
7 USC 5404. 
(a) ESTABLISHMENT.—The President shall establish an advisory President. 
board to be known as the Good Neighbor Environmental Board 
(hereinafter in this section referred to as the "Board"). 
(b) PURPOSE.—^The purpose of the Board shall be to advise 
the President and the Congress on the need for implementation 
of environmental and infrastructure projects (including projects that 
affect agriculture, rural development, and human nutrition) within 
the States of the United States contiguous to Mexico in order 
to improve the quality of life of persons residing on the United 
States side of the border. 
(c) MEMBERSHIP.—^The Board shall be composed of— 
(1) representatives from the United States Government, 
including a representative from the Department of Agricultvire 
and representatives from other appropriate agencies; 
(2) representatives from the governments of the States 
of Arizona, California, New Mexico, and Texas; and 
(3) representatives from private organizations, including 
community development, academic, health, environmental, and 
other nongovernmental entities with experience and expertise 
on environmental and infrastructure problems along the south-
west border. 
(d) ANNUAL REPORTS TO THE PRESIDENT AND CONGRESS.— 
(1) IN GENERAL.—The Board shall submit to the President 
and the Congress of the United States an annual report on— 
(A) the emdronmental and infrastructure 
projects 
referred to in subsection (a) that have been implemented, 
and 
(B) the need for the implementation of additional 
environmental and infrastructure projects. 
(2) TRANSMISSION OF COPIES TO BOARD MEMBERS.—The 
Board shall— 
(A) transmit to each member of the Board a copy 
of any report to be submitted pursuant to paragraph (1) 
at least 14 days before its submission, and 
(B) allow each member of the Board to have 14 days 
within which to prepare and submit supplemental views 
106 STAT. 3514 
PUBLIC LAW 102-532—OCT. 27, 1992 
with respect to the recommendations of the Board for inclu-
sion in such report. 
Approved October 27, 1992. 
LEGISLATIVE HISTORY—H.R. 4059: 
HOUSE REPORTS: No. 102-667, Pt. 1 (Comm. on Agriculture). 
CONGRESSIONAL RECORD, Vol. 138 (1992): 
Oct. 2, considered and passed House. 
Oct. 7, considered and passed Senate.