European Security Act of 1997 - Directs the President to designate additional emerging democracies in Central and Eastern Europe which meet specified criteria and that have not been designated as eligible to receive assistance under the NATO Participation Act of 1994. 
(Sec. 3) Expresses the sense of the Congress that:  (1) Romania, Estonia, Latvia, and Lithuania are to be commended for their progress toward political and economic liberty and meeting the guidelines for prospective NATO members; and (2) upon their complete satisfaction of all relevant criteria should be invited to become full NATO members at the earliest possible date. 
Makes funds under the NATO Participation Act of 1994 available to support the implementation of the Regional Airspace Initiative and the Partnership for Peace Information Management System. 
Extends through FY 1999 the Department of Defense's authority to transfer excess defense articles to countries eligible to participate in the Partnership for Peace and eligible for assistance under the Support for East European Democracy (SEED) Act of 1989. 
(Sec. 4) Authorizes the President to approve on behalf of the United States the Document Agreed Among States Parties to the Treaty on Conventional Armed Forces in Europe dated November 19, 1990, signed in Vienna, Austria, on May 31, 1996, concerning the resolution of issues related to the Conventional Armed Forces in Europe (CFE) Treaty flank zone.  Expresses the sense of the Congress that any revisions to the Treaty on Conventional Armed Forces in Europe can enter into force only if specifically approved in a manner described under the Arms Control and Disarmament Act. 
Prohibits approval of any Treaty revisions that jeopardize U.S. security interests in Europe, or the effectiveness and flexibility of NATO as a defensive alliance, by:  (1) extending rights or imposing responsibilities on new NATO members different from those applicable to current NATO members, including with respect to nuclear weapons deployment and the stationing of other NATO troops and equipment; (2) limiting NATO's ability to defend the territory of new NATO members by restricting defense infrastructure construction or limiting NATO's ability to deploy necessary reinforcements; (3) providing any international organization or any non-NATO country with authority to review, delay, veto, or otherwise impede deliberations and decisions of the North Atlantic Council or their implementation, including with respect to NATO force deployment or the admission of additional members to NATO; or (4) impeding the development of enhanced relations between NATO and other non-NATO European countries by, for example, recognizing spheres of influence in Europe. 
(Sec. 5) Directs the Secretary of Defense to carry out a program of cooperative ballistic missile defense-related projects with the Russian Federation.  Urges the President to establish with the Russian Federation a joint working group to examine the potential for mutual accommodation of outstanding issues between the two nations on matters relating to ballistic missile defense and the Anti-Ballistic Missile Treaty of 1972, including the possibility of developing a strategic relationship not based on mutual nuclear threats. 
(Sec. 6) Declares that an ABM-TMD (anti-ballistic missile-theater missile defense) demarcation agreement shall not be binding on the United States unless it is specifically approved in a manner described under the Arms Control and Disarmament Act.
Output: European Security Act of 1997