Sec. 524.536 Reimbursements.-(a) 537 Whenever funds made available for use under this part have been or 538 are used to furnish military assistance on cash or credit terms, United States dollar repayments, including dollar proceeds derived from the sale of foreign currency repayments to any agency or program of the United States Government, receipts received from the disposition of evidences of indebtedness and charges (including fees and premiums) or interest collected 539 shall be credited to a separate fund account 540 and, shall be available until expended solely for the purposes of financing sales and guaranties, including the overhead costs thereof,541 and, notwithstanding any provision of law relating to receipts and credits accruing to the United States Government, repayment in foreign currency may be used to carry out this part. Such amounts of the appropriations made available under this part (including unliquidated balances of funds heretofore obligated for financing sales and guarantees) as may be determined by the President shall be transferred to, and merged with the separate fund account. 542 (b)(1) The special fund account established under subsection (a) of this section shall terminate as of the end of June 30, 1968, or on such earlier date as may be selected by the President. (2) Upon the termination of such fund account pursuant to paragraph (1), all of the assets of such fund account (including loans and other payments receivable) shall be transferred to a special account in the Treasury, which special account shall be available solely for the purpose of discharging outstanding liabilities and obligations of the United States arising out of credit sales agreements entered into, and guaranties issued, under this part, prior to June 30, 1968. Any moneys in such special account in excess of the aggregate United States dollar amount of such liabilities and obligations shall be transferred from time to time to the general fund of the Treasury. (3) 5 543 * * * [Repealed-1968] Sec. 525.543 Guaranties.-* * [Repealed-1968] 536 22 U.S.C. 2344. Former sec. 508 was redesignated sec. 524 by sec. 201(h)(1) of the FA Act of 1967. 537 Subsection designation "(a)" and a new subsec. (b) were added by sec. 201(h)(2) of the FA Act of 1967. 538 The words "have been or" were added by sec. 201(e)(1) of the FA Act of 1965. 539 The words to this point, beginning with "receipts received from", were added by sec. 201(e)(2) of the FA Act of 1965. 540 Sec. 201(e)(3) of the FA Act of 1965 inserted "a separate fund account" in lieu of "the current applicable appropriation". 541 Sec. 201(ex1) of the FA Act of 1965 inserted "financing sales and guaranties, including the overhead costs thereof" in lieu of "furnishing further military assistance on cash or credit terms". 542 The last sentence was added by sec. 201(c) of the FA Act of 1966. 543 Par. (3) of sec. 524, and sec. 525 were repealed by sec. 45(a) of the Foreign Military Sales Act (Public Law 90-629). The subject matter of par. (3), relating to arms sales credits, is now covered in sec. 23 of the Arms Export Control Act. Chapter 4-Economic Support Fund 544 NOTE.-Section 202 of the Foreign Assistance Act of 1971 transferred the former Chapter 4 of Part I governing supporting assistance to its present location as Chapter 4 of Part II of the Act. Section 202(b) of the Foreign Assistance Act of 1971 provides as follows: "Chapter 4 of part I of the Foreign Assistance Act of 1961 is hereby repealed. References to such chapter or any sections thereof shall hereafter be deemed to be references to chapter 4 of part II of the Foreign Assistance Act of 1961, as added by subsection (a) of this section, or to appropriate sections thereof. All references to part I of the Foreign Assistance Act of 1961 shall hereafter be deemed to be references also to chapter 4 of part II, and all references to part II of such Act shall be deemed not to include chapter 4 of such Part II.". In changing the title of chapter 4 from Security Supporting Assistance to Economic Support Fund, Sec. 10(b)(6) of the International Security Assistance Act of 1978 (92 Stat. 735) stated that, after September 30, 1978, any reference to security supporting assistance shall be deemed a reference to assistance provided under chapter 4 of part II of this Act. Sec. 531.545 Authority. (a) The Congress recognizes that, under special economic, political, or security conditions, the national interests of the United States may require economic support for countries in amounts which could not be justified solely under chapter 1 of part I or, in the case of countries in sub-Saharan 544 Chapter 4, as added by the FA Act of 1971, was titled "Security Supporting Assistance," was retitled "Economic Support Fund" and comprehensively amended and restated by sec. 10(a) of the International Security Assistance Act of 1978 (Public Law 95-384; 92 Stat. 733). Sec. 10(b)(6) of the same Act stated that, after September 30, 1978, any reference in any act to security supporting assistance shall be considered to be a reference to this chapter. Sec. 201 of the International Security and Development Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 210), replaced secs. 531 and 532, amended and redesignated secs. 535 as 533, and repealed all other sections regarding earmarking of funds for specific regions or purposes. See page 369, International Security and Development Cooperation Act of 1985, (Public Law 99-83; 99 Stat. 210), for use of Economic Support Funds for the Middle East, Cyprus, Portugal, agricultural commodities under commodity import programs, tied aid credit program, and restriction on use of funds for nuclear facilities. In addition, sec. 712 of Public Law 99-83 (99 Stat. 244) added a new section, designated sec. 534, to this chapter. See also secs. 644-647 of the Export-Import Bank Act Amendments of 1983 (title VI of Public Law 98-166) which establishes a tied aid credit program in the United States Export-Import Bank in order to promote U.S. exports. This program is to be carried out in cooperation with the Agency for International Development and permits the AID Administrator to draw on Economic Support Funds allocated for Commodity Import Programs to finance a tied aid credit activity. See Legislation on Foreign Relations Through 1990, vol. III, sec. I for complete text of secs. 644647. See also sec. 206 of the International Security and Development Cooperation Act of 1985 (page 378) which authorizes not less than $50 million in fiscal year 1986 and not less than $100 million in fiscal year 1987 out of the commodity import program portion of the Economic Support Fund for use in a tied aid credit program. 545 22 U.S.C. 2346. 47-441 0 - 92 -- 7 Africa, chapter 10 of part I.546 In such cases, the President is authorized to furnish assistance to countries and organizations, on such terms and conditions as he may determine, in order to promote economic or political stability. To the maximum extent feasible, the President shall provide assistance under this chapter consistent with the policy directions, purposes, and programs of part I of this Act.547 (b) The Secretary of State shall be responsible for policy decisions and justifications for economic support programs under this chapter, including determinations of whether there will be an economic support program for a country and the amount of the program for each country. The Secretary shall exercise this responsibility in cooperation with the Administrator of the agency primarily responsible for administering part I of this Act.548 (c) As part of the annual presentation materials for foreign assistance submitted to the Congress, the agency primarily responsible for administering this part shall provide a detailed justification for the uses and the purposes of the funds provided under this chapter. Such material shall include, but not be limited to, information concerning the amounts and kinds of cash grant transfers, the amounts and kinds of budgetary and balance-of-payments support provided, and the amounts and kinds of project assistance provided with funds made available under this chapter. (d) 549 To the maximum extent feasible, funds made available pursuant to this chapter for commodity import programs or other 546 Sec. 562 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1991 (Public Law 101-513; 104 Stat. 2026), added a new chapter 10 to part I of this Act, providing for long-term development in sub-Saharan Africa (see page 152), and made a conforming amendment by inserting "or, in the case of countries in sub-Saharan Africa, chapter 10 of part I" here. 547 The President determined and certified "that furnishing assistance under chapter 4 of part II of the Foreign Assistance Act of 1961, as amended, to Jordan would be beneficial to the peace process in the Middle East." (Presidential Determination 91-46 of July 13, 1991; 56 F.R. 33839; July 24, 1991). 548 This responsibility, as it related to the Administrator, was transferred to the Director of IDCA, pursuant to sec. 6 of Reorganization Plan No. 2 of 1979 (establishing IDCA). 549 Sec. 575 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1991 (Public Law 101-513; 104 Stat. 2042), continued for fiscal year 1992 by Public Law 102-145, as amended, superseded this subsection and provided the following: "SEPARATE ACCOUNTS "SEC. 575. (a) Separate AccouNTS FOR LOCAL Currencies. (1) If assistance is furnished to the government of a foreign country under chapter 1 of part I (including assistance for sub-Saharan Africa and the Philippines Multilateral Assistance Initiative) or chapter 4 of part II of the Foreign Assistance Act of 1961 under agreements which result in the generation of local currencies of that country, the Administrator of the Agency for International Development shall— "(A) require that local currencies be deposited in a separate account established by that government; "(B) enter into an agreement with that government which sets forth- "(ii) the terms and conditions under which the currencies so deposited may be utilized, consistent with this section; and "(C) establish by agreement with that government the responsibilities of the Agency for International Development and that government 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 deposited 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 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 Continued program assistance shall be used to generate local currencies, not less than 50 percent of which shall be available to support activities consistent with the objectives of sections 103 through 106 of this Act, and administered by the agency primarily responsible for administering part I of this Act. (e) Amounts appropriated to carry out this chapter shall be available for economic programs and may not be used for military or paramilitary purposes. Sec. 532.550 Authorizations of Appropriations. (a) There are authorized to be appropriated to the President to carry out the purposes of this chapter (1) $2,015,000,000 for the fiscal year 1986 and $2,015,000,000 for the fiscal year 1987 for the following countries signing the Camp David agreement: Israel and Egypt; and 551 "(B) for the administrative requirements of the United States Government. "(3) PROGRAMMING ACCOUNTABILITY.-The Agency for International Development shall take all appropriate steps to ensure that the equivalent of the local currencies disbursed pursuant to subsection (a)(2)(A) from the separate account established pursuant to subsection (a)(1) are used for the purposes agreed upon pursuant to subsection (a)(2). "(4) TERMINATION OF ASSISTANCE PROGRAMS.-Upon termination of assistance to a country under chapter 1 of part I or chapter 4 of part II (as the case may be), any unencumbered balances of funds which remain in a separate account established pursuant to subsection (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) CONFORMING Amendments.-The provisions of this subsection shall supersede the tenth and eleventh provisos contained under the heading 'Sub-Saharan Africa, Development Assistance' as included in the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1989 and sections 531(d) and 609 of the Foreign Assistance Act of 1961." "(b) SEPARATE ACCOUNTS FOr Cash TranSFERS.--(1) If assistance is made available to the government of a foreign country, under chapter 1 of part I (including assistance for Sub-Saharan Africa and the Philippines Multilateral Assistance Initiative) or chapter 4 of part II of the Foreign Assistance Act of 1961, as cash transfer assistance or an nonproject sector assistance, 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 notwithstanding 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 Resolution 648 (H. Report No. 98-1159). "(3) NOTIFICATION.-At least fifteen days prior to obligating any such cash transfer or nonproject sector assistance, the President shall submit a notification through the regular notification procedures of the Committees on Appropriations, 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 description of the economic policy reforms that will be promoted 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 Committees on Appropriations.". 550 22 U.S.C. 2346a. 551 The authorization under this chapter during recent years included the following: fiscal year 1979 $1,902,000,000; fiscal year 1980-$1,935,000,000 (plus an $80,000,000 supplemental authorization for Central American Assistance); fiscal year 1981-$2,065,300,000; fiscal year 1982$2,623,500,000; fiscal year 1983 $2,723,500,000; fiscal year 1984-$3,074,000,000; fiscal year 1985 no authorization; fiscal year 1988-no authorization; fiscal year 1989-no authorization; fiscal year 1990-no authorization; fiscal year 1991-no authorization. Congress did not enact an authorization for fiscal year 1992. Fiscal year 1992 appropriations for this activity are $3,137,388,290 ($3,184,457,760, reduced by 1.4781 per cent as required by sec. 126 of Public Law 102-145, as amended). For relevant appropriations text, see paragraph on "Economic Support Fund", title II, Public Law 101-513, page 582. See other current appropriations Public Laws, including several references to Economic Support Fund, beginning at page 551. In particular, in the Further Continuing Appropriations, Fiscal Year 1992 (Public Law 102-145, as amended), see sec. 116, relating to ESF earmarks for El Salvador, Jordan, Morocco, and the Antarctic Protection Act; sec. 121, relating to ESF assistance for the former Soviet Union; and sec. 122, relating to ESF earmarks for El Salvador. Title V of Public Law 102-298 (106 Stat. 217), rescinded certain budget authority, including fiscal year 1992 appropriations under "Economic Support Fund": Continued (2) $1,785,000,000 for the fiscal year 1986 and $1,785,000,000 for the fiscal year 1987 for assistance under this chapter for recipients or purposes other than the countries referred to in paragraph (1),551 (b) Amounts appropriated to carry out this chapter are authorized to remain available until expended. Sec. 533.552 Emergency Assistance. (a) Of the funds appropriated to carry out this chapter up to $75,000,000 for the fiscal year 1986 and up to $75,000,000 for the fiscal year 1987 may be made available for emergency use under this chapter when the national interests of the United States urgently require economic support to promote economic or political stability. (b) Notwithstanding any provision of this chapter or of an appropriations act (including a joint resolution making continuing appropriations) which earmarks funds available to carry out this chapter for a specific country or purpose, up to 5 percent of each amount so earmarked may be used to carry out this section. Sec. 534.553 Administration of Justice.-(a) The President may furnish assistance under this chapter to countries and organizations, including national and regional institutions, in order to strengthen the administration of justice in countries in Latin America and the Caribbean. (b) Assistance under this section may only include (1) support for specialized professional training, scholarships, and exchanges for continuing legal education; (2) programs to enhance prosecutorial and judicial capabilities and protection for participants in judicial cases; (3) 554 notwithstanding section 660 of this Act (A) programs to enhance professional capabilities to carry out investigative and forensic functions conducted under judicial or prosecutorial control; (B) programs to assist in the development of academic instruction and curricula for training law enforcement personnel; (C) programs to improve the administrative and management capabilities of law enforcement agencies, especially "ECONOMIC SUPPORT FUND (RESCISSION) "Of the funds made available in Public Law 102-145, as amended, for the Economic Support Fund which are not earmarked, $1,100,000 are rescinded.". 552 22 U.S.C. 2346b. Sec. 202 of the International Security and Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1529) added sec. 535. Sec. 201(b) of the International Security and Development Cooperation Act of 1985 replaced the years "1982" and "1983" with "1986" and "1987". 553 22 U.S.C. 2346c. Sec. 534 was added by sec. 712 of the International Security and Development Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 244). 554 Par. (3) was amended by sec. 579 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1988 (Continuing Appropriations for 1988; Public Law 100-202; 101 Stat. 1329-181). It previously read as follows: "(3) notwithstanding section 660 of this Act, programs to enhance investigative capabilities, conducted under judicial or prosecutorial control". Functions conferred upon the President in subpars. (A), (B), and (C) were delegated to the Assistant Administrator for Latin America and the Caribbean of the Agency for International Development in Department of State Delegation No. 189 of April 4, 1991 (56 F.R. 15127; April 15, 1991). The same delegation of authority further provided that activities covered by the subparagraphs I shall be implemented in coordination with the International Criminal Investigative Training Assistance Program of the U.S. Department of Justice. Funds made available in any fiscal year for such assistance shall not exceed $500,000.". |