IN THE SENATE OF THE UNITED STATES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79-00957A000100010017-0
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 73
• Document Creation Date: December 20, 2016
• Document Release Date: May 24, 2005
• Sequence Number: 17
• Publication Date: November 27, 1974
• Content Type: REGULATION

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93n CONGRESS
21) SESSION
LEG
riri,w9,74.71
Calendar No. 1232
S. 3394
[Report No. 93-1299]
IN THE SENATE OF THE -UNITED STATES
Arm, 29,1974
Mr. SPARKMAN (by request) introduced the following bill; which was read
twice and referred to the Committee on Foreign Relations
SEPTEMBER 3, 1971
Reported, under authority of the order of the Senate of August 22, 1974, by
Mr. SPARKMAN, with an amendment
OCTOBER 2, 1974
Recommitted to the Committee on Foreign Relations
NOVEMBER 27, 1974
Reported, under authority of the oder of the Senate of November 26, 1974, by
Mr. HUMPHREY, with an amendment
[Strike out all after the enacting clause and insert the part printed in italic]
A BILL
To amend the Foreign Assistance Act of 1961, and for other
parposes.
1 Be it enacted by the Senate and House of Representa-
2 tives of the United States of America in Congress assembled,
3 That this 44 may la-e eite4 as the "Foreign A-ss-istanee A-et
4 of 1974".
II
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1 TITLE I
2 MIDDLE E-A-SrP PEACE
Sc. 2, The Foreign Assistance Act of 1944 is amended
4 by adding at the end thereof the following new part4
5 "PART VI
6 -`-1-Stiv-, WI; "STATEMENT 0-11 VOEICY. The Congress
7 recognimes that a peaceful and lasting resolution of the di-
ixisii;e issues that liteec contributed to tension and eon-filet
9 between nations in the Middle East is essential to the ac
,10 emity of the United States and the cause of world peace
:-
11 The Congress deelares and finds that the United States can
12 and should play ft constructive role in securing a just and
13 durable peace in the Middle East by facilitating increased
14 understanding between the Arab nations and Israel, and by
15 assisting the nations in the area in their efforts to achieve
16 economie progress and political stability, .4441 are the es
17 s-entiEti foundations for a just and 'durable peace. It is the
18 sense of Congress that United States assistaffee programs in
19 the Middle East should be designed to promote mutual re
20 speet and f3 ccuri ty among the nation-, in the area and to foe-
21 ter ft climate conducive to increased eeenomie develop-ment7
22 thereby contributing to a community of free, secure, and
23 prospering nations in the Middle East:
24 "SEC. 902. GENERAL AUTHORITY. The President is
25 antkorifecT to fiir-flisk on such terms and conditions as he
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may determine, assistance authorized by this A-et and credits
2 and guaranties authorized by the Fereigict - Military gales A-et
3 in order to carry out the purposes of this part:
"SEC. A-Ithee-?k-TIONS---** Of the funds.appropri
5 ated to Carry 0-14 ehapter .2. of part of this A-et; during the
6 fis?41 year 4.9-7-4 up to 4005000000 may be made available
7 for military assistance in the Middle East:
8 "-(b) Of the funds appropriated to carry out chapter 4
9 of part PI .of this Act-; during the ftsettl year 49-7-5 up to
10 $,:9) 77,59(000 may be made available for security support
11 ing assistanee in the Middle East:
12 -e-)- Of the aggregate eeiling on credits and guaranties
13 established by section 34-03-)- of the Foreign Military gales
14 A-4-; during the fiscal year 1075 up to W0000;090 shall
15 be available for countries in the Middle East:
16 "SEc. 904; -fa-)- SPECIAL REQUIREMENTS FUND.
17 There are authorized to be appropriated to the President for
18 the fused year 147-5 not to eHeced $4-003,000,000- to. meet
19 special requirements arising from time to time in carrying out
20 the purposes of this part; in addition to funds otherwise avail-
21 for such purposes: The funds authorized to be N?P'-
22 by this seetion -shall be available for use by the
Presi-
23 dent for assistance authorized by this 4e in accordance with
24 the provisions applicable to the furnishing of siteh dssis'taile-07
25 &telt fwacis are auth.orized to remain available until .expended;
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144 The President shall keep the Committee on For-
2 eigrk Relations and the Committee on Appropriations of the
3 Serrate and the Speaker of the House of Representaiites cur
4 rently informed on the programing and obligation of funds
5 under subsection 44,22-
6 Sie; .37 Section 6204)- of the Foreign Assistanee Ac4
7 of 1961 is repealed:
8 TITLE I-1
9 INDOCHINA POSTWAR RECONSTRUCTION
10 SEC. 4, Section 802 of the Foreign Assistance ret of
11 1961 is amended to read as follows:
12 "SEC. 802. AUTHORIZATION. There are authorized to
13 be appropriated to the President to furnish assistnnee for
14 relief and reconstruetion of South Vietnam, Cambodia and
15 Laos as authorized by this part, in addition to funds other-
16 wise available for stteh purpose* for the fiseal year 1971 not
17 to exceed
r04100-04}003 and for the fiscal year 1975 not
18 to eceed $939,800,000 which fin:10114S are authorized to
19 remain available until eNpended."
20 TITIE III
21 FOREIGN A-s-SIS-13-ANCEAe AmENDM-ENTS
22 DEVELOPMENT ASSISTANCE AUTHORIZATIONG
23 Section 103 of the Foreign Assistance Act of
24 1961 is amended by striking oat the words .8.2-9400(}00
25 for et:tell of the &eat years 1971 and 1975" and inserting in
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lieu thereof "$2-91,0007000 for the 4seal year 4974, and
$516,300,000 for the g-seal year 1975".
,nousING .GUARANTIES
8.-1%-; 67 Section 223 (i) of the F-4)rcign Assiettmee A-et
of 49-61 is amended by striking out "June ao, 44)75" and
inserting in lieu thereof "June -30; 1976".
INTERNA:TI8NA-17
: ? .
:
AND PRO0112431g
SEC. 77 Section 302 (a) of the Foreign Assistartee Act of
4-96+ is amended by striking out the words, afor the &eta
year 1975, 8440;000,000" and inserting in lieu thereof ?ifor
the ftscal year 447-53
?000".
MILITARY A-SSIST-.A.NCli
SEG: 87 (a) Chapter 2. of part IT of the Foreign As
sistanee A-et of 4064 is amended as follows:
(1) In see-Mott 504,-(-a-)-7 4146 out 1454-L,-;131,ttt;00,0
for the ftseal year 1974" and insert in lieu thereof
44
98,000,Q0Q for the 4sea4 year 1975."
(2) In section 606 (a)
(A) Strike out lithe fiscal year 19742! in each
place it appears and insert in /lea thereof '-the fiscal
year 1975221 and
(B) At the end of subseetion -(-a)- add the
foil-owing sentence: "Ordel-s not exceeding $2,503--
0005000 in value Riff be issued under this sub
section, upon such determination, during the period
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1 of any sueeeetlift fise4 year that preeedes the
2 enactment of legislation authorizing appropriations
for milito-r-y assistanee for that Asettl
4 0+ After section 506, add the follow.ing new
5 section:
6 ,7-1-307 507: IrIAFITATION ON THE RANT OF ExcEss
7 DEFENSE ARTICLES.
8 ??-(a)-- E-x-eept a prov-iisled i section 5146 the aggregate
9 value of excess defense articles ordered during the fiscal
10 year 1975 under this chapter for foreign countries and inter--
11 national Organizations shall not exceed $14-A4F0007000-:
12 L'--(13)-- The Seer-et-off of State Audi promptly and fully
13 inform the Speedier of the House of Representatiiies and the
14 Committee on Foreign Relations and the Committee on
15 Appropriations of the Senate of awl+ decision to furnish on a
16 grant basis to any country e-x-eess defense artieles which are
17 major weapons systems to the extent such major weapons
18 system was not included in the presentation material pre-
19 viously submitted to the Congress. Additionally; the Seer-e-
20 tory of State shall also submit a quarterly report to the Con-
21 gfe-ss listing by country the total -Niftitte of all deliveries of
22 excess defense ft-Ai-eke; disclosing both the aggregate original
23 acquisition cost and the aggregate -a-Otte at the time of de-
24 livery."
25 (b) Seetion 64544 of the Fer-eigii Assistance Act of
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1 4-9-61 shall not apply to assistance authorized under any pre-
2 I5iOfl of law for the fiscal year 1975,
3 (c-)- Section 8 of the Act entitled "An /Vet to amend the
4 Foreign Military Sales Aet; and for ether purposesl;
ap-
5 proved January 10, 1974 ( ?4 Stat 7 O53),2 as amended; is
6 repealed; effeetive July 4-7 1974.
7 SECURITY STJPPOWPTNC ASSISTANCE
8 8E67 97 Section 534 of the Foreign A-ssistanee A-et of
9 4461 is amended by striking out for the fiscal year 1971
10 not to eieeed $195,0000907 of whieli not less than 47-50,--
49007000 shall be t-tv-a-ilable solely for Israel" and inserting
12 in lieu thereof Lfor the fiscal year 19-7-5 net to exceed
13 500,000".
14 TITLE IV
15 FOREIGN MILITARY SALES A-OT MENDM-EN-TS
16 SECT 10. -(-4 The Foreign ltilit-ttr-y Sales Act is amended
17 as follows:
18 (1) Sect' 3 (?1)- is amended to-read as follows-
19 "-(-4)- A country shall remain irtel4gi13le in fteeeiRekfree
20 with subsection (4 of this section until such time as the
21 President determines that such violation has ceased, that the
22 country eoneerned has given assurances satisfactory to the
23 President that such v-iolation will not recur, and that, if such
24 violation involved the transfer of sophisticated weapons with
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1 ottt the eensent of the President, sueh weapons hae been
2 returned to the eouritry eonee1ne4;2
3 (2)- In se(4-ion 24-(a)- and seetion 24 the pftreii-
4 thetical phrase in efteh is ftflielidefl to readi .H-excluding
5 t4i-ite4 States, Gewrnment agencies ether than the
F-ederal Financing BralliF-.-
7 (3* Section 21-fe* is amended to read as follows:
8 (e* Fonds nffide twailable to carry out this Act shall
9 be obligated in an amount etttad per eentnni of the
10 principal antonnt of contractual liability related to any guff-
it may issned prier to July 1974, under this tj cetio 117, 141-}ds.
12 made available to carry out this Act shall be obligated in an
13 affteaftt equal to 10 per eenttun of the principal fbillOant of
14 efflitraettlfd lia1ili4y related to any guaranty issued after
15 &tile 30, 1971, tilifief this seetion. All the funds so obligated
16 shall eonstitute a single rcsere for the payment of elibinis
17 wider such gaftmatiesT aft4 only each of the Am& in the
18 reserve as may be in eNiwe from thae to time 04 the total
19 iffhwip4 ameuat of eantrEwtas4 liability related to oll oat-
20 standing gnaranties under this section shall be deebligated
21 and transferred to the general fund of the Treasary, Any
22 guaranties issued hereunder shall be hacked by the full faith
23 and credit of the United States."
24 (1) In section 31
25 (A) Subsection (a) is amended by striking
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1 eat 432-5;00400 ief fiseal year 1974'2- and in
2 serting in lieu thereof "51-370,00-000. for the fiscal
3 year 1975"; and
4 (B) Suliseetion 414 is amended by st-riking on
1`-tS-7---3040,000 for the fiscal year 1974; of which
6 amount net less than $40.0,000,000 shall be avail
7 td3le to Israel ort1y'-1 and inserting in lieu thereof
8 48-7-200000 for the fiscal year 49,5.".
9 (5) In seetion 33
10 -(-4)- subsection -(a)- i repettledi
11 -(43+ subsection -(13.)- is redesignated as tubsee
12 tion (a)-1 and
13 +C)- a new subsection -(4)- is added
as fel1ows-
14 The President may waive the limitations of this
15 section when he determines it to be important to the security
16 of the United States and promptly so reports to the Speaker
17 of the House of Representatives and the Committee on
1-8 eign Relations of the Senate:11
19 obligations initially charged against appropriations
20 made wv-ffilable for purposes authorized by section 814-4 of
21 the Foreign Military Sales Act after June 30; 4974- and
22 prior to the enactment of the amendment of that Aet by
23 paragraph -(-4-}- of subseetion -(&)- of this sef4ion in an amount
24 eetwayl to 25 per eentum of the principal amount of contrac
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1 tufa liability related to guaranties issued pursuant to section
2 2-4-(a) of that Act shall be adjusted to reflect such amend
3 meat with proper efedit to the appropriations made available
4 ift the fiscal year 49-75to eftrrr--y out that -Act.
5 That this Act may be cited as the "Foreign Assistance Act
6 of 1974".
7 FOOD AND NUTRITION
8 SEC. 2. Section 103 of the Foreign Assistance Act of
9 1961 is amended-
10 (1) by inserting the subsection designation "(a)"
11 immediately before "In";
12 (2) by striking out "$291,000,000 for each of the
13 fiscal years 1974 and 1975" and inserting in lieu there-
14 of "$291,000,000 for the fiscal year 1974, and $530,-
15 000,000 for the fiscal year 1975"; and
16 (3) by adding at the end thereof the following:
17 "(b) The Congress finds that, due to rising world food,
18 fertilizer, and petroleum costs, human suffering and depriva-
19 tion are growing in the poorest and most slowly develop-
20 ing countries. The greatest potential for significantly expand-
21 ing world food production at relatively low cost lies in
22 increasing the productivity of small farmers who constitute
23 a majority of the nearly one billion people living in those
24 countries. Increasing the emphasis on rural development and
25 expanded food production in the poorest nations of the devel-
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oping world is a matter of social justice as well as an impor-
2 laid factor in slowing the rate of inflation in the industrial-
3 ized countries. In the allocation of funds under this section,
4 special attention should be given to increasing agricultural
production in the countries with per capita incomes under
$300 a year and which are the most severely affected by
7 sharp increases in worldwide commodity prices.
8 "(c) Of the total amount obligated under this Act during
9 any fiscal year after fiscal year 1975 to procure fertilizers
10 for, and to provide such fertilizers to, foreign countries, not
11 more than one-third of such amount may be obligated with
12 respect to South Vietnam."
13 POPULATION PLANNING
14 SEC. 3. The Foreign Assistance Act of 1961 is amended
15 as follows:
16 (1) In section 104, strike out "$145,000,000 for
17 each of the fiscal years 1974 and 1975" and insert in
118 lieu thereof "$145,000,000 for. the fiscal year 1974, and
19 $165,000,000 for the fiscal year 1975".
20 (2) In section 292, strike out "$130,000,000" and
21 insert in lieu thereof "$150,000,000".
22 EDUCATION AND HUMAN RESOURCES DEVELOPMENT
23 SEC. 4. Section 105 of the Foreign Assistance Act of
24 1961 is amended by striking out "$90,000,000 for each of
25 the fiscal years .1974 and 1975" and inserting in lieu thereof
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1 "$90,000,000 for the fiscal year 1974, and $92,000,000
2 for the fiscal year 1975".
3 HOUSING GUARANTIES
4 SEC. 5. The Foreign Assistance Act of 1961 is amended
5 as follows:
6 (I) In section 221, strike out "305,000,000" and
7 insert in lieu thereof "$405,000,000".
( 2) In section 223(i), strike out "June 30, 1975"
9 and insert in lieu thereof "June 30, 1976".
10 AGRICULTURAL CREDIT PROGRAMS
11 SEC. 6. (a) Title III of chapter 2 of part I of the
12 Foreign Assistance Act of 1961 is amended-
13 (1) by striking out the title heading and inserting
14 in lieu thereof the following:
15 "TITLE III?HOUSING AND OTHER CREDIT
16 GUARANTY PROGRAMS";
17 0 by inserting immediately after section 222 the
18 ? following new section:
19 "SEc. 222A. AGRICULTURAL AND PRODUCTIVE
20-- CREDIT AND SELF-HELP COMMUNITY DEVELOPMENT
21 PROGRAMS.?( a) It is the sense of the Congress that in order
22 to stimulate the participation of the private sector in the
23 economic development of less-developed countries in Latin
24 America, the authority conferred by this section should be
25 used to establish pilot programs in not more than five Latin
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1 "$90,000,000 for the fiscal year 1974, and $92,000,000
2 for the fiscal year 1975".
3 HOUSING GUARANTIES
4 SEC. 5. The Foreign Assistance Act of 1961 is amended
as follows:
(1) In section 221, strike out "$305,000,000" and
7 insert in lieu thereof "$405,000,000".
( 2) In section 223(i), strike out "June 30, 1975"
and insert in lieu thereof "June 30, 1976".
10 AGRICULTURAL CREDIT PROGRAMS
11 SEC. 6. (a) Title III of chapter 2 of part I of the
12 Foreign Assistance Act of 1961 is amended-
13 (1) by striking out the title heading and inserting
14 in lieu thereof the following:
15 "TITLE III?HOUSING AND OTHER CREDIT
16 GUARANTY PROGRAMS";
17 ( 2) by inserting immediately after section 222 the
18 following new section:
19 "SEC. 222A. AGRICULTURAL AND PRODUCTIVE
20
CREDIT AND SELF-HELP COMMUNITY DEVELOPMENT
21 PROGRAMS.?( a) It is the sense of the Congress that in order
22 to stimulate the participation of the private sector in the
23 economic development of less-developed countries in Latin
24 America, the authority conferred by this section should be
25 used to establish pilot programs in not more than five Latin
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1. American countries to encourage private banks, credit in-
2 stitutions, similar private lending organizations, cooperatives,
3 and private nonprofit development organizations to make
4 loans on reasonable terms to organized groups and individ-
5 uals residing in a community for the purpose of enabling such
6 groups and individuals to carry out agricultural credit and
7 self-help community development projects for which they
8 are unable to obtain financial assistance on reasonable terms.
9 Agricultural credit and assistance for self-help community
10 development projects should include, but not be limited to,
11 material and such projects as wells, pumps, farm machinery,
12 improved seed, fertilizer, pesticides, vocational training, food
13 industry development, nutrition projects, improved breeding
14 stock for farm animals, sanitation facilities, and looms and
15 other handicraft aids.
16 "(b) To carry out the purposes of subsection ( a), the
17 agency primarily responsible for administering part I is
18 authorized to issue guaranties, on such terms and conditions
19 as it shall determine, to private lending institutions, coopera-
20 tives, and private nonprofit development organizations in not
21. more than five Latin American countries assuring against
22 loss of not to exceed 50 per centum of the portfolio of such
23 loans made by any lender to organized groups or individuals
24 residing in a community to enable such groups or individuals
25 to carry out agricultural credit and self-help community
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1 development projects for which they are unable to obtain
2 financial assistance on reasonable terms. In no event shall
3 the liability of the United States exceed 75 per centum of
4 any one loan.
5 "(c) The total face amount of guaranties issued under
6 this section outstanding at any one time shall not exceed
7 $15,000,000. Not more than 10 per centum of such sum
8 shall be provided for any one institution, cooperative, or
9 organization.
10 "(d) The Inter-American Foundation shall be con-
ii sulted in developing criteria for making loans eligible for
12 guaranty coverage in Latin America under this section.
13 "(e) Not to exceed $3,000,000 of the guaranty re-
14 serve established under section 223,(b) shall be available to
15 make such payments as may be necessary to discharge ha-
16 bilities under guaranties issued under this section or any
17 guaranties previously issued under section 240 of this Act.
18 f Funds held by the Overseas Private Investment
19 Corporation pursuant to section 236 may he available for
20 meeting necessary administrative and operating expenses for
21 carrying out the provisions of this Section through, June 30,
22 1976.
23 "(g) The Overseas Private Investment Corporation
24 shall, upon enactment of this subsection, transfer to the
25 agency primarily responsible for administering part I all
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1 obligations, assets, and related rights and responsibilities
2 arisiTO out of, or related to the predecessor program pro-
3 vided for in section 240 of this Act.
4 "(h) The authority of this section shall continue until
5 December 31, 1977.
6 "(i) Notwithstanding the limitation in subsection (c) of
7 this section, foreign currencies owned by the United States
8 and determined by the Secretary of the Treasury to be excess
9 to the needs of the United States may be utilized to carry out
10 the purposes of this section, including the discharge of liabili-
11 ties under this subsection. The authority conferred by this
12 subsection shall be in addition to authority conferred by any
13 other. provision of law to implement guaranty programs
14 utilizing excess local currency.
15 "(j) The President shall, on or before January 15,
16 1976, make a detailed report to the Congress on the results
17 of the program established under this section, together with
18 such recommendations as he may deem appropriate.";
19 (3) by striking out "section 221 or section 222" in
20 section 223(a) and inserting "section 221, 222, or
21 222A" in lieu thereof;
22 (4) by striking out "this title" in section 223 (b) and
23 inserting "section 221 and section 222" in lieu thereof;
24 and
25 (5) by striking out "section 221 or section 222" in
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it section 223(d) and inserting "section 221, 222, 222A,
2 or previously under section 240 of this Act" in lieu
3 thereof.
4 (b) Title IV of chapter 2 of part I of the Foreign Assist-
5 ance Act of 1961 is amended by striking out section 240.
6 INTERNATIONAL ORGANIZATIONS AND PROGRAMS
7 SEC. 7. Section 302(a) of the Foreign Assistance Act of
8 1961 is amended by striking out "for the fiscal year 1975,
9 $150,000,000" and inserting in lieu thereof "for the fiscal
10 year 1975, $186,900,000".
11 MILITARY ASSISTANCE AUTHORIZATIONS
12 SEC. 8. Section 504( a) of the Foreign Assistance Act
13 of 1961 is amended by striking out "$512,500,000 for the
14 fiscal year 1974" and inserting in lieu thereof "$550,000,-
15 000 for the fiscal year 1975".
16
17
SPECIAL AUTHORITY
SEC. .9. Section 506 of the Foreign Assistance Act of
18 1961 is repealed.
19 MILITARY ASSISTANCE AUTHORIZATIONS FOR SOUTH
VIETNAM
20
21 SEC. 10. Section 513 of the Foreign Assistance Act of
22 1961 is amended as follows:
23 (1) Strike out "Thailand and Laos" in the caption
24 and insert in lieu thereof "Thailand, Laos, and South
25
Vietnam".
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1 (2) At the end thereof add the following n,ew sub-
2 section:
3 "( c) After June 30, 1975, no military .assistance shall
4 be furnished by the United States to South Vietnam, directly
5 or through any other foreign country unless that assistance
6 is authorized under this Act or the Foreign Military Sales
7 Act."
8 EXCESS DEFENSE ARTICLES
9 SEC. 11. (a) Chapter 2 of part II of the Foreign Assist-
10 ance Act of 1961 is amended by adding at the end thereof the
11 following new section:
12 "SEC. 514. LIMITATION ON THE GRANT OF EXCESS
13 DEFENSE ARTICLES.?( a) The aggregate original acquisi-
14 tion cost of excess defense articles ordered during the fiscal
15 year 1975 under this chapter for foreign countries and in-
16 ternational organizations shall not exceed $150,000,000.
17 "(b) The value of any excess defense article furnished
18 under this chapter to a foreign country or international or-
19 ganization by any agency of the United States Government
20 shall be considered to be an expenditure made from funds
21 appropriated under section 504 of this Act. Unless such
22 agency certifies to the Comptroller General of the United
23 States that the excess defense article it is ordering is not to
24 be transferred by any means to a foreign country or inter-
25 national organization, when an order is placed for a defense
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1 article whose stock status is excess at the time ordered, a sum
2 equal to the value thereof (less amounts to be transferred
3 under section 632(d) of this Act) shall (1) be reserved and
4 transferred to a suspense account, (2) remain in the suspense
5 account until the excess defense article is either delivered to
6 a foreign country or international organization or the order
7 therefor is canceled, and (3) be transferred from the suspense
8 account to (A) the general fund of the Treasury upon
9 delivery of such article, or (B) the appropriation made
10 under section 504 of this Act for the current fiscal year upon
11 cancellation of the order. Such sum shall be transferred to
12 the appropriation made under section 504 of this Act for
13 the current fiscal year, upon delivery of such article, if at
14 the time of delivery the stock status of the article is deter-
15 mined in accordance with section 644 (g) or (in) of this Act
16 to be nonexcess.
17 "(c) The President shall promptly and fully inform the
18 Speaker of the House of Representatives and the Committee
19 on Foreign Relations and the Committee on Appropriations
90 of the Senate of each decision to furnish on a grant basis to
21 any country excess defense articles which are major weapons
22 systems to the extent such major weapons system was not in-
23 eluded in the presentation material previously submitted to
24 the Congress. Additionally, the President shall also submit
25 a quarterly report to the Congress listing by country the
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1 total vatue of all deliveries of excess defense articles, discloS'-
2 ing both the aggregate original acquisition cost and the aggre-
3 gate value at the time of delivery."
4 (b) Sections 8 and 11 of the Act entitled "An Act to
5 amend the Foreign Military Sales Act, and for other pur-
6 poses", approved January 12, 1971 (84 Stat. 2053), as
7 amended, are repealed.
8 STOCKPILING OF DEFENSE ARTICLES FOR FOREIGN
9 COUNTRIES
10 SEC. 12. Chapter 2 of part II of the Foreign Assistance
11 Act of 1961, as amended by section 11 of this Act, is
12 further amended by adding at the end thereof the following
13 new section:
14 "SEC. 515. STOCKPILING OF DEFENSE ARTICLES FOR
15 FOREIGN COUNTRIES.?( a) Notwithstanding any other pro-
16 vision of law, no funds, other than funds made available
17 under this chapter or section 401( a) of Public Law 89-367
18 (80 Stat. 37), or any subsequent corresponding legislation,
19 may be obligated for the purpose of stockpiling any defense
20 article or war reserve material, including the acquisition,
21 storage, or maintenance of any war reserve equipment,
22 secondary items, or munitions, if such article or material
23 is set aside, reserved, or in any way earmarked or intended
24 for future use by any foreign country under this Act or
25 such section.
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1 "(b) The cost of any such article or material set aside,
2 reserved, or in any way earmarked or intended by the Depart-
3 ment of Defense for future use by, for, or on behalf of the
4 country referred to in section 401(a) (1) of Public Law 89-
5 367 (80 Stat. 37) shall be charged against the limitation
6. specified in such section or any subsequent corresponding leg-
7 islation, for the fiscal year in which such article or material
8 is set aside, reserved, or otherwise earmarked or intended;
9 and the cost of any such article or material set aside, reserved,
10 or in any way earmarked or intended for future use by, for,
11 or on behalf of any other foreign country shall be charged
12 against funds authorized under this chapter for the fiscal year
13 in which such article or material is set aside, reserved, or
14 otherwise earmarked. No such article or material may be
15 made available ?to or for use by any foreign country unless
16 such article or material has been charged against the limita-
17 tion specified in such section, or any subsequent corresponding
IS legislation, or against funds authorized under this chapter, as
19 appropriate."
20 MILITARY ASSISTANCE ADVISORY GROUPS AND MISSIONS
21 SEC. 13. Chapter 2 of part II of the Foreign Assistance
22 Act of 1961, as amended by sections 11(a) and 12 of this
23 Act, is further amended by adding at the end thereof the
24 following new section:
25 "SEC. 516. MILITARY ASSISTANCE ADVISORY
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1 GROUPS AND MISSIONS.-E ffeclive July 1, 1975, an
2 amount equal to each sum expended under any provision
3 of law, other than section 504 of this Act, with respect to
4 any military assistance advisory group, military mission, or
5 other organization of the United States performing activities
6 similar to such group or mission, shall be deducted from the
7 funds made available under such section 504, ?and (1) if
8 reimbursement of such amount is requested by the agency of
9 the United States Government making the expenditure, reim-
10 bursed to that agency, or (2) if no such reimbursement is
11
12
requested, deposited in the Treasury as miscellaneous
receipts."
13 TERMINATION OF AUTHORITY
14 SEC. 14. ( a) Chapter 2 of part II of the Foreign Assist-
15 ance Act of 1961, as amended by sections 11, 12, and 13
16 of this Act, is further amended by adding at the end thereof
17 the following new section:
18 "SEC. 517. TERMINATION OF AUTHORITY.-( a) (1)
19 The President shall gradually reduce assistance (other than
20 military training) provided under this chapter so that, not
21 later than September 30, 1977, no assistance (other than
22 military training) shall be provided under this chapter.
23 "(2) Paragraph (1) of this subsection shall not apply
24 to funds obligated prior to October 1, 1977.
25 "(b) For each of the fiscal years 1975, 1976, and 1977,
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1 the President is authorized to finance procurements of defense
2 articles and defense services (other than military training)
3 by any foreign country receiving defense articles or defense
4 services during fiscal year 1974 under this chapter on terms
5 providing for payment to the United States Government in
6 United States dollars (1) of the value of such articles and
7 services which value shall not exceed during each such fiscal
8 year the value of such articles and services (other than
miii-
9 tary training) furnished that country in fiscal year 1974
10 under this chapter, (2) at a rate of interest of not less than
11 four per centum a year, and (3) within ten years after
12 delivery of the defense articles or rendering of the defense
13 services.
14 "(c) (1) By not later than September 30, 1977, all the
15 functions of a military assistance advisory group, a military
mission, or other organization of the United States Govern-
1.7 ment in a foreign country performing activities similar to
18 any such group or mission, shall be transferred to the (Thief
19 , of the United States Diplomatic Mission to that country.
20 Upon the transfer of such functions, that group, mission, or
21 organization, as the case may be, shall cease to exist.
22 "(2) On and after October 1, 1977, the 'total number
23 of military attaches assigned or detailed to the United States
24 Diplomatic Mission of a foreign country shall not exceed by
25 more than twenty-five per centum the total number of military
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1 attaches authorized to be assigned or detailed to that mission
2 on June 30, 1974.
3 "(3) On and after October 1, 1977, no military assist-
4 ance advisory group, military mission, or other organization
5 of the United States Government in a foreign country per-
6 forming activities similar to any such group or mission, shall
7 be established or continued unless such group, mission, or
8 organization is authorized by law specifically for that
9 country."
10 (b) Effective October 1, 1977-
11 (1) the heading of chapter 1 of part II of the For-
12 eign Assistance Act of 1961 is amended to read as
13 follows:
14 "CHAPTER 1?PROVIDING MILITARY TRAINING";
15 (2) sections 501, 502A, 514, and 516, and sub-
16 section (g) of section 644 of the Foreign Assistance Act
17 of 1961 are repealed;
18 (3) section 502 of the Foreign Assistance Act of
19 1961 is amended by striking out the caption "Utilization
20 of Defense Articles and Services" and inserting in lieu
21 thereof "Providing Military Training", by striking out
22 of the text "Defense articles and defense services" and
23 inserting in lieu thereof "Military training", and by
24 striking out the last sentence;
25 (4) the heading of chapter 2 of part II of the
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1 Foreign Assistance Act of 1961 is aniended to read as
2 follows:
3 "CITA PTER 2?MILIT4RY T RAINING" ;
4 (5) chapter 2 of part II of the Foreign Assistance
5 Act of 1961 is amended by striking out sections 503
through 505 and inserting in lieu thereof the following:
7 "Sic. 503. G ENER AL AUTHORITY .?The President is
8 authorized to furnish, on such terms and conditions consistent
9 with this let as the President may determine, military train-
ing to any foreign country or international organization.
Funds for such training shall be appropriated for each fiscal
12 year pursuant to authorization for that fiscal year. After
13 September 30, 1977, no such training shall be conducted out-
14 side the United States except by specific authorization of
15 law.";
16 ( 6 ) section 511 of the Foreign Assistance Act of
17 1961 is amended by striking out of the section caption
18 "Assistance" and inserting in lieu thereof "Training",
19 and by striking out of the text "military assistance" and
20
"such assistance" and inserting in lieu thereof "military
21 training" and "such training", respectively;
22 (7) section 636 ( g) (1) of the Foreign Assistance
23 Act of 1961 is amended by striking out "defense articles
24 and defense services on a grant or sales basis" and
25 inserting in lieu thereof "military training"; and
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1 (8) section 644(m) of the Foreign Assistance Act
2 of 1961 is amended by striking out subparagraph (1)
3 and by striking out of subparagraphs (2) and (3)
4 "nonexcess" wherever it appears.
5 TERMINATION OF MILITARY ASSISTANCE TO SOUTH KOREA
6 SEC. 15. Chapter 2 of part II of the Foreign Assistance
7 Act of 1961, as amended by sections 11(a), 12, 13, and
8 14(a) of this Act, is further amended by adding at the end
9 thereof the following new section:
10 "SEC. 518. TERMINATION OF MILITARY ASSISTANCE
11 TO SOUTH KOREA.?( a) The total of (1) the amount of
12 funds obligated under this chapter to furnish assistance to
13 South Korea, and (2) the value of excess defense articles
14 furnished to South Korea under this chapter, shall not
15 exceed-
16 "(A) $91,500,000 during the fiscal year 1975;
17 " (B ) $61,000,000 during the fiscal year 1976;
18 and
19 "(C) $30,500,000 during the fiscal year 1977.
20 "(b) The aggregate total of credits extended, including
21 participations in credits, and the principal amount of loans
22 guaranteed, under the Foreign Military Sales Act with re-
23 sped t to South Korea shall not exceed-
24 "(1) $42,450,000 during the fiscal year 1975;
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"(2) $28,300,000. during the fiscal, year 1976;
and
"(3) $14,150,000 during the fiscal year 1977.
4 " ( c) On and after October 1,, 1977, no assistance shall
5 be furnished South Korea under this chapter, and no credits,
6 including participations in credits, shall be extended, and no
7 loans shall be,: guaranteed, under the Foreign Military Sales
8 Act with respect to South Korea. The preceding sentence shall
9 not apply with respect to funds obligated prior to.. Such
10 SECURITY SUPPORTING ASSISTANCE
11 SEC. 16. Section 532 of the Foreign Assistance Act of
12 1961 is amended by striking out "for the fiseal year 1974 not
13 to exceed $125,000,000, of which, nOt less than $50,000,000
14 shall be available solely for Israel" and insertin'g,,inlieu
-
15 thereof "for the fiscal year 1975 not to exceed $675,000;000":
16 TRANSFER BETWEEN ACCOUNTS
17 SEC. 17. (a) Section 610 of the 'Foreign Assistance Act
18 of 1961 is amended as follows:
19 (1) In subsection. (a); iniMediately'? after "any other
20 wision.of thiS- Aet", insert '"(except fands,Made
able under chaPter 2 of part H ,of thiS. A t)"..-
22 ) Add at the end thereof the following new sub.,'
23 section:
24 "(c) Tny Pends ,which the-Tresident haS 'notified Con,
25 gress pursuant to section 653 that he intends '10 .praVide in
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military assistance to any COUTityy may be transferred to, and
2 consolidated with, any oth,er funds he ,has notified Congress
3 pursuant to such section that he intends to provide-- 'to" that
4 country for development assistance purposes."
5 (b)' Section 614 of suck Act is amcndea by adding at the
6 end of subsection, (a) tl,te following: "The ctuthority of this
7 section shall not be used to waive the limitations on transfers
8 contained in section 610(a) of this Act.".
9 ASSISTANCE 7'0 GREECE
10 SEC. 18. Section 620(v) of the Fe ?reign Assistance Act
11 of 1961 is repealed.
12 LIMITATION UPON ASSISTANCE TO OR FOR CHILE
13 SEC. 19. Notwithstanding any other provision, of law,.
14 the total amount, of assistane that may be made available
15 for Chile under this or any other law ,during fiscal year 1975
16 may not exceed $55,000,000, none of which may 'be made
17 available for the purpose of providing military assistance
18 (including security supporting assistance sales, credit sales,
19 or guaranties or the furnishing by any,mcans of excess de-
20 tense articles or- items from stockpiles of :the -Department of
21 Defense).
22 RECONSTRUCTION RELIEF, AND REILABILITATION
23 SEC. 20. (a) Section , 203 of the Foreign Assistance
24 Act of 1961 is -ant,,,,ended by yinserting ,immediately after
25 "of this part." the followiug: "The,bahtnge,pf such, receipts
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1 for fiscal year 1973 is authorized to be made available solely
2 for the purposes of sections 639B, 6390, and 639D of this
3 Act."
4 (b) Section 639B of the Foreign Assistance Act of
5 1961 is amended by adding at the end thereof the following:
6 "Notwithstanding any prohibitions or restrictions contained
7 in this or any other Act, the President is authorized to
8 furnish assistance on such terms and conditions as he may
9 determine, for reconstruction and economic development
10 programs in the drought-stricken nations of Africa."
11 (c) The Foreign Assistance Act of 1961 is amended
12 by adding after section 639B a new section 6390 as follows:
13 "SEC. 6390. RELIEF AND REHABILITATION IN BAN-
14 AND CYPRUS.?( a) The Congress finds that the
15 recent flooding in the People's Republic of Bangladesh, and
16 the civil and international strife in the Republic of Cyprus,
17 have caused great suffering and hardship for the peoples of
18 the two Republics which cannot be alleviated with their inter-
19 nal resources. The President shall make every effort to de-
20 velop and implement programs of relief and rehabilitation,
21 in conjunction with other nations providing assistance, the
22 United Nations, and other concerned international and
23 regional organizations and voluntary agencies, to alleviate
24 the hardships caused in these two nations.
25 "(b) Notwithstanding any prohibitions or restrictions
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1 contained in this or any other Act, the President is authorized
2 to furnish assistance on such terms and conditions as he may
3 determine, for disaster relief, rehabilitation, and related pro-
4 grams in the People's Republic of Bangladesh and the Re pub-
5 lic of Cyprus."
6 ( d) The Foreign Assistance Act of 1961 is amended by
7 adding after section 639C, as added by subsection (c) of this
8 section, the following new section:
9 "SEC. 639D. DISASTER RELIEF AND REHABILITA-
10 TION.?Notwithstanding any prohibitions or restrictions con-
tained in this or any other Act, the President is authorized
12 to furnish .assistance, on such terms and conditions as he may
13 determine for disaster relief, rehabilitation, and related pro-
14 grams in the case of disasters that require large-scale relief
15 and rehabilitation efforts which cannot be met adequately with
16 the funds available for obligation under section 451 of this
17 Act."
18 ( e) The Foreign Assistance Act of 1961 is amended by
19 adding after section 639D, as added by subsection (d) of
20 this section, the following new section:
21 "SEe. 639E. INTERNATIONALIZATION OF ASSIST-
22 ANCE.?Assistance for the purposes set forth in sections 639A,
23 639B, 639C, and 639D shall be distributed wherever prac-
24 ticable under the auspices of and by the United Nations and
25 its specialized agencies, other international organizations or
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arrangements, multilateral institUtions, and. prirote voluntary
agencies.
ACCESS TO CERTAIN MILITARY BASES' ABROAD
4 Sc. 21. Chapter 3 of part III of the Foreign As-
5 sistance Act of 1961 is amended by adding at the end thereof
6 the following new Section:-
. 7 REC. 659. ACCESS TO CERTAIN MILITARY BASES
8 ABROAD.?None of the funds authorized. to be appropriated
9 for foreign assistance (inCluding foreign military sales, credit
10 sales, and guaranties) under any law may be used to pro-
11 vide any kind of assistanee to any foreign country in which
12 a military base is located if-
13 "(1) such base was constructed or is being main-
14 tamed or operated with funds furnished by the United
15 States: and
16 "(9) personnel of the United States carry out
mjii-
17 tary operations from such base;
18 unless and until, the President has determined that the gov-
19 ernment of such country has, consistent with security au
20 thorized access, on a regular basis, to bona fide news media
21 correspondents of the United States to such military base."
22 (b) Section 29 of the Foreign Assistance Act of 1973
23 is repealed.
24 PROHIBITING POLICE TRAINING
25 SET!. 29, (a) Chapter 3 of part ill of the Foreign
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,Assistance Act of 1961 as dmended by section 21(a) of this
2 Act, is further amended by ,adding at the end thereof the
following new section:
4 "SEC. 660. PROHIBITING POLICE TRAINING.-( a)
5 None of the funds made available to carry out this Act, and
6 none of the local currencies generated under this Act, shall
7 be used to provide training or advice, or provide any financial
support, for police, prisons, or other law enforcement forces
9 for any foreign government or any program of internal in-
10 telligence or surveillance on behalf of any foreign government
11 within the United States or abroad.
12 "(b) Subsection (a) of this section shall not apply-
13 "(f) with respect to assistance rendered under sec-
14 tion 515(c). of the Omn,ibus Crime Control and Safe
15 Streets Act of 1968, or with respect to any authority of
16 the Drug Enforcement Administration or the Federal
17
Bureau of Investigation which related to crimes of the
J 8 nature which are. unlawful under the laws of the United
19 States; or
20 "( 2 ) to any contract entered into prior to the date
21 of enactment of this section with any person, organiza-
22 tion, or a#ency of the United States Government to pro-
23 , vide personnel to conduct, or osist in, conducting, any
24 such program.
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1 Notwithstanding clause (2), subsection (a) shall apply to
2 any renewal or extension of any contract referred to in such
3 paragraph entered into on or after such date of enactment."
4 (b) Section 112 of such Act is repealed.
5 LIMITING INTELLIGENCE ACTIVITIES
6 SEC. 23. Chapter 3 of part III of the Foreign Assist-
7 ance Act of 1961, as amended by sections 21(a) and 22
8 of this Act, is further amended by adding at the end thereof
9 the following new section:
10 "SEC. 661. LIMITATIONS UPON INTELLIGENCE AcTIv-
11 a) No funds appropriated under the authority of
12 this or any other Act may be expended by or on behalf of the
13 Central Intelligence Agency or any other agency of the
14 United States Government for the conduct of operations in
15 foreign countries pursuant to section 102(d) (5) of the
16 National Security Act of 1947 (50 U.S.C. 403), other than
17 operations intended solely for obtaining necessary intelligence.
18 Notwithstanding the foregoing limitation, the President may
19 authorize and direct that any operation in a foreign country
20 be resumed, or that any other operation in a foreign country
21 be initiated, and funds may be expended therefor, if, but not
22 before, he (1) finds that such operation is important to the
23 national security, and (2) transmits an appropriate report
24 of his finding, together with an appropriate description of
25 the nature and scope of such operation, to the committees of
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1 the Congress having jurisdiction to monitor and review the
2 intelligence activities of the United States Government.
3 "(b) The provisions of subsection ( a) of this section
4 shall not apply during military operations by the United
5 States under a declaration of war approved by the Congress
6 or an exercise of powers by the President under the War
7 Powers Resolution."
8 WAIVER OF PROHIBITION AGAINST ASSISTANCE TO
9 COUNTRIES ENGAGING IN CERTAIN TRADE
10 SEC. 24. Chapter 3 of part III of the Foreign Assistance
11 Act of 1961, as amended by sections 22 and 23 of this Act,
12 is further amended by adding at the end thereof the follow-
13 ing new section:
14 "SEc. 662. WAIVER OF PROHIBITION AGAINST As-
15 SISTANCE TO COUNTRIES ENGAGING IN CERTAIN
16 TRADE.?Any provision of this Act or the Agricultural
17 Trade Development and Assistance Act of 1954 which pro-
18 hi bits assistance to a country because that country is engaging
19 in trade with a designated country may be waived by the
20 President if he determines that such waiver is in the na-
21 tional interest and reports such determination to the Con-
22 gress."
23 POLICY WITH RESPECT TO INDOCHINA
SEC. 25. (a) The Congress finds that the cease-fire pro-
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1 vided for in the Paris Agreement on Ending the War and
2 Restoring Peace in Vietnam has not been observed by any of
3 the Vietnamese parties to the conflict. Military operations of
4 an offensive and defensive nature continue throughout South
5 Vietnam. In Cambodia, the civil war between insurgent forces
6 and the Lon Nol government has intensified, resulting in wide-
7 spread human suffering and the virtual destruction of the
8 Cambodian economy.
9 (b) The Congress further finds that continuation of the
10 military struggles in South Vietnam and Cambodia are not
11 in the interest of the parties directly engaged in the conflicts,
12 the people of Indochina, or world peace. In order to lessen the
13 human suffering in Indochina and to bring about a genuine
14 peace there, the Congress urges and requests the President and
15 the Secretary of State to undertake immediately the following
16 measures:
17 (1) to initiate negotiations with representatives of
18 the Soviet Union and the People's Republic of China to
19 arrange a mutually agreed-upon and rapid de-escalation
20 of military assistance on the part of the three principal
21 suppliers of arms and material to all Vietnamese and
22 Cambodian parties engaged in conflict;
23 (2) to urge by all available means that the Govern-
24 ment of the Khmer Republic enter into negotiations with
25 representatives of the Khmer Government of National
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1 Union for the purpose of arranging an immediate cease-
2 fire and political settlement of the conflict; and to use all
3 available means to establish contact with the Khmer Gov-
4 ernment of National Union and to urge them to partici-
5 pate in such negotiations. The United States should urge
6 all Cambodian parties to use the good offices of the United
7 Nations or a respected third country for the purpose of
8 bringing an end to hostilities and reaching a political
9 settlement;
10 (3) to utilize any public or private forum to nego-
11 tiate directly with representatives of the Democratic Re-
12 public of Vietnam, the Provisional Revolutionary Gov-
13 ernment, and the Republic of Vietnam to seek a new
14 cease-fire in Vietnam and full compliance with the provi--
15 .sins of the Paris Agreement on Ending the War and
16 Restoring Peace in Vietnam, including a full accounting
17 for Americans missing in Indochina;
18 (4) to reconvene the Paris Conference to, seek full
19 implementation of the provisions of the Agreement of
20 January 27, 1973, on the part of all Vietnamese parties
21 to the conflict; and
22 (5) to maintain regular and full consultation with
23 the appropriate committees of the Congress and report to
24 the Congress and the Nation at regular intervals on the
25 progress toward obtaining a total cessation of hostilities
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1 in Indochina and a mutual reduction of military assist-
2 ance to that area.
3 PRINCIPLES GOVERNING ECONOMIC AID TO INDOCHINA
4 SEC. 26. (a) Congress finds that, after expending over
5 a billion dollars in funds for economic purposes in Indo-
6 china last year, and vast amounts .in previous years, little
7 in lasting economic benefit remains. A large proportion of
8 the funds expended have been used for consumable items
9 related to the war effort. Very little of our money has found
10 its way into capital investments of a lasting productive bene-
11 fit to the people. Congress calls upon the President and Sec-
12 retary of State to take immediately the following actions
13 designed to maximize the benefit of United States economic
14 assistance:
15 (1) to organize a consortium to include multilateral
16 financial institutions to help plan for Indochina recon-
17 struction and development; to coordinate multilateral
18 and bilateral contributions to the area's economic recov-
19 cry; and to provide continuing advice to the recipient
20 nations on the use of their own and outside resources;
21 (2) to develop, in coordination with the recipient
22 governments, other donors, and the multilateral financial
23 institutions, a comprehensive plan for Indochina recon-
24 struction and economic development;
25 (3) to develop country-by-country reconstruction
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1 and development plans, including detailed plans for the
2 development of individual economic sectors, that can be
3 used to identify and coordinate specific economic develop-
4 ment projects and programs and to direct United States
5 resources into areas of maximum benefits;
6 (4) to shift the emphasis of United States aid pro-
7 grams from consumption-oriented expenditures to eco-
8 nomic development;
9 ) to identify possible structural economic reforms
10 in areas such as taxation, exchange rates, savings mech-
11 internal pricing, income distribution, land ten-
12 uve, budgetary allocations and corruption, which should
13 be undertaken if Indochinese economic development is to
14 progress; and
15 (6) to include in Indochina economic planning and
16 programing specific performance criteria and stand-
17 ards which will enable the Congress and the executive
18 branch to judge the adequacy of the recipients efforts
19 and to determine whether, and what amounts of, con-
20 tinned United States funding is justified.
21 b) This section shall not be construed .to imply continua-
22 tion of a United States financial commitment beyond the
23 .authorization provided for in this Act or .amendments made
24 by this Act.
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1 INDOCHINA POSTWAR RECONSTRUCTION
2 SEC. 27. Section 802 of the Foreign Assistance Act of
3 1961 is amended to read as follows:
4 'SEC. 802. AUTHORIZATION.?There are authorized to
5 be appropriated to the President to furnish assistance for the
6 relief and reconstruction of South Vietnam, Cambodia, and
7 Laos as authorized by this part, in addition to funds other-
s wise available for such purposes, for the fiscal year 1974 not
9 to exceed $504,000,000, and for the fiscal year 1975 not
10
11
12
13
14
15
16
17
18
19
20
21
22
23
25
to exceed $617,000,000. Of. the amount appropriated for
fiscal year 1975?
"(1) $449,900,000 shall be available only for the
relief and reconstruction of South Vietnam in accordance
with section 806 of this Act;
"(2) $100,000,000 shall be available only for the
relief and reconstruction of Cambodia in accordance
with section 807 of this Act;
"(3) $40,000,000 shall be available only for the
relief and reconstruction of Laos in accordance with
section 808 of this Act;
"(4) $4,100,000 shall be available only for the
regional development program;
"(5) $16,000,000 shall be available only for sup-
port costs for the agency primarily responsible for carry-
ing this part; and
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"(6) $7,000,000 shall be available only for human-
2 itarian assistance through international organizations.
3 Such amounts are authorized to remain available, until
4 expended."
5 ASSISTANCE TO SOUTH VIETNAMESE CHILDREN
6 SEC. 28. Section 803 of the Foreign Assistance Ad of
7 1961 is amended as follows:
(1) In subsection (a), strike oa t "rights, partibu-
9 larly children fathered by United States citizens" and
10 insert in lieu thereof "rights".
11 (2) In subsection (b), immediately after the second
12 sentence, insert the following: "Of the sums made avail-
13 able for South Vietnam under section 802(1) of this Act
14 for fiscal year 1975, $10,000,000, or its equivalent in
15 local currency, shall be available until expended solely to
16 carry out this section."
17 LIMITATIONS WITH RESPECT TO SOUTH VIETNAM
18 SEC. 29. Part V of the Foreign Assistance Act of 1961
19 is amended by adding at the end thereof the following new
20 section:
21 "SEC. 806. LIMITATIONS WITH RESPECT TO SOUTH
22 VIETNAM.?( a) Notwithstanding any other provision of law,
23 no funds authorized to be appropriated .by this or any other
24 law may he obligated in any amount in excess of $1,274,-
25 900,000 during the fiscal year ending June 30, 1975, for the
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1 purpose of carrying out directly or indirectly any economic
2 or military assistance, or any operation, project, or program
3 of any kind, or for providing any goods, supplies, materials,
4 equipment, services, personnel, or advisers in, to, for, or on
5 behalf of South Vietnam. Of that amount, there shall be avail-
6 ' able during such fiscal year-
7 "(1) $700,000,000 for military assistance;
8 "(2) $125,000,000 only to carry out the Agricul-
9 tural Trade Development and Assistance Act of 1954;
10 and
11 "(3) $449,900,000 only for economic assistance,
12 of which there shall be available-
13 "(A) $90,000,000 for humanitarian assist-
14 ance, of which there shall be available-
15 "(i) $70,000,000 for refugee relief;
16 "(ii) $10,000,000 for child care; and
17 "(iii) $10,000,000 for health care;
18 "(B) $154,500,000 for agricultural assistance.
19 of which there shall be available-
20 "(i) $85,000,000 for fertilizer;
21 "(ii) $12,000,000 for POL (for agri-
22 culture);
23 "(iii) $6,000,000 for insecticides and
24 pesticides;
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"(iv) $10,000,000 for agricultural ma-
2 chinery and equipment (including spare parts) ;
3 (v) $3,500,000 for agricultural advisory
4 services;
5 "(vi) $20,000,000 for rural credit;
6 "(vii) $10,000,000 for canal dredging;
7 "(viii) $4,000,000 for low-lift pumps;
8 and
9 "(ix) $4,000,000 for fish farm development;
10 "( C ) $139,800,000 for industrial development
11 assistance, Of which there shall be available-
12 "(i) $124,000,000 for commodities;
13 "(ii) $10,000,000 for industrial credit;
14 and
15 "(iii) $5,800,000 for industrial advisory
16 services (including feasibility studies) ;
17 "(D) $65,600,000 for miscellaneous assist-
18 ance, of which there shall be available-
19 "(i) $47,900,000 for the service sector
20 (including POL, machinery, equipment and
21 spare parts) ; and
22 "(ii) $17,700,000 for technical services
23 and operating expenses.
24 "(b) (1) No funds made available under paragraph
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1 (2) or (3) of subsection (a) may be transferred to, or con-
2 solidated with, the funds made available under any other
3 paragraph of such subsection, nor may more than 20 per
4 centum of the funds made available under subparagraph
5 (A), (B), (C ), or (D) of paragraph (3) of subsection
6 (a) of this section be transferred to, or consolidated with,
7 the funds made available under any other such subparagraph.
8 "(2) Whenever the President determines it to be neces-
9 sary in, carrying out this part, any funds made available
10 under any clause of subparagraph (A), (B), (C), or (D)
11 of subsection, (a) of this section nzay be transferred to, and
12 consolidated with, the funds made available under any other
13 clause of that same subparagraph.
14 "(3) The President shall fully inform the Speaker of
?15 the House of Representatives and the Committee on Foreign
16 Relations of the Senate of each transfer he intends to make
17 under paragraph (1) or, (2) of this subsection prior to
18 making such transfer.
19 "(e) In computing the $1,274,900,000 limitation on
20 obligational authority under subsection (a) of this section
21 with respect to such fiscal year, there shall be included in the
22 computation the value of any goods, supplies, materials,
23 equipment, services, personnel, Or advisers provided to, for,
24 Or on behalf of South Vietnam in such fiscal year by gift,
25 donation, loan, lease, or otherwise. For the purpose of this
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1 subsection, 'value' means the fair market value of any. 'goods,
2 supplies, materials, or equipment provided to, for, or on
3 behalf of South Vietnam but in no case less than 331 per
4 centum of the amount the United States paid at the time such
5 goods, supplies, materials, or sequipment were acquired by
6 the United States.
7 "(d) No funds may be obligated for any of the purposes
8 described in subsection ( a) of this section in to, for, or on
9 behalf of South Vietnam in any fiscal year beginning after
10 June 30, 1975, unless such funds have been specifically au-
11 thorized by law enacted after the date of enactment of this
12 section. In no case shall funds in any amount in excess of the
13 amount specifically authorized by law for any fiscal year
14 be obligated for any such purpose during such fiscal year.
15 "(c) After the date of enactment of this section, when,ever
16 any request is made to the Congress for the'btpproPriation
17 of funds for use in, to, for, or on behalf. of South Vietnam for
18 any fiscal 'year, the President shall furnish a written report
19 to the Congress explaining the purpose for which such funds
20 are to be used in such fiscal year.
21 "(f) The President shall submit to the Congress within
22 thirty days after the end of each quarter of each fiscal year,
23 beginning with the fiscal year whiCh begins July 1, 1974, a
24 written report showing the total amount of funds obligated
25 in, to, for, or on behalf of South Vietnam during the preced-
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1 ing quarter by the United States Government, and shall
2 include in ,such report a general breakdown of the total
.) amount obligated, describing the different purposes for which
4 such funds were obligated and the total amount obligated
for such purpose.
"(g) (1) Effective six months after the date of enact-
7 ment of this section, the total number of civilian officers and
8 employees, including contract employees, of executive agencies
9 of the United States Government who are citizens of the
10 United States and of members of the Armed Forces of the
11 United States present in South Vietnam shall not at any one
12 time exceed four thousand, not more than two thousand five
13 hundred of whom shall be members of such armed forces and
14 direct hire and contract employees of the Department of
15 Defense. Effective one year after the date of enactment of
16 this section, such total number shall not exceed at any one
17 time three thousand, not more than one thousand five hundred
18 of whom shall be members of such armed forces and direct
19 hire and contract employees of the Department of Defense.
20 "(2) Effective six months after the date of enactment of
21 this section, the United States shall not, at any one time, pay
22 in whole or in part, directly or indirectly, the compensation or
23 allowances of more than eight hundred individuals in South
24 Vietnam who are citizens of countries other than South Viet-
25 nam or the United States. Effective one year after the date
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of enactment of this section, the total number of individuals
2 whose compensation or allowance is so paid shall not exceed
3 at any one time five hundred.
4 "(3) For purposes of this subsection, 'executive agency
5 of the United States Government' means any agency, depart-
6 ment, board, wholly or partly owned corporation, instru-
7 mentality, commission, or establishment within the executive
8 branch of the United States Government.
9 "(4) This subsection shall not be construed to apply with
10 respect to any individual in South Vietnam who (A) is
11 an employee or volunteer worker of a voluntary private,
12 nonprofit relief organization or is an employee or volunteer
13 worker of the International Committee of the Red Cross, and
14 (B) engages only in activities providing humanitarian
15 assistance in South Vietnam.
16 "(h) This section shall not be construed as a commit-
17 ment by the United States to South Vietnam for its defense."
18 LIMITATIONS WITH RESPECT TO CAMBODIA
19 SEC. 30. (a) Part V of the Foreign Assistance Act of
20 1961, as amended by section 29 of this Act, is further
21 amended by adding at the end thereof the following new
22 section:
23 "SEe. 807. LIMITATIONS WITH RESPECT TO CAM-
24 BODIA.?( a) Notwithstanding any other provision of law, no
25 funds authorized to be appropriated by this or any other law
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1 may be obligated in any amount in excess of $377,000,000
2 during the fiscal year ending June 30, 1975, for the pur-
3 pose of carrying out directly or indirectly any economic or
4 military assistance, or any operation, project, or program of
5 any kind, or for providing any goods, supplies, materials,
6 equipment, services, personnel or advisers in, to, for, or on
7 behalf of Cambodia. Of that amount there shall be
S available--
9 "(1) $200,000,000 for military assistance;
10 "(2) $77,000,000 only to carry out the Agricul-
11 Trade Development and Assistance Act of 19,54;
12 and
13 "(3) $100,000,000 only for economic assistance, of
14 - which there Shall be available?'
15 "(A) $20,000,000 for humanitarian assist-
ance;
17 "(B) $63,000,000 for commodity import as-
18 sistance;
19 "(C) $15,000,000 for multilateral stabiliza-
20 .tion assistance; and
21 "(D.).$2,000,000 for technical support and
22 participant training.
23 "(b) No funds made available under paragraph (2)
24_ or ? (3 ) of Subsection, (a) of this section may be transferred
25 ta,,ar conso/ida4d with, the funds made available under any
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1 other. ,paragraph, of such subsection, nor may more than
2 .?oy per .centuAt of the fund made ova liable under any sub-
3 23"ctrag,rapk,of, paragraph , (3.) Of Subsection, ( a ) ,of this sec-
4 tion be transferred fa, or consolidated with the funds made
available .under any other such subparagraph.
6 "( c) In computing the $377 000,000'limitation on obli-
1 'gation, authority under subsection (a).of this section with
8 .respec4 to such fiscal year, there shall be included in ,the com-
9 putation the value of any goods, supplies, materials, equip-
1.0 ment, services, personnel, 07' adviser's provided to, for, or on
11 behalf of CaM bodia in such fiscal ?yea,r by gift, don ation, loan,
1.2, lease or' atherWise..For the pUrpose of this subsectian, `value'
13 means the fair market V cilue of any goods supplies, ,ma-
14 lerials; or equipMent provided to, for, or on behalf, of Cain-
15 bodia but in no case less than 33i. r centlim.bf the amount
16 the United States paid at the time such goods, supplies `ni,a-
,
17 terials, or equipment were 'acquired by the United States.
18 "( d) NO funds may be obligated for any af the purposes
19 described in subsection (a) of this section in, to, for or Olt
20 behalf of Cambodia in I an,y fiscal year beginning after' June
21 ,-`10 1975, unless such funds have been specOcally. authorized
22 by law enacted after the date of enactment `of this section. In
23 no case', shall fund.. any any amount in eicess of the
24 :amount', speciflcally Authorized by lau . for any fiscal year be:
25, obligated for any such purpose during such fimal year.
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1 "(e) After the date of enactment of this section, when-
2 ever any request is made to the Congress for the appropria-
3 tion of funds for use in, to, for, or on behalf of Cambodia for
4 any fiscal year, the President shall furnish a written report
5 to the Congress explaining the purpose for which such funds
6 are to be used in such fiscal year.
7 "( f ) The President shall submit to the Congress within
8 thirty days after the end of each quarter of each fiscal year,
9 beginning with the fiscal year which begins July 1, 1974, a
10 written report showing the total amount of funds obligated
11. in, to, for, or on behalf of Cambodia during the preceding
12 quarter by the United States Government, and shall include
13 in such report a general breakdown of the total amount obli-
14 gated, describing the different purposes for which such funds
15 were obligated and the total amount obligated for such
16 purpose.
17 "(g) (1) The total number of civilian officers and em-
ployees of executive agencies of the United States Govern-
19 ment who are citizens of the United States and of members
20 of the Armed Forces of the United States (excluding such
21 members while actually engaged in air operations in or over
22 Cambodia which originate outside Cambodia) present in
23 Cambodia at any one time shall not exceed two hundred.
24 "(2) The United States shall not, at any one time, pay in
25 whole or in part, directly or indirectly, the compensation or
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1 allowances of more than eighty-five individuals in Cambodia
2 who are citizens of countries other than Cambodia or the
3 United States.
4 "(3) For purposes of this subsection, 'executive agency
5 of the United States Government' means any agency, depart-
6 ment, board, wholly or partly owned corporation, instru-
7 mentality, commission, or establishment within the execu-
S tive branch of the United States Government.
9 "(4) This subsection shall not be construed to apply with
10 respect to any individual in Cambodia who ( A) is an em-
11 ployee or volunteer worker of a voluntary private, nonprofit
12 relief organization or is an employee or volunteer worker of
13 the International Committee of the Red Cross, and (B)
14 engages only in activities providing humanitarian assistance
15 in Cambodia.
16 "(h) This section shall not be construed as a commitment
17 by the United States to Cambodia for its defense."
18 (b) Sections 655 and 656 of such Act are repealed.
19 LIMITATIONS WITH RESPECT TO LAOS
20 SEC. 31. Part V of the Foreign Assistance Act of 1961,
21 as amended by sections 29 and 30( a) of this Act, is further
22 amended by adding at the end thereof the following new
23 section:
24 "SEc. 808. LIMITATIONS WITH RESPECT TO LAOS.-
25 ( a) Notwithstanding any other provision of law, no funds
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authorized to be appropriated by this or any other law may
2 be obligated in any amount in excess of $70,000,000 during
the fiscal year ending June 30, 1975, for the purpose of
4 carrying out directly or indirectly any economic or military
5 assistance, or any operation, project, or program of any kind,
6 or for proriding any goods, supplies, materials, equipment,
7 services, personnel, or advisers in, to, for, or on behalf of
8 Laos. Of that amount, there shall be available-
9 "(/) $30,000,000 for military assistance; and
10 "(2) $40,000,000 only for economic assistance, of
II which there shall be available-
12 $11,000,000 for humanitarian assist-
13 once;
14 "(B) $6,500,000 for reconstruction and de-
15 velopment assistance;
"( C ) $16,100,000 for stabilization assistance;
17 and
18 "(D) $6,400,000 for technical support.
119 "(b) No funds made available under paragraph (2)
20 of subsection (a) of this section may be transferred to, or
21 consolidated with, the funds made available under paragraph
22 (1) of such subsection, nor may more than 20 per centum
23 of the funds made available under any subparagraph of para-
24 graph (2) be transferred to, or consolidated with, the funds
25 made available under any other such subparagraph.
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1 "(c) In computing the limitations on obligation authority
2 under subsection (a) of this section with respect to such fiscal
3 year, there shall be included in the computation the value of
4 any goods, supplies, materials, equipment, services, personnel,
5 or advisers provided, to, for, or on behalf of Laos in such
6 fiscal year by gift, donation, loan, lease or otherwise. For the
7 purpose of this subsection, 'value' means the fair market value
8 of any goods,- supplies, materials, or equipment provided to,
9 for, or on behalf of Laos but in no case less than 331 per
10 centum of the amount the United States paid at the time such
n goods, supplies, materials, or equipment were acquired by
12 the United States.
13 "(d) No funds may be obligated for any of the purposes
14 described in subsection (a) of this section in, to, for, or on
15 behalf of Laos in any fiscal year beginning after June 30,
16 1975, unless such funds have been specifically authorized by
17 law enacted after the date of enactment of this section. In no
18 case shall funds in any amount in excess of the amount
19 specifically authorized by law for any fiscal year be obligated
20 for any such purpose during such fiscal year.
21 ?(e) After the date of enactment of this section, when-
22 ever any request is made to the Congress for the appropria-
23 tion of funds for use in, to, for, or on behalf of Laos, for any
24 fiscal year, the President shall furnish a written report to the
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1 Congress explaining the purpose for which such funds are to
2 be used in such fiscal year.
3 "U) The President shall submit to the Congress within
4 thirty days after the end of each quarter of each fiscal year
5 beginning with the fiscal year which begins July 1, 1974, a
6 written report showing the total amount of funds obligated in,
7 to, for, or on behalf of Laos during the preceding quarter by
8 the United States Government and shall include in such re-
9 port a general breakdown of the total amount obligated, de-
10 scribing the different purposes for which such funds were
11 obligated and the total amount obligated for such purpose.
12 "(g) This section shall not be construed as a commit-
13 ment by the United States to Laos for its defense."
14 POPULATION, NARCOTICS, INTERNATIONAL HUMANI-
15 TARIAN AND REGIONAL PROGRAMS
16 SEC. 32. Part V of the Foreign Assistance Act of 1961,
17 as amended by sections 29, 30(a), and 31 of this Act, is
1.8 further amended by adding at the end thereof the following
19 new section:
20 "SEC. 809. POPULATION, NARCOTICS, INTERNA-
21 TIONAL HUMANITARIAN AND REGIONAL PROGRAMS.?The
22 provisions of sections 806, 807, and 808 shall not apply to:
23 (1) funds obligated for purposes of title X of chapter 2 of part
24 I (programs relating to population growth) ; (2) funds
25 made available under section 482 (programs relating to nar-
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1 cotics control) ; (3) funds made available under section 802
2 (6) (humanitarian assistance through international organi-
zations); or (4) funds obligated for regional programs."
4 TRANSFER OF FUNDS
5 SEC. 33. Part V of the Foreign Assistance Act of 1961,
6 as amended by sections 29, 30(a), 31, and 32 of this Act, is
7 further amended by adding at the end thereof the following
S new section:
9 "SEC. 810. TRANSFER OF FUNDS.?( a) The authority
10 of section 610 of this Act shall not apply with respect to any
11. funds made available to South Vietnam, Cambodia, or Laos.
12 "(b) Any funds made available under any provision of
13 this or any other law for the purpose of providing military
14 assistance for South Vietnam, Laos, or Cambodia may be
15 transferred to, and consolidated with, any funds made avail-
16 able to that country for war relief, reconstruction, or general
17 economic development."
S MIDDLE EAST ASSISTANCE
19 SEC. 34. (a) The Foreign Assistance Act of 1961 is
20 amended by adding at the end thereof the following new part:
21 "PART VI
22 "SEC. 901. GENERAL AUTHORITY FOR ASSISTANCE
23 TO THE MIDDLE EAST.?The President is authorized to fur-
24 nish assistance authorized by this Act, and to provide credits
25 and guaranties authorized by the Foreign Military Sales Act.
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Any such assistance, credits, and guaranties shall be provided
2 in accordance with all the provisions applicable to that type of
3 assistance under this Act and applicable to credits and guar-
4 antics under the Foreign Military Sales Act.
5
"SEC. 902. ALLOCATIONS.?( a) Of the funds appropri-
G ated to carry out chapter 2 of part II of this Act during the
7 fiscal year 1975, nit to exceed $100,000,000 may be made
available for military assistance in the Middle East.
9 "(b) Of the funds appropriated to carry out chapter 4
10 of part II of this Act during the fiscal year 1975, not to ex-
1.1 ceed $667,500,000 may be made available for security sup-
12 porting assistance in the Middle East.
13 "(c) Of the aggregate ceiling on credits and guaranties
established by section 31(b) of the Foreign Military Sales
15 Act during the fiscal year 1975, not to exceed $330,000,000
16 shall be available for countries in the Middle East.
17 "SEC. .903. SPECIAL REQUIREMENTS FUND.?(a)
There are authorized to be appropriated to the President for
19 the fiscal year 1975 not to exceed $100,000,000 to meet
20 special requirements arising from time to time in the Middle
21 East for the purpose of providing any type of assistance
22 authorized by part I of this Act, in addition to funds other-
23 wise available for such purpose. The funds authorized to be
24 appropriated by this section shall be available for use by the
25 President for assistance authorized by this Act in accordance
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with the provisions applicable to the furnishing of such
2 assistance. Such funds are authorized to remain available
3 until expended.
4 "(b) The President shall keep the Committee on Foreign
5 Relations and the Committee on Appropriations of the Senate
6 and the Speaker of the House of Representatives currently
7 informed on the programing and obligation of funds under
8 subsection ( a).
9
"(c) (1) Prior to obligating any amount for a project
10 in excess of $1,000,000 from funds made available under
11 this section, the President shall transmit a written report
12 to the Speaker of the House of Representatives and the Corn-
13 mittee on Foreign Relations of the Senate on tha same day
14 giving a complete explanation with respect to such proposed
15 obligation. Bach report shall include an explanation relating
16 to only one project.
17 " ( 2) The President may make such obligation thirty
18 days after the report has been so transmitted unless, before
19 the end of the first period of thirty calendar days after the
20 date on which the report is transmitted, a 'resolution is adopted
21 disapproving the proposed obligation with respect to which the
22 report is made.
23 " (3 ) Paragraphs (4) through (11) of this subsection
24 are enacted by Congress-
25 "(A) as an exercise of the rulemaking power of the
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1 Senate and the House of Representatives, respectively,
2 and as such they are deemed a part of the rules of each
3 House, respectively, but applicable only with respect to
4 the procedure to be followed in the House in the case of
5 resolutions described by this subsection; and they super-
sede other rules only to the extent that they are inconsist-
7 ent therewith; and
8 "(B) with full recognition of the constitutional right
9 of either House to change the rules (so far as relating
10 to the procedure of that House) at any time, in the same
11 manner, and to the same extent as in the case of any
12 other rale of that House.
13 "(4) For purposes of paragraphs (2) through (12) of
14 this subsection, 'resolution' means only ?a concurrent resolu-
15 tion, the matter after the resolving clause of which is as fol-
16 lows: 'That the Congress does not approve the obligation for
17 and explained in the report transmitted to Con-
18 gress by the President on , 19 .', the first blank
19 space therein being filled with the name of the foreign country
20 or organization on whose behalf the obligation is to be in-
21 curred, and the other blank spaces therein being appropriately
22 filled with the date of the transmittal of the report; but does not
23 include a resolution specifying obligations for more than one
24 proposed project.
25 "(5) If the committee, to which has been referred a
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1 resolution disapproving a proposed obligation, has not re-
2 ported the resolution at the end of ten calendar days after its
3 introduction, it is in order to move either to discharge the
4 committee from further consideration of the resolution or ,to
5 discharge the committee from further consideration of any
6 other resolution with respect to the same obligation which
7 has been referred to the committee.
8 "(6) A motion to discharge may be made only by an
9 individual favoring the resolution, is highly privileged ( except
10 that it may not be made after the committee has reported a
11 resolution with respect to the same proposed obligation), and
12 debate thereon is limited to not more than one hour, to be
13 divided' equally between those favoring and those opposing the
14 resolution. An amendment to the motion is not in order, and
15 it is not in order to move to reconsider the vote by which the
16 motion is agreed to or disagreed to.
17 " (7 ) If the motion to discharge is agreed to, or dis-
18 agreed to, the motion may not be renewed, nor may another
19 motion to discharge the committee be made with respect to
20 any other resolution with respect to the same obligation.
21 "(8) When the committee has reported, or has been dis-
22 charged from further consideration of, a resolution with
23 respect to an obligation, it is at any time thereafter in
24 order ( even though a previous motion to the same effect has
25 been disagreed to) to move to proceed to the consideration
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1 of the resolution The motion is highly privileged and is not
2 debatable. An amendment to the motion is not in order, and
3 it is not in order to move to reconsider the vote by which the
4 motion is agreed to or disagreed to.
5 "(9) Debate on the resolution is limited to not more than
6 two hours, to be divided equally between those favoring and
7 those opposing the resolution. A motion further to limit debate
8 is not debatable. An. amendment to, or motion to recommit,
9 the resolution, is not in order, and it is not in order to move
10 to reconsider the vote by which the resolution is agreed to or
11 disagreed to.
12 "(10) Motions to postpone, made with respect to the
13 discharge from committee, or the consideration of, a resolu-
1 t tion with respect to an obligation, and motions to proceed to
15 the consideration of other business, are decided without
16 debate.
17 "(1.1) Appeals from the decisions of the Chair relating
18 to the application of the rules of the Senate or the House of
19 Representatives, as the case may be, to the procedure relating
20 to a resolution with respect to an obligation are decided with-
21 out debate.
22 "(12) If, prior to the passage by one House of a can-
23 current resolution of that House, that House receives from the
24 other House a concurrent resolution of such other House,
25 then?
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1 "(A) the procedure with respect to the concurrent
2 resolution of the first House shall be the same as if no
0
concurrent resolution from the other House had been
4 received; but
5 "(B) on any vote on final passage of the concurrent
6 resolution of the first House the concurrent resolution
7 from the other HOU8C shall he automatically substituted."
(b) Section 620(p) of such Act is repealed.
9 FOREIGN MILITARY SALES ACT AMENDMENTS
10 SEC. 35. ( a) The Foreign Military Sales Act is amended
11 as follows:
12 (1) Section 3(d) is amended to read as follows:
13 " ( d) A country shall remain ineligible in accordance
14 with subsection (c) of this section until such time as the
15 President determines that such violation has ceased, that the
16 country concerned has given assurances satisfactory to the
17 President that such violation will not recur, and that, if such
18 violation involved the transfer of sophisticated weapons with-
19 out the consent of the President, such weapons have been
20 returned to the country concerned."
21 (2) Section 22 is amended by adding at the end
22 thereof the following new subsection:
23 "(c) No sales of defense articles shall be made to the
24 government of any economically developed country under the
25 provisions of this section if such articles are generally
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1 available for purchase by such country from commercial
2 sources in the United States."
3 (3) Section 23 is amended to read as follows:
4 "SEc. 23. CREDIT SALES.?The President is authorized
5 to finance procurements of defense articles and defense ser v-
6 ices by friendly foreign countries and international organiza-
7 lions on terms requiring .the payment to the United States
8 Government in United States dollars of-
9 "(1) the value of such articles or services within a
10 period not to exceed ten years after the delivery of such
11 articles or the rendering of such services; and
12 "(2) interest on the ,unpaid balance of that obliga-
13 tion for payment of the value of such articles or services,
14 at a rote equivalent to the current average interest rate,
15 as of the last day of the month preceding the .financing
16 of such procurement, that the United States Government
17 pays on outstanding marketable obligations of compara-
18 ble maturity, . unless the President certifies to Con-
19 gress that the national interest requires a lesser rate of
20 interest and states in the certification the lesser rate so
21 required ,and the justification therefor."
22 (4) In. subsections (a) and (b) of section 24, the
23 parenthetical phrase in each is amended to read as
24 follows: "(excluding United States Government agencies
25 other than the Federal Financing Bank)".
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(5 ) Section 24(c) is amended to read as follows:
2 "(c) Funds made available to carry out this Act shall
3 be obligated in an amount equal to 25 per centum of the
4 principal amount of contractual liability related to any guar-
5 anty issued prior to July 1, 1974, under this sectionl,Funds
6 made available to carry out this Act shall be obligated in an
7 amount equal to 10 per centum of the principal amount of
. contractual liability related to any guaranty issued after
9 June 30, 1974, under this section. All the funds so obligated
10 shall constitute a single reserve for the payment of claims
11 under such guaranties, and only such of the funds in the
12 reserve as may be in excess from tinie to time of the total
13 principal amount of contractual liability related to all out-
14 standing guaranties under this s'ection shall be deobligated
15 and transferred ?to the general fund" of the Treasury. Any
16 guaranties issued hereunder shall be backed by the full faith
17 and credit of the United States."
18 (6) Section 24, is amended by adding at the end
19 thereof the following:
20 "( d) The President may guarantee under this section
21 only those payments for any defense article or defense service
22 which are due within ten years after that defense article is
23 delivered or that defense service is rendered, except that such
24 guaranty may be made for not more than twenty years if the
25 President certifies to. Congress that the national interest re-
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1 quires that the period of guaranty be longer than ten years,
2 and states in the certification the country or international
3 organization on whose behalf the guaranty is to be made,
4 the period of the guaranty, and the justification for the longer
5 period."
6 (7) In section 31-
7 (A) in subsection (a); strike out "$325,000,-
8 000 for the fiscal year 1974" and insert in lieu
9 thereof "$405,000,000 for the fiscal year 1975";
10 and
(B) in subsection (b)-
12 (i) strike out "$730,000,000 for the fiscal
13 year 1974" and insert in lieu thereof "$872,-
14 500,000 for the fiscal year 19Th"; and
15 (ii) add at the end thereof the following
16 new sentence: "Of the funds made available
17 under subsection (a) of this section, $100,-
18 000,000 shall first be obligated with respect to
19 financing the procurement of defense articles
20 and defense services by Israel under section 23
21 of this Act, except that Israel shall be released
22 from contractual liability to repay the United
23 states Government for the defense articles and
24 defense services so financed."
25 (b) Obligations initially charged against appropriations
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made available for purposes authorized by section 31( a) of
2 the Foreign Military Sales Act after June 30, 1974, and
3 prior to the enactment of the amendment of that Act by
4 paragraph (5) of subsection ( a) of this section in an amount
5 equal to 25 per centum of the principal amount of contrac-
6 tual liability related to guaranties issued pursuant to section
7 24(a) of that Act shall be adjusted to reflect such amend-
8 ment with proper credit to the appropriations made available
9 in the fiscal year 1975 to carry out that Act.
10 POLITICAL PRISONERS
11 SEC. 36. Section 32 of the Foreign Assistance Act of
12 1973 is amended by adding at the end thereof the following
13 new sentence: "Commencing with respect to 1974, the Presi-
14 dent shall submit annually to the Speaker of the House of
15 Representatives and the Committee on Foreign Relations of
16 the Senate a written report setting forth fully the steps he has
17 taken to carry out this section."
18 GOB GAS MEMORIAL INSTITUTE
19 SEC. 37. The first section of the Act entitled "An Act to
20 authorize a permanent annual appropriation for the mainte-
21 mance and operation of the Gorgas Memorial", approved
22 May 7, 1928, as amended (22 U.S.C. 278), is amended by
23 striking out "$500,000" and inserting in lieu thereof
24 "$1,000,000".
4
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INTERNATIONAL COMMISSION OF CONTROL AND
2 SUPERVISION IN VIETNAM
3 SEC. 38. ( a) There are authorized to be appropriated to
4 the Department of State for fiscal year 1975 not to exceed
5 $16,526,000 for payments by the United States to help meet
6 expenses of the International Commission of Control and
7 Supervision in Vietnam. Funds appropriated under this
8 subsection are authorized to be made available for reimburse-
9 ment to the Agency for International Development of
10 amounts expended by the Agency during fiscal year 1975 as
11 interim United States payments to help meet expenses of the
12 International Commission of Control and Supervision.
13 (b) There are authorized to be appropriated to the
14 Department of State not to exceed $11,200,000 for reim-
15 bursement to the Agency for International Development of
16 amounts expended by the Agency for International Develop-
17 ment to help meet expenses of the International Commission
1.8 on Control and Supervision in fiscal year 1974.
(c) Reimbursements received by the Agency for Interna-
20 tional Development under this seetion, may be credited to
21.. applicable appropriations of the Agency and shall be avail-
22 able for the purposes for which such appropriations are
23 authorized to be used during fiscal year 1975.
24 POLICY ON ASSISTANCE TO AFRICA
25 SEC. 39. The President is requested to review he regional
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2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
65
altocation of ecbnomic development assistance ani to increase
Africa's share of the Agency for International Development
loans and grants. Per capita official development assistance
to the developing countries of Africa, including both United
States bilateral assistance and United States contributions to
multilateral lending institutions, should be raised to a level at
least equal to those for Asia and Latin America. A special
effort should be made to provide more assistance to the sixteen
of the world's twenty-five least developed countries that are
in Africa and to the fourteen African nations that are judged
to most seriously affected by rising costs of food and fuel.
The President is requested to make a report ?to Congress
on action taken to provide the developing countries of
Africa with an equitable share of United States economic
assistance at the time that the Agency for International De-
velopment's operational year budget for fiscal year 1975 is
submitted to Congress and again with the submission to Con-
gress of the proposed Agency for International Development
budget for fiscal year 1976.
POLICY ON THE INDEPENDENCE OF ANGOLA, MOZAMBIQUE,
AND GUINEA-BISSAU
SEC. 40. ( a) (1) Congress finds that the Government of
Portugal's recognition of the right to independence of the Afri-
can territories of Angola, Mozambique, and Guinea-Bissau
marks a significant advance toward the goal of self-determina-
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1 lion for all the peoples of Africa, without 'which peace on the
2 continent is not secure.
( 2) Congress finds that progress toward independence for
4 the Portuguese Government and African leaders on the timing
5 and nature of progress toward independence are being con-
ducted with the aim of bringing permanent peace and stability
7 to these countries and of guaranteeing the human rights of all
8 their citizens.
9 ( 3) Congress finds that progress toward independence for
10 the Portuguese African territories will have a significant im-
11 on the international organizations and the community of
12 nations.
13 (4) Congress commends the Portuguese Government's mi-
14 tiatives on these fronts as evidence of a reaffirmation of that
15 Government's support for her obligations under both the United
16 Nations Charter and the North Atlantic Treaty Organization.
17 Therefore, (b) Congress calls upon the President and the
18 Secretary of State ?to take the following actions designed to
19 make clear United States support for a peaceful and orderly
20 transition to independence in the Portuguese African tern-
21 tories.
22 (1) An official statement should be issued of United
23 States support for the independence of Angola, Mozambique,
24 and Guinea-Bissau, and of our desire to have good relations
25 with the future governments of the countries.
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(2 )It should be made clear to the Government of Portu-
, gal that we view the efforts toward a peaceful and just settle-
3 ment of the conflict in the African territories as consistent with
4 Portugal's obligations under the North Atlantic Treaty Or-
5 organization partnership.
(3) The United States should encourage United Nations
7 support for a peaceful transition to independence, negotiated
8 settlement of all differences, and the protection of human
9 rights of all citizens of the three territories.
10 (4) The United States should open a dialog with poten-
11 tial leaders of Angola, Mozambique, and Guinea-Bissau and
12 assure them of our commitment to their genuine political and
13 economic independence.
14 (5) The economic development needs of the three terri-
15 tories will be immense when independence is achieved. There-
16 fore, it is urged that the United States Agency for Interna-
17 tional Development devote immediate attention to assessing
18 the economic situation in Angola, Mozambique, and Guinea-
19 Bissau and be ready to cooperate with the future governments
20 in providing the kind of assistance that will help make their
21 independence viable. In addition, the United States Govern-
22 ment should take the initiative among other donors, both
23 bilateral and multilateral, in seeking significant contribution
24 of development assistance for the three territories.
25 (6) In light of the need of Angola, Mozambique, and
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1 Guinea-Bissau for skilled and educated manpower, a pri-
2 ority consideration should be given to expanding immediately
:3 current United States programs of educational assistance to
4 the territories as a timely and substantive contribution to
5 their independence.
6 (c) Reports should be submitted to the Congress on the
7 implementation of the proposals set forth in subsection (b)
8 and Congress should be kept fully informed on developments in
9 United States policy toward the independence of the Porta-
10 guese African territories.
11 ( d) Since it is in the national 'interest of the United
12 States to maintain ?and strengthen close relations with the
13 independent nations of Africa, the Congress believes the posi-
14 tive initiatives should be undertaken without delay.
15 CONVENTIONAL ARMS TRADE
16 SEC. 41. (a) It is the sense of the Congress that the
17 recent growth in international transfers of conventional arms
18 to developing nations-
19 (1) is a cause for grave concern for the United
20 States and other nations in that in particular areas of
21 the world it increases the danger of potential violence
22 among nations, and diverts scarce world resources from
23 more peaceful uses; and
24 (2) could be controlled progressively through ne-
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1 gotiations and agreements among supplier and recipient
2 nations.
3 (b) Therefore, the President is urged to propose to the
4 Geneva Conference of the Committee on Disarmament that
5 it consider as a high priority agenda item discussions among
6 participating nations of that Conference for the purposes
7 of?
(1) agreeing to workable limitations on conventional
9 arms transfers; and
10 (2) establishing a mechanism through which such
11 limitations could be effectively monitored.
12 (c) The President shall transmit to the Congress not
13 later than six months after the enactment of this Act a report
14 setting forth the steps he has taken to carry out this section.
15 CARIBBEAN DEVELOPMENT BANK
16 SEC. 42. (a) The President is authorized to transmit
17 to the Caribbean Development Bank an instrument stating
18 that thc Commonwealth of Puerto Rico has the authority to
19 conclude an agreement of accession with such bank and to
20 assume rights and obligations pursuant to such agreement.
21 However, such agreement shall be subject to the prior ap-
22 proval of the President.
23 (b) The instrument transmitted by the President to the
24 Caribbean Development Bank under subsection (a) shall
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state that the United States shall not assume any financial
2 or other responsibility for the performance of any obligation
:3 incurred by the Commonwealth of Puerto Rico pursuant to
4 such agreement of accession or pursuant to any other aspect
of its membership or participation in such bank.
(c) Such agreement of accession shall provide that the
7 Commonwealth of Puerto Rico may not receive from the
8 Caribbean Development Bank any funds provided to the bank
9 by the United States.
10 EXPENSES OF UNITED STATES MEMBERSHIP IN UNITED
11 NATIONS EDUCATIONAL, SCIENTIFIC, AND CULTURAL
12 ORGANIZATION
13 SEC. 17. No funds authorized to be appropriated under
14 this or any other law may be made available to the United
15 Nations Educational, Scientific, and Cultural Organization
16 until the Secretary of State certifies that each resolution
17 passed by such Organization not of an educational, scientific,
18 or cultural character has been repealed.
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93D CONGRESS
2D SESSION
Calendar No. 1232
S. 3394
[Report No. 93-1299]
A BILL
To amend the Foreign Assistance Act of 1961,
and for other purposes.
By Mr. SPARKMAN
APRII. 29, 1974
Read twice and referred to the Committee on
Foreign Relations
SEPTEMBER 3, 1974
Reported with an amendment
OCTOBER 2, 1974
Recommitted to the Committee on Foreign Relations
NOVEMBER 27, 1974
Reported with an amendment