FOREIGN ASSISTANCE ACT OF 1971

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP73B00296R000400170002-8
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 33
• Document Creation Date: December 9, 2016
• Document Release Date: September 7, 2000
• Sequence Number: 2
• Publication Date: December 17, 1971
• Content Type: OPEN

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92v CONGRESS HOUSE OF REPRESENTATIVES { REPORT
1st Session No. 92-761
FOREIGN ASSISTANCE ACT OF 1971
Mr. MORGAN, from the committee of conference,
submitted the following
CONFERENCE REPORT
The committee of conference on the disagreeing votes of the two
Houses on the amendments of the House to the bill (S. 2819) to pro-
vide foreign military and related assistance authorizations for fiscal
year 1972, and for other purposes, having met, after full and free
conference, have agreed to recommend and do recommend to their re-
spective Houses as follows :
That the Senate recede from its disagreement to the amendment
of the House to the text of the bill and agree to the same with an
amendment as follows :
In lieu of the matter proposed to be inserted by the House amend-
ment insert the following :
That this Act may be cited as the "Foreign Assistance Act of 1971".
SEC. 2. It is the sense of the Congress that funds to administer
the food-for-peace program should not be reduced as the result of
any reduction in the authorizations provided to carry out the Foreign
Assistance Act of 1961.
SEc. 101. Title I of chapter 2 of part I of the Foreign Assistance
Act of 1961, relating to the Development Loan Fund, is amended as
follows :
(a) In section 9202 (a), relating to authorization-
(1) strike out "and $350,000,000 for the fiscal year 1971" and
insert in lieu thereof "$350,000,000 for the fiscal year 1971,
$250,000,000 for the fiscal year 1972, and $250,000,000 for the
fiscal year 1973"; and
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(2) strike out "and June 30, 1971" and insert in lieu thereof
"June 30, 1.971, June 30, 1972, and June 30, 1973".
(b) In section 203, relating to fiscal provisions, strike out "and for
the fiscal year 1971" and insert in lieu thereof ", for the fiscal year
1971, for the fiscal year 1972, and for the fiscal year 1973".
(c) In section 209, relating to multilateral and regional programs-
(1) strike out subsection (a) and insert in lieu thereof the
following: "(a) The Congress recognizes that the planning and
administration of development assistance by. or under the seon-
sorship of the United Nations, multilateral lending institutions,
and other multilateral organizations may contribute to the e ffi-
cieney and effectiveness of that assistance through participation
of other donors in the development effort, improved coordina-
tion of policies and programs, pooling of knowledge, avoidance of
duplication of facilities and manpower, and greater encourage-
ment of sell- help performance.";
(2) insert at the end thereof the following new subsections :
"(c) Notwithstanding any other provision of law, the President
should reduce the amounts and numbers of loans made by the United
States directly to individual foreign countries with the objective of re-
ducing the total amount of bilateral loans made under this Act so that,
by not later than June 30, 1975, such total amount shall not exceed
$100,000,000.
"(d) In furtherance of the provisions of q'tbseetion (a) of this sec-
tion, any funds appropriated under this part I may be transferred by
the President to the International Development Association, The In-
ternational Bank for Reconstruction and Development, the Interna-
tional Finance Corporation, the Asian. Development Bank or other
multilateral lending institutions and multilateral organizations in
which the United States participates for the purpose of providing
funds to enable any such institution or organization to make loans to
foreign countries."; and
(3) strike out of subsection (b) "REGIONAL PROGRAMS.-".
(d) Section, 205, relating to transfers to international financial
institutions, is repealed.
SEc. 102. Title II of chapter 2 of part I of the Foreign Assistance
Act of 1961, relating to technical cooperation and development grants,
is amended as followvs:
(a) In section 212, relating to authorization, strike out "$183,500,000
for the fiscal year 1970, and $183,500,000 for the fiscal year 1971" and
insert in lieu thereof "$175,000,000 for the fiscal year 1972, and
$175,000,000 for the fiscal year 1973".
(b) In section 214(e), relating to authorization for American schools
and hospitals abroad, strike out "for the fiscal year 1970, $25,900,000,
and for the fiscal year 1971, $12,900,000" and insert in lieu thereof "for
the fiscal year 1972, $30,000,000, and for the fiscal year 1973,
$30,000,000".
(c) At the end of such title II, add the following new section:
"SEc. 220A. SUEZ CANAL.-The President is authorized to furnish
financial assistance, on. such terms and conditions as he may determine,
for assisting in the reopening of the Suez Canal after agreement has
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been reached by the parties involved, which agreement provides for
the use of the Canal by the ships of all nations, including Israel, on a
nondiscriminatory basis. For the purpose of carrying out this section,
there are authorized to be appropriated not to exceed $10,000,000 in
Egyptian pounds now owned by the United States and determined by
the President to be excess to the normal requirements of departments
and agencies of the United States. Amounts appropriated under this
section are authorized to remain available until expended.".
HOUSING GUARANTEES
SEc. 103. Title III of chapter 2 of part I of the Foreign Assistance
Act of 1961, relating to housing guaranties, is amended as follows:
(a) In section 221, strike out "$130,000,000" and insert in lieu
thereof "$205,000,000".
(b) In section 223(i), strike out "June 30, 1972" and insert in lieu
thereof "June 30,1974".
OVERSEAS PRIVATE INVESTMENT CORPORATION
SEc. 104. Title IV of chapter 2 of part I of the Foreign Assistance
Act of 1961, relating to the Overseas Private Investment Corporation,
is amended as follows :
(a) In the first proviso of section 238(c), relating to definitions,
strike out "required by law to be".
(b) At the end of section 239, relating to general provisions and
powers, add the following new subsection:
"(g) Except for the provisions of this title, no other provision of
this or any other law shall be construed to prohibit the operation in
Yugoslavia or Romania of the programs authorized by this title, if
the President determines that the operation of such program in such
country is important to the national interest.".
(c) Section 240(h), relating to agricultural credit and self-help
community development projects, is amended by striking out "June
30,1972" and inserting in lieu thereof "June 30,1973".
ALLIANCE FOR PROGRESS
SEc. 105. Section 252 (a) of title VI of chapter 2 of part I of the
Fore' 'A Assistance Act of 1961, relating to authorization for the Alli-
ance for Progress, is amended-
(1) by striking out "for the fiscal year 1970, $428,250,000, and
for the fiscal year 1971, $428,250,000" and inserting in lieu thereof
"for the Aical year 1972, $295,000,000, and for the fiscal year 1973,
$295,000,000"; and
(2) by striking out "$90,750,000" and inserting in lieu thereof
$88,500,000".
PROGRAMS RELATING TO POPULATION GROWTH
SEc. 106. Section 292 of title X of chapter 2 of part I of the Foreign
Assistance Act of 1961, relating to authorization, is amended to read
as follows:
"SEc. 292. AUTHORIZATION.-Of the funds provided to carry out the
provisions of this part I for each of the fiscal year 1972 and 1973,
$125,000,000 shall be available in each such fiscal year only to carry
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out the purposes of this title, and, notwithstanding any other provi-
sions of this Act, funds used for such purposes may be used on a loan
or grant basis.".
INTERNATIONAL ORGANIZATION AND PROGRAMS
SEC. 107. Section 302 of chapter 3 of part I of the Foreign Assistance
Act of 1961, relating to authorization, is amended as follows:
(a) In subsection (a), strike out "for the fiscal year 1970, $122,620,-
000, and for the fiscal year 1971, $122,620,000" and insert in lieu thereof
"for the fiscal year 1972, $138,000,000 and for the fiscal year 1973,
$138,000,000".
(b) In subsection (b) (2)-
(1) strike out "for use in the fiscal year 1970, $7,530,000, and for
use in the fiscal year 1971, $7,530,000" and insert in lieu thereof
"for use in the fiscal year 1972, $15,000,000, and for use in the fiscal
year 1973, $15,000,000"; and
(2) add at the end thereof the following new sentence: "The
President shall not exercise any special authority granted to him
under section 610(a) or 614 (a) of this Act to transfer any amount
appropriated under this paragraph to, and to consolidate such
amount with:, any funds made available under any other provision
of this Act.".
(e) In subsection (e), strike out "$1,000,000 for the fiscal year 1970
and $1,000,000 for the fiscal year 1971" and insert in lieu thereof
"$1,000,000 for the fiscal year 1972 and $1,000,000 for the fiscal year
1973".
(d) At the end of such section 302, add the following new subsec-
tion:
"(f) There are authorized to be appropriated to the President, in
addition, to other amounts available for such purposes. $1,000,000 for
the fiscal year 1972 and $1,000,000 for the fiscal year 1973, in Egyptian
poundss owned by the United States and determined by the President
to be excess to the requirements of departments and agencies of the
United States, for the purpose of providing technical and vocational
training and other assistance to Arab refugees. Amounts appropriated
under this subsection are authorized to remain available until
expended.".
CONTINGENCY FUND
SEC. 108. Section 451(a) of chapter 5 of part I of the Foreign As-
sistance Act of 1961, relating to the contingency fund, is amended by
striking out "for the fiscal year 1970 not to exceed $15,000,000, and for
the fiscal year 1971 not to exceed $30,000,000" and inserting in lieu
thereof "for the fiscal year 1972 not to exceed $30,000,000, and for
the fiscal year 1973 not to exceed $30,000,000".
INTERNATIONAL NARCOTICS CONTROL AND REFUGEE RELIEF ASSISTANCE
SEC. 109. Part I of the Foreign Assistance Act of 1961 is amended
by adding at the end thereof the following new chapters:
"CHAPTER 8---INTERNATIONAL NARCOTICS CONTROL
"SEC. 481. INTERNATIONAL NARCOTICS CONTROL.-It is the sense of
the Congress that effective international cooperation is necessary to
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put an end to the illicit production, trafficking in, and abuse of danger-
ous drugs. In order to promote such cooperation, the President is
authorized to conclude agreements with' other countries to facilitate
control of the production, processing, transportation, and distribution
of narcotic analgesics, including opium and its derivatives, other nar-
cotic drugs and psychotropics and other controlled substances as de-
fined in the Comprehensive Drug Abuse Prevention and Control Act
of 1970 (Public Law 91-513). Notwithstanding any other provision
of law, the President is authorized to furnish assistance to any country
or international organization, on such terms and conditions as he may
determine, for the control of the production of, processing of, and
traffic in, narcotic and psychotropic drugs. In furnishing such assist-
ance the President may use any of the funds made available to carry
out the provisions of this Act. The President shall suspend economic
and military assistance furnished under this or any other Act, and shall
suspend sales under the Foreign Military Sales Act and under title I
of the Agricultural Trade Development and Assistance Act of 1954,
with respect to any country when the President determines that the
government of such country has failed to take adequate steps to pre-
vent narcotic drugs and other controlled substances (as defined by the
Comprehensive Drug Abuse Prevention and Control Act of 1970)
produced or processed, in whole or in part, in such country, or trans-
ported through such country, from being sold illegally within the
Jurisdiction of such country to United States Government personnel
or their dependents, or from entering the United States unlawfully.
Such suspension shall continue until the President determines that the
government of such country has taken adequate steps to carry out
the purposes of this chapter.
"SEC. 491. REFUGEE RELIEF ASSISTANCE.-There is authorized to
be appropriated to the President for the fiscal year 1972, in addition
to funds otherwise available for such purpose, not to exceed $250,000,-
000, to remain available until expended, for use by the President in
providing assistance for the relief and rehabilitation of refugees from
East Pakistan and for humanitarian relief in East Pakistan. Such
assistance shall be distributed, to the maximum extent practicable,
under the auspices of and by international institutions and relief agen-
cies or United States voluntary agencies.".
SEC. 201. Part II of the Foreign Assistance Act of 1961, relating to
military assistance, is amended as follows:
(a) In section 504(a), relating to authorization, strike out "$350,-
000,000 for the fiscal year 1970, and $350,000,000 for the fiscal year
1971" and insert in lieu thereof "$500,000,000 for the fiscal year 1972".
(b) In section 505(b) (2), relating to conditions of eligibility, strike
out "and" and insert in lieu thereof "or".
(c) Section 505(e), relating to conditions of eligibility, is repealed.
(d) In section 506(a), relating to special authority-
(1) strike out "1970 and the fiscal year 1971" and insert in lieu
thereof "1972"; and
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(2) strike out "each of the fiscal years 1970 and 1971" and insert
in lieu thereof "the fiscal year 1972".
(e) Section 507(a), relating to restrictions on military aid to Latin
America, is amended to read as follows: "(a) Except as otherwise pro-
vided in this section., the value of defense articles furnished by the
United States Government under this Act to Latin American coun-
tries shall not exceed $10,000,000. Not to exceed $25,000,000 in value of
defense articles may be furnished under this part on a cost-sharing
basis to an inter-American military force under the control of the Or-
ganization of American States.".
(f) At the end of chapter 2 of such part II, add the following new
sections :
"SEC. 511. CONSIDERATIONS IN FURNISHING MILITARY ASSIST-
ANCE.-Decisions to furnish military assistance made under this part
shall take into account whether such assistance will-
"(1) contribute to an arms race;
"(2) increase the possibility of outbreak or escalation of con-
flict; or
"(3) prejudice the development of bilateral or multilateral arms
control arrangements.
"SEC. 512. MILITARY ASSISTANCE ADVISORY GROUPS AND MIS-
SIONS.-(a) It is the sense of Congress that the need for large United
States military assistance advisory groups and military aid missions
in foreign countries has diminished substantially during the last few
years. In the words of the Peterson Task Force Report on Interna-
tional Development, `The United States now can reduce its super-
vision and advice to a minimum, thus encouraging progress toward
self-reliance. United States military missions and advisory groups
should be consolidated with other elements in our overseas missions
as soon as possible.'
"(b) In accordance with the provisions o~f subsection (a) of this
section, the total number of United States military personnel assigned
and detailed, as of September 30, 1971, to United States military
assistance advisory groups, military missions, and other organizations
of the United States performing activities similar to such groups and
missions, shall be reduced by at least 15 per centum by September 30,
1972, but every effort should be made to effect an aggregate reduction
of 25 per centum by September 30,1972.
"SEC. 513. MILITARY ASSISTANCE AUTHORIZATIONS FOR THAI-
LAND.-After June 30, 1972, no military assistance shall be furnished
by the United States to Thailand directly or through any other for-
eign country unless that assistance is authorized under this Act or
the Foreign Military Sales Act.
"SEC. 514. SPECIAL FOREIGN COUNTRY ACCOUNTS.-(a) Except as
otherwise provided in this section, no defense article may be given,
and no grant of military ,e may be made, under this Act to a
foreign country unless the country agrees-
"(1) to deposit in a special account established by the United States
Government the following amounts of currency of that country:
"(A) in the case of any excess defense article to be given to
that country, an amount equal to 10 per centum of the fair value
of the article:, as determined by the Secretary of State, at the time
the agreement to give the article to the country is made; and
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"(B) in the case of a grant of military assistance to be made to
that country, an amount equal to 10 per centum of each such
grant; and
"(2) to allow the United States Government to use such amounts
from that special account as may be determined, from time to time, by
the President to be necessary to pay all official costs of the United
States Government payable in the currency of that country, including
all costs relating to the financing of international educational and
cultural exchange activities in which that country participates under
the programs authorized by the Mutual Educational and Cultural Ex-
change Act of 1961.
" (b) The President may waive any amount of currency of a foreign
country required to be deposited under subsection (a) (1) of this sec-
tion if he determines that the United States Government will be able
to pay all of its official costs payable in the currency of that country
enumerated under subsection (a) (2) of this section without the de-
posit of such amount and without having to expend United States
dollars to purchase currency of that country to pay such costs.
"(c) The provisions of this section shall not apply in any case in
which an excess defense article is given, or a grant of military assist-
ance is made-
" (1) to a foreign country under an agreement with that coun-
try which allows the United States Government to operate a mili-
tary or other similar base in that country in exchange for that
article or grant; and
"(2) to South Vietnam, Cambodia, or Laos.
"(d) In no event shall any foreign country be required, under this
section, to make deposits in a special account aggregating more than
$20,000,000 in any one year.".
SEC. 202. (a) At the end of such part II, add the following new
chapter:
"CHAPTER 1,-SECURITY SUPPORTING ASSISTANCE
""SEC. 531. GENERAL AUTHORITY.-The President is authorized to
furnish assistance to friendly countries, organizations, and bodies
eligible to receive assistance under this Act on such terms and con-
ditions as he may determine, in order to support or promote economic
or political stability. The authority of this chapter shall not be used
to furnish assistance to more than twelve countries in any fiscal year.
"SEC. 532. AUTHORIZATION.-There is authorized to be appropriated
to the President to carry out the purposes of this chapter for the fiscal
year 1972 not to exceed $618,000,000, of which not less than $50,000,000
shall be available solely for Israel: Provided, That where commodities
are furnished on a grant basis under this chapter under arrangements
which will result in, the accrual of proceeds to the Government of
Vietnam from the sale thereof, arrangements should be made to assure
that such proceeds will not be budgeted by the Government of Vietnam
for economic assistance projects or programs unless the President or
his representative has given. prior written approval. Amounts appro-
priated under this section are authorized to remain available until
expended. None of the funds authorized by this section shall be made
available to the Government of Vietnam unless, beginning in Janu-
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ary 1971, and quarterly thereafter, the President of the United States
shall determine that the accommodation rate of exchange, and the
rate of exchange for United States Government purchases of piasters
for goods and services, between said Government and the United
States is fair to both countries.
"SEC. 538. UNITED STATES REFUND CLAIMS.-It is the sense of the
Congress that the President should seek the agreement of the Govern-
ment of Vietnam to the establishment and maintenance of a separate
special account of United States dollars, which account shall be avail-
able solely for withdrawals by the United States, at such times and
in such amounts as the President may determine, in satisfaction of
United States dollar refund claims against the Government of Viet-
nam arising out of operations conducted under this Act. Such account
should be established, in an amount not less than $10,000,000 and main-
tained thereafter at a level sufficient to cover United States refund
claims as they arise.".
(b) Chapter 4 of part I of the Foreign Assistance Act of 1961 is
hereby repealed. References to such chapter or any sections thereof
shall hereafter be deemed to be references to chapter 4 of part II of
the Foreign Assistance Act of 1961, as added by subsection (a) of this
section, or to appropriate sections thereof. All references to part I of
the Foreign Assistance Act of 1961 shall hereafter be deemed to be
references also to chapter 4 of part II, and all references to part II of
such Act shall be deemed not to include chapter 4 of such part II.
PART III--GENERAL AND ADMINISTRATIVE
PROVISIONS
SEC. 301. Section 620 of chapter 1 of part III of the Foreign Assist-
ance Act of 1961, relating to prohibitions against furnishing assist-
ance, is amended by adding at the end thereof the following new
subsections:
"(v) No assistance shall be furnished under this Act, and no sales
shall be made under the Foreign Military Sales Act, to Greece. This
restriction may be waived when the President finds that overriding
requirements of the national security of the United States justify
such a waiver and promptly reports such finding to the Congress in
writing, together with his reasons for such fending. Notwithstand-
ing the preceding sentence, in no event shall the aggregate amount of
(1) assistance furnished to Greece under this Act, and (2) sales made
to Greece under the Foreign Military Sales Act, in any fiscal year,
exceed the aggregate amount expended for such assistance and such
sales for the fiscal year 1971.
"(w) (1) All military, economic, or other assistance, all sales of
defense articles and services (whether for cash or by credit, guaranty,
or any other means), all sales of agricultural commodities (whether
for cash, credit, or by other means), and all licenses with respect to
the transportation of arms, ammunitions, and implements of war (in-
cluding technical data relating thereto) to the Government of Paki-
stan under this or any other law shall be suspended on the date of
enactment of this subsection.
"(2) The provisions of this subsection shall cease to apply when
the President reports to the Congress that the Government of Paki-
stan is cooperating fully in allowing the situation in East Pakistan
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to return to reasonable stability and that refugees from East Pakistan
in India have been allowed, to the extent feasible, to return to their
homes and to reclaim their lands and properties.
"(3) Nothing in this section shall apply to the provision of food
and other humanitarian assistance which is coordinated, distributed,
or monitored under international auspices.".
SEc. 302. Section 624 of chapter, of part III of the Foreign Assist-
ance Act of 1961, relating to statutory officers, is amended by adding
at the end thereof the f ollowin9 new subsection:
"(e) In addition to the officers otherwise provided for in this sec-
tion, The President shall appoint, by and with the advice and consent
of the Senate, one officer for the purpose of coordinating security as-
sistance programs.".
SEc. 303. Section 6,37(a) of chapter 2 of part III of the Foreign
Assistance Act of 1961, relating to authorization for administrative
expenses of the agency administering part I, is amended by striking
out "for the fiscal year 1970, $51,125,000, and for the fiscal year 1971,
$51,125,000" and inserting in lieu thereof "for the fiscal year 1972,
$50,000,000, and for the Peal year 1973, $50,000,000".
SEc. 304 (a) (1) Section 650 of the Foreign Assistance Act of 1961,
relating to miscellaneous provisions, is amended to read as follows:
"SEC. 652. LIMITATION UPON EXERCISE OF SPECIAL AUTHORITIES.-
The President shall not exercise any special authority granted to him
under section 506(a) 610(a), or 614(a) o l this Act unless the Presi-
dent, prior to the date he intends to exercise any such authority, noti-
fies the Speaker of the House of Representatives and the Committee
on Foreign Relations of the Senate in writing of each such intended
exercise, the .section of this Act under which such authority is to be ex-
ercised, and the justification for, and the extent of, the exercise of
such authority."
(0) The last sentence of section 506(a) of such Act, relating to spe-
cial authority, is repealed.
(3) The last sentence of section 634(d) of such Act, relating to re-
ports and information, is amended by striking out "610, 614(a)," and
inserting in lieu thereof "610 (b),".
(b) Chapter 3 of part III of such Act is amended by adding at the
end thereof the following new sections :
"SEC. 653. CHANGE IN ALLOCATION OF FOREIGN ASSISTANCE.-
(a) Not later than thirty days after the enactment of any law appro-
priating funds to carry out any provision of this Act (other than sec-
tion 451 or 637) , the President shall notify the Congress of each for
eign country and international organization to which the United
States Government intends to provide any portion of the funds under
such law and of the amount of funds under that law, by category f
assistance, that the United States Government intends to provide o to
each. Notwithstanding any other provision of law, the United States
Government shall not provide to any foreign country or international
organization any funds under that law which exceeds ,by 10 per centum
the amount of military grant assistance or security supporting assist-
ance, as the case may be, which the President notified the Congress
that the United States Government intended to provide that country
or organization under that law, unless the President (1) determines
that it is in the security interests of the United States that such coun-
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try or organization receive funds in excess of the amount included in
such notification for that country or organization, and (2) reports to
Congress, at least ten days prior to the date on which such excess funds
are to be provided to that country or organization, each such deter-
mination, including the name of the country or organization to receive
funds in excess of such per centum, the amount of funds in excess of
that per centum, which are to be provided, and the justification for
providing the additional assistance.
"(b) The provisions of this section shall not apply in the case of
any law making continuing appropriations and may not be waived
under the provisions of section 614 (a) of this Act.
`SEC. 654. PRESIDENTIAL FINDINGS AND DETERMINATIONS.-(a)
In any case in which the President is required to make a report to the
Congress, or to any committee or o ficer of either House of Congress,
concerning any finding or determination under any provision of this
Act, the Foreign Military Sales Act, or the Foreign Assistance and
Related Programs Appropriation Act for each fiscal year, that finding
or determination shall be reduced to writing and signed by the Presi-
dent.
"(b) No action, shall be taken pursuant to any such finding or deter-
mination prior to the date on which that finding or determination has
been reduced to writing and signed by the President.
"(c) Each such finding or determination shall be published in the
Federal Register as soon as practicable after it has been reduced to
writing and signed by the President. In any case in which the Presi-
dent concludes that such publication would be harmful to the national
security of the United States, only a statement that a determination
or finding has been made by the President, including the name and
section of the Act under which it was made, shall be published.
"(d) No committee or officer of either House of Congress shall be
denied any requested information relating to any finding or determi-
nation which the President is required to report to the Congress, or
to any committee or officer of either House of Congress, under any
provision of this Act, the Foreign Military Sales Act, or the Foreign
Assistance and Related Programs Appropriation Act for each fiscal
year, even though such report has not yet been transmitted to the
appropriate committee or o fcer of either House of Congress.
"SEC. 655. LIMITATIONS UPON ASSISTANCE TO OR FOR CAMBODIA.-
(a) Notwithstanding any other provision of law, no funds authorized
to be appropriated by this or any other law may be obligated in any
amount in excess of $341,000,000 for the purpose of carrying out di-
rectly or indirectly any economic or military assistance, or any opera-
tion, project, or program of any kind, or for providing any goods,
supplies, materials, equipment, services, personnel, or advisers in, to,
for, or on behalf of Cambodia during the fiscal year ending June 30,
1972.
"(b) In computing the $341,000,000 limitation on obligation author-
ity under subsection (a) of this section in fiscal year 1972, (1) there
shall be included in the computation the value of any goods, supplies,
materials, or equipment provided to, for, or on behalf of Cambodia in
such fiscal year by gift, donation, loan, lease, or otherwise, and (2)
there shall not be included in the computation the value of any goods,
supplies, materials, or equipment attributable to the operations of the
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Armed Forces of the Republic of Vietnam in Cambodia. For the pur-
pose of this subsection, `value' means the fair market value of any
amnris, supplies, materials, or equipment provided to, for, or on behalf
I Cambodia but in no case less than 331/3 per centum of the amount
the United States paid at the time such goods, supplies, materials, or
equipment were acquired by the United States.
"(c) No funds may be obligated for any of the purposes described
in subsection (a) of this section in, to, for, or on behalf of Cambodia
in any fiscal year beginning after June 30, 1972, unless such funds
have been specifically authorized by law enacted after the date of
enactment of this section. In no case shall funds in any amount in
excess of the amount specifically authorized by law for any fiscal year
be obligated for any such purpose during such fiscal year.
"(d) The provisions of subsections (a) and (c) of this section shall
not apply with respect to the obligation of funds to carry out combat
air operations over Cambodia.
" (e) After the date of enactment of this section, whenever any re-
quest is made to the Congress for the appropriation of funds for use
in, for, or on behalf of Cambodia for any fiscal year, the President
shall furnish a written report to the Congress explaining the purpose
for which such funds are to be used in such fiscal year.
"(f) The President shall submit to the Congress within thirty days
after the end of each quarter of each fiscal year, beginning with the
fiscal year which begins July 1, 1971, a written report showing the
total amount of funds obligated in, for, or on behalf of Cambodia
during the preceding quarter by the United States Government, and
shall include in such report a general breakdown of the total amount
obligated, describing the different purposes for which such funds were
obligated and the total amount obligated for such purpose, except that
in the case of the first two quarters of the fiscal year beginning July 1,
1971, a single report may be submitted for both such quarters and such
report may be computed on the basis of the most accurate estimates
the President is able to make taking into consideration all information
available to him.
"(g) Enactment of this section shall not be construed as a commit-
ment by the United States to Cambodia for its defense.
"SEC. 656. LIMITATIONS ON UNITED STATES PERSONNEL AND
PERSONNEL ASSISTED BY UNITED STATES IN CAMBODIA.-The total
number of civilian officers and employees of executive agencies of
the United States Government who are citizens of the United States
and of members,o f the Armed Forces of the United States (excluding
such members while actually engaged in air operations in or over
Cambodia which originate outside Cambodia) present in Cambodia
at any one time shall not exceed two hundred. The United States shall
not, at any time, pay in whole or in part, directly or indirectly, the
compensation or allowances of more than eighty-five individuals in
Cambodia who are citizens of countries other than Cambodia or the
United States. For purposes of this section, `executive agency of the
United States Government' means any agency, department, board,
wholly or partly owned corporation, instrumentality, commission, or
establishment within the executive branch of the United States Gov-
ernment.
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"SEC. 657. ANNUAL FOREIGN ASSISTANCE REPORT.-(a) In order
that the Congress and the American people may be better and more
currently informed regarding the volume and cost of assistance ex-
tended by the United States Government to foreign countries and
international organizations, and in order that the Congress and the
American people may be better informed regarding the sale of arms
to foreign countries and international organizations by private indus-
try of the United States, not later than December 31 of each year
the President shall transmit to the Congress an annual report, for the
fiscal year ending prior to the fiscal year in which the report is trans-
mitted, showing--
"(1) the aggregate dollar value of all foreign assistance pro-
vided by the United States Government by any means to all
foreign countries and international organizations, and the aggre-
gate dollar value of such assistance by category provided by the
United States Government to each such country and organization,
during that fiscal year;
"(2) the total amounts of foreign currency paid by each for-
eign country or international organization to the United States
Government in such fiscal year, what each payment was made for,
whether any portion of such payment was returned by the United
States Government to the country or organization from which the
payment was obtained or whether any such portion was trans-
ferred by the United States Government to another foreign coun-
try or international organization, and, if so returned or trans-
ferred, the kind of assistance obtained by that country or orga-
nization with those foreign currencies and the dollar value of such
kind of assistance;
"(3) the aggregate dollar value of all arms, ammunitions, and
other implements of war, and the aggregate dollar value of each
category of such arms, ammunitions, and implements of war, ex-
ported under any export license, to all foreign countries and inter-
national organizations, and to each- such country and organiza-
tion, during that fiscal year; and
"(4) such other matters relating to foreign assistance pro-
vided by the United States Government as the President considers
appropriate, including explanations of the information required
under clauses (1)-(3) of this subsection.
"(b) All information contained in any report transmitted under
this section shall be public information. orm.ation. However, in the case of any
item of information to be included in any such report that the Presi-
dent, on an extraordinary basis, determines is clearly detrimental to
the security of the United States, he shall explain in a supplemental re-
port why publication of each specific item would be detrimental to the
security of the United States. A supplement to any report shall be
transmitted to the Congress at the same time that the report is
transmitted.
"(c) If the Congress is not in session at the time a report or supple-
ment is transmitted to the Congress, the Secretary of the Senate and
the Clerk of the House of Representatives shall accept the report or
supplement on behalf of their respective Houses of Congress and pre-
sent the report or supplement to the two Houses immediately upon
their convening.
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"(d) For purposes of this section-
"(1) `foreign assistance' means any tangible or intangible item
provided by the United States Government under this or any
other law to a foreign country or international organization,
including, but not limited to, any training, service, or technical
advice, any item of real, personal, or mixed property, any agri-
cultural commodity, United States dollars, and any currencies
owned by the United States Government of any foreign country;
"(2) `provided by the United States Government' includes, but
is not limited to, foreign assistance provided by means of gift,
loan, sale, credit sale, or guaranty; and
"(3) `value' means value at the time of transfer except that in
no case shall any commodity or article of equipment or material
be considered to have a value less than one-third of the amount
the United States Government paid at the time the commodity
or article was acquired by the United States Government.
"SEC. 658. LIMITATION ON USE OF FUNDS.-(a) Except as otherwise
provided in this section, none of the funds appropriated to carry out
the provisions of this Act or the Foreign Military Sales Act shall be
obligated or expended until the Comptroller General of the United
States certifies to the Congress that all funds previously appropriated
and thereafter impounded during the fiscal year 1971 for programs
and activities administered by or under the direction of the Depart-
ment of Agriculture, the Department of Housing and Urban Develop-
ment, and the Department of Health, Education and Welfare have
been released for obligation and expenditure.
"(b) The provisions of this section shall not apply-
"(1) to funds being withheld in accordance with specific re-
quirements of law; and
"(2) to appropriations obligated or expended prior to April30,
1972.".
(c) (1) Section 644(m) of such Act, relating to definitions, is
amended by striking out-
"(m) `Value' means-"
and inserting in lieu thereof-
"(m) `Value' means, other than in section 657 of this Act-".
(2) Subsection (a) of section 634 of such Act, relating to reports
and information, is repealed.
(3) The provisions of this subsection and section 657 of such Act,
as added by subsection (b) of this Act, shall apply with respect to
each fiscal year commencing on or after July 1, 1971.
PART IV-MISCELLANEOUS PROVISIONS
SEc. 401. The Foreign Military Sales Act is amended as follows:
(a) In section 31(a) of chapter 3, relating to authorization, strike
out " $250,000,000 for each of the fiscal years 1970 and 1971" and insert
in lieu thereof "$400,000,000 for the fiscal year 1972".
(b) In section 31(b) of chapter 3, relating to aggregate ceiling on
foreign military sales credits, strike out "$340,000,000 for each of the
fiscal years 1970 and 1971" and insert in lieu thereof "$550,000,000
for fiscal year 1972, of which amount not less than $300,000,000 shall
be made available to Israel only".
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(c) In section 33(a) of chapter 3, relating to regional ceilings on
foreign military sales, strike out "$75,000,000" and insert in lieu there-
of "$100,000,000".
(d) Subsection (c) of section 33 of chapter 3, relating to regional
ceilings on foreign military sales, is amended to read as follows :
"(c) The limitations of this section may not be waived pursuant
to any authority contained in this or any other Act unless the Presi-
dent finds that overriding requirements of the national security of
the United States justify such a waiver and promptly reports such
finding to the Congress in writing, together with his reasons for such
finding. In any case in which the limitations of this section are waived
under the preceding sentence, the report required under such sen-
tence shall set forth, in detail, the expenditures proposed to be made
in excess of the geographical limitation applicable under this section.
Notwithstanding the foregoing provisions of this subsection, in no
event shall the aggregate of the total amount of military assistance
pursuant to the Foreign Assistance Act of 1961, of cash sales pur-
suant to sections 21 and 22, of credits, or participations in credits,
financed pursuant to section 23 (excluding credits covered by guar-
anties issued pursuant to section (24) ), of the face amount of con-
tracts of guaranty issued pursuant to sections 24 (a) and (b), and of
loans and sales in accordance with section 7307 of title 10, United
States Code, exceed any geographical ceiling applicable under this
section by more than an amount equal to 50 per centum of such
ceiling.".
(e) In section 42(a) of chapter 4, relating to general provisions-
(1) strike out "and" immediately before "(2) "; and
(2) immediately before the period at the end thereof insert the
following: ", and (3) the extent to which. such sale might contrib-
ute to an arms race, or increase the possibility of outbreak or
escalation of conflict, or prejudice the development of bilateral
or multilateral arms control arrangements".
(f) Section !2 of chapter 4, relating to general provisions, is amended
as follows:
(1) In subsection (a), strike out "but consideration shall also be
given" and insert in lieu thereof "but, subject to the provisions of sub-
section (b) of this section, consideration shall also be iven".
(2) Redesignate subsections (b) and (c) as subsections (c) and (d),
respectively, and, immediately after subsection (a), insert the following
new subsection:
" (b) _No credit sale shall be extended under section 23, and no
guarantee shall be issued under section 24, in any case involving co-
production or licensed production outside the United States, of any
defense article of United States origin unless the Secretary of State
shall, in advance of any such transaction, advise the appropriate com-
mittees of the Congress and furnish the Speaker of the House of Rep-
resentatives and the President of the Senate with full information
regarding the proposed transaction, including, but not limited to, a
description of the particular defense article or articles which would be
produced under a license or cc produced outside the United States, the
estimated value of such production or coproduction, and the probable
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impact of the proposed transaction on employment and production
within the United States.".
SEC. 402. Section 8 of the Act of January 12, 1971, entitled "An Act
to amend the Foreign Military Sales Act, and for other purposes"
(84 Stat. 2053), is amended-
(1) by striking out the first and second sentences of subsection
(a) and inserting in lieu thereof the following: "Subject to the
provisions of subsection (b), the value of any excess defense ar-
ticle granted to a foreign country or international organization by
any department, agency, or independent establishment of the
United States Government (other than the Agency for Interna-
tional Development) shall be considered to be an expenditure
made from funds appropriated under the Foreign Assistance Act
of 1961 for military assistance. Unless such department, agency,
or establishment certifies to the Comptroller General of the United
States that the excess defense article it is ordering is not to be
transferred by any means to a foreign country or international
organization, when an order is placed for a defense article whose
stock status is excess at the time ordered, a sum equal to the value
thereof shall (1) be reserved and transferred to a suspense ac-
count, (0) remain in the suspense account until the excess defense
article is either delivered to a foreign country or international or-
ganization or the order therefor is cancelled, and (3) be trans-
ferred from the suspense account to (A) the general fund of the
Treasury upon delivery of such article, or (B) to the military
assistance appropriation for the current fiscal year upon cancel-
lation of the order.";
(2) by striking out, in subsection (b), "$100,000,000" and in-
serting in lieu thereof "$185,000,000"; and
(3) by adding at the end thereof the following new subsection:
"(e) Except for excess defense articles granted under part II of the
Foreign Assistance Act of 1961, the provisions of this section shall not
apply to any excess defense article granted to South Vietnam prior to
July 1, 1972."
SEC. 403. Paragraph (9) of section 5314 of title 5, United States
Code, relating to level III of the Executive Schedule, is amended by
inserting before the period at the end thereof the following: "and an
Under Secretary of State for Coordinating Security Assistance
Programs".
SEC. 104. The first section of the Act of June 28, 1935, entitled "An
Act to authorize participation, by the United States in the Interparlia-
mentary Union" (22 U.S.C. 276), is amended as follows:
(1) Strike out "$53,550" and insert in lieu thereof "$102,000".
(2) Strike out "$26,650" and insert in lieu thereof "$57,000".
(3) Strike out "$26,900" and insert in lieu thereof "$45,000".
SEC. 405. Section 2 of the joint resolution entitled "Joint resolution
to authorize participation by the United States in parliamentary
conferences of the North Atlantic Treaty Organization", approved
July 11, 1956 (22 U.S.C.1928b), is amended as follows:
(1) Strike out "$30,000" and insert in lieu thereof "$50,000".
(2) Strike out "$15,000" each place it appears and insert in lieu
thereof in each such place "$25,000".
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SEC. 406. Part IV of the Foreign Assistance Act of 1969 is amended
as follows :
(1) Strike out the title of such part and insert in lieu thereof the
following :
"PART IV-THE INTER-AMERICAN FOUNDATION ACT".
(2) The caption of section 401 and subsection (a) of such section of
that part are amended to read as follows: "INTER-AMERICAN FoUNDA-
TION.- (a) There is created as an agency of the United States of America
a body corporate to be known as the Inter-American Foundation (here-
inafter in this section referred to as the `Foundation')."
(3) Section 401 of such part is amended by striking out "Institute"
wherever it appears and inserting in lieu thereof "Foundation".
(4) Section 401 (e) (4) of such part is amended to read as follows:
"(4) shall determine and prescribe the manner in which its obli-
gations shall be incurred and its expenses, including expenses for
representation (not to exceed $10,000 in any fiscal year), allowed
and paid;".
(5) Section 401(1) is amended to read as follows:
"(1) (1) The chief executive officer of the Foundation shall be a
President who shall be appointed by the Board of Directors on such
terms as the Board may determine. The president shall receive com-
pensation at the rate provided for level IV of the Executive Schedule
under section 5315 of title 5, United States Code.
"(2) Experts and consultants, or organizations thereof, may be em-
ployed as authorized by section 3109 of title 5, United States Code.".
SEc. 407. (a) It is the purpose of this section to enable the Congress
generally, and the Committee on Foreign Relations of the Senate and
the Committee on Foreign Affairs of the House of Representatives in
particular, to carry out the purposes and intent of the Legislative Re-
organization Acts of 1946 and 1970, with respect to-
(1) the analysis, appraisal, and evaluation of the application,
administration, and execution of the laws relating to the Depart-
ment of State and the United States Information Agency and of
matters relating to the foreign relations of the United States; and
(2) providing periodic auhorizations of appropriations for that
Department and Agency.
(b) Section 15 of the Act entitled "An Act to provide certain basic
authority for the Department of State", approved August 1, 1956 (22
U.S.C. 2680) is amended to read as follows:
SEc. 15. (a) Notwithstanding any other provision of law, no ap-
propriation shall be made to the Department of State under any law
for any fiscal year commencing on or after July 1, 1972, unless previ-
ously authorized by legislation hereafter enacted by the Congress.
"(b) The Department of State shall keep the Committee on Foreign
Relations of the Senate and the Committee on Foreign Affairs of the
House of Representatives fully and currently informed with respect
to all activities and responsibilities within the jurisdiction of these
committees. Any Federal department, agency, or independent estab-
lishment shall furnish any information requested by either such com-
mittee relating to any such activity or responsibility.".
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(c) The last sentence of section 13 of Act (22 U.S.C. 2684) is
repealed.
(d) Section 701 of the United States Information and Educational
Exchange Act of 1948 (22 U.S.C. 1476) is amended to read as follows:
"SEC. 701. Notwithstanding any other provision of law, no appro-
priation shall be made to the Secretary of State, or to any Government
agency authorized to administer the provisions of this Act, under any
law for any fiscal year commencing on or after July 1, 1972, unless
previously authorized by legislation enacted by the Congress after the
date of enactment of the Foreign Assistance Act of 1971.".
SEC. 408. Section 7 (a) of the Special Foreign Assistance Act o l 1971
(84 Stat. 1913) is amended by striking out "Cambodian military
forces" and inserting in lieu thereof "military, paramilitary, police, or
other security or intelligence forces".
SEC. 409. Section 401 (a) of Public Law 89-367, approved March 15,
1966 (80 Stat. 37), as amended, is amended-
(1) by inserting in the second sentence of paragraph (1), after
"to or for the use of the Armed Forces of the United States",
the following: "or of any department, agency, or independent
establishment of the United States"; and
(0) by inserting in the introductory matter preceding clause
(A) of paragraph (N) of such section, after "Armed Forces of
the United States", the following: "or of any department, agency,
or independent establishment of the United States".
SEC. 410. The Congress strongly urges the President to undertake
such negotiations as may be necessary to implement that portion of
the recommendations of the Report of the President's Commission
for the Observance of the Twenty-fifth Anniversary of the United
Nations (known as the "Lodge Commission") which proposes that
the portion of the regular assessed costs to be paid by the United
States to the United Nations be reduced so that the United States is
assessed in each year not more than 05 per centum of such costs assessed
all members of the United Nations for that year.
And the House agree to the same.
That the Senate recede from its disagreement to the amendment
of the House to the title of the bill, and agree to the same.
THOMAS E. MORGAN,
CLEMENT J. ZABLOCKI,
WAYNE L. HAYS,
DANTE B. FASCELL,
W. S. MAILLIARD,
PETER H. B. FRELINGHUYSEN,
WM. S. BROOMFIEIJD,
Managers on the Part of the House.
J. W. FULBRIGHT,
FRANK CIIURCH,
GEORGE D. AIKEN,
JOHN SIIERMAN COOPER,
CLIFFORD P. CASE,
Managers on the Part of the Senate.
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JOINT EXPLANATORY STATEMENT OF TIIE COMMIT-
TEE OF CONFERENCE
The managers on the part of the House and the Senate at the con-
ference on the disagreeing votes of the two Houses on the amendments
of the House to the bill (S. 2819) to provide foreign military and re-
lated assistance authorizations for fiscal year 1972, and for other pur-
poses, submit the following joint statement to the House and the Sen-
ate in explanation of the action agreed upon by the managers and
recommended in the accompanying conference report :
The House amendments struck out all of the Senate bill after the
enacting clause and inserted a substitute text and provided a new title
for the Senate bill, and the Senate disagreed to the House amendments.
The committee of conference recommends that the, Senate recede
from its disagreement to the amendment of the House to the text of the
bill, with an amendment which is a substitute for both the text of the
bill and the House amendment to the text of the bill. The committee of
conference also recommends that the Senate recede from its disagree-
ment to the amendment of the House to the title of the bill.
The differences between the text of the House bill and the substitute
agreed to in conference are noted below, except for clerical corrections,
and minor drafting and clarifying changes.
The Senate passed two foreign aid authorization bills. S. 2819 au-
thorized $1,503,000,000 for grant military assistance, supporting assist-
ance, and foreign military credit sales for fiscal year 1972. S. 2820
authorized $1,144,000,000 plus $11,000,000 in Egyptian pounds for eco-
nomic and humanitarian assistance for fiscal year 1972. The total of
the two Senate bills for fiscal year 1972 was $2,647,000,000 plus
$11,000,000 in Egyptian pounds.
The House. amendment to both bills contained authorizations for
economic, humanitarian, and military assistance for fiscal years 1972
and 1973. For fiscal year 1972 the economic part authorized $1,428,350,-
000 plus $1,000,000 in Egyptian pounds and the military part author-
ized $2,015,000,000 for a total of $3,443,350,000 plus $1,000,000 in
Egyptian pounds. The total for fiscal year 1973 was $3,493,350,000 plus
$1,000,000 in Egyptian pounds.
The committee of conference agreed to a single bill that contains au-
thorizations for economic and humanitarian assistance for fiscal years
1972 and 1973 and for military assistance only for fiscal year 1972. The
total authorization for fiscal year 1972 is $2,752,000,000 plus $11,000,-
000 in Egyptian pounds. This is a reduction from the House figure of
$691,350,000 and an increase over the Senate figure of $105,000,000.
Of the total authorization for fiscal year 1972, $1,518,000,000 is for
military assistance and $1,234,000,000 is for economic and humani-
tarian assistance. For fiscal year 1973 the authorization for economic
ssistance is $984,000,000. The reduction of $250,-
and humanitarian assistance'
000,000 for fiscal year 1973 reflects the fact that the authorization for
Pakistan relief is limited to fiscal year 1972.
(19)
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Except for clarifying, clerical, and necessary conforming changes,
the differences between the two Houses and the adjustments made in
the committee of conference are noted below :
Economic:
Development loans -------
Technical cooperation-----
Alliance for Progress-----
Loans ----------------
Grants__________
I nternational organziations-
Arab refugees (UNRWA)__
Egyptian pounds --_____
Indus Basin_____________
American schools--------
Contingency fund ----____.
Pakistan refugees --------
Population______________
Administrative expenses_
SuezCanal______________
House Conference agreement
Senate, fiscal Fiscal year Fiscal year Fiscal year Fiscal year
year 1972 1972 1973 1972 1973
1$250,000,000 175, 000, 000
225,000,000
(150, 000, 000)
(75, 000, 000)
138,000,000
3 1,000. 000
1,000,000)
15,000,000
15,000,000
30, 000, 000
250, 000, 000
(')
45, 000, 000
7 (10, 000, 000)
2 $400, 000, 000 2 $450, 000, 000
183, 500, 000 183, 500, 000
378, 250, 000 428, 250, 000
(287, 500, 000) (337, 500, 000)
(90, 750, 000) (90, 750, 000)
143, 000, 000 143,000,000
1,000,000 1,000,000
(5, 000000,000
000) (10, 000, 000)
30, 000, 000 30, 000, 000
30, 000, 000 50, 000, 000
100, 000, 000
100, 000, 000 s 125, 000, 000
0 57.600.000 57,600.000
7$250,000,000 7 $250, 000, 000
175,000,000 175,000,000
295, 000, 000 295, 000, 000
(206, 500, 000) (206, 500, 000)
(88, 500, 000) (88, 500, 000)
138,000,000 138,000,000
1000,000 1,000,000
(1:000,000) (1,000,000)
115,000,000 15,000,000
30,000,000 30,000,000
30, 000, 000 30, 000, 000
250,000,000 ___-_______-
Total, economic- _ - - _ _ _ 1,144, 000, 000 1, 428, 350, 000 1, 478, 350, 000 1, 234, 000, 000 984, 000, 000
Military:
Grant military assistance- 452,000,000 705,000,000 7G5,000,000 500,000,000 ---------------
Supporting assistance----566,000,000 800,000,000 800,000,000 618,000,000 _-______-_____
Israel---____--_______ 85,000,000 ('1) _______________ x0(50,000,000)____________
Military credit sales___xx400,000,000 510,000,000 510, 000, 000 001), 000 ---------
Total, military --------- 1,503,000,000 2,015,000,000 2,015,000,000 1,518,000,000 ---------------
' Repeals authority to request appropriations against sums previously authorized but unappropriated in fiscal years
1972 and 1973.
2 Sums previously authorized but unappropriated are available for appropriations.
3 The Senate authorization for international organizations in S. 2820 was $139,000,000 of which $1,000,000 was for
Arab refugees.
4 Earmarks $125,000,000 of funds appropriated for pt. I for this program.
5 Also authorizes the use of additional pt. I funds for this program.
8 Plus the use of $2,775,000 of pt. I funds.
7 In Egyptian pounds.
0 en-ended authorization of an appropriation for use of Egyptian pounds owned by the United States.
The Committee on Foreign Affairs recommended (H. Rept.92-380) that Israel be considered eligible to receive assist-
ance under this program.
1 Earmarked from supporting assistance funds.
11 Credit ceiling net at $550,000,000, of which $300,000,000 is earmarked for Israel.
12 Plus $11,000,000 in Eggptian pounds.
13 Plus $1,000,000 in Egyptian pounds.
PunLiO LA\4' 480 AnDiixISTRATIVF. COSTS
The Senate bill contained a provision which expressed the sense of
Congress that administrative expenses of operating the P.L. 480 Food-
for-Peace program not be reduced in any general reduction of foreign
assistance.
The House amendment did not contain a comparable provision.
The House receded.
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USE OF RECEIPTS FROM DOLLAR LOANS
The Senate bill placed a $200 million limitation on the use, in fiscal
year 1972, of dollar receipts from loans made under the Mutual Se-
curity Act of 1954 and under Part I of the Foreign Assistance Act of
1961.
The House amendment authorized the use, in fiscal years 1972 and
1973, of dollar receipts from loans made under Part I of the Foreign
Assistance Act of 1961 under the Mutual Security Act of 1954 and
under predecessor foreign assistance legislation.
The Senate receded with an amendment striking that portion of the
IIouse language which would have authorized the use of dollar receipts
from loans made under pre-1954 foreign assistance legislation.
(voNCESSIONAL INTEREST RATES
The Senate bill required A.I.D. development loans (other than
Alliance loans) to carry a rate of interest no less than the current inter-
est rate paid by the United States on its outstanding obligations of
comparable maturity.
The house amendment did not contain a comparable provision.
The Senate receded.
INTEREST RATE ON P.L. 480 LOANS
The Senate bill exempted loans made pursuant to Section 106(a) of
the Agricultural Trade Development and Assistance Act of 1954 from
an increase in interest rates proposed elsewhere in the Senate bill for
bilateral loans funded under the Foreign Assistance Act.
The House, amendment did not contain a comparable provision.
The Senate receded.
REPEAL OF CARRYOVER OF UNAPPROPRIATED AUTHORIZATIONS FOR
DEVELOPMENT LOANS
The Senate bill amended Section 202(a) of the Act by striking the
proviso which authorizes appropriation of amounts authorized for
development loans for prior fiscal years during a specified period, but
which remain unappropriated.
The IIouse amendment did not contain a comparable provision.
The Senate receded.
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PROHIBITION AGAINST DEVELOPMENT LOANS FOR SOUTH KOREAN
FISHING INDUSTRY
The Senate bill introduced an amendment to the development loan
authority which would prohibit any loan to South Korea in connec-
tion with construction and operation of commercial fishing vessels,
fish processing or the marketing of fish products.
The House amendment did not contain a comparable provision.
The Senate receded.
The Senate bill required phase-out of the bilateral loan program not
later than June 30, 1975 and removed the 10% limitation on the trans-
fer of economic assistance funds to multilateral organizations.
The House amendment did not contain a comparable provision.
The House receded with an amendment which changed the language
of the Senate bill so as to request the President to reduce the number
and amounts of bilateral loans with the objective of reducing such
loans to the level of $100 million by June 30, 1975. The amendment also
deleted the Senate language which applied bilateral loan criteria to
economic development funds transferred to multilateral organizations.
INDUS BASIN GRANTS AUTHORIZATION
The House amendment authorized appropriation of $5 million for
FY 1972 and $10 million for FY 1973.
The Senate bill authorized appropriation of $15 million for FY
1972 only.
The House receded with an amendment authorizing $15 million for
each of the fiscal years 1972 and 1973.
The Senate bill provided an authorization of $15,000,000, for this
program for fiscal year 1972.
The House amendment authorized $30,000,000 for each of the fiscal
years 1972 and 1973.
The Senate receded.
EXCESS EGYPTIAN POUNDS FOR SUEZ CANAL REOPENING
The House amendment provided an authorization for the appropri-
ation of such amounts of excess Egyptian pounds as are now owned
by the United States for assistance in reopening the Suez Canal.
The Senate bill was the same except that the appropriation of excess
Egyptian pounds authorized is limited to the equivalent of $10,000,000.
The I-louse receded.
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I IOUSING (hT AR ANTY At TIIORITr
The House amendment increased present worldwide housing guar-
anty issuing authority from the present ceiling of $130,000,000 to a
new ceiling of $2 ;0,000,000, an increase of $100,000,000.
The Senate bill increased the ceiling to $180,000,000, an increase of
$50,000,000.
The, Committee of Conference agreed to increase the ceiling to
$205,000,000, an increase of $75,000,000.
EXEMPTION FOR OPIC PROGRAMS
The Senate bill added a provision which would except OPIC pro-
grams from prohibitions against assistance contained in the Foreign
Assistance Act or any other law applying to any country whenever
the President determnines that the operation of the OPIC program
in such country is important to the national interest.
The House amendment did not contain a comparable provision.
The Committee of Conference agreed that the new authority pro-
vided in the proposed bill will be limited to authorize OPIC opera-
tions in Yugoslavia and Rumania.
CIIANGF. IN DEFINITION OF FLIGIBILE INVESTOR FOR OPIC PROGRAMS
The Senate bill changed the definition of "eligible. investor" to
delete, the provision that the allowable less-than-5~/o foreign owner-
ship of a 11.X.-owned foreign corporation must be required by law in
order for such corporation to be eligible for OPIC programs.
The House amendment did not contain a comparable provision.
The House receded.
SEPARATE AI'TIIORIZATION FOR POPULATION PROGRAMS
The Senate bill earmarked a total of $125 million from any of the
economic assistance funds contained in Part I of the Foreign Assist-
ance Act for FY 1972.
The House amendment authorized as a separate line item appropri-
ation of $100 million in FY 1972 and $125 million in FY 1973.
The I Louse receded with an ame ndmnent which makes the earmarking
authority apply to each of the fiscal years 1972 and 1973
INTERNATIONAL NARCOTICS CONTROL
The Senate bill authorized the President to furnish assistance to
any foreign country in order to encourage and enable that country
to control or eliminate the production, processing or distribution of
drugs within or across its boundaries; earmarked for drug control
assistance $25,000,000 annually from funds provided under the
Foreign Assistance Act of 1961, as amended; required an annual
Presidential determination before furnishing any assistance to any
country of whether that country has taken appropriate measures to
control the illicit drug trade; provided for the cessation of all
assistance to any country determined not to have taken appropriate
measures and the seeking of international economic sanctions against
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such country; and provided Presidential waiver authority based on a
finding of overriding national interest with a requirement for full
reporting to the Congress on determinations and waivers.
The House amendment authorized the President to conclude drug
control agreements with other countries and to furnish assistance to
any country or international organization for drug control purposes;
provided for the use of any of the funds made. available under the
Foreign Assistance Act of 1961, as amended, for drug control assist-
ance; and required the President to suspend assistance whenever he
determines that a country has failed to take appropriate steps to
prevent the illicit drug trade.
The Senate receded.
REQUIREMENT FOR PL-480 SECTION 104(c) AGREEMENTS
The Senate bill eliminated the requirement currently contained in
section 505(e) of the Foreign Assistance Act of 1961, as amended,
that military assistance recipients enter into agreements permitting
the use for security assistance purposes of foreign currencies accruing
to the U.S. from PL 480 sales.
The House amendment contained no comparable provision.
The House receded.
MILITARY ASSISTANCE AUTHORIZATION
The Senate bill authorized military assistance of $452 million for
fiscal year 1972.
The House amendment, provided an authorization of $705 million
for each of the fiscal years 1972 and 1973.
The Committee of Conference agreed to a $500 million authoriza-
tion for fiscal year 1972 only.
MAP TRAINING RESTRICTION
The House amendment repealed Section 510 of the Foreign As-
sistance Act, which limits the number of foreign military students
to be trained in the United States in any fiscal year to the number
of foreign students brought to the United States under the Mutual
Educational and Cultural Exchange Act of 1961 in the immediately
preceding fiscal year.
The Senate bill contained no comparable provision.
The House receded. The Committee of Conference agreed that the
possibility of changing this limitation to some basis such as a man-
month ratio rather than the present man-for-man basis should be
studied.
MILITARY ASSISTANCE FOR LATIN AMERICAN COUNTRIES AND
ORGANIZATION OF AMERICAN STATES
The Senate bill amends section 507(a) of the Foreign Assistance
Act of 1961, as amended, by establishing a ceiling of $10 million for
the furnishing of defense articles on a bilateral basis to Latin Ameri-
can countries, and $25 million for defense articles furnished on a cost-
sharing basis to an inter-American military force under the control
of the Organization of American States.
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The House amendment did not contain a comparable provision.
The House receded.
25 PERCENT REDUCTION IN PERSONNEL ASSIGNED TO MILITARY
ASSISTANCE ADVISORY GROUPS AND MISSIONS
The Senate bill contained a provision which would require at least
a 25?Jo reduction in the personnel to United States military assistance
advisory groups, military missions and other U.S. organizations per-
forming similar activities by September 30, 1972.
The House amendment did not contain a comparable provision.
The House accepted the Senate provision with an amendment re-
ducing the mandatory reductions to 15 percent and urging that every
effort be made to meet the 25 percent goal.
CONSIDERATIONS IN FURNISHING MILITARY ASSISTANCE
The House amendment contained a provision requiring that deci-
sions to furnish military assistance take into account whether such
assistance will: (1) contribute to an arms race, (2) increase the possi-
bility of outbreak or escalation of conflict or (3) prejudice the devel-
opment of bilateral or multilateral arms control arrangements.
The Senate bill contained no comparable provision.
The Senate receded.
LIMI'IATIOSS OF AVAILABILITY OF FUNDS FOR MILITARY OPERATIONS
The Senate bill contained a provision which prohibited the provi-
sion of funds for the purpose of financing any military operations by
foreign forces in Laos, North Vietnam, or Thailand unless Congress
has specifically authorized or specifically authorizes the making of
funds available for such purpose and designates the area where mili-
tary operations financed by such funds may be undertaken.
The House amendment did not contain a comparable provision.
The Senate receded.
MILITARY ASSISTANCE AUTHORIZATION FOR THAILAND
The Senate bill contained a provision which would require the trans-
fer of authorizations for military assistance programs for Thailand
from the Department of Defense to the Foreign Assistance Act of
1961, as amended.
The House amendment did not contain a comparable provision.
The House accepted the Senate provisions with the understanding
that assistance programmed for Thailand prior to the date specified in
Section 513 and which is in the "pipeline" at that time may be pro-
vided regardless of when the Defense articles are actually delivered
or the Defense services actually rendered.
NEW SECTION 514 ON "SPECIAL FOREIGN COUNTRY ACCOUNTS"
The Senate bill contained a provision which required the establish-
ment of special foreign country accounts, in which any government
receiving grant military assistance would deposit an amount equal to
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25% of the value of such assistance and allow the United States Gov-
ernment to use such amounts to pay all official costs of the United
States Government payable in the currency of that country, includ-
ing all costs relating to the financing of international and educational
cultural exchange programs authorized by existing legislation. This
provision would not apply if the President determined that the U.S.
was able to pay all such costs without the deposit of such currency
and without having to expend U.S. dollars to purchase such cur-
rency. It would also not apply in any case in which military assist-
ance is given to a foreign country under an agreement which allows
the United States Government to operate a military or other similar
base in that country in exchange for such assistance. The funds de-
posited in such special accounts would be available for expenditure
without additional appropriations.
The House amendment did not contain a comparable provision.
The House accepted the Senate provision with an amendment which
reduced the percentage amount required to be deposited to 10 per-
cent and specifically excluded from the requirement military assist-
ance provided to South Vietnam, Cambodia and Laos; and required
deposits by South Korea to be made only for military assistance
provided under the authority of the Foreign Assistance Act of 1961,
as amended.
TRANSFER OF SUPPORTING ASSISTANCE TO PART II OF THE FOREIGN
ASSISTANCE ACT
The House amendment contained a provision which transferred
supporting assistance from Part I, economic assistance, to Part II,
military assistance, and renamed the chapter "Security Supporting
Assistance."
The Senate bill contained no comparable provision.
The Senate receded.
SUPPORTING ASSISTANCE AUTHORIZATION
The House amendment authorized the appropriation of $800 mil-
lion for Security Supporting Assistance for each of the fiscal years
1972 and 1973.
The Senate bill authorized the appropriation of $566 million for
Supporting Assistance, and provides an additional separate author-
ization of $85 million for Israel, for FY 1972.
The Committee of Conference agreed to an authorization of $618
million, $50 million of which was earmarked to be available for Israel
only.
PROPOSED CHANGES TO SECTIoN 620(e)
The Senate bill required suspension of assistance to a country which
seizes property in it manner heretofore prescribed by the Hickenlooper
amendment immediately upon such seizure and would permit resump-
tion of assistance only when the President is satisfied that such country
has "discharged its obligations under international law ... including
speedy compensation."
The House amendment did not contain a comparable provision.
The Senate receded.
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PROHIBITION ON All) TO CoUNTRIFis FAILING To SUPPORT PRISONER
OF WAR CONVENTION
The Senate bill added a new subsection (v) to section 620 of the
Foreign Assistance Act prohibiting assistance to any country which
the President determines has failed to support actively the provisions
of the 1949 Geneva Convention Relative to the Treatment of Prisoners
of War.
The House amendment did not contain a comparable provision.
The Senate receded.
PROHIBITION ON ASSISTANCE TO GREECE
The House amendment added a new subsection (v) to Section 620
of the Foreign Assistance Act directing that no assistance be fur-
nished under the Foreign Assistance Act, and no sales be made under
the Foreign Military Sales Act, to Greece until the President finds
that overriding requirements of the national security of the United
States justify a waiver of this prohibition and promptly reports such
finding to the Congress in writing with reasons for such finding. The
House amendment further provided that in no event shall the aggre-
gate amount of assistance and sales made to Greece in any fiscal year
exceed the aggregate amount expended for such assistance and sales
for the fiscal year 1971.
The Senate bill did not contain a comparable provision.
The Senate receded.
SUSPENSION OF ASSISTANCE TO PAKISTAN
The Senate bill included a provision suspending all assistance to
Pakistan relating to military services, all licenses with respect to the
transportation of arms, ammunitions, and implements of war, as well
as to economic assistance, other military assistance, and sales of agri-
cultural commodities. The provision of humanitarian assistance and
related services was not affected.
The House amendment applied a ban similar to that of the Senate
bill, except for sales of defense services and military-related licenses.
The House receded.
COORDINATOR FOR SECURITY ASSISTANCE
The House amendment provides for a Security Assistance Coordi-
nator at Executive Level III in the Department of State.
The Senate bill contains no comparable provision.
The Senate receded.
USE OF PART I FUNDS FOR STATE DEPARTMENT ADMINISTRATIVE COSTS
RELATED To FOREIGN AID
The House amendment added to the Foreign Assistance Act a new
subsection 637(c), which authorizes the use of up to $2,755,000 in pro-
gram funds for Administrative Expenses-including $155,000 for
State Department expenses-for each of the fiscal years 1972 and
1973, to cover the cost of the January 1971 Federal pay raise during
those fiscal years.
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The Senate bill contained no comparable provision.
The House receded.
CARRYOVER OF UNAPPROPRIATED FY 1972 AUTHORIZATION
The House amendment provided that amounts authorized but not
appropriated for FY 1972 may be carried over and appropriated in
FY 1973.
The Senate bill did not contain a comparable provision.
The House receded.
LIMITATIONS h Pox EXERCISE OF SPECIAL AUTHORITIES
The Senate bill contained a provision which would prevent the
President front exercising the special authorities granted him under
section 506 (a), 610 (a) or 614(a) of the Foreign Assistance Act of 1961,
as amended, unless he gives the Congress ten days notice prior to the
date he intends to exercise these authorities.
The House amendment did not contain a comparable provision.
The House receded. with an amendment which struck out the ten days
but retained the requirement for advance notice. It was the under-
standing of the Committee of Conference that, while not specifying
the number of days, the advance notice should not just be immediately
contemporaneous with the use of these authorities.
COUNTRY -BY-COUNTRY ALLOCATION S
The Senate bill contained a provision which would require the
President within thirty days after foreign assistance funds have been
appropriated to notify Congress of the amount and category of as-
sistance which will be provided to every foreign country and interna-
tional organization. Thereafter, the President would be restricted from
increasing by more than ten percent the amount of assistance to any
country in any category set forth in such notification unless he should
find the increase vital to the national security and reported his decision
to Congress at least ten days in advance of providing the funds. The
provision would also prevent the use of Section 614(a) waiver author-
ity to avoid the requirements of the section.
The House amendment contained no comparable provision.
The House receded with an amendment which made the transfer
provision applicable only to military and related security assistance
and allowed the requirements to be waived when it was "in the security
interests" of the U.S. rather than "vital" to those interests.
The Senate bill contained a provision which provided that no action
could be taken on any Presidential finding or determination until such
time as that finding or determination has been reduced to writing
and signed by the, President.
The House version contained no comparable provision.
The House receded.
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LIMITATIONS ON ASSISTANCE TO CAMBODIA
The Senate bill contained a provision which limited expenditure to,
in, or for Cambodia to $341 million for fiscal year 1972 and imposed
a ceiling of 200 U.S. personnel and 50 third country nationals that
could be present at any one time in Cambodia.
The House amendment contained no comparable provisions.
The House accepted the Senate provisions with amendments which
specifically excluded from the computation related to the ceiling for
fiscal year 1972 the obligation or expenditure of funds attributable
to the operation of the Armed Forces of the Republic of Vietnam in
Cambodia and raised to 85 the ceiling on third country nationals that
are permitted in Cambodia at any one time.
The Committee of Conference was in full agreement that additional
congressional controls over U.S.-financed operations in Cambodia
should be exercised. Therefore, it is intended that U.S. expenditures
in, to, or in behalf of Cambodia in the future will continue to be sub-
jected to limitations and ceilings. It is expected that for fiscal year
1973 and future years the Administration will provide Congress with
a full and accurate estimate of the projected expenditures for all U.S.-
financed operations in Cambodia, including the U.S.-paid portion of
the cost of South Vietnamese military operations so that future
authorizations and ceilings may be intelligently imposed.
AMENDMENTS TO SECTION 33(A) RELATING TO LATIN AMERICAN
REGIONAL CEILINGS
The Senate bill established a $100 million annual ceiling on military
assistance and sales to Latin America. It repealed the President's
authority to waive the regional ceilings established by section 33 of
the Foreign Military Sales Oct. It also eliminates the President's
authority to waive regional ceilings.
The House amendment establishes a ceiling of $150 million on such
sales and assistance and amended the President's waiver authority so
that regional ceilings may be exceeded by not more than 50,70.
The Committee of Conference agreed to accept the Senate ceiling
of $100 million and the House waiver authority allowing an amount
up to 50 percent of the approved ceiling when overriding requirements
of the national security exist.
FOREIGN MILITARY CREDIT SALES
The Senate bill contained a provision which would authorize $400
million in new obligational authority for military credit sales for FY
1972 and would set the ceiling on military credits at $550 million for
FY 1972, of which $300 million was to be available only for Israel.
The House amendment authorized $510 million for purposes of
the Foreign Military Sales Act in each of the fiscal years 1972 and
1973. It also increased the aggregate ceiling on military credits from
$340 million to $582 million for each of the fiscal years 1972 and 1973.
The House, receded.
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EXTENSION OF PERIOD FOR REPAYMENT OF FOREIGN MILITARY
CREDIT SALES
The House amendment increased the maximum period of military
credits from 10 to 20 years.
The Senate bill contained no comparable provision.
The House receded.
The Senate bill contained provisions which : provided that excess
defense articles furnished by any U.S. agency (other than the Agency
for International Development) would be considered as having been
furnished under the Foreign Assistance Act of 1961 for military
assistance ; established a ceiling of $150 million on the value of such
excess defense articles ; and exempted from the ceiling excess defense
articles granted to South Vietnam prior to July 1, 1972, under author-
ity of laws other than Part II, military assistance, of the Foreign
Assistance Act of 1961.
The House amendment established only a $220 million ceiling on
the value of excess defense articles that could be furnished during
fiscal year 1972.
The House accepted the Senate provisions with an amendment
which provided for a ceiling of $185 million.
CONSIDERATIONS FOR FOREIGN MILITARY CREDIT SALES
The House amendment contained a provision requiring that deci-
sions to provide foreign military credit sales take into account whether
such assistance will: (1) contribute to an arms race, (2) increase the
possibility of outbreak or escalation of conflict or (3) prejudice the
development of bilateral or multilateral arms control arrangements.
The Senate bill contained no comparable provision.
The Senate receded.
REPORTING REQUIREMENTS FOR LICENSED CO-PRODUCTION
The House amendment contained a provision which required the
Secretary of State to report in advance to the House and Senate pro-
posed transactions relating to defense articles which would be co-
produced or licensed outside the United States.
The Senate bill contained no comparable provision.
The Senate receded.
The House amendment amends Section 5314 of Title 5, USC
(Executive Schedule) to provide for an Under Secretary of State for
Coordinating Security Assistance Programs at level III.
The Senate bill has no comparable provisions.
The Senate receded.
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AUTIIORIZATION FOR U.S. PARTICIPATION IN TIIE INTERPARLIAMENTARY
UNION
The House amendment increased the authorization for annual ap-
propriations from $53,550 to $83,000-$38,000 for the U.S. contribu-
tion to the Interparliamentary Union and $45,000 to cover expenses
of the American group of the Interparliamentar Union.
The Senate bill authorized appropriation of 102,000-$57,000 as a
contribution to the Union and $45,000 for the expenses of the Amer-
ican group.
The House receded.
AUTHORIZATION FOR U.S. PARTICIPATION IN THE
IN TERPARLIAMENTARY CONFERENCES OF NATO
The House amendment increased the authorization for annual ap-
propriations for U.S. participation in parliamentary conferences of
the North Atlantic Treaty Organization from $30,000 to $50,000, there-
by increasing the amount available for the House and Senate from
$15,000 to $25,000 each.
The Senate bill did not contain a comparable provision.
The Senate receded.
USE OF FOREIGN CURRENCIES BY CONGRESSIONAL COMMITTEES
The Senate bill amended Section 502 (b) of the Mutual Security Act
of 1954, effective March 1, 1972, by increasing U.S.-owned excess for-
eign currency normally made available to members of Congressional
committees for foreign currency expenses incurred in carrying out the
duties of the committee. It would eliminate the requirement for a full,
itemized report to the House Administration and Senate Appropria-
tions Committees of expenses thus incurred and for the publication of
such reports.
The House amendment did not contain a comparable provision
The Senate receded.
ANNUAL FOREIGN ASSISTANCE REPORT
The Senate bill added a new Section 653 to the Foreign Assistance
Act requiring an annual report to the Congress within six months of
the end of each fiscal year, showing (1) the value of all foreign assist-
ance provided during the fiscal year, in total and by category to each
country or international organization; (2) the amount and reason for
each payment of foreign currency to the United States during the fiscal
year by each country and international organization, whether any por-
tion was returned by the United States and, if so, how much and used
for what purpose; (3) the value of all military equipment exported
under license, in total and to each country or international organiza-
tion; and (4) other matters pertaining to U.S. foreign aid programs.
All the information is to be unclassified except on an extraordinary
finding of clear detriment to U.S. security.
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Foreign assistance is defined as anything provided by the U.S. Gov-
ernment by gift, loan, sale, credit sale, or guaranty to a foreign country
or international organization, including any training, service, advice,
property, agricultural commodity, dollars or foreign currencies. Value
is to be determined as of the time of transfer, but may not be less than
one-third of acquisition cost.
The House amendment did not contain a comparable provision.
The House receded.
LIMITATION ON USE OF FUNDS-IMPOUNDED FUNDS
The Senate bill included a provision which would prohibit the
obligation or expenditure of funds made available under the FAA
and the Foreign Military Sales Act until the Comptroller General
certifies to the Congress that previously appropriated FY 1971 funds
for various domestic development activities have been released for
obligation and expenditure. The provision would not apply to funds
withheld in accordance with legal requirements or to funds obligated
or expended prior to January 1, 1972.
The House amendment did not contain a comparable provision.
The House receded with an amendment which limits the release
of funds requirement to programs administered by the Department
of Agriculture, the Department of Housing and Urban Development
and the Department of Health, Education and Welfare. The amend-
ment also changes the release deadline from January 1, 1972 to April
30, 1972.
ANNUAL AIJTIIORIZATIONS FOR STATE DEPARTMENT AND USIA
The Senate bill contained a provision requiring authorization for
any subsequent appropriation of funds for the Department of State
and the United States Information Agency, and repealed the authori-
zation for the Department of State working capital fund, with the
objective of putting these authorizations on an annual basis. The
provision also required the State Department to keep the Senate
Foreign Relations Committee and the House Foreign Affairs Com-
mittee "fully and currently informed with respect to all activities and
responsibilities within the jurisdiction of these committees of all de-
partments, agencies, and independent establishments of the United
States Government conducted outside the United States or its terri-
tories or possessions." It also required that any such department,
agency or independent establishment furnish any information re-
quested by either committee within its jurisdiction.
The House amendment did not contain a comparable provision.
The House receded with an amendment which substituted
"periodic" for "annual" authorizations, deleted the reference to the
activities of "all departments, agencies. and independent establish-
ments of the United States Government conducted outside the United
States or its territories or possessions" but retained the language of
the Senate bill requiring the Department of State to keep the Com-
mittee on Foreign Relations and the Committee on Foreign Affairs
fully and currently informed "with respect to all. activities and re-
sponsibilities within the jurisdiction of these committees."
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TERMINATION OF U.S. MILITARY OPERATIONS IN INDOCHINA
The Senate bill contained a provision which would declare it to be
the policy of the United States to terminate military operations in
Indochina and withdraw all U.S. military forces no later than six
months after the date of enactment, subject to the release of American
POWs held by the Government of North Vietnam and its allies. The
provision would also urge and request the President to implement this
policy by establishing a final date for withdrawal, contingent upon
POW release, but not later than six months after enactment. The
President would also be requested to negotiate an immediate all Indo-
china cease-fire, and to negotiate an agreement with North Vietnam
for phased withdrawal of U.S. forces in exchange for phased releases
of POWs.
The House amendment contained no comparable provision.
The Senate receded.
LIMITATIONS O.\' UNITED STATES ACTIVITIES IN CAMBODIA
The Senate bill amended section 7(a) of the Special Foreign Assist-
ance Act of 1971 to prohibit the provision of U.S. advisors to or for
Cambodian military, paramilitary, police or other security or intelli-
gence forces in Cambodia.
The House amendment contained no comparable provision.
The House receded.
RESTRICTION RELATING TO FOREIGN TROOPS AND DEFENSE ARTICLES
The Senate bill contained provisions which (1) expanded current
prohibitions against the payment. of allowance to free world forces in
Vietnam greater than amounts paid Americans to include any U.S.
agency, not just the Defense Department, and (2) expanded the re-
quirement for agreements concerning the use and disposition of U.S.
furnished defense articles to cover items furnished by all U.S. agencies.
The House amendment did not contain a comparable amendment.
The House receded.
REDUCTION IN U.S. ASSESSMENT RATE PAID TO UN
The Senate bill urged the President to implement that portion of
the recommendations in the Lodge Commission Report which pro-
poses that the U.S. assessed contribution to the regular budget of the
United Nations be reduced to no more than 25% of the cost assessed
to all members of the organization for any single budget year.
The House amendment did not contain a comparable provision.
The House receded.
ANNUAL AUTHORIZATIONS FOR ALI, CONTRIBUTIONS TO THE UNITED
NATIONS
The Senate bill terminated the continuing authority provided in
the UN Participation Act of 1945 for the appropriation of funds for
U.S. assessed contributions to the UN. It also provided that no appro-
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priation shall be made for the payment of any amount to any activity
of the United Nations, "unless such payment has been previously au-
thorized by legislation hereinafter enacted by the Congress."
The House amendment did not contain a comparable provision.
The Senate receded.
THOMAS E. -XIORGAN,
CLEMENT J. ZABLOCKI,
WAYNE L. HAYS,
1)ANTE B. FASCELL,
W. S. MAILLIARD,
PETER H. B. FRELINGIIUYSEN,
WM. S. BROOMFIELD,
Managers on the Part of the House.
J. W. FULBRIGHT,
FRANK CHURCH,
(xEORGE D. AIKEN,
JOHN SHERMAN COOPER,
CLIFFORD P. CASE,
Managers on the Part of the Senate.
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