SUPPORT FOR ECONOMIC AND DEMOCRATIC DEVELOPMENT IN THE INDEPENDENT STATES.

SEC. 201. SUPPORT FOR ECONOMIC AND DEMOCRATIC DEVELOPMENT IN THE INDEPENDENT STATES. Part I of the Foreign Assistance Act of 1961 is amended by adding after chapter 10 the following: “CHAPTER 11— SUPPORT FOR THE ECONOMIC AND DEMOCRATIC DEVELOPMENT OF THE INDEPENDENT STATES OF THE FORMER SOVIET UNION “SEC. 498. ASSISTANCE FOR THE INDEPENDENT STATES. “The President is authorized to provide assistance to the independent states of the former Soviet Union under this chapter for the following activities: “(1) Urgent humanitarian needs.— Meeting urgent humanitarian needs (including those arising from the health effects of exposure to radiation in the Chernobyl region), in particular— 106 STAT. 3325 “(A) meeting needs for medicine, medical supplies and equipment, and food, including the nutritional needs of infants such as processed baby food; and “(B) continuing efforts to rebuild from the earthquake in Armenia. “(2) Democracy.— Establishing a democratic and free society by fostering— “(A) political, social, and economic pluralism; “(B) respect for internationally recognized human rights and the rule of law; “(C) the development of institutions of democratic governance, including electoral and legislative processes; “(D) the institution and improvement of public administration at the national, intergovernmental, regional, and local level; “(E) the development of a free and independent media; “(F) the development of effective control by elected civilian officials over, and the development of a nonpolitical officer corps in, the military and security forces; and “(G) strengthened administration of justice through programs and activities carried out in accordance with section 498B(e). “(3) Free market systems.— Creating and developing private enterprise and free market systems based on the principle of private ownership of property, including— “(A) the development of private cooperatives, credit unions, and labor unions; “(B) the improvement in the collection and analysis of statistical information; “(C) the reform and restructuring of banking and financial systems; and “(D) the protection of intellectual property. “(4) Trade and investment.—Creating conditions that promote trade and investment, and encouraging participation of the United States private sector in the development of the private sector in the independent states of the former Soviet Union. “(5) Food distribution and production.— Promoting market-based mechanisms for the distribution of the inputs necessary to agricultural production and for the handling, marketing, storage, and processing of agricultural commodities; encouraging policies that provide incentives for agricultural production; and creating institutions that provide technical and financial support for the agricultural sector. “(6) Health and human services.—Promoting programs to strengthen and build institutions that provide quality health care and voluntary family planning services, housing, and other services and policies that are components of a social safety net, particularly for infants, children, and people with disabilities. “(7) Education and educational television.— Promoting broad-based educational reform at all levels, in particular— “(A) by assisting the development of curricula and by making available textbooks, other educational materials, and appropriate telecommunications technologies for the delivery of educational and instructional programming; and 106 STAT. 3326 “(B) by assisting the development of the skills necessary to produce educational television programs aimed at promoting basic skills and the human values associated with a democratic society and a free market economy. “(8) Energy efficiency and production.— Promoting market-based pricing policies and the transfer of technologies that reduce energy wastage and harmful emissions; supporting developmentally sound capital energy projects that utilize United States advanced coal technologies; and promoting efficient production, use, and transportation of oil, gas, coal, and other sources of energy. “(9) Civilian nuclear reactor safety.— Implementing— “(A) a program of short-term safety upgrade of civilian nuclear power plants, including the training of power plant personnel, implementation of improved procedures for nuclear power plant operation, the development of effective and independent regulatory authorities, and cost-effective hardware upgrades; and “(B) a program to retire those civilian nuclear power plants whose capacity could be more cost-effectively replaced through energy efficiency. “(10) Environment.— Enhancing the human and natural environment and conserving environmental resources, including through— “(A) facilitation of the adoption of environmentally sound policies and technologies, environmental restoration, and sustainable use of natural resources; “(B) promotion of the provision of environmental technology, education, and training by United States businesses, not-for-profit organizations, and institutions of higher education; and “(C) promotion of cooperative research efforts to validate and improve environmental monitoring of protracted radiation exposure. “(11) Transportation and telecommunications.— Improving transportation and telecommunications infrastructure and management, including intermodal transportation systems to ensure the safe and efficient movement of people, products, and materials. “(12) Drug education, interdiction, and eradication.— Promoting drug education, interdiction, and eradication programs. “(13) Migration.— Protecting and caring for refugees, displaced persons, and other migrants; addressing the root causes of migration; and promoting the development of appropriate immigration and emigration laws and procedures. “SEC. 498A. CRITERIA FOR ASSISTANCE TO GOVERNMENTS OF THE INDEPENDENT STATES. “(a) In General.— In providing assistance under this chapter for the government of any independent state of the former Soviet Union, the President shall take into account not only relative need but also the extent to which that independent state is acting to— “(1) make significant progress toward, and is committed to the comprehensive implementation of, a democratic system based on principles of the rule of law, individual freedoms,106 STAT. 3327 and representative government determined by free and fair elections; “(2) make significant progress in, and is committed to the comprehensive implementation of, economic reform based on market principles, private ownership, and integration into the world economy, including implementation of the legal and policy frameworks necessary for such reform (including protection of intellectual property and respect for contracts); “(3) respect internationally recognized human rights, including the rights of minorities and the rights to freedom of religion and emigration; “(4) respect international law and obligations and adhere to the Helsinki Final Act of the Conference on Security and Cooperation in Europe and the Charter of Paris, including the obligations to refrain from the threat or use of force and to settle disputes peacefully; “(5) cooperate in seeking peaceful resolution of ethnic and regional conflicts; “(6) implement responsible security policies, including— “(A) adhering to arms control obligations derived from agreements signed by the former Soviet Union; “(B) reducing military forces and expenditures to a level consistent with legitimate defense requirements; “(C) not proliferating nuclear, biological, or chemical weapons, their delivery systems, or related technologies; and “(D) restraining conventional weapons transfers; “(7) take constructive actions to protect the international environment, prevent significant transborder pollution, and promote sustainable use of natural resources; “(8) deny support for acts of international terrorism; “(9) accept responsibility for paying an equitable portion of the indebtedness to United States firms incurred by the former Soviet Union; “(10) cooperate with the United States Government in uncovering all evidence regarding Americans listed as prisoners-of-war, or otherwise missing during American operations, who were detained in the former Soviet Union during the Cold War; and “(11) terminate support for the communist regime in Cuba, including removal of troops, closing of military facilities, and ceasing trade subsidies and economic, nuclear, and other assistance. “(b) Ineligibility for Assistance.— The President shall not provide assistance under this chapter— “(1) for the government of any independent state that the President determines is engaged in a consistent pattern of gross violations of internationally recognized human rights or of international law; “(2) for the government of any independent state that the President determines has failed to take constructive actions to facilitate the effective implementation of applicable arms control obligations derived from agreements signed by the former Soviet Union; “(3) for the government of any independent state that the President determines has, on or after the date of enactment of this chapter, knowingly transferred to another country— 106 STAT. 3328 “(A) missiles or missile technology inconsistent with the guidelines and parameters of the Missile Technology Control Regime; or “(B) any material, equipment, or technology that would contribute significantly to the ability of such country to manufacture any weapon of mass destruction (including nuclear, chemical, and biological weapons) if the President determines that the material, equipment, or technology was to be used by such country in the manufacture of such weapon; “(4) for the government of any independent state that is prohibited from receiving such assistance by section 669 or 670 of this Act or sections 306(a)(1) and 307 of the Chemical and Biological Weapons Control and Warfare Elimination Act of 1991; or “(5) for the Government of Russia if it has failed to make significant progress on the removal of Russian or Commonwealth of Independent States troops from Estonia, Latvia, and Lithuania or if it has failed to undertake good faith efforts, such as negotiations, to end other military practices that violate the sovereignty of the Baltics states. “(c) Exceptions to Ineligibility.— Assistance prohibited by subsection (b) or any similar provision of law, other than assistance prohibited by the provisions referred to in subsection (b)(4), may be furnished under any of the following circumstances: “(1) The President determines that furnishing such assistance is important to the national interest of the United States. “(2) The President determines that furnishing such assistance will foster respect for internationally recognized human rights and the rule of law or the development of institutions of democratic governance. “(3) The assistance is furnished for the alleviation of suffering resulting from a natural or man-made disaster. The President shall immediately report to the Congress any determination under paragraph (1) or (2) or any decision to provide assistance under paragraph (3). “SEC. 498B. AUTHORITIES RELATING TO ASSISTANCE AND OTHER PROVISIONS. “(a) Assistance Through Governments and Non-governmental Organizations.— Assistance under this chapter may be provided to governments or through nongovernmental organizations. “(b) Technical and Managerial Assistance.— Technical assistance under this chapter shall, to the maximum extent feasible, be provided on a long term, on-site basis and shall emphasize the provision of practical, management and other problem-solving advice, particularly advice on private enterprise provided by United States business volunteers. “(c) Enterprise Funds.—Activities supported pursuant to this chapter may include the establishment or and the provision of support for one or more enterprise funds for the independent states of the former Soviet Union. If the President determines that an enterprise fund should be established and supported under this chapter, the provisions contained in section 201 of the Support for East European Democracy (SEED) Act of 1989 (excluding the authorizations of appropriations provided in subsection (b) of that106 STAT. 3329 section) shall be deemed to apply with respect to such enterprise fund and to funds made available to such enterprise fund pursuant to this chapter. “(d) Cooperative Development and Research Projects.— Assistance under this chapter may include support for cooperative development projects, including cooperative development research projects, among the United States, other countries, and independent states of the former Soviet Union. “(e) Administration of Justice Programs.— In order to strengthen the administration of justice in the independent states of the former Soviet Union under paragraph (2 KG) of section 498, the President may exercise the same authorities as are available under section 534 of this Act, subject to the limitations and requirements of that section, other than subsection (c) and the last two sentences of subsection (e). “(f) Use of Economic Support Funds.— Any funds that have been allocated under chapter 4 of part II for assistance for the independent states of the former Soviet Union may be used in accordance with the provisions of this chapter. “(g) Use of SEED Agency Funds and Administrative Authorities.— The President may authorize any agency of the United States Government that has authority to conduct activities under the Support for East European Democracy (SEED) Act of 1989 to use— “(1) any funds that are available to it for activities related to international affairs outside Eastern Europe, and “(2) any administrative authorities that are available to it for activities with respect to Eastern Europe, to conduct activities authorized by section 498 with respect to the independent states of the former Soviet Union. “(h) Procurement Restrictions.— Funds made available for assistance under this chapter may be used for procurement— “(1) in the United States, the independent states of the former Soviet Union, or a developing country; or (2) in any other country but only if— “(A) the provision of such assistance requires commodities or services of a type that are not produced in and available for purchase in any country specified in paragraph (1); or “(B) the President determines, on a case-by-case basis, that procurement in such other country is necessary— “(i) to meet unforseen circumstances, such as emergency situations, where it is important to permit procurement in a country not specified in paragraph (1), or “(ii) to promote efficiency in the use of United States foreign assistance resources, including to avoid impairment of foreign assistance objectives. “(i) Terms and Conditions.— Assistance under this chapter shall be provided on such terms and conditions as the President may determine, consistent with applicable provisions of law (except as otherwise provided in subsection (j)). “(j) Waiver of Certain Provisions.— “(1) In general.— Funds authorized to be appropriated for fiscal year 1993 by this chapter, and any other funds appropriated for fiscal year 1993 that are used under the authority of subsection (f) or (g), may be used to provide assistance106 STAT. 3330 under this chapter notwithstanding any other provision of law, except for— “(A) this chapter; “(B) section 634A of this Act and comparable notification requirements contained in sections of the annual foreign operations, export financing, and related programs Act; “(C) sections 669 and 670 of this Act and sections 306 and 307 of the Chemical and Biological Weapons Control and Warfare Elimination Act of 1961, to the extent that they apply to assistance to governments; and “(D) section 1341 of title 31, United States Code (commonly referred to as the ‘Anti-Deficiency Act’), the Congressional Budget and Impoundment Control Act of 1974, the Balanced Budget and Emergency Deficit Control Act of 1985, and the Budget Enforcement Act of 1990. “(2) Nuclear reactor safety and related activities.— Any provision that corresponds to section 510 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1991 (relating to the prohibition on financing exports of nuclear equipment, fuel, and technology) shall not apply with respect to funds used pursuant to this chapter. “(k) Definitions.— “(1) Appropriate congressional committees.— As used in this chapter, the term ‘appropriate congressional committees’ means the Committee on Foreign Affairs and the Committee on Appropriations of the House of Representatives and the Committee on Foreign Relations and the Committee on Appropriations of the Senate. “(2) Independent states of the former soviet union.— As used in this chapter, the terms ‘independent states of the former Soviet Union’ and ‘independent states’ have the meaning given those terms by section 3 of the Freedom for Russia and Emerging Eurasian Democracies and Open Markets Support Act of 1992. “SEC. 498C. AUTHORIZATION OF APPROPRIATIONS. “(a) In general.— To carry out this chapter, there are authorized to be appropriated to the President for fiscal year 1993 $410,000,000, in addition to amounts otherwise available for assistance for the independent states of the former Soviet Union. Amounts appropriated pursuant to this subsection are authorized to remain available until expended. “(b) Operating expenses.— “(1) Authority to transfer program funds.— Subject to paragraph (2), funds made available under subsection (a) may be transferred to, and merged with, funds appropriated for ‘Operating Expenses of the Agency for International Development’. Funds so transferred may be expended for administrative costs in carrying out this chapter, including reimbursement of the Department of State for its incremental costs associated with assistance provided under this chapter. “(2) Limitation on amount transferred.— Not more than 2 percent of the funds made available for a fiscal year under subsection (a) may be transferred pursuant to paragraph (1) unless, at least 15 days before transferring any additional amount, the President notifies the appropriate congressional106 STAT. 3331 committees in accordance with the procedures applicable to reprogramming notifications under section 634A of this Act.”.