A joint resolution to approve the "Compact of Free Association", and for other purposes.

Title I: Approval of Compact; Interpretation of, and U.S. Policies Regarding, Compact; Supplemental Provisions - Grants congressional approval to the Compact of Free Association (including specified subsidiary agreements) between the United States, the Marshall Islands, and the Federated States of Micronesia.

Sets forth: (1) provisions for implementing such Compact (including provisions for congressional submission, presidential certification, mutual assistance in law enforcement and drug control, audits, and review of economic development plans); and (2) U.S. policies regarding such Compact.

Provides for the President to negotiate with the Government of the Marshall Islands an agreement to assure continued use of lands on Ejit by the people of Bikini.

Declares it to be United States policy that the payment of funds by the Government of the Marshall Islands to Kawajalein Atoll landowners is required to ensure the defense of the Marshall Islands by the United States. Authorizes the President to make loans to the Government of the Marshall Islands for the use of such Lands for U.S. military purposes.

Sets forth provisions with respect to: (1) payments to the people of Bikini, Enewetak, Rongelap, and Utirik affected by U.S. nuclear weapons tests; (2) health care; (3) agricultural and food programs; (4) establishment of the Enjebi Community Trust Fund; and (5) Rongelap and Bikini Island cleanup.

Sets forth provisions regarding: (1) international human rights in the Marshall Islands and the Federated States of Micronesia; (2) non-alienation of Compact state lands; (3) nuclear waste disposal; and (4) immigration status.

Requires the President to: (1) report to the Congress with respect to the impact of the Compact on the U.S. territories and Hawaii; and (2) seek the cooperation of the Marshall Islands and the Federated States of Micronesia in the development of international and regional fishery management policy (including jurisdiction over highly migratory species of fish found outside the territorial sea of the Compact states). Declares that the Congress reaffirms the U.S. position that the United States is not responsible for the foreign loans or debts of the Federated States of Micronesia or the Marshall Islands.

Sets forth provisions relating to: (1) Trust Territory authorizations; (2) foreign agent registration; (3) security and defense matters; (4) education assistance programs; (5) Compact state debts to Federal agencies; (6) Department of Defense medical facilities; (7) technical assistance by the U.S. Forest Service, Soil Conservation Service, U.S. Coast Guard, U.S. Fish and Wildlife Service, and the Advisory Council on Historic Preservation; (8) prior service benefits program; (9) United States land use payments; (10) disease control; and (11) user fees.

Requires the President, in consultation with the Federated States of Micronesia and the Marshall Islands, to enter into agreements with U.S. firms whereby such firms will, to the maximum extent possible, employ citizens of the Compact states and provide job training assistance to such citizens with respect to construction projects. Authorizes funds to cover costs incurred by such states provided they give preference on the award of construction contracts to U.S. firms.

Provides, until a certain agreement takes effect, that citizens of the Northern Mariana Islands shall be considered U.S. citizens for purposes of entry into, permanent residence, and employment in the United States and its territories and possessions.

Expresses the sense of the Congress that any agreement between the United states and Palau regarding the sovereignty of Palau should be given expeditious consideration by the President and the Congress.

Title II: Compact of Free Association - Sets forth the Compact of Free Association between the United States, the Marshall Islands, and the Federated States of Micronesia. (Declares that the people of the Marshall Islands and the Federated States of Micronesia are self-governing. States that the United States shall provide grant and program assistance to such territories. Declares that the United States has full authority and responsibility for the security and defense of such territories.)

Declares that the defense sites of the United States established in the Marshall Islands or the Federated States of Micronesia in accordance with the Compact and its related agreements are within the special maritime and territorial jurisdiction of the United States.

Title III: Pacific Policy Report - Requires the Secretary of the Interior, within one year of enactment of this Act, and in consultation with the Secretary of State, to submit to the Congress and the President a report on the U.S. noncontiguous Pacific areas policy (dealing with Alaska, the Federated States of Micronesia, the Marshall Islands, Palau, the Northern Mariana Islands, Samoa, Guam, and Hawaii) together with recommendations to achieve the objectives of such policy. Requires such report to clearly define specified policies regarding the United States and the U.S. associated, noncontiguous Pacific areas. Requires the Secretary of the Interior, prior to the submission of the reports, to convene a conference to obtain the views of the noncontiguous Pacific areas on the policies contained in such reports.

Title IV: Clarification of Certain Trade and Tax Provisions of the Compact - Sets forth provisions with respect to the beneficiary country status of the Marshall Islands and the Federated States of Micronesia.

Declares that the exemption from U.S. income tax shall not apply to U.S. citizens who reside in the Marshall Islands and the Federated States of Micronesia. Sets forth provisions relating to tax incentives and exchange of tax information. Requires the Secretary of the Treasury to conduct a study on the effects of the Compact's tax provisions and to report such results to specified congressional committees.