International Security and Development Cooperation Act of 1985

(Measure passed House, amended)

International Security and Development Cooperation Act of 1985 - Title I: Military Sales and Related Programs - Amends the Arms Export Control Act to authorize appropriations for FY 1986 and 1987 to carry out such Act. Imposes a ceiling on the total amount of foreign military sales credits for FY 1986 and 1987. Limits the amount of such credits for such fiscal years which may be made available at concessional interest rates. Excludes from such limits cases where: (1) countries are released from liability to repay the United States; and (2) credits are extended to Greece at concessional interest rates during FY 1986 and 1987. Grants extended repayment terms for the principal amount of credits provided during FY 1986 and 1987 to Greece, South Korea, Portugal, Spain, Thailand, and Turkey.

Earmarks specified amounts of the foreign military sales credits for FY 1986 and 1987 for: (1) Israel; and (2) Egypt. Allocates specified amounts of the credits provided to Israel for the Lavi program. Requires that the proportion of such credits provided to Greece and Turkey at concessional interest rates shall be the same.

Prohibits providing foreign military sales financing for the Philippines for FY 1986 and 1987.

Changes the method of financing foreign military sales credits. Directs the President to require repayment in U.S. dollars within 12 years unless another repayment period is authorized by statute. Prohibits the interest rate from being less than five percent per year or the rate which is seven percent less than the current average interest rate, whichever is greater.

Amends the Foreign Assistance Act of 1961 to authorize appropriations for FY 1986 and 1987 for: (1) military assistance programs; (2) international military education and training programs; and (3) peacekeeping operations. Earmarks specified amounts of the military assistance program funds for the Philippines.

Amends the Arms Export Control Act to authorize using certain foreign military sales credit funds to pay claims under the foreign military sales program when funds in the Guarantee Reserve Fund are inadequate.

Deletes the exception which exempted foreign countries and international organizations from paying the full cost of military training provided by the United States under the foreign military sales program.

Amends the Foreign Assistance Act of 1961 to require foreign countries and international organizations to pay the full cost of services provided in connection with the international military education and training program and the antiterrorism assistance program.

Amends the Arms Export Control Act to exclude a pro rata share of fixed base operation costs from the administrative surcharge for foreign military sales programs.

Authorizes the President to provide free contract administration services in connection with certain defense contracts with the North Atlantic Treaty Organization (NATO). Authorizes the President to provide free cataloging data and cataloging services to NATO or its member governments if NATO or a member government provides such data and services on a reciprocal basis to the United States.

Requires the President to report to the Congress by April 1 of each year an estimate of the international volume of arms traffic and an estimate of the sale and delivery of weapons and weapons-related defense equipment by all major arms suppliers to all major recipient countries during the preceding fiscal year.

Changes the provision dealing with defense requirement surveys to cover all security assistance surveys which includes defense requirement surveys, site surveys, general surveys or studies, and engineering assessment surveys. Requires such surveys to be submitted to the House Foreign Affairs Committee or the Senate Foreign Relations Committee, upon request.

Requires the President's quarterly report to the Congress on military exports to include an estimate of the number of U.S. military and civilian personnel and the number of civilian contract personnel who were in each foreign country at the end of the quarter and the number of such personnel who were in such country at any time during the quarter in implementation of military sales and commercial military exports.

Increases the criminal penalties for certain violations of the Arms Export Control Act. Imposes maximum civil fines for such violations.

Includes charges for official reception and representation expenses in the administrative surcharge charged in connection with foreign military sales. Limits the amount of funds from such source that may be used for official reception and representation expenses.

Authorizes using the Special Defense Acquisition Fund to keep certain defense articles and services on continuous order in anticipation of their transfer to foreign countries and international organizations. Requires such Fund to consist of collections from sales made under letters of offer or transfers of defense articles and services, together with such funds as are made available to the Fund. Requires such collections to be deposited in the Treasury as miscellaneous receipts whenever the value of the defense articles and services which have not been transferred from the Fund plus the amount of contracts to acquire such articles and services exceeds a specified amount.

Amends the Foreign Assistance Act of 1961 to authorize the President, if it is in the national interest, to waive the requirement that proceeds from the sale of military assistance program equipment by a foreign country must be paid to the United States.

Imposes a limit on the value of additions to stockpiles of defense articles in foreign countries for FY 1986 and 1987.

Makes permanent the current list of countries where more than six members of the U.S. armed forces may be assigned. Adds to that list Pakistan, Tunisia, El Salvador, Honduras, and Venezuela.

Authorizes the President to provide for the attendance of foreign military personnel at professional military education institutions in the United States (other than Service academies) at no charge if such attendance is pursuant to a reciprocal exchange student agreement.

Encourages the President to allocate a portion of the international military education and training funds to provide training in certain maritime skills. Exempts such training from the prohibition against using foreign assistance funds for police training.

Prohibits using the President's special waiver authority under the Foreign Assistance Act of 1961 to authorize: (1) more than $750,000,000 in sales under the Arms Export Control Act; (2) the use of more than $250,000,000 of funds made available for use under the Foreign Assistance Act of 1961 or the Arms Export Control Act; and (3) the use of more than $100,000,000 of foreign currencies. Limits to $50,000,000 of the $250,000,000 made available under the Foreign Assistance Act of 1961 or the Arms Export Control Act that may be allocated to any one country in any fiscal year unless that country is a victim of communist aggression. Limits the total under (1) and (2) above that may be allocated to any one country in any fiscal year to $500,000,000.

Prohibits obligating any of the funds appropriated under the Arms Export Control Act for any programs not justified, or in excess of the amount justified, to the Congress for obligation for any fiscal year unless specified committees of the Congress are notified 15 days before such obligation. Provides that such notification requirement does not apply to the reprogramming of less than $25,000 for use under the international narcotics control program or for use under the international military education and training program for a country for which a program under such program for that fiscal year was justified to the Congress.

Requires the President to notify the Congress, within 30 days of enactment of any law appropriating funds to carry out the Arms Export Control Act, of each country and organization to which the United States intends to provide any portion of such funds.

Deletes the provision which imposes specified reporting requirements on granting military or economic assistance which exceeds by ten percent or more the amount set forth in the President's annual report on allocation of foreign assistance funds.

Amends the Arms Export Control Act to require the President to include all sales (currently cash sales, credits, and guaranty agreements) in the President's annual report to the Congress on military exports.

Directs the President to report to the Congress on U.S. policies concerning the export of conventional arms and possible approaches to developing multilateral limitations on conventional arms sales.

Prohibits using foreign military sales financing authorized by this Act to finance the procurement by Jordan of U.S. advanced aircraft, new air defense weapons systems or other new advanced military weapons systems and prohibits making a certification pursuant to the Arms Export Control Act with respect to a proposed sale to Jordan of such aircraft or military systems unless the President has certified to the Congress that Jordan is publicly committed to the recognition of Israel and to prompt entry into direct peace negotiations with Israel.

Directs the President to submit a written presidential certification (which contains agreements with Saudi Arabia) that specified conditions set forth in a 1981 airborne warning and control system (AWACS) communication have been met before the E-3A AWACS aircraft are transferred to Saudi Arabia. Directs the President to notify the Congress of any changes being considered by the United States in the arrangements described in such 1981 AWACS communication.

Authorizes the Secretary of Defense to carry out the European air defense agreements and, in carrying out those agreements, to: (1) provide certain articles and services to West Germany; and (2) accept from West Germany certain articles and services in return. Authorizes the Secretary of Defense to take certain administrative actions in connection with the administration of the European air defense agreements. Makes special concessions in connection with the sale of certain Patriot missile fire units to West Germany.

Imposes a ceiling on military assistance to Turkey for each of FY 1986 and 1987 .

Amends the Arms Export Control Act to authorize the President to provide, pursuant to a reciprocity agreement, training and related support to military and civilian defense personnel of a friendly foreign country or an international organization. Requires the President to report annually to the Congress on such training program.

Changes the President's authority to enter into a cooperative project agreement with NATO or with a member country of NATO. Sets forth terms that must be included in such agreement. Authorizes the President to incur obligations for other participants in the project if certain conditions are met. Provides for the waiver or reduction of certain administrative surcharges. Adds new information which must be included in the notice given to the Congress by the President before any such agreement is signed.

Title II: Economic Support Fund - Amends the Foreign Assistance Act of 1961 to authorize appropriations for FY 1986 and 1987 for the Economic Support Fund. Authorizes supplemental appropriations for FY 1985 for the Economic Support Fund which shall be available only for Israel. Earmarks specified amounts of the FY 1986 and 1987 Economic Support Fund authorization for: (1) emergency economic assistance; and (2) El Salvador.

Allocates specified amounts of the funds authorized for Commodity Import Programs to be: (1) deposited in the tied aid credit fund authorized by the Trade and Development Enhancement Act of 1983; and (2) used by the Agency for International Development in carrying out the program of tied aid credits for U.S. exports.

Earmarks specified amounts of the funds authorized for FY 1986 and 1987 for the Economic Support Fund for: (1) Israel, all of which shall be available as a cash transfer on a grant basis; (2) Egypt, which may be provided as a cash transfer only if the President determines that Egypt will undertake economic reforms or development activities which it would not undertake without the cash transfer and only if the President notifies specified congressional committees of the cash transfer 15 days before it occurs; (3) Lebanon; (4) Cyprus; and (5) the Philippines. Prohibits using funds earmarked for Lebanon unless all U.S. hostages in Lebanon have been released except for humanitarian aid.

Expresses the sense of the Congress that the United States should finance and, where appropriate, participate in cooperative scientific and technological projects involving Israel, Egypt, and other Middle East countries.

Authorizes additional Economic Support Fund assistance for FY 1985 for Cyprus only if the President certifies to the Congress that an agreement has been concluded by the Greek and Turkish Cypriots which is supported by Greece and Turkey and which achieves substantial progress toward settlement of the Cyprus dispute.

Authorizes the President to make available to the noncommunist resistance forces in Cambodia specified amounts of the military assistance and Economic Support Fund authorizations.

Prohibits using funds authorized by this Act to aid the Khmer Rouge.

Prohibits using funds authorized for the Economic Support Fund for FY 1986 and 1987 to finance the construction of, the operation and maintenance of, or the supplying of fuel for any nuclear facility in a foreign country unless the President certifies to the Congress that such country is a party to a nuclear non-proliferation treaty, cooperate fully with the International Atomic Energy Agency, and pursues nonproliferation policies consistent with those of the United States.

Title III: Development Assistance - Adds these principles to the principles guiding U.S. development assistance policy: (1) U.S. encouragement of policy reforms is necessary if developing countries are to achieve economic growth with equity; (2) development assistance should promote private sector activity in open and competitive markets in developing countries; (3) U.S. cooperation in development should recognize as essential the need of developing countries to have access to appropriate technology in order to improve food, water, health, housing, education, agriculture, and industry; and (4) U.S. assistance should focus on establishing and upgrading the institutional capacities of developing countries in order to promote long term development.

Authorizes appropriations for FY 1986 and 1987 for: (1) agriculture, rural development, and nutrition programs, including funds for aiding private and voluntary organizations engaged in world hunger issues; (2) population and health programs, including a specified percentage earmarked for the Office of Population in the Agency for International Development; (3) the Child Survival Fund; (4) education and human resources development; (5) energy, private voluntary organizations, and selected development activities, including specified amounts for financing cooperative projects among the United States, Israel, and developing countries; and (6) the private sector revolving fund.

Prohibits the President, because of the types of voluntary and noncoercive family planning programs which a country, international organization, or nongovernmental organization carries out or promotes or for which it provides funding so long as it does so without U.S. funds, from: (1) denying funds for population planning purposes to such foreign country, international organization, or nongovernmental organization; and (2) denying or requiring denial of funds to recipients of funds, goods, or services from such country, international organization, or nongovernmental organization.

Authorizes the President to deny funds for population planning purposes to a foreign government or international or nongovernmental organization if such denial would promote voluntary family planning.

Prohibits making any of the population planning funds available for population planning programs in the People's Republic of China or in any other country where there are valid and consistent reports of coerced abortion or coerced sterilization. Directs the President to determine annually whether there are valid reports of coerced abortion or sterilization or infanticide in the Peoples Republic of China. Directs the President, if there are such reports, to review U.S.-China relations and to require U.S. representatives in China to express U.S. concern over such practices. Directs the President to instruct the U.S. representative to any international organization which receives population planning funds to oppose the extension of population planning assistance by that organization to the People's Republic of China if the President determines that such reports are valid.

Requires the President, if the President determines that reports of infanticide, coercive abortion, and sterilization in the Peoples Republic of China are valid and that the United Nations Fund for the Population Activities is funding population programs there, to decide on the amount of funds authorized under this Act that shall be contributed to the Fund. Requires the President to report to the Congress in such decision.

Extends to 90 days the length of time the President can use to determine whether to prohibit U.S. assistance for projects of private and voluntary organizations in a foreign country after other U.S. aid to such country has been cut off. (Current law gives the President 30 days to make such determination.)

Extends through FY 1987 the requirement that 12 percent of U.S. bilateral development and disaster assistance funds be available for private and voluntary organizations.

Requires that development assistance shall be provided to rural and urban cooperatives which offer large numbers of low-and middle-income people in developing countries an opportunity to participate directly in democratic decisionmaking.

Directs the President to use certain poverty measurement standards in determining target populations for U.S. development assistance and to strengthen U.S. efforts to assure that a substantial percentage of development assistance directly improves the lives of the poor majority, with special emphasis on those living in absolute poverty.

Requires that development activities that attempt to increase the institutional capabilities of private organizations or governments or that attempt to stimulate scientific and technological research shall be designed and monitored to ensure that the ultimate beneficiaries of these activities are the poor majority. Requires that information on the targeting of development assistance to benefit the poor majority shall be included in the annual report to the Congress on foreign aid.

Increases and extends through FY 1988 the authority for the Housing Investment Guaranty program. Requires the total principle amount of guarantees for each of FY 1986 and 1987 to be comparable to the total principle amount of such guarantees issued for FY 1984.

Extends the authority for the Agricultural and Productive Credit and Self-Help Community Development Programs through FY 1988.

Increases the limit on the total amount of outstanding commitments of the Trade Credit Insurance Program during FY 1986 and 1987.

Increases the authorization for aid to disadvantaged children in Asia. Requires the President to report to the Congress on the quality of life of Amerasian children living in Asia and on what additional steps the United States could take to enhance the lives of these children.

Requires that at least ten percent of the total of the FY 1986 and 1987 development assistance funds shall be available for activities of economically and socially disadvantaged enterprises, historically black colleges and universities, and private and voluntary organizations which are controlled by individuals who are economically and socially disadvantaged, including women.

Directs the Administrator of AID to study and report to the Congress by September 30, 1986, on additional ways to provide development assistance through non-governmental organizations.

Title IV: Other Foreign Assistance Programs and International Airport Security - Subtitle I: Other Foreign Assistance Programs - Authorizes appropriations for FY 1986 and 1987 for: (1) American schools and hospitals abroad; (2) U.S. voluntary contributions to international organizations and programs; (3) international disaster assistance; (4) anti-terrorism assistance; (5) the trade and development program; and (6) operating expenses of the agency primarily responsible for administering the development assistance programs.

Prohibits making international organization funds available for the U.S. share of programs for the Palestine Liberation Organization (PLO) or for projects whose primary purpose is to provide benefits to the PLO or associated entities.

Prohibits making international organization funds available for the U.S. share for programs for the South-West Africa People's Organization (SWAPO) unless the President certifies to the Congress that such funds would not be used to support the military or paramilitary operations of SWAPO.

Prohibits using funds authorized for international organizations and programs for the U.S. proportionate share for programs for specified communist countries. Permits the President to waive such prohibition if it is in the national interest.

Directs the Secretary of State to: (1) review annually the budgets of all international organizations receiving U.S. funds; and (2) report to the Congress the amounts spent by each such organization for the PLO, for SWAPO, and for communist countries and the amount contributed by the United States to each such organization.

Authorizes making items on the U.S. Munitions List available during FY 1986 and 1987 for antiterrorism assistance if: (1) the items fit into specified categories; (2) the recipient country is not prohibited from receiving assistance under the military assistance program, the international military education and training program of the Foreign Assistance Act of 1961, or the Arms Export Control Act; and (3) the President notifies the Congress at least 15 days before the articles are made available to such country. Limits the total value of all such items that may be provided to foreign countries during FY 1986 and 1987.

Repeals the sunset provision for the antiterrorism assistance program.

Directs the Secretary of State to: (1) be responsible for coordinating all antiterrorism assistance provided to foreign countries; and (2) report to the Congress annually on such assistance.

Prohibits the United States from providing specified forms of assistance to any country which the President determines grants sanctuary to terrorists or otherwise supports international terrorism. Authorizes the President to waive such prohibition if justified by national security or humanitarian reasons. Requires the President to notify the Congress 15 days before such waiver. Declares that the President should call on other countries to impose similar sanctions if the United States imposes such prohibition on a country.

Expresses the sense of the Congress that the President should: (1) call for an international civil aviation boycott with respect to those countries that grant sanctuary to terrorists or otherwise support international terrorism; and (2) take steps to achieve a total international civil aviation boycott of such countries.

Directs the President to prohibit imports from and exports to Libya.

Subtitle 2: International Airport Security - Amends the Federal Aviation Act of 1958 to direct the Secretary of Transportation to assess the efficacy of security measures at foreign airports which serve either United States carriers, or from which foreign air carriers serve the United States.

Requires the Secretary to: (1) use security criteria equal to or above certain internationally established standards; (2) consult with the Secretary of State on the terrorist threat that exists in each country; (3) report to the Congress regarding such assessments; and (4) notify the appropriate authorities if a foreign airport does not administer effective security measures.

Requires the Secretary of Transportation to publish in the Federal Register and publicize at all U.S. airports the identity of airports found to have ineffective security. Requires each air carrier providing service between the United States and such an airport to notify all passengers that such airport has been found to have ineffective security. Authorizes the Secretary of Transportation, with the approval of the Secretary of State, to withhold, revoke, or impose conditions on the operating authority of any air carrier to engage in foreign air transportation using such airport. Authorizes the President to prohibit air carriers from providing service between the United States and any other foreign airport served by aircraft flying to or from such airport. Provides that the requirements and authorizations of this paragraph shall become effective 120 days after the Secretary of Transportation notifies the appropriate authorities of conditions at such an airport. Permits such requirements and authorizations to become immediately effective under specified conditions.

Directs the Secretary of Transportation (with the approval of the Secretary of State) to suspend (without notice or a hearing) the right of an air carrier to engage in foreign air transportation to or from an airport which the Secretary has determined presents a safety threat to either passengers, aircraft, or the public interest.

Expresses the sense of the Congress that the President is urged to take all appropriate steps to close the international airport in Beirut, Lebanon, at least until Lebanon has instituted antihijacking measures.

Directs the Secretary of State to issue a travel advisory on any airport that has been found to have ineffective security. Directs the President to suspend all aid under the Foreign Assistance Act of 1961 or the Arms Export Control Act to any country where such an airport is located. Authorizes the President to waive such suspension for national security or humanitarian reasons. Provides for lifting sanctions against such country only if the Secretary of Transportation, in consultation with the Secretary of State, determines that effective security measures are maintained at such airport. Requires the Congress to be notified if such sanctions are lifted.

Directs the Secretary of Transportation to study and report to the Congress on the need for an expanded airmarshal program on international flights of U.S. air carriers. Permits the Secretary of Transportation to authorize air transportation security personnel to carry firearms and to make warrantless arrests if they have reasonable grounds to believe a felony is being committed.

Directs the Secretary of State to study and report to the Congress on the feasibility of establishing an international sky marshal program.

Requires the Secretary to call for an immediate meeting of the International Civil Aviation Organization to: (1) discuss international airport compliance with existing international security standards; (2) upgrade security standards for international airports; and (3) call on the member countries of the International Civil Aviation Organization to enforce such Organization's existing standards and impose a moratorium on the use of any international airport which does not comply with such standards.

Directs the Secretary of State to seek agreement on strengthening enforcement measures and standards for compliance on aircraft sabotage, aircraft hijacking, and airport security.

Authorizes additional appropriations for antiterrorism assistance for FY 1986 and 1987.

Authorizes appropriations for research and development of airport security devices or techniques for detecting explosives.

Calls upon the President to seek the establishment of an International Anti-Terrorism Committee.

Expresses the sense of the Congress with respect to the hijacking of Trans World Airline flight 847.

Expresses the sense of the Congress that the President should establish a process by which democratic societies negotiate a treaty to prevent and respond to terrorist attacks.

Authorizes the President to ban imports from countries that support terrorism.

Title V: International Narcotics Control - Authorizes appropriations for FY 1986 and 1987 for international narcotics control. Authorizes the agency primarily responsible for administering development assistance programs to use resources to increase awareness of the effects of production and trafficking of illicit narcotics on source and transit countries.

Changes the reporting requirements for the international narcotics control program. Requires the last quarterly report of each fiscal year to include a report on the total assistance provided during that fiscal year. Requires the President to transmit to the Congress a midyear report on such program.

Provides that the ban on involvement of U.S. personnel in arrest actions and interrogations in narcotics control efforts abroad shall not apply to the extent that the Secretary of State and the government of another country agree. Requires the Secretary to report any such agreement to the Congress before the agreement takes effect.

Requires each report to the Congress on international narcotics control to describe the involvement of any foreign government in illicit drug trafficking during the preceding fiscal year.

Earmarks certain amounts out of military assistance funds for FY 1986 and 1987 to arm aircraft used in narcotic control eradication or interdiction efforts. Requires specified congressional committees to be notified at least 15 days before such funds are transferred for such purposes.

Authorizes providing narcotics control assistance funds to a foreign country only if the country agrees to provide at least 25 percent of the costs of any narcotics control project for which such assistance is to be provided.

Prohibits using foreign assistance funds to reimburse persons whose illicit drug crops are eradicated.

Authorizes military assistance, economic assistance, military education and training assistance, and foreign military sales financing to Bolivia for FY 1986 and 1987 only if specified conditions relating to limitations on coca production and relating to yearly eradication targets are met by Bolivia.

Authorizes providing narcotic control assistance for Peru: (1) in FY 1986 only if Peru has shown substantial progress in developing a plan to establish coca requirements, to license the number of hectares necessary to produce the requirement, and to eliminate illicit and unlicensed coca production; and (2) in FY 1987 only if the President reports to the Congress that Peru has developed such a plan and is implementing it.

Authorizes making FY 1987 development assistance funds for the Agency for Internation Development (AID) project in the Upper Huallaga valley of Peru only if the Administrator of AID, after consultation with the Congress, determines that a comprehensive review of that project has been completed which establishes the effectiveness of that project in reducing coca leaf production, distribution, and marketing.

Requires that a specified portion of the Economic Support Fund allocation for Jamaica for FY 1986 shall be withheld until the President certifies to the Congress that Jamaica is committed to a plan for reducing the illicit cultivation and distribution of marijuana.

Directs the President to reprogram funds intended for Bolivia, Peru, or Jamaica for other countries if conditions set forth in this Act are not met.

Authorizes contributing narcotics control assistance funds to the United Nations Fund for Drug abuse Control only if that organization includes in its crop substitution projects a plan for cooperation with the law enforcement forces of the host country.

Directs the Secretary of State to enter into negotiations with Brazil in order to establish a bilateral narcotics control agreement that shall have as a goal a ten percent reduction in illicit coca production in Brazil in 1986.

Directs the Secretary of State to conduct a study of the feasibility of establishing a regional organization in Latin America to combat narcotics production and trafficking through regional information-sharing and a regional enforcement unit. Requires the Secretary to report to the Congress within six months on such study.

Directs the President to report to the Congress within 60 days of enactment of this Act on why U.S. armed forces should not exert greater effort in facilitating and supporting interception of narcotics traffickers and in gathering narcotics related intelligence abroad.

Expresses the sense of the Congress that the President should take steps to: (1) place the question of Cuban involvement in illicit drug trafficking on the agenda of the United Nations; (2) request the Organization of American States to consider such question; and (3) request other appropriate international organizations and international forums to consider such question.

Prohibits providing assistance under the Foreign Assistance Act or the Arms Export Control Act to any country that is not a major illicit drug producing country which the President determines has not taken adequate steps to prevent: (1) the processing of controlled substances; (2) the transportation through such country of such substances; and (3) the use of such country as a refuge for illegal drug traffickers. Authorizes the President to waive such prohibition for national security or humanitarian reasons. Requires the President's annual report to the Congress on international narcotics control efforts to include the steps being taken by such countries to prevent such activities within their borders.

Requires the President to try to negotiate treaties with all countries providing confidential offshore banking so that the United States could obtain access to the accounts of known drug traffickers in order to recover illegally acquired funds. Directs the President to include reports on such efforts in the annual International Narcotics Control Strategy Report. Reaffirms the congressional intention to: (1) obtain international cooperation to halt drug trafficking; and (2) evaluate the cooperation of those governments receiving U.S. aid.

Title VI: United States Scholarship Program for Developing Countries - Directs the President, acting through the U.S. Information Agency (USIA), to provide an undergraduate scholarship program for citizens and nationals of developing countries to study at U.S. institutions of higher education. Requires that each payment to a student shall be in the form of a loan with repayment to be forgiven upon the student's prompt return to his or her country of origin for a period of at least one year longer than the period spent studying in the United States. Provides that half the repayment shall be forgiven if the student is granted asylum in the United States or if the student is admitted as a refugee. Sets forth guidelines for implementing the program. Directs the President, before allocating any funds, to consult with U.S. educational institutions, educational exchange organizations, U.S. missions, and the governments of participating countries on how to implement the guidelines. Authorizes the President to enter into agreements with foreign governments to further the scholarship program.

Urges the Administrator of the agency primarily responsible for administering development assistance programs, in implementing such programs, to increase assistance for undergraduate scholarships for students of limited financial means from developing countries to study in the United States. Urges the Director of the USIA to expand opportunities for students from developing countries to receive financial aid for postgraduate study at U.S. institutions of higher education. Urges the President to take steps to expand the opportunities for Americans from all economic classes to study in developing countries.

Authorizes the President to establish counseling and orientation services: (1) abroad to prepare foreign students for study in the United States; and (2) at U.S. schools to help them while they are in the United States.

Directs the Board of Foreign Scholarships to advise and assist the President in the discharge of programs authorized by this title.

Requires the public and private sectors in the United States to be encouraged to contribute to the costs of the programs financed under this title. Directs the President to engage the public and private sectors of developing countries in programs to maximize the use of program participants upon their return to their own countries. Authorizes the President to publicize the scholarship program abroad. Directs the President to encourage U.S. schools attended by students receiving scholarships under this Act to provide opportunities for U.S. students to develop their knowledge of the foreign students' cultures.

Requires that funds allocated for scholarships in accordance with this title shall be available to enhance the educational training and capabilities of the people of Latin America and the Caribbean and to promote better understanding between the United States and Latin America and the Caribbean.

Authorizes the President to provide English instruction abroad when necessary.

Requires the President to report annually to the Congress on the activities taken pursuant to this title during the preceding fiscal year.

Requires the undergraduate scholarship program financed by the USIA for students from Central America for FY 1986 and 1987 to be conducted in accordance with this title. Provides for funding to carry out other scholarship programs under this title.

Title VII: Latin America and the Caribbean - Declares that U.S. policy in Central America should be designed to support: (1) democracy and political reform; (2) full observance of internationally recognized human rights; (3) leadership development; (4) land reform, tax reform, and other reforms; (5) the establishment of the rule of law and an effective judicial system; (6) the termination of extremist violence, vigorous prosecution of those guilty of crimes, and prosecution of past offenders; (7) equitable economic growth and development; and (8) dialogue and negotiations.

Expresses congressional support for: (1) the peace initiatives of the Contadora group and the resulting Document of Objectives; and (2) national reconciliation in Nicaragua and the creation of a framework for negotiating a peaceful settlement to the Nicaraguan conflict.

Condemns the Government of Nicaragua for violating its commitments to its people, the United States, and the Organization of American States (OAS). Affirms that such government will be regarded as having achieved political legitimacy when it fulfills its 1979 commitment to OAS to implement genuinely democratic elections. Urges Nicaragua to enter a national dialogue under mediation by the Nicaraguan Bishops Conference in order to resolve the crisis through elections. Supports the Nicaraguan resistance in its efforts to resolve peacefully the Nicaraguan conflict and to achieve the fulfillment of specified commitments. Supports efforts to maintain multilateral pressure on Nicaragua to fulfill its commitments.

Authorizes the President to provide military assistance to El Salvador pursuant to this title if the President reports to the Congress that: (1) El Salvador is willing to negotiate with the armed opposition forces and their political representatives; (2) the elected civilian government is in control of the Salvadoran military and security forces and those forces are complying with international law and with certain directives relating to protection of civilians; and (3) El Salvador has made demonstrable progress during the preceding six months in ending death squad activities, in establishing an effective judicial system, and in implementing land reform. Requires the President to make such reports to the Congress on or after October 1, 1985, and every six months after that through April 1, 1987. Authorizes providing portions of the FY 1986 and 1987 military assistance funds allocated for El Salvador only after each such report. Authorizes the President to provide such funds for the second half of FY 1986 or 1987 if the President certifies that there is an emergency and if the Congress is notified 15 days before the proposed obligation of such funds.

Prohibits using military assistance authorities of the Foreign Assistance Act of 1961 or the Arms Export Control Act to make available to El Salvador helicopters or other aircraft and prohibits issuing export licenses for such aircraft unless the Congress is notified 15 days before such actions.

Requires the Central Reserve Bank of El Salvador to implement or take steps to implement certain foreign exchange reforms before any funds are disbursed from the Economic Support Fund for balance-of-payments support for El Salvador. Requires such funds for FY 1986 and 1987 to: (1) be used solely to purchase materials essential for productive economic activity and development; and (2) be maintained in a separate account in the Central Reserve Bank of El Salvador.

Suspends all assistance authorized by this Act for El Salvador if the elected President of El Salvador is deposed by military coup or decree.

Earmarks specified amounts of the FY 1986 and 1987 development assistance funds for El Salvador.

Authorizes military assistance and international military education and training assistance under the Foreign Assistance Act of 1961 and foreign military sales under the Arms Export Control Act for FY 1986 and 1987 for Guatemala only if the President certifies to the Congress that: (1) for FY 1986, an elected civilian government is in power in Guatemala and has requested such assistance, sales, or financing; and (2) for both FY 1986 and 1987, Guatemala made demonstrated progress during the preceding year in achieving control over its military and security forces, in eliminating abuses of human rights, and in respecting the human rights of its indigenous Indian population.

Authorizes providing up to 30 percent of the international military education and training assistance for FY 1986 for Guatemala upon the election of a civilian government.

Authorizes providing Guatemala with additional construction equipment, mobile medical facilities, and related training for FY 1986 and 1987 if a civilian government is elected, the military is controlled, and human rights abuses are reduced.

Prohibits using funds authorized by title I of this Act to furnish Guatemala with weapons or ammunition.

Suspends all assistance authorized by this Act for Guatemala if the civilian government is deposed by military coup or decree.

Prohibits using development assistance or Economic Support Fund assistance for Guatemala's rural resettlement program. Requires such development assistance and Economic Support Fund assistance to be provided through private and voluntary organizations to the maximum extent possible.

Calls upon the President to urge Guatemala to allow the International Committee of the Red Cross to: (1) visit Guatemala to investigate humanitarian needs there; and (2) investigate the possibility of providing humanitarian services in Guatemala.

Expresses the sense of the Congress that the United States should encourage Guatemala to recognize the independence of Belize and to enter into a nonaggression treaty with Belize.

Expresses the sense of the Congress that: (1) human rights groups in Guatemala should be allowed to carry out their work with the support of the government of Guatemala; and (2) whether Guatemala allows human rights groups to carry out their work should be taken into account by the United States in determining whether there is human rights progress in Guatemala.

Prohibits obligating or spending funds authorized by this Act to support military or paramilitary operations in Nicaragua.

Declares that funds authorized for migration and refugee assistance by the Department of State Authorization Act, Fiscal Years 1986 and 1987 or authorized by this Act: (1) which are to be used for refugee assistance or other assistance for Nicaraguan Indian refugees in Honduras shall be channeled through established and recognized international refugee relief organizations; and (2) may not be used to facilitate the involuntary repatriation of Salvadoran refugees who are in Honduras.

Provides that development assistance and Economic Support Fund assistance for Haiti should, to the maximum extent practicable, be provided through private and voluntary organizations.

Authorizes obligating FY 1986 and 1987 development assistance, Economic Support Fund assistance, and international military education and training assistance for Haiti only if the President determines that Haiti: (1) is continuing to cooperate with the United States in halting illegal emigration to the United States from Haiti; (2) is cooperating in implementing U.S. aid programs for Haiti; and (3) is making progress in human rights and in political reforms. Requires the President to report to the Congress every six months through FY 1987 on Haiti's actions in such areas.

Authorizes using funds made available under the Foreign Assistance Act of 1961 to assist in halting significant illegal emigration from Haiti to the United States.

Prohibits military assistance or foreign military sales financing assistance for Haiti for 1986 or 1987 except for necessary articles and services to enable the continuation of migrant and narcotics interdiction operations.

Earmarks specified amounts of the FY 1986 and 1987 Economic Support Fund assistance for Haiti for literacy programs in Haiti.

Prohibits using funds authorized by title I of this Act for Paraguay unless the President certifies to the Congress that: (1) Paraguay has made a good faith effort to determine whether Nazi criminal Joseph Mengele is in Paraguay; (2) Paraguay has determined Mengele is not in Paraguay or has been extradited to a country where a warrant is outstanding for his arrest and Paraguay has accepted aid from U.S. law enforcement agencies to reach such determination; and (3) Paraguay has ended the practice of torturing prisoners and has instituted procedures for speedy trials of those arrested.

Requires the President, upon obligating FY 1986 and 1987 military assistance or foreign military sales financing for Peru, to report to the Congress on the steps Peru has taken to: (1) curtail killings, torture, and disappearances of civilian noncombatants; (2) strengthen the judiciary; (3) comply with established procedures relating to military arrests; and (4) account for disappeared persons in Peru.

Requires respect for human rights to be an important component of the training provided for Peru under the FY 1986 and 1987 international military education and training program.

Earmarks specified amounts of the FY 1986 and 1987 Economic Support Fund assistance for Peru to strengthen the judicial system in Peru.

Authorizes appropriations for FY 1986 and 1987 for the Inter-American Foundation.

Directs the President to provide to the Congress in the annual reports on foreign aid a complete accounting of all aid provided during FY 1986 and 1987 for Latin America and the Caribbean under the Foreign Assistance Act of 1961 and the Arms Export Control Act. Sets forth information to be included in such reports.

Declares that the ban on using foreign aid funds for foreign law enforcement agencies shall not apply with respect to a country which has a longstanding democratic tradition, does not have standing armed forces, and does not engage in a consistent pattern of gross violations of human rights.

Authorizes providing assistance to law enforcement agencies in Honduras or El Salvador for FY 1986 and 1987 if the President notifies the Congress of a specified determination at least 30 days before providing the assistance.

Declares that development assistance and Economic Support Fund assistance for Latin American and Caribbean countries should be provided to the maximum extent possible through established private and voluntary organizations.

Authorizes the President to furnish Economic Support Fund assistance to countries and organizations to strengthen the administration of justice in Latin America and the Caribbean.

Limits the amounts available for such assistance and the types of such assistance. Prohibits obligating funds for such assistance unless the Congress has been notified 15 days before such obligation. Terminates such assistance on September 30, 1987.

Expresses the sense of the Congress that: (1) the President should enter into negotiations with Central American countries to establish a Central American Development Organization; and (2) the Organization should be based on specified principles. Authorizes the President to participate in such Organization. Directs the Administrator of AID to prepare a proposal to carry out U.S. participation in such Organization and to keep the Congress informed concerning the development of such proposal. Directs the President to transmit to the Congress the text of any agreement the President proposes to sign providing for the establishment of and U.S. participation in such Organization at least 60 days before the President signs such agreement. Provides for congressional review of such agreement.

Directs the President during FY 1986 or 1987 to notify the Congress at least 30 days before assigning or detailing U.S. armed forces to any Central American country for joint military exercises.

Urges the President to develop a plan for the expanded use of employee stock ownership plans in all U.S. development efforts in Central America and the Caribbean. Declares that the President should report to the Congress on the feasibility of such a plan.

Directs the President to invite Caribbean countries and other specified countries to participate in an International Advisory Commission for the Caribbean Region. Sets forth the functions of the Commission. Provides for funding the organizational meeting of the Advisory Commission out of development assistance funds. Provides for congressional review of costs of U.S. participation in the Commission. Provides for the appointment of U.S. representatives to, and observers of, the Commission.

Amends the International Security and Development Cooperation Act of 1981 to exclude from the prohibition on arms sales to Chile certain safety-related aircraft equipment.

Expresses the sense of the Congress that FY 1986 and 1987 agricultural development funds should be used for a comprehensive rural electrification program in Central America.

Expresses the sense of the Congress that current Mexican procedures and practices constitute a significant impediment to transporting international trade through Mexican territory. Directs the Secretary of State to initiate negotiations with Mexico aimed at reducing or eliminating such trade impediments. Directs the Secretary to report to the Congress on such negotiations by January 1, 1986.

Authorizes appropriations for humanitarian assistance to the Nicaraguan democratic resistance which funds shall be provided through any U.S. agency except the Central Intelligence Agency or the Department of Defense. Authorizes appropriations for the expenses arising from the implementation by the Contadora nations of an agreement among the Central American countries based on the Contadora Document of Objectives of September 9, 1983. Imposes certain prohibitions on such authorizations.

Urges the President to: (1) pursue the use of diplomatic and economic steps to resolve the conflict in Nicaragua; (2) suspend military maneuvers in Honduras and off Nicaragua's coast, and to lift the trade embargo with Nicaragua if Nicaragua agrees to a cease fire to open a dialog with the democratic resistance, and to suspend the state of emergency; and (3) resume bilateral discussions with Nicaragua.

Directs the President to report to the Congress every 90 days on the President's diplomatic dealings with Nicaragua and on the aid provided to the Nicaraguan resistance and to the Contadora process. Requires the President to include in such reports information about alleged human rights abuses of the resistance forces and of the government of Nicaragua.

Authorizes the President to ask the Congress for authority to provide additional assistance for the peace process if the President determines that: (1) Contadora negotiations show promise of producing an agreement; or (2) other economic measures will aid in a resolution of the conflict or to stabilization in the region. Authorizes the President to ask the Congress for authority to provide additional assistance for the Nicaraguan democratic resistance if the President determines that: (1) the Contadora negotiations have failed to produce an agreement; or (2) other trade and economic measures have failed to resolve the conflict. Provides for expedited congressional consideration of such requests.

Condemns the consistent pattern of gross violations of internationally recognized human rights by Cuba and the provision by Cuba of material aid and personnel support for purposes of subversion. Calls upon Cuba to restore civil liberties, cease violating human rights, and cease supporting subversion.

Directs the President to establish procedures to ensure that humanitarian aid to the Nicaraguan democratic resistance is not diverted to acquire weapons or other such equipment. Directs the President to suspend such assistance if the President determines that the Nicaraguan resistance forces engage in a consistent pattern of human rights violations. Directs the Secretary of State to report to the Congress every six months on the human rights practices of such forces.

Directs the Secretary of State to report to the Congress by January 1, 1986, on: (1) the magnitude of the foreign debt crisis in this hemisphere; (2) the impact of the crisis on the economies of Latin American countries; (3) the degree to which national security interests are affected; and (4) the U.S. policy on such crises.

Earmarks specified amounts of the FY 1986 and 1987 Economic Support Fund authorizations for Uruguay.

Title VIII: Africa - Sets forth criteria which shall govern the uses made of imports by African countries through agreements which provide for the use of FY 1986 and 1987 Economic Support Fund assistance to finance such imports by those countries. Requires the agency primarily responsible for administering development assistance programs to evaluate annually the extent to which such criteria are met.

Earmarks specified amounts of FY 1986 and 1987 Economic Support Fund assistance for regional programs in southern Africa. Allocates half of such funds to assist sector projects supported by the Southern Africa Development Coordination Conference (SADCC). Directs the Administrator of the agency primarily responsible for administering development assistance to study and report to the Congress on: (1) the assistance that such agency provides to SADCC and other African regional institutions and ways to improve such assistance; and (2) the establishment of a bureaucratic mechanism within such agency to coordinate assistance to all African regional institutions.

Prohibits using FY 1986 and 1987 Economic Support Fund assistance for education or training programs that are conducted by or through organizations in South Africa that are financed or controlled by South Africa's government. Permits such funds to be used only in programs which reflect the objective of the majority of South Africans to end apartheid.

Allocates half of the FY 1986 and 1987 Economic Support Fund assistance that is earmarked for the Human Rights Fund for South Africa for assistance for political detainees, prisoners, their families, and for support for actions to resist the implementation of apartheid.

Expresses the sense of the Congress that the Director of the USIA should make a grant for each of FY 1986 and 1987 to the National Endowment for Democracy for financing programs that promote democracy and seek to end apartheid in South Africa. Provides that such a program should not be controlled by South Africa's government.

Requires the FY 1986 and 1987 Economic Support Fund assistance for Zaire to be used only for assistance which is provided in accordance with the development assistance provisions of the Foreign Assistance Act of 1961. Limits the amount of FY 1986 and 1987 military assistance for Zaire. Prohibits providing financing for Zaire under the Arms Export Control Act during FY 1986 and 1987.

Earmarks specified amounts of FY 1986 and 1987 Economic Support Fund assistance for Tunisia.

Declares that it is U.S. policy to base the provision of security assistance to Sudan on the expectation that Sudan will make progress toward reaching a political settlement with all parties to the conflict in the south of Sudan.

Declares that U.S. security assistance for FY 1986 and 1987 for Liberia is based on the expectation of a successful completion of free and fair elections and on a return to full civilian, constitutional rule.

Declares that it is U.S. policy to support a negotiated political solution to the conflict in the Western Sahara, to encourage a peaceful internationally recognized settlement, and to maintain direct contacts with all the parties to the conflict.

Declares that it is U.S. policy to support Morocco's defense needs and to discourage aggression by any country in North Africa against another. Prohibits U.S. armed forces personnel from performing defense services or conducting international military education and training activities in the Western Sahara while there is not an internationally recognized settlement in the Western Sahara.

Authorizes additional FY 1986 and 1987 appropriations for the Sahel development program. Requires grants to be made of host governments of such program to help them enhance their administrative capabilities.

Amends the African Development Foundation Act to authorize appropriations for FY 1986 and 1987 for the African Development Foundation. Extends the authorities of the Foundation through September 30, 1990.

Amends the International Security and Development Cooperation Act of 1980 to repeal the Clark amendment prohibiting aid for military or paramilitary operations in Angola.

Prohibits using funds authorized by this Act for economic or development aid to Mozambique. Terminates this prohibition if the President certifies to the Congress by September 30, 1986, that the number of foreign military advisers and troops in Mozambique does not exceed 55.

Expresses the sense of the Congress that: (1) Ethiopia's government should be condemned for failing to ameliorate the drought and famine conditions throughout its countryside; (2) Ethiopia should allocate more of its resources toward the development of a more balanced and effective agrarian system; (3) human rights groups in Ethiopia should be supported; (4) Ethiopia should initiate a genuine policy of national reconciliation; (5) relations between the United States and Ethiopia would improve if Ethiopia's treatment of its people and respect for human rights improve; (6) the President should convey these congressional concerns to Ethiopia; and (7) the President should also convey these concerns to U.S. allies and urge their cooperation in efforts to ensure a more responsible Ethiopia.

Directs the President, within 30 days of enactment of this Act, to report to the Congress whether Ethiopia is conducting a deliberate policy of starving and not granting basic human rights to its people. Prohibits imports from and exports to (except for emergency relief) Ethiopia if the President reports such findings and the Congress enacts a joint resolution approving such findings. Suspends all economic aid to Ethiopia (other than disaster assistance and aid for needy people).

Title IX: Food and Agricultural Assistance - Amends the Foreign Assistance Act of 1961 to authorize the President to continue U.S. participation in and contributions to the International Fund for Agricultural Development. Authorizes appropriations to meet the U.S. pledge for the second replenishment for the International Fund for Agricultural Development.

Amends the Agricultural Trade Development and Assistance Act of 1954 to set the minimum quantities of farm commodities to be distributed under title II of such Act for FY 1987 through 1989. Authorizes furnishing such commodities for direct distribution, sale, barter, or other appropriate disposition.

Requires consideration to be given, in the case of commodities distributed by nonprofit voluntary agencies, to nutritional and development objectives.

Requires consideration to be given to using the expertise of U.S. nonprofit voluntary agencies and cooperatives in developing and carrying out the Food for Development Programs.

Encourages the President to approve, upon request of a nonprofit voluntary agency, a multiyear commitment to provide agricultural commodities for that agency for nonemergency assistance, unless the President determines that such agreement should be limited to one year's duration.

Authorizes using foreign currency proceeds from certain agricultural sales to immunize certain children. Declares that the target for such immunization program shall be to provide for the immunization by FY 1987 of at least three million more children annually than receive such immunizations in FY 1985. Requires the President to report to the Congress on such immunizations.

Requires assistance under the food for development program to be used for education programs.

Earmarks at least one-tenth of one percent of the FY 1986 and 1987 funds available to carry out the Agricultural Trade Development and Assistance Act of 1954 for the farmer-to-farmer assistance program of such Act. Requires the Administrator of the Agency for International Development to report to the Congress on such program.

Requires the President to make quarterly reports to the Congress on programming of food assistance under title II of Public Law 480.

Authorizes the President to negotiate agreements with developing countries which have made commitments to agricultural policy reforms to furnish agricultural commodities to such countries on a grant basis to support reform and implementation of agricultural policy decisions based on free market principles. Designates such an agreement a Food for Progress Program. Requires that the President, in making such agreements, shall be satisfied that the recipient country is committed to carry out or is carrying out policies that promote economic freedom, private production of food commodities, and the creation and expansion of efficient domestic markets for such commodities.

Authorizes the President to negotiate and carry out agreements with friendly countries for the sale of farm commodities for foreign currencies. Requires such currencies to be used for: (1) loans for economically productive activities within those countries, particularly agricultural activities; and (2) payment of U.S. obligations. Requires the President to be assured, before entering into such agreements, that the recipient country is pursuing policies to encourage increased agricultural production in that country.

Authorizes the Commodity Credit Corporation (CCC) to use certain funds to carry out this Act. Directs the CCC to make agricultural commodities available for such purposes.

Amends the Agricultural Act of 1949 to include rice among the surplus commodities acquired through price support operations that may be used for Public Law 480 famine relief programs.

Expresses the sense of the Congress that the programs carried out by the International Fund for Agricultural Development and the programs carried out pursuant to the Agricultural Trade Development and Assistance Act of 1954 are valuable programs and should receive adequate funding.

Title X: Peace Corps - Amends the Peace Corps Act to authorize appropriations for the Peace Corps for FY 1986 and 1987. Declares that it is U.S. policy and a purpose of the Peace Corps to provide, to the maximum extent possible, opportunities for service in the Peace Corps to at least 10,000 individuals by the end of FY 1989. Requires the President to report to the Congress on the plans developed to carry out such policy.

Increases the limit on the number of years of a Foreign Service appointment to the Peace Corps from five to seven and a half years.

Authorizes selling at cost technical publications produced by the Peace Corps. Authorizes crediting to the Peace Corps a specified amount of the proceeds of such sales.

Title XI: Other Policy Provisions Relating to United States Assistance- Amends the Foreign Assistance Act of 1961 to require the President to notify the Congress before removing a ban on aid because of human rights improvements and before taking into account a country's human rights record with respect to providing aid under the Arms Export Control Act.

Authorizes the President to remove a country from the list of communist countries which may not receive any U.S. aid if the President determines and reports to the Congress that such action is important to the national interest. Expresses the sense of the Congress that when consideration is given to authorizing aid to such a country one of the factors to be weighed is whether the country in question is giving evidence of fostering the establishment of a genuinely democratic system.

Excludes from the prohibition on using aid funds to compensate owners for expropriated or nationalized property funds made available to a government to compensate nationals of that country in accordance with a land reform program.

Prohibits furnishing Pakistan with military equipment or technology unless the President certifies to the Congress during the fiscal year in which such assistance is furnished that Pakistan does not possess a nuclear explosive device and that the proposed U.S. aid program will reduce significantly the risk that Pakistan will possess such a device.

Prohibits, subject to a specified exception, providing military assistance or extending foreign military financing to a non-nuclear weapon state which on or after enactment of this Act exports illegally from the United States any material, equipment, or technology which would contribute significantly to the ability of such country to build a nuclear explosive device, if the President determines that such illegal exports were to be used by such country to build such a device.

Requires the President to report annually to the Congress regarding economic conditions prevailing in Egypt, Israel, Turkey, and Portugal which may affect their respective ability to meet their international debt obligations and to stabilize their economies.

Expresses the sense of the Congress that all U.S. foreign assistance to Egypt is provided in the expectation that Egypt will continue to try to bring peace to the region and that it will continue to support the Camp David Accords and the Egyptian-Israeli Peace treaty.

Declares that it is U.S. policy to help South Korea defend itself against external aggression. Expresses the hope that continued close relations between South Korea and the United States will encourage the establishment of a genuinely democratic system in South Korea.

Expresses the sense of the Congress that the United States should use all appropriate means to assure that it is understood that U.S. assistance to the Philippines: (1) is provided to support democracy, to encourage an effective effort against the communist insurgency, and to maintain and foster friendly relations between the United States and the Philippines; and (2) is not intended to imply support for any particular Philippine regime. Sets forth objectives that U.S. foreign aid to the Philippines should promote. Requires the President to report to the Congress on the progress of the Philippines in reaching such objectives and on the assistance transferred by the United States to the Philippines. Requires the first report to include an analysis of the feasibility of distributing as much U.S. economic assistance to the Philippines as possible through the Catholic Church, private and voluntary organizations, and cooperatives.

Expresses the sense of the Congress that: (1) all parties in Sri Lanka should renew their efforts to achieve a joint political settlement which meets the legitimate concerns of all the people of Sri Lanka while preserving the territorial integrity of Sri Lanka; and (2) all parties outside Sri Lanka should not impede progress toward a settlement.

Authorizes the President to make funds authorized by this Act for development assistance and for the Economic Support Fund available for aid to the Afghan people. Earmarks specified amounts of such assistance for humanitarian aid to the Afghan people.

Prohibits providing assistance under the Foreign Assistance Act of 1961 or the Arms Export Control Act to countries whose votes in the United Nations General Assembly opposed the U.S. position more often than the Soviet Union.

Title XII: Miscellaneous Provisions - Excludes from the prohibition against using foreign aid funds to procure construction or engineering services from advanced developing countries, those advanced developing countries which: (1) are receiving direct development assistance or Economic Support Fund assistance; and (2) permit U.S. firms to compete for construction or engineering services procured by such countries.

Increases from $100,000 to $500,000 the minimum amount of a foreign aid agreement or grant which may be made only after specified plans and cost estimates have been completed.

Directs the President to notify the Congress concerning any reprogramming of funds in the International Affairs Budget Function.

Expresses a reaffirmation of U.S. policy prohibiting negotiations with the PLO so long as the PLO does not recognize Israel's right to exist and does not accept Security Council Resolutions 242 and 338.

Establishes a commission to be known as the Commission for the Preservation of America's Heritage Abroad. Requires the Commission to: (1) identify and publish a list of cemeteries, monuments, and historic buildings abroad which are associated with the foreign heritage of U.S. citizens from eastern and central Europe; (2) encourage the preservation and protection of such places by obtaining assurances from foreign governments that they will be preserved and protected; and (3) prepare and disseminate reports on the condition of and progress toward preserving and protecting such places.

Calls on the Soviet Union to: (1) release Anatoly Shcharansky, Yosef Begun, and all other prisoners of conscience, and allow them to leave the Soviet Union; (2) issue exit permits to the many known long-term "refuseniks"; and (3) allow Jews to leave the Soviet Union.

Expresses the sense of the Congress that Japan should be strongly encouraged in its plans to develop and implement a 1986-1990 Mid-Term Defense Plan.

Expresses the sense of the Congress that all civilized nations should condemn the increasing use of terrorism as an official instrument for promoting a state's goals.

Requires the Secretary of State and the Director of the Arms Control and Disarmament Agency to study and report to specified congressional committees on additional measures which both enhance U.S. security and reduce the likelihood of nuclear weapons use. Sets forth specified items to be considered in such study.

Directs the Secretary of State to initiate the international arbitration process within 30 days of enactment of this Act in order to resolve all U.S. claims against the Soviet Union for damages arising from delays in the construction of the new U.S. embassy in Moscow. Directs the Secretary to report to the Congress on such process within one year of enactment of this Act. Directs the Secretary to refuse to permit the Soviet Union to occupy the chancery building in Washington if the Soviet Union refuses to arbitrate, unless the President suspends such action.

Directs the Secretary of Commerce to establish, within 90 days of enactment of this Act, a Federal Coal Export Commission which shall meet at least four times a year for consultation on activities leading to increased cooperation among entities involved in U.S. coal exports, with the goal of expanding the U.S. share of the international coal market. Requires the Commission to examine the potential for small- and medium-sized coal companies to enter the export coal trade through export trading companies. Requires the Commission to submit its report to the President and the Congress within two years of its first meeting. Terminates the Commission upon submission of its report.

Requires the head of an agency using the Foreign Service personnel system to develop an affirmative action effort designed to increase the number of members of minority groups and women in the Foreign Service in that agency. Requires such efforts to emphasize achieving significant increases in the numbers of minority group members and women who are in the mid-levels and senior-levels of the Foreign Service. Declares that the goal of such efforts shall be to have the representation of minority groups and women in the Foreign Service at least equivalent to those groups' respective proportions within the U.S. labor force. Requires the head of an agency to report annually to the Congress on such efforts.

Directs the Secretary of State to report to the Congress within 90 days of enactment of this Act on whether employees of the United Nations are required to return all or part of their salaries to their respective governments. Requires the Secretary to report to the Congress whether progress has been made by January 1, 1987, in changing such practice. Requires the United States to reduce the U.S. contribution to the United Nations if substantial progress in changing such practice is not made.

Expresses the sense of the Congress that: (1) Cambodians, Laotians, and Vietnamese seeking asylum and refuge in Thailand should not be involuntarily repatriated or otherwise put at risk; and (2) every effort should be made to provide increased security for refugees in camps in Thailand.

Declares that the Secretary of State should: (1) work with Thailand and the United Nations High Commissioner for Refugees to review the status of Cambodians who have not been permitted to register at refugee camps in Thailand; (2) implement a humanitarian solution to their plight; (3) review the rejections of Cambodians who have sought admission to the United States; (4) institute a family reunification program for those refugees in Thailand; and (5) provide educational assistance for Cambodians in the border camps and improved literacy training in all camps.

Title XIII: Prohibits using funds authorized by this Act for military aid for Mozambique.

Title XIV: Ban on Importing Uranium and Coal from South Africa and Namibia - Prohibits importing coal, uranium ore, and uranium oxide from South Africa and Namibia.