United States-South Africa Relations Act of 1985

United States-South Africa Relations Act of 1985 - Amends the Foreign Assistance Act of 1961 to earmark specified amounts of the education development assistance funds to finance scholarships for black South Africans who are attending universities, colleges, and secondary schools in South Africa and who are selected by a national or regional panel of educators appointed by the chief of the U.S. diplomatic mission to South Africa.

Earmarks a specified amount of the funds available for human rights assistance for grants to nongovernmental organizations in South Africa. Requires such grants to be made by the Assistant Secretary of State for Human Rights and Humanitarian Affairs.

Directs the Secretary of State (the Secretary) and other heads of Federal agencies to make every effort in procuring goods and services to assist business enterprises having more than 50 percent beneficial ownership by South African blacks or other nonwhite South Africans.

Permits the Overseas Private Investment Corporation to issue investment insurance, reinsurance, and loan guaranties in connection with a project in South Africa, notwithstanding the absence of an agreement with South Africa, if such investment is otherwise eligible except that: (1) the issuance of such insurance, reinsurance, or guaranty shall only be made to promote joint ventures between businesses controlled by South African blacks or other nonwhite South Africans and businesses controlled or owned by U.S. nationals; and (2) the U.S. national holds a minority interest or agrees to relinquish its majority interest during the course of the joint venture.

Amends the Export-Import Bank Act of 1945 to direct the Export-Import Bank to take active steps to encourage the use of its facilities to guarantee, insure, extend credit, or participate in the extension of credit to businesses in South Africa that are majority owned by South African blacks or other nonwhite South Africans.

Expresses the sense of the Congress that the labor practices used by the United States Government for hiring South Africans, for paying South Africans for employment services, and for the employment of South Africans arranged by contract should represent the best American labor practices and should serve as a model for the labor practices of U.S. nationals in South Africa. Requires such Government labor practices to be governed by the specified principles of labor practice.

Expresses the sense of the Congress that any U.S. national that employs more than 25 persons in South Africa should take the necessary steps to insure that certain principles relating to employment practices are implemented. Prohibits any Federal assistance for any such U.S. employer that is not a signatory to specified principles relating to employment practices. Sets forth such principles.

Authorizes the Secretary to issue guidelines and upon request, advisory opinions on compliance with such principles.

Prohibits issuing a license for the export to South Africa of goods or technology which are to be used in a nuclear production or utilization facility or which are likely to be diverted for use in such a facility. Prohibits authorizing the production of any special nuclear material in South Africa. Prohibits issuing a license for the export to South Africa of certain items relating to nuclear explosives. Prohibits approving the retransfer to South Africa of any such goods, technology, special nuclear materials, or items. Declares that such prohibitions shall not apply if the Secretary determines and certifies to the Congress that South Africa is a party to the 1968 Treaty on the Non-Proliferation of Nuclear Weapons.

Directs the Secretary to reduce the number of South African consulates in the United States by the number of such consulates which exceeds the number of U.S. consulates in South Africa.

Directs the Federal Aviation Administration to take such action as necessary to assure that no South African Airways aircraft may be permitted to land in the United States except in an emergency.

Prohibits U.S. nationals from making loans or extending credit to South Africa or to organizations owned or controlled by South Africa. Exempts from such prohibition loans or extensions of credit: (1) for any educational, housing, or health project which is available to all persons on a nondiscriminatory basis and is located in an area accessible to all population groups; and (2) which were entered into before enactment of this Act.

Expresses the sense of the Congress that the President should consult with the heads of allied governments at the next economic summit meeting on allied policy toward South Africa and the apartheid system.

Directs the Secretary to conduct a study and report to the Congress by September 1, 1985, on the extent of starvation and malnutrition now prevalent in the homelands areas of South Africa.