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Sec. 466.361,367 Definitions.-For the purposes of this chapter, the term "Central American countries" includes Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panama, and regional programs which benefit such countries.

Chapter 7-Debt-For-Nature Exchanges 368

Sec. 461.369 Definition. For purpose of this chapter, the term "debt-for-nature exchange" means the cancellation or redemption of the foreign debt of the government of a country in exchange for(1) that government's making available local currencies (including through the issuance of bonds) which are used only for eligible projects involving the conservation or protection of the environment in that country (as described in section 463); 370

or

(2) that government's financial resource or policy commitment to take certain specified actions to ensure the restoration, protection, or sustainable use of natural resources within that country; or

(3) a combination of assets and actions under both paragraphs (1) and (2).

Sec. 462.371 Assistance for Commercial Debt Exchanges.— (a) The Administrator of the Agency for International Development is authorized to furnish assistance, in the form of grants on such terms and conditions as may be necessary, to nongovernmental organizations for the purchase on the open market of discounted commercial debt of a foreign government of an eligible country which will be canceled or redeemed under the terms of an agreement with that government as part of a debt-for-nature exchange.

(b) Notwithstanding any other provision of law, a grantee (or any subgrantee) of the grants referred to in subsection (a) may retain, without deposit in the Treasury of the United States and without further appropriation by Congress, interest earned on the proceeds of any resulting debt-for-nature exchange pending the disbursements of such proceeds and interest for approved program purposes, which may include the establishment of an endowment, the income of which is used for such purposes.

Sec. 463.372 Eligible Projects. (a) The Administrator of the Agency for International Development shall seek to ensure that debt-for-nature exchanges under this chapter support one or more

367 22 U.S.C. 2276.

368 Chapter 7, as enacted in the Foreign Assistance Act of 1966 (Public Law 89-583), titled: "Joint Commissions on Rural Development", was repealed by sec. 604 of the International Development and Food Assistance Act of 1978 (Public Law 95-424; 92 Stat. 961). A new ch. 7 was added by sec. 711 of the International Development and Finance Act of 1989 (Public Law 101240; 103 Stat. 2521).

369 22 U.S.C. 2281. All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Should read “Sec. 471".

370 All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Reference should read "section 473". 37122 U.S.C. 2282. All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Should read "Sec. 472".

372 22 U.S.C. 2283. All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Should read "Sec.

of the following activities by either the host government, a local private conservation group, or a combination thereof:

(1) restoration, protection, or sustainable use of the world's oceans and atmosphere;

(2) restoration, protection, or sustainable use of diverse animal and plant species;

(3) establishment, restoration, protection, and maintenance of parks and reserves;

(4) development and implementation of sound systems of natural resource management;

(5) development and support of local conservation programs; (6) training programs to strengthen conservation institutions and increase scientific, technical, and managerial capabilities of individuals and organizations involved in conservation efforts;

(7) efforts to generate knowledge, increase understanding, and enhance public commitment to conservation;

(8) design and implementation of sound programs of land and ecosystem management; and

(9) promotion of regenerative approaches in farming, forestry, fishing, and watershed management.

(b)(1) In cooperation with nongovernmental organizations, the Administrator of the Agency for International Development shall seek to identify those areas, which because of an imminent threat, are in particular need of immediate attention to prevent the loss of unique biological life or valuable ecosystem.

(2) The Administrator of the Agency for International Development shall encourage as many eligible countries as possible to propose such exchanges with the purpose of demonstrating to a large number of governments the feasibility and benefits of sustainable development.

Sec. 464.373 Eligible Countries.-In order for a foreign country to be eligible to participate in a debt-for-nature exchange under this chapter, the Administrator of the Agency for International Development shall determine that

(1) the host country is fully committed to the long-term viability of the program or project that is to be undertaken through the debt-for-nature exchange;

(2) a long-term plan has been prepared by the host country, or private conservation group, which adequately provides for the long-term viability of the program or project that is to be undertaken through the debt-for-nature exchange or that such a plan will be prepared in a timely manner; and

(3) there is a government agency or a local nongovernmental organization, or combination thereof, in the host country with the capability, commitment, and record of environmental concern to oversee the long-term viability of the program or project that is to be undertaken through the debt-for-nature exchange.

373 22 U.S.C. 2284. All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Should read "Sec.

Sec. 465.374 Terms and Conditions. (a) The terms and conditions for making grants under this chapter shall be deemed to be fulfilled upon final approval by the Administrator of the Agency for International Development of the debt-for-nature exchange, a certification by the nongovernmental organization that the host government has accepted the terms of the exchange, and that an agreement has been reached to cancel the commercial debt in an agreed upon fashion.

(b) Grants made under this section are intended to complement, and not substitute for, assistance otherwise available to a foreign country under this Act or any other provision of law.

(c) The United States Government is prohibited from accepting title or interest in any land in a foreign country as a condition on the debt exchange.

Sec. 466.375 Pilot Program for Sub-Saharan Africa. (a) The Administrator of the Agency for International Development, in cooperation with nongovernmental conservation organizations, shall invite the government of each country in sub-Saharan Africa to submit a list of those areas of severely degraded national resources which threaten human survival and well-being and the opportunity for future economic growth or those areas of biological or ecological importance within the territory of that country.

(b) The Administrator of the Agency for International Development shall assess the list submitted by each country under subsection (a) and shall seek to reach agreement with the host country for the restoration and future sustainable use of those areas.

(c)(1) The Administrator of the Agency for International Development is authorized to make grants, on such terms and conditions as may be necessary, to nongovernmental organizations for the purchase on the open market of discounted commercial debt of a foreign government of an eligible sub-Saharan country in exchange for commitments by that government to restore natural resources identified by the host country under subsection (a) or for commitments to develop plans for sustainable use of such resources.

(2) Notwithstanding any other provision of law, a grantee (or any subgrantee) of the grants referred to in section (a) may retain, without deposit in the Treasury of the United States and without further appropriation by Congress, interest earned on the proceeds of any resulting debt-for-nature exchange pending the disbursements of such proceeds and interest for approved program purposes, which may include the establishment of an endowment, the income of which is used for such purposes.

374 22 U.S.C. 2285. All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Should read "Sec. 475".

376 22 U.S.C. 2286. All sections in ch. 7 are misnumbered, as enacted by the International Development and Finance Act of 1989 (Public Law 101-240; 103 Stat. 2521). Should read "Sec.

Chapter 8-International Narcotics Control 376

SEC. 481.977 POLICY, GENERAL AUTHORITIES, COORDINATION, FOREIGN POLICE ACTIONS, DEFINITIONS, AND OTHER PROVI. SIONS.

(a) POLICY AND GENERAL AUTHORITIES.—

(1) STATEMENTS OF POLICY.-(A) International narcotics trafficking poses an unparalleled transnational threat in today's world, and its suppression is among the most important foreign policy objectives of the United States.

(B) Under the Single Convention on Narcotic Drugs, 1961, and under the United Nations Convention Against Illicit Traffic in Narcotic Drugs and Psychotropic Substances, the parties are required to criminalize certain drug-related activities, provide appropriately severe penalties, and cooperate in the extradition of accused offenders.

(C) International narcotics control programs should include, as priority goals, the suppression of the illicit manufacture of and trafficking in narcotic and psychotropic drugs, money laundering, and precursor chemical diversion, and the progressive elimination of the illicit cultivation of the crops from which narcotic and psychotropic drugs are derived.

(D) The international community should provide assistance, where appropriate, to those producer and transit countries

376 Chapter 8 was added by sec. 109 of the FA Act of 1971. See other legislation on international narcotics control in Legislation on Foreign Relations Through 1994, vol. I-B.

377 22 U.S.C. 2291. Sec. 1519(a) of the Housing and Community Development Act of 1992 (Public Law 102-550; 106 Stat. 4060) amended sec. 481 at subsec. (a) by redesignating former subpar. (E) as (F), and inserting a new (E) which provided:

"(E) the objective of the United States in dealing with the problem of international money laundering should be to ensure that countries adopt comprehensive domestic measures against money laundering and cooperate with each other in narcotics money laundering investigations, prosecutions, and related forfeiture actions; and".

Sec. 1519(b) of Public Law 102-550, furthermore, amended sec. 481(e) to require a report on major money laundering countries.

Sec. 4 of the International Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4914), however, substantially amended and restated sec. 481. Sec. 4(a) struck the section designation, section heading, and subsection (a), and restated these through subpar. (F).

Chapter 8 was originally added by sec. 109 of the FA Act of 1971. See other legislation on international narcotics control in Legislation on Foreign Relations Through 1994, vol. I-B. The original sec. 481 read as follows:

"It is the sense of the Congress that effective international cooperation is necessary to put an end to the illicit production, trafficking in, and abuse of dangerous drugs. In order to promote such cooperation, the President is authorized to conclude agreements with other countries to facilitate control of the production, processing, transportation, and distribution of narcotic analgesics, including opium and its derivatives, other narcotic drugs and psychotropics and other controlled substances as defined in the Comprehensive Drug Abuse Prevention and Control Act of 1970 (Public Law 91-513). Notwithstanding any other provision of law, the President is authorized to furnish assistance to any country or international organization, on such terms and conditions as he may determine, for the control of the production of, processing of, and traffic in, narcotic and psychotropic drugs. In furnishing such assistance the President may use any of the funds made available to carry out the provisions of this Act. The President shall suspend economic and military assistance furnished under this or any other Act, and shall suspend sales under the Foreign Military Sales Act and under title I of the Agriculture Trade Development and Assistance Act of 1954 with respect to any country when the President determines that the government of such country has failed to take adequate steps to prevent_narcotic drugs and other controlled substances (as defined by the Comprehensive Drug Abuse Prevention and Control Act of 1970) produced or processed, in whole or in part, in such country, or transported through such country, from being sold illegally within the jurisdiction of such country to United States Government personnel or their dependents, or from entering the United States unlawfully. Such suspension shall continue until the President determines that the government of such country has taken adequate steps to carry out the purposes of this chapter.".

Sec. 481(a) had been amended previously by sec. 503 of the Foreign Relations Authorization Act of 1972, sec. 11 of the FA Act of 1973, sec. 1003(a) of the Department of State Authorization Act, Fiscal Years 1984 and 1985, sec. 4502 of the International Narcotics Control Act of 1988, and sec. 17 of the International Narcotics Control Act of 1989.

which require assistance in discharging these primary obligations.

(E) The objective of the United States in dealing with the problem of international money laundering is to ensure that countries adopt comprehensive domestic measures against money laundering and cooperate with each other in narcotics money laundering investigations, prosecutions, and related forfeiture actions.

(F) Effective international cooperation is necessary to control the illicit cultivation, production, and smuggling of, trafficking in, and abuse of narcotic and psychotropic drugs.

(2) In order to promote such cooperation, the President is authorized to conclude agreements, including reciprocal maritime agreements,378 with other countries to facilitate control of the production, processing, transportation, and distribution of narcotics analgesics, including opium and its derivatives, other narcotic and psychotropic drugs, and other controlled substances.

(3) 379 In order to promote international cooperation in combating international trafficking in illicit narcotics, it shall be the policy of the United States to use its voice and vote in multilateral development banks to promote the development and implementation in the major illicit drug producing countries of programs for the reduction and eventual eradication of narcotic drugs and other controlled substances, including appropriate assistance in conjunction with effective programs of illicit crop eradication.

(4) 379 Notwithstanding any other provision of law, the President is authorized to furnish assistance to any country or international organization, or such terms and conditions as he may determine, for the control of narcotic and psychotropic drugs and other controlled substances.

(b) 380 COORDINATION OF ALL UNITED STATES ANTINARCOTICS AsSISTANCE TO FOREIGN COUNTRIES.

(1) RESPONSIBILITY OF SECRETARY OF STATE. Consistent with subtitle A of title I of the Anti-Drug Abuse Act of 1988, the Secretary of State shall be responsible for coordinating all assistance provided by the United States Government to support international efforts to combat illicit narcotics production or trafficking.

(2) RULE OF CONSTRUCTION.-Nothing contained in this subsection or section 489(b) shall be construed to limit or impair the authority or responsibility of any other Federal agency with respect to law enforcement, domestic security operations, or intelligence activities. as defined in Executive Order 12333.381

378 Sec. 4(b) of the International Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4915) inserted", including reciprocal maritime agreements,".

379 Par. (3) was added by sec. 2017 of Public Law 99-570 (100 Stat. 3207-68). Sec. 2017 redesignated the previous par. (3) as par. (4).

380 Sec. 4(c) of the International Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4915) amended and restated subsec. (b). Originally, subsec. (b) was added to sec. 481 by sec. 11(a) of the FA Act of 1973. This subsection has previously been amended and restated by sec. 17(b) of the International Narcotics Control Act of 1989, and sec. 604 of the International Security and Development Cooperation Act of 1985.

381 For text, see Legislation on Foreign Relations Through 1993, vol. II, sec. D.

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