available by appropriations legislation to carry out this chapter. (b) The aggregate total of credits, or participations in credits, extented pursuant to this chapter (excluding credits covered by guaranties issued pursuant to section 2764 (b) of this title) and of the face amount of guaranties issued pursuant to sections 2764 (a) and (b) of this title shall not exceed $550,000,000 for the fiscal year 1972, of which amount not less than $300,000,000 shall be made available to Israel only. (As amended Pub. L. 92-226, pt. IV, § 401 (a), (b), Feb. 7, 1972, 86 Stat. 32.) AMENDMENTS 1972-Subsec. (a). Pub. L. 92–226, § 401(a), substituted provision authorizing appropriation of not more than $400,000,000 for the fiscal year 1972, for provisions authorizing appropriation of not more than $250,000,000 for each of the fiscal years 1970 and 1971. Subsec. (b). Pub. L. 92-226, § 401(b), substituted provisions setting out the foreign military sales credit ceiling of $550,000,000 for the fiscal year 1972, of which amount not less than $300,000,000 shall be made available to Israel, for provisions setting out such ceiling of $340,000,000 for the fiscal years 1970 and 1971. § 2773. Regional ceilings on foreign military sales; Presidential waiver; report to Congress; geographical limitations, percentage deviation. (a) The aggregate of the total amount of military assistance pursuant to the Foreign Assistance Act of 1961, as amended, of cash sales pursuant to sections 2761 and 2762 of this title, of credits, or participations in credits, financed pursuant to section 2763 of this title (excluding credits covered by guaranties issued pursuant to section 2764(b) of this title), of the face amount of contracts of guaranty issued pursuant to sections 2764 (a) and (b) of this title, and of loans and sales in accordance with section 7307 of Title 10, shall, excluding training, not exceed $100,000,000 in each fiscal year for Latin American countries. (c) The limitations of this section may not be waived pursuant to any authority contained in this chapter or any other Act unless the President finds that overriding requirements of the national security of the United States justify such a waiver and promptly reports such finding to the Congress in writing, together with his reasons for such finding. In any case in which the limitations of this section are waived under the preceding sentence, the report required under such sentence shall set forth, in detail, the expenditures proposed to be made in excess of the geographical limitation applicable under this section. Notwithstanding the foregoing provisions of this subsection, in no event shall the aggregate of the total amount of military assistance pursuant to the Foreign Assistance Act of 1961, of cash sales pursuant to sections 2761 and 2762 of this title, of credits, or participations in credits, financed pursuant to section 2763 of this title (excluding credits covered by guaranties issued pursuant to section 2764 (b) of this title), of the face amount of contracts of guaranty issued pursuant to section 2764 (a) and (b) of this title, and of loans and sales in accordance with section 7307 of Title 10, exceed any geographical ceiling applicable under this section by more than an amount equal to 50 per centum of such ceiling. (As amended Pub. L. 92-226, pt. IV, § 401(c), (d), Feb. 7, 1972, 86 Stat. 32.) REFERENCES IN TEXT Foreign Assistance Act of 1961, referred to in the text, is classified to chapter 32 of this title. AMENDMENTS 1972 Subsec. (a). Pub. L. 92-226, § 401(c), substituted "$100,000,000" for "$75,000,000". Subsec. (c) Pub. L. 92-226, § 401 (d), substituted provisions for waiver of limitations when overriding requirements of the national security of the United States justify waiver for prior provisions for such a waiver when important to the security of the United States, required a written report with reasons for findings and statement in detail of expenditures when in excess of applicable geographical limitations, and prescribed percentage limitation for exceeding aggregate of geographical ceiling Imitation. § 2791. General provisions. (a) In carrying out this chapter, special emphasis shall be placed on procurement in the United States, but, subject to the provisions of subsection (b) of this section, consideration shall also be given to coproduction or licensed production outside the United States of defense articles of United States origin when such production best serves the foreign policy, national security, and economy of the United States. In evaluating any sale proposed to be made pursuant to this chapter, there shall be taken into consideration (1) the extent to which the proposed sale damages or infringes upon licensing arrangements whereby United States entities have granted licenses for the manufacture of the defense articles selected by the purchasing country to entities located in friendly foreign countries, which licenses result in financial returns to the United States, (2) the portion of the defense articles so manufactured which is of United States origin, and (3) the extent to which such sale might contribute to an arms race, or increase the possibility of outbreak or escalation of conflict, or prejudice the development of bilateral or multilateral arms control arrangements. (b) No credit sale shall be extended under section 2763 of this title, and no guarantee shall be issued under section 2764 of this title, in any case involving coproduction or licensed, production outside the United States of any defense article of United States origin unless the Secretary of State shall, in advance of any such transaction, advise the appropriate committees of the Congress and furnish the Speaker of the House of Representatives and the President of the Senate with full information regarding the proposed transaction, including, but not limited to, a description of the particular defense article or articles which would be produced under a license or coproduced outside the United States, the estimated value of such production or coproduction, and the probable impact of the proposed transaction on employment and production within the United States. (c) Funds made available under this chapter may be used for procurement outside the United States only if the President determines that such procurement will not result in adverse effects upon the economy of the United States or the industrial mobilization base, with special reference to any areas of labor surplus or to the net position of the United States in its balance of payments with the rest of the world, which outweigh the economic or other advantages to the United States of less costly procurement outside the United States. (d) (1) With respect to sales and guaranties under sections 2761, 2762, 2673, and 2764 of this title, the Secretary of Defense shall, under the direction of the President, have primary responsibility for (A) the determination of military end-item requirements; (B) the procurement of military equipment in a manner which permits its integration with service programs; (C) the supervision of the training of foreign military personnel; (D) the movement and delivery of military enditems; and (E) within the Department of Defense, the performance of any other functions with respect to sales and guaranties. (2) The establishment of priorities in the procurement, delivery, and allocation of military equipment shall, under the direction of the President, be determined by the Secretary of Defense. (As amended Pub. L. 92-226, pt. IV, § 401 (e), (f), Feb. 7, 1972, 86 Stat. 33.) AMENDMENTS 1972-Subsec. (a). Pub. L. 92-226, § 401(e), (f) (1), added item (3) and inserted ", subject to the provisions of subsection (b) of this section," preceding "consideration shall also be given", respectively. Subsec. (b). Pub. L. 92–226, § 401 (f) (2), added subsec. (b). Former subsec. (b) redesignated (c). Subsec. (c), (d). Pub. L. 92-226, § 401(f)(2), redesignated former subsecs. (b) and (c) as (c) and (d). Chapter 41.-STUDY COMMISSION RELATING TO FOREIGN POLICY [NEW] Sec. 2821. Congressional declaration of purpose. 2822. Commission on the organization of the Government for the Conduct of Foreign Policy. 2823. 2824. 2825. (a) Establishment. (b) Composition of membership. (c) Chairman; Vice Chairman. (e) Compensation; reimbursement for travel, Appointment and compensation of personnel; procurement of servcies of experts and consultants. 2826. Authorization of appropriations. § 2821. Congressional declaration of purpose. It is the purpose of this chapter to establish a study commission which will submit findings and recommendations to provide a more effective system for the formulation and implementation of the Nation's foreign policy. (Pub. L. 92-352, title VI, § 601, July 13, 1972, 86 Stat. 497.) SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2822 of this title. § 2822. Commission on the Organization of the Government for the Conduct of Foreign Policy. (a) Establishment. To carry out the purpose of section 2821 of this title, there is established a Commission on the Organization of the Government for the Conduct of Foreign Policy (hereafter referred to in this chapter as the "Commission"). (b) Composition of membership. The Commission shall be composed of the following twelve members: (1) four members appointed by the President, two from the executive branch of the Government and two from private life; (2) four members appointed by the President of the Senate, two from the Senate (one from each of the two major political parties) and two from private life; and (3) four members appointed by the Speaker of the House of Representatives, two from the House of Representatives (one from each of the two major political parties) and two from private life. (c) Chairman; Vice Chairman. The Commission shall elect a Chairman and a Vice Chairman from among its members. (d) Quorum; vacancies. Seven members of the Commission shall constitute a quorum. Any vacancy in the Commission shall not affect its powers, but shall be filled in the same manner in which the original appointment was made. (e) Compensation; reimbursement for travel, subsistence, and other necessary expenses. Each member of the Commission who is not otherwise employed by the United States Government shall receive $145 a day (including traveltime) during which he is engaged in the actual performance of his duties as a member of the Commission. A member of the Commission who is an officer or employee of the United States Government shall serve without additional compensation. All members of the Commission shall be reimbursed for travel, subsistence, and other necessary expenses incurred by them in the performance of their duties. (Pub. L. 92–352, title VI, § 602, July 13, 1972, 86 Stat. 497.) § 2823. Duties of Commission; report to President and Congress; termination of Commission. (a) The Commission shall study and investigate the organization, methods of operation, and powers of all departments, agencies, independent establishments, and instrumentalities of the United States Government participating in the formulation and implementation of United States foreign policy and shall make recommendations which the Commission considers appropriate to provide improved governmental processes and programs in the formulation and implementation of such policy, including, but not limited to, recommendations with respect to (1) the reorganization of the departments, agencies, independent establishments, and instrumentalities of the executive branch participating in foreign policy matters; (2) more effective arrangements between the executive branch and Congress, which will better enable each to carry out its constitutional responsibilities; (3) improved procedures among departments, agencies, independent establishments, and instrumentalities of the United States Government to provide improved coordination and control with respect to the conduct of foreign policy; (4) the abolition of services, activities, and functions not necessary to the efficient conduct of foreign policy; and (5) other measures to promote peace, economy, efficiency, and improved administration of foreign policy. (b) The Commission shall submit a comprehensive report to the President and Congress, not later than June 30, 1974, containing the findings and recommendations of the Commission with respect to its study and investigation. Such recommendations may include proposed constitutional amendments, legislation, and administrative actions the Commission considers appropriate in carrying out its duties. The Commission shall cease to exist on the thirtieth day after the date on which it files the comprehensive report under this subsection. (Pub. L. 92-352, title VI, § 603, July 13, 1972, 86 Stat. 497.) § 2824. Powers of Commission. (a) The Commission or, on the authorization of the Commission, any subcommittee or member thereof, may, for the purpose of carrying out the provisions of this chapter, hold such hearings and sit and act at such times and places, administer such oaths, and require, by subpena or otherwise, the attendance and testimony of such witnesses and the production of such books, records, correspondence, memorandums, papers, and documents as the Commission or such subcommittee or member may deem advisable. Subpenas may be issued under the signature of the Chairman of the Commission, of any such subcommittee, or any designated member, and may be served by any person designated by such Chairman or member. The provisions of sections 192 through 194 of Title 2 shall apply in the case of any failure of any witness to comply with any subpena or to testify when summoned under authority of this section. (b) The Commission is authorized to secure directly from any executive department, bureau, agency, board, commission, office, independent establishment, or instrumentality information, suggestions, estimates, and statistics for the purposes of this chapter. Each such department, bureau, agency, board, commission, office, establishment, or instrumentality is authorized and directed, to the extent authorized by law, to furnish such information, suggestions, estimates, and statistics directly to the Commission, upon request made by the Chairman or Vice Chairman. (Pub. L. 92-352, title VI, § 604, July 13, 1972, 86 Stat. 498.) § 2825. Appointment and compensation of personnel; procurement of services of experts and consultants. (a) The Commission shall have power to appoint and fix the compensation of such personnel as it deems advisable, without regard to the provisions of Title 5 governing appointments in the competitive service, and without regard to the provisions of chapter 51 and subchapter III of chapter 53 of such title relating to classification and General Schedule pay rates. (b) The Commission is authorized to procure the services of experts and consultants in accordance with section 3109 of Title 5, but at rates not to ex Section 201 of Pub. L. 92-412 provided that: "This title [enacting this chapter] may be cited as the 'International Economic Policy Act of 1972"." § 2842. Congressional findings and policy; Council on International Economic Policy: establishment, functions. The Congress finds that there are many activities undertaken by various departments, agencies, and instrumentalities of the Federal Government which, in the aggregate, constitute the domestic and international economic policy of the United States. The Congress further finds that the objectives of the United States with respect to a sound and purposeful international economic policy can be better accomplished through the closer coordination of (1) domestic and foreign economic activity, and (2) in particular, that economic behavior which, taken together, constitutes United States international economic policy. Therefore this Act establishes a Council on International Economic Policy which will provide for (A) a clear top level focus for the full range of international economic issues; deal with international economic policies including trade, investment, balance of payments, and finance as a coherent whole; (B) consistency between domestic and foreign economic policy; and (C) close coordination with basic foreign policy objectives. The Congress intends that the Council shall be provided with the opportunity to (i) investigate problems with respect to the coordination, implementation, and long-range development of international economic policy, and (ii) make appropriate findings and recommendations for the purpose of assisting in the development of a rational and orderly international economic policy for the United States. (Pub. L. 92-412, title II, § 203, Aug. 29, 1972, 86 Stat. 646.) REFERENCES IN TEXT "This Act", referred to in the text, means Pub. L. 92-412, enacted Aug. 29, 1972, which is classified to this chapter and amended sections 2401(3), 2402(6), 2403 (b), (e), 2404, and 2413 of Appendix to Title 50, War and National Defense, and enacted provisions set out as notes under sections 2401, 2403, and 2406 of such Appendix. § 2843. Creation of Council on International Economic Policy. There is created in the Executive Office of the President a Council on International Economic Policy (hereinafter referred to in this chapter as the "Council"). (Pub. L. 92-412, title II, § 204, Aug. 29, 1972, 86 Stat. 647.) § 2844. Membership of Council; Chairman; presiding officer. The Council shall be composed of the following members and such additional members as the President may designate: (1) The President. (2) The Secretary of State. (3) The Secretary of the Treasury. (4) The Secretary of Defense. (5) The Secretary of Agriculture. (6) The Secretary of Commerce. (7) The Secretary of Labor. (8) The Director of the Office of Management and Budget. (9) The Chairman of the Council of Economic Advisers. (10) The Special Representative for Trade Negotiations. The President shall be the Chairman of the Council and shall preside over the meetings of the Council; in his absence he may designate a member of the Council to preside in his place. (Pub. L. 92-412, title II, § 205, Aug. 29, 1972, 86 Stat. 647.) § 2845. Duties of Council. Subject to the direction of the President, and in addition to performing such other functions as he may direct, the Council shall (1) Assist and advise the President in the preparation of the International Economic Report required under section 2846 of this title. (2) Review the activities and the policies of the United States Government which indirectly or directly relate to international economics and, for the purpose of making recommendations to the President in connection therewith, consider with some degree of specificity the substance and scope of the international economic policy of the United States, which consideration shall include examina tion of the economic activities of (A) the various agencies, departments, and instrumentalities of the Federal Government, (B) the several States, and (C) private industry. (3) Collect, analyze, and evaluate authoritative information, current and prospective, concerning international economic matters. Such evaluations shall include but not be limited to the impact of international trade on the level, stability, and financial rewards for domestic labor and the impact of the transnational corporation on international trade flows. (4) Consider policies and programs for coordinating the activities of all the departments and agencies of the United States with one another for the purpose of accomplishing a more consistent international economic policy, and make recommendations to the President in connection therewith. (5) Continually assess the progress and effectiveness of Federal efforts to carry out a consistent international economic policy. (6) Make recommendations to the President for domestic and foreign programs which will promote a more consistent international economic policy on the part of the United States and private industry. Recommendations under this paragraph shall include, but shall not be limited to, policy proposals relating to monetary mechanisms, foreign investment, trade, the balance of payments, foreign aid, taxes, international tourism and aviation, and international treaties and agreements relating to all such matters. In addition to other appropriate objectives, such policy proposals should be developed with a view toward (A) strengthening the United States-competitive position in world trade; (B) achieving equilibrium in international payment accounts of the United States; (C) increasing exports of goods and services; (D) protecting and improving the earnings of foreign investments consonant with the concepts of tax equity and the need for domestic investment; (E) achieving freedom of movement of people, goods, capital, information, and technology on a reciprocal and worldwide basis; (F) increasing the real employment and income of workers and consumers on the basis of international economic activity; and (G) preserving the diversified industrial base of the United States. (Pub. L. 92-412, title II, § 206, Aug. 29, 1972, 86 Stat. 647.) § 2846. International Economic Report. The President shall transmit to the Congress an annual report on the international economic position of the United States. Such report (hereinafter referred to as the "International Economic Report") shall be submitted not later than sixty days after the beginning of each regular session of the Congress, and shall include (1) information and statistics describing characteristics of international economic activity and identifying significant current and foreseeable trends and developments; (2) a review of the international economic program of the Federal Government and a review of domestic and foreign economic conditions and other significant matters affecting the balance of international payments of the United States and of their effect on the international trade, investment, financial, and monetary position of the United States; (3) a review of the impact of international voluntary standards, the foreign investments of United States based transnational firms, and the level of foreign wage rates on the level, stability, and financial reward for domestic employment; and (4) a program for carrying out the policy objectives of this chapter, together with such recommendations for legislation as he may deem necessary or desirable. (b) Supplementary reports to Congress. The President may transmit from time to time to the Congress reports supplementary to the International Economic Report, each of which may include such supplementary or revised recommendations as he may deem necessary or desirable to achieve the purposes and policy objectives set forth in this chapter. (Pub. L. 92-412, title II, § 207, Aug. 29, 1972, 86 Stat. 648.) SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2845 of this title. § 2847. Staff of Council. (a) Executive Director; appointment and compensation; information to Congressional committees. The staff of the Council shall be headed by an Executive Director who shall be appointed by the President, and he shall be compensated at the rate now or hereafter provided for level II of the Executive Schedule (section 5313 of Title 5). He shall keep the Committee on Banking, Housing and Urban Affairs of the Senate, the Committee on Banking and Currency of the House of Representatives, the Committee on Foreign Relations of the Senate, the Committee on Foreign Affairs of the House of Representatives, the Committee on Finance of the Senate, the Committee on Ways and Means of the House of Representatives, and the Joint Economic Com mittee fully and currently informed regarding the activities of the Council. (b) Staff personnel; appointment and compensation; executive level IV and V positions. (1) With the approval of the Council, the Executive Director may appoint and fix the compensation of such staff personnel as he deems necessary. Except as provided in paragraph (2), the staff of the Council shall be appointed subject to the provisions of Title 5 governing appointments in the competitive service, and shall be paid in accordance with the provisions of chapter 51 and subchapter III of chapter 53 of such Title relating to classification and General Schedule pay rates. (2) With the approval of the Council, the Executive Director may appoint and fix the compensation of one officer at a rate of basic compensation not to exceed the rate provided for level IV of the Federal Executive Salary Schedule, and appoint and fix the compensation of two officers at rates of basic compensation not to exceed the rate provided for level V of the Federal Executive Salary Schedule. (c) Temporary and intermittent services. With the approval of the Council, the Executive Director may procure temporary and intermittent services to the same extent as is authorized by section 3109 of Title 5, at rates not to exceed the daily equivalent of the rate provided for GS-18. (d) Detail of Federal agency personnel to Council; reimbursable basis. Upon request of the Executive Director, the head of any Federal agency is authorized to detail, on a reimbursable basis, any of its personnel to the Council to assist it in carrying out its duties under this chapter. (Pub. L. 92-412, title II, § 208, Aug. 29, 1972, 86 Stat. 649.) § 2848. Expiration date. The provisions of this chapter shall expire on June 30, 1973, unless extended by legislation enacted by the Congress. (Pub. L. 92-412, title II, § 209, Aug. 29, 1972, 86 Stat. 649.) § 2849. Authorization of appropriations. For the purpose of carrying out the provisions of this chapter, there are authorized to be appropriated not to exceed $1,400,000 for fiscal year 1973. (Pub. L. 92-412, title II, § 210, Aug. 29, 1972, 86 Stat. 649.) 82-999 0-73-vol. 1-—41 |