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tinent books, documents, papers, and records of the contractor or any of his subcontractors engaged in the performance of, and involving transactions related to such contracts or subcontracts: Provided, however, That no moneys so appropriated shall be available for payment under such contract which includes any provisions precluding an audit by the General Accounting Office of any transactions under such contract: And provided further, That nothing in this section shall preclude the earlier disposal of contractor and subcontractor records in accordance with records disposal schedules agreed upon between the Director and the General Accounting Office.

TRANSFER OF ACTIVITIES AND FACILITIES TO AGENCY SEC. 47.75 (a) The United States Disarmament Administration, together with its records, property, personnel, and funds, is hereby transferred to the Agency. The appropriations and unexpended balances of appropriations transferred pursuant to this subsection shall be available for expenditure for any and all objects of expenditure authorized by this Act, without regard to the requirements of apportionment under section 665 of title 31.

(b) The President, by Executive order, may transfer to the Director any activities or facilities of any Government agency which relate primarily to arms control and disarmament. In connection with any such transfer, the President may under this section or other applicable authority, provide for appropriate transfers of records, property, civilian personnel, and funds. No transfer shall be made under this subsection until (1) a full and complete report concerning the nature and effect of such proposed transfer has been transmitted by the President to the Congress, and (2) the first period of sixty calendar days of regular session of the Congress following the date of receipt of such report by the Congress has expired without adoption by either House of the Congress of a resolution stating that such House does not favor such transfer. The procedures prescribed in title II of the Reorganization Act of 1949 76 shall apply to any such resolution.

USE OF FUNDS SEC. 48.77 Appropriations made to the Director for the purposes of this Act, and transfers of funds to him by other Government agencies for such purposes, shall be available to him to exercise any authority granted him by this Act, including, without limitation, expenses of printing and binding without regard to the provisions of section 11 of the Act of March 1, 1919 (44 U.S.C. 111); 78 purchase or hire of one passenger motor vehicle for the official use of the Director; 79 entertainment and official courtesies to the extent authorized by appropriation; expenditures for training and study; expenditures in connection with participation in international conferences for the purposes of this Act; and expenses in connection with travel of personnel outside the United States, 80 including transportation expenses of dependents, household goods, and personal effects (including any such travel or transportation any part of which begins in one fiscal year pursuant to travel orders issued in that fiscal year, but which is completed after the end of that fiscal year),81 and expenses authorized by the Foreign Seryice Act of 1980,82 not otherwise provided for.

76 22 U.S.C. 2587.
765 U.S.C. 908-913.
77 22 U.S.C. 2588.
78 Now 44 U.S.C. 501, first sentence.

79 Sec. 2(c) of Public Law 99-550 struck out the words "without regard to the limitations contained in section 78(c) of title 5 of the United States Code" (now 31 U.S.C. 1343(c), 1344, and 1349) previously found here. The President subsequently designated the Director as an official covered by 31 U.S.C. 1344(0X1XC).

SPECIALISTS FLUENT IN RUSSIAN OR OTHER LANGUAGES OF THE

INDEPENDENT STATES OF THE FORMER SOVIET UNION 83 SEC. 49.84 The Director is authorized to create up to eight additional permanent personnel positions at both junior and more senior levels for specialists in the foreign and military policies of the independent states of the former Union,85 arms control, or strategic affairs of the former Soviet Union,86 who also demonstrate fluency in the Russian language or another language of the independent states of the former Soviet Union.87

ACDA INSPECTOR GENERAL SEC. 50.88 (a) ESTABLISHMENT AND DUTIES.—There shall be an Office of the Inspector General at the Agency headed by the Inspector General of the Agency who shall have the duties, responsibilities, and authorities specified in the Inspector General Act of 1978.

(b) DUALITY OF APPOINTMENT.-An individual appointed to the position of Inspector General of the Department of State shall, by virtue of such appointment, also hold the position of Inspector General of the Agency.

80 Sec. 706 of Public Law 95–426 provides authority, notwithstanding the limitations established by sec. 1117 of the Federal Aviation Act of 1958 (49 U.S.C. 1517), to use funds appropriated after Oct. 7, 1978 to pay for transportation, between two places both of which are out side the United States, of officers and employees, their dependents, and accompanying baggage aboard air carriers which do not hold certificales (i.e., foreign air carriers) under sec. 401 of that Act.

81 Sec. 106 of Public Law 101-216 added parenthetical language here.

& 22 U.S.C. 3901 et seq. This reference to the Foreign Service Act of 1980 was substituted in lieu of a reference to the Foreign Service Act of 1946, as amended, by sec. 2204(b) of Public Law 96-465.

83 Sec. 401(6X1) of the FRIENDSHIP Act (Public Law 103-199; 107 Stat. 2324) amended and restated the section heading, which formerly read "SPECIALISTS FLUENT IN RUSSIAN LANGUAGE".

4 22 U.S.C. 2591. This section originally was added as sec. 51 by sec. 4 of Public Law 98202. It now reads as amended by Public Law 103–199 and by sec. 717(a X2) of Public Law 103236 (108 Stat. 498). The former sec. 49, which was headed “APPROPRIATION", was stricken by sec. 717(aX1) of the latter Act.

The amendments to this section in sec. 719(g) of Public Law 103-236 (108 Stat. 502) amend "section 49 (as redesignated by section 817(a X2))". Public Law 103-236 has no such section 817. Apparently the intended reference is to sec. 717(a X2) cited above.

85 Sec. 401(bX2) of the FRIENDSHIP Act (Public Law 103–199; 107 Stat. 2324) struck out "Soviet foreign and military policies", and inserted in lieu thereof "he foreign and military policies of the independent states of the former Soviet Union". Sec. 719(8X1) of Public Law 103-236 (108 Stat. 502) struck out “Soviet", causing the text to read "former Union".

BG Sec. 719(8X2) of Public Law 103-236 (108 Slat. 502) inserted "of the former Soviet Union" after "asfairs".

87 Sec. 401(6X3) of the FRIENDSHIP Act (Public Law 103-199; 107 Stat. 2324) inserted "or another language of the independent states of the former Soviet Union" at the end of the sentence.

B8 22 U.S.C. 2593. This section was added as sec. 53 by sec. 6(a) of Public Law 100-213. Sec. 717(aX2) of Public Law 103-236 (108 Stat. 498) redesignated it as sec. 50. The former sec. 50, which was headed "REPORT TO CONGRESS", was stricken by sec. 717(aX1) of that Act.

(c) UTILIZATION OF STAFF.—The Inspector General of the Agency shall utilize personnel of the Office of the Inspector General of the Department of State in performing the duties of the Inspector General of the Agency, and shall not appoint any individuals to positions within the Agency.

(d) REFERENCES.–For purposes of this section, references in the Inspector General Act of 1978 to the establishment involved, to the head of the establishment, and to an Inspector General shall be deemed to be references to the Agency, the Director of the Agency, and Inspector General of the Agency, respectively, except to the extent inconsistent with this section.

ANNUAL REPORT TO CONGRESS SEC. 51.89 (a) IN GENERAL.-Not later than January 31 of each year, the President shall submit to the Speaker of the House of Representatives and to the chairman of the Committee on Foreign Relations of the Senate a report prepared by the Director, in consultation with the Secretary of State, the Secretary of Defense, the Secretary of Energy, the Chairman of the Joint Chiefs of Staff, and the Director of Central Intelligence, on the status of United States policy and actions with respect to arms control, nonproliferation, and disarmament. Such report shall include

(1) a detailed statement concerning the arms control and disarmament objectives of the executive branch of Government for the forthcoming year;

(2) a detailed statement concerning the nonproliferation objectives of the executive branch of Government for the forthcoming year;

(3) a detailed assessment of the status of any ongoing arms control or disarmament negotiations, including a comprehensive description of negotiations or other activities during the preceding year and an appraisal of the status and prospects for the forthcoming year;

80 22 U.S.C. 2593a. Added by sec. 717(aX3) of Public Law 103–236 (108 Stat. 498). The former sec. 51, relating to foreign language specialists, was redesignated as sec. 49 by sec. 717(a X2) of that Act. Sec. 717(aX1) of the Act struck out the former sec. 50, which required an annual report concerning the activities of ACDA. and sec. 70413) repealed sec. 52. which was headed "REPORTS ON ADHERENCE TO AND COMPLIANCE WITH AGREEMENTS". The substance of the former sec. 52, which originally was added by sec. 703 of Public Law 99-93 and amended by sec. 5 of Public Law 100-213 and section 401(c) of Public Law 103-199, was incorporated into this new sec. 51.

Sec. 717(b) of that Act further provided:

"(b) REPORT ON REVITALIZATION OF ACDA.-Not later than December 31, 1995, the Director of the United States Arms Control and Disarmament Agency shall submit to the Speaker of the House of Representatives and the chairman of the Committee on Foreign Relations of the Senate a detailed report describing the actions that have been taken and that are underway to revi. talize the United States Arms Control and Disarmament Agency pursuant to the provisions of this part and the amendments made by this part.".

Sec. 828(b) of that Act further provided:

"(b) REPORTING ON DEMARCHES.-1) It is the sense of the Congress that the Department of State should, in the course of implementing its reporting responsibilities under section 602(c) of the Nuclear Non-Proliferation Act of 1978, include a summary of demarches that the United States has issued or received from foreign governments with respect to activities which are of significance from the proliferation standpoint.

"(2) For purposes of this section, the term demarche' means any official communication by one government to another, by written or oral mcans, intended by the originating government to express

"(A) a concern over a past, present, or possible future action or activity of the recipient government, or of a person within the jurisdiction of that government, contributing to the global spread of unsafeguarded special nuclear material or of nuclear explosive devices;

"(B) a request for the recipient government to counter such action or activity, or
"(C) both the concern and request described in subparagraphs (A) and (B).".

(4) a detailed assessment of the status of any ongoing nonproliferation negotiations or other activities, including a comprehensive description of the negotiations or other activities during the preceding year and an appraisal of the status and prospects for the forthcoming year;

(5) a detailed assessment of adherence of the United States to obligations undertaken in arms control, nonproliferation, and disarmament agreements, including information on the policies and organization of each relevant agency or department of the United States to ensure adherence to such obligations, a description of national security programs with a direct bearing on questions of adherence to such obligations and of steps being taken to ensure adherence, and a compilation of any substantive questions raised during the preceding year and any corrective action taken; 90

(6) a detailed assessment of the adherence of other nations to obligations undertaken in all arms control, nonproliferation, and disarmament agreements to which the United States is a participating state, including information on actions taken by each nation with regard to the size, structure, and disposition of its military forces in order to comply with arms control, nonproliferation, or disarmament agreements, and shall include, in the case of each agreement about which compliance questions exist

(A) a description of each significant issue raised and efforts made and contemplated with the other participating state to seek resolution of the difficulty;

(B) an assessment of damage, if any, to the United States security and other interests; and

(C) recommendations as to any steps that should be considered to redress any damage to United States national

security and to reduce compliance problems; and 90 (7) 90 a discussion of any material noncompliance by foreign governments with their binding commitments to the United States with respect to the prevention of the spread of nuclear explosive devices (as defined in section 830(4) of the Nuclear Proliferation Prevention Act of 1994) by non-nuclear-weapon states (as defined in section 830(5) of that Act) or the acquisition by such states of unsafeguarded special nuclear material (as defined in section 830(8) of that Act), including

(A) a net assessment of the aggregate military signifi. cance of all such violations;

20 Sec. 828(a) of the Foreign Relations Authorization Act, Fiscal Years 1994 and 1995 (Public Law 103–236; 108 Stat. 520): (1) struck out "and" at the end of para. (5); (2) struck out a period at the end of para. (6), and inserted instead ", and"; and (3) added a new para. (7).

Sec. 851 of that Act, however, provided the following termination, which would affect this amendment:

"SEC. 851. TERMINATION UPON ENACTMENT OF NEXT FOREIGN RELATIONS ACT.

"On the date of enactment of the first Foreign Relations Authorization Act that is enacted after the enactment of this Act, the provisions of parts A and B of this title shall cease to be effective, the amendments made by those parts shall be repealed, and any provision of law re pealed by those parts shall be reenacted.".

(B) a statement of the compliance policy of the United States with respect to violations of those commitments; and

(C) what actions, if any, the President has taken or proposes to take to bring any nation committing such a viola

tion into compliance with those commitments. (b) CLASSIFICATION OF THE REPORT.-The report required by this section shall be submitted in unclassified form, with classified annexes, as appropriate.

(c)91 REPORTING CONSECUTIVE NONCOMPLIANCE.-If the President in consecutive reports submitted to the Congress under this section reports that any designated nation is not in full compliance with its binding nonproliferation commitments to the United States, then the President shall include in the second such report an assessment of what actions are necessary to compensate for such violations. PUBLIC ANNUAL REPORT ON WORLD MILITARY EXPENDITURES AND

ARMS TRANSFERS SEC. 52.92 Not later than December 31 of each year, the Director shall publish an unclassified report on world military expenditures and arms transfers. Such report shall provide detailed, comprehensive, and statistical information regarding military expenditures, arms transfers, armed forces, and related economic data for each country of the world. In addition, such report shall include pertinent in-depth analyses as well as highlights with respect to arms transfers and proliferation trends and initiatives affecting such developments.

REQUIREMENT FOR AUTHORIZATION OF APPROPRIATIONS SEC. 53.93 (a) LIMITATION ON OBLIGATION AND EXPENDITURE OF FUNDS.—Notwithstanding any other provision of law, for the fiscal

91 Sec. 828(aX4) of the Foreign Relations Authorization Act, Fiscal Years 1994 and 1995 (Pub lic Law 103-236; 108 Stat. 520), added subsec. (c).

Sec. 851 of that Act, however, provided the following termination, which would affect this amendment:

"SEC. 851. TERMINATION UPON ENACTMENT OF NEXT FOREIGN RELATIONS ACT.

"On the date of enactment of the first Foreign Relations Authorization Act that is enacted after the enactment of this Act, the provisions of parts A and B of this title shall cease to be effective, the amendments made by those parts shall be repealed, and any provision of law re pealed by those parts shall be reenacted.".

82 22 U.S.C. 2593b. Added by sec. 717(aX3) of Public Law 103-236 (108 Stat. 498). The former sec. 52, which was headed "REPORTS ON ADHERENCE TO AN COMPLIANCE WITH AGREEMENTS", was repealed by sec. 704(3) of that Act. The substance of the former sec. 52 was incorporated in the new sec. 51, as added by sec. 717(aX3) of that Act.

83 22 U.S.C. 2593c. Added by sec. 718(a) of Public Law 103–236 (108 Stat. 500). The former sec. 53, which was headed "ACDA INSPECTOR GENERAL", was redesignated as sec. 50 by sec. 717(aX2) of that Act.

Sec. 106(a) of the Foreign Relations Authorization Act, Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 390) provided the following:

"SEC. 106. UNITED STATES ARMS CONTROL AND DISARMAMENT AGENCY.

"(a) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to be appropriated to carry out the purposes of the Arms Control and Disarmament Act

"(1) $53,500,000 for the fiscal year 1994 and $59,292,000 for the fiscal year 1995; and

"(2) such sums as may be necessary for each of the fiscal years 1994 and 1995 for in creases in salary, pay, retirement, other employee benefits authorized by law, and other nondiscretionary costs, and to offset adverse uctuations in foreign currency exchange

rates.". Prior to its repeal, appropriations for the Arms Control and Disarmament Agency were authorized in the former sec. 49.

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