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FOREIGN ASSISTANCE LEGISLATION FOR

FISCAL YEAR 1981

TUESDAY, MARCH 18, 1980

HOUSE OF REPRESENTATIVES,
COMMITTEE ON FOREIGN AFFAIRS,

Washington, D.C.

The committee met in open markup session at 10:25 a.m., in room 2172, Rayburn House Office Building, Hon. Clement J. Zablocki (chairman) presiding.

Chairman ZABLOCKI. The committee will please come to order.

We are meeting this morning to continue markup of foreign assistance legislation for fiscal year 1981. As members will recall, we are marking up first the nonfunding items in the committee print. At the time we adjourned last Thursday, we were on title III of the committee print. We are about through that title, except for an amendment by Mr. Pease.

If Mr. Pease desires, he will be recognized now to continue the discussion on his proposed amendment. Mr. Pease.

SECTION 304-ENERGY AND SELECTED DEVELOPMENT PROGRAMS

Mr. PEASE. Thank you very much, Mr. Chairman. What I would like to do at this point, with the Chair's permission and that of the committee, is to offer a substitute amendment.

Chairman ZABLOCKI. The staff will distribute the substitute amendment. The Chair is of the understanding that some of the problems have been taken care of. The chief of staff will read the substitute. Mr. BRADY. Amendment offered by Mr. Pease:

Page 20, strike out lines 1 through 10 and insert in lieu thereof the following: "Energy and Selected Development Programs. Section 304. (a) The section caption of section 106 of the Foreign Assistance Act

Mr. FOUNTAIN. I move the amendment be considered as read and open for amendment.

Chairman ZABLOCKI. The gentleman from North Carolina asks unanimous consent that the substitute be considered as read, printed in the record, and open for amendment at any point. Is there objection? The Chair hears none. It is so ordered.

[The substitute amendment by Mr. Pease follows:]

(97)

AMENDMENT TO THE COMMITTEE PRINT DATED MARCH 10, 1980, OFFERED BY MR. PEASE

Page 20, strike out lines through 10 and insert in lieu thereof the following:

ENERGY AND SELECTED DEVELOPMENT PROGRAMS

SEC. 304. (a) The section caption of section 106 of the Foreign Assistance Act of 1961 is amended by striking out "TECHNICAL ASSISTANCE, ENERGY, RESEARCH, RECONSTRUCTION, AND SELECTED DEVELOPMENT PROBLEMS" and inserting in lieu thereof "ENERGY AND SELECTED DEVELOPMENT ACTIVITIES".

(b) Subsection (a) of such section is amended

(1) by inserting "(A)" immediately after “(a) (1)";

(2) by striking out "(2)", "(3)", and "(4)" and inserting in lieu thereof "(B)", "(C)", and "(D)", respectively;

(3) by striking out "(A)", "(B)", and "(C)" in paragraph (3) and inserting in lieu thereof “(i)”, “(ii)”, and “(iii)", respectively;

(4) by inserting "(1)" immediately after "(b)"; and

(5) by adding at the end thereof the following new paragraph: “(2) The Congress also finds that energy production from renewable, decentralized sources and energy conservation are vital elements in the development process. Inadequate access by the poor to energy sources as well as the prospect of depleted fossil fuel reserves and higher energy prices require an enhanced effort to expand the energy resources of developing countries through greater emphasis on renewable sources. Renewable and decentralized energy technologies have particular applicability for the poor, especially in rural areas.". (c) Subsection (b) of such section is amended

(1) by inserting “(A)” immediately after “(b) (1)";

(2) by striking out “(2)” and inserting in lieu thereof "(B)"; and

(3) by striking out "fiscal year 1980 shall be used for purposes of paragraph (1)" and inserting in lieu thereof "fiscal year 1981 shall be used for purposes of subparagraph (A)".

(d) Such section is further amended by inserting at the end of subsection (b) the following:

"(2) The President is authorized to furnish assistance under this chapter for cooperative programs with developing countries in energy production and conservation through research on and development and use of small-scale, decentralized, renewable energy sources for rural areas carried out as integral parts of rural development efforts in accordance with section 103 of this Act. Such programs shall also be directed toward the earliest practicable development and use of energy technologies which are environmentally acceptable, require minimum capital investment, are most acceptable to and affordable by the people using them, are simple and inexpensive to use and maintain, and are transferable from one region of the world to another. Such programs may include research on, and the development, demonstration, and application of suitable energy technologies (including use of wood); analysis of energy uses, needs, and resources; training and institutional development; and scientific interchange.

"(c) The agency primarily responsible for administering this part shall coordinate with the Department of Energy, to the maximum extent possible, the planning and implementation of energy programs under this chapter and shall consult with the Department of Energy on such planning and implementation.". (e) Existing subsection (c) of such section is redesignated as subsection (d). (f) Existing subsection (d) of such section is amended to read as follows: "(e) (1) There are authorized to be appropriated to the President for purposes of this section, in addition to funds otherwise available for such purposes, $160,632,000 for the fiscal year 1981.

“(2) Amounts appropriated under this section are authorized to remain available until expended.".

(g) Section 119 of such Act is repealed.

Chairman ZABLOCKI. The gentleman from Ohio, Mr. Pease.

Mr. PEASE. Mr. Chairman, following last week's meeting of the committee we had here in this room a very fruitful discussion among myself and representatives of AID, and the full committee staff, and

came up with a compromise amendment which is now before you one which I think makes a lot of sense, which accomplishes the goals I had in mind in offering my original amendment and, which I think, has gained the full support of AID.

You will recall that my original amendment sought to spotlight energy as an important activity in the development process, and an important aspect of our foreign assistance efforts. I proposed to do that by separating from section 106 the items that do not relate to energy and put them in a separate section 107-in the meantime, taking the energy language from section 119 and folding it into section 106.

AID had some objection to creating another separate functional account. Our solution, which is now before you, is to retitle section 106 to spotlight energy; to take the language from section 119, which deals with energy, and enfold it into 106 as my original amendment had done; but not to remove the other items, technical assistance, research, reconstruction, and selected development problems from 106. What we will have then is still one functional account, but it will spotlight energy and it will be rearranged slightly to bring in the energy language from section 119 in a more logical and consistent way. Mrs. FENWICK. Will the gentleman yield?

Mr. PEASE. I will be happy to to yield in a minute.

So, the long and short of it is that we now have accomplished what I had hoped to do with my original amendment in a way which I think is quite satisfactory to AID, and will be an improvement all around. I will be happy to yield to my friend from New Jersey.

Mrs. FENWICK. I thank my colleague for yielding. I think it is an excellent suggestion, and certainly, I would think all of us would approve it.

The only question I have is that "Energy and Selected Development Programs" is the title, but I have not had time to study it carefully. I only see "energy" mentioned. Could we throw in a little phrase to say other development programs, or something, so that some of the text would refer to a possibility to use this more widely?

Mr. PEASE. I thank the gentlelady for her suggestion. Let me say that the title of section 106, the new title, would be "Energy and Selected Development Programs." Section 106 will contain all of the language that it presently contains, so, there will be no deletions at all.

Mrs. FENWICK. I thank my colleague. I am so happy it has turned out this way because I think the emphasis on energy is clearly

necessary.

Mr. PEASE. Thank you.

Chairman ZABLOCKI. Are there any other questions or discussion? The question occurs on the substitute offered by the gentleman from Ohio, Mr. Pease, to page 20. All those in favor signify by saying "aye."

[Chorus of "aves."]

Chairman ZABLOCKI. Opposed, "no."

[No response.]

Chairman ZABLOCKI. The "ayes" have it and the amendment is agreed to, the substitute is agreed to.

Mr. PEASE. Mr. Chairman, at some point I would like to suggest some report language, also in this area. I would be remiss if I did not extend my thanks to Mr. Shakow from AID for his assistance in coming up with this compromise; also to Mr. Ingram of our committee staff.

Chairman ZABLOCKI. The question now occurs on the amendment by the gentleman from Ohio, as amended by the substitute. All those in favor signify by saying "aye."

[Chorus of "ayes."]

Chairman ZABLOCKI. The amendment is agreed to.

INTERNATIONAL NARCOTICS CONTROL

Are there any amendments to title IV? The Chair is advised that we have not begun to read title IV. The chief of staff will read title IV. Mr. BRADY [reading]:

TITLE IV-OTHER ASSISTANCE PROGRAMS

INTERNATIONAL NARCOTICS CONTROL

Chairman ZABLOCKI. Does the gentleman from New York, Mr. Wolff, ask unanimous consent that title IV be considered as read and open for amendment at any point?

Mr. WOLFF. I do, sir.

Chairman ZABLOCKI. Is there objection? The Chair hears none. There is an amendment on page 23. Will staff distribute the amendment?

The chief of staff will read the amendment.

Mr. BRADY. Amendment offered by Mr. Zablocki:

Page 23, line 25, strike out "25" and insert in lieu thereof "50".

Chairman ZABLOCKI. The Chair recognizes himself for a brief explanation.

Everybody agrees with the aim of the Wolff amendment, which is to do away with the situation described by Mr. Wolff at the last meeting, where the U.S. contribution is 80 percent of total worldwide contributions to UNFDAC.

In 1979, the U.S. contribution was in fact 61 percent. Clearly, that is still too high. Also, UNFDAC needs to improve its effectiveness. However, I submit that to cut the U.S. contribution drastically to 25 percent at this time threatens the very existence of that agency. Certainly, that is the judgment of the Department of State. UNFDAC was created by the United States. We were the most concerned with the narcotics abuse in our country and had hoped that the United Nations agency, UNFDAC, would assist in the problem. We have been ahead of all other nations in the international narcotics control effort. With all its flaws, it has performed some useful functions.

Mr. Wolff himself said on the first day of markup that an organization like UNFDAC is absolutely essential to the international narcotics control effort. My amendment would go in the direction of the Wolff amendment, but avoid the risk of permanently crippling UNFDAC at this time.

Rather than cut back the U.S. contribution to 25 percent, my amendment would cut back the U.S. contribution to 50 percent on a dollar

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