Consolidated appropriations bill that includes Dept. of State and Foreign Operations, FY 2004

July 9, 2003
January 23, 2004
Became Public Law

No cosponsors

The Dept. of State and Foreign Operations portion of this bill contains aid for Israel, the WB and Gaza, and other issues.

As per the 10-year agreements signed in 1997 between the U.S. and Israeli governments concerning foreign aid, this bill provides, a total of $2.64b to Israel. Of that amount $2.16b is for FMF to be transferred in 30 days of which amount $568m can be used for procurement of defense articles in Israel, including research and development;

ESF: $480m available in cash and in full in 30 days from the enactment of the bill.

ESF Middle East Regional Programs: $5m may be made available for programs and activities of the Yitzhak Rabin Center for Israel Studies in Tel Aviv, Israel, and up to $5m may be made available for programs and activities of the Center for Human Dignity Museum of Tolerance in Jerusalem.

Israeli-Arab scholarship program: Appropriates $375,000 for this program.

MRA: Israel is granted $50m for resettling refugees from the former Soviet Union.

UNRWA: The final conference report (108-401) to the bill states: “The managers note that recent GAO findings show the State Department has taken actions to implement Section 301(c) of the Foreign Assistance Act to improve monitoring of the United Nations Relief and Works Agency (UNRWA) by requiring that they take all possible measures to assure that U.S. funds do not benefit terrorists and those receiving military training from guerilla groups. However, UNRWA's implementation of these procedures is constrained by many factors including safety of its staff and legitimate and necessary Israeli security procedures.”

IAEA/ICRC: The bill also conditions its voluntary contribution to the International Atomic Energy Agency (IAEA) on Israel’s free access to the IAEA; conditions funding for the International Committee of the Red Cross (ICRC) headquarters account on the Israeli Magen David Adom Society’s free access to the ICRC.

Commercial leasing of defense articles: provides for commercial leasing of military equipment to Israel (among others) and includes Israel (among others) in the category of NATO for purposes of the Arms Export Control Act of 1976.

Arab boycott of Israel: Urges the U.S. to consider the Arab boycott of Israel when making decisions on weapons sales to any country participating in the boycott and encourages all Arab League states to immediately end the boycott and for those who have not already normalized relations with Israel to do so.

For Palestine: The bill appropriates $1m for legal reforms in the WB and Gaza “including judicial training on commercial disputes and ethics.”
The bill specifically prohibits: funds for the PLO in the West Bank and Gaza Strip without a national security waiver from the president; funds to build any new U.S. department or agency in Jerusalem that will deal with the PA; and funds to support a Palestinian state unless the PA government is democratically elected, dismantles terrorist infrastructure, cooperates with Israel on security matters, and promotes peaceful coexistence with Israel. It also prohibits funds to the Palestinian Broadcasting Corporation.

Restrictions Concerning the PA: Contains the annual provision that prohibits U.S. assistance to the PA except in the case of a presidential waiver that can last no longer than 6 months.

Palestinian Statehood: Contains an annual provision prohibiting funds to support a Palestinian state unless the Secretary of State certifies the following five points of criteria: a new leadership has been elected through justifiably democratic means and that “has not supported acts of terror;” the elected leadership of a Palestinian state: demonstrates peaceful coexistence with Israel; fights “terrorism” and its financing and dismantles “terrorist infrastructures;” established security forces that cooperate fully with Israeli security forces; enacts a constitution that guarantees the rule of law “and other reforms.” The prohib

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