101st CONGRESS
1st Session
H. J. RES. 175
JOINT RESOLUTION
To authorize entry into force of the Compact of Free Association between
the United States and the Government of Palau, and for other purposes.
HJ 175 EH
101st CONGRESS
1st Session
H. J. RES. 175
JOINT RESOLUTION
To authorize entry into force of the Compact of Free Association between
the United States and the Government of Palau, and for other purposes.
Resolved by the Senate and House of Representatives of the United States
of America in Congress assembled,

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This title may be cited as the `Palau Compact of Free Association
Implementation Act'.

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TITLE I

-IMPLEMENTATION OF COMPACT OF FREE ASSOCIATION WITH PALAU

Entry into force of the Compact of Free Association between the United
States and Palau (set forth in title II of Public Law 99-658 and hereafter
in this joint resolution referred to as the `Compact') in accordance with
subsections (a) and (d) of section 101 of Public Law 99-658 (100 Stat. 3673)
is hereby authorized--
(1) subject to the condition that the Compact, as approved by the Congress
in Public Law 99-658, is approved by the requisite percentage of the votes
cast in a referendum conducted pursuant to the Constitution of Palau, and
(2) upon expiration of 30 days after the President notifies the Committees
on Interior and Insular Affairs and Foreign Affairs of the House of
Representatives and the Committee on Energy and Natural Resources of the
Senate of the effective date of the Compact.

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(a) PROCEDURES OF EXPENDING FUNDS- Upon request of the Government of Palau,
the Secretary of the Interior shall provide assistance to the Government of
Palau to develop and promulgate regulations for the effective expenditure
of funds received pursuant to this joint resolution, Public Laws 99-658
and 99-239, or any other Act of Congress.
(b) Implementation of Audit Recommendations-
(1) The President is authorized to negotiate an agreement with the Government
of Palau under which the Government of Palau agrees to develop a plan within
120 days after an audit is submitted to that Government (or any entity or
instrumentality thereof) by the Comptroller General of the United States
(or his duly authorized representatives), or the Inspector General of the
Department of the Interior, to--
(A) implement the recommendations made by such audit, or
(B) inform the Secretary of the Interior of that government's objections
to implementing such recommendations.
(2) Under such agreement the President may agree that the Secretary of the
Interior shall provide assistance to the Government of Palau to implement
such audit recommendations.

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(a) PLAN- The National Drug Policy Board shall develop, in cooperation
with the Government of Palau, a plan for an antidrug program in Palau. The
plan shall be submitted to the Committees on Interior and Insular Affairs,
Foreign Affairs, and Appropriations of the House of Representatives and
the Committees on Energy and Natural Resources and Appropriations of the
Senate by April 1, 1989. The plan shall identify the specific needs and
costs of such an antidrug program. It shall identify all existing resources
to be allocated for its implementation by the Government of the United
States and the Government of Palau, and it shall recommend priority use
for additional resources, assuming such resources are made available.
(b) AGREEMENT- Following completion of the plan, the President and the
Government of Palau shall negotiate an agreement to facilitate implementation
of the plan. Such agreement may include--
(1) that the Government of Palau may request, on a long-term or case-by-case
basis, that the officers of United States law enforcement agencies may
conduct investigations consistent with implementation of the plan in
cooperation with the law enforcement agencies of the Government of Palau;
(2) that the Government of Palau or the Government of the United States may
agree to provide specific resources, on a one-time or a multiyear basis,
to strengthen the antidrug program; and
(3) a specific description of the technical assistance, training, and
equipment to be provided to Palau by the United States necessary to
implement the plan.
(c) AUTHORIZATION- To the extent that funds are not otherwise available
to appropriate agencies of the United States to implement any agreement
entered into pursuant to this section, there is hereby authorized to be
appropriated such sums as may be necessary.

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(a) AGREEMENT- The President shall, upon the formal request of the Government
of Palau, negotiate an agreement with the Government of Palau in accordance
with section 224 of the Compact which may provide that--
(1) the Government of the United States agrees to provide the Government
of Palau with assistance, subject to appropriation, under section 222 of
the Compact for maintaining offices of public auditor and special prosecutor;
(2) the Government of Palau agrees to maintain and staff the independent
offices of public auditor and special prosecutor established in accordance
with the authority of its constitution and laws;
(3) the Government of Palau agrees to provide funding levels adequate
for the effective operation of each of the offices of public auditor and
special prosecutor during the period the Compact is in effect in addition
to the assistance provided by the Government of the United States pursuant
to this subsection;
(4) upon request of the government of Palau the President shall provide, on a
nonreimbursable basis, appropriate technical assistance to the public auditor
or special prosecutor. The assistance provided pursuant to this subsection
for the first five years after the effective date of the Compact shall,
upon the request of the Government of Palau, and to the extent personnel
are available, include (but not be limited to) the full time services of--
(A) an auditor or accountant, as determined by the public auditor, for
the office of public auditor; and
(B) an attorney or investigator, as determined by the special prosecutor,
for the office of special prosecutor; and
(5) the Government of the United States shall, subject to appropriation,
provide the Government of Palau with such sums as are agreed to under this
section, for each of the offices of public auditor and special prosecutor
for the first five years after the effective date of the Compact.
(b) AUTHORIZATION- There are authorized to be appropriated such sums as
are necessary to carry out the purposes of this section.

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Section 104(e) of Public Law 99-658 is amended to read as follows:
`(e) Neither the Secretary of the Treasury nor any other officer or
agent of the United States shall pay or transfer any portion of the sum
and amounts payable to the Government of Palau pursuant to this joint
resolution to any party other than the Government of Palau, except under
the procedures established by the Compact and its related agreements. No
funds appropriated pursuant to the Compact, this Act, or any other Act for
grants or other assistance to Palau may be used to satisfy any obligation
or expense incurred by Palau prior to November 14, 1986, with respect to
any contract or debt related to any electrical generating plant or related
facilities entered into or incurred by Palau which has not been specifically
authorized by Congress in advance, except that the Government of Palau may
use any portion of the annual grant under section 211(b) not required to
be devoted to the energy needs of those parts of Palau not served by its
central power generating facilities and any portion of the funds under
section 212(b) of the Compact for such purpose.'.

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The President shall negotiate an agreement with the Government of Palau
under which the Government of Palau agrees to provide current information
regarding the National Development Plan proposed pursuant to section 231
of the Compact and submitted pursuant to section 101(d)(1)(C) of Public
Law 99-658, including information adapting the existing plan to the first
5-year period following the effective date of the Compact, and to list all
capital infrastructure projects to be financed with United States assistance.

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(a) REPORT- The Secretary of the Interior, in cooperation with the
Public Health Service, shall submit a report, including the views of the
Government of Palau, to the Committees on Interior and Insular Affairs,
Foreign Affairs, and Appropriations of the House of Representatives and
the Committees on Energy and Natural Resources and Appropriations of the
Senate by April 1, 1989. The report shall present the range of options,
and the cost of such options, for the upgrading of the Koror hospital.
(b) FINANCIAL ASSISTANCE REQUEST- The Government of the United States will
sympathetically consider the request of Palau for additional financial
assistance to meet the need for medical facility construction based on the
report made under this section, and the United States encourages Palauan
financial assistance to this project in addition to funds made available
by the United States.
(c) AUTHORIZATION- There are authorized to be appropriated such sums as
are necessary to upgrade the Koror hospital.

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The chief officer of any agency conducting an audit pursuant to paragraph
(1) of sections 102(c) and 103(m) of the Compact of Free Association Act
of 1985 (Public Law 99-239) and section 101(d)(1)(C) of Public Law 99-658
shall certify that audit.

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The provisions of title III of the Compact relating to future use by the
United States of defense sites in Palau do not restrict the authority of
the President of the United States to--
(1) request additional funding, subject to appropriation, related to the use
of privately owned land in Palau pursuant to article II of title III of the
Compact as may be appropriate in light of actual land use requirements,
independent appraisals of such privately owned land accepted by both
governments, and other appropriate documentation of actual land use
costs; and
(2) consent to an extension of the time set forth in a subsidiary agreement
to such article in which the Government of Palau is required to make such
land available to the United States.

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(a) REPORT- The Secretary of the Interior, in cooperation with the
Government of Palau, shall submit a report to the Committees on Interior
and Insular Affairs, Foreign Affairs, and Appropriations of the House
of Representatives and the Committees on Energy and Natural Resources
and Appropriations of the Senate by April 1, 1989 on the condition of the
Palau prison. The report shall present a range of options for upgrading the
prison, including replacement of the facility; the cost of these options;
and alternatives for funding these options.
(b) FINANCIAL ASSISTANCE REQUEST- The Government of the United States will
sympathetically consider the request of Palau for additional financial
assistance to meet the need for prison construction based on the report
made under this section.
(c) AUTHORIZATION- There are authorized to be appropriated such sums as
are necessary to upgrade the Palau prison.

0a08a14d8bd1e693aee2e52f8efeea1b095b30b18525b9c950d94d399a30f047

(a) ASSIGNMENT- The Secretary of the Interior shall station at least
one professional staff person in each of the Offices of the United
States Representatives in the Republic of Palau, the Federated States of
Micronesia, and the Republic of the Marshall Islands to provide Federal
program coordination and technical assistance to such governments as
authorized under Public Laws 99-239 and 99-658. In meeting the purposes
of this section the Secretary shall select qualified persons following
consultations with the Interagency Group on Freely Associated State Affairs.
(b) AUTHORIZATION- There is authorized to be appropriated such sums as
may be necessary to carry out the purposes of this section.

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The Secretary of the Interior shall provide such sums as may be necessary
for a further referendum on approval of the Compact, if one is required, or
other appropriate costs associated with the approval process in Palau. There
is authorized to be appropriated not to exceed $200,000 to carry out the
purpose of this section.

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(a) APPROVAL- Pursuant to section 101(d) of Public Law 99-239, the following
agreements are approved and shall enter into force in accordance with
their terms:
(1) `Agreement Between the Government of the United States and the
Government of the Republic of the Marshall Islands to Amend the Governmental
Representation Provisions of the Compact of Free Association Pursuant to
section 432 of the Compact' signed on March 18, 1988; and
(2) `Agreement Between the Government of the United States and the
Government of the Federated States of Micronesia to Amend the Governmental
Representation Provisions of the Compact of Free Association Pursuant to
section 432 of the Compact' signed on March 9, 1988.
(b) EFFECTIVE DATE OF CERTAIN AGREEMENTS- An agreement between the
United States and the Government of the Republic of Palau identical to
the agreements referred to in subsection (a) of this section shall take
effect upon submission to Congress of such an agreement and entry into
force of such an agreement in the manner provided in section 101(d)(5)
of Public Law 99-658.
(c) EXTENSIONS- The provisions of article IX, paragraph 5(a) of the
Agreement referred to in section 462(e) of the Compact of Free Association
as approved by Public Law 99-239, and article IX, paragraph 5(a) of the
agreement referred to in section 462(f) of the Compact of Free Association
for Palau as approved by Public Law 99-658, are extended, in accordance
with the terms thereof, until October 1, 1998, unless earlier terminated
or further extended by the laws of the United States.

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(a) OBLIGATION OF FUNDS- In any year that funds made available by the United
States for that year pursuant to this joint resolution, Public Law 99-658 or
Public Law 99-239, or any other Act of Congress are not completely obligated
by the Government of Palau, the unobligated balances of such funds shall
remain available in addition to the funds to be provided in subsequent years.
(b) PAYMENT PROCEDURES- The President is authorized to negotiate and
conclude an agreement, including the obligation of United States funds,
with the Government of Palau which shall provide the following:
(1) The sum of $28,000,000, adjusted by section 215 of the Compact at the
time of its availability to Palau, shall be provided to Palau pursuant to
section 211(b) of the Compact in fiscal year 1989.
(2) Palau shall pay to the United States, on or before the 15th anniversary
of the effective date of the Compact, an amount equal to the net economic
cost to the United States of making available the section 211(b) funds
in the manner specified in this subsection rather than as provided in
section 211(b).
(3) Such economic cost shall reflect the time value of money and be
determined using the rate determined for an equivalent loan by the Federal
Financing Bank as of the date these funds are advanced, and using an
inflation rate consistent with the determinations made under the provisions
of section 215 of the Compact.
(4) If the Government of Palau has not paid such net economic costs to the
United States by the 15th anniversary of the effective date of the Compact,
then the United States shall be automatically paid such sums from the fund
established under section 211(f) of the Compact.
(5) The provision of section 211(b) funds, as appropriated by Public Law
99-349 and pursuant to this subsection, shall be in fulfillment of all
United States obligations under such section 211(b) of the Compact and
shall be subject to section 236 of the Compact.

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(a) SUBMISSION- Any agreement concluded with the Government of Palau
pursuant to this joint resolution and any agreement which would amend,
change, or terminate any such agreement, or portion thereof, shall be
submitted to the Congress and may not take effect until after 30 days after
the date on which such agreement is so submitted. An amendment or agreement
substituting or in addition to the subsidiary agreement negotiated under
section 212(a) of the Compact or its annex shall take effect only when
approved by an Act of Congress.
(b) EFFECTIVE DATE- The authority under section 102 of this joint resolution
for the Compact to enter into force shall not be effective until the
agreements set forth in sections 103 and 107 between the Governments of
the United States and Palau have been concluded.

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Section 104(c) of Public Law 99-658 (100 Stat. 3676) is amended to read
as follows:
`(c) AUTHORIZATION FOR TRANSITION PURPOSES- For the purposes of applying
section 105(c)(2) of the Compact of Free Association Act of 1985 (99
Stat. 1792) to Palau, the terms `fiscal year 1987', `fiscal year 1988', and
`fiscal year 1989' shall be deemed to be the first, second, and third fiscal
years, respectively, beginning after the effective date of the Compact.'.
SEC. 201 SHORT TITLE.
This title may be cited as the `Omnibus Insular Areas Act'.

005d6a4e6db15ca85c119553dd869ad2d854cc1115db4210326e76215827f940

(a) IN GENERAL- The Ninth Judicial Circuit of the United States may provide
assistance to the courts of the freely associated states. The Chief Justice
of the United States or the Chief Judge of the Ninth Circuit may, upon the
request of a duly authorized official of a freely associated state, authorize
any circuit judge of, or district court judge within, the Ninth Circuit
to serve temporarily as a judge of any court of a freely associated state.
(b) CONSENT- The Congress hereby consents to the acceptance and retention
of reimbursement or allowances for expenses related to service on a freely
associated state court authorized by this section. All such reimbursement
or allowances shall be reported by the judge concerned to the Administrative
Office of the United States Courts.
(c) ADDITIONAL AGREEMENTS- The President is authorized to enter into
agreements with the freely associated states that are necessary or
appropriate to facilitate implementation of this section.

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TITLE II

-INSULAR AREAS MATTERS

(a) IN GENERAL- The President is authorized to negotiate agreements which
provide--
(1) that the United States shall carry out the provisions of part C of
the Controlled Substances Act (21 U.S.C. 821 et seq.) as necessary to
provide for the lawful distribution of controlled substances in the freely
associated states; and
(2) that a freely associated state which institutes and maintains a voluntary
system to report annual estimates of narcotics needs to the International
Narcotics Control Board, and which imposes controls on imports of narcotic
drugs consistent with the Single Convention on Narcotic Drugs, 1961,
shall be eligible for exports of narcotic drugs from the United States in
the same manner as a country meeting the requirements of subsection (a)
of section 1003 of the Controlled Substances Act (21 U.S.C. 953).
(b) EFFECTIVE DATE- Agreements concluded pursuant to this section shall
become effective pursuant to section 101(f)(5) of Public Law 99-239 or
section 101(d)(5) of Public Law 99-658, as may be applicable.

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The Northern Marianas College is hereby constituted a depository to receive
Government publications, and the Superintendent of Documents shall supply
to the Northern Marianas College one copy of each such publication in the
same form as supplied to other designated depositories.

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The last sentence of section 501(d) of Public Law 95-134, as amended by
Public Law 96-205, as amended (48 U.S.C. 1469a(d)), is amended--
(1) by inserting `any Federal program as it applies in' before `American
Samoa'; and
(2) by inserting `or other expenditures' after `funds'.

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The Revised Organic Act of the Virgin Islands is amended by striking out
the second sentence of section 25 (48 U.S.C. 1615).

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Section 818(b)(2) of Public Law 96-418 (94 Stat. 1782) (as amended by
section 504 of Public Law 98-454 (98 Stat. 1736)) is amended by striking
`30 percent' and inserting `50 percent'.

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Section 2 of the Act of June 30, 1954 (68 Stat. 330), as amended, is amended
by inserting `for design and construction of the Nanpil River hydropower
diversion project;' after `Ponape;'.

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Section 101(c)(2)(D) of Public Law 99-658 (100 Stat. 3673) is amended--
(1) by striking `and' at the end of clause (v);
(2) by striking the period at the end of clause (vi) and inserting `;
and'; and
(3) by adding at the end thereof the following:
`(vii) the agreement entitled `Agreement Concerning Special Programs
related to the Entry into Force of the Compact of Free Association Between
the Government of the United States and the Government of the Republic of
Palau', signed on May 26, 1989.'.

82d15c95b0ec7f128858f10fafbbd059a6b040db1d18cb26eb68e2bd98d31ea6

(a) GRANTS TO POLITICAL PARTIES- There is hereby authorized to be
appropriated to the President for grants to the Popular Democratic Party,
the New Progressive Party, and the Puerto Rican Independence Party
of the Commonwealth of Puerto Rico $1,500,000, which is authorized to
remain available until the sine die adjournment of the One Hundred First
Congress. Grants shall be made to each such party in equal amounts, not
to exceed $500,000 each. Such funds shall be made available for necessary
expenses incurred after March 1, 1989, to each such party to participate in
the legislative process involving the future political status of Puerto Rico,
including the travel and transportation of persons, services as authorized
by section 3109 of title 5, United States Code, communications, utilities,
printing and reproduction, and supplies and materials and other related
services, and for administrative costs.
(b) AUDITS- Under such regulations as the Comptroller General of the United
States may prescribe, the Comptroller General shall perform a financial
audit of the financial transactions made by each such party with such funds.
(c) PROHIBITION OF USE OF FUNDS- Such funds may not be used directly or
indirectly to finance the campaign of candidates for public office.

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Section 1912A(c) of the Public Health Service Act, as added by section
2022(b) of the Anti-Drug Abuse Act of 1988 (Public Law 100-690), is amended
to read as follows:
`(c)(1) Subject to paragraph (2), the allotment under this subpart for a
territory of the United States shall be the product of--
`(A) an amount equal to the amounts reserved under paragraph (3); and
`(B) a percentage equal to the quotient of--
`(i) the population of the territory, as indicated by the most recently
available data; divided by
`(ii) the aggregate population of the territories of the United States,
as indicated by such data.
`(2) Each territory of the United States shall receive a minimum allotment
under this subpart of the greater of--
`(A) $100,000; and
`(B) an amount equal to 105 percent of the sum of--
`(i) the amount the territory received under section 1913 for fiscal year
1988 (as such section was in effect for such fiscal year); and
`(ii) the amount the territory received under part C for fiscal year 1988
(as such part was in effect for such fiscal year).
`(3) The Secretary shall reserve for the territories of the United States
1.5 percent of the amounts appropriated pursuant to section 1911 for
allotments under this subpart for each fiscal year.'.

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There is authorized to be appropriated $5,000,000 to the Secretary of the
Interior for construction of a 127-bed prison barracks at the Golden Grove
Prison on St. Croix, United States Virgin Islands, and for renovation of
and improvements to existing prison facilities.
Passed the House of Representatives June 27, 1989.
Attest:
Clerk.
HJ 175 EH----2
HJ 175 EH----3

a9e348e6184b56655d398ba0bea9419b9796557519dcef907cc69f3025613c19

Palau Compact of Free Association Implementation Act

Other Sections

TITLE I

TITLE II

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