Other Activities

(a) Staff Participation in CODELS.-Subcommittee staff participated in the following CODELS to review general embassy operations and diplomatic security: (1) Bonker CODEL to South America, January 1985, (2) Fascell_CODEL to Northern Europe, July 1985. Staff participated in the Solarz CODEL to the U.S. Trust Territories of Micronesia relating to the committee's action on the Compact of Free Association. Staff also participated in the Smith CODEL to Munich, Federal Republic of Germany, for Radio Free Europe/Radio Liberty oversight in February of 1985.

(b) Staff study mission to Munich and Geneva in September 1985 for continued oversight of Radio Free Europe/Radio Liberty and to attend the ORB 85-Space (World Administrative Radio Conference).

(c) Staff attended the Executive Committee meeting of the United Nations High Commissioner for Refugees (UNHCR) relative to Section 113 of the State Department Authorization bill for Fiscal Years 1986 and 1987.

(d) Staff participated in the North Atlantic Consultative Committee Conference (Balanced Loading Conference) in Droitwich, England in May of 1985.

(e) Staff participated in the State Department Regional Security Officer Conference in Rome in May, 1985.

(f) Staff participated in the regional conference for USIA Public Affairs officers in Miami, Florida in May, 1985.

(g) Staff travelled with CODEL Smith to London, Paris, Rome and Naples to study diplomatic security and narcotics control efforts.

Hearings-1986

1. Review of International Airport Security Act and Consideration of H. Con. Res. 270, Regarding the Issuance of a Travel Advisory Involving Libyan-Supported Terrorist Attacks on U.S. Citizens.-On February 19, 1986, the subcommittee held a joint hearing with the Subcommittee on Arms Control, International Security, and Science. Testimony was heard from Ambassador Parker Borg, Deputy Director, Office of Combatting Terrorism, Department of State; Jeffrey Shane, Deputy Assistant Secretary, Transportation Affairs, Bureau of Economic and Business Affairs, Department of State (DOS); Matthew Scocozza, Assistant Secretary, Policy and International Affairs, Department of Transportation; and Richard Noble, Deputy Director, Civil Aviation Security Office, Federal Aviation Administration. Mr. Borg reported on DOS's progress in improving security for international air travelers and presented an overview of actions executed to combat terrorism: (1) bilateral relationships have been intensified; (2) intelligence collection and security have been improved; (3) a consensus among international organizations that terrorism is a threat to all nations was reached; (4) and legislative tools have been implemented to strengthen efforts with other countries. Amb. Borg highlighted the connection between Libya and Abu Nidal and stated that actions have been taken to isolate Qadhafi.

Mr. Shane reported that the ICAO (International Civil Aviation Organization) completed a revision of Annex 17 at the Chicago Convention, strengthening and expanding the international standards. and practices in the area of aviation security. A model aviation security article was inserted into aviation agreements between states, which commits each party to follow the provisions of international anti-hijacking agreements, to observe the other party's security regulations, and to provide assistance to help end any threats that do arise. Included is an enforcement clause that would revoke an airline's operating rights for failure to insure adequate security. Mr. Scocozza elaborated on ICAO's revisions of Annex 17.

2. Further Consideration of the Inman Diplomatic Security Package.-On February 20, 1986, Ronald I. Spiers, Under Secretary for Management, Department of State, testified before the subcommittee and was accompanied by DOS officials Robert E. Lamb, Director, Bureau of Diplomatic Security; Roger B. Feldman, Comptroller; David J. Bouchard, Assistant Secretary for Administration; and Richard N. Dertadian, Deputy Assistant Secretary for Foreign Buildings. The meeting went into executive session.

3. Markup of the Diplomatic Security Bill, H.R. 4151.-On March 5, 1986 the subcommittee approved for full committee action H.R. 4151, amended in the nature of a substitute, to provide for the security of United States diplomatic personnel, facilities, and operations, and for other purposes. Chairman Mica and Congresswoman Snowe called for the support of the President for the bill. The estimated costs contained within the Diplomatic Security package were considered inappropriate by Congressman Smith (FL). In the substitute there is a provision for cost overruns based on the original estimates. Mr. Smith's contention was with the original numbers. He felt that the building program is unnecessarily costly and that there should be further overview by the subcommittee.

4. Impact of Gramm-Rudman-Hollings on U.S. Contributions to International Organizations.-March 12, 1986, the subcommittee held a joint hearing with the Subcommittee on Human Rights and International Organizations. Vernon Walters, U.S. Permanent Representative to the United Nations and Alan Keyes, Assistant Secretary of State, Bureau of International Organization Affairs, Department of State testified before the subcommittees. They discussed the_strain various international organizations would undergo due to Gramm-Rudman-Hollings.

5. Terrorism and Tourism: TWA 840 Bombing and Oversight of the Foreign Airport Security Act.-April 17, 1986, the subcommittee held a joint hearing with the Subcommittee on Arms Control, International Security and Science, and the Subcommittee on Aviation (Committee on Public Works and Transportation). Chairman Fascell presided. Captain Henry Duffy, President, Airline Pilots Association; Richard Lally, Director of Security, Air Transport Association; John Steele, Corporate Director of Security, Trans World Airlines; and Joseph H. Hallissey, CTE, Chairman and Chief Executive Officer, American Society of Travel Agents spoke before the subcommittees. Harold Olson, ALPA, Engineering and Air Safety Department Accompanied Mr. Duffy. The witnesses described measures taken by their offices to improve airline and airport security. Mr. Hallissey stated that ASTA will endeavor to establish a

strong travel industry voice to warn other governments of the economic effects of terrorism, provide information to the public, and work with legislative bodies to enhance international agreements on traveler security.

6. Effectiveness of U.S. Government Policies and Programs to Combat the Increased Threat of Libyan and Other State-Sponsored Terrorism.-April 22, 1986, the subcommittee held a joint hearing with the Subcommittee on Arms Control, International Security and Science and the Subcommittee on Aviation, Committee on Public Works and Transportation. Testimony was heard from John Whitehead, Deputy Secretary of State, accompanied by Ambassador Parker Borg, Office of the Ambassador-at-Large for CounterTerrorism; Matthew Scocozza, Assistant Secretary, Policy and International Affairs, Department of Transportation (DOT); Anthony J. Broderick, Associate Administrator for Aviation Standards, Federal Aviation Administration, DOT. Chairman Fascell presided. Mr. Whitehead urged U.S. allies to terminate flights to Libya, or at least screen flights more carefully. In response to a proposal to send Libyan exchange students home, he felt it would be better in the long run to let them stay in the U.S. to better assimilate our political system. Mr. Whitehead thought that Congress should update the War Powers Act in light of current terrorist threats.

Mr. Scocozza submitted new security measures for the subcommittee's review. He stated that 17 airports are listed as high risk. If DOT believes that U.S. travelers are at risk, then a 90 day notice is issued and is not made public until the end of the 90 days. If the problem is readily correctable, however, then it is not issued. As yet, the FAA and ICAO have not determined any airport unsafe. Over one-half of the 130 airports that need to be inspected have been inspected.

7. Oversight of the National Endowment for Democracy, Part 1.May 14, 1986, the subcommittee held a hearing with testimony heard from Joan M. McCabe, Associate Director, Security and International Relations Group, Government Accounting Office, accompanied by Pierre Toureille, evaluator; Anthony Gabriel, Inspector General, United States Information Agency, accompanied by George De Marco, Gregory Pence, and Forrest Peters, auditors; Tom Harvey, General Counsel, USIA, accompanied by Assistant General Counsels, John Lindberg and Richard Swan; Ambassador Gerald B. Helman, Deputy to the Under Secretary for Political Affairs, Department of State. This was the first of three hearings concerning the National Endowment for Democracy. Ms. McCabe outlined GAO's evaluation of the Endowment's management techniques and its managerial relationship with its grantees. During their first 2 years of operation (authorized FY84), the Endowment generally relied on its grantees to oversee their own programs, and mainly funded projects submitted by the four core grantees with little monitoring. More time was spent monitoring small, non-core grantees. This situation has now changed in several ways: funding earmarks to the labor and business grantees have been eliminated; there is a 25 percent limit on grant awards to any one grantee; Congress has affirmed USIA's auditing responsibility; the Endowment is now under the Freedom of Information Act; and the Endowment must coordinate grant programs with the DOS.

Mr. Gabriel relayed the findings of USIA's investigation that found government program funds were used for purposes consistent with the grants overall, and made the point that U.S. Government funds were not used by the Friends of the Democratic Center in Central America (Prodemca) to finance advertisements supporting military aid to the Nicaraguan resistance.

8. The Economic Impact of Terrorism.-May 15, 1986, the subcommittee held a joint hearing with the Subcommittee on Arms Control, International Security and Science. Testimony was heard from Joan M. Clark, Assistant Secretary, Bureau of Consular Affairs, Department of State; Donna F. Tuttle, Under Secretary, Travel and Tourism, Department of Commerce; H. Wayne Berens, Revere Travel, Inc. and Travelers Security Policy Council; and Cord D. Hansen-Sturm, Vice President for Government Affairs, First Family of Travel.

Ms. Tuttle testified that terrorists acts have severely impacted the travel economy. After the attacks at the Rome and Vienna airports in December, 1985, 35 percent of U.S. international travelers changed their reservations. Those who changed, 78 percent, or 1.4 million people, either cancelled or substituted a domestic destination. A 30 percent drop in U.S. bookings for travel to Europe is expected for this year. Ms. Tuttle's general feeling was that Americans should still travel.

Ms. Clarke reported that the Bureau of Consular Affairs issued over 3 million passports to American citizens by early May, 1985. For the same period this year there has been a decrease of approximately 17.8 percent. The trend is seen as threefold: terrorism; the strength of foreign currencies; and low airfare packages for domestic travel. There are now five security related advisories that suggest to avoid travel to a particular country.

9. Continuation of the Oversight of the National Endowment for Democracy, Part II.-May 20, 1986, the subcommittee held the second of three hearings concerning the Endowment. Testimony was heard from Congressmen John Conyers, Jr., Dick Cheney, Hank Brown, Dave McCurdy, Barney Frank, and Carl Gershman, President, National Endowment for Democracy, and John Richardson, Chairman and Treasurer, NED. This hearing served to air the views of Members of Congress who feel strongly, one way or the other, about the activities of the Endowment. Both favorable and unfavorable testimony was heard. Mr. Gershman and Mr. Richardson reported on the internal and procedural changes at the Endowment.

10. Continuation of the Oversight of the National Endowment for Democracy, Part III.-June 11, 1986, the subcommittee held the last of three hearings concerning the Endowment. Testimony was given by Eugenia Kemble, Executive Director, Free Trade Union Institute, AFL-CIO; John Sullivan, Director, Public and Congressional Affairs, Center for International Private Enterprise; Hon. J. Brian Atwood, President, National Democratic Institute for International Affairs; and Keith E. Schuette, Executive Director, National Republican Institute for International Affairs. The witnesses represent the four core grantees of the Endowment and they reported on their programs sponsored with Endowment funds. Also, the subcommittee heard the reaction of the core grantees to the

recommendations in the GAO report which would place more responsibility on the Endowment to evaluate grantee programs and to verify the expenditure of funds.

11. Oversight of the Board for International Broadcasting.-June 17, 1986, the subcommittee heard testimony from Malcolm S. Forbes, Jr., Chairman, the Board for International Broadcasting, accompanied by Ben Wattenberg, Vice Chairman; Michael Novak, Member of the Board, BIB; and Gene Pell, President, Radio Free Europe/Radio Liberty. The purpose of the hearing was to review the goals, objectives, and operations of BIB and RFE/RL in light of several changes that occured and with a look to future budget constraints. The entire leaderships of BIB and RFE/FL have changed, as well as almost the entire staff of BIB. The adoption and implementation of recommendations that stemmed from the work of Congressman Lawrence Smith regarding charges of anti-Semitism was reviewed, as was the Congressional directive to the Secretary of State to establish an office in the U.S. Consulate in Munich that would be responsible for the Department's liaison with the Radios, and to appoint an observer to the meeting of the Board.

12. Oversight of the Bureau of International Communications and Information Policy.-June 26, 1986, the subcommittee heard testimony from Ambassador Diana Lady Dougan, U.S. Coordinator and Director, Bureau of International Communications and Information Policy, Department of State. The focus of the hearing was on the process by which the Bureau has attempted to incorporate the separate systems policy into the U.S. foreign policy effort. More precisely, how the implementation of the policy has evolved since PanAmSat submitted its request for coordination.

13. Public Diplomacy Oversight, Part I.-July 16, 1986, the subcommittee held the first of four hearings examining the United States public diplomacy effort. Testimony was given by the Congressman Dante B. Fascell, Chairman, Committee on Foreign Affairs; Edwin Feulner, Chairman, Advisory Commission on Public Diplomacy; and Marvin L. Stone, Deputy Director, United States Information Agency, accompanied by Stanton Burnett, counselor of the Agency. The purpose of the hearing was to look at the goals of our public diplomacy programs, how they complement formal diplomacy, and how this information effort is coordinated among the primary agencies that practice public diplomacy. Also reviewed was the way in which public diplomacy tools are the most effective in terms of cost and information, and USIA's public diplomacy plans given new technologies and a changing broadcast envi

ronment.

14. Continuation of Public Diplomacy Oversight, Part II.-July 23, 1986, the subcommittee held the second of four hearings on public diplomacy. Testimony was heard from Kenneth Adelman, Director, U.S. Arms Control and Disarmament Agency, and Bernard Kalb, Assistant Secretary, Bureau of Public Affairs, DOS, accompanied by Ambassador Gerald Helman, Deputy to the Under Secretary for Political Affairs, DOS. Highlighted during the hearing was a new effort to open an office of public diplomacy in the Office for Counter-Terrorism and Emergency Planning at the DOS.

15. Continuation of Public Diplomacy Oversight, Part III.August 6, 1986, the subcommittee held the third of four hearings