(b) In any case where the Board of Executive Directors has given a decision under (a) above, any member may require that the question be submitted to the Board of Governors, whose decision shall be final. Pending the decision of the Board of Governors, the Bank may, so far as it deems it necessary, act on the basis of the decision of the Board of Executive Directors.

Sec. 2. Arbitration

If a disagreement should arise between the Bank and a country which has ceased to be a member, or between the Bank and any member after adoption of a decision to terminate the operation of the Bank, such disagreement shall be submitted to arbitration by a tribunal of three arbitrators. One of the arbitrators shall be appointed by the Bank, another by the country concerned, and the third, unless the parties otherwise agree, by the Secretary General of the Organization of American States. If all efforts to reach a unanimous agreement fail, decisions shall be made by a majority vote of the three arbitrators.

The third arbitrator shall be empowered to settle all questions of procedure in any case where the parties are in disagreement with respect thereto.

ARTICLE XIV. GENERAL PROVISIONS

Section 1. Principal Office

The principal office of the Bank shall be located in Washington, District of Columbia, United States of America.

Sec. 2. Relations With Other Organizations

The Bank may enter into arrangements with other organizations with respect to the exchange of information or for other purposes consistent with this Agreement.

Sec. 3. Channel of Communication

Each member shall designate an official entity for purposes of communication with the Bank on matters connected with this Agreement. Sec. 4. Depositories

Each member shall designate its central bank as a depository in which the Bank may keep its holdings of such member's currency and other assets of the Bank. If a member has no central bank, it shall, in agreement with the Bank, designate another institution for such purpose.

ARTICLE XV. FINAL PROVISIONS

Section 1. Signature and Acceptance

(a) This Agreement shall be deposited with the General Secretariat of the Organization of American States, where it shall remain open until December 31, 1959, for signature by the representatives of the countries listed in Annex A. Each signatory country shall deposit with the General Secretariat of the Organization of American States an instrument setting forth that it has accepted or ratified this Agreement in accordance with its own laws and has taken the steps necessary to enable it to fulfill all of its obligations under this Agreement.

(b) The General Secretariat of the Organization of American States shall send certified copies of this Agreement to the members of the Organization and duly notify them of each signature and deposit of the instrument of acceptance or ratification made pursuant to the foregoing paragraph, as well as the date thereof.

(c) At the time the instrument of acceptance or ratification is deposited on its behalf, each country shall deliver to the General Secretariat of the Organization of American States, for the purpose of meeting administrative expenses of the Bank, gold or United States dollars equivalent to one-tenth of one percent of the purchase price of the shares of the Bank subscribed by it and of its quota in the Fund. This payment shall be credited to the member on account of its subscription and quota prescribed pursuant to Articles II, Section 4(a)(i), and IV, Section 3(d) (i). At any time on or after the date on which its instrument of acceptance or ratification is deposited, any member may make additional payments to be credited to the member on account of its subscription and quota prescribed pursuant to Articles II and IV. The General Secretariat of the Organization of American States shall hold all funds paid under this paragraph in a special deposit account or accounts and shall make such funds available to the Bank not later than the time of the first meeting of the Board of Governors held pursuant to Section 3 of this article. If this Agreement has not come into force by December 31, 1959, the General Secretariat of the Organization of American States shall return such funds to the countries that delivered them.

(d) On or after the date on which the Bank commences operations, the General Secretariat of the Organization of American States may receive the signature and the instrument of acceptance or ratification of this Agreement from any country whose membership has been approved in accordance with Article II, Section 1(b).

Sec. 2. Entry Into Force

(a) This Agreement shall enter into force when it has been signed. and instruments of acceptance or ratification have been deposited, in accordance with Section 1(a) of this article, by representatives of countries whose subscriptions comprise not less than 85 percent of the total subscriptions set forth in Annex A.

(b) Countries whose instruments of acceptance or ratification were deposited prior to the date on which the agreement entered into force shall become members on that date. Other countries shall become members on the dates on which their instruments of acceptance or ratification are deposited.

Sec. 3. Commencement of Operations

(a) The Secretary General of the Organization of American States shall call the first meeting of the Board of Governors as soon as this Agreement enters into force under Section 2 of this article.

(b) At the first meeting of the Board of Governors arrangements shall be made for the selection of the executive directors and their alternates in accordance with the provisions of Article VIII, Section 3, and for the determination of the date on which the Bank shall commence operations. Notwithstanding the provisions of Article VII, Section 3, the governors, if they deem it desirable, may provide that the first term to be served by such directors may be less than three

years.

DONE at the city of Washington, District of Columbia, United States of America, in a single original, dated April 8, 1959, whose English. French, Portuguese, and Spanish texts are equally authentic.

(a) The six executive directors referred to in Article VIII, Section 3(b) (ii) shall be elected by the governors eligible to vote for that purpose.

(b) Each governor shall cast in favor of a single person all the votes to which the member he represents is entitled under Article VIII, Section 4.

(c) In the first place, as many ballots as are necessary shall be taken until each of four candidates receives a number of votes that represents a percentage not less than the sum of the percentages appertaining to the country with the greatest voting power and to the country with the lease voting power. For the purposes of this paragraph, the total voting power of the countries entitled to participate in the voting provided for under this annex shall be counted as 100 percent.

(d) In the second place, governors whose votes have not been cast in favor of any of the directors elected under paragraph (c) of this annex shall elect the other two directors on the basis of one vote for each governor. The two candidates who each receive a greater number of votes than any other candidate, on the same ballot, shall be elected executive directors, and the balloting shall be repeated until this occurs. After the balloting has been completed, each governor who did not vote for either of the candidates elected shall assign his vote to one of them.

(e) Whenever the Board of Governors increases the number of executive directors in accordance with Article VIII, Section 3(j), the additional executive director shall be elected at the next regular election of executive directors in accordance with subparagraph (c) of this Annex.9

The number of votes under Article VIII, Section 4, of each governor who has voted for or assigned his vote to a candidate elected hereunder shall be deemed for the purposes of Article VIII, Section 4(c)(ii) to have counted toward the election of such candidate.

• This subsection was added by action of the Board of Governors on Jan. 28, 1964.

LIST OF SIGNATORY COUNTRIES TO THE AGREEMENT ESTABLISHING THE INTER-AMERICAN DEVELOPMENT BANK

Open for signature at the Pan American Union on April 8, 1959

Signed on March 19, 1969. Instrument of acceptance deposited on the same date.

? Signed on December 30, 1969. Instrument of acceptance deposited on the same date.

* Signed on July 10, 1967. Instrument of acceptance deposited on the same date.

NOTE.-The original instrument is deposited with the Pan American Union, which is also the depository

of the instruments of ratification. The agreement went into force on December 30, 1959.

C. INTER-AMERICAN DEVELOPMENT BANK ACT

Text of Public Law 86-147, 86th Congress [S. 1928], 73 Stat. 299, approved August 7, 1959, as amended by Public Law 88-259 [H.R. 7406], 78 Stat. 3, approved January 22, 1964, Public Law 89-6 [H.R. 45], 79 Stat. 23, approved March 24, 1965, Public Law 90-88 [H.R. 9547], 81 Stat. 226, approved September 22, 1967, Public Law 91-599 [H.R. 18306], 84 Stat. 1657, approved December 30, 1970, and by Public Law 92-246 [S. 748], 86 Stat. 60, approved March 10, 1972

AN ACT To provide for the participation of the United States in the InterAmerican Development Bank

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SHORT TITLE

Section 1. This Act may be cited as the "Inter-American Development Bank Act".

ACCEPTANCE OF MEMBERSHIP

Sec. 2. The President is hereby authorized to accept membership for the United States in the Inter-American Development Bank (hereinafter referred to as the Bank), provided for by the agreement establishing the bank (hereinafter referred to as the agreement) deposited in the archives of the Organization of American States. GOVERNOR, ALTERNATE GOVERNOR, AND EXECUTIVE DIRECTOR

Sec. 3. (a) The President, by and with the advice and consent of the Senate, shall appoint a Governor of the Bank and an alternate for the governor. The term of office for the governor and the alternate governor shall be five years, but each shall remain in office until a successor has been appointed.

(b) The President, by and with the advice and consent of the Senate, shall appoint an Executive Director of the Bank and an alternate Executive Director. Except as provided for in article XV, section 3, of the agreement, the term of office for the Executive Director shall be three years, but he shall remain in office until a succcessor has been appointed.

(c) No person shall be entitled to receive any salary or other compensation from the United States for services as a governor, alternate governor, or Executive Director.