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1 TITLE I-SECURITY ASSISTANCE

2 SEC. 101. ADDITIONS TO UNITED STATES WAR RESERVE

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STOCKPILES FOR ALLIES.

Section 514(b)(2) of the Foreign Assistance Act of

5 1961 (22 U.S.C. 2321h(b)(2)) is amended to read as fol

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“(2)(A) The value of such additions to stockpiles of defense articles in foreign countries shall not

exceed $50,000,000 for fiscal year 2001.

"(B) of the amount specified in subparagraph (A) for fiscal year 2001, not more than $50,000,000

may be made available for stockpiles in the Republic of Korea.".

14 SEC. 102. TRANSFER OF CERTAIN OBSOLETE OR SURPLUS

DEFENSE ARTICLES IN THE WAR RESERVE

STOCKPILES FOR ALLIES TO ISRAEL.

(a) TRANSFERS TO ISRAEL.—

(1) AUTHORITY.—Notwithstanding section 514

of the Foreign Assistance Act of 1961 (22 U.S.C. 2321h), the President is authorized to transfer to

Israel, in return for concessions to be negotiated by the Secretary of Defense, with the concurrence of the Secretary of State, any or all of the items de

scribed in paragraph (2).

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(2) ITEMS COVERED.-The items referred to in paragraph (1) are munitions, equipment, and mate

rial such as armor, artillery, automatic weapons am

munition, and missiles that

(A) are obsolete or surplus items;

(B) are in the inventory of the Department of Defense;

(C) are intended for use as reserve stocks

for Israel; and

(D) as of the date of enactment of this

Act, are located in a stockpile in Israel.

(b) CONCESSIONS.-The value of concessions nego13 tiated pursuant to subsection (a) shall be at least equal 14 to the fair market value of the items transferred. The con15 cessions may include cash compensation, services, waiver 16 of charges otherwise payable by the United States, and 17 other items of value.

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(c) ADVANCE NOTIFICATION OF TRANSFER-Not 19 less than 30 days before making a transfer under the au20 thority of this section, the President shall transmit to the 21 Committee on Foreign Relations of the Senate, and the 22 Committee on International Relations of the House of 23 Representatives a notification of the proposed transfer. 24 The notification shall identify the items to be transferred 25 and the concessions to be received.

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1 (d) EXPIRATION OF AUTHORITY.-No transfer may

2 be made under the authority of this section 3 years after

3 the date of enactment of this Act.

4 SEC. 103. EXCESS DEFENSE ARTICLES FOR MONGOLIA.

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(a) USES FOR WHICH FUNDS ARE AVAILABLE.— 6 Notwithstanding section 516(e) of the Foreign Assistance 7 Act of 1961 (22 U.S.C. 2321j(e)), during each of the fiscal 8 years 2000 and 2001, funds available to the Department 9 of Defense may be expended for crating, packing, han10 dling, and transportation of excess defense articles trans11 ferred under the authority of section 516 of that Act to 12 Mongolia.

13 (b) CONTENT OF CONGRESSIONAL NOTIFICATION.— 14 Each notification required to be submitted under section 15 516(f) of the Foreign Assistance Act of 1961 (22 U.S.C. 16 2321j(f)) with respect to a proposed transfer of a defense 17 article described in subsection (a) shall include an esti18 mate of the amount of funds to be expended under sub

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section (a) with respect to that transfer.

20 SEC. 104. SENSE OF CONGRESS RELATING TO MILITARY

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EQUIPMENT FOR THE PHILIPPINES.

(a) IN GENERAL.-It is the sense of Congress that

23 the United States Government should work with the Gov24 ernment of the Republic of the Philippines to enable that 25 Government to procure military equipment that can be

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1 used to upgrade the capabilities and to improve the quality

2 of life of the armed forces of the Philippines.

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(b) MILITARY EQUIPMENT.-Military equipment de

4 scribed in subsection (a) should include—

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(1) naval vessels, including amphibious landing crafts, for patrol, search-and-rescue, and transport;

(2) F-5 aircraft and other aircraft that can assist with reconnaissance, search-and-rescue, and resupply;

(3) attack, transport, and search-and-rescue helicopters; and

(4) vehicles and other personnel equipment.

13 SEC. 105. ANNUAL MILITARY ASSISTANCE REPORT.

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Section 655(b)(3) of the Foreign Assistance Act of

15. 1961 (22 U.S.C. 2415(b)(3)) is amended by inserting be16 fore the period at the end the following: ", including those 17 defense articles that were exported".

18 SEC. 106. REQUIREMENTS RELATING TO COUNTRY EXEMP

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TIONS FOR LICENSING OF DEFENSE ITEMS

FOR EXPORT TO FOREIGN COUNTRIES.

(a) REQUIREMENTS OF EXEMPTION.-Section 38 of

22 the Arms Export Control Act (22 U.S.C. 2778) is amend23 ed by adding at the end the following:

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1"(j) REQUIREMENTS RELATING TO COUNTRY EX

2 EMPTIONS FOR LICENSING OF DEFENSE ITEMS FOR EX

3 PORT TO FOREIGN COUNTRIES.—

"(1) REQUIREMENT FOR BILATERAL AGREEMENT-Beginning on and after the date of the enactment of this subsection, the President may utilize the regulatory authority pursuant to this Act to provide an exemption from any licensing requirements for a foreign country with regard to exports of defense items only if the United States Government has concluded an agreement described in paragraph (2) with the foreign country that is legally-binding as a matter of domestic and international law on

both the United States and that country.

"(2) REQUIREMENTS OF BILATERAL AGREEMENT.-A bilateral agreement referred to paragraph

(1)

"(A) shall, at a minimum, require the foreign country, as necessary, to revise its policies and practices, and promulgate or enact necessary modifications to its laws and regulations to establish an export control regime that is at least comparable to United States law, regula

tion, and policy regarding

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