Sec. 7031. financial management and budget transparency

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## SEC. 7031 financial management and budget transparency ###

(a)Limitation on Direct Government-to-Government Assistance ####

(1)Requirements Funds appropriated by this Act may be made available for direct government-to-government assistance only if the requirements included in section 7031(a)(1)(A) through

(E)of the Department of State, Foreign Operations, and Related Programs Appropriations Act, 2019 (division F of Public Law 116-6) are fully met. ####

(2)Consultation and notification In addition to the requirements in paragraph (1), funds may only be made available for direct government-to-government assistance subject to prior consultation with, and the regular notification procedures of, the Committees on Appropriations: * Provided*, That such notification shall contain an explanation of how the proposed activity meets the requirements of paragraph (1): * Provided further*, That the requirements of this paragraph shall only apply to direct government-to-government assistance in excess of $10,000,000 and all funds available for cash transfer, budget support, and cash payments to individuals. ####

(3)Suspension of assistance The Administrator of the United States Agency for International Development or the Secretary of State, as appropriate, shall suspend any direct government-to-government assistance if the Administrator or the Secretary has credible information of material misuse of such assistance, unless the Administrator or the Secretary reports to the Committees on Appropriations that it is in the national interest of the United States to continue such assistance, including a justification, or that such misuse has been appropriately addressed. ####

(4)Submission of information The Secretary of State shall submit to the Committees on Appropriations, concurrent with the fiscal year 2023 congressional budget justification materials, amounts planned for assistance described in paragraph

(1)by country, proposed funding amount, source of funds, and type of assistance. ####

(5)Debt service payment prohibition None of the funds made available by this Act may be used by the government of any foreign country for debt service payments owed by any country to any international financial institution. ###

(b)National Budget and Contract Transparency ####

(1)Minimum requirements of fiscal transparency The Secretary of State shall continue to update and strengthen the “minimum requirements of fiscal transparency” for each government receiving assistance appropriated by this Act, as identified in the report required by section 7031(b) of the Department of State, Foreign Operations, and Related Programs Appropriations Act, 2014 (division K of Public Law 113-76). ####

(2)Determination and report For each government identified pursuant to paragraph (1), the Secretary of State, not later than 180 days after enactment of this Act, shall make or update any determination of “significant progress” or “no significant progress” in meeting the minimum requirements of fiscal transparency, and make such determinations publicly available in an annual “Fiscal Transparency Report” to be posted on the Department of State website: * Provided*, That such report shall include the elements included under this section in House Report 117-84. ####

(3)Assistance Not less than $7,000,000 of the funds appropriated by this Act under the heading “Economic Support Fund” shall be made available for programs and activities to assist governments identified pursuant to paragraph

(1)to improve budget transparency and to support civil society organizations in such countries that promote budget transparency. ###

(c)Anti-Kleptocracy and Human Rights **[**[8 U.S.C. 1182 note](/us/usc/t8/s1182)**]** ####

(1)Ineligibility #####

(A)Officials of foreign governments and their immediate family members about whom the Secretary of State has credible information have been involved, directly or indirectly, in significant corruption, including corruption related to the extraction of natural resources, or a gross violation of human rights, including the wrongful detention of locally employed staff of a United States diplomatic mission or a United States citizen or national, shall be ineligible for entry into the United States. #####

(B)Concurrent with the application of subparagraph (A), the Secretary should, as appropriate, refer the matter to the Office of Foreign Assets Control, Department of the Treasury, to determine whether to apply sanctions authorities in accordance with United States law to block the transfer of property and interests in property, and all financial transactions, in the United States involving any person described in such subparagraph. #####

(C)The Secretary shall also publicly or privately designate or identify the officials of foreign governments and their immediate family members about whom the Secretary has such credible information without regard to whether the individual has applied for a visa. ####

(2)Exception Individuals shall not be ineligible for entry into the United States pursuant to paragraph

(1)if such entry would further important United States law enforcement objectives or is necessary to permit the United States to fulfill its obligations under the United Nations Headquarters Agreement: * Provided*, That nothing in paragraph

(1)shall be construed to derogate from United States Government obligations under applicable international agreements. ####

(3)Waiver The Secretary may waive the application of paragraph

(1)if the Secretary determines that the waiver would serve a compelling national interest or that the circumstances which caused the individual to be ineligible have changed sufficiently. ####

(4)Report Not later than 30 days after enactment of this Act, and every 90 days thereafter until September 30, 2023, the Secretary of State shall submit a report, including a classified annex if necessary, to the appropriate congressional committees and the Committees on the Judiciary describing the information related to corruption or violation of human rights concerning each of the individuals found ineligible in the previous 12 months pursuant to paragraph (1)(A) as well as the individuals who the Secretary designated or identified pursuant to paragraph (1)(B), or who would be ineligible but for the application of paragraph (2), a list of any waivers provided under paragraph (3), and the justification for each waiver. ####

(5)Posting of report Any unclassified portion of the report required under paragraph

(4)shall be posted on the Department of State website. ####

(6)Clarification For purposes of paragraphs (1), (4), and (5), the records of the Department of State and of diplomatic and consular offices of the United States pertaining to the issuance or refusal of visas or permits to enter the United States shall not be considered confidential. ###

(d)Extraction of Natural Resources ####

(1)Assistance Funds appropriated by this Act shall be made available to promote and support transparency and accountability of expenditures and revenues related to the extraction of natural resources, including by strengthening implementation and monitoring of the Extractive Industries Transparency Initiative, implementing and enforcing section 8204 of the Food, Conservation, and Energy Act of 2008 (Public Law 110-246; 122 Stat. 2052) and the amendments made by such section, and to prevent the sale of conflict diamonds, and for technical assistance to promote independent audit mechanisms and support civil society participation in natural resource management. ####

(2)Public disclosure and independent audits #####

(A)The Secretary of the Treasury shall instruct the executive director of each international financial institution to use the voice and vote of the United States to oppose any assistance by such institutions (including any loan, credit, grant, or guarantee) to any country for the extraction and export of a natural resource if the government of such country has in place laws, regulations, or procedures to prevent or limit the public disclosure of company payments as required by United States law, and unless such government has adopted laws, regulations, or procedures in the sector in which assistance is being considered that:

(1)accurately account for and publicly disclose payments to the government by companies involved in the extraction and export of natural resources;

(2)include independent auditing of accounts receiving such payments and the public disclosure of such audits; and

(3)require public disclosure of agreement and bidding documents, as appropriate. #####

(B)The requirements of subparagraph

(A)shall not apply to assistance for the purpose of building the capacity of such government to meet the requirements of such subparagraph. ###

(e)Foreign Assistance Website Funds appropriated by this Act under titles I and II, and funds made available for any independent agency in title III, as appropriate, shall be made available to support the provision of additional information on United States Government foreign assistance on the “ForeignAssistance.gov” website: * Provided*, That all Federal agencies funded under this Act shall provide such information on foreign assistance, upon request and in a timely manner, to the Department of State and USAID.

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