22 U.S.C. § 2755 — Discrimination prohibited if based on

Page 1205 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 2755 seq.] is excluded from the requirements of this sec- tion.’’ [For delegation of functions of President under sec- tion 101(d) [title V, § 594] of div. A of Pub. L. 105–277, set out above, see Ex. Ord. No. 12163, Sept. 29, 1979, 44 F.R. 56673, as amended, set out as a note under section 2381 of this title.] ELIGIBILITY OF BALTIC STATES FOR NONLETHAL DEFENSE ARTICLES Pub. L. 102–511, title IX, § 906, Oct. 24, 1992, 106 Stat. 3356, provided that: ‘‘(a) ELIGIBILITY.—Estonia, Latvia, and Lithuania shall each be eligible— ‘‘(1) to purchase, or to receive financing for the pur- chase of, nonlethal defense articles— ‘‘(A) under the Arms Export Control Act (22 U.S.C. 2751 et seq.), without regard to section 3(a)(1) of that Act [22 U.S.C. 2753(a)(1)], or ‘‘(B) under section 503 of the Foreign Assistance Act of 1961 (22 U.S.C. 2311), without regard to the re- quirement in subsection (a) of that section for a Presidential finding; and ‘‘(2) to receive nonlethal excess defense articles transferred under section 519 of the Foreign Assist- ance Act of 1961 (22 U.S.C. 2321m), without regard to the restrictions in subsection (a) of that section. ‘‘(b) DEFINITIONS.—As used in this section— ‘‘(1) the term ‘defense article’ has the same mean- ing given to that term in section 47(3) of the Arms Export Control Act (22 U.S.C. 2794(3)); and ‘‘(2) the term ‘excess defense article’ has the same meaning given to that term in section 644(g) of the Foreign Assistance Act of 1961 (22 U.S.C. 2403(g)).’’ Executive Documents DELEGATION OF FUNCTIONS For delegation of certain functions of the President under this section, see section 1(a) of Ex. Ord. No. 13637, Mar. 8, 2013, 78 F.R. 16129, set out as a note under sec- tion 2751 of this title. Functions were previously dele- gated by Ex. Ord. No. 11958, which was formerly set out as a note under section 2751 of this title and was re- voked, subject to a savings provision, by section 4 of Ex. Ord. No. 13637. § 2754. Purposes for which military sales or leases by the United States are authorized; report to Congress Defense articles and defense services shall be sold or leased by the United States Government under this chapter to friendly countries solely for internal security, for legitimate self-defense, for preventing or hindering the proliferation of weapons of mass destruction and of the means of delivering such weapons, to permit the recipient country to participate in regional or collective arrangements or measures consistent with the Charter of the United Nations, or otherwise to permit the recipient country to participate in collective measures requested by the United Na- tions for the purpose of maintaining or restoring international peace and security, or for the pur- pose of enabling foreign military forces in less developed friendly countries to construct public works and to engage in other activities helpful to the economic and social development of such friendly countries. It is the sense of the Con- gress that such foreign military forces should not be maintained or established solely for civic action activities and that such civic action ac- tivities not significantly detract from the capa- bility of the military forces to perform their military missions and be coordinated with and form part of the total economic and social devel- opment effort: Provided, That none of the funds contained in this authorization shall be used to guarantee, or extend credit, or participate in an extension of credit in connection with any sale of sophisticated weapons systems, such as mis- sile systems and jet aircraft for military pur- poses, to any underdeveloped country other than Greece, Turkey, Iran, Israel, the Republic of China, the Philippines and Korea unless the President determines that such financing is im- portant to the national security of the United States and reports within thirty days each such determination to the Congress. (Pub. L. 90–629, ch. 1, § 4, Oct. 22, 1968, 82 Stat. 1322; Pub. L. 97–113, title I, § 109(b)(3), Dec. 29, 1981, 95 Stat. 1526; Pub. L. 107–228, div. B, title XII, § 1202(a), Sept. 30, 2002, 116 Stat. 1427.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in text, was in the original ‘‘this Act’’, meaning Pub. L. 90–629, Oct. 22, 1968, 82 Stat. 1321, which is classified principally to this chap- ter. For complete classification of this Act to the Code, see Short Title note set out under section 2751 of this title and Tables. AMENDMENTS 2002—Pub. L. 107–228 inserted ‘‘for preventing or hin- dering the proliferation of weapons of mass destruction and of the means of delivering such weapons,’’ after ‘‘legitimate self-defense,’’ in first sentence. 1981—Pub. L. 97–113 substituted ‘‘sold or leased’’ for ‘‘sold’’ in first sentence. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective July 1, 1968, see section 41 of Pub. L. 90–629, set out as a note under section 2751 of this title. § 2755. Discrimination prohibited if based on race, religion, national origin, or sex (a) Congressional declaration of policy It is the policy of the United States that no sales should be made, and no credits (including participations in credits) or guaranties extended to or for any foreign country, the laws, regula- tions, official policies, or governmental prac- tices of which prevent any United States person (as defined in section 7701(a)(30) of title 26) from participating in the furnishing of defense arti- cles or defense services under this chapter on the basis of race, religion, national origin, or sex. (b) Employment of personnel; required contrac- tual provision (1) No agency performing functions under this chapter shall, in employing or assigning per- sonnel to participate in the performance of any such function, whether in the United States or abroad, take into account the exclusionary poli- cies or practices of any foreign government where such policies or practices are based upon race, religion, national origin, or sex. (2) Each contract entered into by any such agency for the performance of any function under this chapter shall contain a provision to the effect that no person, partnership, corpora- Page 1206 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 2755 tion, or other entity performing functions pur- suant to such contract, shall, in employing or assigning personnel to participate in the per- formance of any such function, whether in the United States or abroad, take into account the exclusionary policies or practices of any foreign government where such policies or practices are based upon race, religion, national origin, or sex. (c) Report by President; contents The President shall promptly transmit reports to the Speaker of the House of Representatives, the Committee on Foreign Affairs of the House of Representatives, and the chairman of the Committee on Foreign Relations of the Senate concerning any instance in which any United States person (as defined in section 7701(a)(30) of title 26) is prevented by a foreign government on the basis of race, religion, national origin, or sex, from participating in the performance of any sale or licensed transaction under this chap- ter or any import or export under a treaty re- ferred to in section 2778(j)(1)(C)(i) of this title. Such reports shall include (1) a description of the facts and circumstances of any such dis- crimination, (2) the response thereto on the part of the United States or any agency or employee thereof, and (3) the result of such response, if any. (d) Congressional request for information from President; information required; 60 day pe- riod; failure to supply information; termi- nation or restriction of sale (1) Upon the request of the Committee on For- eign Relations of the Senate or the Committee on Foreign Affairs of the House of Representa- tives, the President shall, within 60 days after receipt of such request, transmit to both such committees a statement, prepared with the as- sistance of the Secretary of State, with respect to the country designated in such request, set- ting forth— (A) all the available information about the exclusionary policies or practices of the gov- ernment of such country when such policies or practices are based upon race, religion, na- tional origin or sex and prevent any such per- son from participating in the performance of any sale or licensed transaction under this chapter; (B) the response of the United States thereto and the results of such response; (C) whether, in the opinion of the President, notwithstanding any such policies or prac- tices— (i) extraordinary circumstances exist which necessitate a continuation of such sale or licensed transaction, and, if so, a de- scription of such circumstances and the ex- tent to which such sale or licensed trans- action should be continued (subject to such conditions as Congress may impose under this section), and (ii) on all the facts it is in the national in- terest of the United States to continue such sale or licensed transaction; and (D) such other information as such com- mittee may request. (2) In the event a statement with respect to a sale or licensed transaction is requested pursu- ant to paragraph (1) of this subsection but is not transmitted in accordance therewith within 60 days after receipt of such request, such sale or licensed transaction shall be suspended unless and until such statement is transmitted. (3)(A) In the event a statement with respect to a sale or licensed transaction is transmitted under paragraph (1) of this subsection, the Con- gress may at any time thereafter adopt a joint resolution terminating or restricting such sale or licensed transaction. (B) Any such resolution shall be considered in the Senate in accordance with the provisions of section 601(b) of the International Security As- sistance and Arms Export Control Act of 1976. (C) The term ‘‘certification’’, as used in sec- tion 601 of such Act, means, for the purposes of this paragraph, a statement transmitted under paragraph (1) of this subsection. (Pub. L. 90–629, ch. 1, § 5, as added Pub. L. 94–329, title III, § 302(b), June 30, 1976, 90 Stat. 752; amended Pub. L. 95–105, title I, § 109(a)(5), Aug. 17, 1977, 91 Stat. 846; Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095; Pub. L. 103–236, title I, § 162(f), Apr. 30, 1994, 108 Stat. 405; Pub. L. 103–437, § 9(a)(7), Nov. 2, 1994, 108 Stat. 4588; Pub. L. 111–266, title I, § 104(b), Oct. 8, 2010, 124 Stat. 2799; Pub. L. 113–276, title II, § 208(a)(1), Dec. 18, 2014, 128 Stat. 2992.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in text, was in the original ‘‘this Act’’, meaning Pub. L. 90–629, Oct. 22, 1968, 82 Stat. 1321, which is classified principally to this chap- ter. For complete classification of this Act to the Code, see Short Title note set out under section 2751 of this title and Tables. Section 601(b) of the International Security Assist- ance and Arms Export Control Act of 1976, referred to in subsec. (d)(3)(B), (C), is section 601(b) of Pub. L. 94–329, June 30, 1976, 90 Stat. 729, which made provision for expedited procedures in the Senate, and was not classified to the Code. AMENDMENTS 2014—Subsec. (c). Pub. L. 113–276 substituted ‘‘the Speaker of the House of Representatives, the Com- mittee on Foreign Affairs of the House of Representa- tives, and’’ for ‘‘the Speaker of the House of Represent- atives and’’. 2010—Subsec. (c). Pub. L. 111–266 inserted ‘‘or any im- port or export under a treaty referred to in section 2778(j)(1)(C)(i) of this title’’ after ‘‘under this chapter’’. 1994—Subsec. (d)(1). Pub. L. 103–437 substituted ‘‘For- eign Affairs’’ for ‘‘International Relations’’ in introduc- tory provisions. Pub. L. 103–236 substituted ‘‘Secretary of State’’ for ‘‘Assistant Secretary of State for Human Rights and Humanitarian Affairs’’ in introductory provisions. 1986—Subsecs. (a), (c). Pub. L. 99–514 substituted ‘‘In- ternal Revenue Code of 1986’’ for ‘‘Internal Revenue Code of 1954’’, which for purposes of codification was translated as ‘‘title 26’’ thus requiring no change in text. 1977—Subsec. (d)(1). Pub. L. 95–105 substituted ‘‘As- sistant Secretary of State’’ for ‘‘Coordinator’’ in intro- ductory provisions. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1994 AMENDMENT Amendment by Pub. L. 103–236 applicable with re- spect to officials, offices, and bureaus of Department of Page 1207 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 2761 State when executive orders, regulations, or depart- mental directives implementing the amendments by sections 161 and 162 of Pub. L. 103–236 become effective, or 90 days after Apr. 30, 1994, whichever comes earlier, see section 161(b) of Pub. L. 103–236, as amended, set out as a note under section 2651a of this title. Executive Documents DELEGATION OF FUNCTIONS For delegation of functions of the President under this section, see section 1(b) of Ex. Ord. No. 13637, Mar. 8, 2013, 78 F.R. 16129, set out as a note under section 2751 of this title. Functions were previously delegated by Ex. Ord. No. 11958, which was formerly set out as a note under section 2751 of this title and was revoked, subject to a savings provision, by section 4 of Ex. Ord. No. 13637. § 2756. Foreign intimidation and harassment of individuals in United States No letters of offer may be issued, no credits or guarantees may be extended, and no export li- censes may be issued under this chapter with re- spect to any country determined by the Presi- dent to be engaged in a consistent pattern of acts of intimidation or harassment directed against individuals in the United States. The President shall report any such determination promptly to the Speaker of the House of Rep- resentatives, the Committee on Foreign Affairs of the House of Representatives, and to the chairman of the Committee on Foreign Rela- tions of the Senate. (Pub. L. 90–629, ch. 1, § 6, as added Pub. L. 97–113, title I, § 115, Dec. 29, 1981, 95 Stat. 1528; amended Pub. L. 113–276, title II, § 208(a)(1), Dec. 18, 2014, 128 Stat. 2992.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in text, was in the original ‘‘this Act’’, meaning Pub. L. 90–629, Oct. 22, 1968, 82 Stat. 1321, which is classified principally to this chap- ter. For complete classification of this Act to the Code, see Short Title note set out under section 2751 of this title and Tables. AMENDMENTS 2014—Pub. L. 113–276 substituted ‘‘the Speaker of the House of Representatives, the Committee on Foreign Affairs of the House of Representatives, and’’ for ‘‘the Speaker of the House of Representatives and’’. SUBCHAPTER II—FOREIGN MILITARY SALES AUTHORIZATIONS § 2761. Sales from stocks (a) Eligible countries or international organiza- tions; basis of payment; valuation of certain defense articles (1) The President may sell defense articles and defense services from the stocks of the Depart- ment of Defense and the Coast Guard to any eli- gible country or international organization if such country or international organization agrees to pay in United States dollars— (A) in the case of a defense article not in- tended to be replaced at the time such agree- ment is entered into, not less than the actual value thereof; (B) in the case of a defense article intended to be replaced at the time such agreement is entered into, the estimated cost of replace- ment of such article, including the contract or production costs less any depreciation in the value of such article; or (C) in the case of the sale of a defense serv- ice, the full cost to the United States Govern- ment of furnishing such service, except that in the case of training sold to a purchaser who is concurrently receiving assistance under chap- ter 5 of part II of the Foreign Assistance Act of 1961 [22 U.S.C. 2347 et seq.] or to any high- income foreign country (as described in that chapter), only those additional costs that are incurred by the United States Government in furnishing such assistance. (2) For purposes of subparagraph (A) of para- graph (1), the actual value of a naval vessel of 3,000 tons or less and 20 years or more of age shall be considered to be not less than the great- er of the scrap value or fair value (including conversion costs) of such vessel, as determined by the Secretary of Defense. (b) Time of payment Except as provided by subsection (d) of this section, payment shall be made in advance or, if the President determines it to be in the national interest, upon delivery of the defense article or rendering of the defense service. (c) Personnel performing defense services sold as prohibited from performing combat activi- ties (1) Personnel performing defense services sold under this chapter may not perform any duties of a combatant nature, including any duties re- lated to training and advising that may engage United States personnel in combat activities, outside the United States in connection with the performance of those defense services. (2) Within forty-eight hours of the existence of, or a change in status of significant hos- tilities or terrorist acts or a series of such acts, which may endanger American lives or property, involving a country in which United States per- sonnel are performing defense services pursuant to this chapter or the Foreign Assistance Act of 1961 [22 U.S.C. 2151 et seq.], the President shall submit to the Speaker of the House of Rep- resentatives and to the President pro tempore of the Senate a report, in writing, classified if nec- essary, setting forth— (A) the identity of such country; (B) a description of such hostilities or ter- rorist acts; and (C) the number of members of the United States Armed Forces and the number of United States civilian personnel that may be endangered by such hostilities or terrorist acts. (d) Billings; interest after due date, rates of in- terest and extension of due date If the President determines it to be in the na- tional interest pursuant to subsection (b) of this section, billings for sales made under letters of offer issued under this section after June 30, 1976, may be dated and issued upon delivery of the defense article or rendering of the defense service and shall be due and payable upon re-