Subject: CONG: Senate Foreign Ops. bill

Indonesia and East Timor provisions in the Foreign Operations Appropriations bill passed by the Senate Appropriations Committee on July 17.

108TH CONGRESS Report SENATE 1st Session 108-106 FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS APPROPRIATION BILL, 2004

July 17, 2003- Ordered to be printed

Mr. MCCONNELL, from the Committee on Appropriations, submitted the following REPORT [To accompany S. 1426]

INTERNATIONAL CONSERVATION PROGRAMS

The Committee supports international conservation programs that preserve endangered species and maintain their natural habitats. The Committee recommends that USAID consider funding conservation proposals and programs in Malaysia, Indonesia, Namibia, Trinidad, and Brazil.

The Committee remains concerned with the destruction of orangutan habitat in Indonesia, and expects USAID to provide at least $2,500,000 for continued support through nongovernmental organizations, including the Orangutan Foundation and others, for activities to save the orangutan from extinction. The Committee expects these funds to be used to work with local communities to protect orangutan habitat in both Borneo and Sumatra, including, if appropriate, to support law enforcement activities, and requests to be consulted prior to the obligation of these funds.

INDONESIA

The Committee appreciates the Indonesian Government's efforts to combat terrorism, and deplores the recent bombing of the Indonesian parliament. The Committee is pleased that suspected Islamic militants continue to be apprehended and that ammunition, chemicals and explosives were recently seized by the Indonesian police. The Committee supports the continued provision of counterterrorism [CT] assistance to a police CT unit. The Committee recognizes the serious danger Jemaah Islamiya poses to Indonesian and American interests in that region.

The Committee remains concerned with the situation in Aceh and reports of internally displaced persons that are being prevented by the Indonesian military from receiving humanitarian assistance from international relief organizations. The Committee expects the State Department to use its influence with the Indonesian government to ensure that relief and human rights organizations receive unimpeded access to this area. The Committee believes that this conflict will only be resolved through a political process, and urges Indonesian President Megawati Sukarnoputri to use maximum restraint in military operations in Aceh in order to safeguard the lives of innocent civilians.

The Committee continues to closely follow progress in the investigation into the attack in Papua on August 31, 2002 that murdered Americans Ted Burgon and Rick Spier and Indonesian Bambang Riwanto. The Committee expects President Megawati to use the full authority of her office to bring to justice the perpetrators of this crime. The Committee is also concerned that the Ad Hoc Human Rights Court on East Timor has failed to deliver justice for crimes committed by the Indonesian military against the people of East Timor. The Committee expects the Indonesian Government to cooperate with the U.N.-East Timor Serious Crimes Unit.

The Committee is deeply disappointed by President Megawati's lack of effort and interest to promote political, economic, legal and military reforms in Indonesia. This failure of leadership may empower segments of Indonesian society disinterested in reforms, including Islamic extremists and the Indonesian military, which could have adverse effects on regional security and stability.

The Committee remains concerned that a large portion of the Indonesian military's budget comes from business enterprises, including illegal activities, which contributes significantly to corruption within the armed forces. The Committee has continued conditions on FMF and licenses for export of lethal defense articles for the Indonesian armed forces.

The Committee expects the State Department to provide increased assistance for democracy and rule of law programs in Indonesia, and believes that President Megawati must not allow upcoming parliamentary and presidential elections to become missed opportunities in that country's political democratic development.

TERRORISM IN SOUTHEAST ASIA

The Committee remains concerned with the ability of terrorists to gain footholds in Muslim communities throughout Southeast Asia, including in Indonesia, Malaysia, southern Thailand, the Philippines, and Cambodia. The Committee strongly recommends USAID and the State Department to fund programs that bolster the efforts of Asian democratic political parties, nongovernmental organizations and individuals to further economic, political, social and legal reforms that may serve as a bulwark against terrorism.

The Committee expects that not less than $2,000,000 be made available to support the Alliance for Reform and Democracy in Asia [ARDA]. The Committee commends the membership of ARDA for their collective commitment to further freedom and liberty throughout Asia.

FREE AND INDEPENDENT MEDIA

The Committee continues to support programs to promote free, independent and professional media in developing nations. The Committee expects USAID and the State Department to fund new, and bolster ongoing, media programs and activities in predominately Muslim countries, including Iraq, Afghanistan, Pakistan, Egypt and Indonesia. The Committee expects that funding will be used primarily to support programs that provide skills development and promote a deeper understanding of the United States. The Committee believes that free, independent and professional media will provide objective news and credible information throughout the Muslim world, which may help to counterbalance political and religious extremism and terrorism.

DEMOCRATIC REPUBLIC OF TIMOR-LESTE

Like last year, the Committee provides $25,000,000 in ESF assistance for East Timor. The Committee intends that, in a shift of emphasis from prior years, these funds will be used to address conditions of poverty through programs to support subsistence agriculture and other income generating opportunities, expand basic education and vocational training especially for unemployed youth, strengthen the judiciary, promote good governance and the sustainable use of natural resources, and improve health care and other basic human services and physical infrastructure. The Committee is aware of negotiations between East Timor and Australia over petroleum reserves, which will be of critical importance to the future economic development and security of East Timor. The Committee urges both governments to engage in good faith negotiations to resolve their maritime boundary expeditiously in accordance with international legal principles. The Committee is aware of concerns regarding accountability in East Timor for future petroleum revenues, and supports the early establishment of mechanisms to prevent corruption and ensure that these revenues are used effectively to improve the lives of the people of East Timor.

OPERATION IRAQI FREEDOM

The Committee notes with the appreciation the support of numerous nations in the liberation of Iraq, including Albania, El Salvador, Macedonia, Mongolia, the Democratic Republic of Timor-Leste, and Uganda. The Committee recommends increased FMF support for these countries, specifically not less than $6,500,000 for Albania and $12,000,000 for Macedonia.

BILL LANGUAGE

INDONESIA

SEC. 669. Funds appropriated by this Act under the heading `Foreign Military Financing Program' may be made available for assistance for Indonesia, and licenses may be issued for the export of lethal defense articles for the Indonesian Armed Forces, only if the President certifies to the appropriate congressional committees that--

(1) the Indonesia Minister of Defense is suspending from the Armed Forces those members, of whatever rank, who have been credibly alleged to have committed gross violations of human rights, or to have aided or abetted militia groups;

(2) the Indonesian Government is prosecuting those members of the Indonesian Armed Forces, of whatever rank, who have been credibly alleged to have committed gross violations of human rights, or to have aided or abetted militia groups, and is punishing those members of the Indonesian Armed Forces found to have committed such violations of human rights or to have aided or abetted militia groups;

(3) the Indonesian Armed Forces are cooperating with civilian prosecutors and judicial authorities in Indonesia and with the joint United Nations-East Timor Serious Crimes Unit (SCU) in such cases (including extraditing those indicted by the SCU to East Timor and providing access to witnesses, relevant military documents, and other requested information);

(4) the Indonesian Government and Armed Forces are cooperating with the Federal Bureau of Investigation's investigation of the killings and wounding of American and Indonesian citizens in Papua on August 31, 2002; and

(5) the Minister of Defense is making publicly available audits of receipts and expenditures of the Indonesian Armed Forces.

Other Bilateral Economic Assistance

ECONOMIC SUPPORT FUND

Provided further, That of the funds appropriated under this heading, not less than $25,000,000 shall be made available for assistance for the Democratic Republic of Timor-Leste to support subsistence agriculture and other income generating opportunities, expand basic education and vocational training, strengthen the judiciary, promote good governance and the sustainable use of natural resources, and improve health care and other basic human services and physical infrastructure


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