Statement of Administration Policy: H.R. 3651 - Antiterrorism and Arms Export Amendments Act of 1988

(House)
(Rep. Berman (D) California and 54 others)

The Administration opposes H.R. 3651, unless the following changes are made.

—    Amend Sec. 2(a) to make it clear that the new sections 40(a)(5) and 40(b)(1)(D) of the Arms Export Control Act do not prohibit the President or his subordinates in the Executive branch from communicating with foreign countries concerning arms transfers nor circumscribe the President's inherent constitutional powers to articulate the foreign policy of the United States in consultation with other governments. The Department of Justice would recommend that the President veto H.R. 3651 unless it is so amended.

—    Amend the new section 40(b)(2) of the Arms Export Control Act to provide discretion to the Executive branch in determining liability for transactions involving foreign weapons undertaken by foreign companies outside the United States. Such discretion is essential given the diplomatic sensitivity of decisions involving the extraterritorial application of U.S. law.

—    Delete the new section 40(i) of the Arms Export Control Act, which would prohibit the use of certain waivers that enable the President to override statutory requirements or prohibitions affecting the conduct of foreign affairs now authorized under 614(a) of the Foreign Assistance Act. The right to exercise the section 614(a) waiver authority must be preserved to provide sufficient flexibility to meet vital or important U.S. national security interests.

—    Delete reference to the Export-Import Bank in section 5 because it would exclude the Bank . from the types, of humanitarian assistance programs for .which a Presidential waiver to provide aid to terrorist countries may be rgiven. Eximbank should be regarded the same as other- riori-imilitary assistance programs.

The Administration, therefore urges. that H.R. 3651 not be considered under suspension of the rules and that the bill be amended accordingly.