[115th Congress Public Law 167]
[From the U.S. Government Publishing Office]
[[Page 1275]]
AFRICAN GROWTH AND OPPORTUNITY ACT AND MILLENNIUM CHALLENGE ACT
MODERNIZATION ACT
[[Page 132 STAT. 1276]]
Public Law 115-167
115th Congress
An Act
To enhance the transparency and accelerate the impact of programs under
the African Growth and Opportunity Act and the Millennium Challenge
Corporation, and for other purposes. <<NOTE: Apr. 23, 2018 - [H.R.
3445]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: African Growth
and Opportunity Act and Millennium Challenge Act Modernization Act.>>
SECTION 1. <<NOTE: 19 USC 3701 note.>> SHORT TITLE.
This Act may be cited as the ``African Growth and Opportunity Act
and Millennium Challenge Act Modernization Act'' or the ``AGOA and MCA
Modernization Act''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I--ENHANCEMENT OF THE AFRICAN GROWTH AND OPPORTUNITY ACT
Sec. 101. Statement of policy.
Sec. 102. Definitions.
Sec. 103. Activities in support of transparency.
Sec. 104. Activities in support of trade capacity building.
TITLE II--MODERNIZATION OF THE MILLENNIUM CHALLENGE CORPORATION
Sec. 201. Candidacy status.
Sec. 202. Carryover authority for private-sector members of board of
directors.
Sec. 203. Additional reporting to the board on the treatment of civil
society in an eligible country.
Sec. 204. Concurrent compacts under the Millennium Challenge Act of
2003.
Sec. 205. Public notification of entering into a compact.
Sec. 206. Disclosure.
Sec. 207. Restriction on the use of assistance under section 616.
Sec. 208. Study on subnational compacts.
TITLE I--ENHANCEMENT OF THE AFRICAN GROWTH AND OPPORTUNITY ACT
SEC. 101. <<NOTE: 19 USC 3701 note.>> STATEMENT OF POLICY.
It is the policy of the United States to support efforts to--
(1) improve the rule of law, promote free and fair
elections, strengthen and expand the private sector, and fight
corruption in sub-Saharan Africa; and
(2) promote the role of women in social, political, and
economic development in sub-Saharan Africa.
[[Page 132 STAT. 1277]]
SEC. 102. <<NOTE: 19 USC 3707 note.>> DEFINITIONS.
In this title--
(1) Agoa website.--The term ``AGOA Website'' means the
website established pursuant to section 103(a).
(2) Eligible sub-saharan african country.--The term
``eligible sub-Saharan African country'' means a country that
the President has determined meets the eligibility requirements
set forth in section 104 of the African Growth and Opportunity
Act (19 U.S.C. 3703).
SEC. 103. <<NOTE: President. 19 USC 3707.>> ACTIVITIES IN SUPPORT
OF TRANSPARENCY.
(a) AGOA Website.--
(1) In general.--The President shall establish a publicly
available website for the collection and dissemination of
information regarding the African Growth and Opportunity Act (19
U.S.C. 3701 et seq.).
(2) <<NOTE: Web posting.>> Contents.--The President shall
publish on the AGOA Website the information described in
paragraph (1), including--
(A) information and technical assistance provided at
United States Agency for International Development
regional trade hubs; and
(B) a link to the websites of United States
embassies located in eligible sub-Saharan African
countries.
(3) Actions by united states embassies.--The Secretary of
State should direct United States embassies located in eligible
sub-Saharan African countries to--
(A) encourage individuals and businesses in such
countries to use the benefits available under the
African Growth and Opportunity Act; and
(B) include a link to the AGOA Website on the
websites of such diplomatic missions.
(b) AGOA Forum.--After each meeting of the United States-Sub-Saharan
Africa Trade and Economic Cooperation Forum, the President should
publish on the AGOA Website the following:
(1) The outcomes of the meeting of the Forum, including any
commitments made by member countries and the private sector.
(2) An assessment of progress made with respect to any
commitments made by member countries and the private sector from
the previous meeting of the Forum.
(c) Other Information.--The President should disseminate the
information required under this section in a digital format to the
public and publish such information on the AGOA Website.
SEC. 104. ACTIVITIES IN SUPPORT OF TRADE CAPACITY BUILDING.
The President should--
(1) develop and implement policies that--
(A) encourage and facilitate cross-boundary
cooperation among eligible sub-Saharan African countries
in order to facilitate trade; and
(B) encourage the provision of technical assistance
to eligible sub-Saharan African countries to establish
and sustain adequate trade capacity development;
(2) provide specific training for businesses in eligible
sub-Saharan African countries and government trade officials of
such countries on accessing the benefits under the African
[[Page 132 STAT. 1278]]
Growth and Opportunity Act and other trade preference programs;
(3) provide capacity building for African entrepreneurs and
trade associations on production strategies, quality standards,
formation of cooperatives, market research, and market
development;
(4) provide capacity building training to promote
diversification of African products and value-added processing;
and
(5) provide capacity building and technical assistance
funding for African businesses and institutions to help such
businesses and institutions comply with United States
counterterrorism initiatives and policies.
TITLE II--MODERNIZATION OF THE MILLENNIUM CHALLENGE CORPORATION
SEC. 201. CANDIDACY STATUS.
(a) Low Income Countries.--Section 606(a) of the Millennium
Challenge Act of 2003 (22 U.S.C. 7705(a)) is amended--
(1) in paragraph (1)(B), by striking ``(3)'' and inserting
``(4)'';
(2) in paragraph (2)--
(A) by amending the paragraph heading to read as
follows: ``Fiscal years 2005 through 2012''; and
(B) by striking ``fiscal year 2005 or a subsequent
fiscal year'' and inserting ``each of fiscal years 2005
through 2012'';
(3) by redesignating paragraph (3) as paragraph (4); and
(4) by inserting after paragraph (2) the following:
``(3) Fiscal year 2013 and subsequent fiscal years.--A
country shall be a candidate country for purposes of eligibility
for assistance for fiscal year 2013 or a subsequent fiscal year
if the country--
``(A) has a per capita income not greater than the
lower middle income country threshold established by the
International Bank for Reconstruction and Development
for such fiscal year;
``(B) is among the 75 countries identified by the
International Bank for Reconstruction and Development as
having the lowest per capita income; and
``(C) meets the requirements under paragraph
(1)(B).''.
(b) Lower Middle Income Countries.--Section 606(b) of the Millennium
Challenge Act of 2003 (22 U.S.C. 7705(b)) is amended--
(1) in paragraph (1)--
(A) by amending the paragraph heading to read as
follows: ``Fiscal years 2006 through 2012''; and
(B) in the matter preceding subparagraph (A), by
striking ``fiscal year 2006 or a subsequent fiscal
year'' and inserting ``fiscal years 2006 through 2012'';
(2) by redesignating paragraph (2) as paragraph (3); and
(3) by inserting after paragraph (1) the following:
``(2) Fiscal year 2013 and subsequent fiscal years.--In
addition to the countries described in subsection (a), a country
shall be a candidate country for purposes of eligibility
[[Page 132 STAT. 1279]]
for assistance for fiscal year 2013 or a subsequent fiscal year
if the country--
``(A) has a per capita income not greater than the
lower middle income country threshold established by the
International Bank for Reconstruction and Development
for the fiscal year;
``(B) is not among the 75 countries identified by
the International Bank for Reconstruction and
Development as having the lowest per capita income; and
``(C) meets the requirements under subsection
(a)(1)(B).''.
(c) Reclassification.--Section 606 of the Millennium Challenge Act
of 2003 (22 U.S.C. 7705) is amended--
(1) by redesignating subsection (c) as subsection (d); and
(2) by inserting after subsection (b) the following:
``(c) Treatment of Countries With Per Capita Income Changes.--A
country qualifying for candidate status under this section with a per
capita income that changes during the fiscal year such that the country
would be reclassified from a low income country to a lower middle income
country or from a lower middle income country to a low income country
shall retain its candidacy status in its former income classification
for such fiscal year and the 2 subsequent fiscal years.''.
SEC. 202. CARRYOVER AUTHORITY FOR PRIVATE-SECTOR MEMBERS OF BOARD
OF DIRECTORS.
Section 604(c)(4)(B) of the Millennium Challenge Act of 2003 (22
U.S.C. 7703(c)(4)(B)) is amended to read as follows:
``(B) Other members.--Each member of the Board
described in paragraph (3)(B)--
``(i) shall be appointed for a term of 3
years;
``(ii) may be reappointed for a term of an
additional 2 years; and
``(iii) may continue to serve in each such
appointment until the earlier of--
``(I) the date on which his or her
successor is appointed; or
``(II) the date that is 1 year after
the expiration of his or her appointment
or reappointment, as the case may be.''.
SEC. 203. ADDITIONAL REPORTING TO THE BOARD ON THE TREATMENT OF
CIVIL SOCIETY IN AN ELIGIBLE COUNTRY.
Section 607 of the Millennium Challenge Act of 2003 (22 U.S.C. 7706)
is amended--
(1) in subsection (a), by adding at the end the following:
``A determination whether a country is eligible for a
subsequent, non-concurrent Millennium Challenge Compact shall
also be based, to the extent practicable, on significantly
improved performance across the criteria in subsection (b) that,
at a minimum, are relevant to the preceding Compact, compared to
the country's performance with respect to such criteria when
selected for such preceding Compact.''
(2) in subsection (b)(1)--
(A) in subparagraph (D), by striking ``and'' at the
end;
(B) in subparagraph (E), by adding ``and'' at the
end; and
(C) by adding at the end the following:
[[Page 132 STAT. 1280]]
``(F) the quality of the civil society enabling
environment;'';
(3) by redesignating subsections (d) and (e) as subsections
(e) and (f), respectively; and
(4) by inserting after subsection (c) the following:
``(d) Reporting on Treatment of Civil Society. <<NOTE: Time
period. Classified information.>> --For the 7-year period beginning on
the date of the enactment of this subsection, before the Board selects
an eligible country for a Compact under subsection (c), the Corporation
shall provide information to the Board regarding the country's treatment
of civil society, including classified information, as
appropriate. <<NOTE: Assessment. Analysis.>> The information shall
include an assessment and analysis of factors including--
``(1) any relevant laws governing the formation or
establishment of a civil society organization, particularly laws
intended to curb the activities of foreign civil society
organizations;
``(2) any relevant laws governing the operations of a civil
society organization, particularly those laws seeking to define
or otherwise regulate the actions of foreign civil society
organizations;
``(3) laws relating to the legal status of civil society
organizations, including laws which effectively discriminate
against foreign civil society organizations as compared to
similarly situated domestic organizations;
``(4) laws regulating the freedom of expression and peaceful
assembly; and
``(5) laws regulating the usage of the Internet,
particularly by foreign civil society organizations.''.
SEC. 204. CONCURRENT COMPACTS UNDER THE MILLENNIUM CHALLENGE ACT
OF 2003.
(a) In General.--Section 609 of the Millennium Challenge Act of 2003
(22 U.S.C. 7708) is amended--
(1) by striking the first sentence of subsection (k);
(2) by redesignating subsection (k) (as so amended) as
subsection (l); and
(3) by inserting after subsection (j) the following:
``(k) Concurrent Compacts.--An eligible country that has entered
into and has in effect a Compact under this section may enter into and
have in effect at the same time not more than one additional Compact in
accordance with the requirements of this title if--
``(1) one or both of the Compacts are or will be for
purposes of regional economic integration, increased regional
trade, or cross-border collaborations; and
``(2) <<NOTE: Determination.>> the Board determines that
the country is making considerable and demonstrable progress in
implementing the terms of the existing Compact and supplementary
agreements thereto.''.
(b) Conforming Amendment.--Section 613(b)(2)(A) of such Act (22
U.S.C. 7712(b)(2)(A)) is amended by striking ``the'' before ``Compact''
and inserting ``any''.
(c) <<NOTE: 22 USC 7708 note.>> Applicability.--The amendments made
by this section apply with respect to Compacts entered into between the
United States and an eligible country under the Millennium Challenge Act
of 2003 before, on, or after the date of the enactment of this Act.
[[Page 132 STAT. 1281]]
SEC. 205. PUBLIC NOTIFICATION OF ENTERING INTO A COMPACT.
Section 610 of the Millennium Challenge Act of 2003 (22 U.S.C. 7709)
is amended to read as follows:
``SEC. 610. <<NOTE: Deadlines.>> CONGRESSIONAL AND PUBLIC
NOTIFICATION.
``(a) Congressional Consultations and Notifications.--
``(1) In general.--The Board, acting through the Chief
Executive Officer, shall consult with and notify the appropriate
congressional committees not later than 15 days before taking
any of the actions described in paragraph (2).
``(2) Actions described.--The actions described in this
paragraph are--
``(A) providing assistance for an eligible country
under section 609(g);
``(B) commencing negotiations with an eligible
country to provide assistance for--
``(i) a Compact under section 605; or
``(ii) an agreement under section 616;
``(C) signing such a Compact or agreement; and
``(D) terminating assistance under such a Compact or
agreement.
``(3) <<NOTE: Reports.>> Economic justification.--Any
notification relating to the intent to negotiate or sign a
Compact shall include a report describing the projected economic
justification for the Compact, including, as applicable--
``(A) the expected economic rate of return of the
Compact;
``(B) a cost-benefit analysis of the Compact;
``(C) a description of the impact on beneficiary
populations;
``(D) the likelihood that the investment will
catalyze private sector investments; and
``(E) any other applicable economic factors that
justify each project to be funded under such a Compact
to the extent practicable and appropriate.
``(4) <<NOTE: Assessments.>> Risk management plan.--Not
later than 60 days before signing each concurrent Compact, as
authorized under section 609, the Board, acting through the
Chief Executive Officer, shall consult with and provide to the
appropriate congressional committees--
``(A) an assessment and, as appropriate, the
identification of potential measures to mitigate risks,
of--
``(i) the countries' commitment to regional
integration and cross-border cooperation and
capacity to carry out commitments;
``(ii) political and policy risks, including
risks that could affect country eligibility;
``(iii) risks associated with realizing
economic returns;
``(iv) time and completion risks; and
``(v) cost and financial risks; and
``(B) an assessment of measures to be taken to
mitigate any identified risks, including--
``(i) securing other potential donors to
finance projects or parts of projects as needed;
and
``(ii) partnering with regional organizations
to support and oversee effective cross-border
cooperation.
[[Page 132 STAT. 1282]]
``(b) <<NOTE: Web posting.>> Congressional and Public Notification
After Entering Into a Compact.--Not later than 10 days after entering
into a Compact with an eligible country, the Board, acting through the
Chief Executive Officer, shall--
``(1) publish the text of the Compact on the website of the
Corporation;
``(2) <<NOTE: Summary.>> provide the appropriate
congressional committees with a detailed summary of the Compact
and, upon request, the text of the Compact; and
``(3) <<NOTE: Federal Register, publication.>> publish in
the Federal Register a detailed summary of the Compact and a
notice of availability of the text of the Compact on the website
of the Corporation.''.
SEC. 206. DISCLOSURE.
(a) Requirement for Timely Disclosure.--Section 612(a) of the
Millennium Challenge Act of 2003 (22 U.S.C. 7711(a)) is amended--
(1) in the subsection heading, by inserting ``Timely''
before ``Disclosure''; and
(2) in the matter preceding paragraph (1)--
(A) <<NOTE: Deadline.>> by striking ``The
Corporation'' and inserting ``Not later than 90 days
after the last day of each fiscal quarter, the
Corporation''; and
(B) by striking ``on at least a quarterly basis,''.
(b) Dissemination.--Section 612(b) of the Millennium Challenge Act
of 2003 (22 U.S.C. 7711(b)) is amended to read as follows:
``(b) Dissemination.-- <<NOTE: Public information.>> The Board,
acting through the Chief Executive Officer, shall make the information
required to be disclosed under subsection (a) available to the public--
``(1) <<NOTE: Web posting.>> by publishing it on the
website of the Corporation;
``(2) <<NOTE: Notification. Federal Register,
publication.>> by providing notice of the availability of such
information in the Federal Register; and
``(3) by any other methods that the Board determines to be
appropriate.''.
SEC. 207. RESTRICTION ON THE USE OF ASSISTANCE UNDER SECTION 616.
Section 616(d) of the Millennium Challenge Act of 2003 (22 U.S.C.
7715(d)) is amended to read as follows:
``(d) Funding.--
``(1) Limitation.--Not more than 10 percent of the amounts
made available to carry out this Act for a fiscal year may be
made available to carry out this section.
``(2) Restriction relating to assistance.--None of the funds
authorized to carry out the purposes of this Act shall be
available for assistance under this section to a country that
does not qualify as a candidate country under section 606 for
the fiscal year during which such assistance is provided.''.
SEC. 208. STUDY ON SUBNATIONAL COMPACTS.
(a) <<NOTE: Deadline. Assessments.>> In General.--Not later than
180 days after the date of the enactment of this Act, the Board of the
Millennium Challenge Corporation, acting through the Chief Executive
Officer, shall submit a study to the appropriate congressional
committees that assesses the feasibility and desirability of developing
partnerships at the subnational level within candidate countries that
would be complementary to, and, as applicable, concurrent with, any
[[Page 132 STAT. 1283]]
Millennium Challenge Corporation national-level or regional investments.
(b) Content.--The study required under subsection (a) shall
examine--
(1) the extent to which targeting investments at the
subnational level might provide new opportunities for reducing
poverty through economic growth;
(2) the extent to which traditional approaches to defining
poverty may not adequately capture the nature of poverty within
a country;
(3) the types of subnational entities that might be
appropriate partners for subnational Millennium Challenge
Corporation compacts;
(4) how candidates for subnational partners might best be
identified; and
(5) what role each national government should play in
creating or implementing a subnational partnership.
(c) <<NOTE: Definition.>> Appropriate Congressional Committees.--In
this subsection, the term ``appropriate congressional committees''
means--
(1) the Committee on Foreign Relations of the Senate;
(2) the Committee on Appropriations of the Senate;
(3) the Committee on Foreign Affairs of the House of
Representatives; and
(4) the Committee on Appropriations of the House of
Representatives.
Approved April 23, 2018.
LEGISLATIVE HISTORY--H.R. 3445 (S. 832):
---------------------------------------------------------------------------
HOUSE REPORTS: No. 115-484 (Comm. on Foreign Affairs).
CONGRESSIONAL RECORD, Vol. 164 (2018):
Jan. 17, considered and passed House.
Apr. 9, considered and passed Senate.
DAILY COMPILATION OF PRESIDENTIAL DOCUMENTS (2018):
Apr. 23, Presidential statement.
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