48 U.S.C. § 1911 — Compensatory adjustments

(a) Additional programs and services. In addition to the programs and services listed in Section 221 of the Compact, and under Section 224 of the Compact, the services and programs of these U.S. agencies must be made available to the Federated States of Micronesia and the Marshall Islands: the Federal Deposit Insurance Corporation, Small Business Administration, Economic Development Administration, Rural Electrification Administration, Job Partnership Training Act, Job Corps, and the Department of Commerce’s programs and services relating to tourism and marine resource development. (b) Investment Development Funds. (1) To further strengthen economic and commercial relations between the United States and the Federated States of Micronesia and the Marshall Islands, and to encourage the presence of the U.S. private sector in those areas, two Investment Development Funds are created. The Federated States of Micronesia and the Marshall Islands must establish and administer the respective Funds in consultation with the United States, as follows: (i) For the Investment Development Fund for the Federated States of Micronesia, $20 million is authorized to be appropriated for fiscal year 1986, backed by the full faith and credit of the United States. Of that amount, $12 million must be made available for obligation for the first full fiscal year after the Compact’s effective date, and $8 million must be made available for obligation for the third full fiscal year after the Compact’s effective date. (ii) For the Investment Development Fund for the Marshall Islands, $10 million is authorized to be appropriated for fiscal year 1986, backed by the full faith and credit of the United States. Of that amount, $6 million is for the first full fiscal year after the Compact’s effective date, and $4 million must be made available for obligation for the third full fiscal year after the Compact’s effective date. (2) The amounts specified in this subsection are in addition to the sums and amounts specified in Articles I and III of Title Two of the Compact. They are treated as included in the sums and amounts referred to in Section 236 of the Compact. (c) Board of Advisors. To provide policy guidance for the Funds established under subsection (b), the President is authorized to establish a Board of Advisors under appropriate agreements between the United States and the Federated States of Micronesia and the Marshall Islands. (d) Further amounts. The governments of the Federated States of Micronesia and the Marshall Islands may submit reports to Congress about the overall financial and economic impacts on those areas resulting from Title IV of this joint resolution’s effect on Title Two of the Compact. For fiscal years beginning after September 30, 1990, amounts necessary to further compensate the governments of those islands are authorized to be appropriated through appropriation acts. The amounts may not exceed $40 million for the Federated States of Micronesia and $20 million for the Marshall Islands. This compensation is in addition to the compensation provided under subsections (a) and (b) for adverse impacts, if any, on the finances and economies of those areas resulting from Title IV of this joint resolution’s effect on Title Two of the Compact. At the end of the Compact’s initial 15-year term, if any part of the total amount authorized in this subsection has not been appropriated, the remaining amount may be appropriated without regard to the division between the amounts authorized for the Federated States of Micronesia and the Marshall Islands. This may be done based on either government’s or both governments’ showing of such adverse impact, if any, as provided in this subsection.