§ 1901. — Approval of Compact of Free Association.
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From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 7, 2003]
[Document not affected by Public Laws enacted between
January 7, 2003 and December 19, 2003]
[CITE: 48USC1901]
TITLE 48--TERRITORIES AND INSULAR POSSESSIONS
CHAPTER 18--MICRONESIA, MARSHALL ISLANDS, AND PALAU
SUBCHAPTER I--MICRONESIA AND MARSHALL ISLANDS
Part A--Approval and Implementation of Original Compact
Sec. 1901. Approval of Compact of Free Association
(a) Federated States of Micronesia
The Compact of Free Association set forth in title II of this joint
resolution between the United States and the Government of the Federated
States of Micronesia is hereby approved, and Congress hereby consents to
the subsidiary agreements as set forth on pages 115 through 391 of House
Document 98-192 of March 30, 1984, as they relate to such Government.
Subject to the provisions of this joint resolution, the President is
authorized to agree, in accordance with section 411 of the Compact, to
an effective date for and thereafter to implement such Compact, having
taken into account any procedures with respect to the United Nations for
termination of the Trusteeship Agreement.
(b) Marshall Islands
The Compact of Free Association set forth in title II of this joint
resolution between the United States and the Government of the Marshall
Islands is hereby approved, and Congress hereby consents to the
subsidiary agreements as set forth on pages 115 through 391 of House
Document 98-192 of March 30, 1984, as they relate to such Government.
Subject to the provisions of this joint resolution, the President is
authorized to agree, in accordance with section 411 of the Compact, to
an effective date for and thereafter to implement such Compact, having
taken into account any procedures with respect to the United Nations for
termination of the Trusteeship Agreement.
(c) Reference to Compact
Any reference in this joint resolution to ``the Compact'' shall be
treated as a reference to the Compact of Free Association set forth in
title II of this joint resolution.
(d) Amendment, change, or termination in Compact and certain agreements
(1) Mutual agreement by the Government of the United States as
provided in the Compact which results in amendment, change, or
termination of all or any part thereof shall be effected only by Act of
Congress and no unilateral action by the Government of the United States
provided for in the Compact, and having such result, may be effected
other than by Act of Congress.
(2) The provisions of paragraph (1) shall apply--
(A) to all actions of the Government of the United States under
the Compact including, but not limited to, actions taken pursuant to
sections 431, 432, 441, or 442;
(B) to any amendment, change, or termination in the Agreement
between the Government of the United States and the Government of
the Federated States of Micronesia Regarding Friendship, Cooperation
and Mutual Security Concluded Pursuant to Sections 321 and 323 of
the Compact of Free Association referred to in section 462(j) of the
Compact and the Agreement between the Government of the United
States and the Government of the Marshall Islands Concerning Mutual
Security Concluded Pursuant to Sections 321 and 323 of the Compact
of Free Association referred to in section 462(k) of the Compact;
(C) to any amendment, change, or termination of the agreements
concluded pursuant to Compact sections 175, 177, and 221(a)(5), the
terms of which are incorporated by reference into the Compact; and
(D) to the following subsidiary agreements, or portions thereof:
(i) Article II of the agreement referred to in section
462(a) of the Compact;
(ii) Article II of the agreement referred to in section
462(b) of the Compact;
(iii) Article II and Section 7 of Article XI of the
agreement referred to in section 462(e) of the Compact;
(iv) the agreement referred to in section 462(f) of the
Compact;
(v) Articles III and IV of the agreement referred to in
section 462(g) of the Compact;
(vi) Articles III and IV of the agreement referred to in
section 462(h) of the Compact; and
(vii) Articles VI, XV, and XVII of the agreement referred to
in section 462(i) of the Compact.
(e) Subsidiary agreements deemed bilateral
For purposes of implementation of the Compact and this joint
resolution, each of the subsidiary agreements referred to in subsections
(a) and (b) of this section (whether or not bilateral in form) shall be
deemed to be bilateral agreements between the United States and each
other party to such subsidiary agreement. The consent or concurrence of
any other party shall not be required for the effectiveness of any
actions taken by the United States in conjunction with either the
Federated States of Micronesia or the Marshall Islands which are
intended to affect the implementation, modification, suspension, or
termination of any such subsidiary agreement (or any provision thereof)
as regards the mutual responsibilities of the United States and the
party in conjunction with whom the actions are taken.
(f) Effective date
(1) The President shall not agree to an effective date for the
Compact, as authorized by this section, until after certifying to
Congress that the agreements described in section 1902 of this title and
section 1903 of this title have been concluded.
(2) Any agreement concluded with the Federated States of Micronesia
or the Marshall Islands pursuant to sections 1902 and 1903 of this title
and any agreement which would amend, change, or terminate any subsidiary
agreement or portion thereof as set forth in paragraph (4) of this
subsection shall be submitted to the Congress. No such agreement shall
take effect until after the expiration of 30 days after the date such
agreement is so submitted (excluding days on which either House of
Congress is not in session).
(3) No agreement described in paragraph (2) shall take effect if a
joint resolution of disapproval is enacted during the period specified
in paragraph (2). For the purpose of expediting the consideration of
such a joint resolution, a motion to proceed to the consideration of any
such joint resolution after it has been reported by an appropriate
committee shall be treated as highly privileged in the House of
Representatives. Any such joint resolution shall be considered in the
Senate in accordance with the provisions of section 601(b) of Public Law
94-329.
(4) The subsidiary agreements or portions thereof referred to in
paragraph (2) are as follows:
(A) Articles III and IV of the agreement referred to in section
462(b) of the Compact.
(B) Articles III, IV, V, VI, VII, VIII, IX, X, and XI (except
for Section 7 thereof) of the agreement referred to in section
462(e) of the Compact.
(C) Articles IV, V, X, XIV, XVI, and XVIII of the agreement
referred to in section 462(i) of the Compact.
(D) Articles II, V, VI, VII, and VIII of the agreement referred
to in section 462(g) of the Compact.
(E) Articles II, V, VI, and VIII of the agreement referred to in
section 462(h) of the Compact.
(F) The Agreement set forth on pages 388 through 391 of House
Document 98-192 of March 30, 1984.
(5) No agreement between the United States and the Government of
either the Federated States of Micronesia or the Marshall Islands which
would amend, change, or terminate any subsidiary agreement or portion
thereof, other than those set forth in subsection (d) of this section or
paragraph (4) of this subsection shall take effect until the President
has transmitted such agreement to the President of the Senate and the
Speaker of the House of Representatives together with an explanation of
the agreement and the reasons therefore.
(Pub. L. 99-239, title I, Sec. 101, Jan. 14, 1986, 99 Stat. 1773.)
References in Text
The Compact, referred to in text, is the Compact of Free Association
between the Government of the United States and the Governments of the
Marshall Islands and the Federated States of Micronesia, which is
contained in section 201 of Pub. L. 99-239, as amended, set out below.
This joint resolution, referred to in subsecs. (a), (b), (c), and
(e), is Pub. L. 99-239, Jan. 14, 1986, 99 Stat. 1770, as amended, known
as the Compact of Free Association Act of 1985, which is classified
principally to this part and chapter 19 (Sec. 2001 et seq.) of this
title. For complete classification of this Act to the Code, see Short
Title note below.
For Oct. 21, 1986, as the effective date of the Compact of Free
Association with the Marshall Islands, and Nov. 3, 1986, as the
effective date of the Compact of Free Association with the Federated
States of Micronesia, referred to in subsecs. (a), (b), and (f), see
Proc. No. 5564, Nov. 3, 1986, 51 F.R. 40399, set out as a note under
section 1801 of this title.
Section 601(b) of Public Law 94-329, referred to in subsec. (f)(3),
is section 601(b) of Pub. L. 94-329, title VI, June 30, 1976, 90 Stat.
765, which is not classified to the Code.
Codification
Section was formerly set out as a note under section 1681 of this
title.
Short Title of 2003 Amendment
Pub. L. 108-188, Sec. 1(a), Dec. 17, 2003, 117 Stat. 2721, provided
that: ``This joint resolution [enacting part B of this subchapter and
provisions set out as notes under section 1921 of this title and
amending provisions set out as a note under section 3101 of Title 5,
Government Organization and Employees], together with the table of
contents in subsection (b) of this section [117 Stat. 2721], may be
cited as the `Compact of Free Association Amendments Act of 2003'.''
Short Title
Section 1(a) of Pub. L. 99-239 provided that: ``This joint
resolution [enacting this part, chapter 19 (Sec. 2001 et seq.) of this
title, and provisions set out below], together with the Table of
Contents in subsection (b) of this section [99 Stat. 1770], may be cited
as the `Compact of Free Association Act of 1985'.''
Application of Federal Programs Under the Compacts of Free Association
Pub. L. 106-504, Sec. 3(a), Nov. 13, 2000, 114 Stat. 2312, provided
that: ``The freely associated states of the Republic of the Marshall
Islands, the Federated States of Micronesia, and the Republic of Palau,
respectively, and citizens thereof, shall remain eligible for all
Federal programs, grant assistance, and services of the United States,
to the extent that such programs, grant assistance, and services are
provided to States and local governments of the United States and
residents of such States, for which a freely associated State or its
citizens were eligible on October 1, 1999. This eligibility shall
continue through the period of negotiations referred to in section 231
of the Compact of Free Association with the Republic of the Marshall
Islands and the Federated States of Micronesia, approved in Public Law
99-239 [set out below], and during consideration by the Congress of
legislation submitted by an Executive branch agency as a result of such
negotiations.''
Regulations Regarding Habitual Residence
Pub. L. 104-208, div. C, title VI, Sec. 643, Sept. 30, 1996, 110
Stat. 3009-708, provided that, not later than 6 months after Sept. 30,
1996, the Commissioner of Immigration and Naturalization was to issue
regulations governing rights of ``habitual residence'' in the United
States under the terms of the Compact of Free Association between the
Government of the United States and the Governments of the Marshall
Islands and the Federated States of Micronesia and the Compact of Free
Association between the Government of the United States and the
Government of Palau.
Ratification of Certain Agreements Between United States and Governments
of Republic of Marshall Islands and Federated States of Micronesia
Pub. L. 101-62, July 26, 1989, 103 Stat. 162, provided: ``That,
pursuant to section 101(d) of Public Law 99-239 [48 U.S.C. 1901(d)], the
following agreements are approved and shall enter into force in
accordance with their terms:
``(1) `Agreement Between the Government of the United States and
the Government of the Republic of the Marshall Islands to Amend the
Governmental Representation Provisions of the Compact of Free
Association Pursuant to section 432 of the Compact', signed on March
18, 1988; and
``(2) `Agreement Between the Government of the United States and
the Government of the Federated States of Micronesia to Amend the
Governmental Representation Provisions of the Compact of Free
Association Pursuant to section 432 of the Compact', signed on March
9, 1988.''
Recital Clauses
Pub. L. 99-239 which enacted this part and chapter 19 of this title
contained several ``Whereas'' clauses reading as follows:
``Whereas the United States, in accordance with the Trusteeship
Agreement, the Charter of the United Nations and the objectives of the
international trusteeship system, has promoted the development of the
peoples of the Trust Territory toward self-government or independence as
appropriate to the particular circumstances of the Trust Territory and
its peoples and the freely expressed wishes of the peoples concerned;
and
``Whereas the United States, in response to the desires of the
peoples of the Federated States of Micronesia and the Marshall Islands
expressed through their freely-elected representatives and by the
official pronouncements and enactments of their lawfully constituted
governments, and in consideration of its own obligations under the
Trusteeship Agreement to promote self-determination, entered into
political status negotiations with representatives of the peoples of the
Federated States of Micronesia, and the Marshall Islands; and
``Whereas these negotiations resulted in the `Compact of Free
Association' [set out below] which, together with its related
agreements, was signed by the United States and by the Federated States
of Micronesia and the Republic of the Marshall Islands on October 1,
1982 and June 25, 1983, respectively; and
``Whereas the Compact of Free Association was approved by majorities
of the peoples of the Federated States of Micronesia and the Marshall
Islands in United Nations-observed plebiscites conducted on June 21,
1983 and September 7, 1983, respectively; and
``Whereas the Compact of Free Association has been approved by the
Governments of the Federated States of Micronesia and the Marshall
Islands in accordance with their respective constitutional processes,
thus completing fully for the Federated States of Micronesia and the
Marshall Islands their domestic approval processes with respect to the
Compact as contemplated in Compact Section 411''.
Compact of Free Association
Pub. L. 99-239, title II, Sec. 201, Jan. 14, 1986, 99 Stat. 1800, as
amended by Pub. L. 108-108, title I, Nov. 10, 2003, 117 Stat. 1261,
provided that: ``The Compact of Free Association is as follows:
``COMPACT OF FREE ASSOCIATION
``Preamble
``the government of the united states of america and the governments of
the marshall islands and the federated states of micronesia
``Affirming that their Governments and their relationships as
Governments are founded upon respect for human rights and fundamental
freedoms for all, and that the peoples of the Trust Territory of the
Pacific Islands have the right to enjoy self-government; and
``Affirming the common interests of the United States of America and
the peoples of the Trust Territory of the Pacific Islands in creating
close and mutually beneficial relationships through two free and
voluntary associations of their respective Governments; and
``Affirming the interest of the Government of the United States in
promoting the economic advancement and self-sufficiency of the peoples
of the Trust Territory of the Pacific Islands; and
``Recognizing that their previous relationship has been based upon
the International Trusteeship System of the United Nations Charter, and
in particular Article 76 of the Charter; and that pursuant to Article 76
of the Charter, the peoples of the Trust Territory have progressively
developed their institutions of self-government, and that in the
exercise of their sovereign right to self-determination they have,
through their freely-expressed wishes, adopted Constitutions appropriate
to their particular circumstances; and
``Recognizing their common desire to terminate the Trusteeship and
establish two new government-to-government relationships each of which
is in accordance with a new political status based on the freely-
expressed wishes of peoples of the Trust Territory of the Pacific
Islands and appropriate to their particular circumstances; and
``Recognizing that the peoples of the Trust Territory of the Pacific
Islands have and retain their sovereignty and their sovereign right to
self-determination and the inherent right to adopt and amend their own
Constitutions and forms of government and that the approval of the entry
of their respective Governments into this Compact of Free Association by
the peoples of the Trust Territory of the Pacific Islands constitutes an
exercise of their sovereign right to self-determination;
``NOW, THEREFORE, AGREE to enter into relationships of free
association which provide a full measure of self-government for the
peoples of the Marshall Islands and the Federated States of Micronesia;
and
``FURTHER AGREE that the relationships of free association derive
from and are as set forth in this Compact; and that, during such
relationships of free association, the respective rights and
responsibilities of the Government of the United States and the
Governments of the freely associated states of the Marshall Islands and
the Federated States of Micronesia in regard to these relationships of
free association derive from and are as set forth in this Compact.
``TITLE ONE
``GOVERNMENTAL RELATIONS
``Article I
``Self-Government
``Section 111
``The peoples of the Marshall Islands and the Federated States of
Micronesia, acting through the Governments established under their
respective Constitutions, are self-governing.
``Article II
``Foreign Affairs
``Section 121
``(a) The Governments of the Marshall Islands and the Federated
States of Micronesia have the capacity to conduct foreign affairs and
shall do so in their own name and right, except as otherwise provided in
this Compact.
``(b) The foreign affairs capacity of the Governments of the
Marshall Islands and the Federated States of Micronesia includes:
``(1) the conduct of foreign affairs relating to law of the sea
and marine resources matters, including the harvesting,
conservation, exploration or exploitation of living and non-living
resources from the sea, seabed or subsoil to the full extent
recognized under international law;
``(2) the conduct of their commercial, diplomatic, consular,
economic, trade, banking, postal, civil aviation, communications,
and cultural relations, including negotiations for the receipt of
developmental loans and grants and the conclusion of arrangements
with other governments and international and intergovernmental
organizations, including any matters specially benefiting their
individual citizens.
``(c) The Government of the United States recognizes that the
Governments of the Marshall Islands and the Federated States of
Micronesia have the capacity to enter into, in their own name and right,
treaties and other international agreements with governments and
regional and international organizations.
``(d) In the conduct of their foreign affairs, the Governments of
the Marshall Islands and the Federated States of Micronesia confirm that
they shall act in accordance with principles of international law and
shall settle their international disputes by peaceful means.
``Section 122
``The Government of the United States shall support applications by
the Governments of the Marshall Islands and the Federated States of
Micronesia for membership or other participation in regional or
international organizations as may be mutually agreed. The Government of
the United States agrees to accept for training and instruction at the
Foreign Service Institute [now George P. Shultz National Foreign Affairs
Training Center], established under 22 U.S.C. 4021, citizens of the
Marshall Islands and the Federated States of Micronesia. The
qualifications of candidates for such training and instruction and all
other terms and conditions of participation by citizens of the Marshall
Islands and the Federated States of Micronesia in Foreign Service
Institute [now George P. Shultz National Foreign Affairs Training
Center] programs shall be as mutually agreed between the Government of
the United States and the Governments of the Marshall Islands and the
Federated States of Micronesia.
``Section 123
``(a) In recognition of the authority and responsibility of the
Government of the United States under Title Three, the Governments of
the Marshall Islands and the Federated States of Micronesia shall
consult, in the conduct of their foreign affairs, with the Government of
the United States.
``(b) In recognition of the respective foreign affairs capacities of
the Governments of the Marshall Islands and the Federated States of
Micronesia, the Government of the United States, in the conduct of its
foreign affairs, shall consult with the Government of the Marshall
Islands or the Federated States of Micronesia on matters which the
Government of the United States regards as relating to or affecting any
such Government.
``Section 124
``The Government of the United States may assist or act on behalf of
the Government of the Marshall Islands or the Federated States of
Micronesia in the area of foreign affairs as may be requested and
mutually agreed from time to time. The Government of the United States
shall not be responsible to third parties for the actions of the
Government of the Marshall Islands or the Federated States of Micronesia
undertaken with the assistance or through the agency of the Government
of the United States pursuant to this Section unless expressly agreed.
``Section 125
``The Government of the United States shall not be responsible for
nor obligated by any actions taken by the Government of the Marshall
Islands or the Federated States of Micronesia in the area of foreign
affairs, except as may from time to time be expressly agreed.
``Section 126
``At the request of the Government of the Marshall Islands or the
Federated States of Micronesia and subject to the consent of the
receiving state, the Government of the United States shall extend
consular assistance on the same basis as for citizens of the United
States to citizens of the Marshall Islands and the Federated States of
Micronesia for travel outside the Marshall Islands and the Federated
States of Micronesia, the United States and its territories and
possessions.
``Section 127
``Except as otherwise provided in this Compact or its related
agreements, all obligations, responsibilities, rights and benefits of
the Government of the United States as Administering Authority which
have resulted from the application pursuant to the Trusteeship Agreement
of any treaty or other international agreement to the Trust Territory of
the Pacific Islands on the day preceding the effective date of this
Compact are no longer assumed and enjoyed by the Government of the
United States.
``Article III
``Communications
``Section 131
``(a) The Governments of the Marshall Islands and the Federated
States of Micronesia have full authority and responsibility to regulate
their respective domestic and foreign communications, and the Government
of the United States shall provide communications assistance in
accordance with the terms of a separate agreement which shall come into
effect simultaneously with this Compact, and such agreement shall remain
in effect until such time as any election is made pursuant to Section
131(b) and which shall provide for the following:
``(1) the Government of the United States remains the sole
administration entitled to make notification to the International
Frequency Registration Board of the International Telecommunications
Union of frequency assignments to radio communications stations
respectively in the Marshall Islands and the Federated States of
Micronesia; and to submit to the International Frequency
Registration Board seasonal schedules for the broadcasting stations
respectively in the Marshall Islands and the Federated States of
Micronesia in the bands allocated exclusively to the broadcasting
service between 5,950 and 26,100 kHz and in any other additional
frequency bands that may be allocated to use by high frequency
broadcasting stations; and
``(2) the United States Federal Communications Commission has
jurisdiction, pursuant to the Communications Act of 1934, 47 U.S.C.
151 et seq., and the Communications Satellite Act of 1962, 47 U.S.C.
721 et seq., over all domestic and foreign communications services
furnished by means of satellite earth terminal stations where such
stations are owned or operated by United States common carriers and
are located in the Marshall Islands or the Federated States of
Micronesia.
``(b) The Government of the Marshall Islands or the Federated States
of Micronesia may elect at any time to undertake the functions
enumerated in Section 131(a) and previously performed by the Government
of the United States. Upon such election, the Government of the United
States shall so notify the International Frequency Registration Board
and shall take such other actions as may be necessary to transfer to the
electing Government the notification authority referred to in Section
131(a) and all rights deriving from the previous exercise of any such
notification authority by the Government of the United States.
``Section 132
``The Governments of the Marshall Islands and the Federated States
of Micronesia shall permit the Government of the United States to
operate telecommunications services in the Marshall Islands and the
Federated States of Micronesia to the extent necessary to fulfill the
obligations of the Government of the United States under this Compact in
accordance with the terms of separate agreements which shall come into
effect simultaneously with this Compact.
``Article IV
``Immigration
``Section 141
``(a) Any person in the following categories may enter into,
lawfully engage in occupations, and establish residence as a
nonimmigrant in the United States and its territories and possessions
without regard to paragraphs (14), (20), and (26) of section 212(a) of
the Immigration and Nationality Act, 8 U.S.C. 1182(a) (14), (20), and
(26):
``(1) a person who, on the day preceding the effective date of
this Compact, is a citizen of the Trust Territory of the Pacific
Islands, as defined in Title 53 of the Trust Territory Code in force
on January 1, 1979, and has become a citizen of the Marshall Islands
or the Federated States of Micronesia;
``(2) a person who acquires the citizenship of the Marshall
Islands or the Federated States of Micronesia at birth, on or after
the effective date of the respective Constitution;
``(3) a naturalized citizen of the Marshall Islands or the
Federated States of Micronesia who has been an actual resident there
for not less than five years after attaining such naturalization and
who holds a certificate of actual residence; or
``(4) a person entitled to citizenship in the Marshall Islands
by lineal descent whose name is included in a list to be furnished
by the Government of the Marshall Islands to the United States
Immigration and Naturalization Service and any descendants of such
persons, provided that such person holds a certificate of lineal
descent issued by the Government of the Marshall Islands.
Such persons shall be considered to have the permission of the Attorney
General of the United States to accept employment in the United States.
``(b) The right of such persons to establish habitual residence in a
territory or possession of the United States may, however, be subjected
to nondiscriminatory limitations provided for:
``(1) in statutes or regulations of the United States; or
``(2) in those statutes or regulations of the territory or
possession concerned which are authorized by the laws of the United
States.
``(c) Section 141(a) does not confer on a citizen of the Marshall
Islands or the Federated States of Micronesia the right to establish the
residence necessary for naturalization under the Immigration and
Nationality Act, or to petition for benefits for alien relatives under
that Act. Section 141(a), however, shall not prevent a citizen of the
Marshall Islands or the Federated States of Micronesia from otherwise
acquiring such rights or lawful permanent resident alien status in the
United States.
``Section 142
``(a) Any citizen or national of the United States may enter into,
lawfully engage in occupations, and reside in the Marshall Islands or
the Federated States of Micronesia, subject to the rights of those
Governments to deny entry to or deport any such citizen or national as
an undesirable alien. A citizen or national of the United States may
establish habitual residence or domicile in the Marshall Islands or the
Federated States of Micronesia only in accordance with the laws of the
jurisdiction in which habitual residence or domicile is sought.
``(b) With respect to the subject matter of this Section, the
Government of the Marshall Islands or the Federated States of Micronesia
shall accord to citizens and nationals of the United States treatment no
less favorable than that accorded to citizens of other countries; any
denial of entry to or deportation of a citizen or national of the United
States as an undesirable alien must be pursuant to reasonable statutory
grounds.
``Section 143
``(a) The privileges set forth in Sections 141 and 142 shall not
apply to any person who takes an affirmative step to preserve or acquire
a citizenship or nationality other than that of the Marshall Islands,
the Federated States of Micronesia or the United States.
``(b) Every person having the privileges set forth in Sections 141
and 142 who possesses a citizenship or nationality other than that of
the Marshall Islands, the Federated States of Micronesia or the United
States ceases to have these privileges two years after the effective
date of this Compact, or within six months after becoming 21 years of
age, whichever comes later, unless such person executes an oath of
renunciation of that other citizenship or nationality.
``Section 144
``(a) A citizen or national of the United States who, after
notification to the Government of the United States of an intention to
employ such person by the Government of the Marshall Islands or the
Federated States of Micronesia, commences employment with such
Government shall not be deprived of his United States nationality
pursuant to Section 349(a)(2) and (a)(4) of the Immigration and
Nationality Act, 8 U.S.C. 1481(a)(2) and (a)(4).
``(b) Upon such notification by the Government of the Marshall
Islands or the Federated States of Micronesia, the Government of the
United States may consult with or provide information to the notifying
Government concerning the prospective employee, subject to the
provisions of the Privacy Act, 5 U.S.C. 552a.
``(c) The requirement of prior notification shall not apply to those
citizens or nationals of the United States who are employed by the
Government of the Marshall Islands or the Federated States of Micronesia
on the effective date of this Compact with respect to the positions held
by them at that time.
``Article V
``Representation
``Section 151
``The Government of the United States and the Government of the
Marshall Islands or the Federated States of Micronesia may establish and
maintain representative offices in the capital of the other for the
purpose of maintaining close and regular consultations on matters
arising in the course of the relationship of free association and
conducting other government business. The Governments may establish and
maintain additional offices on terms and in locations as may be mutually
agreed.
``Section 152
``(a) The premises of such representative offices, and their
archives wherever located, shall be inviolable. The property and assets
of such representative offices shall be immune from search, requisition,
attachment and any form of seizure unless such immunity is expressly
waived. Official communications in transit shall be inviolable and
accorded the freedom and protections accorded by recognized principles
of international law to official communications of a diplomatic mission.
``(b) Persons designated by the sending Government may serve in the
capacity of its resident representatives with the consent of the
receiving Government. Such designated persons shall be immune from civil
and criminal process relating to words spoken or written and all acts
performed by them in their official capacity and falling within their
functions as such representatives, except insofar as such immunity may
be expressly waived by the sending Government. While serving in a
resident representative capacity, such designated persons shall not be
liable to arrest or detention pending trial, except in the case of a
grave crime and pursuant to a decision by a competent judicial
authority, and such persons shall enjoy immunity from seizure of
personal property, immigration restrictions, and laws relating to alien
registration, fingerprinting, and the registration of foreign agents.
``(c) The sending Governments and their respective assets, income
and other property shall be exempt from all direct taxes, except those
direct taxes representing payment for specific goods and services, and
shall be exempt from all customs duties and restrictions on the import
or export of articles required for the official functions and personal
use of their representatives and representative offices.
``(d) Persons designated by the sending Government to serve in the
capacity of its resident representatives shall enjoy the same taxation
exemptions as are set forth in Article 34 of the Vienna Convention on
Diplomatic Relations.
``(e) The privileges, exemptions and immunities accorded under this
Section are not for the personal benefit of the individuals concerned
but are to safeguard the independent exercise of their official
functions. Without prejudice to those privileges, exemptions and
immunities, it is the duty of all such persons to respect the laws and
regulations of the Government to which they are assigned.
``Section 153
``(a) Any citizen or national of the United States who, after
consultation between the designating Government and the Government of
the United States, is designated by the Government of the Marshall
Islands or the Federated States of Micronesia as its agent, shall enjoy
exemption from the requirements of the laws of the United States
relating to the registration of foreign agents. The Government of the
United States shall promptly comply with a request for consultation made
by the prospective designating Government. During the course of the
consultation, the Government of the United States may, in its
discretion, and subject to the provisions of the Privacy Act, 5 U.S.C.
552a, transmit such information concerning the prospective designee as
may be available to it to the prospective designating Government.
``(b) Any citizen or national of the United States may be employed
by the Government of the Marshall Islands or the Federated States of
Micronesia to represent to foreign governments, officers or agents
thereof the positions of the Government of the Marshall Islands or the
Federated States of Micronesia, without regard to the provisions of 18
U.S.C. 953.
``Article VI
``Environmental Protection
``Section 161
``The Governments of the United States, the Marshall Islands and the
Federated States of Micronesia declare that it is their policy to
promote efforts to prevent or eliminate damage to the environment and
biosphere and to enrich understanding of the natural resources of the
Marshall Islands and the Federated States of Micronesia. In order to
carry out this policy, the Government of the United States and the
Governments of the Marshall Islands and the Federated States of
Micronesia agree to the following mutual and reciprocal undertakings.
``(a) The Government of the United States:
``(1) shall continue to apply the environmental controls in
effect on the day preceding the effective date of this Compact to
those of its continuing activities subject to Section 161(a)(2),
unless and until those controls are modified under Sections
161(a)(3) and 161(a)(4);
``(2) shall apply the National Environmental Policy Act of 1969,
83 Stat. 852, 42 U.S.C. 4321 et seq., to its activities under the
Compact and its related agreements as if the Marshall Islands and
the Federated States of Micronesia were the United States;
``(3) shall comply also, in the conduct of any activity
requiring the preparation of an Environmental Impact Statement under
Section 161(a)(2), with standards substantively similar to those
required by the following laws of the United States, taking into
account the particular environments of the Marshall Islands and the
Federated States of Micronesia: the Endangered Species Act of 1973,
87 Stat. 884, 16 U.S.C. 1531 et seq.; the Clean Air Act, 77 Stat.
392, 42 U.S.C. Supp. 7401 et seq.; the Clean Water Act (Federal
Water Pollution Control Act), 86 Stat. 896, 33 U.S.C. 1251 et seq.;
the Ocean Dumping Act (Title I of the Marine Protection, Research
and Sanctuaries Act of 1972), 86 Stat. 1053, 33 U.S.C. 1411 et seq.;
the Toxic Substances Control Act, 90 Stat. 2003, 15 U.S.C. 2601 et
seq.; the Resources Conservation and Recovery Act of 1976, 90 Stat.
2796, 42 U.S.C. 6901 et seq.; and such other environmental
protection laws of the United States as may be mutually agreed from
time to time with the Government of the Marshall Islands or the
Federated States of Micronesia; and
``(4) shall develop, prior to conducting any activity requiring
the preparation of an Environmental Impact Statement under Section
161(a)(2), appropriate mechanisms, including regulations or other
judicially reviewable standards and procedures, to regulate its
activities governed by Section 161(a)(3) in the Marshall Islands and
the Federated States of Micronesia in a manner appropriate to the
special governmental relationship set forth in this Compact. The
agencies of the Government of the United States designated by law to
administer the laws set forth in Section 161(a)(3) shall participate
as appropriate in the development of any regulation, standard or
procedure under this Section, and the Government of the United
States shall provide the affected Government of the Marshall Islands
or the Federated States of Micronesia with the opportunity to
comment during such development.
``(b) The Governments of the Marshall Islands and the Federated
States of Micronesia shall develop standards and procedures to protect
their environments. As a reciprocal obligation to the undertakings of
the Government of the United States under this Article, the Governments
of the Marshall Islands and the Federated States of Micronesia, taking
into account their particular environments, shall develop standards for
environmental protection substantively similar to those required of the
Government of the United States by Section 161(a)(3) prior to their
conducting activities in the Marshall Islands and the Federated States
of Micronesia, respectively, substantively equivalent to activities
conducted there by the Government of the United States and, as a further
reciprocal obligation, shall enforce those standards.
``(c) Section 161(a), including any standard or procedure applicable
thereunder, and Section 161(b) may be modified or superseded in whole or
in part by agreement of the Government of the United States and the
Government of the Marshall Islands or the Federated States of
Micronesia.
``(d) In the event that an Environmental Impact Statement is no
longer required under the laws of the United States for major federal
actions significantly affecting the quality of the human environment,
the regulatory regime established under Sections 161(a)(3) and 161(a)(4)
shall continue to apply to such activities of the Government of the
United States until amended by mutual agreement.
``(e) The President of the United States may exempt any of the
activities of the Government of the United States under this Compact and
its related agreements from any environmental standard or procedure
which may be applicable under Sections 161(a)(3) and 161(a)(4) if the
President determines it to be in the paramount interest of the
Government of the United States to do so, consistent with Title Three of
this Compact and the obligations of the Government of the United States
under international law. Prior to any decision pursuant to this
subsection, the views of the affected Government of the Marshall Islands
or the Federated States of Micronesia shall be sought and considered to
the extent practicable. If the President grants such an exemption, to
the extent practicable, a report with his reasons for granting such
exemption shall be given promptly to the affected Government.
``(f) The laws of the United States referred to in Section 161(a)(3)
shall apply to the activities of the Government of the United States
under this Compact and its related agreements only to the extent
provided for in this Section.
``Section 162
``The Government of the Marshall Islands or the Federated States of
Micronesia may bring an action for judicial review of any administrative
agency action or any activity of the Government of the United States
pursuant to Sections 161(a), 161(d) or 161(e) or for enforcement of the
obligations of the Government of the United States arising thereunder.
The United States District Court for the District of Hawaii and the
United States District Court for the District of Columbia shall have
jurisdiction over such action or activity, and over actions brought
under Section 172(b) which relate to the activities of the Government of
the United States and its officers and employees, governed by Section
161, provided that:
``(a) Such actions may only be civil actions for any appropriate
civil relief other than punitive damages against the Government of the
United States or, where required by law, its officers in their official
capacity; no criminal actions may arise under this Section.
``(b) Actions brought pursuant to this Section may be initiated only
by the Government concerned.
``(c) Administrative agency actions arising under Section 161 shall
be reviewed pursuant to the standard of judicial review set forth in 5
U.S.C. 706.
``(d) The District Court shall have jurisdiction to issue all
necessary processes, and the Government of the United States agrees to
submit itself to the jurisdiction of the court; decisions of the
District Court shall be reviewable in the United States Court of Appeals
for the Ninth Circuit or the United States Court of Appeals for the
District of Columbia, respectively, or in the United States Supreme
Court as provided by the laws of the United States.
``(e) The judicial remedy provided for in this Section shall be the
exclusive remedy for the judicial review or enforcement of the
obligations of the Government of the United States under this Article
and actions brought under Section 172(b) which relate to the activities
of the Government of the United States and its officers and employees
governed by Section 161.
``(f) In actions pursuant to this Section, the Governments of the
Marshall Islands and the Federated States of Micronesia shall be treated
as if they were United States citizens.
``Section 163
``(a) For the purpose of gathering data necessary to study the
environmental effects of activities of the Government of the United
States subject to the requirements of this Article, the Governments of
the Marshall Islands and the Federated States of Micronesia shall be
granted access to facilities operated by the Government of the United
States in the Marshall Islands and the Federated States of Micronesia,
to the extent necessary for this purpose, except to the extent such
access would unreasonably interfere with the exercise of the authority
and responsibility of the Government of the United States under Title
Three.
``(b) The Government of the United States, in turn, shall be granted
access to the Marshall Islands or the Federated States of Micronesia for
the purpose of gathering data necessary to discharge its obligations
under this Article, except to the extent such access would unreasonably
interfere with the exercise of the authority and responsibility of the
Government of the Marshall Islands or the Federated States of Micronesia
under Title One, and to the extent necessary for this purpose shall be
granted access to documents and other information to the same extent
similar access is provided those Governments under the Freedom of
Information Act, 5 U.S.C. 552.
``(c) The Governments of the Marshall Islands and the Federated
States of Micronesia shall not impede efforts by the Government of the
United States to comply with applicable standards and procedures.
``Article VII
``General Legal Provisions
``Section 171
``Except as provided in this Compact or its related agreements, the
application of the laws of the United States to the Trust Territory of
the Pacific Islands by virtue of the Trusteeship Agreement ceases with
respect to the Marshall Islands and the Federated States of Micronesia
as of the effective date of this Compact.
``Section 172
``(a) Every citizen of the Marshall Islands or the Federated States
of Micronesia who is not a resident of the United States shall enjoy the
rights and remedies under the laws of the United States enjoyed by any
non-resident alien.
``(b) The Governments of the Marshall Islands and the Federated
States of Micronesia and every citizen of the Marshall Islands or the
Federated States of Micronesia shall be considered a `person' within the
meaning of the Freedom of Information Act, 5 U.S.C. 552, and of the
judicial review provisions of the Administrative Procedure Act, 5 U.S.C.
701-706, except that only the Government of the Marshall Islands or the
Federated States of Micronesia may seek judicial review under the
Administrative Procedure Act or judicial enforcement under the Freedom
of Information Act when such judicial review or enforcement relates to
the activities of the Government of the United States governed by
Sections 161 and 162.
``Section 173
``The Governments of the United States, the Marshall Islands and the
Federated States of Micronesia agree to adopt and enforce such measures,
consistent with this Compact and its related agreements, as may be
necessary to protect the personnel, property, installations, services,
programs and official archives and documents maintained by the
Government of the United States in the Marshall Islands and the
Federated States of Micronesia pursuant to this Compact and its related
agreements and by those Governments in the United States pursuant to
this Compact and its related agreements.
``Section 174
``Except as otherwise provided in this Compact and its related
agreements:
``(a) The Governments of the Marshall Islands and the Federated
States of Micronesia shall be immune from the jurisdiction of the courts
of the United States, and the Government of the United States shall be
immune from the jurisdiction of the courts of the Marshall Islands and
the Federated States of Micronesia.
``(b) The Government of the United States accepts responsibility for
and shall pay:
``(1) any unpaid money judgment rendered by the High Court of
the Trust Territory of the Pacific Islands against the Government of
the Trust Territory of the Pacific Islands or the Government of the
United States with regard to any cause of action arising as a result
of acts or omissions of the Government of the Trust Territory of the
Pacific Islands or the Government of the United States prior to the
effective date of this Compact;
``(2) any claim settled by the claimant and the Government of
the Trust Territory of the Pacific Islands but not paid as of the
effective date of this Compact; and
``(3) settlement of any administrative claim or of any action
before a court of the Trust Territory of the Pacific Islands,
pending as of the effective date of this Compact, against the
Government of the Trust Territory of the Pacific Islands or the
Government of the United States, arising as a result of acts or
omissions of the Government of the Trust Territory of the Pacific
Islands or the Government of the United States.
``(c) Any claim not referred to in Section 174(b) and arising from
an act or omission of the Government of the Trust Territory of the
Pacific Islands or the Government of the United States prior to the
effective date of this Compact shall be adjudicated in the same manner
as a claim adjudicated according to Section 174(d). In any claim against
the Government of the Trust Territory of the Pacific Islands, the
Government of the United States shall stand in the place of the
Government of the Trust Territory of the Pacific Islands. A judgment on
any claim referred to in Section 174(b) or this subsection, not
otherwise satisfied by the Government of the United States, may be
presented for certification to the United States Court of Appeals for
the Federal Circuit, or its successor court, which shall have
jurisdiction therefor, notwithstanding the provisions of 28 U.S.C. 1502,
and which court's decisions shall be reviewable as provided by the laws
of the United States. The United States Court of Appeals for the Federal
Circuit shall certify such judgment, and order payment thereof, unless
it finds, after a hearing, that such judgment is manifestly erroneous as
to law or fact, or manifestly excessive. In either of such cases the
United States Court of Appeals for the Federal Circuit shall have
jurisdiction to modify such judgment.
``(d) The Governments of the Marshall Islands and the Federated
States of Micronesia shall not be immune from the jurisdiction of the
courts of the United States, and the Government of the United States
shall not be immune from the jurisdiction of the courts of the Marshall
Islands and the Federated States of Micronesia in any case in which the
action is based on a commercial activity of the defendant Government
where the action is brought, or in a case in which damages are sought
for personal injury or death or damage to or loss of property occurring
where the action is brought.
``Section 175
``A separate agreement, which shall come into effect simultaneously
with this Compact, shall be concluded between the Government of the
United States and the Governments of the Marshall Islands and the
Federated States of Micronesia regarding mutual assistance and
cooperation in law enforcement matters including the pursuit, capture,
imprisonment and extradition of fugitives from justice and the transfer
of prisoners. The separate agreement shall have the force of law. In the
United States, the laws of the United States governing international
extradition, including 18 U.S.C. 3184, 3186 and 3188-3195, shall be
applicable to the extradition of fugitives under the separate agreement,
and the laws of the United States governing the transfer of prisoners,
including 18 U.S.C. 4100-4115, shall be applicable to the transfer of
prisoners under the separate agreement.
``Section 176
``The Governments of the Marshall Islands and the Federated States
of Micronesia confirm that final judgments in civil cases rendered by
any court of the Trust Territory of the Pacific Islands shall continue
in full force and effect, subject to the constitutional power of the
courts of the Marshall Islands and the Federated States of Micronesia to
grant relief from judgments in appropriate cases.
``Section 177
``(a) The Government of the United States accepts the responsibility
for compensation owing to citizens of the Marshall Islands, or the
Federated States of Micronesia (or Palau) for loss or damage to property
and person of the citizens of the Marshall Islands, or the Federated
States of Micronesia, resulting from the nuclear testing program which
the Government of the United States conducted in the Northern Marshall
Islands between June 30, 1946, and August 18, 1958.
``(b) The Government of the United States and the Government of the
Marshall Islands shall set forth in a separate agreement provisions for
the just and adequate settlement of all such claims which have arisen in
regard to the Marshall Islands and its citizens and which have not as
yet been compensated or which in the future may arise, for the continued
administration by the Government of the United States of direct
radiation related medical surveillance and treatment programs and
radiological monitoring activities and for such additional programs and
activities as may be mutually agreed, and for the assumption by the
Government of the Marshall Islands of responsibility for enforcement of
limitations on the utilization of affected areas developed in
cooperation with the Government of the United States and for the
assistance by the Government of the United States in the exercise of
such responsibility as may be mutually agreed. This separate agreement
shall come into effect simultaneously with this Compact and shall remain
in effect in accordance with its own terms.
``(c) The Government of the United States shall provide to the
Government of the Marshall Islands, on a grant basis, the amount of $150
million to be paid and distributed in accordance with the separate
agreement referred to in this Section, and shall provide the services
and programs set forth in this separate agreement, the language of which
is incorporated into this Compact.
``Section 178
``(a) The federal agencies of the Government of the United States
which provide the services and related programs in the Marshall Islands
or the Federated States of Micronesia pursuant to Articles II and III of
Title Two are authorized to settle and pay tort claims arising in the
Marshall Islands or the Federated States of Micronesia from the
activities of such agencies or from the acts or omissions of the
employees of such agencies. Except as provided in Section 178(b), the
provisions of 28 U.S.C. 2672 and 31 U.S.C. 1304 shall apply exclusively
to such administrative settlements and payments.
``(b) Claims under Section 178(a) which cannot be settled under
Section 178(a) shall be disposed of exclusively in accordance with
Article II of Title Four. Arbitration awards rendered pursuant to this
subsection shall be paid out of funds under 31 U.S.C. 1304.
``(c) The Government of the United States and the Government of the
Marshall Islands or the Federated States of Micronesia shall, in the
separate agreements referred to in Section 232, provide for:
``(1) the administrative settlement of claims referred to in
Section 178(a), including designation of local agents in the
Marshall Islands and each State of the Federated States of
Micronesia; such agents to be empowered to accept, investigate and
settle such claims, in a timely manner, as provided in such separate
agreements; and
``(2) arbitration, referred to in Section 178(b), in a timely
manner, at a site convenient to the claimant, in the event a claim
is not otherwise settled pursuant to Section 178(a).
``(d) The provisions of Section 174(d) shall not apply to claims
covered by this Section.
``TITLE TWO
``ECONOMIC RELATIONS
``Article I
``Grant Assistance
``Section 211
``(a) In order to assist the Governments of the Marshall Islands and
the Federated States of Micronesia in their efforts to advance the
economic self-sufficiency of their peoples and in recognition of the
special relationship that exists between them and the United States, the
Government of the United States shall provide on a grant basis the
following amounts:
``(1) to the Government of the Marshall Islands, $26.1 million
annually for five years commencing on the effective date of this
Compact, $22.1 million annually for five years commencing on the
fifth anniversary of the effective date of this Compact, and $19.1
million annually for five years commencing on the tenth anniversary
of this Compact. Over this fifteen-year period, the Government of
the Marshall Islands shall dedicate an average of no less than 40
percent of these amounts to the capital account subject to provision
for revision of this percentage incorporated into the plan referred
to in Section 211(b); and
``(2) to the Government of the Federated States of Micronesia,
$60 million annually for five years commencing on the effective date
of this Compact, $51 million annually for five years commencing on
the fifth anniversary of the effective date of this Compact, and $40
million annually for five years commencing on the tenth anniversary
of the effective date of this Compact. Over this fifteen year
period, the Government of the Federated States of Micronesia shall
dedicate an average of no less than 40 percent of these amounts
annually to the capital account subject to provision for revision of
this percentage incorporated into the plan referred to in Section
211(b). To take into account the special nature of the assistance,
to be provided under this paragraph and Sections 212(b), 213(c),
214(c), 215(a)(3), 215(b)(3), 216(a), 216(b), 221(a), and 221(b),
the division of these amounts among the national and state
governments of the Federated States of Micronesia shall be certified
to the Government of the United States by the Government of the
Federated States of Micronesia.
``(b) The annual expenditure of the grant amounts specified for the
capital account in Section 211(a) by the Governments of the Marshall
Islands and the Federated States of Micronesia shall be in accordance
with official overall economic development plans provided by those
Governments and concurred in by the Government of the United States
prior to the effective date of this Compact. These plans may be amended
from time to time by the Government of the Marshall Islands or the
Federated States of Micronesia.
``(c) The Government of the United States and the Governments of the
Marshall Islands and the Federated States of Micronesia recognize that
the achievement of the goals of the plans referred to in Section 211(b)
depends upon the availability of adequate internal revenue as well as
economic assistance from sources outside of the Marshall Islands and the
Federated States of Micronesia, including the Government of the United
States, and may, in addition, be affected by the impact of exceptional
economically adverse circumstances. Each of the Governments of the
Marshall Islands and the Federated States of Micronesia shall therefore
report annually to the President of the United States and to the
Congress of the United States on the implementation of the plans and on
their use of the funds specified in this Article. These reports shall
outline the achievements of the plans to date and the need, if any, for
an additional authorization and appropriation of economic assistance for
that year to account for any exceptional, economically adverse
circumstances. It is understood that the Government of the United States
cannot be committed by this Section to seek or support such additional
economic assistance.
``Section 212
``In recognition of the special development needs of the Federated
States of Micronesia, the Government of the United States shall provide
to the Government of the Federated States of Micronesia $1 million
annually for fourteen years commencing on the first anniversary of the
effective date of this Compact. This amount may be used by the
Government of the Federated States of Micronesia to defray current
account expenditures attendant to the operation of the United States
military Civic Action Teams made available in accordance with the
separate agreement referred to in Section 227.
``Section 213
``(a) The Government of the United States shall provide on a grant
basis $1.9 million annually to the Government of the Marshall Islands in
conjunction with Section 321(a). The Government of the Marshall Islands,
in its use of such funds, shall take into account the impact of the
activities of the Government of the United States in the Kwajalein Atoll
area of the Marshall Islands.
``(b) The Government of the United States shall provide on a grant
basis to the Government of the Federated States of Micronesia the sum of
$160,000 in conjunction with Section 321(a). This sum shall be made
available concurrently with the grant assistance provided pursuant to
this Article during the first year after the effective date of this
Compact. The Government of the Federated States of Micronesia, in its
use of such funds, shall take into account the impact of the activities
of the Government of the United States in Yap State, Federated States of
Micronesia.
``Section 214
``As a contribution to efforts aimed at achieving increased self-
sufficiency in energy production, the Government of the United States
shall provide on a current account grant basis for fourteen years
commencing on the first anniversary of the effective date of this
Compact the following amounts:
``(a) To the Government of the Marshall Islands, $2 million
annually.
``(b) To the Government of the Federated States of Micronesia, $3
million annually.
``Section 215
``(a) As a contribution to the current account operations and
maintenance of communications systems, the Government of the United
States shall provide on a grant basis for fifteen years commencing on
the effective date of this Compact the following amounts:
``(1) to the Government of the Marshall Islands, $300,000
annually; and
``(2) to the Government of the Federated States of Micronesia,
$600,000 annually.
``(b) For the purpose of acquiring such communications hardware as
may be located within the Marshall Islands and the Federated States of
Micronesia or for such other current or capital account activity as may
be selected, the Government of the United States shall provide,
concurrently with the grant assistance provided pursuant to this Article
during the first year after the effective date of this Compact, the sum
of $9 million to be allocated as follows:
``(1) to the Government of the Marshall Islands, $3 million; and
``(2) to the Government of the Federated States of Micronesia,
$6 million.
``Section 216
``(a) The Government of the United States shall provide on a current
account basis an annual grant of $5.369 million for fifteen years
commencing on the effective date of this Compact for the purposes set
forth below:
``(1) $890,000 annually for the surveillance and enforcement by
the Governments of the Marshall Islands and the Federated States of
Micronesia of their respective maritime zones;
``(2) $1.791 million annually for health and medical programs,
including referrals to hospital and treatment centers; and
``(3) $2.687 million annually for a scholarship fund or funds to
support the post-secondary education of citizens of the Marshall
Islands and the Federated States of Micronesia attending United
States accredited, post-secondary institutions in the United States,
its territories and possessions, the Marshall Islands or the
Federated States of Micronesia. The curricula criteria for the award
of scholarships shall be designed to advance the purposes of the
plans referred to in Section 211(b).
``(b) The Government of the United States shall provide the sum of
$1.333 million as a contribution to the commencement of activities
pursuant to Section 216(a)(1).
``(c) The annual grants referred to in Section 216(a) and the sum
referred to in Section 216(b) shall be made available by the Government
of the United States promptly after it receives instruction for their
distribution agreed upon by the Governments of the Marshall Islands and
the Federated States of Micronesia.
``Section 217
``Except as otherwise provided, the amounts stated in Sections 211,
212, 214, 215 and 231 shall be adjusted for each Fiscal Year by the
percent which equals two-thirds of the percentage change in the United
States Gross National Product Implicit Price Deflator, or seven percent,
whichever is less in any one year, using the beginning of Fiscal Year
1981 as the base.
``Section 218
``If in any year the funds made available by the Government of the
United States for that year pursuant to this Article or Section 231 are
not completely obligated by the recipient Government, the unobligated
balances shall remain available in addition to the funds to be provided
in subsequent years.
``Section 219
``All funds previously appropriated to the Trust Territory of the
Pacific Islands which are unobligated by the Government of the Trust
Territory of the Pacific Islands as of the effective date of this
Compact shall accrue to the Governments of the Marshall Islands and the
Federated States of Micronesia for the purposes for which such funds
were originally appropriated as determined by the Government of the
United States.
``Article II
``Program Assistance
``Section 221
``(a) The Government of the United States shall make available to
the Marshall Islands and the Federated States of Micronesia, in
accordance with and to the extent provided in the separate agreements
referred to in section 232, without compensation and at the levels
equivalent to those available to the Trust Territory of the Pacific
Islands during the year prior to the effective date of this Compact, the
services and related programs:
``(1) of the United States Weather Service;
``(2) of the United States Federal Emergency Management Agency;
``(3) provided pursuant to the Postal Reorganization Act, 39
U.S.C. 101 et seq.;
``(4) of the United States Federal Aviation Administration; and
``(5) of the United States Civil Aeronautics Board or its
successor agencies which has the authority to implement the
provisions of paragraph 5 of Article IX of such separate agreements,
the language of which is incorporated into this Compact.
``(b) The Government of the United States, recognizing the special
needs of the Marshall Islands and the Federated States of Micronesia
particularly in the fields of education and health care, shall make
available, as provided by the laws of the United States, the annual
amount of $10 million which shall be allocated in accordance with the
provisions of the separate agreement referred to in Section 232.
``(c) The Government of the United States shall make available to
the Marshall Islands and the Federated States of Micronesia such
alternate energy development projects, studies and conservation measures
as are applicable to the Trust Territory of the Pacific Islands on the
day preceding the effective date of this Compact, for the purposes and
duration provided in the laws of the United States.
``(d) The Government of the United States shall have and exercise
such authority as is necessary for the purposes of this Article and as
is set forth in the separate agreements referred to in Section 232,
which shall also set forth the extent to which services and programs
shall be provided to the Marshall Islands and the Federated States of
Micronesia.
``Section 222
``The Government of the United States and the Government of the
Marshall Islands or the Federated States of Micronesia shall consult
regularly or upon request regarding:
``(a) The economic development of the Marshall Islands or the
Federated States of Micronesia; or
``(b) The services and programs referred to in this Article.
These services and programs shall continue to be provided by the
Government of the United States unless their modification is
provided by mutual agreement or their termination in whole or in
part is requested by any recipient Government.
``Section 223
``The citizens of the Marshall Islands and the Federated States of
Micronesia who are receiving post-secondary educational assistance from
the Government of the United States on the day preceding the effective
date of this Compact shall continue to be eligible, if otherwise
qualified, to receive such assistance to complete their academic
programs for a maximum of four years after the effective date of this
Compact.
``Section 224
``The Government of the United States and the Government of the
Marshall Islands or the Federated States of Micronesia may agree from
time to time to the extension of additional United States grant
assistance, services and programs as provided by the Laws of the United
States, to the Marshall Islands or the Federated States of Micronesia,
respectively.
``Section 225
``The Governments of the Marshall Islands and the Federated States
of Micronesia shall make available to the Government of the United
States at no cost such land as may be necessary for the operations of
the services and programs provided pursuant to this Article, and such
facilities as are provided by the Government of the Marshall Islands or
the Federated States of Micronesia at no cost to the Government of the
United States as of the effective date of this Compact or as may be
mutually agreed thereafter.
``Section 226
``The Governments of the Marshall Islands and the Federated States
of Micronesia may request, from time to time, technical assistance from
the federal agencies and institutions of the Government of the United
States, which are authorized to grant such technical assistance in
accordance with its laws and which shall grant such technical assistance
in a manner which gives priority consideration to the Marshall Islands
and the Federated States of Micronesia over other recipients not a part
of the United States, its territories or possessions. The Government of
the United States shall coordinate the provision of such technical
assistance in consultation with the respective recipient Government.
``Section 227
``In recognition of the special development needs of the Federated
States of Micronesia, the Government of the United States shall make
available United States military Civic Action Teams for use in the
Federated States of Micronesia under terms and conditions specified in a
separate agreement which shall come into effect simultaneously with this
Compact.
``Article III
``Administrative Provisions
``Section 231
``Upon the thirteenth anniversary of the effective date of this
Compact, the Government of the United States and the Governments of the
Marshall Islands and the Federated States of Micronesia shall commence
negotiations regarding those provisions of this Compact which expire on
the fifteenth anniversary of its effective date. The period for the
enactment of legislation approving the agreements resulting from such
negotiations shall extend through the earlier of the date of the
enactment of such legislation or September 30, 2004, during which time
the provisions of this Compact, including Title Three, shall remain in
full force and effect.
``Section 232
``The specific nature, extent and contractual arrangements of the
services and programs provided for in Section 221 as well as the legal
status of agencies of the Government of the United States, their
civilian employees and contractors, and the dependents of such personnel
while present in the Marshall Islands or the Federated States of
Micronesia, and other arrangements in connection with a service or
program furnished by the Government of the United States, are set forth
in separate agreements which shall come into effect simultaneously with
this Compact.
``Section 233
``The Government of the United States, in consultation with the
Governments of the Marshall Islands and the Federated States of
Micronesia, shall determine and implement procedures for the periodic
audit of all grants and other assistance made under Article I of this
Title and of all funds expended for the services and programs provided
under Article II of this Title. Such audits shall be conducted on an
annual basis during the first five years following the effective date of
this Compact and shall be at no cost to the Government of the Marshall
Islands or the Federated States of Micronesia.
``Section 234
``Title to the property of the Government of the United States
situated in the Trust Territory of the Pacific Islands or acquired for
or used by the Government of the Trust Territory of the Pacific Islands
on or before the day preceding the effective date of this Compact shall,
without reimbursement or transfer of funds, vest in the Government of
the Marshall Islands and the Federated States of Micronesia as set forth
in a separate agreement which shall come into effect simultaneously with
this Compact. The provisions of this Section shall not apply to the
property of the Government of the United States for which the Government
of the United States determines a continuing requirement.
``Section 235
``(a) Funds held in trust by the High Commissioner of the Trust
Territory of the Pacific Islands, in his official capacity, as of the
effective date of this Compact shall remain available as trust funds to
their designated beneficiaries. The Government of the United States, in
consultation with the Government of the Marshall Islands or the
Federated States of Micronesia, shall appoint a new trustee who shall
exercise the functions formerly exercised by the High Commissioner of
the Trust Territory of the Pacific Islands.
``(b) To provide for the continuity of administration, and to assure
the Governments of the Marshall Islands and the Federated States of
Micronesia that the purposes of the laws of the United States are
carried out and that the funds of any other trust fund in which the High
Commissioner of the Trust Territory of the Pacific Islands has authority
of a statutory or customary nature shall remain available as trust funds
to their designated beneficiaries, the Government of the United States
agrees to assume the authority formerly vested in the High Commissioner
of the Trust Territory of the Pacific Islands.
``Section 236
``Except as otherwise provided, approval of this Compact by the
Government of the United States shall constitute a pledge of the full
faith and credit of the United States for the full payment of the sums
and amounts specified in Articles I and III of this Title. The
obligation of the United States under Articles I and III of this Title
shall be enforceable in the United States Claims Court [now United
States Court of Federal Claims], or its successor court, which shall
have jurisdiction in cases arising under this Section, notwithstanding
the provisions of 28 U.S.C. 1502, and which court's decisions shall be
reviewable as provided by the laws of the United States.
``Article IV
``Trade
``Section 241
``The Marshall Islands and the Federated States of Micronesia are
not included in the customs territory of the United States.
``Section 242
``For the purpose of assessing duties on their products imported
into the customs territory of the United States, the Marshall Islands
and the Federated States of Micronesia shall be treated as if they were
insular possessions of the United States within the meaning of General
Headnote 3(a) of the Tariff Schedules of the United States. The
exceptions, valuation procedures and all other provisions of General
Headnote 3(a) shall apply to any product deriving from the Marshall
Islands or the Federated States of Micronesia.
``Section 243
``All products of the Marshall Islands or the Federated States of
Micronesia imported into the customs territory of the United States
which are not accorded the treatment set forth in Section 242 and all
products of the United States imported into the Marshall Islands or the
Federated States of Micronesia shall receive treatment no less favorable
than that accorded like products of any foreign country with respect to
customs duties or charges of a similar nature and with respect to laws
and regulations relating to importation, exportation, taxation, sale,
distribution, storage or use.
``Article V
``Finance and Taxation
``Section 251
``The currency of the United States is the official circulating
legal tender of the Marshall Islands and the Federated States of
Micronesia. Should the Government of the Marshall Islands or the
Federated States of Micronesia act to institute another currency, the
terms of an appropriate currency transitional period shall be as agreed
with the Government of the United States.
``Section 252
``The Government of the Marshall Islands or the Federated States of
Micronesia may, with respect to United States persons, tax income
derived from sources within its respective jurisdiction, property
situated therein, including transfers of such property by gift or at
death, and products consumed therein, in such manner as such Government
deems appropriate. The determination of the source of any income, or the
situs of any property, shall for purposes of this Compact be made
according to the United States Internal Revenue Code.
``Section 253
``A citizen of the Marshall Islands or the Federated States of
Micronesia, domiciled therein, shall be exempt from:
``(a) Income taxes imposed by the Government of the United States
upon fixed or determinable annual income.
``(b) Estate, gift, and generation-skipping transfer taxes imposed
by the Government of the United States.
``Section 254
``(a) In determining any income tax imposed by the Government of the
Marshall Islands or the Federated States of Micronesia, those
Governments shall have authority to impose tax upon income derived by a
resident of the Marshall Islands or the Federated States of Micronesia
from sources without the Marshall Islands and the Federated States of
Micronesia, in the same manner and to the same extent as those
Governments impose tax upon income derived from within their respective
jurisdictions. If the Government of the Marshall Islands or the
Federated States of Micronesia exercises such authority as provided in
this subsection, any individual resident of the Marshall Islands or the
Federated States of Micronesia who is subject to tax by the Government
of the United States on income which is also taxed by the Government of
the Marshall Islands or the Federated States of Micronesia shall be
relieved of liability to the Government of the United States for the tax
which, but for this subsection, would otherwise be imposed by the
Government of the United States on such income. For purposes of this
Section, the term `resident of the Marshall Islands or the Federated
States of Micronesia' shall be deemed to include any person who was
physically present in the Marshall Islands or the Federated States of
Micronesia for a period of 183 or more days during any taxable year;
provided, that as between the Government of the Marshall Islands and the
Federated States of Micronesia, the authority to tax an individual
resident of the Marshall Islands or the Federated States of Micronesia
in respect of income from sources without the Marshall Islands and the
Federated States of Micronesia as provided in this subsection may be
exercised only by the Government in whose jurisdiction such individual
was physically present for the greatest number of days during the
taxable year.
``(b) If the Government of the Marshall Islands or the Federated
States of Micronesia subjects income to taxation substantially similar
to that imposed by the Trust Territory Code in effect on January 1,
1980, such Government shall be deemed to have exercised the authority
described in Section 254(a).
``Section 255
``Where not otherwise manifestly inconsistent with the intent of
this Compact, provisions in the United States Internal Revenue Code that
are applicable to possessions of the United States as of January 1, 1980
shall be treated as applying to the Marshall Islands and the Federated
States of Micronesia. If such provisions of the Internal Revenue Code
are amended, modified or repealed after that date, such provisions shall
continue in effect as to the Marshall Islands and the Federated States
of Micronesia for a period of two years during which time the Government
of the United States and the Governments of the Marshall Islands and the
Federated States of Micronesia shall negotiate an agreement which shall
provide benefits substantially equivalent to those which obtained under
such provisions.
``TITLE THREE
``SECURITY AND DEFENSE RELATIONS
``Article I
``Authority and Responsibility
``Section 311
``(a) The Government of the United States has full authority and
responsibility for security and defense matters in or relating to the
Marshall Islands and the Federated States of Micronesia.
``(b) This authority and responsibility includes:
``(1) the obligation to defend the Marshall Islands and the
Federated States of Micronesia and their peoples from attack or
threats thereof as the United States and its citizens are defended;
``(2) the option to foreclose access to or use of the Marshall
Islands and the Federated States of Micronesia by military personnel
or for the military purposes of any third country; and
``(3) the option to establish and use military areas and
facilities in the Marshall Islands and the Federated States of
Micronesia, subject to the terms of the separate agreements referred
to in Sections 321 and 323.
``(c) The Government of the United States confirms that it shall act
in accordance with the principles of international law and the Charter
of the United Nations in the exercise of this authority and
responsibility.
``Section 312
``Subject to the terms of any agreements negotiated in accordance
with Sections 321 and 323, the Government of the United States may
conduct within the lands, waters and airspace of the Marshall Islands
and the Federated States of Micronesia the activities and operations
necessary for the exercise of its authority and responsibility under
this Title.
``Section 313
``(a) The Governments of the Marshall Islands and the Federated
States of Micronesia shall refrain from actions which the Government of
the United States determines, after appropriate consultation with those
Governments, to be incompatible with its authority and responsibility
for security and defense matters in or relating to the Marshall Islands
and the Federated States of Micronesia.
``(b) The consultations referred to in this Section shall be
conducted expeditiously at senior levels of the Governments concerned,
and the subsequent determination by the Government of the United States
referred to in this Section shall be made only at senior interagency
levels of the Government of the United States.
``(c) The Government of the Marshall Islands or the Federated States
of Micronesia shall be afforded, on an expeditious basis, an opportunity
to raise its concerns with the United States Secretary of State
personally and the United States Secretary of Defense personally
regarding any determination made in accordance with this Section.
``Section 314
``(a) Unless otherwise agreed, the Government of the United States
shall not, in the Marshall Islands or the Federated States of
Micronesia:
``(1) test by detonation or dispose of any nuclear weapon, nor test,
dispose of, or discharge any toxic chemical or biological weapon; or
``(2) test, dispose of, or discharge any other radioactive, toxic
chemical or biological materials in an amount or manner which would be
hazardous to public health or safety.
``(b) Unless otherwise agreed, other than for transit or over flight
purposes or during time of a national emergency declared by the
President of the United States, a state of war declared by the Congress
of the United States or as necessary to defend against an actual or
impending armed attack on the United States, the Marshall Islands or the
Federated States of Micronesia, the Government of the United States
shall not store in the Marshall Islands or the Federated States of
Micronesia any toxic chemical weapon, nor any radioactive materials nor
any toxic chemical materials intended for weapons use.
``(c) Radioactive, toxic chemical, or biological materials not
intended for weapons use shall not be affected by Section 314(b).
``(d) No material or substance referred to in this Section shall be
stored in the Marshall Islands or the Federated States of Micronesia
except in an amount and manner which would not be hazardous to public
health or safety. In determining what shall be an amount or manner which
would be hazardous to public health or safety under this Section, the
Government of the United States shall comply with any applicable mutual
agreement, international guidelines accepted by the Government of the
United States, and the laws of the United States and their implementing
regulations.
``(e) Any exercise of the exemption authority set forth in Section
161(e) shall have no effect on the obligations of the Government of the
United States under this Section or on the application of this
subsection.
``(f) The provisions of this Section shall apply in the areas in
which the Government of the Marshall Islands or the Federated States of
Micronesia exercises jurisdiction over the living resources of the
seabed, subsoil or water column adjacent to its coasts.
``Section 315
``The Government of the United States may invite members of the
armed forces of other countries to use military areas and facilities in
the Marshall Islands or the Federated States of Micronesia, in
conjunction with and under the control of United States Armed Forces.
Use by units of the armed forces of other countries of such military
areas and facilities, other than for transit and overflight purposes,
shall be subject to consultation with and, in the case of major units,
approval by the Government of the Marshall Islands or the Federated
States of Micronesia.
``Section 316
``The authority and responsibility of the Government of the United
States under this Title may not be transferred or otherwise assigned.
``Article II
``Defense Facilities and Operating Rights
``Section 321
``(a) Specific arrangements for the establishment and use by the
Government of the United States of military areas and facilities in the
Marshall Islands or the Federated States of Micronesia are set forth in
separate agreements which shall come into effect simultaneously with
this Compact.
``(b) If, in the exercise of its authority and responsibility under
this Title, the Government of the United States requires the use of
areas within the Marshall Islands or the Federated States of Micronesia
in addition to those for which specific arrangements are concluded
pursuant to Section 321(a), it may request the Government concerned to
satisfy those requirements through leases or other arrangements. The
Government of the Marshall Islands or the Federated States of Micronesia
shall sympathetically consider any such request and shall establish
suitable procedures to discuss it with and provide a prompt response to
the Government of the United States.
``(c) The Government of the United States recognizes and respects
the scarcity and special importance of land in the Marshall Islands and
the Federated States of Micronesia. In making any requests pursuant to
Section 321(b), the Government of the United States shall follow the
policy of requesting the minimum area necessary to accomplish the
required security and defense purpose, of requesting only the minimum
interest in real property necessary to support such purpose, and of
requesting first to satisfy its requirement through public real
property, where available, rather than through private real property.
``Section 322
``The Government of the United States shall provide and maintain
fixed and floating aids to navigation in the Marshall Islands and the
Federated States of Micronesia at least to the extent necessary for the
exercise of its authority and responsibility under this Title.
``Section 323
``The military operating rights of the Government of the United
States and the legal status and contractual arrangements of the United
States Armed Forces, their members, and associated civilians, while
present in the Marshall Islands or the Federated States of Micronesia,
are set forth in separate agreements which shall come into effect
simultaneously with this Compact.
``Article III
``Defense Treaties and International Security Agreements
``Section 331
``Subject to the terms of this Compact and its related agreements,
the Government of the United States, exclusively, shall assume and
enjoy, as to the Marshall Islands and the Federated States of
Micronesia, all obligations, responsibilities, rights and benefits of:
``(a) Any defense treaty or other international security agreement
applied by the Government of the United States as Administering
Authority of the Trust Territory of the Pacific Islands as of the day
preceding the effective date of this Compact.
``(b) Any defense treaty or other international security agreement
to which the Government of the United States is or may become a party
which it determines to be applicable in the Marshall Islands and the
Federated States of Micronesia. Such a determination by the Government
of the United States shall be preceded by appropriate consultation with
the Government of the Marshall Islands or the Federated States of
Micronesia.
``Article IV
``Service in Armed Forces of the United States
``Section 341
``Any person entitled to the privileges set forth in Section 141
shall be eligible to volunteer for service in the Armed Forces of the
United States, but shall not be subject to involuntary induction into
military service of the United States so long as such person does not
establish habitual residence in the United States, its territories or
possessions.
``Section 342
``The Government of the United States shall have enrolled, at any
one time, at least two qualified students, one each from the Marshall
Islands and the Federated States of Micronesia, as may be nominated by
their respective Governments, in each of:
``(a) The United States Coast Guard Academy pursuant to 14 U.S.C.
195.
``(b) The United States Merchant Marine Academy pursuant to 46
U.S.C. 1295b(b)(6), provided that the provisions of 46 U.S.C.
1295b(b)(6)(C) shall not apply to the enrollment of students pursuant to
Section 342(b) of this Compact.
``Article V
``General Provisions
``Section 351
``(a) The Government of the United States and the Government of the
Marshall Islands or the Federated States of Micronesia shall establish
two Joint Committees empowered to consider disputes under the
implementation of this Title and its related agreements.
``(b) The membership of each Joint Committee shall comprise selected
senior officials of each of the two participating Governments. The
senior United States military commander in the Pacific area shall be the
senior United States member of each Joint Committee. For the meetings of
each Joint Committee, each of the two participating Governments may
designate additional or alternate representatives as appropriate for the
subject matter under consideration.
``(c) Unless otherwise mutually agreed, each Joint Committee shall
meet semi-annually at a time and place to be designated, after
appropriate consultation, by the Government of the United States. A
Joint Committee also shall meet promptly upon request of either of its
members. Upon notification by the Government of the United States, the
Joint Committees so notified shall meet promptly in a combined session
to consider matters within the jurisdiction of more than one Joint
Committee. Each Joint Committee shall follow such procedures, including
the establishment of functional subcommittees, as the members may from
time to time agree.
``(d) Unresolved issues in each Joint Committee shall be referred to
the Governments concerned for resolution, and the Government of the
Marshall Islands or the Federated States of Micronesia shall be
afforded, on an expeditious basis, an opportunity to raise its concerns
with the United States Secretary of Defense personally regarding any
unresolved issue which threatens its continued association with the
Government of the United States.
``Section 352
``In the exercise of its authority and responsibility under Title
Three, the Government of the United States shall accord due respect to
the authority and responsibility of the Governments of the Marshall
Islands and the Federated States of Micronesia under Titles One, Two and
Four and to their responsibility to assure the well-being of their
peoples.
``Section 353
``(a) The Government of the United States shall not include any of
the Governments of the Marshall Islands and the Federated States of
Micronesia as named parties to a formal declaration of war, without
their respective consent.
``(b) Absent such consent, this Compact is without prejudice, on the
ground of belligerence or the existence of a state of war, to any claims
for damages which are advanced by the citizens, nationals or Government
of the Marshall Islands or the Federated States of Micronesia, which
arise out of armed conflict subsequent to the effective date of this
Compact and which are:
``(1) petitions to the Government of the United States for
redress; or
``(2) claims in any manner against the government, citizens,
nationals or entities of any third country.
``(c) Petitions under Section 353(b)(1) shall be treated as if they
were made by citizens of the United States.
``Section 354
``(a) Notwithstanding any other provision of this Compact, the
provisions of this Title are binding from the effective date of this
Compact for a period of fifteen years between the Government of the
United States and the Governments of the Marshall Islands and the
Federated States of Micronesia and thereafter as mutually agreed or in
accordance with Section 231, unless earlier terminated by mutual
agreement pursuant to Section 441, or amended pursuant to Article III of
Title Four.
``(b) The Government of the United States recognizes, in view of the
special relationship between the Government of the United States and the
Governments of the Marshall Islands and the Federated States of
Micronesia, and in view of the existence of separate agreements with
each of them pursuant to Sections 321 and 323, that, even if this Title
should terminate, any attack on the Marshall Islands or the Federated
States of Micronesia during the period in which such separate agreements
are in effect, would constitute a threat to the peace and security of
the entire region and a danger to the United States. In the event of
such an attack, the Government of the United States would take action to
meet the danger to the United States and to the Marshall Islands and the
Federated States of Micronesia in accordance with its constitutional
processes.
``TITLE FOUR
``GENERAL PROVISIONS
``Article I
``Approval and Effective Date
``Section 411
``This Compact shall come into effect upon mutual agreement between
the Government of the United States, acting in fulfillment of its
responsibilities as Administering Authority of the Trust Territory of
the Pacific Islands, and the Government of the Marshall Islands or the
Federated States of Micronesia and subsequent to completion of the
following:
``(a) Approval by the Government of the Marshall Islands or the
Federated States of Micronesia in accordance with its constitutional
processes.
``(b) Conduct of the plebiscite referred to in Section 412.
``(c) Approval by the Government of the United States in accordance
with its constitutional processes.
``Section 412
``A plebiscite shall be conducted in each of the Marshall Islands
and the Federated States of Micronesia for the free and voluntary choice
by the peoples of the Trust Territory of the Pacific Islands of their
future political status through informed and democratic processes. The
Marshall Islands and the Federated States of Micronesia shall each be
considered a voting jurisdiction, and the plebiscite shall be conducted
under fair and equitable standards in each voting jurisdiction. The
Administering Authority of the Trust Territory of the Pacific Islands,
after consultation with the Governments of the Marshall Islands and the
Federated States of Micronesia, shall fix the date on which the
plebiscite shall be called in each voting jurisdiction. The plebiscite
shall be called jointly by the Administering Authority of the Trust
Territory of the Pacific Islands and the other Signatory Government
concerned. The results of the plebiscite in each voting jurisdiction
shall be determined by a majority of the valid ballots cast in that
voting jurisdiction.
``Article II
``Conference and Dispute Resolution
``Section 421
``The Government of the United States shall confer promptly at the
request of the Government of the Marshall Islands or the Federated
States of Micronesia and any of those Governments shall confer promptly
at the request of the Government of the United States on matters
relating to the provisions of this Compact or of its related agreements.
``Section 422
``In the event the Government of the United States, or the
Government of the Marshall Islands or the Federated States of
Micronesia, after conferring pursuant to Section 421, determines that
there is a dispute and gives written notice thereof, the Governments
which are parties to the dispute shall make a good faith effort to
resolve the dispute among themselves.
``Section 423
``If a dispute between the Government of the United States and the
Government of the Marshall Islands or the Federated States of Micronesia
cannot be resolved within 90 days of written notification in the manner
provided in Section 422, either party to the dispute may refer it to
arbitration in accordance with Section 424.
``Section 424
``Should a dispute be referred to arbitration as provided for in
Section 423, an Arbitration Board shall be established for the purpose
of hearing the dispute and rendering a decision which shall be binding
upon the two parties to the dispute unless the two parties mutually
agree that the decision shall be advisory. Arbitration shall occur
according to the following terms:
``(a) An Arbitration Board shall consist of a Chairman and two other
members, each of whom shall be a citizen of a party to the dispute. Each
of the two Governments which is a party to the dispute shall appoint one
member to the Arbitration Board. If either party to the dispute does not
fulfill the appointment requirements of this Section within 30 days of
referral of the dispute to arbitration pursuant to Section 423, its
member on the Arbitration Board shall be selected from its own standing
list by the other party to the dispute. Each Government shall maintain a
standing list of 10 candidates. The parties to the dispute shall jointly
appoint a Chairman within 15 days after selection of the other members
of the Arbitration Board. Failing agreement on a Chairman, the Chairman
shall be chosen by lot from the standing lists of the parties to the
dispute within 5 days after such failure.
``(b) The Arbitration Board shall have jurisdiction to hear and
render its final determination on all disputes arising exclusively under
Articles I, II, III, IV and V of Title One, Title Two, Title Four and
their related agreements.
``(c) Each member of the Arbitration Board shall have one vote. Each
decision of the Arbitration Board shall be reached by majority vote.
``(d) In determining any legal issue, the Arbitration Board may have
reference to international law and, in such reference, shall apply as
guidelines the provisions set forth in Article 38 of the Statute of the
International Court of Justice.
``(e) The Arbitration Board shall adopt such rules for its
proceedings as it may deem appropriate and necessary, but such rules
shall not contravene the provisions of this Compact. Unless the parties
provide otherwise by mutual agreement, the Arbitration Board shall
endeavor to render its decision within 30 days after the conclusion of
arguments. The Arbitration Board shall make findings of fact and
conclusions of law and its members may issue dissenting or individual
opinions. Except as may be otherwise decided by the Arbitration Board,
one-half of all costs of the arbitration shall be borne by the
Government of the United States and the remainder shall be borne by the
other party to the dispute.
``Article III
``Amendment
``Section 431
``The provisions of this Compact may be amended as to the
Governments of the Marshall Islands and the Federated States of
Micronesia and as to the Government of the United States at any time by
mutual agreement.
``Section 432
``The provisions of this Compact may be amended as to any one of the
Governments of the Marshall Islands or the Federated States of
Micronesia and as to the Government of the United States at any time by
mutual agreement. The effect of any amendment made pursuant to this
Section shall be restricted to the relationship between the Governments
agreeing to such amendment, but the other Governments signatory to this
Compact shall be notified promptly by the Government of the United
States of any such amendment.
``Article IV
``Termination
``Section 441
``This Compact may be terminated as to any one of the Governments of
the Marshall Islands or the Federated States of Micronesia and as to the
Government of the United States by mutual agreement and subject to
Section 451.
``Section 442
``This Compact may be terminated by the Government of the United
States as to the Government of the Marshall Islands or the Federated
States of Micronesia subject to Section 452, such termination to be
effective on the date specified in the notice of termination by the
Government of the United States but not earlier than six months
following delivery of such notice. The time specified in the notice of
termination may be extended.
``Section 443
``This Compact shall be terminated, pursuant to their respective
constitutional processes, by the Government of the Marshall Islands or
the Federated States of Micronesia subject to Section 453 if the people
represented by such Government vote in a plebiscite to terminate. Such
Government shall notify the Government of the United States of its
intention to call such a plebiscite which shall take place not earlier
than three months after delivery of such notice. The plebiscite shall be
administered by such Government in accordance with its constitutional
and legislative processes, but the Government of the United States may
send its own observers and invite observers from a mutually agreed
party. If a majority of the valid ballots cast in the plebiscite favors
termination, such Government shall, upon certification of the results of
the plebiscite, give notice of termination to the Government of the
United States, such termination to be effective on the date specified in
such notice but not earlier than three months following the date of
delivery of such notice. The time specified in the notice of termination
may be extended.
``Article V
``Survivability
``Section 451
``Should termination occur pursuant to Section 441, economic
assistance by the Government of the United States shall continue on
mutually agreed terms.
``Section 452
``(a) Should termination occur pursuant to Section 442, the
following provisions of this Compact shall remain in full force and
effect until the fifteenth anniversary of the effective date of this
Compact between the Government of the United States and the Government
of the Marshall Islands or the Federated States of Micronesia and
thereafter as mutually agreed:
``(1) Article VI and Sections 172, 173, 176 and 177 of Title
One;
``(2) Article I and Section 233 of Title Two;
``(3) Title Three; and
``(4) Articles II, III, V and VI of Title Four.
``(b) The Government of the United States shall also provide the
Government as to which termination occurs pursuant to Section 442 with
either the programs or services provided pursuant to Article II of Title
Two as the time of termination, or their equivalent, as determined by
the Government of the United States. Such assistance shall continue
until the fifteenth anniversary of the effective date of this Compact,
and thereafter as mutually agreed.
``Section 453
``(a) Should termination occur pursuant to Section 443, the
following provisions of this Compact shall remain in full force and
effect until the fifteenth anniversary of the effective date of this
Compact between the Government of the United States and the Government
of the Marshall Islands or the Federated States of Micronesia and
thereafter as mutually agreed:
``(1) Article VI and Sections 172, 173, 176 and 177 of Title
One;
``(2) Title Three; and
``(3) Articles II, III, V and VI of Title Four.
``(b) Upon receipt of notice of termination pursuant to Section 443,
the Government of the United States and the Government so terminating
shall promptly consult with regard to their future relationship. These
consultations shall determine the level of economic assistance which the
Government of the United States shall provide to the Government so
terminating for the period ending on the fifteenth anniversary of the
effective date of this Compact provided that the annual amounts
specified in Sections 211, 212, 214, 215 and 216 shall continue without
diminution. Such amounts, with the exception of those specified in
Section 216, shall be adjusted according to the formula set forth in
Section 217.
``Section 454
``Notwithstanding any other provision of this Compact:
``(a) The Government of the United States reaffirms its continuing
interest in promoting the long-term economic advancement and self-
sufficiency of the peoples of the Marshall Islands and the Federated
States of Micronesia.
``(b) The separate agreements referred to in Article II of the Title
Three shall remain in effect in accordance with their terms which shall
also determine the duration of Section 213.
``Article VI
``Definition of Terms
``Section 461
``For the purpose of this Compact only and without prejudice to the
views of the Government of the United States or the Government of the
Marshall Islands or the Federated States of Micronesia as to the nature
and extent of the jurisdiction under international law of any of them,
the following terms shall have the following meanings:
``(a) `Trust Territory of the Pacific Islands' means the area
established in the Trusteeship Agreement consisting of the
administrative districts of Kosrae, Yap, Ponape, the Marshall Islands
and Truk as described in Title One, Trust Territory Code, Section 1, in
force on January 1, 1979. This term does not include the area of Palau
or the Northern Mariana Islands.
``(b) `Trusteeship Agreement' means the agreement setting forth the
terms of trusteeship for the Trust Territory of the Pacific Islands,
approved by the Security Council of the United Nations April 2, 1947,
and by the United States July 18, 1947, entered into force July 18,
1947, 61 Stat. 3301, T.I.A.S. 1665, 8 U.N.T.S. 189.
``(c) `The Marshall Islands' and `the Federated States of
Micronesia' are used in a geographic sense and include the land and
water areas to the outer limits of the territorial sea and the air space
above such areas as now or hereafter recognized by the Government of the
United States.
``(d) `Government of the Marshall Islands' means the Government
established and organized by the Constitution of the Marshall Islands
including all the political subdivisions and entities comprising that
Government.
`` `Government of the Federated States of Micronesia' means the
Government established and organized by the Constitution of the
Federated States of Micronesia including all the political subdivisions
and entities comprising that Government.
``(e) The following terms shall be defined consistent with the 1976
Edition of the Radio Regulations of the International Telecommunications
Union (ISBN 92-61-0081-5) as follows:
``(1) `Radio Communications' means telecommunication by means of
radio waves.
``(2) `Station' means one or more transmitters or receivers or a
combination of transmitters and receivers, including the accessory
equipment, necessary at one location for carrying on a radio
communication service; each station shall be classified by the
service in which it operates permanently or temporarily.
``(3) `Broadcasting Service' means a radio communication service
in which the transmissions are intended for direct reception by the
general public, and which may include sound transmissions,
television transmissions or other types of transmissions.
``(4) `Broadcasting Station' means a station in the broadcasting
service.
``(f) `Frequency Assignment' means the same as `Frequency
Assignment' means in the 1976 Edition of the Radio Regulations of the
International Telecommunications Union (ISBN 92-61-0081-5).
``(g) `Habitual Residence' means a place of general abode or a
principal, actual dwelling place of a continuing or lasting nature;
provided, however, that this term shall not apply to the residence of
any person who entered the United States for the purpose of full-time
studies as long as such person maintains that status, or who has been
physically present in the United States, the Marshall Islands, or the
Federated States of Micronesia for less than one year, or who is a
dependent of a resident representative, as described in Section 152.
``(h) For the purposes of Article IV of Title One of this Compact:
``(1) `Actual Residence' means physical presence in the Marshall
Islands or the Federated States of Micronesia during eighty-five
percent of the period of residency required by Section 141(a)(3);
and
``(2) `Certificate of Actual Residence' means a certificate
issued to a naturalized citizen by the Government which has
naturalized him stating that the citizen has complied with the
actual residence requirement of Section 141(a)(3).
``(i) `Military Areas and Facilities' means those areas and
facilities in the Marshall Islands or the Federated States of Micronesia
reserved or acquired by the Government of the Marshall Islands or the
Federated States of Micronesia for use by the Government of the United
States, as set forth in the separate agreements referred to in Section
321.
``(j) `Capital Account' means, for each year of the Compact, those
portions of the total grant assistance provided in Article I of Title
Two, adjusted by Section 217, which are to be obligated for:
``(1) the construction or major repair of capital
infrastructure; or
``(2) public and private sector projects identified in the
official overall economic development plan.
``(k) `Current Account' means, for each year of the Compact, those
portions of the total grant assistance provided in Article I of Title
Two, adjusted by Section 217, which are to be obligated for recurring
operational activities including infrastructure maintenance as
identified in the annual budget justifications submitted yearly to the
Government of the United States.
``(l) `Official Overall Economic Development Plan' means the
documented program of annual development which identifies the specific
policy and project activities necessary to achieve a specified set of
economic goals and objectives during the period of free association,
consistent with the economic assistance authority in Title Two. Such a
document should include an analysis of population trends, manpower
requirements, social needs, gross national product estimates, resource
utilization, infrastructure needs and expenditures, and the specific
private sector projects required to develop the local economy of the
Marshall Islands or the Federated States of Micronesia. Project
identification should include initial cost estimates, with project
purposes related to specific development goals and objectives.
``(m) `Tariff Schedules of the United States' means the Tariff
Schedules of the United States as amended from time to time and as
promulgated pursuant to United States law and includes the Tariff
Schedules of the United States Annotated (TSUSA), as amended.
``(n) `Vienna Convention on Diplomatic Relations' means the Vienna
Convention on Diplomatic Relations, done April 18, 1961, 23 U.S.T. 3227,
T.I.A.S. 7502, 500 U.N.T.S. 95.
``Section 462
``The Government of the United States and the Government of the
Marshall Islands or the Federated States of Micronesia, as appropriate,
shall conclude related agreements which shall come into effect and shall
survive in accordance with their terms, as follows:
``(a) Agreement Regarding the Provision of Telecommunication
Services by the Government of the United States to the Marshall Islands
and the Federated States of Micronesia Concluded Pursuant to Section 131
of the Compact of Free Association;
``(b) Agreement Regarding the Operation of Telecommunication
Services of the Government of the United States in the Marshall Islands
and the Federated States of Micronesia Concluded Pursuant to Section 132
of the Compact of Free Association;
``(c) Agreement on Extradition, Mutual Assistance in Law Enforcement
Matters and Penal Sanctions Concluded Pursuant to Section 175 of the
Compact of Free Association;
``(d) Agreement Between the Government of the United States and the
Government of the Marshall Islands for the Implementation of Section 177
of the Compact of Free Association;
``(e) Federal Programs and Services Agreement Concluded Pursuant to
Article II of Title Two and Section 232 of the Compact of Free
Association;
``(f) Agreement Concluded Pursuant to Section 234 of the Compact of
Free Association;
``(g) Agreement Regarding the Military Use and Operating Rights of
the Government of the United States in the Marshall Islands Concluded
Pursuant to Sections 321 and 323 of the Compact of Free Association;
``(h) Agreement Regarding the Military Use and Operating Rights of
the Government of the United States in the Federated States of
Micronesia Concluded Pursuant to Sections 227, 321 and 323 of the
Compact of Free Association;
``(i) Status of Forces Agreement Concluded Pursuant to Section 323
of the Compact of Free Association;
``(j) Agreement Between the Government of the United States and the
Government of the Federated States of Micronesia Regarding Friendship,
Cooperation and Mutual Security Concluded Pursuant to Sections 321 and
323 of the Compact of Free Association; and
``(k) Agreement Between the Government of the United States and the
Government of the Marshall Islands Regarding Mutual Security Concluded
Pursuant to Sections 321 and 323 of the Compact of Free Association.
``Section 463
``(a) Except as set forth in Section 463(b), any reference in this
Compact to a provision of the United States Code or the Statutes at
Large of the United States constitutes the incorporation of the language
of such provision into this Compact, as such provision was in force on
January 1, 1980.
``(b) Any reference in Article VI of Title One and Sections 131,
174, 175, 178 and 342 to a provision of the United States Code or the
Statutes at Large of the United States or to the Privacy Act, the
Freedom of Information Act or the Administrative Procedure Act
constitutes the incorporation of the language of such provision into
this Compact as such provision is in force on the effective date of this
Compact or as it may be amended thereafter on a non-discriminatory basis
according to the constitutional processes of the United States.
``Article VII
``Concluding Provisions
``Section 471
``(a) The Government of the United States and the Governments of the
Marshall Islands and the Federated States of Micronesia agree that they
have full authority under their respective Constitutions to enter into
this Compact and its related agreements and to fulfill all of their
respective responsibilities in accordance with the terms of this Compact
and its related agreements. The Governments pledge that they are so
committed.
``(b) Each of the Governments of the United States, the Marshall
Islands and the Federated States of Micronesia shall take all necessary
steps, of a general or particular character, to ensure, not later than
the effective date of this Compact, the conformity of its laws,
regulations and administrative procedures with the provisions of this
Compact.
``(c) Without prejudice to the effects of this Compact under
international law, this Compact has the force and effect of a statute
under the laws of the United States.
``Section 472
``This Compact may be accepted, by signature or otherwise, by the
Government of the United States, the Government of the Marshall Islands,
and the Government of the Federated States of Micronesia. Each
Government accepting this Compact shall possess an original English
language version.
``IN WITNESS WHEREOF, the undersigned, duly authorized, have signed
this Compact of Free Association which shall come into effect in
accordance with its terms between the Government of the United States
and each of the other Governments signatory to this Compact.
``done at honolulu, hawaii, this 1st day of
``october, one thousand, nine hundred eighty-two
``for the government
``of
``the united states of america
``ambassador fred m. zeder, ii
``president's personal representative
``for micronesian status negotiations
``done at honolulu, hawaii, this 1st day of
``october, one thousand, nine hundred eighty-two
``for the government
``of
``the federated states of micronesia
``honorable andon l. amaraich
``chairman, commission on future
``political status and transition
``done at majuro, marshall islands, this 25th day
``of june, one thousand, nine hundred, eighty-three
``for the government
``of
``the united states of america
``ambassador fred m. zeder, ii
``president's personal representative
``for micronesian status negotiations
``done at majuro, marshall islands, this 25th day
``of june, one thousand, nine hundred eighty-three
``for the government
``of
``the marshall islands
``president amata kabua
``president of the republic
``of the marshall islands''.
[Pub. L. 108-108, title I, Nov. 10, 2003, 117 Stat. 1261, which
directed amendment of section 231 of Pub. L. 99-239, was executed by
amending section 231 of the Compact of Free Association, set out above,
to reflect the probable intent of Congress. Pub. L. 99-239, which sets
out the Compact, does not contain a section 231.]
[For abolition of Immigration and Naturalization Service, transfer
of functions, and treatment of related references, see note set out
under section 1551 of Title 8, Aliens and Nationality.]
[For transfer of functions, personnel, assets, and liabilities of
the Federal Emergency Management Agency, including the functions of the
Director of the Federal Emergency Management Agency relating thereto, to
the Secretary of Homeland Security, and for treatment of related
references, see sections 313(1), 551(d), 552(d), and 557 of Title 6,
Domestic Security, and the Department of Homeland Security
Reorganization Plan of November 25, 2002, as modified, set out as a note
under section 542 of Title 6.]
[For transf