Page:United States Statutes at Large Volume 90 Part 1.djvu/788

 90 STAT. 738

PUBLIC LAW 94-329—JUNE 30, 1976 SALES FROM STOCKS AFFECTING UNITED STATES COMBAT READINESS

Ante, p. 736.

Written statement, transmittal to Speaker of the House and congressional committees.

SEC. 206. Section 21 of the Foreign Military Sales Act, as amended by section 205 of this Act, is further amended by adding at the end thereof the following new subsection: " (h)(1) Sales of defense articles and defense services which could have significant adverse effect on the combat readiness of the Armed Forces of the United States shall be kept to an absolute minimum. The President shall transmit to the Speaker of the House of Representatives and the Committees on A r m e d Services and Foreign Relations of the Senate on the same day a written statement giving a complete explanation with respect to any proposal to sell, under this section, any defense articles or defense services if such sale could have a significant adverse effect on the combat readiness of -the Armed Forces of the United States. E a c h such statement shall be unclassified except to the extent that public disclosure of any item of information contained therein would be clearly detrimental to the security of the United States. Any necessarily classified information shall be confined to a supplemental report. E a c h such statement shall include an explanation relating to only one such proposal to sell and shall set forth— " (A) the country or international organization to which the sale is proposed to be m a d e; " (B) the amount of the proposed sale; " (C) a description of the defense article or service proposed to be sold; " (D) a full description of the impact which the proposed sale will have on the Armed Forces of the United States; and " (E) a justification for such proposed sale, including a certification that such sale is important to the security of the United States. A certification described in subparagraph (E) shall take effect on the date on which such certification is transmitted and shall remain in effect for not to exceed one year. " (2) N^o delivery may be made under any sale which is required to be reported under paragraph (1) of this subsection unless the certification required to be transmitted by paragraph (E) of paragraph (1) is in effect.". PROCITREMENT FOR CASH SAEES

22 USC 2762.

Interest rate.

SEC. 207. (a) Section 22(a) of the Foreign Military Sales Act is amended by adding at the end thereof the following: "Interest shall be charged on any net amount by which any such country or international organization is in arrears under all of its outstanding unliquidated dependable undertakings, considered collectively. The rate of interest charged shall be a rate not less than a rate determined by the Secretary of the Treasury taking into consideration the current average market yield on outstanding short-term obligations of the United States as of the last day of the month preceding the net arrearage and shall be computed from the date of net arrearage.". (b) Section 22(b) of the Foreign Military Sales Act is amended by striking out the first sentence and inserting in lieu thereof the following: " The President may, if he determines it to be in the national interest, issue letters of offer under this section which provide for billing upon delivery of the defense article or rendering of the defense service and for payment within one hundred and twenty days after the date of billing. This authority may be exercised, however, only if the President also determines that the emergency requirements of the purchaser for acqviisition of such defense articles and services exceed the ready availability to the purchaser of funds sufficient to make

�