§2314 Furnishing of defense articles or related training or other defense service on grant basis

Summary

No country can get U.S. defense equipment, training, or other military help as a gift unless it agrees to strict rules. The country must keep use limited to its own officers and agents unless the President agrees otherwise, not give or sell the items to others without the President’s okay, and use them only for the purposes they were given. The country must protect the items with security like the U.S. would, allow U.S. officials to watch and get information about how the items are used, and return any items it no longer needs unless the President agrees to a different plan. Gifts over $3,000,000 in a single fiscal year are allowed only if the President finds four things: the country follows the U.N. Charter, will use the items for its own or the free world’s defense, is taking reasonable steps to build its defense, and that helping it matters to U.S. security. The President must reduce and eventually stop gifts to countries that, in the President’s judgment, are rich enough to equip their own forces without hurting their economy. If a country seriously breaks these promises—by using the help for unauthorized purposes, giving it to people who aren’t its officers or agents without the President’s consent, or failing to keep it secure—U.S. help can be stopped. The President must tell Congress in writing when help is ended for those reasons and must report quickly if there is information that a violation may have happened. Help stays stopped until the violation ends and the country gives assurances the problem won’t happen again. The President won’t approve transfers of weapons to a third party unless the U.S. would make the same transfer, and for major items on the U.S. Munitions List the recipient must demilitarize them or promise in writing not to re-transfer them without the President’s consent. Starting July 1, 1974, money a country gets from selling certain military items it received must be paid to the U.S. to cover U.S. costs in that country and related exchange program costs; items delivered before 1985 may be exempted by the President if he finds it is in the national interest. U.S. policy also says no help should go to countries whose laws or practices bar any U.S. person (as defined by tax law) from participating because of race, religion, national origin, or sex. Agencies and contractors must not use such foreign exclusionary rules when hiring or assigning people. The President must report discrimination cases to congressional leaders and, if asked by key foreign affairs committees, must send a detailed statement within 60 days; if the statement is not sent, the assistance is suspended until it is. Congress can later pass a joint resolution to end or limit the assistance after the statement is submitted.