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United States Code (Last Updated: May 24, 2014) |
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Title 22. FOREIGN RELATIONS AND INTERCOURSE |
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Chapter 39. ARMS EXPORT CONTROL |
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SubChapter II. FOREIGN MILITARY SALES AUTHORIZATIONS |
§ 2767. Authority of President to enter into cooperative projects with friendly foreign countries
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(a) Authority of President The President may enter into a cooperative project agreement with the North Atlantic Treaty Organization or with one or more member countries of that Organization.
(b) Definitions As used in this section— (1) the term “cooperative project”, in the case of an agreement with the North Atlantic Treaty Organization or with one or more member countries of that Organization, means a jointly managed arrangement, described in a written agreement among the parties, which is undertaken in order to further the objectives of standardization, rationalization, and interoperability of the armed forces of North Atlantic Treaty Organization member countries and which provides— (A) for one or more of the other participants to share with the United States the costs of research on and development, testing, evaluation, or joint production (including follow-on support) of certain defense articles; (B) for concurrent production in the United States and in another member country of a defense article jointly developed in accordance with subparagraph (A); or (C) for procurement by the United States of a defense article or defense service from another member country or for procurement by the United States of munitions from the North Atlantic Treaty Organization or a subsidiary of such organization; (2) the term “cooperative project”, in the case of an agreement entered into under subsection (j) of this section, means a jointly managed arrangement, described in a written agreement among the parties, which is undertaken in order to enhance the ongoing multinational effort of the participants to improve the conventional defense capabilities of the participants and which provides— (A) for one or more of the other participants to share with the United States the costs of research on and development, testing, evaluation, or joint production (including follow-on support) of certain defense articles; (B) for concurrent production in the United States and in the country of another participant of a defense article jointly developed in accordance with subparagraph (A); or (C) for procurement by the United States of a defense article or defense service from another participant to the agreement; and (3) the term “other participant” means a participant in a cooperative project other than the United States. (c) Agreements for equitable share of costs; limiting nature of agreements Each agreement for a cooperative project shall provide that the United States and each of the other participants will contribute to the cooperative project its equitable share of the full cost of such cooperative project and will receive an equitable share of the results of such cooperative project. The full costs of such cooperative project shall include overhead costs, administrative costs, and costs of claims. The United States and the other participants may contribute their equitable shares of the full cost of such cooperative project in funds or in defense articles or defense services needed for such cooperative project. Military assistance and financing received from the United States Government may not be used by any other participant to provide its share of the cost of such cooperative project. Such agreements shall provide that no requirement shall be imposed by a participant for worksharing or other industrial or commercial compensation in connection with such agreement that is not in accordance with such agreement.
(d) Contractual or other obligation; preconditions The President may enter into contracts or incur other obligations for a cooperative project on behalf of the other participants, without charge to any appropriation or contract authorization, if each of the other participants in the cooperative project agrees (1) to pay its equitable share of the contract or other obligation, and (2) to make such funds available in such amounts and at such times as may be required by the contract or other obligation and to pay any damages and costs that may accrue from the performance of or cancellation of the contract or other obligation in advance of the time such payments, damages, or costs are due.
(e) Waiver of charges; administrative surcharges (1) For those cooperative projects entered into on or after the effective date to this section made by the International Security and Development Cooperation Act of 1985, projects entered into under the authority of this section before the effective date 4 of that amendment may be carried through to conclusion in accordance with the terms of this section as in effect immediately before the effective date 4 of that amendment. (j) Cooperative project agreements with friendly foreign countries not members of NATO (1) The President may enter into a cooperative project agreement with any friendly foreign country not a member of the North Atlantic Treaty Organization under the same general terms and conditions as the President is authorized to enter into such an agreement with one or more member countries of the North Atlantic Treaty Organization if the President determines that the cooperative project agreement with such country would be in the foreign policy or national security interests of the United States. (2) Omitted.
References In Text
The effective date of the International Security and Development Cooperation Act of 1985 and the effective date of the amendment to this section made by the International Security and Development Cooperation Act of 1985, referred to in subsecs. (e)(1) and (i), respectively, is
This chapter, referred to in subsec. (e)(2), was in the original “this Act”, meaning Pub. L. 90–629,
The amendment made to this section made by the International Security and Development Cooperation Act of 1985, referred to in subsec. (i), means the general amendment of this section by section 115(a) of Pub. L. 99–83. See 1985 Amendment note below.
Codification
Subsec. (j)(2) of this section, which required the President to submit to certain committees of Congress an annual report specifying countries eligible, and criteria used to determine eligibility, for participation in cooperative project agreements under subsec. (j)(1) of this section, terminated, effective
Amendments
1992—Subsec. (c). Pub. L. 102–484 substituted “costs, administrative costs, and costs of claims” for “and administrative costs”.
1987—Subsec. (b)(1)(C). Pub. L. 100–180 inserted “or for procurement by the United States of munitions from the North Atlantic Treaty Organization or a subsidiary of such organization” after “member country”.
1986—Pub. L. 99–661, § 1342(e), repealed section 1102(a)(1) of Pub. L. 99–145 and the amendments made by that section, and provided that this section shall apply as if that section had never been enacted. See 1985 Amendments note below.
Pub. L. 99–661, § 1103(a)(2), substituted “Authority of President to enter into cooperative projects with friendly foreign countries” for “North Atlantic Treaty Organization cooperative projects” in section catchline.
Subsec. (b)(1). Pub. L. 99–661, § 1103(a)(1)(A)(i), inserted “, in the case of an agreement with the North Atlantic Treaty Organization or with one or more member countries of that Organization,” in introductory provisions.
Subsec. (b)(2), (3). Pub. L. 99–661, § 1103(a)(1)(A)(ii)–(iv), added par. (2) and redesignated former par. (2) as (3).
Subsec. (f)(3). Pub. L. 99–661, § 1103(a)(1)(B), inserted “, including an estimate of the costs as a result of waivers of section 2761(e)(1)(A) and 2792(b) of this title,”.
Subsec. (g). Pub. L. 99–661, § 1103(a)(1)(C), substituted “In the case of a cooperative project with a North Atlantic Treaty Organization country, section,” for “Section”.
Subsec. (j). Pub. L. 99–661, § 1103(a)(1)(D), added subsec. (j).
1985—Pub. L. 99–83 amended section generally, substituting in subsec. (a) provisions relating to authority of the President, for provisions defining “cooperative project”, substituting in subsec. (b) provisions defining “cooperative project” and “other participant”, for provisions relating to reduction or waiver of charges, sales not subject to compensatory increases in administrative surcharges, and contribution requirements, substituting in subsec. (c) provisions relating to agreements for equitable share of costs and limiting the nature of such agreements, for provisions relating to transmission of numbered certification of proposed agreement, contents of such certification, and statutory provisions applicable to sales, and adding subsecs. (d) to (i).
Pub. L. 99–145, § 1102(a)(1), which enacted a general amendment of this section similar to that provided in Pub. L. 99–83 was repealed. See 1986 Amendments note above and former section 1105(a)(5) of Pub. L. 99–145 set out as a Repeals; Effective Date note under section 2752 of this title.
Effective Date Of Amendment
Amendment by Pub. L. 99–83 effective
Delegation Of Functions
For delegation of functions of the President under this section, with certain conditions, see section 1(f) of Ex. Ord. No. 13637,
Miscellaneous
Pub. L. 112–81, div. A, title VIII, § 836,