
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 7USC1727d]

 
                          TITLE 7--AGRICULTURE
 
        CHAPTER 41--AGRICULTURAL TRADE DEVELOPMENT AND ASSISTANCE
 
                 SUBCHAPTER III-A--FOOD FOR DEVELOPMENT
 
Sec. 1727d. Local currency accounts


(a) Retention of proceeds

    To the extent determined to be appropriate by the Administrator, 
revenues generated from the sale, under section 1727c(2) of this title, 
of agricultural commodities provided under this subchapter shall be 
deposited into a separate account (that may be interest bearing) in the 
recipient country to be disbursed for the benefit of such country in 
accordance with local currency agreements entered into between the 
recipient country and the Administrator. The Administrator may determine 
not to deposit such revenues in a separate account if--
        (1) local currencies are to be programmed for specific economic 
    development purposes listed in section 1727e(a) of this title; and
        (2) the recipient country programs an equivalent amount of money 
    for such purposes as specified in an agreement entered into by the 
    Administrator and the recipient country.

(b) Ownership and programming of accounts

    The proceeds of sales pursuant to section 1727c(2) of this title 
shall be the property of the recipient country or the United States, as 
specified in the applicable agreement. Such proceeds shall be utilized 
for the benefit of the recipient country, shall be jointly programmed by 
the Administrator and the government of the recipient country, and shall 
be disbursed for the benefit of such country in accordance with local 
currency agreements between the Administrator and that government.

(c) Overall development strategy

    The Administrator shall consider the local currency proceeds as an 
integral part of the overall development strategy of the Agency for 
International Development and the recipient country.

(July 10, 1954, ch. 469, title III, Sec. 305, as added Pub. L. 95-88, 
title II, Sec. 211(a)(2), Aug. 3, 1977, 91 Stat. 550; amended Pub. L. 
95-424, title II, Sec. 203, Oct. 6, 1978, 92 Stat. 955; Pub. L. 96-53, 
title II, Secs. 204(b), 206, Aug. 14, 1979, 93 Stat. 369; Pub. L. 101-
624, title XV, Sec. 1512, Nov. 28, 1990, 104 Stat. 3643.)


                            Prior Provisions

    A prior section 305 of act July 10, 1954, ch. 469, title III, 68 
Stat. 459, enacted section 1694 of this title, prior to repeal by Pub. 
L. 89-808, Sec. 2(D), Nov. 11, 1966, 80 Stat. 1535.


                               Amendments

    1990--Pub. L. 101-624 amended section generally, substituting 
present provisions for provisions authorizing deposit of funds generated 
from sale of commodities into special account, providing that 
disbursements shall be considered payment by recipient government or as 
full forgiveness of repayment obligations, consideration of 
disbursements as payment with respect to credit obligations or annual 
repayment obligations, and application of dollar sales value of 
commodities against repayment obligations.
    1979--Subsec. (a). Pub. L. 96-53, Sec. 206, inserted provisions 
relating to disbursements from the special account equal to the dollar 
value of credit furnished by the Commodity Credit Corporation under 
section 1727c(a) of this title.
    Subsec. (c). Pub. L. 96-53, Sec. 204(b), added subsec. (c).
    1978--Subsecs. (a), (b). Pub. L. 95-424 designated existing 
provisions as subsec. (a) and added subsec. (b).


                    Effective Date of 1990 Amendment

    Amendment by Pub. L. 101-624 effective Jan. 1, 1991, see section 
1513 of Pub. L. 101-624, set out as a note under section 1691 of this 
title.


                    Effective Date of 1979 Amendment

    Amendment by Pub. L. 96-53 effective Oct. 1, 1979, see section 
512(a) of Pub. L. 96-53, set out as a note under section 2151 of Title 
22, Foreign Relations and Intercourse.


                    Effective Date of 1978 Amendment

    Amendment by Pub. L. 95-424 effective Oct. 1, 1978, see section 605 
of Pub. L. 95-424, set out as a note under section 2151 of Title 22, 
Foreign Relations and Intercourse.


                             Effective Date

    Section effective Oct. 1, 1977, see section 215 of Pub. L. 95-88, 
set out as an Effective Date of 1977 Amendment note under section 1702 
of this title.

                  Section Referred to in Other Sections

    This section is referred to in section 1727e of this title.
