105 STAT. 1692 PUBLIC LAW 102-228—DEC. 12, 1991 "(b) ACCEPTANCE OF NATO ASSISTANCE IN ELIMINATING DIRECT ^ COSTS OF TRANSFERS.— In order to eliminate direct costs of facilitating transfers of defense articles under subsection (a), the United States may utilize services provided by NATO or any NATO/CFE country, including inspection, repair, or transportation services with respect to defense articles so transferred. "(c) ACCEPTANCE OF NATO ASSISTANCE IN MEETING CERTAIN UNITED STATES OBLIGATIONS. —In order to facilitate United States compliance with the CFE Treaty-mandated obligations for destruction of conventional armaments and equipment limited by the CFE Treaty, the United States may utilize services or funds provided by NATO or any NATO/CFE country. "(d) AUTHORITY TO TRANSFER ON A GRANT BASIS.— Defense articles may be transferred under subsection (a) without cost to the recipient country. "(e) THIRD COUNTRY TRANSFERS RESTRICTIONS. — For purposes of sections 3(a)(2), 3ta)(3), 3(c), and 3(d) of this Act, defense articles transferred under subsection (a) of this section shall be deemed to have been sold under this Act. " (f) MAINTENANCE OF MILITARY BALANCE IN THE EASTERN MEDI- TERRANEAN.—The President shall ensure that transfers by the United States under subsection (a), taken together with transfers by other NATO/CFE countries in implementing the CFE Treaty, are of such valuations so as to be consistent with the United States policy, embodied in section 620C of the Foreign Assistance Act of 1961, of maintaining the military balance in the Eastern Mediterranean. " (g) EXPIRATION OF AUTHORITY. — "(1) IN GENERAL.— Except as provided in paragraph (2), the authority of subsection (a) expires at the end of the 40-month period beginning on the date on which the CFE Treaty enters into force. "(2) TRANSITION RULE. —Paragraph (1) does not apply with respect to a transfer of defense articles for which notification under section 94(a) is submitted before the end of the period described in that paragraph. 22 USC 2799c. " SEC. 94. NOTIFICATIONS AND REPORTS TO CONGRESS. "(a) NOTIFICATIONS. — Not less than 15 days before transferring any defense articles pursuant to section 93(a), the President shall notify the Committee on Foreign Affairs of the House of Representatives and the Committee on Foreign Relations of the Senate in accordance with the procedures applicable to reprogramming notifications pursuant to section 634A of the Foreign Assistance Act of 1961. "(b) ANNUAL REPORTS.—Not later than February 1 each year, the President shall submit to the Committee on Foreign Affairs and the Committee on Armed Services of the House of Representatives and the Committee on Foreign Relations and the Committee on Armed Services of the Senate a report that— "(1) lists all transfers made to each recipient NATO/CFE country by the United States under section 93(a) during the preceding calendar year; "(2) describes how those transfers further the purposes described in paragraphs (1) through (3) of section 91; and "(3) lists, on a country-by-country basis, all transfers to another country of conventional armaments and equipment limited by the CFE Treaty—
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