118 STAT. 219 PUBLIC LAW 108–199—JAN. 23, 2004 (H) where appropriate, a process or processes for consideration of solicited proposals under the Compact as well as a process for consideration of unsolicited proposals by the Corporation and national, regional, or local units of government; (I) a requirement that open, fair, and competitive proce dures are used in a transparent manner in the administra tion of grants or cooperative agreements or the procurement of goods and services for the accomplishment of objectives under the Compact; (J) the strategy of the eligible country to sustain progress made toward achieving such objectives after expiration of the Compact; and (K) a description of the role of the United States Agency for International Development in any design, implementa tion, and monitoring of programs and activities funded under the Compact. (2) LOWER MIDDLE INCOME COUNTRIES.—In addition to the elements described in subparagraphs (A) through (K) of para graph (1), with respect to a lower middle income country described in section 606(b), the Compact shall identify a con tribution, as appropriate, from the country relative to its national budget, taking into account the prevailing economic conditions, toward meeting the objectives of the Compact. Any such contribution should be in addition to government spending allocated for such purposes in the country’s budget for the year immediately preceding the establishment of the Compact and should continue for the duration of the Compact. (3) DEFINITION.—In this subsection, the term ‘‘national development strategy’’ means any strategy to achieve market driven economic growth and eliminate extreme poverty that has been developed by the government of the country in con sultation with a wide variety of civic participation, including nongovernmental organizations, private and voluntary organizations, academia, women’s and student organizations, local trade and labor unions, and the business community. (c) ADDITIONAL PROVISION RELATING TO PROHIBITION ON TAX ATION.—In addition to the elements described in subsection (c), each Compact shall contain a provision that states that assistance provided by the United States under the Compact shall be exempt from taxation by the government of the eligible country. (d) LOCAL INPUT.—In entering into a Compact, the United States shall seek to ensure that the government of an eligible country— (1) takes into account the local level perspectives of the rural and urban poor, including women, in the eligible country; and (2) consults with private and voluntary organizations, the business community, and other donors in the eligible country. (e) CONSULTATION.—During any discussions with a country for the purpose of entering into a Compact with the country, officials of the Corporation participating in such discussions shall, at a minimum, consult with appropriate officials of the United States Agency for International Development, particularly with those offi cials responsible for the appropriate region or country on develop ment issues related to the Compact.
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