Use of $12 Million in Economic Support Funds for a U.S. Contribution to the Korean Peninsula Development Organization (KEDO)

President Clinton determined under the Foreign Assistance Act that up to $12 million in Economic Support Funds should be provided to the Korean Peninsula Energy Development Organization (KEDO) as important to U.S. security interests, waiving certain statutory restrictions. The Secretary of State was directed to transmit the determination to Congress and arrange Federal Register publication.

Federal Register Open PDF 64 FR 983

Impact dates

Jan 6, 1999
Federal Register publication
Dec 24, 1998
Determination signed and assistance authorized

Key directives

Determine $12 million in Economic Support Funds important to U.S. security interests for KEDO assistance
Waive provisions of law within scope of section 614(a)(1) of Foreign Assistance Act
Authorize furnishing of assistance
Direct Secretary of State to transmit determination to Congress
Direct Secretary of State to arrange Federal Register publication

Who is ordered

Secretary of State · Department of State

Timeline

Immediate

Determination signed and effective December 24, 1998
Authorization to furnish up to $12 million in assistance
Direction to Secretary of State to transmit to Congress and publish in Federal Register

Near term (90d)

Federal Register publication completed January 6, 1999

Long term

KEDO funding supports implementation of 1994 Agreed Framework nuclear freeze agreement

Risks & tensions

Waiver of 'any provision of law within the scope of section 614(a)(1)' is broad but statutorily constrained; exact legal provisions waived not specified in text
KEDO was controversial mechanism for engaging North Korea; congressional opposition to Agreed Framework implementation persisted
$12 million represents incremental funding; cumulative U.S. KEDO commitments were larger and politically contested