Detailed Summary

Pakistan Enduring Assistance and Cooperation Enhancement Act of 2009 or the PEACE Act of 2009 - <b>Title I: Democratic, Economic, and Social Development Assistance for Pakistan</b> - (Sec. 102) Authorizes the President to provide assistance for Pakistan to support: (1) democratic institutions in order to strengthen civilian rule and long-term stability; (2) the judicial system, the rule of law, and law enforcement; (3) economic development; (4) national, provincial, and local governmental and nongovernmental institutions; (5) public education; (6) human rights, including programs to strengthen civil society organizations that promote internationally recognized human rights; (7) health care; and (8) public diplomacy to promote a better understanding of the United States and to combat militant extremism.

Expresses the sense of Congress in favor of efforts to assist refugees and displaced persons in Pakistan.

(Sec. 103) States that to the extent that Pakistan continues to evolve toward civilian control of the government and to implement economic reform programs the President should mobilize multilateral financial and economic and currency stabilization assistance for Pakistan.

(Sec. 104) Establishes in the Treasury the Pakistan Democracy and Prosperity Fund.

(Sec. 105) Authorizes FY2010-FY2013 appropriations to carry out this title.

Expresses the sense of Congress that U.S. assistance under this title should be made available on a proportional and equitable basis between the Federally Administered Tribal Areas of Pakistan (FATA) and other regions of Pakistan.

<b>Title II: Security Assistance for Pakistan</b> - (Sec. 201) Expresses the sense of Congress that U.S. security assistance for Pakistan should be: (1) used to improve relationships between U.S. and Pakistani military personnel; and (2) fully accountable, contingent upon Pakistan ending support for terrorist groups, and should meet Pakistan's national security needs.

(Sec. 202) States that the purposes of assistance under this title are to: (1) support Pakistan's need to win the ongoing counterinsurgency within its borders and to secure its borders and prevent its territory from being used as a base for terrorist attacks; and (2) develop appreciation for democratic governance and for a military that is controlled by democratically elected civilian leadership.

(Sec. 203) Obligates FY2010-FY2013 funding for Pakistan for: (1) international military education and training, including a set-aside for training in counterinsurgency and civil-military relations; and (2) the foreign military financing program, including a set-aside for purchase of defense articles, defense services, and counterinsurgency and counterterrorism education and training.

States that Congress finds that the government of Pakistan is responsible for making the remaining payments on the 2006 F-16 aircraft and equipment sales with its own national funds.

Restricts, with a national security waiver, the use of foreign military financing funds for the purchase of, or upgrade to, F-16 aircraft and munitions.

Directs the President to transmit to the appropriate congressional committees a security plan for each of FY2010-FY2013.

Expresses the sense of Congress that the United States should facilitate Pakistan's establishment of a program to provide reconstruction assistance in combat-damaged areas.

(Sec. 204) States that: (1) for FY2010, the Department of State's Pakistan Counterinsurgency Capability Fund (Fund) shall consist of amounts appropriated or otherwise available to the Secretary of State (Secretary) to carry out this section; and (2) Fund amounts shall be used to build and maintain Pakistan's counterinsurgency capability under the same terms as applicable to FY2009 amounts.

Authorizes the Secretary, with prior congressional notification, to transfer Fund amounts to the Department of Defense's (DOD) Pakistan Counterinsurgency Fund.

Prohibits, with a national security waiver, Fund amounts from being used to: (1) purchase certain F-16 aircraft updates; or (2) make payments on F-16 aircraft and equipment sales.

Authorizes FY2010 appropriations.

(Sec. 205) Authorizes the Secretary to establish the Pakistan military transition program to foster the principle of civilian rule through exchanges between Pakistani military and civilian personnel and similar personnel from countries in transition to democracy and from North Atlantic Treaty Organization (NATO) countries.

(Sec. 206) Prohibits, with a national security waiver, military assistance from being provided to Pakistan beginning in FY2011 if the President fails to determine at the beginning of each fiscal year that Pakistan is taking actions to: (1) combat terrorist groups and prevent cross-border attacks; and (2) dismantle nuclear weapons-material supply networks in cooperation with the United States.

Requires a Government Accountability Office (GAO) analysis of such determinations.

(Sec. 207) Authorizes FY2010-FY2013 appropriations for this title, other than for section 204.

<b>Title III: Miscellaneous Provisions</b> - (Sec. 301) Directs the President to: (1) develop a comprehensive regional security strategy to work with the government of Pakistan and other relevant governments and organizations to implement counterinsurgency and counterterrorism efforts in the Pakistan-Afghanistan border areas, including the FATA and the North West Frontier Province of Pakistan, parts of Balochistan, and parts of Punjab; and (2) report to the appropriate congressional committees regarding such strategy.

(Sec. 302) Directs the President to establish a program using specified research models to evaluate the effectiveness of assistance provided to Pakistan under title I of this Act.

Authorizes the President to provide assistance to enhance Pakistan's capacity to monitor and evaluate the long-term impact of programs carried out by the national, provincial, and local governments.

Obligates specified FY2010-FY2013 appropriations for activities under this section.

(Sec. 303) Directs the Inspector General of the Department and the Inspector General of the United States Agency for International Development (USAID) to audit and oversee the obligation and expenditure of title I funds. Authorizes the establishment of field offices in Pakistan.

Obligates specified FY2010-FY2013 appropriations for such activities.

(Sec. 304) Requires, with a national security waiver, that any direct U.S. assistance, and any information required by the United States prior to providing the assistance, made on or after January 1, 2010, to the government of Pakistan be provided to, or received from, civilian authorities of a freely elected government of Pakistan.

(Sec. 305) Expresses the sense of Congress that the Secretary should establish a communications strategy overseen by the U.S. Chief of Mission in Pakistan to engage the people of Pakistan to help ensure the success of the measures authorized by this Act.

(Sec. 306) Sets forth reporting requirements for the President and the Comptroller General of the United States.

(Sec. 307) Terminates the authority of this Act, other than section 104 and title IV, after September 30, 2013.

<b>Title IV: Duty-Free Treatment for Certain Goods from Reconstruction Zones in Afghanistan and Pakistan - </b>Afghanistan-Pakistan Security and Property Enhancement Act - (Sec. 403) Authorizes the President to designate Reconstruction Opportunity Zones in Afghanistan or Pakistan upon a determination that the appropriate country: (1) has established or is making progress toward establishing a market-based economy, the rule of law, and certain economic policies; (2) is eliminating trade and investment barriers; (3) does not engage in activities that undermine U.S. security or policy interests; (4) does not engage in gross violations of human rights; and (5) does not provide support for acts of international terrorism.

(Sec. 404) Provides for the duty-free treatment of certain nontextile and nonapparel articles from a Reconstruction Opportunity Zone.

Sets forth provisions regarding: (1) general rules of origin; (2) rules of origin for certain articles from Afghanistan; and (3) excluded costs.

(Sec. 405) Provides for the duty-free treatment of certain textile and apparel articles from a Reconstruction Opportunity Zone.

Sets forth provisions regarding: (1) covered articles; (2) rules of origin; and (3) rules of origin for covered articles that are products of one or more Reconstruction Opportunity Zones in Afghanistan.

(Sec. 406) Conditions duty-free treatment upon specified enforcement measures, including measures to prevent such articles' unlawful transshipment.

Sets forth customs procedure and enforcement provisions.

Directs: (1) the Secretary of the Treasury to promulgate regulations setting forth customs procedures similar to specified North American Free Trade Agreement (NAFTA) requirements; and (2) the President to deny all benefits under section 405 of this title for five years to an entity that has engaged in unlawful transshipment.

Directs U.S. Customs and Border Protection to provide technical assistance to Afghanistan and Pakistan for: (1) development and implementation of visa or electronic certification systems; and (2) anti-transshipment enforcement training. Authorizes FY2010-FY2023 appropriations.

(Sec. 407) Continues, after an initial 16-month period, the duty-free treatment of such articles from a Reconstruction Opportunity Zone in Afghanistan or Pakistan only if the President certifies to Congress that certain requirements have been met regarding: (1) establishment of a program to require textile or apparel exporting enterprises to participate in a technical assistance, capacity building, compliance assessment, and remediation program; and (2) designation of a labor official to oversee such program.

Authorizes compliance and duty-free extensions.

Sets forth program and reporting provisions.

Authorizes FY2010-FY2023 appropriations, with a separate authorization of appropriations for an evaluation and report by the Secretary of Labor.

(Sec. 408) Permits an interested party to file a request to have the eligibility status of Afghanistan or Pakistan reviewed.

(Sec. 409) Authorizes the President to withdraw, suspend, or limit the application of duty-free treatment under this Act. Requires congressional notification.

(Sec. 410) States that such duty-free treatment shall remain in effect through September 30, 2024.

(Sec. 411) Directs the Secretary of the Treasury to make specified customs fees increases in connection with imports and travel from Afghanistan and Pakistan.

Terminates such authority when the aggregate amount of collected fees equals $105 million.

Status of the Legislation

Latest Major Action: 6/11/2009: Passed/agreed to in House. Status: On passage Passed by recorded vote: 234 - 185 (Roll no. 333).

Points in Favor

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Points Against

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