§ 2431d. Reduction of debt owed to United States as result of concessional loans under this chapter
(a)
Authority to reduce debt
(1)
Authority
The President may reduce the amount owed to the United States (or any agency of the United States) that is outstanding as of January 1, 1998, as a result of concessional loans made to an eligible country by the United States under subchapter I of this chapter, part IV of subchapter II of this chapter, or predecessor foreign economic assistance legislation.
(2)
Authorization of appropriations
(b)
Implementation of debt reduction
(1)
In general
Any debt reduction pursuant to subsection (a) of this section shall be accomplished at the direction of the Facility by the exchange of a new obligation for obligations of the type referred to in subsection (a) of this section outstanding as of the date specified in subsection (a)(1) of this section.
(2)
Exchange of obligations
(A)
In general
The Facility shall notify the agency primarily responsible for administering subchapter I of this chapter of an agreement entered into under paragraph (1) with an eligible country to exchange a new obligation for outstanding obligations.
(B)
Additional requirement
At the direction of the Facility, the old obligations that are the subject of the agreement shall be canceled and a new debt obligation for the country shall be established relating to the agreement, and the agency primarily responsible for administering subchapter I of this chapter shall make an adjustment in its accounts to reflect the debt reduction.
(c)
Additional terms and conditions
(1)
The following additional terms and conditions shall apply to the reduction of debt under subsection (a)(1) of this section in the same manner as such terms and conditions apply to the reduction of debt under section
2430c
(a)(1) of this title:
(2)
In addition to the application of the provisions relating to repayment of principal under section
2430d of this title to the reduction of debt under subsection (a)(1) of this section (in accordance with paragraph (1)(A) of this subsection), repayment of principal on a new obligation established under subsection (b) of this section may be made in the local currency of the beneficiary country and deposited in the Tropical Forest Fund of the country in the same manner as the provisions relating to payment of interest on new obligations under section
2430e of this title.
(d)
Authorization of appropriations for fiscal years after fiscal year 2001
(e)
Use of funds to conduct program audits and evaluations
Of the amounts made available to carry out this subchapter for a fiscal year, $200,000 is authorized to be made available to carry out audits and evaluations of programs under this subchapter, including personnel costs associated with such audits and evaluations.