Central and East European Coalition testifies on foreign aid programs (06/02/96)

Central and East European Coalition testifies on foreign aid programs

WASHINGTON - The Foreign Operations Subcommittee of the U.S. Senate Committee on Appropriations on May 16 heard testimony on behalf of the Central and East European Coalition (CEEC) delivered by Eugene M. Iwanciw. The subcommittee, chaired by Sen. Mitch McConnell (R-Ky.), has jurisdiction over all foreign assistance programs.

That day the subcommittee received testimony from Ambassador Richard Morningstar, State Department coordinator of assistance to the new independent states; Thomas Dine, deputy administrator of the U.S. Agency for International Development (USAID); Constantine Menges of The George Washington University; and Mr. Iwanciw.

In his testimony Mr. Iwanciw focused on the importance of Central and Eastern Europe to U.S. national security interests. On behalf of the CEEC, he urged the United States to remain engaged in the region and warned about the danger of renewed Russian aggression against its neighbors. During his comments, Mr. Iwanciw quoted from an article by David Hoffman in The Washington Post, which noted that Russian presidential candidate Gennady Zyuganov "is less a traditional Communist and more a Russian great-power nationalist." He went on to state that "historically, Russia has always been an empire, justifying its policy under various guises, be it pan-Slavism, international Communist revolution or self-defense."

The CEEC spokesman outlined six recommendations to the subcommittee, including increased assistance for the nations of the region, earmarks of assistance to Ukraine and Armenia, assistance for the expansion of NATO, support for the Humanitarian Corridor Act, the use of ethnic-American organizations in the design and delivery of assistance, and specific program direction to USAID.

Mr. Iwanciw stressed the need for the subcommittee to take an active role in the activities of USAID, noting that many USAID programs are marked by "ineffectiveness and counter-productivity." He went on to suggest four areas of emphasis for programs including nuclear safety, establishment of small businesses, development of a truly independent media and encouragement of private investment.

Upon the conclusion of his testimony Sen. McConnell asked whether assistance to Russia should be curtailed. Mr. Iwanciw noted that, unfortunately, USAID programs have not targeted assistance to the true democrats in Russia and that former Communists and Russian chauvinists have received the bulk of aid. He suggested that assistance be tied to Russian behavior both internationally and domestically.

The senator noted that two years ago, the subcommittee had instructed USAID to work with U.S. ethnic organizations in the development and implementation of programs throughout Central and Eastern Europe. He noted that in the State Depart-ment report on progress in this regard, the Ukrainian National Association was prominently listed as being consulted and asked for comment on the validity of that report.

Mr. Iwanciw stated that ethnic organizations have developed a close relationship with Ambassador Morningstar and his counterpart for Central Europe, James Holmes, but that USAID continues to ignore the organized ethnic community. He noted that USAID has created and funded organizations to actively compete with U.S. ethnic organizations in fund-raising for development programs in the region.

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