Foreign assistance process for 2000 begins with congressional hearings (03/21/99)

Foreign assistance process for 2000 begins with congressional hearings

Ukrainian National Information Service

WASHINGTON - This year's U.S. foreign affairs budget process began with Secretary of State Madeleine K. Albright testifying before the Senate Foreign Relations Committee and the House of Representatives International Relations Committee, respectively, on February 24 and 25. In her testimony Secretary Albright highlighted the work of the State Department in monitoring world affairs, providing timely analysis and maintaining U.S. national security interests throughout the world, including its strategic partnership with Ukraine.

In her written testimony to the relevant committees, Ms. Albright stated that "we [the United States government] work with others to bring nations closer together around basic principles of democracy and law, open markets and a commitment to peace."

The secretary of state summarized events occurring worldwide and described how U.S. global leadership helps to sustain its presence in various critical regions. In particular, Secretary Albright, who one week earlier had reported to Congress about the reform efforts in Ukraine and the resolution of some business disputes there, acknowledged the "high importance" accorded the strategic partnership between Ukraine and the United States.

"In 1999 we will continue to support Ukraine's economic and political reforms, press for a free and fair presidential election, deepen our cooperation under the NATO-Ukraine Charter, and strengthen our joint non-proliferation efforts," she noted.

Members of Congress commended Secretary Albright for her vociferous work on behalf of U.S. interests around the world.

Rep. Sam Gejdenson (D-Conn.), ranking member of the House International Relations Committee, discussed the "long-term commitment" of the United States in helping to rebuild the devastated Western European nations after World War II or run the risk of abdicating to communism as the Soviet empire spread throughout all of Europe. According to Rep. Gejdenson, this responsibility remains with the United States, as countries recently freed from oppressive regimes begin the long and arduous process of building democratic and free-market states.

Other members of Congress, such as Rep. Tom Lantos (R-Calif.), warned the secretary of state about "creeping isolationism [of the United States]" and the need "not to have exit strategies" (i.e., to remain engaged) with certain countries in the world.

Public witnesses testify

A public witness hearing before the Foreign Operations Subcommittee of the House of Representatives Appropriations Committee was held on March 4.

Testifying in support of sustained foreign assistance to Ukraine for Fiscal Year (FY) 2000 were two members of the Congressional Ukrainian Caucus (CUC), and a representative from the Ukrainian Congress Committee of America (UCCA). Formal written testimonies also were submitted for the permanent record of the proceedings.

In the Congressional Ukrainian Caucus (CUC) testimony presented to the subcommittee and endorsed by nearly a dozen members of the caucus, the signatories lauded the success of U.S. foreign assistance programs in Ukraine during the past year.

"The United States is well positioned to play a key leadership role in assisting Ukraine to further establish a pluralistic and democratic society based upon the principles of law and free-market system," the CUC letter underlined.

The caucus testimony endorsed continued U.S. foreign assistance to Ukraine whereby "the objectives of peace, stability and democracy in Central and East Europe have been enhanced because the United States remains actively engaged, through U.S. foreign assistance, in a bilateral relationship with Ukraine."

As members of the CUC, Reps. Maurice Hinchey (D-N.Y.) and Bob Schaffer (R-Colo.), both of Ukrainian heritage, attested to the reforms undertaken by the Ukrainian government in the past year.

Rep. Hinchey expressed his "strong support for full funding of the president's FY 2000 request for assistance to Ukraine," which amounts to $219 million. In his review of the improvements and reforms occurring in Ukraine, Rep. Hinchey mentioned Ukraine's passage of a state budget, the modernization of the nation's accounting system (to bring it up to international standards), and efforts to streamline its public administration sector. Rep. Hinchey acknowledged that "combating corruption, which persists as a remnant of the former Soviet Union, remains a substantial challenge for the current Ukrainian government."

Rep. Hinchey also highlighted Ukraine's foreign policy and its strategic partnership with the United States. "In addition to the economic reforms facilitated by this funding [U.S. foreign assistance to Ukraine]," continued Rep. Hinchey, "Ukraine has reaffirmed its role as a vital strategic partner of the United States, evidenced by its refusal to participate with Russia in providing nuclear technology to Iran." By continuing U.S. assistance to Ukraine, Rep. Hinchey stated that the funds "will facilitate further reform of Ukraine's civil code and commercial law."

Rep. Schaffer began his remarks by stating that "as a co-chair of the Congressional Ukrainian Caucus, my goal is to build a strong relationship between the United States and Ukraine." Rep. Schaffer listed Ukraine's achievements in foreign and domestic policy, as it continues on its path toward "establishing a strong and stable democratic government." The congressman added that any "discontinuation of the foreign assistance earmark could defeat years of progress in this important democracy and weaken the aspiring partnership between our two nations."

Rep. Schaffer advocated several programs for the subcommittee to evaluate for the next fiscal year. In particular, Rep. Schaffer mentioned the need to target U.S. assistance toward transforming Ukraine's legal and judicial systems to combat corruption, thus providing the programs needed to enhance law enforcement in Ukraine.

The final public witness to testify on behalf of continued U.S. foreign assistance to Ukraine was the director of the UCCA's Washington bureau, the Ukrainian National Information Service (UNIS). Michael Sawkiw Jr. commended the subcommittee for its support of last year's appropriations bill that led to increased funding of the FREEDOM Support Act (FSA). "This engagement," stated Mr. Sawkiw, "increases America's leadership role in sustaining economic development and strengthening democratic principles throughout the states of the former Soviet Union, most notably Ukraine."

Noting the various achievements in Ukraine during the past years, the UNIS director cautioned subcommittee members that the process of overhauling Ukraine's economy and keeping it on the path to democracy is time-consuming, but deserves the continued support of the United States.

In providing his recommendations, Mr. Sawkiw noted that support is needed for the following programs: comprehensive commercial law reform; enhanced law enforcement procedures; continued development of democratic reform and the formation of non-governmental organizations (NGOs); as well as the revitalization of Ukraine's agricultural and energy sectors.

The UNIS director was most vocal regarding the certification process that Ukraine has undergone in the past two years. Mr. Sawkiw urged subcommittee members to forego a certification process that embroils U.S. and Ukrainian government officials in resolving U.S. business complaints in Ukraine. Mr. Sawkiw cautioned that "certification based upon the resolution of business disputes of several American investors in Ukraine would paint a distorted picture of Ukraine's political and economic landscape."

Concluding his remarks, the UNIS director spoke of the rising fear of Russian hegemony in the countries once part of the USSR, proclaiming that "the assistance Ukraine receives from the United States would instill economic viability" and at the same time discourage tendencies in neighboring Russia "to restore its lost empire."

In his response to the witnesses, the chairman of the House Foreign Operations Subcommittee, Rep. Sonny Callahan (R-Ala.), spoke of various developments in Ukraine, including several free and fair elections and the problems associated with economic reform in such a large country. Having noted disputes with American investors in Ukraine, Chairman Callahan proceeded to acknowledge that some have been resolved, while others, it is hoped, will soon be explicated.

Rep. Callahan stated that Ukraine was the "shining star" of the former Soviet Union and characterized Ukraine as the leader in reform efforts.

UNIS Director Sawkiw responded to this comment by acknowledging that, given continued U.S. assistance to Ukraine, "Ukraine will still be" that shining-star in the eyes of the United States.

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