Ill STAT. 2430 PUBLIC LAW 105-118—NOV. 26, 1997 TRANSPARENCY OF BUDGETS SEC. 572. (a) Section 576(a)(1) of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1997, as con- 22 USC 262k-l. tained in Public Law 104-208, is amended to read as follows: "(1) does not have in place a functioning system for reporting to civilian authorities audits of receipts and expenditures that fund activities of the armed forces and security forces;", (b) Section 576(a)(2) of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1997, as contained in Public Law 104-208, is amended to read as follows: "(2) has not provided to the institution information about the audit process requested by the institution.". RESTRICTIONS ON ASSISTANCE TO COUNTRIES PROVIDING SANCTUARY TO INDICTED WAR CRIMINALS SEC. 573. (a) BILATERAL ASSISTANCE.—None of the funds made available by this or any prior Act making appropriations fot foreign operations, export financing and related programs, may be provided for any country, entity or canton described in subsection (d). (b) MULTILATERAL ASSISTANCE.— (1) PROHIBITION. —The Secretary of the Treasury shall instruct the United States executive directors of the international financial institutions to work in opposition to, and vote against, any extension by such institutions of any financial or technical assistance or grants of any kind to any country or entity described in subsection (d). (2) NOTIFICATION. —Not less than 15 days before any vote in an international financial institution regarding the extension of financial or technical assistance or grants to any country or entity described in subsection (d), the Secretary of the Treasury, in consultation with the Secretary of State, shall provide to the Committee on Appropriations and the Committee on Foreign Relations of the Senate and the Committee on Appropriations and the Committee on Banking and Financial Services of the House of Representatives a written justification for the proposed assistance, including an explanation of the United States position regarding any such vote, as well as a description of the location of the proposed assistance by municipality, its purpose, and its intended beneficiaries. (3) DEFINITION. — The term "international financial institution" includes the International Monetary Fund, the International Bank for Reconstruction and Development, the International Development Association, the International Finance Corporation, the Multilateral Investment Guaranty Agency, and the European Bank for Reconstruction and Development. (c) EXCEPTIONS.— (1) IN GENERAL.— Subject to paragraph (2), subsections (a) and (b) shall not apply to the provision of— (A) humanitarian assistance; (B) democratization assistance; (C) assistance for cross border physical infrastructure projects involving activities in both a sanctioned country, entity, or canton and a nonsanctioned contiguous coiuitiy, entity, or canton, if the project is primarily located in and primarily benefits the nonsanctioned country, entity.