,i #aaith ,,congress #b;d ,session ,h4 ,r4 #iddi ,,in ,,the ,,house ,,of ,,representatives ,june #bd1 #bjbf,mr4 ,whitesides 7for himself1 ,mr4 ,casten1 and ,mr4 ,levin7 introduced the following bill2 which was referred to the ,committee on ,foreign ,affairs1 and in addition to the ,committee on ,financial ,services1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to provide for debt reduction for developing countries for purposes of developing resilience1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,global ,climate ,resilience ,act of #bjbf4 #b4 ,debt reduction for countries vulnerable to effects of extreme weather events and slow-onset disasters ,the ,foreign ,assistance ,act of #aifa 7#bb ,u4,s4,c4 #baea et seq47 is amended by adding at the end the following3 ,,vi ,debt reduction for countries vulnerable to effects of climate change #ija4 ,debt reduction for countries vulnerable to effects of extreme weather events and slow-onset disasters 7a7 ,purposes ,the purposes of this section are-- 7#a7 to support the ability of countries to adapt to effects of extreme weather events and slow-onset climate disasters2 and 7#b7 to ensure that resources freed from debt in such countries are targeted to developing resilience to the effects of climate change4 7b7 ,eligibility for benefits 7#a7 ,in general ,a country is eligible for benefits under this section if the ,president determines that-- 7,a7 the country is-- 7i7 a low income1 lower-middle income1 or upper-middle income country1 as determined by the ,world ,bank2 or 7ii7 a small island developing state1 as determined by the ,united ,nations2 7,b7 the government of the country is democratically elected2 7,c7 the government of the country 7including its military or other security forces7 does not engage in a consistent pattern of gross violations of internationally recognized human rights2 and 7,d7 the government of the country has developed a plan to use the benefits made available under this section to conduct-- 7i7 resilience activities2 7ii7 preventative disaster risk reduction planning1 including nature-based solutions2 or 7iii7 activities to recover from extreme weather events or slow-onset climate disasters4 7#b7 ,congressional notification ,not less than #ae days before formally determining under paragraph 7#a7 that a country is eligible for benefits under this section1 the ,president shall notify the appropriate congressional committees of the intention of the ,president to determine that the country is eligible for such benefits4 7#c7 ,preferences ,in providing benefits under this section1 preference shall be given to countries with plans described in paragraph 7#a77;,d7 that-- 7,a7 involve local communities and ,indigenous peoples in the planning and execution of activities described in that paragraph2 and 7,b7 aim to reduce gender1 income1 and social inequalities through such activities4 7c7 ,reduction of debt owed to ,united ,states as result of certain loans 7#a7 ,authority to reduce debt 7,a7 ,authority ,the ,president may reduce the amount owed to the ,united ,states 7or any agency of the ,united ,states7 as a result of loans made to an eligible country by the ,united ,states under part ,i of this ,act1 chapter #d of part ,,ii of this ,act1 or predecessor foreign economic assistance legislation4 7,b7 ,authorization of appropriations ,there are authorized to be appropriated to the ,president such sums as may be necessary to carry out this subsection4 7,c7 ,certain prohibitions inapplicable 7i7 ,in general ,a reduction of debt pursuant to this subsection shall not be considered assistance for purposes of any provision of law limiting assistance to a country4 7ii7 ,nonapplicability of certain restrictions ,the authority of this subsection may be exercised notwithstanding section #fbj7r7 of this ,act or section #cba of the ,international ,development and ,food ,assistance ,act of #aige 7,public ,law #id-afa2 #bb ,u4,s4,c4 #bbbj;a note74 7#b7 ,implementation of debt reduction 7,a7 ,in general ,any debt reduction pursuant to paragraph 7#a7 shall be accomplished at the direction of the ,president by the exchange of a new obligation for obligations of the type referred to in that paragraph4 7,b7 ,exchange of obligations 7i7 ,notification ,the ,president shall notify the agency primarily responsible for administering part ,i of this ,act 7#bb ,u4,s4,c4 #baea et seq47 of an agreement entered into under subparagraph 7,a7 with a country to exchange a new obligation for outstanding obligations4 7ii7 ,cancellation and issuance of new debt ,at the direction of the ,president1 the old obligations that are the subject of the agreement entered into under subparagraph 7,a7 shall be canceled and a new debt obligation for the country shall be established relating to the agreement1 and the agency primarily responsible for administering part ,i of this ,act shall make an adjustment in its accounts to reflect the debt reduction4 7d7 ,authority ,to engage in debt-for-,resilience swaps and debt buybacks 7#a7 ,loans eligible for sale1 reduction1 or cancellation 7,a7 ,debt-for-resilience swaps 7i7 ,sale1 reduction1 and cancellation ,notwithstanding any other provision of law1 the ,president may1 in accordance with this subsection1 sell to any eligible purchaser described in subparagraph 7,b7 loans described in subsection 7c77#a77;,a71 or on receipt of payment from such a purchaser1 reduce or cancel such loans or portion thereof1 only for the purpose of facilitating debt-for-resilience swaps4 7ii7 ,purchase of privately owned debt 7,i7 ,in general ,the ,president may1 in accordance with this subsection1 purchase privately owned debt of an eligible country1 if that debt is purchased for not more than #fe percent of the face value of the debt1 for the purpose of facilitating debt-for-resilience swaps4 7,,ii7 ,use of proceeds ,notwithstanding section #ccjb of title #ca1 ,united ,states ,code1 the proceeds of any purchase under subclause 7,i7-- 7aa7 shall be credited as offsetting collections to the account that finances the activities under this section2 7bb7 shall be available for expenditure only to pay the costs of activities under this section2 and 7cc7 shall remain available until expended4 7,b7 ,eligible purchaser described ,a loan may be sold1 reduced1 or canceled under subparagraph 7,a7 only to a purchaser that presents plans satisfactory to the ,president for using the loan for the purpose of engaging in debt-for-resilience swaps4 7,c7 ,consultation requirement ,before the sale under subparagraph 7,a77i7 to any eligible purchaser described in subparagraph 7,b71 or any reduction or cancellation under subparagraph 7,a77i71 of any loan made to an eligible country1 and before the purchase of privately owned debt under subparagraph 7,a77ii71 the ,president shall consult with the country concerning the amount of loans to be sold1 reduced1 or canceled1 or debt to be purchased1 as the case may be1 and their uses for debt-for-resilience swaps4 7,d7 ,authorization of appropriations ,there are authorized to be appropriated to the ,president such sums as may be necessary to carry out this subsection4 7#b7 ,debt buybacks ,notwithstanding any other provision of law1 the ,president may1 in accordance with this subsection1 sell to any eligible country any loans described in subsection 7c77#a77;,a7 or on receipt of payment from an eligible country1 reduce or cancel such loans or portion thereof1 only for the purpose of facilitating a debt buyback by an eligible country of its own qualified debt in order to support resilience activities4 7#c7 ,terms and conditions ,notwithstanding any other provision of law1 the ,president shall1 in accordance with this subsection1 establish the terms and conditions under which loans may be sold1 reduced1 or canceled pursuant to this subsection4 7#d7 ,deposit of proceeds ,the proceeds from the sale1 reduction1 or cancellation of any loan sold1 reduced1 or canceled pursuant to this subsection shall be deposited in the ,united ,states ,government account or accounts established for the repayment of the loan4 7e7 ,consultations with ,congress ,the ,president shall consult with the appropriate congressional committees on a periodic basis to review the operation of this section and the eligibility of countries for benefits under this section4 7f7 ,annual reports to ,congress 7#a7 ,in general ,not later than ,april #ae of each year1 the ,president shall prepare and submit to ,congress an annual report concerning the operation of this section during the preceding calendar year4 7#b7 ,elements ,each report required by paragraph 7#a7 shall include-- 7,a7 a description of the activities undertaken under this section during the preceding calendar year2 and 7,b7 a description of any agreement entered into under this section4 7g7 ,definitions ,in this section3 7#a7 ,appropriate congressional committees ,the term appropriate congressional committees means-- 7,a7 the ,committee on ,foreign ,relations and the ,committee on ,appropriations of the ,senate2 and 7,b7 the ,committee on ,foreign ,affairs and the ,committee on ,appropriations of the ,house of ,representatives4 7#b7 ,debt-for-resilience swap ,the term debt-for-resilience swap means the reduction of amounts owed to the ,united ,states 7or any agency of the ,united ,states7 by an eligible country in exchange for the commitment of that country to conduct resilience activities4 7#c7 ,eligible country ,the term eligible country means a country determined under subsection 7b7 to be eligible for benefits under this section4 7#d7 ,extreme weather event ,the term extreme weather event means an occurrence of unusually severe weather or climate conditions that can cause devastating impacts on communities and agricultural and natural ecosystems4 7#e7 ,resilience activities ,the term resilience activities means activities undertaken to make changes to processes1 practices1 or structures that moderate potential damage from hazardous events1 trends1 or disturbances associated with extreme weather events and slow-onset climate disasters4 7#f7 ,slow-onset climate disaster ,the term slow-onset climate disaster means an event that evolves gradually from incremental changes occurring over many years or from an increased frequency or intensity of recurring events1 such as sea-level rise1 loss of biodiversity1 desertification1 increasing temperatures1 or ocean acidification4 4 #c4 ,support by international financial institutions for reducing debt load of countries with high vulnerability to extreme weather events and slow-onset climate disasters 7a7 ,in general ,the ,united ,states ,executive ,directors at the international financial institutions shall use the voice and vote of the ,united ,states in those institutions to support eligible countries with high vulnerability to extreme weather events and slow-onset climate disasters by advocating for policies that reduce or restructure the debt load of those countries1 such as by facilitating-- 7#a7 debt forgiveness agreements2 7#b7 debt buybacks2 7#c7 debt-for-resilience and debt-for-nature swaps2 and 7#d7 other similar programs4 7b7 ,definitions ,in this section3 7#a7 ,eligible country ,the term eligible country means-- 7,a7 a low income1 lower-middle income1 or upper-middle income country1 as determined by the ,world ,bank2 or 7,b7 a small island developing state1 as determined by the ,united ,nations4 7#b7 ,international financial institution ,the term international financial institution means each of the following3 7,a7 ,the ,international ,monetary ,fund4 7,b7 ,the ,international ,bank for ,reconstruction and ,development4 7,c7 ,the ,international ,development ,association4 7,d7 ,the ,international ,finance ,corporation4 7,e7 ,the ,multilateral ,investment ,guarantee ,agency4 7,f7 ,the ,african ,development ,fund4 7,g7 ,the ,african ,development ,bank4 7,h7 ,the ,asian ,development ,fund4 7,i7 ,the ,asian ,development ,bank4 7,j7 ,the ,european ,bank for ,reconstruction and ,development4 7,k7 ,the ,inter-,american ,development ,bank 7in this section referred to as ,,idb74 7,l7 ,,idb ,invest4 7,m7 ,the ,north ,american ,development ,bank4 7#c7 ,other terms ,the terms extreme weather event and slow-onset climate disaster have the meanings given those terms in section #ija of the ,foreign ,assistance ,act of #aifa1 as added by section #b4 #d4 ,advocacy for international climate insurance program at ,world ,bank 7a7 ,in general ,the representatives of the ,united ,states to the ,world ,bank shall use the voice and vote of the ,united ,states to advocate for the establishment of a parametric international climate insurance program that provides immediate financial assistance1 in the form of insurance payments1 to eligible countries to meet recovery needs following natural disasters4 7b7 ,elements ,the structure and requirements of the program described in subsection 7a7 shall be determined by the ,world ,bank1 but may include-- 7#a7 payments to-- 7,a7 small producers and vulnerable sectors affected by natural disasters2 and 7,b7 the governments of member countries affected by natural disasters for-- 7i7 program restoration2 7ii7 disaster cleanup2 7iii7 climate adaptation2 7iv7 ecosystem restoration and nature-based solutions2 and 7v7 other recovery efforts2 7#b7 eligibility criteria that are comparable to the eligibility criteria for debt reduction under section #ija7;b7 of the ,foreign ,assistance ,act of #aifa1 as added by section #b2 7#c7 consideration of the aggregate risk of natural disasters across eligible countries to reduce premiums2 and 7#d7 support for existing international climate-related insurance programs such as the ,caribbean ,catastrophe ,risk ,insurance ,facility4 7c7 ,definitions ,in this section3 7#a7 ,eligible country ,the term eligible country means-- 7,a7 a low income1 lower-middle income1 or upper-middle income country1 as determined by the ,world ,bank2 or 7,b7 a small island developing state1 as determined by the ,united ,nations4 7#b7 ,natural disaster ,the term natural disaster means any hurricane1 tornado1 storm1 flood1 high water1 wind-driven water1 tidal wave1 tsunami1 earthquake1 volcanic eruption1 landslide1 mudslide1 snowstorm1 drought1 fire1 or other catastrophe that causes1 or may cause1 substantial damage or injury to civilian property or persons1 ecosystems1 or services of ecosystems4 7#c7 ,world ,bank ,the term ,world ,bank means the following1 collectively3 7,a7 ,the ,international ,bank for ,reconstruction and ,development4 7,b7 ,the ,international ,development ,association4 7,c7 ,the ,international ,finance ,corporation4 7,d7 ,the ,multilateral ,investment ,guarantee ,agency4