7 USC 1723 - Generation and use of currencies by private voluntary organizations and cooperatives

View all text of Subchapter III [§ 1721 - § 1726c]

§ 1723. Generation and use of currencies by private voluntary organizations and cooperatives

(a) Local sale and barter of commodities

An agreement entered into between the Administrator and a private voluntary organization or cooperative to provide food assistance through such organization or cooperative under this subchapter may provide for the sale or barter in 1 or more recipient countries, or 1 or more countries in the same region, of the commodities to be provided under such agreement to generate proceeds to be used as provided in this section.

(b) Description of intended uses

A private voluntary organization or cooperative submitting a proposal to enter into a non-emergency food assistance agreement under this subchapter shall include in such proposal a description of the intended uses of any proceeds that may be generated through the sale, in 1 or more recipient countries, or in 1 or more countries in the same region, of any commodities provided under an agreement entered into between the Administrator and the organization or cooperative.

Proceeds generated from any partial or full sale or barter of commodities by a private voluntary organization or cooperative under a non-emergency food assistance agreement under this subchapter may—

(1) be used to transport, store, distribute, and otherwise enhance the effectiveness of the use of agricultural commodities provided under this subchapter;

(2) be used to implement income-generating, community development, health, nutrition, cooperative development, agricultural, and other developmental activities within 1 or more recipient countries or within 1 or more countries in the same region; or

(3) be invested, and any interest earned on such investment may be used, for the purposes for which the assistance was provided to that organization, without further appropriation by Congress.

(July 10, 1954, ch. 469, title II, § 203, 68 Stat. 458; May 28, 1956, ch. 327, title II, § 208(c), 70 Stat. 201; Pub. L. 85–128, § 1(3), Aug. 13, 1957, 71 Stat. 345; Pub. L. 86–341, title I, § 3, Sept. 21, 1959, 73 Stat. 606; Pub. L. 86–472, ch. VI, § 601(b), May 14, 1960, 74 Stat. 140; Pub. L. 87–128, title II, § 202(1), Aug. 8, 1961, 75 Stat. 307; Pub. L. 88–638, § 1(13), (14), Oct. 8, 1964, 78 Stat. 1037; Pub. L. 89–808, § 2(C), Nov. 11, 1966, 80 Stat. 1535; Pub. L. 95–88, title II, § 209, Aug. 3, 1977, 91 Stat. 548; Pub. L. 98–473, title III, § 305, Oct. 12, 1984, 98 Stat. 2195;