Use of Section 614 To Provide Assistance to Colombia

President Clinton authorized up to $30 million in Foreign Military Financing sales/credits to Colombia and up to $600,000 in FY1997 security assistance, using section 614 of the Foreign Assistance Act to bypass normal statutory restrictions. The determination was directed to the Secretary of State for congressional notification and Federal Register publication.

Federal Register Open PDF 62 FR 47907

Impact dates

Date TBD
Secretary of State to report determination to Congress and arrange Federal Register publication

Market exposure

Policy exposure mapping — not investment advice. Illustrative public companies are incomplete and not recommendations.

Sectors

Defense primes

Mechanisms

Subsidy / incentiveProcurement

Role pressure

ProtectiveDomestic producer — US defense contractors eligible for $30M Foreign Military Financing sales to Colombia, financed through US government credits

Geographies

Illustrative public companies

Curated watchlist matches by sector/role — incomplete; not a recommendation.

BABoeingGDGeneral DynamicsLMTLockheed MartinNOCNorthrop GrummanRTXRTX

Confidence: medium · Policy alerts

Key directives

Authorize up to $30 million in Foreign Military Financing sales and credits to Colombia under section 614(a)(2) waiver
Authorize up to $600,000 in FY1997 Chapter 5 part II security assistance to Colombia under section 614(a)(1) waiver
Secretary of State to report determination to Congress
Secretary of State to arrange Federal Register publication

Who is ordered

Secretary of State · Department of State

Timeline

Immediate

Authorization of $30M in Foreign Military Financing sales/credits to Colombia
Authorization of $600K in FY1997 security assistance funds

Near term (90d)

Secretary of State to report determination to Congress
Federal Register publication arranged

Long term

Potential precedent for section 614 waivers for Colombia and other countries

Risks & tensions

Section 614 waiver bypasses normal congressional restrictions on foreign assistance, creating executive-legislative tension
Vague 'vital to national security'/'important to security interests' determinations provide broad precedent for future waivers
Document does not specify conditions or end-use monitoring for military assistance