Foreign assistance reform is taking shape on Capitol Hill as Senate Foreign Relations Chairman John Kerry (D-MA) and Ranking Member Richard Lugar (R-IN), along with Senators Menendez (D-NJ), Corker (R-TN), Cardin (D-MD), and Risch (R-ID), introduced the bipartisan Foreign Assistance Revitalization and Accountability Act of 2009 this week.  Earlier this year, House Committee on Foreign Affairs Chairman Howard Berman (D-CA) introduced the Initiating Foreign Assistance Reform Act of 2009 to create the first-ever national strategy for global development.   While the two bills are different in their nature and focus, both are steps toward more comprehensive foreign assistance reform.

As the bills move through their respective houses of Congress, important changes to modernize the U.S. Foreign Assistance Act for the 21st century may become a reality.  From the Executive Branch, Secretary of State Hillary Clinton also announced a strategic government-wide review of development and diplomacy efforts calling for a Quadrennial Diplomacy and Development Review (QDDR) modeled after the Defense Department’s Quadrennial Defense Review process.

Side-by-Side of Aid Reform Bills | USGLC Press Statement on QDDR

Senate Foreign Aid Reform Bill

The Senate bill, Foreign Assistance Revitalization and Accountability Act of 2009 (S. 1524), focuses on strengthening USAID so the agency can carry out effective development programs around the world.  In introducing the bill, Senator Kerry said, “I believe this legislation will go a long way toward improving our immediate ability to deliver foreign aid in a more accountable, thoughtful and strategic manner.”  The bill calls for greater planning, evaluation, and implementation capability at USAID.

Another component of the senate bill seeks to improve the monitoring and evaluation of the agency’s programs and creates an organization to examine foreign assistance programs across the entire U.S. government and apply successful lessons and practices to future projects, making U.S. development efforts more effective.  Senator Lugar commented, “Our bill seeks to better evaluate programs, improve coordination among agencies and enhance staff development and training.”

House Foreign Aid Reform Bill

The House bill, Initiating Foreign Assistance Reform Act of 2009 (H.R. 2139), takes a different approach to beginning foreign assistance reform by creating the first-ever National Strategy for Global Development—a plan to assess, streamline, and improve foreign assistance across the government.  While not mentioning structural changes to any specific agencies, the President is directed to develop and implement the strategy to coordinate efforts of 12 departments, 25 different agencies, and nearly 60 government offices all currently involved in development.  The bill also calls for the strategy to demonstrate the connection between development polices and U.S. national interests and align with the National Security Strategy.  Another goal is to provide greater transparency and accountability about foreign assistance programs to the public.

With foreign assistance reform running simultaneously in both houses of Congress and in the Administration, the urgency and willingness to modernize foreign assistance is gaining traction, and look for the USGLC to keep you up-to-date on all of the latest happenings.

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