H.R. 4862: United States-Jordan Defense Cooperation Extension Act

CBO Score


Date of Report

Wed December 4th, 2019

Legislation Details

116th Congress

To reauthorize the United States-Jordan Defense Cooperation Act of 2015, and for other purposes.

Sponsor: Rep. Theodore Deutch — D — FL

Renews through 2024 the Administration’s authority to expedite military sales to Jordan and to waive or reduce certain surcharges on sales of military equipment from Department of Defense (DoD) stocks. That authority expired in February 2019. The bill also requires the U.S. International Development Finance Corporation to explore purchasing equity in financial entities that invest in projects in Jordan and to report to the Congress on its actions. DoD charges foreign nations for a portion of the cost to develop the items purchased from its inventory. Those collections are deposited into the Special Defense Acquisition Fund; amounts in the fund can be spent—subject to appropriation—to procure, store, and sell defense items that are in high demand. Waiving or reducing those surcharges would reduce the collections that are deposited into the fund, which would be classified as an increase in direct spending. DoD indicated that if it waives the surcharge for some customers it will increase the amount charged to others so that the lost collections would eventually be recouped on subsequent sales. Those effects also would be treated as direct spending. However, the Administration indicated that this authority has not been used because Jordan purchases military equipment through a program that is exempt from those surcharges.

View the full vote history of this bill on GovTrack.us.

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