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Millennium Challenge Corporation

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S. 2971 – Foreign Relations Authorization Act, Fiscal Years 2010 and 2011

Among other things, the bill authorizes personnel increases at the State Department and the United States Agency for International Development (USAID). The bill also changes the Millennium Challenge Corporation (MCC) by allowing the development of concurrent and subsequent Compacts.

Timeline of the bill:

- Introduced and referred to the Senate Committee on Foreign Relations on January 29, 2010.

- Reported favorably out of the Senate Foreign Relations Committee on April 27, 2010.

MCC CEO Daniel Yohannes testifies before the House Committee on Appropriations on the FY 2011 budget request

During a House Committee on Appropriations, Subcommittee on State, Foreign Operations, and Related Programs, hearing on the FY 2011 budget request for the Millennium Challenge Corporation (MCC), MCC CEO Daniel Yohannes provided an overview of the MCC and the FY 2011 budget request and outlined his three priorities for “achieving MCC’s mission of reducing poverty through economic growth,” including “being innovative,” “leveraging partnerships,” and “delivering results and showing impact.” Yohannes also discussed three proposed legislative changes to the MCC that would: 1) provide concurrent compacts, 2) allow longer compacts, and 3) change the process of partner country selection.

CRS Report – Foreign Aid Reform, National Strategy, and the Quadrennial Review

The report provides an overview of ongoing efforts in both Congress and the Administration to reform U.S. foreign assistance programs. Items reviewed in the report include:

- S. 1524, the Foreign Assistance Revitalization and Accountability Act of 2009;

- H.R. 2139, Initiating Foreign Assistance Reform Act of 2009;

- H.R. 2387, Strategy and Effectiveness of Foreign Policy and Assistance Act of 2009;

- The Quadrennial Diplomacy and Development Review (QDDR); and

- The Presidential Study Directive on U.S. Global Development Policy (PSD).

CRS Report – Foreign Aid: International Donor Coordination of Development Assistance

The report provides a summary of official development assistance (ODA), “discusses coordination goals established by donors at high-level development policy forums, and provides an overview of U.S. efforts to meet these goals. The report concludes by identifying key issues in donor coordination of development
assistance, with an emphasis on the U.S. perspective.”

Secretary Clinton outlines the USG approach to water issues on World Water Day

In a speech commemorating World Water Day, Secretary of State Clinton outlined the U.S. government’s approach to addressing water issues stating that “President Obama and I recognize that water issues are integral to the success of many of our major foreign policy initiatives” including global health efforts. Secretary Clinton highlighted five areas guiding U.S. efforts: capacity building; elevating water in U.S. diplomatic efforts and better coordinating with international organizations; mobilizing financial support; science and technology; and broadening partnerships with NGOs, nonprofits, and the private sector.

Millennium Challenge Corporation releases 2009 Annual Report

The Millennium Challenge Corporation (MCC) released its 2009 Annual Report which “provides an update on the status of all MCC programs worldwide . . . [and] . . . includes highlights of MCC’s work on food security, human development, land rights, gender equality, and other country-led MCC initiatives.”

Administration remarks and actions at the 2010 AGOA Forum includes comments on global health

During opening remarks at the 2010 African Growth and Opportunity Act (AGOA) Forum on U.S.-sub-Saharan Africa Trade and Economic Cooperation, Secretary of State Hillary Clinton discussed the Global Health Initiative (GHI) and Feed the Future and stated the two “initiatives are being closely coordinated to optimize effective nutrition interventions and investments.” Ambassador Ron Kirk also provided remarks and stated “The United States is committed to partnering with Africa to address the challenges of poverty, health, education, conflict, governance, and economic development.” Millennium Challenge Corporation (MCC) Chief Executive Officer (CEO) Daniel Yohannes provided closing remarks where he included health as one of the five focus areas of the Obama Administration’s efforts to promote “responsible development in Africa.”

Also during the AGOA Forum, the U.S. Agency for International Development (USAID) and the African Union (AU) signed a “long-term assistance agreement to advance prosperity, peace, and stability in Africa.”

Senator Webb requests MCC cease funding to non-U.S. companies in Africa

In a letter to Millennium Challenge Corporation (MCC) CEO Daniel Yohannes, Senator Jim Webb expressed concern over awarding MCC development projects to non-U.S. companies in Africa, specifically Chinese state-owned business, and requested MCC “immediately cease action on these and any other projects not awarded to U.S. companies.”