Attachment 0011- Subsidiary_Agreements_-_Compilation_for_the_Republic_of_the_Marshall_Islands.pdf

Subsidiary Agreements - Compilation for the RMI

Index of Subsidiary Agreements

Appendix I

Federal Programs and Services Agreement

Appendix II

Law Enforcement Agreement

Appendix III

Labor Agreement in Implementation of Section 175(b)

Appendix IV

Fiscal Procedures Agreement

Appendix V

Trust Fund Agreement

Appendix VI

Military Use and Operating Rights Agreement

Appendix VII

Status of Forces Agreement

FEDERAL PROGRAMS AND SERVICES AGREEMENT BETWEEN THE

GOVERNMENT OF THE UNITED STATES AND THE GOVERNMENT OF

THE REPUBLIC OF THE MARSHALL ISLANDS

Concluded Pursuant to

Article III of Title One, Article II of Title Two, (including Section 222), and Section 231 of the Compact of Free Association, as Amended i

Federal Programs and Services Agreement Between the Government of the United States and the Government of the Republic of the Marshall Islands Concluded

Pursuant to Article III of Title One, Article II of Title Two (including Section 222), and Section 231 of the Compact of Free Association, as Amended

Article I Definitions Pgs. 1-1 to 1-2

Article II Legal Status of Programs and Related Services, Federal Agencies, United States Contractors and United States Personnel Pgs. 2-1 to 2-5

Article III Employment of Labor Pgs. 3-1 to 3-2

Article IV Entry and Departure Pgs. 4-1 to 4-2

Article V Implementation of Section 223 of the Compact, as

Amended, and Title To Property Pgs. 5-1 to 5-2

Article VI Postal Services and Related Programs Pgs. 6-1 to 6-5

Article VII Weather Service and Related Program Pgs. 7-1 to 7-3

Article VIII Civil Aviation Safety Service

And Related Programs Pgs. 8-1 to 8-3

Article IX Civil Aviation Economic Services

And Related Programs Pgs. 9-1 to 9-2

Article X United States Disaster Preparedness and Response

Services and Related Programs Pgs. 10-1 to 10-4

Article XI Telecommunications Services and Related

Programs Pgs. 11-1 to 11-7

Article XII Transition and Termination of Services and Related

Programs Pg. 12-1

Article XIII Effective Date, Amendment and Duration Pg. 13-1

Annex A Weather Services and Related Programs Provided by

DOC NOAA National Weather Service Pg. A-1 to A-3

Annex B Agreed Minute Pg. B-1 ii

FEDERAL PROGRAMS AND SERVICES AGREEMENT BETWEEN THE

GOVERNMENT OF THE UNITED STATES AND THE GOVERNMENT OF

THE REPUBLIC OF THE MARSHALL ISLANDS

Concluded Pursuant to

Article III of Title One, Article II of Title Two (including Section 222) and Section 231 of the Compact of Free Association, as amended

This Agreement is concluded by the Signatory Governments and sets forth their respective authority and responsibility for the provision of the services and related programs authorized by Article III of Title One, Article II of Title Two (including any additional U.S. services and related programs authorized in accordance with section 222 of such Article II), section 231 of the Compact of Free Association, as amended (the Compact, as amended), or, where not otherwise provided within the Compact, as amended, any other provision of United States law. Unless otherwise provided within the Compact, as amended, or any other provision of United States law, this Agreement also sets forth the rights, privileges, and immunities of United States Government instrumentalities and personnel, as well as those of non-United States Government entities and personnel who provide any such services and related programs under those provisions of the Compact, as amended, or any other provision of United States law.

Article I

Definitions

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1. The Definition of Terms set forth in Article VI of Title Four of the Compact, as amended, is incorporated into this Agreement.

2. For the purposes of this Agreement only, the following terms shall have the following meanings:

(a) “Federal agency” refers to each department, agency or other instrumentality of the Government of the United States which provides services and related programs in accordance with Title Two of the Compact, as amended or if not otherwise provided, under any other provision of the Compact, as amended including its subsidiary agreements, or any other provision of United States law, including any successor agency or agencies, but does not include:

(1) The Armed Forces of the United States as defined in Article I of the Status of Forces Agreement Concluded Pursuant to Section 323 of the Compact, as amended, or

(2) The Diplomatic Mission and constituent posts, if any, of the

Government of the United States to the Government of the Republic of the Marshall Islands (the “U.S. Diplomatic Mission”).

(b) “United States contractors” means the legal entities, including corporations and natural persons (irrespective of the country of incorporation or citizenship of any such corporation or citizenship of any such natural person), present in the Republic of the Marshall Islands for the purpose of executing their contracts with the Government of the United States (or subcontracts of such contracts), or cooperative agreements, in support of the Federal agencies acting pursuant to Article III of Title One, Article II of Title Two and section 231 of the Compact, as amended, or any other provision of United States law, and who are designated as such by the Government of the United States. The term “United States Contractors” does not include local contractors.

(c) “Local contractors” means the legal entities, including corporations and natural persons, which are organized under the laws of, or which are present in the Republic of the Marshall Islands primarily for purposes other than those set forth in paragraph (b) of this section.

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(d) “United States personnel” means anyone who is included in any of the following categories:

(1) “civilian employees” – all Federal agency personnel, notwithstanding their citizenship or nationality, except local hire personnel, who are in the Republic of the Marshall Islands, and who are in the employ of or serving with a Federal agency and who are employed in any of the activities of such Federal agency;

(2) “contractor personnel” – natural persons, who are United States citizens or nationals or United States permanent resident aliens, except local hire personnel, who are in the Republic of the Marshall Islands, and who are United States contractors or officers or employees of United States contractors; or

(3) “dependents” – the spouses and dependents of persons included in paragraph (2)(d)(1) (including children of such persons who are born after such persons’ arrival in the Republic of the Marshall Islands) who are listed on official United States Government travel orders and the spouses and dependents of persons included in paragraph (2)(d)(2).

(e) “Third country contractor personnel” means natural persons other than

United States contractor personnel or local hire personnel who are in the Republic of the Marshall Islands and who are United States contractors or officers or employees of United States contractors or dependents of any of them.

(f) “Local hire personnel” means any citizen or national of the Republic of the Marshall Islands, whether or not ordinarily residing in the Republic of the Marshall Islands, and any citizen or national of any other country who is ordinarily residing in the Republic of the Marshall Islands, who is employed in the Republic of the Marshall Islands, by Federal agencies or United States contractors.

Article II

Legal Status of Programs and Related Services, Federal Agencies, United States Contractors and United States Personnel

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Article II

Legal Status of Programs and Related Services, Federal Agencies, United States Contractors and

United States Personnel

1. The provision by the Government of the United States of any specific programs and related services to the Government of the Republic of the Marshall Islands, as may be funded by the Government of the United States, pursuant to this Agreement, shall be contingent upon compliance by the Government of the Republic of the Marshall Islands with all applicable provisions of U.S. law, including the provisions of the Compact, as amended (including sections 173 and 223 of the Compact, as amended), as they relate to such program or related service.

2.

(a) Subject to subparagraphs (b) and (c) below, the Government of the United States, Federal agencies, United States contractors, United States personnel, and third country contractor personnel, and their respective assets, income and other property shall be exempt from all taxes, including value added taxes (VAT), and shall be exempt from all customs duties and similar charges on the import and export of articles required for official functions and personal use.

(b) Income received by United States personnel or third country contractor personnel for services with or employment by Federal agencies, and income received by United States contractors under contracts or cooperative agreements in support of United States agencies, and income received by United States personnel, third country contractor personnel or United States contractors from sources outside the territory of the Republic of the Marshall Islands, shall be exempt from any tax, fee or other charge, including income and social security taxes, imposed by the Government of the Republic of the Marshall Islands, except that United States contractor personnel and third country contractor personnel, including dependents who are themselves United States contractor personnel or third country contractor personnel, shall not be exempt from a personal income tax generally applicable within the Republic of the Marshall Islands up to a level of five percent of their annual income derived from their employment in the Republic of the Marshall Islands.

(c) Income derived from and received by United States personnel or third country contractor personnel for services rendered within the Republic of the Marshall Islands other than those specified under subparagraph (b) of this paragraph shall be subject to the personal income tax and social

2-2 security taxes that the Republic of the Marshall Islands would impose on its own citizens who provide such services.

3. United States personnel and third country contractor personnel may import into and export from the Republic of the Marshall Islands furniture, household goods and personal effects for their private use, including all forms of privately owned land, sea and air transportation, free from customs duties, license requirements and other import and export taxes, fees or charges.

4. Animals and plants, including fruits and vegetables, imported by United States personnel and by third country contractor personnel shall be subject to the laws and regulations of the Republic of the Marshall Islands governing inspection of and restrictions on such importations.

5. The Federal agencies, in cooperation with the Government of the Republic of the

Marshall Islands, shall take appropriate measures, including inspection, to prevent importation of contraband and to prevent abuse of privileges granted to United States personnel and third country contractor personnel under this Article.

6. Should property imported into the Republic of the Marshall Islands under the exemptions provided by this Article subsequently be transferred to a person not entitled to such exemptions, such person shall be liable for import duties and other charges according to the laws and regulations of the Government of the Republic of the Marshall Islands. This paragraph is without prejudice to the Government of the Republic of the Marshall Islands adopting laws and regulations that require the giving of notice of such transfer to relevant authorities of the Republic of the Marshall Islands. The Government of the United States and its Federal agencies shall cooperate with the Government of the Republic of the Marshall Islands, as necessary, to prevent abuse of the customs privileges granted under this agreement.

7. Without prejudice to any additional privileges and immunities provided under the

Compact, as amended, civilian employees shall enjoy immunity from civil and criminal process and liability relating to or resulting from any wrongful act or omission done within the scope and in the performance of official duty, except insofar as such immunity is expressly waived by the Government of the United States. Civilian employees who have been arrested in connection with an offense not related to the performance of their official duties in the Republic of the Marshall Islands shall be released to the custody of a United States diplomatic representative in the Republic of the Marshall Islands, unless in the case of a grave crime a competent judicial authority decides that such civilian employees shall remain subject to detention by the local authorities.

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8.

(a) The authorities of the Federal agencies shall pay just and reasonable compensation in settlement of meritorious, noncontractual claims arising out of the wrongful acts or omissions occurring subsequent to the effective date of this Agreement in the Republic of the Marshall Islands of the Federal agencies themselves, or of their civilian employees and local hire personnel, if such act or omission occurred within the scope and in the performance of official duty of the civilian and local hire personnel. All such claims shall be processed and settled by the respective Federal agencies in accordance with the laws and regulations of the United States.

Any such claims which cannot be settled as provided for in this paragraph, and which are espoused by the Government of the Republic of the Marshall Islands, shall be disposed of pursuant to the provisions of Article II of Title Four of the Compact.

(b) Contractual claims against the Federal agencies shall be settled in accordance with the disputes clause of the contract if any, and the laws of the United States relating to the resolution of such disputes. In the absence of such clause, the claims shall be presented to the appropriate United States authority; subject to section 174 of the Compact, as amended, if no settlement is reached, the appropriate court of the United States shall have jurisdiction over such claims.

(c) The Government of the Republic of the Marshall Islands shall present claims arising under this Article to the United States Diplomatic Mission, which shall forward such claims to the Competent Authority of the Federal Agency concerned.

9. Except as otherwise expressly provided in this or any other subsidiary agreement to the Compact, as amended, any dispute arising under this Agreement shall be disposed of exclusively pursuant to the provisions of Article II of Title Four of the Compact.

(a) The Federal agencies shall not be subject to the jurisdiction of the courts of the Government of the Republic of the Marshall Islands under Article VII of Title One of the Compact for any claim under paragraph 8 of this Article arising in the Republic of the Marshall Islands from the acts or omissions of the Federal Agencies occurring subsequent to November 3, 1986. All such claims shall be processed and settled exclusively in accordance with this Article.

(b) Any judgment presented for certification to the United States Court of

Appeals for the Federal Circuit pursuant to section 174 of the Compact, as amended, shall be deemed manifestly erroneous as to law if the claim

2-4 upon which such judgment is based would have been barred by the statute of limitations if such claim had been brought in a court of the United States.

10. For the purposes of carrying out the provisions of this Agreement, the

Government of the United States and the Government of the Republic of the Marshall Islands shall designate Competent Authorities. The Competent Authorities of the Government of the United States and the Competent Authorities of the Republic of the Marshall Islands may communicate directly with each other. In the case of the Government of the United States, the Competent Authority shall be the head of or designee of the Federal agency concerned who shall be designated in writing to the Government of the Republic of the Marshall Islands.

11. The Government of the Republic of the Marshall Islands shall accept as valid, without a test or fee, the operator’s permit or license or military driving permit issued to United States personnel or third country contractor personnel by the Government of the United States, the Governments of the States of the United States of America, its territories and possessions, the District of Columbia, the Commonwealth of Puerto Rico, or the Commonwealth of the Northern Mariana Islands.

12. Official vehicles of the Federal Agencies, vehicles owned or operated by United

States contractors, and privately owned vehicles of United States personnel shall be identified by individual markings or license plates issued by the Government of the United States, the Governments of the States of the United States of America, its Territories and possessions, the District of Columbia, the Commonwealth of Puerto Rico, or the Commonwealth of the Northern Mariana Islands. However, the Government of the United States may use local individual markings or license plates in the Republic of the Marshall Islands.

(a) Official vehicles shall not be subject to the registration or safety inspection laws of the Government of the Republic of the Marshall Islands.

(b) The Armed Forces of the United States may register vehicles of United

States contractors and United States personnel that are not official vehicles, and may inspect such vehicles applying safety standards of general applicability in the Republic of the Marshall Islands. Vehicles so registered and inspected shall be exempt from the registration and safety inspection laws of the Government of the Republic of the Marshall

13. For purposes of this Article the term “vehicles” includes all forms of land, sea and air transportation.

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14. Any reference in this Agreement to a provision of the law of the United States constitutes the incorporation of the language of such provision into this Agreement as such provision is in force on November 3, 1986, or as it may have been or may be amended thereafter on a non-discriminatory basis according to the constitutional processes of the United States.

15. The Government of the United States may use local telecommunication systems and, in determining its uses of such systems, shall take into consideration the cost and security of such systems and the availability of alternate United States systems. The Government of the United States shall encourage the use of local telecommunication systems by United States personnel for non-official purposes.

To the extent that the Government of the Republic of the Marshall Islands establishes telecommunications systems compatible with existing United States Government installations, the Government of the United States and the Government of the Republic of the Marshall Islands may enter into negotiations for a use arrangement which includes normal billing procedures.

Article III

Employment of Labor

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Article III

Employment of Labor

1. In providing services and related programs in the Republic of the Marshall Islands pursuant to Article II of Title Two of the Compact, as amended, any other provision of the Compact, as amended or pursuant to any other provision of United States law, the Federal agencies, United States contractors and local contractors:

(a) may employ persons possessing requisite skills and qualifications.

Employment preference shall be given, without discrimination, to citizens, nationals and persons residing permanently in the Republic of the Marshall Islands, and to citizens, nationals, and lawful permanent residents of the United States. In the employment of such persons pursuant to the preferences set forth in this paragraph, the Federal Agencies and the United States contractors shall exercise their best efforts to employ persons present in the Republic of the Marshall Islands.

(b) shall use, without discrimination, consistent with the laws and regulations of the United States, qualified local contractors and contractors which are legal entities of the United States. The Federal Agencies and United States contractors shall ensure that the specifications and instructions for contract bids shall permit such free and full competition as is consistent with the procurement of the goods and services needed by the Government of the United States.

2. Prior to the employment of third country personnel or the use of third country contractors, the Government of the United States shall notify the Government of the Republic of the Marshall Islands and shall consult, if requested, with that Government as to the availability of qualified local hire personnel or qualified local contractors.

3. The laws and regulations of the Republic of the Marshall Islands shall not apply to the terms and conditions of employment of United States personnel by Federal agencies, or United States contractors. The Government of the Republic of the Marshall Islands shall not require United States personnel, third country contractor personnel or United States contractors to obtain any license, permit or certificate, or to undergo any examination, in connection with the performance of their duties on behalf of Federal agencies.

4. In the employment of local hire personnel by the Federal agencies and United

States contractors, the Government of the United States shall adopt measures

3-2 consistent with the standards of local labor laws to the extent they are compatible with laws, regulations and operational requirements of the United States.

Article IV

Entry and Departure

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Article IV

Entry and Departure

1. The Government of the United States may bring into the Republic of the Marshall Islands:

(a) United States personnel and United States contractors; and

(b) Third country contractor personnel in a manner consistent with those laws of the Republic of the Marshall Islands relating to the exclusion of individual, undesirable aliens and taking into account paragraph 5 of this Article and Article III of this Agreement.

2. United States personnel shall be exempt from the visa laws and regulations of the

Republic of the Marshall Islands. Taking into account paragraph 1(b) of this Article and Article III of this Agreement, applications of third country contractor personnel for visas shall be adjudicated expeditiously. All such personnel shall comply with the medical immunization requirements of the Republic of the Marshall Islands.

(a) No United States personnel or third country contractor personnel shall acquire any right to remain permanently in the Republic of the Marshall Islands solely as a result of their being United States personnel or third country contractor personnel.

(b) United States personnel sha ll be exempt from laws and regulations of the

Republic of the Marshall Islands on the entry, departure, registration and control of aliens and foreign agents.

3. Upon entry into or departure from the Republic of the Marshall Islands, United

States personnel shall have in their possession official orders or documents certifying the status of the individual or group. Such orders or documents shall be shown on request to the appropriate authorities of the Government of the Republic

4. For the purpose of their identification while in the Republic of the Marshall

Islands, all United States personnel described in Article I, paragraph (d)(1) of this Agreement, shall have in their possession a personal identification card authorized by the Government of the United States which shall show the name, date of birth, status, and photograph of the bearer. Such card shall be shown on request to the appropriate authorities of the Government of the Republic of the Marshall Islands.

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5, If the Government of the Republic of the Marshall Islands requests the removal from the Republic of the Marshall Islands of any United States personnel or any third country contractor personnel, the request shall be directed to the United States diplomatic representative. Upon receipt of such request, the United States diplomatic representative shall consult with the Government of the Republic of the Marshall Islands on the appropriate action to be taken regarding removal. If the Government of the United States and the Government of Republic of the Marshall Islands so determine, the person whose removal has been requested shall immediately become subject to the jurisdiction of the Government of the Republic of the Marshall Islands in accordance with its laws.

6. Transportation costs attendant to the departure and removal of third country contractor personnel shall be the responsibility of the Government of the United States.

Article V

Implementation of Section 223 of the Compact, as Amended, and Title to Property

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Article V

Implementation of Section 223 of the Compact, as amended And Title to Property

1. Specific arrangements for the establishment and use by the Government of the

United States of facilities or areas for Federal agencies in the Republic of the Marshall Islands that were in effect before the effective date of this Agreement, as amended, shall continue in effect, unless otherwise mutually agreed. Any specific arrangements for the establishment and use by the United States Government of other facilities or areas for Federal agencies in the Republic of the Marshall Islands shall be set forth in Exchanges of Notes, which, when signed, shall be annexed to this Agreement as an Annex.

2. If, in the exercise of its authority and responsibility under Article Three of Title

One, Title Two of the Compact, as amended, and unless otherwise provided by any other United States law, the Government of the United States requires the use of facilities or areas in the Republic of the Marshall Islands in addition to or in place of those covered in paragraph (1) of this Article, it may request the Government of the Republic of the Marshall Islands to satisfy those requirements through leases or other arrangements. The Government of the Republic of the Marshall Islands shall sympathetically consider any such request and shall establish suitable procedures and provide a prompt response to the Government of the United States.

3. If the Government of the Republic of the Marshall Islands requires for some other purpose the use of facilities or areas which have been provided the Government of the United States pursuant to this Agreement, the Government of the Republic of the Marshall Islands shall request the Government of the United States to accept equivalent facilities or areas. The Government of the United States shall sympathetically consider any such request and provide a prompt response. Any pertinent agreement shall be effected in accordance with paragraph 2 of Article XIV of this Agreement.

4. Title to any property which remains vested in the Government of the United

States pursuant to section 234 of the Compact on the day prior to the effective date of this Agreement, as amended, shall continue after the effective date of this Agreement, as amended.

5. Title to improvements to real property or to any item of equipment or other personal property hereinafter furnished, acquired, supplied, constructed or purchased by or with funds provided by the Government of the United States in connection with the programs and related services set forth in this Agreement is

5-2 vested in the Government of the United States, except where expressly sold or otherwise conveyed.

6. Upon relinquishing facilities or areas designated for Federal agency use, or a portion thereof, whether at the termination of a specific service and its related programs or at an earlier date, the Government of the United States shall not be obligated to restore any such site or portion thereof to its former condition, or to make compensation in lieu of such restoration. The Governments of the United States and the Republic of the Marshall Islands may otherwise agree, based on considerations including the existence of conditions substantially or materially hazardous to human life, health and safety.

7. The Government of the United States has the right to remove any installations or improvements that it has constructed on an area designated for Federal agency use. If any installations or improvements which were constructed at the expense of the Government of the United States are to be left behind after relinquishing facilities or areas designated for Federal agency use, or a portion thereof, the Government of the Republic of the Marshall Islands and the Government of the United States shall consult to determine the residual value, including scrap value, if any, of any such installations or improvements to the Government of the Republic of the Marshall Islands and to agree upon an appropriate method of compensating the Government of the United States for such residual value.

8. Except as may be otherwise expressly agreed, the Government of the United

States, Federal agencies and United States contractors shall retain title to equipment, materials and other movable property brought into or acquired by them in the Republic of the Marshall Islands and may remove such property at any time from the Republic of the Marshall Islands, or dispose of it therein.

Article VI

Postal Services and Related Programs

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Article VI

Postal Services and Related Programs

1. The Government of the Republic of the Marshall Islands shall maintain responsibility pursuant to its laws and regulations for all local postal services.

2. The Government of the Republic of the Marshall Islands shall be responsible for all its own postal staff, facilities and equipment.

3. The Government of the Republic of the Marshall Islands shall issue postage stamps and other prescribed postal indicia which shall be used for prepayment of postage rates and other postal charges on all mail originating in its territory, except for mail sent through the military postal system provided for in Article VII of the Status of Forces Agreement Concluded Pursuant to Section 323 of the Compact of Free Association.

4. The United States Postal Service shall provide the following services for the

Republic of the Marshall Islands for a period of 20 years commencing on the effective date of this Agreement without compensation by The Government of the Republic of the Marshall Islands; provided that the United States Postal Service is reimbursed for the provision of such services from funds appropriated by the United States Congress in implementation of this agreement:

(a) The United States Postal Service shall maintain a reasonable and cost effective level of service for conveyance of mail to and from the United States and between the exchange offices of the Republic of the Marshall Islands as designated in paragraph 7, and

(b) dispatch, documentation, statistical, accounting, and settlement operations in connection with the international exchange of mail with other countries.

Express Mail without a guarantee (EMS); registered mail; insured parcel service;

recorded delivery and money orders shall be made available only as provided in a further agreement to be negotiated with the United States Postal Service. COD (cash on delivery) orders will no longer be available.

5. The Government of the Republic of the Marshall Islands shall undertake to protect the postal services provided by the Government of the United States from exploitation for the monetary gain of private or government organizations or of individuals or of commercial enterprises, including the posting of bulk mail, books, catalogues, goods or materials.

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The Government of the United States shall provide mail service pursuant to this Agreement with the understanding that the volume of mail may increase in proportion to population increases and ordinary growth of local commercial enterprise. Should an increase in the volume of mail of ten percent or more within a twelve-month period be anticipated or experienced by The Government of the Republic of the Marshall Islands, the Government concerned shall enter into a separate agreement with the Government of the United States which shall establish the amount of reimbursement to be paid to the Government of the United States for the volume in excess of ten percent.

At the discretion of the United States Postal Service and under such terms and conditions as the United States Postal Service may require, including financial accountability and volume limits, mail bearing postage of the Republic of the Marshall Islands may be accepted at one or more post offices designated by the United States Postal Service within the fifty United States as if it were accepted and mailed from the Republic of the Marshall Islands. Mail accepted at such a designated post office within the continental United States on behalf of the Republic of the Marshall Islands shall not be included when calculating volume growth. The Republic of the Marshall Islands may use their own stamps, but can only use this type of postage for the commercial advancement of their philatelic initiatives.

6. The Government of the Republic of the Marshall Islands shall ensure that all mail turned over to the United States Postal Service for conveyance to the United States or other countries complies with the postal conventions to which the United States adheres and with the postal laws and regulations of the United States.

International documentation (parcel bills for registered and insured parcels, letter bills for registered letters, and AV-7/CN-38 manifests for Express Mail) shall be required for those special services provided between the exchange offices of the Republic of the Marshall Islands and designated exchange offices of the United States. Pursuant to paragraph 14 of this Article, the Government of the United States shall, upon request, assist The Government of the Republic of the Marshall Islands in developing local practices and procedures to fulfill the requirements of this paragraph.

7. Except as noted in paragraph 5, pursuant to this Agreement, mail shall be exchanged at the exchange offices designated in this paragraph and outgoing mail from the Republic of the Marshall Islands shall be merged with United States mail for conveyance to the United States or to other countries. Such outgoing mail from the Republic of the Marshall Islands shall be treated as though it were mail from the United States for dispatch, documentation, statistical, accounting and settlement operations with other countries. The designated exchange office shall be located in Majuro, the Republic of the Marshall Islands.

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8. The Government of the Republic of the Marshall Islands may determine postal rates for internal mail to local addresses within the Republic of the Marshall

9. After the effective date of this agreement, The Government of the Republic of the

Marshall Islands shall be responsible for determining the postal rates for mail being sent from addresses in the Republic of the Marshall Islands to addresses in the United States and to other countries. The floor established for postage rates of mail from the Republic of the Marshall Islands to the United States shall be the published United States domestic postage rates at the time. The floor established for postage rates of mail from the Republic of the Marshall Islands to other countries, shall be the published United States standard international postage rates at the time. The Government of the Republic of the Marshall Islands may agree to establish a floor of United States domestic postage rates for mail exchanged between addresses of the Republic of the Marshall Islands, the Federated States of Micronesia, and the Republic of Palau. After the effective date of this Agreement, the United States Postal Service may establish special cost-related international rates or may opt to establish standard international rates and classifications for mail from the United States to the Republic of the Marshall Islands, provided that international rates will be phased in over a period of not less than five (5) years, beginning no sooner than 2006.

10. Revenues derived from the sale of stamps issued by The Government of the

Republic of the Marshall Islands for postal services or for philatelic purposes shall be retained by The Government of the Republic of the Marshall Islands. The Government of the Republic of the Marshall Islands agrees to provide, pursuant to their constitutional processes, adequate funding for the operation of their postal services in a manner which will allow the United States Postal Service to perform its responsibilities under this Agreement in an efficient and economical manner, with any disputes arising under this paragraph to be resolved pursuant to Article II of Title Four of the Compact.

11. Liability for the loss of registered and insured items (as may be further agreed to pursuant to paragraph 4) shall rest with the Government which, having received it without comment, cannot prove either delivery to the addressee or correct transfer to another administration. Pursuant to paragraph 14 of this Article, the Government of the United States shall, upon request, assist The Government of the Republic of the Marshall Islands in developing local practices and procedures to fulfill the requirements of this paragraph.

12. The Government of the Republic of the Marshall Islands shall not impose any terminal dues or other charges on the United States Postal Service or the postal administrations of any other governments for mail conveyed to the Republic of

6-4 the Marshall Islands by the United States Postal Service pursuant to this Agreement.

13. One year from the effective date of the Agreement, the Republic of the Marshall

Islands shall discontinue the sale of Postal Money Orders on USPS forms in accordance with USPS regulations. One year from the effective date of this Agreement, the Republic of the Marshall Islands shall return to the United States Postal Service all devices used for the imprinting of Postal Money Orders and shall remit to the United States Postal Service all amounts collected in conjunction with the issuance of Postal Orders issued on USPS forms, including the Postal Money Order fees. Within one year following the effective date of this Agreement, the United States Postal Service shall enter into discussions with the Republic of the Marshall Islands for the exchange of Postal Money Orders under separate Money Order Agreements.

14. Pursuant to this Agreement, the United States Postal Service may provide such technical assistance (including technical assistance to provide any employee training) as the United States Postal Service and appropriate officials authorized to act on behalf of The Government of the Republic of the Marshall Islands mutually agree to be necessary and appropriate. This technical assistance would not require compensation from the Republic of the Marshall Islands, provided that the United States Postal Service is reimbursed the costs of such technical assistance from funds appropriated by the United States Congress. In addition, appropriate officials of the Republic of the Marshall Islands shall consult with the United States Postal Service with regard to fiscal planning and postal administration for the purpose of promoting economical and efficient postal services and programs.

15. United States Postal Service Inspectors, in concert with the Republic of the

Marshall Islands law enforcement agencies, shall be authorized to investigate any incident, issue or claim regarding mail originating from the United States destined for the Republic of the Marshall Islands, and to seek reimbursement (as pursuant to paragraph 14) for any cost associated with such investigations.

16. The obligations of the Governments signatory to this Agreement under this

Article shall terminate 20 years after the effective date of this Agreement. Prior to the termination of this Agreement, the United States Postal Service and The Government of the Republic of the Marshall Islands shall enter into bilateral arrangements to establish mutually acceptable terms and conditions for the exchange of the mail between the United States and the Republic of the Marshall

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17. As mutually agreed, the United States shall assist The Government of the

Republic of the Marshall Islands in acquiring membership in relevant international or regional postal organizations.

Article VII

Weather Service s and Related Programs

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Article VII

Weather Services and Related Program

1. The United States Department of Commerce's National Oceanic and Atmospheric Administration's (NOAA) National Weather Service (hereafter referred to as the National Weather Service) shall, subject to the availability of funds appropriated for that purpose, provide weather services and related programs in the Republic of the Marshall Islands (RMI) as described in this Article at the levels equivalent to those available during the year prior to the effective date of the Compact, as amended.

2. These services and related programs shall be provided pursuant to:

(a) the provisions of 15 U.S.C. 313 et seq.; the International Aviation

Facilities Act 49 U.S.C. 1151 et seq. and section 803 of the Federal Aviation Act of 1958, 49 U.S.C. 44720;

(b) other provisions of the laws of the United States to the extent they expressly apply to the National Weather Service;

(c) weather treaties and other international weather agreements to which the

United States is a party;

(d) applicable Executive Orders of the President of the United States; and

(e) implementing National Weather Service regulations.

3. The Government of the Republic of the Marshall Islands may issue weather forecasts under such terms as may be mutually agreed with the National Weather Service. The Government of the United States shall, however, continue to provide public, marine and aviation weather forecasts and severe weather warnings.

4. The Government of the Republic of the Marshall Islands is encouraged to take such transitional actions as may be necessary to prepare for the establishment and support of its own weather service. Such transitional actions may be initiated at any time prior to termination of the Compact pursuant to Article IV of Title Four of the Compact, as amended, or prior to termination of this Article pursuant to Article XIII of this Agreement. At the request of the Government of the Republic of the Marshall Islands, prior to the establishment of the Government's weather service, the National Weather Service shall provide advice in the development of the weather service.

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5. The National Weather Service shall provide weather services and related programs pursuant to this Article, in part, through the Weather Service Office (WSO) established on Majuro, Republic of the Marshall Islands.

(a) The National Weather Service and the Government of the Republic of the

Marshall Islands shall, in an Exchange of Letters, set forth the duties and qualifications of employees and provide procedures to reimburse the Government of the Republic of the Marshall Islands for materials and for salaries and other expenses incurred in the performance of these duties;

and

(b) The Government of the United States shall reimburse the Government of the Republic of the Marshall Islands for costs incurred under this paragraph.

6. As required to implement the services and related programs provided pursuant to this Article or to meet technological change, the National Weather Service shall train employees of the Government of the Republic of the Marshall Islands assigned to weather stations. The Government of the United States shall reimburse the Government of the Republic of the Marshall Islands for costs incurred for training approved by the National Weather Service.

7. The National Weather Service shall inspect all WSOs and Supplemental Aviation

Weather Reporting Station (SAWRS) observing sites to assure the quality of meteorological operations.

8. The National Weather Service shall provide and maintain WSOs pursuant to

Article V of this Agreement, including meteorological observatories and other buildings, and shall maintain and replace meteorological and other equipment of the National Weather Service.

9. The National Weather Service shall provide the supplies and expendables required for the operation of its programs and related services.

10. Pursuant to Article III, Title One of the Compact, as amended, the radio operating frequencies in the bands 401-406 MHz and 1660-1700 MHz shall be protected by the Government of the Republic of the Marshall Islands in order to ensure their interference-free use for rawinsonde observations, in accordance with the provisions of Radio Regulations annexed to the International Telecommunication Convention. Other radio operating frequencies may be substituted for those set forth in this paragraph by agreement of the Government of the Republic of the

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11. The Government of the Republic of the Marshall Islands, in order to assure that it receives the most current meteorological information and that such information will be available on a global basis, shall as a public service provide, at a reduction from normal commercial rates, continuing access to its telecommunications services, for meteorological traffic to and from Guam and such other points as may be designated by the Government of the United States.

12. The National Weather Service shall provide weather services and related programs in Majuro, the Republic of the Marshall Islands to the extent that the National Weather Service determines that such services and related programs are necessary to meet requirements for safe and efficient operation of United States air carriers engaged in international and domestic air service at the Amata Kabua International Airport. To this end, the National Weather Service shall train employees of the Government of the Republic of the Marshall Islands as Supplemental Aviation Weather Reporting Station (SAWRS) personnel to enable such employees to provide required weather reporting services pursuant to this paragraph. The National Weather Service shall not be responsible for providing reimbursement to the Government of the Republic of the Marshall Islands for the SAWRS personnel costs, including salaries and expenses, incident to the provision of weather services in Majuro pursuant to this paragraph.

13. As the availability of logistic support and finances permit, the National Weather

Service will install and operate a network of satellite reporting automatic weather stations within the Republic of Palau, the Federated States of Micronesia, the Commonwealth of the Northern Mariana Islands and the Republic of the Marshall Islands in support of the forecasting operations of the Joint Typhoon Warning Center and the Regional Specialized Meteorological Center Tokyo-Typhoon Center.

14. The Government of the Republic of the Marshall Islands will provide logistic support for the installation and maintenance of the elements of this network within the Republic of the Marshall Islands, resources permitting, and the National Weather Service will reimburse the Government for the cost of this support.

15. Annexed to this agreement are further details of weather services and related programs to be provided by the National Weather Service to the Republic of the

Article VIII

Civil Aviation Safety Service and Related Programs

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Article VIII

Civil Aviation Safety Services and Related Programs

1. The Government of the United States and the Government of the Republic of the Marshall Islands agree that the Federal Aviation Administration (FAA) shall provide aviation safety services in the Republic of the Marshall Islands in accordance with this Article, subject to the availability of appropriated funds, with the common desire to:

(a) promote the common interests of the Government of the United States and the Government of the Republic of the Marshall Islands in fostering safe and efficient air service; and

(b) provide advice and guidance to aviation safety statutory and regulatory regimes and aviation safety authorities of the Government of the Republic

2. The Administrator of the Federal Aviation Administration may determine, after consultation with the Government of the Republic of the Marshall Islands, the appropriate level of services and related programs that the Federal Aviation Administration shall provide under the Compact, as amended, and this Agreement, provided the levels of services and related programs are consistent with the principles and objectives of the Compact, as amended, and this Agreement, including paragraphs 1 above and paragraphs 3 and 5 below.

3. On behalf of the Government of the Republic of the Marshall Islands, the

Government of the United States shall provide aviation safety services in the Republic of the Marshall Islands as follows:

(a) en route air traffic services within that air space including the Republic of the Marshall Islands for which the Government of the United States has responsibility under the appropriate regional air navigation plan approved by the International Civil Aviation Organization (ICAO);

(b) flight inspection and ground certification of nondirectional beacons and distance-measuring equipment, and periodic review and evaluation of the need for, and the maintenance, modification, improvement or replacement of, nondirectional beacons, distance-measuring equipment and other aviation navigational systems in the Republic of the Marshall Islands (The nondirectional beacons and distance-measuring equipment shall be removed from service when the need for them no longer exists.); and

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(c) development and updating of instrument approach procedures, standard instrument departure procedures and standard terminal arrival routes for airports in the Republic of the Marshall Islands, and issuance of appropriate Notices to Airmen.

4. The Government of the Republic of the Marshall Islands, pursuant to Section 471 of the Compact, as amended shall take all necessary steps to ensure the conformity of laws, regulations and administrative procedures with the provisions of this Article.