March 6, 1973
Page 6598
UNITED STATES-ISRAEL BI-NATIONAL FOUNDATION
Mr. MUSKIE: Mr. President, last September an agreement was signed by the United States and Israel to establish a new United States-Israel Bi-National Science Foundation. The purpose of the foundation is to give Israeli scientists approximately $4.2 million annually to support basic research, much of it of interest to the United States.
By the terms of last September's accord, the United States and Israel agreed to finance jointly the cost of establishing the foundation. The United States is to pay $30 million and Israel another $30 million, each in Israeli pounds. Israel's share is a cash donation out of budget funds, and the U.S. Government's share will consist of prepayments by Israel of Public Law 480 loans which were due in the period 1988 to 2001.
Because there has been some misunderstanding concerning the Israeli contribution to this joint enterprise, I ask unanimous consent that the following article from Near East report be printed in the RECORD at this point.
There being no objection, the article was ordered to be printed in the RECORD, as follows:
[From the Near East Report, Feb. 21, 1973]
FACTS ON SCIENCE FOUNDATION
Two weeks ago the Near East Report published an article by Mary Ann Riegelman on the new U.S.-Israel Binational Science Foundation, pointing out that the United States and Israel were each contributing $80 million in Israel pounds.
By coincidence, another publication, Science & Government Report, which described itself as "The Independent Bulletin of Science Policy," carried erroneous information which implied that the United States was the sole contributor. Senators J. W. Fulbright, Chairman of the Senate Foreign Relations Committee, and George Aiken, the Committee's ranking Republican member, then joined in a letter of complaint to Secretary of State William P. Rogers.
The Department of State's Sept. 27, 1972 release made it clear that both countries were making equal contributions. It stated:
"The United States and Israel will each provide the equivalent of $30 million in Israeli pounds for the Foundation's endowment. The U.S. contribution will consist of prepayments by Israel of Public Law 480 loans which were due in the period 1988– 2001."
And on Feb. the Near East Report reported:
"Israel's $30 million is a cash donation out of budget funds. The entire $30 million – deposited on Oct. 2, 1972 – will sit in the Bank of Israel; a 3.5 percent interest rate guaranteed by the Israel government will provide the Foundation's basic operating income of approximately $2.1 million per annum. The Foundation is also empowered to receive funds, property and services."