The Secretary of State to
Diplomatic Missions in the American
, November 21,
Negotiation of a General Point Four Agreement
The Secretary of State transmits herewith a draft of a General Agreement for
Technical Cooperation between the United States and countries in which Point
Four programs are current or are proposed. Such an instrument would
represent the basic agreement of the two governments to engage in a general
program of technical cooperation for economic development and would take the
form of a formal agreement to be signed between chiefs of diplomatic
missions and the Foreign Minister, rather than of a simple exchange of
notes. The Department considers that the existence of a general agreement to
cover Point Four operations in the host country would offer a number of
advantages to both countries.
The agreement would afford a framework into which specific projects and
programs can be placed with a minimum of further negotiations and formality.
The several determinations required by section 407(c)
of P.L. 535, for example, could be made in
respect of the country in question mainly if not entirely on the basis of
the undertakings in the agreement, thereby eliminating or greatly reducing
the need for reconsideration of this problem whenever an individual project
is contemplated. Similarly, problems common to all projects and programs
such as taxation of United States personnel and immunity of funds,
materials, and equipment introduced into the host country by the United
States are comprehensively covered. As [Page 871] a result, the arrangements for particular projects and
programs, whether by supplemental agreement, exchange of notes, memoranda of
understanding, or otherwise, could be made with undivided concentration on
the issues and details with which they are involved.
The filing of such an agreement with the Secretariat of the United Nations
would meet the registration requirements of section 406 of P.L. 535.
The Department believes that a general agreement of this kind is highly
desirable at the beginning of a technical cooperation program envisaged by
the Act for International Development unless, in the judgment of the chief
of the diplomatic mission, negotiation of such an agreement would entail
substantial political difficulties or unless there are other impelling
reasons to the contrary. Accordingly, if he encounters no preclusive
obstacles of this nature, the chief of mission is authorized to proceed with
the negotiation of the general agreement as soon as conversations with the
host government have proceeded to the point where it is clear that technical
cooperation will be requested. Where the chief of mission concludes that
circumstances require projects to be undertaken without prior execution of a
general agreement or that changes must be made in the general agreement to
make it acceptable to the host government, recommendations to this effect
should be submitted to the Department for special consideration.
Point Four General Agreement for Technical
Cooperation Between _______ and the United States of America
The Government of the United States of America and the Government of
Have agreed as follows:
Assistance and Cooperation
- The Government of the United States of America and the Government
of ______ undertake to cooperate with each other in the interchange
of technical knowledge and skills and in related activities designed
to contribute to the balanced and integrated development of the
economic resources and productive capacities of ______. Particular
technical cooperation programs and projects will be carried out
pursuant to the provisions of such separate written agreements or
understandings as may later be reached by the duly designated
representatives of ______ and the Technical Cooperation
Administration of the United States of America, or by other persons,
agencies, or organizations designated by the governments.
- The Government of ______ through its duly designated
representatives in cooperation with representatives of the Technical
Cooperation Administration, or other duly designated representatives
of the United States of America, and representatives of appropriate
international organizations will endeavor to coordinate and
integrate all technical cooperation programs being carried on in
- The Government of ______ will cooperate in the mutual exchange of
technical knowledge and skills with other countries participating in
technical cooperation programs associated with that carried on under
- The Government of ______ will endeavor to make effective use of
the results of technical projects carried on in ______ in
cooperation with the United States of America.
- The two governments will, upon the request of either of them,
consult with regard to any matter relating to the application of
this Agreement to project agreements heretofore or hereafter
concluded between them, or to operations or arrangements carried out
pursuant to such agreements.
Information and Publicity
- The Government of ———— will communicate to the Government of the
United States of America in a form and at intervals to be mutually
- Information concerning projects, programs, measures and
operations carried on under this Agreement including a
statement of the use of funds, materials, equipment, and
services provided thereunder;
- Information regarding technical assistance which has been
or is being requested of other countries or of international
- Not less frequently than once a year, the Governments of ———— and
of the United States of America will make public in their respective
countries periodic reports on the technical cooperation programs
carried on pursuant to this Agreement. Such reports shall include
information as to the use of funds, materials, equipment and
- The Governments of the United States of America and ———— will
endeavor to give full publicity to the objectives and progress of
the technical cooperation program carried on under this
Program and Project Agreements
- The program and project agreements referred to in Article I,
Paragraph 1 above will include provisions relating to policies,
administrative [Page 873] procedures,
the disbursement of and accounting for funds, the contribution of
each party to the cost of the program or project, and the furnishing
of detailed information of the character set forth in Article II,
Paragraph 1 above.
- Any funds, materials and equipment introduced into ———— by the
Government of the United States of America pursuant to such program
and project agreements shall be exempt from taxes, service charges,
investment or deposit requirements, and currency controls.
- The Government of ———— agrees to bear a fair share of the cost of
technical cooperation programs and projects.
All employees of the Government of the United States of America assigned
to duties in ———— in connection with cooperative technical assistance
programs and projects and accompanying members of their families shall
be exempt from all ———— income taxes and social security taxes with
respect to income upon which they are obligated to pay income or social
security taxes to the Government of the United States of America, and
from property taxes on personal property intended for their own use.
Such employees and accompanying members of their families shall receive
the same treatment with respect to the payment of customs and import
duties on personal effects, equipment and supplies imported into ————
for their own use, as is accorded by the Government of ———— to
diplomatic personnel of the United States Embassy in ————.
Entry into Force, Amendment, Duration
- This Agreement shall enter into force on the day on which it is
signed. It shall remain in force until three months after either
government shall have given notice in writing to the other of
intention to terminate the Agreement.
- If, during the life of this Agreement, either government should
consider that there should be an amendment thereof, it shall so
notify the other government in writing and the two governments will
thereupon consult with a view to agreeing upon the amendment.
- Subsidiary project and other agreements and arrangements which may
be concluded may remain in force beyond any termination of this
Agreement, in accordance with such arrangements as the two
governments may make.
- This Agreement is complementary to and does not supersede existing
agreements between the two governments except insofar as other
agreements are inconsistent herewith.