119-hr1114

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1114 Introduced in House

    (IH) ]

<DOC>

119th CONGRESS
 1st Session
 H. R. 1114

 To authorize the establishment of a Haitian American Enterprise Fund 
 for Haiti, and for other purposes.

_______________________________________________________________________

 IN THE HOUSE OF REPRESENTATIVES

 February 7, 2025

Mrs. Cherfilus-McCormick (for herself, Ms. Schakowsky, and Mr. Jackson 
 of Illinois) introduced the following bill; which was referred to the 
Committee on Foreign Affairs, and in addition to the Committee on Ways 
 and Means, for a period to be subsequently determined by the Speaker, 
 in each case for consideration of such provisions as fall within the 
 jurisdiction of the committee concerned

_______________________________________________________________________

 A BILL

 To authorize the establishment of a Haitian American Enterprise Fund 
 for Haiti, and for other purposes.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``L'Ouverture Economic Development 
Plan for Haiti Act of 2025''.

SEC. 2. FINDINGS.

 Congress finds the following:

    (1) The General Secretariat of the Organization of the 
 American States stated in 2022, ``The international community, 
 international financial institutions, the multilateral system, 
 and the international financial community of donor countries 
 must make a decision: whether they want to industrialize Haiti 
 sufficiently to ensure work for nine million Haitians, or 
 whether it is economically more profitable to continue 
 absorbing Haitian migrants and let host countries accommodate 
 them as and how they can and in such economic conditions as 
 they can offer.''.

    (2) Rather than building upon the ongoing lucrative trade 
 relations with a newly independent Republic of Haiti in 1804, 
 the United States decided to impose a trade embargo on the 
 nascent state in 1806 because Haiti's independence ended 
 chattel slavery in its land and perceived it as a threat 
 because it became the world's first Black republic.

    (3) After its independence, Haiti was made to pay an 
 indemnity to France, its former colonial power, beginning in 
 1825, for breaking away from slavery, which amounts to at least 
 $21,000,000,000 today, setting the stage for Haiti's dire 
 impoverishment today.

    (4) Haiti's independence from France in 1804 directly 
 resulted in France selling the bulk of its possessions in 
 mainland North America in what became the Louisiana Purchase, 
 fueling the westward expansion of the young United States to 
 the Pacific Ocean in what is today States such as Arkansas, 
 Colorado, Iowa, Louisiana, Kansas, Montana, Missouri, and 
 Nebraska.

    (5) Despite a tortured relationship, Haiti has long been a 
 reliable partner of the United States. For example, after the 
 bombing of Pearl Harbor in 1941, Haiti was among the first 
 nations to join the United States in World War II and 
 contributed funds to the United States effort.

    (6) Haiti bears a strategic importance to the United States 
 due to its location in the Western Hemisphere.

    (7) Haitian Americans continue to make important 
 contributions to the United States economy and have played a 
 significant role in education, health care, literature, 
 politics, art, and culture.

    (8) The Bureau of the Census estimates that the Haitian-
 American population is 1.2 million, which many believe may be 
 severely undercounted, as persons of Haitian descent have been 
 coming to the United States since prior to the founding of the 
 United States.

    (9) The Haitian American population plays a vital role in 
 Haiti's development efforts, leveraging their resources, 
 expertise, and networks to support education, technology, 
 sustainable development, resilience, and prosperity in the 
 country and could do much more in partnership with the United 
 States Government.

    (10) According to the World Bank, the Haitian diaspora sent 
 over $4,000,000,000 in remittances to Haiti in 2023, equaling 
 more than one-fifth of the country's gross domestic product 
 with these remittances having a crucial role in Haiti's 
 economy, providing a steady source of income for families in 
 Haiti, contributing to poverty reduction, amounting to more 
 than the sum of yearly foreign assistance to the country.

    (11) Haiti has played a pivotal role in Afro-descendants' 
 struggle for American values such as freedom in America, the 
 Caribbean, and African countries, including the Haitian 
 American leaders such as W.E.B. DuBois, cofounder of the 
 National Association for the Advancement of Colored People, who 
 have contributed to the Civil Rights movement in the United 
 States and across the world.

    (12) Assisting Haiti with a well-processed development 
 program leading to sustainable economic development that keeps 
 Haitians at home is in the vital interest of the United States.

    (13) The United States should assist Haiti in establishing 
 sustainable inclusive development to meet the needs of all of 
 its people, instead of being drawn to the lure of debt-trap 
 driven development promoted by the People's Republic of China.

    (14) According to the United Nations Conference on Trade 
 and Development, Haiti will need, at minimum, an estimate of 
 $19,300,000,000 (in 2020/2021 dollars) to meet key development 
 metrics including to--
        (A) achieve 7 percent annual GDP growth;
        (B) eliminate extreme poverty;
            (C) double manufacturing growth;
            (D) improve health and well-being;
        (E) improve quality primary and secondary formal 
 education leading to relevant and effective learning 
 outcomes; and
        (F) protect environmental biodiversity.

SEC. 3. PURPOSES.

 The purposes of this Act are to promote and facilitate--

    (1) development of the Haitian private sector, particularly 
 micro, small, and medium businesses, the agriculture, 
 biodiversity, construction, energy, finance, manufacturing, and 
 tourism industries, and U.S.-Haitian joint ventures, including 
 the Haitian-American diaspora;

    (2) policies and practices conducive to Haitian private 
 sector development through equity investments, feasibility 
 studies, grants, guarantees, insurance, loans, technical 
 assistance, and training;

    (3) an economic environment conducive for an accountable, 
 transparent, and sustained democratic system of governance in 
 Haiti, inclusive for its people, in coordination with the 
 Global Fragility Act of 2019 (

section 501 of title V of 
 division J of Public Law 116-94; Stat. 3060); and

    (4) policies that engender conditions for an industrialized 
 Haiti sufficient to ensure work at full employment levels 
 meeting United Nations medium to high human development from 
 human development index indicators for the people of Haiti, 
 thereby reducing irregular migration flows from the country, a 
 United States national security concern.

SEC. 4. STATEMENTS OF POLICY.

 It is the policy of the United States to support the sustainable 
rebuilding and development of Haiti in a manner that--

    (1) recognizes that the United States has longstanding 
 historical, economic, and cultural ties to Haiti, with millions 
 of Americans tracing their heritage to the country, and has a 
 vested interest in Haiti's stability and development;

    (2) recognizes Haitian independence, self-reliance, and 
 sovereignty;

    (3) acknowledges that it is in the United States national 
 and regional security interest to assist a stable, democratic 
 and prosperous Haiti that will consequently reduce irregular 
 migration, regional crime, narcotics proliferation, and 
 insecurity;

    (4) supports the restoration of democratic governance in 
 Haiti through free, fair, and transparent elections as an 
 essential condition for reestablishing lasting security, 
 economic development, and the national interests of Haiti and 
 the United States by--
        (A) supporting the self-determination of the 
 Haitian people and recognizing that the sovereign and 
 national right of the citizens of Haiti must be 
 exercised free of interference;
        (B) acknowledging that any political transition 
 must come from a Haitian-led solution; and
            (C) opposing any efforts to destabilize the state 
 of Haiti;

    (5) supports democratic transition, the strengthening of 
 institutions, good governance, and the rule of law in Haiti 
 by--
        (A) assisting in strengthening Haiti's 
 institutions, judiciary system, governance structures 
 and mechanisms to better respond to the needs of 
 Haitians;
        (B) supporting anticorruption efforts;
            (C) promoting press freedom;
            (D) supporting the empowerment of Haitian civil 
 society;
        (E) improving transparency and the independence of 
 the media;
        (F) preventing favorable treatment or influence on 
 behalf of any individual, entity, or party in the 
 selection by the Haitian people of their future 
 government; and
        (G) reducing violence against women and children 
 and addressing human rights concerns, including through 
 the enforcement of sanctions imposed in accordance with 
 the Global Magnitsky Human Rights Accountability Act 
 (22 U.S.C. 2656 note) on individuals implicated in 
 human rights violations and corruption;

    (6) improves Haiti's security by--
        (A) supporting the goals of the U.S. Strategy to 
 Prevent Conflict and Promote Stability 10-Year Plan for 
 Haiti report, a derivative of the Global Fragility Act 
 of 2019;
        (B) supporting continued funding of the Haitian 
 National Police;
            (C) supporting Haiti's and international efforts to 
 assist the Haitian National Police in combating 
 internal insecurity, including gang violence;
            (D) stemming the flow of illicit firearms 
 trafficking from the United States to the Caribbean, 
 including Haiti;
        (E) encouraging the development of civilian 
 oversight of the Haitian National Police;
        (F) encouraging the Haitian National Police to 
 respect human rights and uphold anti-corruption 
 measures in its practices; and
        (G) encouraging a Disarmaments, Demobilization, and 
 Reinsertion program to reduce criminality and protect 
 the youth;

    (7) addresses humanitarian needs by providing appropriate 
 forms of assistance, such as humanitarian assistance, to the 
 people of Haiti by addressing urgent food security, health, and 
 education needs as well as protecting women and children;

    (8) spurs economic development by--
        (A) leveraging public and private source funding to 
 address Haiti's long term development goal and 
 achieving United Nations Sustainable Development Goals;
        (B) helping, creating, and enabling an environment 
 that facilitates trade and investment in Haiti;
            (C) assisting in building the resilient and 
 supportive physical infrastructure sector required for 
 a stable and prosperous country, including country-wide 
 access to reliable electricity, passable roads, ports, 
 railroads, water, sanitation and health programs and 
 digital infrastructure;
            (D) reducing poverty and building prosperity by 
 providing capacity building support to promote 
 entrepreneurship and support small and medium-sized 
 enterprises, including participation of Haitian women 
 and youth in governmental and nongovernmental 
 institutions and in economic development and governance 
 assistance programs funded by the United States;
        (E) supporting trade preferences with Haiti, 
 including the preferences created through the Haitian 
 Hemispheric Opportunity Through Partnership Act of 2006 
 (title V of division D of Public Law 109-432; 120 Stat. 
 3181) and the Haiti Economic Lift Program Act of 2010 
 (19 U.S.C. 2703 et seq.);
        (F) assisting in building the long-term capacity of 
 the Government of Haiti, civil society, local resource 
 mobilization in Haiti, and the private sector to foster 
 economic opportunities in Haiti; and
        (G) fostering collaboration and activities between 
 the Haitian diaspora in the United States, including 
 dual citizens of Haiti and the United States, and the 
 Government of Haiti, local resource mobilization in 
 Haiti, and the business community in Haiti;

    (9) encourages other countries, along with bilateral and 
 multilateral organizations, to provide similar assistance and 
 to work cooperatively with such countries and organizations to 
 coordinate such assistance; and

    (10) respects and helps restore the natural resources of 
 Haiti and strengthens community-level resilience to 
 environmental and weather-related impacts.

SEC. 5. HAITIAN AMERICAN ENTERPRISE FUND FOR HAITI.

    (a) Designation.--The President may designate a private, nonprofit 
organization (as described in 

section 501
            (c) (3) of the Internal Revenue 
Code of 1986 and exempt from tax under 

section 501

    (a) of such code) as 
the Haitian American Enterprise Fund for Haiti (in this Act referred to 
as the ``Enterprise Fund''), if the President--

    (1) determines that such organization has the ability to 
 carry out the activities described in 

section 7; and

    (2) has consulted with the Speaker and the minority leader 
 of the House of Representatives and the majority leader and the 
 minority leader of the Senate regarding such designation.

    (b) Operation.--Upon the designation of the Enterprise Fund under 
subsection

    (a) , the Chief Executive Officer of the United States 
International Development Finance Corporation shall operate such Fund.
            (c) Consultation.--The Chief Executive Officer may consult and 
coordinate with the Administrator of the United States Agency for 
International Development regarding the Enterprise Fund.
            (d) Private Character of Enterprise Fund.--Nothing in this Act may 
be construed to make--

    (1) the Enterprise Fund an agency or establishment of the 
 United States Government; or

    (2) the officers and employees of the Enterprise Fund or 
 members of the Oversight Panel officers or employees of the 
 United States for purposes of title 5, United States Code.

SEC. 6. OVERSIGHT PANEL.

    (a) In General.--The Enterprise Fund shall be monitored by a Board 
of Directors Oversight Panel (hereafter referred to as the ``Oversight 
Panel'') composed of 9 members.

    (b) Composition.--

    (1) Appointments by chief executive officer.--The Chief 
 Executive Officer shall appoint to the Oversight Panel--
        (A) 5 individuals who are not employed by the 
 Federal Government and--
            (i) are citizens of the United States; or
            (ii) are citizens of the Republic of Haiti 
 who--
            (I) primarily reside in the United 
 States; and
            (II) have demonstrated respect for 
 democracy and a free-market economy; 
 and
        (B) 2 individuals who are citizens of Haiti who--
            (i) are not citizens of the United States;
            (ii) have demonstrated respect for 
 democracy and a free-market economy; and
            (iii) have--
            (I) had a successful business 
 career in private equity, banking, or 
 finance in a developing economy; or
            (II) experience comparable to 
 service on the board of directors of a 
 fund that is similar to the Enterprise 
 Fund and which earned a positive return 
 on the amounts under the control of 
 such fund.

    (2) Appointments by president.--The President shall appoint 
 to the Oversight Panel 2 individuals who are citizens of the 
 United States, who--
        (A) primarily reside in the United States; and
        (B) have demonstrated concern for and commitment to 
 the economic development of Haiti.
            (c) Consultations.--The Chief Executive Officer and members of the 
Oversight Panel are encouraged to consult extensively with--

    (1) representatives of similar enterprise funds established 
 by the United States Government, in order to learn best 
 practices relating to the start-up phase and ongoing business 
 of an enterprise fund;

    (2) representatives of multilateral institutions, including 
 the Inter-American Development Bank, the World Bank, and the 
 International Monetary Fund, to coordinate support for 
 infrastructure in Haiti; and

    (3) leaders from the private sector, civil society, labor 
 organizations, human rights groups, academia, and environmental 
 organizations in the United States and Haiti.

SEC. 7. INVESTMENTS FOR CERTAIN PROGRAMS AND PROJECTS.

    (a) Requirements for Investments.--The Enterprise Fund may only 
provide investments in programs and projects that--

    (1) promote development of the Haitian private sector, 
 particularly with respect to--
        (A) micro, small, and medium businesses;
        (B) the agriculture, biodiversity, construction, 
 energy, finance, manufacturing, and tourism industries; 
 and
            (C) joint ventures between the United States and 
 Haiti or the Haitian-American diaspora, including joint 
 ventures that empower women and youth;

    (2) promote policies and practices that facilitate the 
 development of the Haitian private sector through--
        (A) equity investments;
        (B) feasibility studies;
            (C) grants;
            (D) guarantees;
        (E) insurance;
        (F) loans;
        (G) technical assistance; and
        (H) training;

    (3) facilitate an economic environment conducive for an 
 accountable, transparent, and sustained democratic system of 
 governance in Haiti, aligned with the Global Fragility Strategy 
 required in 

section 504

    (a) of the Global Fragility Act of 2019 
 (22 U.S.C. 9803

    (a) );

    (4) build the resilient physical infrastructure required 
 for Haiti to be stable and prosperous, including--
        (A) country-wide access to reliable electricity;
        (B) electricity generation plants;
            (C) passable roads and bridges;
            (D) ports;
        (E) railroads;
        (F) hydrological dams;
        (G) agriculture canals;
        (H) storm water management systems;
            (I) water infrastructure; and
        (J) sanitation and health programs and 
 infrastructure;

    (5) create a report that includes--
        (A) the cost to update the physical infrastructure 
 described in paragraph

    (4) in Haiti to meet resilience 
 standards; and
        (B) an analysis of completed physical 
 infrastructure projects;

    (6) assist in leveraging public and private funding to 
 address development needs in Haiti; or

    (7) engender conditions for development and 
 industrialization, create sustainable jobs, or reduce the root 
 cause of irregular migrations in Haiti.

    (b) Authorized Activities.--The Enterprise Fund may make 
investments in and encourage--

    (1) increased access to consumer credit in Haiti, including 
 from consumer credit unions (also known as ``caisse 
 populaires'');

    (2) the establishment of local agriculture cooperatives in 
 Haiti;

    (3) the establishment of major electricity generation 
 facilities and complementary regional and national electricity 
 grids in Haiti;

    (4) the establishment of working global manufacturing 
 facilities, including facilities manufacturing--
        (A) food;
        (B) beverages;
            (C) tobacco;
            (D) chemicals;
        (E) pharmaceuticals;
        (F) electronics;
        (G) optical products;
        (H) textiles;
            (I) apparel; and
        (J) leather;

    (5) projects providing modern information technology 
 infrastructure required to deliver and monitor development 
 services to economically vulnerable populations in Haiti; and

    (6) projects providing management and technical capacity 
 training and development to promote private sector development, 
 including training on effective management and governance.
            (c) Financial Instruments for Investment in Haiti.--

    (1) In general.--The Enterprise Fund shall, if practicable, 
 establish financial instruments to enable individuals to invest 
 in the Haitian private sector.

    (2) Preferred investments.--If practicable, the financial 
 instruments established under paragraph

    (1) shall--
        (A) facilitate investment in projects that support 
 development and humanitarian relief in Haiti; and
        (B) support Haitian businesses and employees.
            (d) Investment Priority.--In making investments under this section, 
the Enterprise Fund shall give priority to industries identified by the 
Government of Haiti as priorities for the economic recovery and growth 
of Haiti.

    (e) Matters for Consideration.--The Enterprise Fund shall take into 
account--

    (1) internationally recognized human rights, including the 
 rights of workers;

    (2) environmental factors;

    (3) the effect of the activities of the Fund on the economy 
 and labor market of the United States; and

    (4) the likelihood that the activity receiving investments 
 from the Enterprise Fund will be commercially viable.

SEC. 8. ADMINISTRATION OF FUNDS.

    (a) Use of Investment Returns and Payments.--The Enterprise Fund 
may use returns on the investments of the Enterprise Fund and payments 
to the Enterprise Fund to provide the investments described in 

section 7, without transferring such returns or payments to the Treasury and 
without further appropriation by Congress.

    (b) Ensuring Ability To Repay Funds.--The Chief Executive Officer 
shall provide investments in a manner that ensures that the Enterprise 
Fund will be able to repay the Treasury as required by 

section 11.
            (c) Use of United States Private Venture Capital.--

    (1) In general.--The Enterprise Fund may conduct public 
 offerings or private placements for the purpose of soliciting 
 and accepting United States venture capital, which may be used, 
 separately or together with funds appropriated to the 
 Enterprise Fund, for any lawful investment purpose that the 
 Chief Executive Officer considers appropriate to carry out this 
 Act.

    (2) No private investor oversight.--Acceptance of private 
 venture capital does not authorize private investors to have a 
 role in the oversight of the Enterprise Fund.

    (3) Distributions.--Financial returns on Enterprise Fund 
 investments that include private venture capital may be 
 distributed, at such times and in such amounts as the Chief 
 Executive Officer considers appropriate, to the investors of 
 such capital.
            (d) Limitations.--

    (1) Payments to enterprise fund personnel.--No funds of the 
 Enterprise Fund shall inure to the benefit of any Oversight 
 Panel member, officer, or employee of the Enterprise Fund, 
 except as salary or reasonable compensation for services.

    (2) Use of federal funds for grants.--Not more than 20 
 percent of Federal funds made available to the Enterprise Fund 
 may be used for investments in the form of grants.

    (3) Use of appropriated funds for costs and feasibility 
 studies.--Not more than 15 percent, in total, of funds 
 appropriated to the Enterprise Fund may be used for operating 
 costs and feasibility studies to assess commercial viability of 
 activities and projects funded by the Enterprise Fund.

SEC. 9. AUDITS AND RECORDKEEPING.

    (a) Independent Private Audits.--The Chief Executive Officer shall 
ensure that the Enterprise Fund is audited annually by an independent 
certified public accountant or independent licensed public accountant 
certified or licensed by a regulatory authority of a State or political 
subdivision of a State, in accordance with generally accepted auditing 
standards.

    (b) Government Accountability Office Audits.--With respect to any 
year during which the Enterprise Fund is in possession of funds 
received from the United States Government, the Comptroller General of 
the United States shall audit the financial transactions of the 
Enterprise Fund to identify waste, fraud, or abuse, in accordance with 
such principles and procedures and under such rules and regulations as 
the Comptroller General may prescribe.
            (c) Recordkeeping Requirements.--The Chief Executive Officer shall 
ensure that--

    (1) each recipient of funds provided by the Enterprise Fund 
 under 

section 7 keeps--
        (A) a separate account for such funds;
        (B) such records as may be reasonably necessary to 
 fully disclose--
            (i) the amount of such funds;
            (ii) the total amount of such funds 
 received by such recipient;
            (iii) the total cost of the project or 
 activity for which the Enterprise Fund provided 
 such funds; and
            (iv) the amount of the cost of the project 
 or activity supplied by sources other than the 
 Enterprise Fund; and
            (C) any other records that will facilitate an 
 effective audit; and

    (2) the Chief Executive Officer has access, for the purpose 
 of audit and examination, to any record described in paragraph

    (1)
        (B) .

SEC. 10. REPORTS.

    (a) Public Report on Enterprise Fund Activities.--Not later than 
180 days after the establishment of the Enterprise Fund and annually 
thereafter until the Enterprise Fund terminates, the Chief Executive 
Officer shall make publicly available on the websites of the Enterprise 
Fund, the United States International Development Finance Corporation, 
and the United States Agency for International Development a report 
describing the funds provided by the Enterprise Fund for activities and 
projects described in 

section 7, with a written explanation of the 
commercial viability of each such activity and project.

    (b) Report to Congress on Enterprise Fund Activities.--

    (1) In general.--Not later than 120 days after the end of 
 the fiscal year during which the Enterprise Fund is established 
 and annually thereafter until the Enterprise Fund terminates, 
 the Chief Executive Officer shall submit to the appropriate 
 congressional committees a report that--
        (A) describes the successes, failures, expenses, 
 activities, funding, and forecasted projections of the 
 Enterprise Fund; and
        (B) includes the results of the audit required by 
 

section 9

    (a) .

    (2) Appropriate congressional committees defined.--In this 
 section, the term ``appropriate congressional committees'' 
 means--
        (A) the Committee on Appropriations, the Committee 
 on Financial Services, and the Committee on Foreign 
 Affairs of the House of Representatives; and
        (B) the Committee on Appropriations and the 
 Committee on Foreign Relations of the Senate.
            (c) Report on Oversight Panel Duties.--Not later than 180 days 
after the date of the enactment of this Act and annually thereafter 
until the Enterprise Fund terminates, the Oversight Panel shall submit 
to Congress and the President a report on the implementation of the 
duties of the Oversight Panel during the preceding year, including a 
description of successes regarding implementation of the Enterprise 
Fund and challenges preventing the Enterprise Fund from meeting its 
full potential.
            (d) Report After Failure To Repay.--Not later than 120 days after 
the last day of any year in which the repayment to the Treasury 
required by 

section 11 has not yet been completed, the Chief Executive 
Officer shall make publicly available a report that includes a 
comprehensive and detailed description of the operations, activities, 
financial condition, and accomplishments of the Enterprise Fund during 
such year.

SEC. 11. TERMINATION.

 Not later than December 31, 2031--

    (1) the Chief Executive Officer shall repay from the 
 Enterprise Fund to the Treasury the full amount of funds the 
 Enterprise Fund received from the United States Government; and

    (2) the Enterprise Fund shall terminate.

SEC. 12. NONAPPLICABILITY OF OTHER LAWS.

 Notwithstanding any other provision of law, executive branch 
agencies may conduct programs and activities and provide services in 
support of the activities of the Enterprise Fund.

SEC. 13. AUTHORIZATION OF APPROPRIATIONS.

 There are authorized to be appropriated to carry out this Act 
$1,000,000,000 for each of fiscal years 2026 through 2031, which shall 
be authorized to remain available until expended or until the 
Enterprise Fund terminates, whichever occurs first.
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