The Foreign Assistance Act repealed the
Mutual Security Act and authorized a comprehensive reorganization of U.S. foreign aid institutions. The Act empowered the president to abolish the existing
International Cooperation Administration (ICA) and
Development Loan Fund (DLF) and to establish a new agency to administer economic assistance. Under Executive Order 10973 and related delegations, the
Agency for International Development was created in late 1961 to succeed the ICA and DLF and to take over certain functions of the
Export–Import Bank and the Department of Agriculture’s
Food for Peace program. In recent decades these programs have collectively provided tens of billions of dollars annually in U.S. foreign assistance. The Act provides that no security assistance is to be furnished to any government that "engages in a consistent pattern of gross violations of internationally recognized human rights, including torture or cruel, inhuman, or degrading treatment or punishment, prolonged detention without charges, causing the disappearance of persons by the abduction and clandestine detention of those persons, or other flagrant denial of the right to life, liberty, and the security of person," unless such assistance will directly benefit needy people in that country. These human-rights conditions, largely added by the Foreign Assistance Act of 1974, are reflected in sections 116 and 502B of the Act. Section 506(a)(1) of the Act (22 U.S.C. 2318) provides the president with "drawdown" authority to transfer defense articles and services from U.S. stocks to foreign countries in emergency situations. On December 14, 2023, Senator
Bernie Sanders introduced a privileged resolution under section 502B(c) of the Foreign Assistance Act, calling on the U.S. Department of State to report on
Israel’s human-rights practices and the use of U.S. security assistance in the
2023–2024 Israel–Hamas war. The resolution would have required the State Department to submit a report within 30 days assessing whether Israel was engaging in violations of internationally recognized human rights and international humanitarian law and would have frozen most
U.S. military aid to Israel until the report was delivered. On January 16, 2024, the Senate voted 72–11 to table the measure. In March 2024, Sanders and seven other U.S. senators sent a letter to President Biden arguing that continued arms transfers to Israel without adequate humanitarian access risked violating provisions of the Foreign Assistance Act that bar providing security assistance to governments that restrict U.S.-supported humanitarian aid. ==Excess defense articles==