Foreign Assistance Act

The Foreign Assistance Act (Pub.L. 87-195, 75 Stat. 424, enacted September 4, 1961, 22 U.S.C. § 2151 et seq.) is a United States Act of Congress. The Act reorganized the structure of existing U.S. foreign assistance programs, separated military from non-military aid, and created a new agency, the United States Agency for International Development (USAID) to administer those non-military, economic assistance programs. On November 3, 1961, President John F. Kennedy signed the Act and issued Executive Order 10973, detailing the reorganization.

The agency unified already existing U.S. aid efforts, combining the economic and technical assistance operations of the International Cooperation Administration, the loan activities of the Development Loan Fund, the local currency functions of the Export-Import Bank, and the agricultural surplus distribution activities of the Food for Peace program of the Department of Agriculture.

This act states that no assistance will be provided to a government which "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 the needy people in such country".

This Act was amended in 2004 specific to the treatment of orphans and other vulnerable children. This amendment allows the president to provide aid to the peoples of other countries to look after children in cases of HIV/AIDS and to set up schools and other programs for the advancement of child treatment.

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