ported the emergency declaration to the Congress on October 4, 1991, pursuant to section 204(b) of the International Emergency Economic Powers Act (50 U.S.C. 1703(b)). The additional sanctions set forth in my order of October 28 were imposed pursuant to the authority vested in me by the Constitution and laws of the United States, including the statutes cited above, and implement in the United States Resolution MRE/ RES. 2/91, adopted by the Ad Hoc Meeting of Ministers of Foreign Affairs of the Organization of American States ("OAS") on October 8, 1991, which called on Member States to impose a trade embargo on Haiti and to freeze Government of Haiti assets. The present report is submitted pursuant to 50 U.S.C. 1641(c) and 1703(c) and discusses Administration actions and expenses directly related to the national emergency with respect to Haiti declared in Executive Order No.

12775, as implemented pursuant to that

order and Executive Order No. 12779.

3. On March 31, 1992, the Office of Foreign Assets Control of the Department of the Treasury ("FAC"), after consultation with other Federal agencies, issued the Haitian Transactions Regulations, 31 C.F.R. Part 580 (57 FR 10820, March 31, 1992), to implement the prohibitions set forth in Executive Orders Nos. 12775 and 12779.

Prior to the issuance of the final regulations, FAC issued a number of general licenses to address urgent situations requiring an interpretation of U.S. sanctions policy in advance of the final regulations. These general licenses provided agency policy regarding the articles (baggage, personal effects, etc.) that could be exported or imported by travellers to and from Haiti; the treatment of amounts owed to the de facto regime by U.S. persons for certain telecommunications services; the movement of diplomatic pouches; the obligation of banks and other financial institutions with respect to Government of Haiti funds in their possession or control; authorization of commercial shipments to Haiti of medicines and medical supplies; and the circumstances under which certain exportations to, or importations from, the "assembly sector" in Haiti would be permitted. These general licenses have been incor

porated into the Haitian Transactions Regulations.

4. The ouster of Jean-Bertrand Aristide, the democratically elected President of Haiti, in an illegal coup by elements of the Haitian military on September 30, 1991, was immediately repudiated and vigorously condemned by the OAS. The convening on September 30 of an emergency meeting of the

OAS Permanent Council to address this crisis

reflected an important first use of a mechanism approved at the 1991 OAS General Assembly in Santiago, Chile, requiring the OAS to respond to a sudden or irregular interruption of the functioning of a democratic government anywhere in the Western Hemisphere. As an OAS Member State, the United States has participated actively in OAS diplomatic efforts to restore democracy in Haiti and has supported fully the OAS resolutions adopted in response to the crisis, including Resolution MRE/RES. 2/91.

5. In these initial months of the Haitian sanctions program, FAC has made extensive use of its authority to specifically license transactions with respect to Haiti in an effort to mitigate the effects of the sanctions on the legitimate Government of Haiti and on with Haiti's "assembly sector," and to ensure U.S. firms having established relationships the availability of necessary medicines and medical supplies and the undisrupted flow of humanitarian donations to Haiti's poor. For example, specific licenses have been issued (1) permitting expenditures from blocked assets for the operations of the legitimate Government of Haiti, (2) permitting U.S. firms wishing to terminate assembly operations in Haiti to return equipment, machinery, and parts and materials inventories to the United States and, beginning February 5, 1992, permitting firms wishing to resume assembly operations in Haiti to do so provided the prohibition on payments to the de facto regime is complied with, and (3) permitting the continued material support of U.S. and international religious, charitable, public health, and other humanitarian organizations and projects operating in Haiti.

6. Since the issuance of Executive Order No. 12779, FAC has worked closely with the U.S. Customs Service to ensure both that prohibited imports and exports (including

those in which the Government of Haiti has an interest) are identified and interdicted and that permitted imports and exports move to their intended destination without undue delay. Violations and suspected violations of the embargo are being investigated, and appropriate enforcement actions will be taken. 7. The expenses incurred by the Federal Government in the 6-month period from October 4, 1991, through April 3, 1992, that are directly attributable to the authorities conferred by the declaration of a national emergency with respect to Haiti are estimated at $323,000, most of which represent wage and salary costs for Federal personnel. Personnel costs were largely centered in the Department of the Treasury (particularly in FAC, the U.S. Customs Service, and the Of

fice of the General Counsel), the Department of State, the Department of Commerce, and the Federal Reserve Bank of New York.

8. The assault on Haiti's democracy represented by the military's forced exile of President Aristide continues to pose an unusual and extraordinary threat to the national security, foreign policy, and economy of the United States. The United States remains committed to a multilateral resolution of this crisis through its actions implementing the resolutions of the OAS with respect to Haiti. I shall continue to exercise the powers disposal to apply economic sanctions against Haiti as long as these measures are appropriate, and will continue to report periodically to the Congress on significant developments pursuant to 50 U.S.C. 1703(c).

The White House, April 7, 1992.

at my

George Bush

Message to the Congress Reporting
on Panamanian Government Assets
Held by the United States
April 7, 1992

To the Congress of the United States:

1. I hereby report to the Congress on developments since the last Presidential report on October 3, 1991, concerning the contin

ued blocking of Panamanian government assets. This report is submitted pursuant to section 207(d) of the International Emergency Economic Powers Act, 50 U.S.C. 1706(d).

2. On April 5, 1990, I issued Executive Order No. 12710, terminating the national emergency declared on April 8, 1988, with respect to Panama. While this order terminated the sanctions imposed pursuant to that declaration, the blocking of Panamanian gov

ernment assets in the United States was continued in order to permit completion of the orderly unblocking and transfer of funds that I directed on December 20, 1989, and to foster the resolution of claims of U.S. creditors

involving Panama, pursuant to 50 U.S.C. 1706(a). The termination of the national

emergency did not affect the continuation of compliance audits and enforcement actions. with respect to activities taking place during the sanctions period, pursuant to 50 U.S.C. 1622(a).

3. The Office of Foreign Assets Control of the Department of the Treasury (“FAC”) has released to the control of the Government of Panama approximately $134 million of the approximately $137.3 million that remained blocked at the time of my last report. The amount released represents blocked financial accounts that the Government of Panama requested be unblocked.

Of the approximately $6.1 million remaining blocked at this time (which includes approximately $2.8 million in interest credited to the accounts since my last report), some $5.5 million is held in escrow by the Federal Reserve Bank of New York at the request of the Government of Panama. Additionally, approximately $600,000 is held in commercial bank accounts for which the Government of Panama has not requested unblocking. A small residual in blocked reserve accounts established under section 565.509 of the Panamanian Transactions Regulations, 31 CFR 565.509, remains on the books of U.S. firms pending the final reconciliation of accounting records involving claims and counterclaims between the firms and the Government of Panama.

4. I will continue to report periodically to the Congress on the exercise of authorities to prohibit transactions involving property in

Statement on United States
Recognition of the Former Yugoslav
Republics
April 7, 1992

The United States recognizes BosniaHercegovina, Croatia, and Slovenia as sovereign and independent states and will begin immediate consultations to establish full diplomatic relations. The United States accepts the pre-crisis Republic borders as the legitimate international borders of BosniaHercegovina, Croatia, and Slovenia.

We take this step because we are satisfied that these states meet the requisite criteria for recognition. We acknowledge the peaceful and democratic expression of the will of citizens of these states for sovereignty.

We will continue to work intensively with the European Community and its member states to resolve expeditiously the outstanding issues between Greece and the Republic of Macedonia, thus enabling the U.S. to recognize formally the independence of that Republic as well. The United States will also discuss with the Governments of Serbia and Montenegro their interest in remaining in a common state known as Yugoslavia.

In light of our decisions on recognition,

the U.S. will lift economic sanctions from Bosnia-Hercegovina, Croatia, Macedonia, and Slovenia. Sanctions were applied to Yugoslavia on December 6, 1991. We will lift sanctions against Serbia and Montenegro contingent on Belgrade's lifting the economic blockades directed against BosniaHercegovina and Macedonia. The U.N. arms embargo remains in effect.

It has been U.S. policy throughout the Yugoslav crisis to accept any resolution arrived at peacefully, democratically, and by negotiation. The United States strongly supports the U.N. peacekeeping plan, as worked out by Cyrus Vance, and the full deployment

of the U.N. peacekeeping force. We continue to support the EC Peace Conference as the indispensable forum for the parties to reach a peaceful settlement of their dispute and to establish the basis for future relations. U.S. recognition is without prejudice to any future association Yugoslav successor states might agree to establish.

The United States views the demonstrated commitment of the emerging states to respect borders and to protect all Yugoslav nationalities as an essential element in establishing full diplomatic relations. Equally, we view such a commitment by Serbia and Montenegro as essential to proceed in discussions on their future status.

force, the continuation of the EC Peace ConThe deployment of the U.N. peacekeeping force, the continuation of the EC Peace Conference, and the process of international recognition offer all of the former Yugoslav Republics an historic opportunity to reject decisively the tragic violence which has marked this crisis. Continued commitment to peaceful dialog should lead toward reconciliation, toward integration within Europe, and toward cordial and productive relations with the United States. The United States will continue to work to achieve these goals.

Statement by Deputy Press Secretary Smith on the President's Meeting With President Francesco Cossiga of Italy

April 7, 1992

Italian President Cossiga today called on President Bush to bid farewell in anticipation of the end of Cossiga's 7-year Presidential term in July. He and President Bush discussed a range of bilateral and international issues. President Cossiga also shared his perspectives on the just completed Italian elections. Among the other topics discussed were GATT, the Atlantic alliance, and Yugoslavia. Both Presidents reaffirmed their commitment to the closest possible cooperation between Italy and the United States and to ensuring the vitality of the transatlantic partnership.

Nomination of William Dean Hansen
To Be Chief Financial Officer at the
Department of Education
April 7, 1992

The President today announced his intention to nominate William Dean Hansen, of Idaho, to be Chief Financial Officer at the Department of Education. He would succeed John Theodore Sanders.

Currently Mr. Hansen serves as Acting Assistant Secretary for Management and Budget at the U.S. Department of Education in Washington, DC. Prior to this, he served at the U.S. Department of Education as: Acting Assistant Secretary for Legislation and Congressional Affairs, 1991; Acting Deputy Under Secretary for Planning, Budget, and Evaluation, 1990-91; Deputy Assistant Secretary for Legislation and Congressional Affairs, 1989-90; senior research associate in the Office of the Secretary, 1989; and Deputy Assistant Secretary for Elementary and Secondary Education, 1988. He was Executive Assistant for Legislative Affairs in the Office of Legislation, 1984-88; and a legislative assistant in the Office of Legislation and Public Affairs, 1981-84.

Mr. Hansen graduated from George Mason University (B.S., 1988). He was born May 13, 1959, in Pocatello, ID. Mr. Hansen is married, has four children, and resides in Arlington, VA.

Statement on Winning Presidential Primaries

April 7, 1992

Today's results are another endorsement of our proposals for fundamental reform. While the Democrats offer only confusion, we are earning a mandate to change America as we changed the world.

This is the message I will continue to take to the American people. We must have schools where students can learn. We must restore reason to our legal system. Quality health care should be available to all. A productive America must be free to compete in world markets. And finally, a Congress frozen in gridlock must be made to work.

The President. This is beautiful. Isn't this beautiful? It's a little early. We're trying to avoid holding people up in the traffic.

Q. Did you see that Tsongas is back in the race?

The President. We're not commenting on the Democratic-all three of them are Democrats.

Q. What do you think about your latest

The President. Outstanding. Excellent. Q. Mr. President, you could see the colors better in the daytime.

The President. I know it, but you get
Q. Brilliant.

The President. It will be daylight at 6:20 a.m., but we just wanted to get out here before we held up too much traffic. As I speak the sun is starting to rise somewhere.

Q. You think you're going to be running against Clinton?

The President. I don't know. I'm not going to comment on the Democratic side. I've got a good record of not doing that so far, and I'm going to stay with it.

Q. Well, he's the candidate for change. The President. He's running against me. I'm not running against anybody right now. Let's see what they come up with.

Q. Is this your favorite monument?

The President. Helen [Helen Thomas, United Press International].

Q.

-not an advocate.

The President. "Frequent changes laws and institutions must go hand-in-hand with the progress of the human mind. As that becomes more developed, more enlightened, as new discoveries are made, new truth discovered, and matters of opinions change. change is certain . . . institutions must advance also to keep pace with times." If I've ever heard an eloquent plea for term limits, that's it.

Q. Doesn't sound like that to me.

The President. It does to me. "We might as well require men to wear-[inaudible]" In other words, things don't change. Congress must change.

Q. I don't think Bob Michel would like that.

The President. Well, I think he probably would. But I really think this is a very important statement here. Let's see what he says

over here.

The President. No.

Q. Tell Strom Thurmond about it. How many terms has he had?

Q. Do you have a favorite memorial?
Mrs. Bush. This may well be it. It's a nice

one.

The President. This one is?

Q. You can see this from your balcony. U.S. Supreme Court

Q. Maybe he's talking about liberal interpretation of the Constitution vis-a-vis the U.S. Supreme Court and its need to interpret law in light of ever-changing circumstances?

The President. That's exactly what the Supreme Court does. They interpret the Constitution. They do not legislate from the Bench. One of the things I'm most proud of is my appointments to the Supreme Court. And it's a good court, and it does not legislate from the Bench as much as in the past. And that's good. And maybe that's what he's talking about. But I don't see that in that particular message there. What I think he's talking about there is change, and we are trying to get some change.

Q. What did you think of the march on Sunday?

The President. The march?

Q. Yes, the march.

have approved of that. Everybody has a right The President. I think Jefferson would to petition his Government, or her Government, Helen; his in the generic sense.

Q. But where does it fall on your ears? The President. Everybody has that right. President's Vacation Plans

Q. Mr. President, we've noticed that you've been taking some leisurely weekends. Is this, taking the advice of your doctor, as much of a vacation as you're going to

The President. Well, I think probably yes. I don't think we're going to be able to get a 2-week vacation, nor do I feel need of that, although I was delighted when the doctor recommended it. Took a little pressure off so we could get a good long weekend. But I feel good. I think the health is strong. This weekend was good, and I got a lot of rest up there.

So, I think that I'm more apt to do that than I am to try to get a week off in a row, something like that.