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105th Congress, 1st Session - - - - - - - - - - - House Document 105-62


 
 REPORT TO THE CONGRESS DETAILING PAYMENTS MADE TO CUBA BY ANY UNITED 
   STATES PERSON AS A RESULT OF THE PROVISION OF TELECOMMUNICATIONS 
                               SERVICES

                               __________

                             COMMUNICATION

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

A REPORT TO THE CONGRESS DETAILING PAYMENTS MADE TO CUBA BY ANY UNITED 
   STATES PERSON AS A RESULT OF THE PROVISION OF TELECOMMUNICATIONS 
           SERVICES, PURSUANT TO PUB. L. 104-114, SEC. 102(g)

<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>


 April 8, 1997.--Referred to the Committee on International Relations 
                       and ordered to be printed


                                           The White House,
                                        Washington, March 28, 1997.
Hon. Newt Gingrich,
Speaker of the House of Representatives,
Washington, DC.
    Dear Mr. Speaker: This report is submitted pursuant to 
1705(e)(6) of the Cuban Democracy Act of 1992, 22 U.S.C. 
6004(e)(6) (the ``CDA''), as amended by section 102(g) of the 
Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996, 
Public Law 104-114 (March 12, 1996), 110 Stat. 785, 22 U.S.C. 
6021-91 (the ``LIBERTAD Act''), which requires that I report to 
the Congress on a semiannual basis detailing payments made to 
Cuba by any United States person as a result of the provision 
of telecommunications services authorized by this subsection.
    The CDA, which provides that telecommunications services 
are permitted between the United States and Cuba, specifically 
authorizes the President to provide for the issuance of 
licenses for payments due to Cuba as a result of the provision 
of telecommunications services. The CDA states that licenses 
may provide for full or partial settlement of 
telecommunications services with Cuba, but does not require any 
withdrawal from a blocked account. Following enactment of the 
CDA on October 23, 1992, a number of U.S. telecommunications 
companies successfully negotiated agreements to provide 
telecommunications services between the United States and Cuba 
consistent with policy guidelines developed by the Department 
of State and the Federal Communications Commission.
    Subsequent to enactment of the CDA, the Department of the 
Treasury's Office of Foreign Assets Control (OFAC) amended the 
Cuban Assets Control Regulations, 31 C.F.R. Part 515 (the 
``CACR''), to provide for specific licensing on a case-by-case 
basis for certain telecommunications between the United States 
and Cuba, 31 C.F.R. 515.542(c), including settlement of charges 
under traffic agreements.
    The OFAC has issued eight licenses authorizing transactions 
incident to the receipt or transmission of telecommunications 
between the United States and Cuba since the enactment of the 
CDA. None of these licenses permits payments to the Government 
of Cuba from a blocked account. For the period June 30, 1996, 
through December 31, 1996, OFAC-licensed U.S. carriers reported 
payments to the Government of Cuba in settlement of charges 
under telecommunications traffic agreements as follows:

AT&T Corporation (formally, American Telephone and 
    Telegraph Company)..................................     $19,162,032
AT&T de Puerto Rico.....................................         227,709
Global One (formerly Sprint Incorporated)...............       2,589,706
IDB WorldCom Services, Inc. (formerly, IDB 
    Communications, Inc.)...............................         561,553
MCI International, Inc. (formerly, MCI Communications 
    Corporation)........................................       5,354,423
Telefonica Larga Distancia de Puerto Rico, Inc..........         104,498
WilTel, Inc. (formerly, WilTel Underseas Cable, Inc.)...       2,913,610
WorldCom, Inc. (formerly, LDDS Communications, Inc.)....       1,687,896
                    --------------------------------------------------------
                    ____________________________________________________
                                                              32,601,427

    I shall continue to report semiannually on 
telecommunications payments to the Government of Cuba from 
United States persons.
            Sincerely,
                                                William J. Clinton.

                                <greek-d>


Pages: 1

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