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[casi] USAID Hum. NGO Contract Conditions - USAID Must Approve All Media Contact



Source: Richard Read, "Aid agencies reject money due to strings", Oregonian
(Portland), 6 June 2003

Oregonian url: http://www.oregonlive.com/oregonian/

[begin]

Two major American aid organizations are refusing U.S. government money
aimed at building democracy in Iraq because federal officials want to limit
their freedom to speak openly about their programs.

Mercy Corps and Save the Children are objecting to conditions imposed by
agreements for $7 million each with the U.S. Agency for International
Development. Negotiations between the organizations and the federal agency
continue.

A copy of the disputed clause obtained by The Oregonian says that U.S. AID
must approve and coordinate all contact with the news media, in Washington,
D.C., or overseas, including interviews. While at least two humanitarian
organizations have signed the agreements, Mercy Corps and Save the Children
staff members say they don't want to sacrifice their independence.

"I actually worked for 24 years for AID, and I don't recall ever seeing
anything like that," said Ann Van Dusen,executive vice president of Save the
Children, a large aid organization based in Westport, Conn. "It's an
unfortunate move, and I'm hoping that AID will rethink it."

The controversy comes as AID publicly promotes citizen participation in Iraq
and the creation of open, pluralistic news media there. It exposes an
unusual split between the U.S. government's main aid agency and the
humanitarian organizations that depend on its funding.

Others step back The disagreement occurs after leaders of three other major
U.S. humanitarian organizations decided not to apply for the AID grants,
describing the Iraq reconstruction effort as chaotic. Managers of the
International Rescue Committee, Care and World Vision objected to working
under the military, to promoting democracy in a place that first requires
basic services and to aiding Iraq when other countries need help more.

Top executives of Mercy Corps, the Portland-based humanitarian organization,
are in Amman, Jordan, continuing negotiations with AID, which planned the
meeting to divide assignments among five grant recipients. The Iraq
Community Action Program grants are designed to involve Iraqi citizens of
diverse backgrounds in grass-roots community-development projects.

Ellen Yount, AID press office director, defends the agency's restrictions on
media contact as routine. She said officials merely intended to coordinate
with grant recipients for a consistent message to the American public. She
said she wanted to know in advance about news stories on AID projects.

"I didn't realize it caused this much heartburn," Yount said.

An AID press officer deferred requests for a copy of the proposed agreement
with Mercy Corps for five days. He said Thursday that officials decided to
require reporters to request it under the Freedom of Information Act. The
Oregonian obtained the clause concerning the media from a source outside AID
and Mercy Corps.

Revised language On Thursday, Yount released new contract language she said
was under discussion with Mercy Corps. It said: "Contact with the news
media, in the U.S. or overseas, shall be notified to and coordinated with"
AID press officers.

A Mercy Corps spokeswoman said the proposed agreement includes multiple
sticking points, but declined to comment on them. A spokesperson for
Cooperative Housing Foundation International, one of the organizations that
signed the agreement, declined any comment.

"According to our contract," the Housing Foundation spokesperson said, "all
press calls must go through U.S. AID."

[end]

Nathaniel Hurd
Consultant on United Nations Iraq policy
Tel. (Mobile): 917-407-3389
Fax: 718-504-4224
E-mail: nathaniel_hurd@hotmail.com
777 United Nations Plaza
Suite 7A
New York, NY  10017

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