Russia-Ukraine Flash Report for 4-28-22 14:00 PDT - US House Passes Lend-Lease Act

Senate Bill 3522, which would renew the 1940 United States Lend-Lease Act, passed in the US House today along a party line vote 220 - 205 with 4 abstentions.

The US Senate approved S 3522 in a 100 - 0 unanimous voice vote three weeks ago. The US House did not take up the measure before departing on a two week recess. The bill now heads to United States President Joe Biden's desk for his signature.

In summary, "This bill temporarily waives certain requirements related to the President's authority to lend or lease defense articles if the defense articles are intended for Ukraine's government or the governments of other Eastern European countries affected by Russia's invasion of Ukraine.

For FY2022 and FY2023, an agreement to lend or lease defense articles under this bill shall not be subject to certain requirements and provisions that typically apply to such lend-lease agreements, including a requirement that generally prohibits a loan or lease period from exceeding five years.

The President must establish expedited procedures to ensure the timely delivery of defense articles loaned or leased to Ukraine under this bill."

The United State's fiscal year ends on September 30, this act is law through September 30, 2023.

The bill goes beyond aid for Ukraine, and states any "governments of Eastern European countries impacted by the Russian Federation’s invasion of Ukraine to help bolster those countries' defense capabilities and protect their civilian populations from potential invasion or ongoing aggression by the armed forces of the Government of the Russian Federation."

Eastern European is undefined, which could become an issue if there were challenges to the measure. Our assessment is Eastern European countries is defined as former Soviet Union and Warsaw Pact nations.

The law streamlines the creation and shipment of aid packages, dramatically extends the repayment period, and provides the White House with more power to provide aid to Europe and Ukraine.