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Congressional Research Service-—US Aid to Israel—56 pp
LINK https://crsreports.congress.gov/product/pdf/RL/RL33222/44

Contents
Background and Recent Trends....................................................................................................... 1
U.S. Aid and Israel’s Advanced Military Technology..................................................................... 2
Qualitative Military Edge (QME) ................................................................................................... 4
The Proposed F-35 Sale to the United Arab Emirates (UAE) and Israel’s QME ..................... 7
U.S. Bilateral Military Aid to Israel .............................................................................................. 10
The Current 10-Year Security Assistance Memorandum of Understanding (MOU) ...............11
Foreign Military Financing (FMF) and Arms Sales................................................................ 14
Cash Flow Financing ........................................................................................................ 14
Early Transfer and Interest Bearing Account.................................................................... 15
Shorter Congressional Review Period .............................................................................. 16
F-35 Joint Strike Fighter................................................................................................... 16
KC-46A Pegasus............................................................................................................... 17
CH-53K Heavy Lift Helicopters....................................................................................... 18
Excess Defense Articles.......................................................................................................... 18
Defense Budget Appropriations for U.S.-Israeli Missile Defense Programs ................................ 20
Iron Dome ............................................................................................................................... 20
Co-production and U.S. Funding...................................................................................... 21
The May 2021 War in Gaza and Proposed Supplemental Iron Dome Funding................ 22
David’s Sling........................................................................................................................... 25
Overview........................................................................................................................... 25
Co-production and U.S. Funding...................................................................................... 26
The Arrow and Arrow II.......................................................................................................... 26
High Altitude Missile Defense System (Arrow III) ................................................................ 27
Emergency U.S. Stockpile in Israel......................................................................................... 28
Defense Budget Appropriations/Authorization for Anti-Tunnel Defense ..................................... 31
Defense Budget Appropriations/Authorization for Countering Unmanned Aerial Systems......... 32
Aid Restrictions and Possible Violations....................................................................................... 33
Arms Sales and Use of U.S.-Supplied Equipment .................................................................. 33
Section 502B of the Foreign Assistance Act..................................................................... 34
Human Rights Vetting (Leahy Law) ....................................................................................... 36
Use of U.S. Funds within Israel’s Pre-June 1967 Borders...................................................... 37
Israeli Arms Transfers to Third Parties.................................................................................... 38
Israel and China ................................................................................................................ 39
Other Ongoing Assistance and Cooperative Programs.................................................................. 41
Migration & Refugee Assistance............................................................................................. 41
Loan Guarantees...................................................................................................................... 42
Overview........................................................................................................................... 42
Loan Guarantees for Economic Recovery ........................................................................ 42
American Schools and Hospitals Abroad Program (ASHA)................................................... 44
U.S.-Israeli Scientific & Business Cooperation ...................................................................... 45
U.S.-Israeli Energy Cooperation (BIRD Energy) ............................................................. 46
U.S.-Israel Center of Excellence in Energy, Engineering and Water Technology
(Energy Center).............................................................................................................. 47
BIRD Homeland Security (BIRD HLS) ........................................................................... 47
Other Congressionally Authorized Cooperative Endeavors.................................................... 48
U.S. Foreign Aid to Israel
Congressional Research Service
U.S.-Israel Cooperation in International Development........................................................... 48
Figures
Figure 1. Phasing Out Off-Shore Procurement (OSP) Under the MOU ....................................... 12
Figure 2. U.S. Military Aid to Israel over Decades....................................................................... 13
Figure 3. U.S. and Israeli F-35s Fly in Formation......................................................................... 16
Figure 4. F-35 Helmet Mounted Display ...................................................................................... 17
Figure 5. The KC46A Pegasus ...................................................................................................... 18
Figure 6. Iron Dome Launcher...................................................................................................... 21
Figure 7. David’s Sling Launches Stunner Interceptor ................................................................. 25
Figure 8. Army Officers Inspect WRSA-I..................................................................................... 29
Tables
Table 1. Total U.S. Foreign Aid Obligations to Israel: 1946-2021.................................................. 2
Table 2. Selected Notified U.S. Foreign Military Sales to Israel .................................................. 19
Table 3. Select Examples of Emergency Aid to Israel................................................................... 22
Table 4. U.S. Contributions to the Arrow Program (Arrow, Arrow II, and Arrow III).................. 27
Table 5. Defense Budget Appropriations for U.S.-Israeli Missile Defense: FY2006-
FY2021....................................................................................................................................... 28
Table 6. U.S.-Israeli Anti-Tunnel Cooperation.............................................................................. 32
Table 7. U.S.-Israeli Anti-Drone Cooperation............................................................................... 33
Table 8. Migration and Refugee Assistance Funding Levels for Israel......................................... 41
Table 9. U.S. Loan Guarantees to Israel: FY2003-FY2021 .......................................................... 44
Table A-1. U.S. Bilateral Aid to Israel........................................................................................... 50
Appendixes
Appendix. Bilateral Aid to Israel................................................................................................... 50
Appendix A. Common Acronyms and Abbreviations used in this Report .................................... 51
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