Jan 01, 2012

Obama signs defense bill, with 'serious reservations'

By David Jackson, USA TODAY

President Obama ended 2011 by signing a major defense bill, despite what he called "serious reservations" about provisions regarding interrogations of terrorist suspects, sanctions against Iran, and relations with Russia.

"Some in Congress continue to insist upon restricting the options available to our counter-terrorism professionals and interfering with the very operations that have kept us safe," Obama said in a statement issued from Hawaii, where he is spending his end-of-the-year vacation.

Another provision that drew Obama administration criticism is one that penalizes foreign financial firms that do business with Iran's central bank; officials said the provision could lead to higher oil prices, hurting economy recovery in the United States and across the globe.

Obama also objected to a provision requiring Obama to submit a report to Congress prior to sharing any information with Russia about a U.S. ballistic missile defense system.

Wrote Obama: "While my Administration intends to keep the Congress fully informed of the status of U.S. efforts to cooperate with the Russian Federation on ballistic missile defense, my Administration will also interpret and implement section 1244 in a manner that does not interfere with the President's constitutional authority to conduct foreign affairs and avoids the undue disclosure of sensitive diplomatic communications."

From the Associated Press:

Signing statements allow presidents to raise constitutional objections to circumvent Congress' intent. During his campaign for the White House, Obama criticized President George W. Bush's use of signing statements and promised to make his application of the tool more transparent.

Obama's signature caps months of wrangling over how to handle captured terrorist suspects without violating Americans' constitutional rights. The White House initially threatened to veto the legislation but dropped the warning after Congress made last-minute changes.

Among the changes the administration secured was striking a provision that would have eliminated executive branch authority to use civilian courts for trying terrorism cases against foreign nationals.

By Jacquelyn Martin, AP
The new law now requires military custody for any suspect who is a member of al-Qaida or "associated forces" and involved in planning or attempting to carry out an attack on the United States or its coalition partners. The president or a designated subordinate may waive the military custody requirement by certifying to Congress that such a move is in the interest of national security.

The administration also pushed Congress to change a provision that would have denied U.S. citizens suspected of terrorism the right to trial and could have subjected them to indefinite detention. Lawmakers eventually dropped the military custody requirement for U.S. citizens or lawful U.S. residents.

"My administration will not authorize the indefinite military detention without trial of American citizens," Obama said in the signing statement. "Indeed, I believe that doing so would break with our most important traditions and values as a nation." ...

The administration also raised concerns about an amendment in the bill that goes after foreign financial institutions that do business with Iran's central bank, barring them from opening or maintaining correspondent operations in the United States. It would apply to foreign central banks only for transactions that involve the sale or purchase of petroleum or petroleum products.

Officials worry that the penalties could lead to higher oil prices, damaging the U.S. economic recovery and hurting allies in Europe and Asia that purchase petroleum from Iran.

The penalties do not go into effect for six months. The president can waive them for national security reasons or if the country with jurisdiction over the foreign financial institution has significantly reduced its purchases of Iran oil.

The State Department has said the U.S. was looking at how to put them in place in a way that maximized the pressure on Iran, but meant minimal disruption to the U.S. and its allies.

This week, Iran warned that it may disrupt traffic in the Strait of Hormuz - a vital Persian Gulf waterway. But on Saturday, Tehran seemed to back off that threat when a commander of its Revolutionary Guard said such discussion is a thing of the past and "belongs to five years ago."

Iran also said Saturday that it had proposed a new round of talks on its nuclear program with the U.S. and other world powers. The invitation would come after the U.N. has imposed four rounds of sanctions. Separately, the U.S. and the European Union have imposed their own tough economic and financial penalties.

The $662 billion bill authorizes money for military personnel, weapons systems, the wars in Afghanistan and Iraq and national security programs in the Energy Department for the fiscal year beginning Oct. 1.

The measure also freezes some $700 million in assistance until Pakistan comes up with a strategy to deal with improvised explosive devices.

See photos of: Barack Obama