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Summary:
Under the populist rule of President Hugo Chᶥz, first elected in 1998 and most recently reelected to a six-year term in December 2006, Venezuela has undergone enormous political changes, with a new constitution and unicameral legislature, and even a new name for the country, the Bolivarian Republic of Venezuela. U.S. officials and human rights organizations have expressed concerns about the deterioration of democratic institutions and threats to freedom of expression under President Chᶥz, who has survived several attempts to remove him from power. The government has benefitted from the rise in world oil prices, which has sparked an economic boom and allowed Chᶥz to increase expenditures on social programs associated with his populist agenda. After he was reelected, Chᶥz announced new measures to move the country toward socialism. His May 2007 closure of a popular Venezuelan television station (RCTV) that was critical of the government sparked student-led protests and international condemnation. President Chᶥz was dealt a setback on December 2, 2007, when his proposed constitutional amendment package was defeated by a close margin in a national referendum. Many of the amendments proved controversial, such as the removal of presidential term limits and the government's ability to suspend certain constitutional rights during a state of emergency. The United States traditionally has had close relations with Venezuela, the fourth major supplier of foreign oil to the United States, but there has been friction in relations with the Chᶥz government. U.S. officials have expressed concerns about President Chᶥz's military arms purchases, his relations with such countries as Cuba and Iran, his efforts to export his brand of populism to other Latin American countries, and concerns about the state of democracy. Declining cooperation on antidrug and anti-terrorism efforts has also been a U.S. concern. Since 2005, President Bush has annually designated Venezuela as a country that has failed demonstrably to adhere to its obligations under international narcotics agreements, and since 2006, the Department of State prohibited the sale of defense articles and services to Venezuela because of its lack of cooperation on anti-terrorism efforts. Congressional concerns regarding Venezuela focus on the state of democracy human rights and energy issues. On May 24, 2007, the Senate approved S.Res. 211, expressing profound concerns regarding freedom of expression and Venezuela's decision not to renew the license of RCTV. The House version of H.R. 2764, the FY2008 State Department and Foreign Operations appropriations bill approved in June 2007, would have directed $10 million for targeted international broadcasting to Venezuela. The final enacted measure (P.L. 110-161, Division J) did not specifically earmark such funding, but the explanatory statement to the bill expressed support for restoring shortwave and medium wave transmission to Venezuela. On November 5, 2007, the House approved H.Res. 435, expressing concern about Iran's efforts to expand its influence in Latin America, and noting Venezuela's increasing cooperation with Iran. Additional House initiatives include two human rights resolutions, H.Con.Res. 50 and H.Con.Res. 77; and H.Res. 560, which would express concern about Venezuela's actions in the oil sector. Two Senate bills, S. 193 and S. 1007, would increase hemispheric cooperation on energy issues.