To: Nadine Carroll who wrote (48172 ) 9/30/2002 6:33:38 PM From: Ilaine Read Replies (1) | Respond to of 281500 Bush Signs Bill Which Calls Jerusalem Capital By Jonathan Wright WASHINGTON (Reuters) - President Bush, at the risk of angering the Arab and Muslim worlds, on Monday signed legislation that requires the administration to identify Jerusalem as Israel's capital, a U.S. official said. Faced with a choice between endorsing the controversial legislation passed by Congress and shutting down U.S. diplomatic activity, Bush put his name to the Foreign Relations Authorization Act for 2003, which gives the administration more than $4 billion for running the State Department. The White House, in a statement later, will argue that the language on Jerusalem reflects a "sense of the Congress" and is not binding for U.S. policy, a senior official said. The bill goes further on Jerusalem than previously demanded by Congress, which for years has pressed successive administrations on the related question of moving the U.S. Embassy to Israel from Tel Aviv to Jerusalem. Administrations have promised to make the move but have repeatedly put it off because of the ill feeling it would create in the Arab world, which considers Arab East Jerusalem to be occupied territory and the capital of a future Palestinian state in the West Bank and Gaza. State Department spokesman Richard Boucher said on Monday the United States continues to believe that the status of Jerusalem should be decided in "permanent status" talks between Israelis and Palestinians. "We have always opposed legislative action that hinders the president's prerogatives in advancing our interests in the region and promoting a just and lasting peace," he added.abcnews.go.com