A bill to prohibit the use of fiscal year 2003 Federal funds for support of the Palestinian Authority pending the cessation of terrorist activities by the Palestinian Authority.

Prohibits the obligation or expenditure of any funds available to any Federal department or agency for FY 2003 for support of: (1) the Palestinian Authority (PA), any entity supported by it, or any successor thereof; or (2) any private, voluntary organization for projects related to the PA or located in Palestine that would otherwise be undertaken by it.

Terminates this prohibition upon certification by the President that neither the PA nor any entity supported by it has engaged in planning or carrying out any terrorist act for the preceding six months.

Includes as "support" for purposes of this Act direct and indirect support, whether financial or otherwise, including support for the Holst Fund of the World Bank and the United Nations Relief and Works Agency.