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Calendar No. 296

108TH CONGRESS

Report

SENATE

1st Session

108-160
EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR IRAQ AND AFGHANISTAN SECURITY AND RECONSTRUCTION, 2004

October 2, 2003- Ordered to be printed
Mr. STEVENS, from the Committee on Appropriations, submitted the following
REPORT
[To accompany S. 1689]

The Committee on Appropriations reports the bill (S. 1689) making emergency supplemental appropriations for Iraq and Afghanistan security and reconstruction for the fiscal year ending September 30, 2004, and for other purposes, reports favorably thereon and recommends that the bill do pass.

CONTENTS Page
Background 3
Title I--National Security: Chapter 1: Subcommittee on Defense
4
Chapter 2: Subcommittee on Military Construction
10
Chapter 3: General Provisions, This Title 11
Title II--International Affairs:
Chapter 1: Subcommittee on Commerce, Justice, and State, the Judiciary, and Related Agencies 13
Chapter 2: Subcommittee on Foreign Operations, Export Financing, and Related Programs
14
Chapter 3: General Provisions, This Title 17
Title III--General Provision, This Act 19
Compliance With Paragraph 7, Rule XVI of the Standing Rules of the Sen- ate 20
Compliance With Paragraph 7(c), Rule XXVI of the Standing Rules of the Senate 20
Compliance With Paragraph 12, Rule XXVI of the Standing Rules of the Senate 21
Budgetary Impact 21

BACKGROUND

This bill makes appropriations for the military functions of the Department of Defense as it prosecutes the war in Iraq and Afghanistan, as well as for relief and reconstruction efforts in Iraq and Afghanistan, and to continue anti-terrorism efforts around the world.

HEARINGS

The Committee held hearings on September 22, 24, and 25, 2003 and heard testimony from Ambassador Paul Bremer; Hon. Donald Rumsfeld, Secretary of Defense; General Richard Meyers, Chairman, Joint Chiefs of Staff; General John Abizaid, Commanding General United States Central Command; Dr. Dov Zakheim, Under Secrteary of Defense (Comptroller); Peter Rodman, Assistant Secretary of Defense Secretary for International Security Affairs; and General Peter Pace, Vice Chairman, Joint Chief of Staff from the Department of Defense.

SUMMARY OF THE BILL

On September 17, 2003, the President submitted requests for $87,039,804,000 in new budget authority for programs under the Department of Defense, Department of State, United States Agency for International Development, and the Iraq Relief and Reconstruction Fund. The Committee recommends $87,004,004,000 in new budget authority.

The President's supplemental requests are contained in budget estimate No. 17, transmitted on September 17, 2003 (H. Doc. 108-126).

COMMITTEE PRIORITIES

The primary goals of this bill are to fund the ongoing military operations in Iraq and Afghanistan as well as relief and reconstruction activities in those countries. To accomplish the first goal, the Committee is providing $66,560,004,000 to prosecute the war in Iraq and Afghanistan. These funds are for increased operational tempo, military personnel costs, military construction, procurement of equipment, increased maintenance and military health care support. To achieve the second goal, the Committee is providing $21,444,000,000 to help secure the transition to democracy in both Iraq and Afghanistan. These funds are for enhanced security and reconstruction activities including border enforcement, building a national police service in Iraq, standing up a new Iraqi army and continued building of the Afghan National Army, reconstituted judicial systems, rehabilitation of Iraq's oil infrastructure, and provision of basic electricity, water and sewer services and other critical reconstruction needs in Iraq and Afghanistan.

TITLE I--NATIONAL SECURITY

CHAPTER 1

SUBCOMMITTEE ON DEFENSE

DEPARTMENT OF DEFENSE

2004 supplemental estimate $65,147,554,000
Committee recommendation 65,147,554,000

MILITARY PERSONNEL

SPECIAL PAYS AND ALLOWANCES

The Supplemental request includes $1,248,200,000 for enhanced Special Pays included Family Separation Allowance [FSA], Imminent Danger Pay [IDP], and Hostile Duty Pay [HDP]. The Department's request would fund FSA and IDP at the enhanced levels authorized in the fiscal year 2003 Emergency Wartime Supplemental Appropriation Act (Public Law 108-11) for the first 3 months of the fiscal year. Beginning January 1, 2004, the Department requests that FSA and IDP return to the levels authorized prior to enactment of Public Law 108-11, and that the Committee authorize an increase in Hardship Duty Pay to offset the reductions to FSA and IDP. However, the requested increase in HDP would only cover those individuals serving in the combat zone in support of Operation Iraqi Freedom and Operation Enduring Freedom. The Department's proposal would not provide a benefit to those servicemembers who have been mobilized and deployed throughout the United States in support of Operation Noble Eagle, nor would it provide a benefit to those servicemembers deployed overseas in support of other contingency operations such as Bosnia and Kosovo. The Committee does not approve the Department's request, and instead supports the continuation of FSA and IDP at the levels authorized in Public Law108-11 for all of fiscal year 2004. The Committee directs the Department to use the funds requested for increased Hardship Duty Pay to fund the full year increase to FSA and IDP for all eligible recipients.

MILITARY PERSONNEL, ARMY

2004 supplemental estimate $12,858,870,000
Committee recommendation 12,858,870,000

The Committee recommends $12,858,870,000 for Military Personnel, Army. The recommendation is equal to the estimate.

MILITARY PERSONNEL, NAVY

2004 supplemental estimate $816,100,000
Committee recommendation 816,100,000

The Committee recommends $816,100,000 for Military Personnel, Navy. The recommendation is equal to the estimate.

MILITARY PERSONNEL, MARINE CORPS

2004 supplemental estimate $753,190,000
Committee recommendation 753,190,000

The Committee recommends $753,190,000 for Military Personnel, Marine Corps. The recommendation is equal to the estimate.

MILITARY PERSONNEL, AIR FORCE

2004 supplemental estimate $3,384,700,000
Committee recommendation 3,384,700,000

The Committee recommends $3,384,700,000 for Military Personnel, Air Force. The recommendation is equal to the estimate.

OPERATION AND MAINTENANCE

OPERATION AND MAINTENANCE, ARMY

2004 supplemental estimate $24,190,464,000
Committee recommendation 24,946,464,000

The Committee recommends $24,946,464,000 for Operation and Maintenance, Army. The recommendation is $756,000,000 above the estimate.

The Committee is concerned that the estimate does not fully reflect the Army's contingency costs to sustain ongoing operations, or the costs necessary to reset the force. This places the Army at considerable financial risk during fiscal year 2004. Accordingly, the Committee recommends an increase of $756,000,000 to the estimate as follows:


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--------------------------------------------------------------------------------
SAPI body armor/Rapid Fielding Initiative/battlefield EOD cleanup +$300,000,000 
Increased organizational level maintenance requirements            +200,000,000 
Second destination transportation for depot maintenance            +174,000,000 
Theater stabilization communications                                +72,000,000 
Army and Air Force Exchange Service support for deployed forces     +10,000,000 
--------------------------------------------------------------------------------

The Committee has included $858,200,000 for the Administrative and Operating Costs for the Coalition Provisional Authority [CPA]. The Committee directs the Department to use funds from the Iraq Freedom Fund if the requirements for CPA exceed the $858,200,000 appropriated under this heading.

OPERATION AND MAINTENANCE, NAVY

2004 supplemental estimate $2,106,258,000
Committee recommendation 1,976,258,000

The Committee recommends $1,976,258,000 for Operation and Maintenance, Navy. The recommendation is $130,000,000 below the estimate.

The Committee recommends a reduction of $130,000,000 to the estimate as follows:


-------------------------------------------------
-------------------------------------------------
Excess increased operational tempo -$130,000,000 
-------------------------------------------------

OPERATION AND MAINTENANCE, MARINE CORPS

2004 supplemental estimate $1,198,981,000
Committee recommendation 1,198,981,000

The Committee recommends $1,198,981,000 for Operation and Maintenance, Marine Corps. The recommendation is equal to the estimate.

OPERATION AND MAINTENANCE, AIR FORCE

2004 supplemental estimate $5,948,368,000
Committee recommendation 5,516,368,000

The Committee recommends $5,516,368,000 for Operation and Maintenance, Air Force. The recommendation is $432,000,000 below the estimate.

The Committee recommends a reduction of $432,000,000 to the estimate as follows:


----------------------------------------------------------
----------------------------------------------------------
Unjustified `incremental contingency costs' -$200,000,000 
Excess inter/intra-theater airlift           -132,000,000 
Excess DPEM                                  -100,000,000 
----------------------------------------------------------

OPERATION AND MAINTENANCE, DEFENSE-WIDE

2004 supplemental estimate $4,618,452,000
Committee recommendation 4,218,452,000

The Committee recommends $4,218,452,000 for Operation and Maintenance, Defense-Wide. The recommendation is $400,000,000 below the estimate.

The Committee recommends a reduction of $400,000,000 to the estimate as follows:


--------------------------------------------------------
--------------------------------------------------------
Excess support to key cooperating nations -$400,000,000 
--------------------------------------------------------

OPERATION AND MAINTENANCE, MARINE CORPS RESERVE

2004 supplemental estimate $16,000,000
Committee recommendation 16,000,000

The Committee recommends $16,000,000 for Operation and Maintenance, Marine Corps Reserve. The recommendation is equal to the estimate.

OPERATION AND MAINTENANCE, AIR FORCE RESERVE

2004 supplemental estimate $53,000,000
Committee recommendation 53,000,000

The Committee recommends $53,000,000 for Operation and Maintenance, Air Force Reserve. The recommendation is equal to the estimate.

OPERATION AND MAINTENANCE, AIR NATIONAL GUARD

2004 supplemental estimate $214,000,000
Committee recommendation 214,000,000

The Committee recommends $214,000,000 for Operation and Maintenance, Air National Guard. The recommendation is equal to the estimate.

OVERSEAS HUMANITARIAN, DISASTER, AND CIVIC AID

2004 supplemental estimate $35,500,000
Committee recommendation 35,500,000

The Committee recommends $35,500,000 for Overseas Humanitarian, Disaster, and Civic Aid. The recommendation is equal to the estimate.

IRAQ FREEDOM FUND

2004 supplemental estimate $1,988,600,000
Committee recommendation 1,988,600,000

The Committee recommends $1,988,600,000 for the Iraq Freedom Fund. The recommendation is equal to the estimate.

PROCUREMENT

MISSILE PROCUREMENT, ARMY

2004 supplemental estimate $6,200,000
Committee recommendation 6,200,000

The Committee recommends $6,200,000 for Missile Procurement, Army. The recommendation is equal to the estimate.

PROCUREMENT OF WEAPONS AND TRACKED COMBAT VEHICLES, ARMY

2004 supplemental estimate $46,000,000
Committee recommendation 104,000,000

The Committee recommends $104,000,000 for Procurement of Weapons and Tracked Combat Vehicles, Army. The recommendation is $58,000,000 above the estimate.

The Committee recommends an increase of $58,000,000 to the estimate as follows:


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------------------------------------------------------------------------------------------------
Replenishment of Army Prepositioned Stock items destroyed during combat operations +$58,000,000 
------------------------------------------------------------------------------------------------

OTHER PROCUREMENT, ARMY

2004 supplemental estimate $930,687,000
Committee recommendation 1,078,687,000

The Committee recommends $1,078,687,000 for Other Procurement, Army. The recommendation is $148,000,000 above the estimate.

The Committee recommends an increase of $148,000,000 to the estimate as follows:


------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------
Theater stabilization communications                                               +$64,000,000 
Replenishment of Army Prepositioned Stock items destroyed during combat operations  +84,000,000 
------------------------------------------------------------------------------------------------

AIRCRAFT PROCUREMENT, NAVY

2004 supplemental estimate $128,600,000
Committee recommendation 128,600,000

The Committee recommends $128,600,000 for Aircraft Procurement, Navy. The recommendation is equal to the estimate.

OTHER PROCUREMENT, NAVY

2004 supplemental estimate $76,357,000
Committee recommendation 76,357,000

The Committee recommends $76,357,000 for Other Procurement, Navy. The recommendation is equal to the estimate.

PROCUREMENT, MARINE CORPS

2004 supplemental estimate $123,397,000
Committee recommendation 123,397,000

The Committee recommends $123,397,000 for Procurement, Marine Corps. The recommendation is equal to the estimate.

AIRCRAFT PROCUREMENT, AIR FORCE

2004 supplemental estimate $40,972,000
Committee recommendation 40,972,000

The Committee recommends $40,972,000 for Aircraft Procurement, Air Force. The recommendation is equal to the estimate.

MISSILE PROCUREMENT, AIR FORCE

2004 supplemental estimate $20,450,000
Committee recommendation 20,450,000

The Committee recommends $20,450,000 for Missile Procurement, Air Force. The recommendation is equal to the estimate.

OTHER PROCUREMENT, AIR FORCE

2004 supplemental estimate $3,441,006,000
Committee recommendation 3,441,006,000

The Committee recommends $3,441,006,000 for Other Procurement, Air Force. The recommendation is equal to the estimate.

PROCUREMENT, DEFENSE-WIDE

2004 supplemental estimate $435,635,000
Committee recommendation 435,635,000

The Committee recommends $435,635,000 for Procurement, Defense-Wide. The recommendation is equal to the estimate.

RESEARCH, DEVELOPMENT, TEST AND EVALUATION

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, NAVY

2004 supplemental estimate $34,000,000
Committee recommendation 34,000,000

The Committee recommends $34,000,000 for Research, Development, Test and Evaluation, Navy. The recommendation is equal to the estimate.

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, AIR FORCE

2004 supplemental estimate $39,070,000
Committee recommendation 39,070,000

The Committee recommends $39,070,000 for Research, Development, Test and Evaluation, Air Force. The recommendation is equal to the estimate.

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, DEFENSE-WIDE

2004 supplemental estimate $265,817,000
Committee recommendation 265,817,000

The Committee recommends $265,817,000 for Research, Development, Test and Evaluation, Defense-Wide. The recommendation is equal to the estimate.

REVOLVING AND MANAGEMENT FUNDS

WORKING CAPITAL FUNDS, DEFENSE-WIDE

2004 supplemental estimate $600,000,000
Committee recommendation 600,000,000

The Committee recommends $600,000,000 for Defense Working Capital Funds. The recommendation is equal to the estimate.

NATIONAL DEFENSE SEALIFT FUND

2004 supplemental estimate $24,000,000
Committee recommendation 24,000,000

The Committee recommends $24,000,000 for the National Defense Sealift Fund. The recommendation is equal to the estimate.

OTHER DEPARTMENT OF DEFENSE PROGRAMS

DEFENSE HEALTH PROGRAM

2004 supplemental estimate $658,380,000
Committee recommendation 658,380,000

The Committee recommends $658,380,000 for the Defense Health Program. The recommendation is equal to the estimate.

DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES, DEFENSE

2004 supplemental estimate $73,000,000
Committee recommendation 73,000,000

The Committee recommends $73,000,000 for Drug Interdiction and Counter-Drug Activities, Defense. The recommendation is equal to the estimate.

RELATED AGENCIES

INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT

2004 supplemental estimate $21,500,000
Committee recommendation 21,500,000

The Committee recommends $21,500,000 for the Intelligence Community Management Account. The recommendation is equal to the estimate.

CHAPTER 2

SUBCOMMITTEE ON MILITARY CONSTRUCTION

MILITARY CONSTRUCTION

MILITARY CONSTRUCTION, ARMY

2004 supplemental estimate $119,900,000
Committee recommendation 119,900,000

The Committee recommends an additional $119,900,000 for Military Construction, Army, to be used as follows:


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------------------------------------------------
Base Camp Support Facilities, Iraq $115,900,000 
Planning and Design                   4,000,000 
------------------------------------------------

The Committee fully supports the administration's request to provide adequate support facilities for United States soldiers serving in base camps in Iraq, but is concerned that project details and justifications contained in the administration's request for these facilities were not sufficiently defined. The Committee therefore directs that the Army brief the congressional defense committees on its final plans for these facilities before obligating any of the military construction funds appropriated in this Act.

MILITARY CONSTRUCTION, AIR FORCE

2004 supplemental estimate $292,550,000
Committee recommendation 292,550,000

The Committee recommends an additional $292,550,000 for Military Construction, Air Force, to be used as follows:


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--------------------------------------------------------------------------------
Airfield Runway Repair, Bagram, Afghanistan                         $48,000,000 
Airfreight Terminal, Dover Air Force Base, Delaware                  56,000,000 
AEF FOL Communications Remote Switch Facility, Diego Garcia           3,450,000 
Munitions Maintenance, Storage, and Wash Pad, Camp Darby, Italy       5,000,000 
Ramp and Fuel Hydrant System, Al Dhafra, United Arab Emirates        47,000,000 
Airlift Ramp, Balad Air Base, Iraq                                   18,000,000 
Airlift Aprons (Confidential Location)                               17,500,000 
Tactical/Strategic Ramp Expansion, Al Udeid Air Base, Qatar          20,000,000 
Refueler Ramp, Al Udeid Air Base, Qatar                              40,000,000 
Temporary Cantonment Area, Al Dhafra Air Base, United Arab Emirates  15,300,000 
Planning and Design                                                  22,300,000 
--------------------------------------------------------------------------------

The Committee supports the administration's request for additional military construction funds for Air Force facilities in Southwest Asia. However, while the Air Force has provided detail about specific projects, it has provided little information about its overall plan for facilities in the theater of operations and how projects contained in the supplemental request fit into that plan. The Committee therefore directs the Air Force to report to the congressional defense committees, in both classified and unclassified form, on its master plan for facilities in the Central Command area of responsibility, including the planned disposition of aircraft and personnel, no later than December 1, 2003.

CHAPTER 3

GENERAL PROVISIONS, THIS TITLE

SEC. 301. The Committee recommendation amends a provision proposed by the Administration which allows the Department of Defense to reimburse the Services for a drawdown authority under the Afghanistan Freedom Support Act of 2002.

SEC. 302. The Committee recommendation modifies a provision proposed by the Administration which provides the Secretary of Defense with additional transfer authority.

SEC. 303. The Committee recommendation includes a provision proposed by the Administration which provides specific authorization for the funds appropriated in this title for intelligence activities.

SEC. 304. The Committee recommendation includes a new provision regarding the alteration of command responsibility or permanent assignment of forces.

SEC. 305. The Committee recommendation includes a provision proposed by the Administration which sustains existing authority to cover travel and transportation benefits for family members of military personnel injured during Operation Iraqi Freedom, Operation Enduring Freedom, or Operation Noble Eagle.

SEC. 306. The Committee recommendation includes a provision that sustains the increase in the statutory maximum payable for Imminent Danger Pay and Family Separation Allowance.

SEC. 307. The Committee recommendation includes a provision recommended by the Administration which allows the Department to make necessary accounting adjustments to the Defense Emergency Response Fund.

SEC. 308. The Committee recommendation includes a new provision that requires the Secretary of Defense to provide a report to the Committees on Appropriations.

SEC. 309. The Committee recommendation includes a new provision that requires the Department of Defense to describe alternatives for replacing the capabilities of the KC-135 fleet of aircraft.

SEC. 310. The Committee recommendation includes a new provision which limits the use of procurement and research, development, test and evaluation funds.

SEC. 311. The Committee recommendation includes a provision proposed by the Administration which allows the Department to use funds for supplies, services, transportation, and other logistical support of troops supporting military and stability operations in Iraq.

SEC. 312. The Committee recommends a provision proposed by the Administration which allows training and equipping the Afghanistan National Army and the New Iraqi Army.

SEC. 313. The Committee recommendation includes a provision requiring a report on military readiness.

SEC. 314. The Committee recommendation includes a provision regarding the exemption of certain members of the Armed Forces from the requirement to pay subsistence charges while hospitalized.

SEC. 315. The Committee recommends a general provision which provides the Secretary of Defense with additional authority for contingency military construction expenses necessary to protect against or respond to acts of terrorism, or to support Department of Defense operations in Iraq.

TITLE II--INTERNATIONAL AFFAIRS

CHAPTER 1

SUBCOMMITTEE ON COMMERCE, JUSTICE, AND STATE, THE JUDICIARY, AND RELATED AGENCIES

DEPARTMENT OF STATE

ADMINISTRATION OF FOREIGN AFFAIRS

DIPLOMATIC AND CONSULAR PROGRAMS

(INCLUDING RESCISSION)

2004 supplemental estimate $76,300,000
Committee recommendation 35,800,000

The Committee recommends a rescission and re-appropriation of $35,800,000 for the costs of security and operations related to the establishment of United States diplomatic presences in Iraq and Afghanistan. The recommendation is $40,500,000 below the request. The problem of Machine Readable Visa [MRV] fee shortfalls is addressed under the Emergencies in the Diplomatic and Consular Service account. Funds previously appropriated under this heading in the Emergency Wartime Supplemental Appropriations Act of 2003 are subject to the standard reprogramming procedures set forth in section 605, Division B of Public Law 108-7.

EMBASSY SECURITY, CONSTRUCTION, AND MAINTENANCE

2004 supplemental estimate $60,500,000
Committee recommendation ...........................

The Committee does not recommend any funding for Embassy security, construction and maintenance. The recommendation is $60,500,000 below the supplemental budget request. The request included $60,500,000 to construct an interim United States diplomatic facility in Iraq. The Committee reminds the Department that $61,500,000 was provided for this purpose in Public Law 108-11, the Emergency Wartime Supplemental Appropriations Act of 2003. The Committee is aware of the Department's reprogramming request to utilize $43,900,000 of these funds to construct an interim facility for United States Agency for International Development and other United States Government employees engaged in reconstruction efforts in Afghanistan and $16,600,000 of these funds to cover the personnel, transportation, and equipment costs of United States Government officials tasked with advising the Afghan transitional government on reconstruction. This request is contained under the `Capital investment fund' of chapter 2 of this title. Also, the Committee approves the Department's reprogramming request to utilize $14,500,000 under Worldwide Security Upgrades for security requirements in Afghanistan, and directs that these funds only be used for the security of the main United States Embassy compound and security assistance to United Nations offices and personnel and non-governmental organization offices and personnel.

EMERGENCIES IN THE DIPLOMATIC AND CONSULAR SERVICE

2004 supplemental estimate $50,000,000
Committee recommendation 90,500,000

The Committee recommends $90,500,000 for Emergencies in the Diplomatic and Consular Service. The recommendation is $40,500,000 above the supplemental budget request. Funds provided under this heading will ensure that rewards of up to $25,000,000 may be paid for Osama bin Laden and Saddam Hussein. The recommendation also includes language directing that $2,000,000 of previously appropriated funds be made available for a reward for the person deemed most responsible by the Special Court for Sierra Leone for the war crimes, crimes against humanity, and serious violations of international humanitarian law that took place during Sierra Leone's civil war. The recommendation also includes language directing that $8,451,000 in carryover balances be transferred to and merged with the Diplomatic and Consular Programs account for the Department's consular, or `border security' operations.

CHAPTER 2

SUBCOMMITTEE ON FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS

BILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR INTERNATIONAL DEVELOPMENT

2004 supplemental estimate $40,000,000
Committee recommendation 40,000,000

The Committee provides $40,000,000 for an additional amount for Operating Expenses of the United States Agency for International Development for costs associated with reconstruction and other activities in Iraq and Afghanistan.

CAPITAL INVESTMENT FUND

2004 supplemental estimate ...........................
Committee recommendation $60,500,000

The Committee provides $60,500,000 for an additional amount for the Capital Investment Fund for safe and secure facilities in Afghanistan, Iraq, and elsewhere.

OTHER BILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

IRAQ RELIEF AND RECONSTRUCTION FUND

(INCLUDING TRANSFERS OF FUNDS)

2004 supplemental estimate $20,304,000,000
Committee recommendation 20,304,000,000

The Committee provides $20,304,000,000 for the Iraq Relief and Reconstruction Fund for security, rehabilitation and reconstruction in Iraq.

The Committee notes that funds appropriated under this heading are subject to the regular notification procedures of the Committees on Appropriations, except that notification shall be transmitted at least 5 days in advance of the obligation of funds. The Committee also provides that funds allocated under this heading for programs and sectors may be reallocated by the President for those programs and sectors.

The Committee strongly supports programs and activities to promote freedom, democratic institutions, and the rule of law in Iraq and provides that not less than $100,000,000 shall be made available for democracy building activities in that country in support of the development and ratification of a constitution, national elections and women's development programs. The Committee directs that not less than $5,000,000 be made available to Iraqi nongovernmental organizations in Iraq in a timely manner, in grants of up to $100,000. The Committee also expects sufficient funding to be provided to the National Endowment for Democracy, the International Republican Institute and the National Democratic Institute for political party and other democracy building activities.

The Committee recommends not less than $20,000,000 for media outreach activities in Iraq that utilizes low cost, advanced technology tools.

The Committee recommends $5,000,000 for a program, such as that administered by the International Commission on Missing Persons, to locate, recover, and identify Iraqis missing as a result of authoritarian rule or conflict.

The Committee again provides that funds shall be made available for Iraqi civilians who suffer losses as a result of military operations in Iraq. The Committee supports the provision of medical, rehabilitation, shelter, microcredit and other appropriate assistance to these individuals. The Committee expects all relevant agencies and organizations to coordinate efforts in providing this assistance.

The Committee recognizes that conflict and decades of neglect devastated Iraq's health infrastructure, resulting in a lack of medical equipment and supplies, and health professionals with expertise in pediatric medical specialties. The Committee is concerned that children with critical health problems cannot obtain life-saving treatments in Iraq. The Committee strongly supports activities that can have an immediate impact in addressing the needs of these children, such as the Emergency Health Services for the Children of Iraq program sponsored jointly by Kurdish Human Rights Watch and Vanderbilt University Children's Hospital.

The Committee notes the important contributions that nongovernmental organizations have made to relief and reconstruction efforts in Iraq, and urges that they be utilized to the maximum extent practicable. The Committee also recommends that organizations with experience in post-conflict governance matters--such as the United States Institute of Peace--be utilized in reconstruction efforts in Iraq and Afghanistan.

The Committee recommends that not less than $2,000,000 be made available to support organizations working in Iraq, Afghanistan and other complex humanitarian emergency and war settings, to apply public health strategies and epidemiology to mitigate the impact of the conflict on civilian populations. Programs supported should include those which collect, analyze, and use multi-sector data for programmatic decision-making and evaluation of assistance programs during and after conflict.

ECONOMIC SUPPORT FUND

2004 supplemental estimate $422,000,000
Committee recommendation 422,000,000

The Committee provides $422,000,000 for an additional amount for Economic Support Fund (ESF) for accelerated assistance for Afghanistan.

The Committee also provides authority to use up to $200,000,000 in Economic Support Funds contained in the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 2004 for debt reduction for Pakistan.

The Committee recognizes the progress of Internews in the establishment of independent news media in Afghanistan. However, absent additional long-term support opportunities for advancement may be lost. The Committee recommends that additional funds be made available for the expansion of local stations to regional stations, the establishment of national independent broadcasting, and support for daily news programs.

The Committee directs that not less than $15,000,000 be made available for media outreach activities in Afghanistan that utilizes low cost, advanced technology tools.

In addition to other purposes for which ESF assistance is used in Afghanistan, not less than $5,000,000 should be made available through appropriate humanitarian organizations for additional food, clothing, heating and cooking fuel, emergency shelter materials, and other basic necessities for displaced Afghans in Kabul.

UNITED STATES EMERGENCY FUND FOR COMPLEX FOREIGN CRISES

2004 supplemental estimate $100,000,000
Committee recommendation 100,000,000

The Committee provides $100,000,000 for the United States Emergency Fund for Complex Foreign Crises. While the Committee understands the need for flexibility in meeting unforeseen complex foreign crises, it includes congressional notification for these funds, which may be waived if human health or welfare is at substantial risk.

Among other activities, the Committee expects these funds to support operations and programs to prevent or respond to foreign territorial disputes, armed ethnic and civil conflicts that pose threats to regional and international peace, and acts of ethnic cleansing, mass killing or genocide. In addition, the Committee supports the use of these funds for peace and humanitarian efforts, such as required in Liberia.

DEPARTMENT OF STATE

INTERNATIONAL NARCOTICS CONTROL AND LAW ENFORCEMENT

2004 supplemental estimate $120,000,000
Committee recommendation 120,000,000

The Committee provides $120,000,000 for an additional amount in International Narcotics Control and Law Enforcement assistance for Afghanistan. The Committee expects $110,000,000 to be used to train, equip, and deploy additional police in Afghanistan, and $10,000,000 to be used to support the training of prosecutors, public defenders and judges in Afghanistan and to meet infrastructure needs of the Afghan legal sector.

NONPROLIFERATION, ANTI-TERRORISM, DEMINING AND RELATED PROGRAMS

2004 supplemental estimate $35,000,000
Committee recommendation 35,000,000

The Committee provides $35,000,000 for an additional amount for Nonproliferation, Anti-Terrorism, Demining and Related Programs to support anti-terrorism training and equipment needs in Afghanistan.

MILITARY ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

FOREIGN MILITARY FINANCING PROGRAM

2004 supplemental estimate $222,000,000
Committee recommendation 222,000,000

The Committee provides $222,000,000 for the Foreign Military Financing Program. The Committee strongly supports the use of these funds to accelerate assistance to build the new Afghanistan army.

PEACEKEEPING OPERATIONS

2004 supplemental estimate $50,000,000
Committee recommendation 50,000,000

The Committee provides $50,000,000 for an additional amount for Peacekeeping Operations to support multinational peacekeeping needs in Iraq and other unanticipated peacekeeping crises.

CHAPTER 3

GENERAL PROVISIONS, THIS TITLE

SEC. 2301. The Committee includes transfer authority between accounts in chapter 2 of this title, with the total amount authorized to be transferred not to exceed $200,000,000. The Committee directs that it be consulted before this authority is exercised. The Committee includes the same notification requirement as contained in section 501 of Public Law 108-11.

SEC. 2302. The Committee includes authority permitting assistance or other financing contained in chapter 2 of this title for Iraq notwithstanding any other provision of law.

SEC. 2303. The Committee includes authority to allow appropriations provided in chapter 2 of this title to be made available without specific authorization of such appropriation.

SEC. 2304. The Committee extends section 1503 of Public Law 108-11 through September 30, 2005. The Committee notes that extending the inapplicability of section 307 of the Foreign Assistance Act of 1961 is particularly important as the United States pursues long-range efforts to assist Iraq and marshal resources from the international community.

SEC. 2305. The Committee amends the first proviso of section 1504 of Public Law 108-11 to include Iraqi military, private security force, other official security forces, police force, or forces from other countries in Iraq supporting United States efforts in Iraq. The Committee notes that other official security forces include Ministry of Interior forces, border guards, and civil defense forces. The Committee also notes that a private security force include those providing security services to contractors, nongovernmental organizations or other organizations affiliated with United States efforts in Iraq.

SEC. 2306. The Committee extends key provisions of Public Law 107-57 regarding restrictions that would otherwise limit assistance to Pakistan.

SEC. 2307. The Committee includes authority to allow the Overseas Private Investment Corporation to provide political risk insurance, direct loans, and guarantees in Iraq.

SEC. 2308. The Committee includes a notification requirement for certain accounts under chapter 2 of this title.

SEC. 2309. The Committee provides that the Secretary of State shall submit a report on a monthly basis detailing Iraq oil production and oil revenues.

SEC. 2310. The Committee directs that none of the funds in this Act may be used to pay debts incurred by the former government.

TITLE III--GENERAL PROVISION, THIS ACT

SEC. 3001. The Committee recommends that all the funds in the bill be designated by the Congress as emergency requirements pursuant to section 502 of House Concurrent Resolution 95 (108th Congress), the fiscal year 2004 concurrent resolution on the budget, as proposed by the President.

COMPLIANCE WITH PARAGRAPH 7, RULE XVI OF THE STANDING RULES OF THE SENATE

Paragraph 7 of rule XVI requires that Committee reports on general appropriations bills identify, with particularity, each Committee amendment to the House bill `which proposes an item of appropriation which is not made to carry out the provisions of an existing law, a treaty stipulation, or an act or resolution previously passed by the Senate during that session.'

The accompanying bill contains the following items which lack authorization:

The Committee is filing an original bill.

COMPLIANCE WITH PARAGRAPH 7(C), RULE XXVI OF THE STANDING RULES OF THE SENATE

Pursuant to paragraph 7(c) of rule XXVI, on September 30, 2003, the Committee ordered reported S. 1689, an original bill making emergency appropriations Iraq and Afghanistan security and reconstruction for the fiscal year ending September 30, 2004, subject to amendment and subject to the budget allocation, by a recorded vote of 29-0, a quorum being present. The vote was as follows:

Yeas Nays
Chairman Stevens
Mr. Cochran
Mr. Specter
Mr. Domenici
Mr. Bond
Mr. McConnell
Mr. Burns
Mr. Shelby
Mr. Gregg
Mr. Bennett
Mr. Campbell
Mr. Craig
Mrs. Hutchison
Mr. DeWine
Mr. Brownback
Mr. Byrd
Mr. Inouye
Mr. Hollings
Mr. Leahy
Mr. Harkin
Ms. Mikulski
Mr. Reid
Mr. Kohl
Mrs. Murray
Mr. Dorgan
Mrs. Feinstein
Mr. Durbin
Mr. Johnson
Ms. Landrieu

COMPLIANCE WITH PARAGRAPH 12, RULE XXVI OF THE STANDING RULES OF THE SENATE

Paragraph 12 of rule XXVI requires that Committee reports on a bill or joint resolution repealing or amending any statute or part of any statute include `(a) the text of the statute or part thereof which is proposed to be repealed; and (b) a comparative print of that part of the bill or joint resolution making the amendment and of the statute or part thereof proposed to be amended, showing by stricken-through type and italics, parallel columns, or other appropriate typographical devices the omissions and insertions which would be made by the bill or joint resolution if enacted in the form recommended by the committee.'

In compliance with this rule, the following changes in existing law proposed to be made by the bill are shown as follows: existing law to be omitted is enclosed in black brackets; new matter is printed in Italics; and existing law in which no change is proposed is shown in Roman.

With respect to this bill, it is the opinion of the Committee that it is necessary to dispense with these requirements in order to expedite the business of the Senate.

BUDGETARY IMPACT

Section 308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, requires that the report accompanying a bill providing new budget authority contain a statement detailing how that authority compares with the reports submitted under section 302 of the act for the most recently agreed to concurrent resolution on the budget for the fiscal year. All the funds provided in this bill are designated by Congress as emergency requirements.

FIVE-YEAR PROJECTION OF OUTLAYS

In compliance with section 308(a)(1)(C) of the Congressional Budget Act of 1974 (Public Law 93-344), as amended, the following table contains 5-year projections associated with the budget authority provided in the accompanying bill:


------------------------------------------------------
                                   Millions ofdollars 
------------------------------------------------------
Budget authority: Fiscal year 2004             87,004 
Outlays:                                              
Fiscal year 2004                               36,695 
Fiscal year 2005                               33,098 
Fiscal year 2006                               11,721 
Fiscal year 2007                                3,037 
Fiscal year 2008 and future years               1,872 
------------------------------------------------------

ASSISTANCE TO STATE AND LOCAL GOVERNMENTS

In accordance with section 308(a)(1)(D) of the Congressional Budget Act of 1974 (Public Law 93-344), as amended, the financial assistance to State and local governments is as follows:


--------------------------------------------
                         Millions ofdollars 
--------------------------------------------
New budget authority                        
Fiscal year 2004 outlays                    
--------------------------------------------

COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY ESTIMATES AND AMOUNTS RECOMMENDED IN THE BILL
[In thousands of dollars]
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Doc.No.                                                                                               Supplementalestimate Committeerecommendation Committee recommendation compared with supplemental estimate (+ or -) 
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
TITLE I                                                                                                                                                                                                                  
NATIONAL SECURITY                                                                                                                                                                                                        
CHAPTER 1                                                                                                                                                                                                                
DEPARTMENT OF DEFENSE                                                                                                                                                                                                    
Military Personnel                                                                                                                                                                                                       
108-126                                                                                                                                                                                                                  
Military Personnel, Army (emergency)                                                       12,858,870           12,858,870                                                                                               
108-126                                                                                                                                                                                                                  
Military Personnel, Navy (emergency)                                                          816,100              816,100                                                                                               
108-126                                                                                                                                                                                                                  
Military Personnel, Marine Corps (emergency)                                                  753,190              753,190                                                                                               
108-126                                                                                                                                                                                                                  
Military Personnel, Air Force (emergency)                                                   3,384,700            3,384,700                                                                                               
Total, Military Personnel                                                                  17,812,860           17,812,860                                                                                               
Operation and Maintenance                                                                                                                                                                                                
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Army (emergency)                                                24,190,464                                  -24,190,464                                                                       
--                                                                                                                                                                                                                       
(Contingent emergency appropriations)                                                                           24,946,464             +24,946,464                                                                       
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Navy (emergency)                                                 2,106,258            1,976,258                -130,000                                                                       
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Marine Corps (emergency)                                         1,198,981            1,198,981                                                                                               
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Air Force (emergency)                                            5,948,368            5,516,368                -432,000                                                                       
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Defense-Wide (emergency)                                         4,618,452            4,218,452                -400,000                                                                       
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Marine Corps Reserve (emergency)                                    16,000               16,000                                                                                               
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Air Force Reserve (emergency)                                       53,000               53,000                                                                                               
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Air National Guard (emergency)                                     214,000              214,000                                                                                               
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Overseas Humitarian, Disaster, Civic Aid (emergency)                35,500               35,500                                                                                               
108-126                                                                                                                                                                                                                  
Operation and Maintenance, Iraq Freedom Fund (emergency)                                    1,988,600            1,988,600                                                                                               
Total, Operation and Maintenance                                                           40,369,623           40,163,623                -206,000                                                                       
Procurement                                                                                                                                                                                                              
108-126                                                                                                                                                                                                                  
Missile Procurement, Army (emergency)                                                           6,200                6,200                                                                                               
108-126                                                                                                                                                                                                                  
Procurement of Weapons and Tracked Combat Vehicles, Army (emergency)                           46,000                                      -46,000                                                                       
--                                                                                                                                                                                                                       
(Contingent emergency appropriations)                                                                              104,000                +104,000                                                                       
108-126                                                                                                                                                                                                                  
Other Procurement, Army (emergency)                                                           930,687                                     -930,687                                                                       
--                                                                                                                                                                                                                       
(Contingent emergency appropriations)                                                                            1,078,687              +1,078,687                                                                       
108-126                                                                                                                                                                                                                  
Aircraft Procurement, Navy (emergency)                                                        128,600              128,600                                                                                               
108-126                                                                                                                                                                                                                  
Other Procurement, Navy (emergency)                                                            76,357               76,357                                                                                               
108-126                                                                                                                                                                                                                  
Procurement, Marine Corps (emergency)                                                         123,397              123,397                                                                                               
108-126                                                                                                                                                                                                                  
Aircraft Procurement, Air Force (emergency)                                                    40,972               40,972                                                                                               
108-126                                                                                                                                                                                                                  
Missile Procurement, Air Force (emergency)                                                     20,450               20,450                                                                                               
108-126                                                                                                                                                                                                                  
Other Procurement, Air Force (emergency)                                                    3,441,006            3,441,006                                                                                               
108-126                                                                                                                                                                                                                  
Procurement, Defense-Wide (emergency)                                                         435,635              435,635                                                                                               
Total, Procurement                                                                          5,249,304            5,455,304                +206,000                                                                       
Research, Development, Test and Evaluation                                                                                                                                                                               
108-126                                                                                                                                                                                                                  
Research, Development, Test and Evaluation, Navy (emergency)                                   34,000               34,000                                                                                               
108-126                                                                                                                                                                                                                  
Research, Development, Test and Evaluation, Air Force (emergency)                              39,070               39,070                                                                                               
108-126                                                                                                                                                                                                                  
Research, Development, Test and Evaluation, Defense-Wide (emergency)                          265,817              265,817                                                                                               
Total, Research, Development, Test and Evaluation                                             338,887              338,887                                                                                               
Revolving and Management Funds                                                                                                                                                                                           
108-126                                                                                                                                                                                                                  
Defense Working Capital fund (emergency)                                                      600,000              600,000                                                                                               
108-126                                                                                                                                                                                                                  
National Defense Sealift fund (emergency)                                                      24,000               24,000                                                                                               
Total, Revolving and Management Funds                                                         624,000              624,000                                                                                               
Other Department of Defense Programs                                                                                                                                                                                     
108-126                                                                                                                                                                                                                  
Defense Health Program (emergency)                                                            658,380              658,380                                                                                               
108-126                                                                                                                                                                                                                  
Drug Interdiction and Counter-Drug Activities, Defense (emergency)                             73,000               73,000                                                                                               
Total, Other Department of Defense Programs                                                   731,380              731,380                                                                                               
Related Agencies                                                                                                                                                                                                         
108-126                                                                                                                                                                                                                  
Intelligence Community Management Account (emergency)                                          21,500               21,500                                                                                               
Total, Chapter 1                                                                           65,147,554           65,147,554                                                                                               
Emergency appropriations                                                                 (65,147,554)         (39,018,403)           (-26,129,151)                                                                       
Contingent emergency appropriations                                                                           (26,129,151)           (+26,129,151)                                                                       
CHAPTER 2                                                                                                                                                                                                                
MILITARY CONSTRUCTION                                                                                                                                                                                                    
108-126                                                                                                                                                                                                                  
Military construction, Army (emergency)                                                       119,900              119,900                                                                                               
108-126                                                                                                                                                                                                                  
Military construction, Air Force (emergency)                                                  292,550              292,550                                                                                               
Total, Chapter 2                                                                              412,450              412,450                                                                                               
Total, TITLE I                                                                             65,560,004           65,560,004                                                                                               
Emergency appropriations                                                                 (65,560,004)         (39,430,853)           (-26,129,151)                                                                       
Contingent emergency appropriations                                                                           (26,129,151)           (+26,129,151)                                                                       
TITLE II                                                                                                                                                                                                                 
INTERNATIONAL SECURITY                                                                                                                                                                                                   
CHAPTER 1                                                                                                                                                                                                                
DEPARTMENT OF STATE                                                                                                                                                                                                      
Administration of Foreign Affairs                                                                                                                                                                                        
108-126                                                                                                                                                                                                                  
Diplomatic and Consular programs (emergency)                                                   40,500               35,800                  -4,700                                                                       
108-126                                                                                                                                                                                                                  
Reappropriation                                                                                35,800                                      -35,800                                                                       
--                                                                                                                                                                                                                       
Rescission                                                                                                         -35,800                 -35,800                                                                       
108-126                                                                                                                                                                                                                  
Embassy Security, Construction and Maintenance (emergency)                                     60,500                                      -60,500                                                                       
108-126                                                                                                                                                                                                                  
Emergencies in the diplomatic and consular service (emergency)                                 50,000                                      -50,000                                                                       
--                                                                                                                                                                                                                       
(Contingent emergency appropriations)                                                                               90,500                 +90,500                                                                       
Total, Administration of Foreign Affairs                                                      186,800               90,500                 -96,300                                                                       
Total, Chapter 1                                                                              186,800               90,500                 -96,300                                                                       
Emergency appropriations                                                                    (186,800)             (35,800)              (-151,000)                                                                       
Contingent emergency appropriations                                                                               (90,500)               (+90,500)                                                                       
Rescissions                                                                                                      (-35,800)               (-35,800)                                                                       
CHAPTER 2                                                                                                                                                                                                                
BILATERAL ECONOMIC ASSISTANCE                                                                                                                                                                                            
FUNDS APPROPRIATED TO THE PRESIDENT                                                                                                                                                                                      
United States Agency for International Development                                                                                                                                                                       
108-126                                                                                                                                                                                                                  
Operating expenses of the United States Agency for International Development (emergency)       40,000               40,000                                                                                               
Capital Investment Fund                                                                                                                                                                                                  
--                                                                                                                                                                                                                       
Capital Investment Fund (contingent emergency appropriations)                                                       60,500                 +60,500                                                                       
OTHER BILATERAL ECONOMIC ASSISTANCE                                                                                                                                                                                      
FUNDS APPROPRIATED TO THE PRESIDENT                                                                                                                                                                                      
108-126                                                                                                                                                                                                                  
Iraq relief and reconstruction fund (emergency)                                            20,304,000           20,304,000                                                                                               
108-126                                                                                                                                                                                                                  
Economic support fund (emergency)                                                             422,000              422,000                                                                                               
108-126                                                                                                                                                                                                                  
United States Emergency Fund for Complex Foreign Crises (emergency)                           100,000              100,000                                                                                               
DEPARTMENT OF STATE                                                                                                                                                                                                      
108-126                                                                                                                                                                                                                  
International narcotics control and law enforcement (emergency)                               120,000              120,000                                                                                               
108-126                                                                                                                                                                                                                  
Nonproliferation, antiterrorism, demining and related programs (emergency)                     35,000               35,000                                                                                               
MILITARY ASSISTANCE                                                                                                                                                                                                      
FUNDS APPROPRIATED TO THE PRESIDENT                                                                                                                                                                                      
108-126                                                                                                                                                                                                                  
Foreign Military Financing Program (emergency)                                                222,000              222,000                                                                                               
108-126                                                                                                                                                                                                                  
Peacekeeping operations (emergency)                                                            50,000               50,000                                                                                               
Total, Chapter 2                                                                           21,293,000           21,353,500                 +60,500                                                                       
Emergency appropriations                                                                 (21,293,000)         (21,293,000)                                                                                               
Contingent emergency appropriations                                                                               (60,500)               (+60,500)                                                                       
Total, TITLE II                                                                            21,479,800           21,444,000                 -35,800                                                                       
Emergency appropriations                                                                 (21,479,800)         (21,328,800)              (-151,000)                                                                       
Contingent emergency appropriations                                                                              (151,000)              (+151,000)                                                                       
Rescissions                                                                                                      (-35,800)               (-35,800)                                                                       
GRAND TOTAL (net)                                                                          87,039,804           87,004,004                 -35,800                                                                       
Emergency appropriations                                                                 (87,039,804)         (60,759,653)           (-26,280,151)                                                                       
Contingent emergency appropriations                                                                           (26,280,151)           (+26,280,151)                                                                       
Rescissions                                                                                                      (-35,800)               (-35,800)                                                                       
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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