Supplemental Appropriations for FY2000: Plan Colombia, Kosovo, Foreign Debt Relief, Home Energy Assistance, and Other Initiatives

Congressional research reportJul 5, 2000

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Order Code RL30457

CRS Report for Congress

Received through the CRS Web

Supplemental Appropriations for FY2000:

Plan Colombia, Kosovo, Foreign Debt Relief,

Home Energy Assistance, and Other Initiatives

Updated July 5, 2000

(name redacted), (name redacted), (name redacted), and Nina Serafino

Foreign Affairs, Defense, and Trade Division

(name redacted)

Domestic Social Policy Division

Congressional Research Service ˜ The Library of Congress

Supplemental Appropriations for FY2000:

Plan Colombia, Kosovo, Debt Relief, Home Energy

Assistance, and Other Initiatives

Summary

Early in each new session of Congress, the Administration routinely submits

requests for supplemental appropriations for the current fiscal year. By late April

2000, through several submissions to Congress, President Clinton had requested $5

billion in FY2000 supplemental appropriations, including $955 million for a

counternarcotics initiative in Colombia and the Andean region, about $2 billion for

DOD peacekeeping operations in Kosovo, $600 million for diplomatic support and

economic aid related to Kosovo and the Balkans, $210 million for poor country debt

relief, $600 million for home energy assistance to low income American families

affected by high home heating oil prices and weather emergencies, and $426 million

for domestic disaster relief that mostly involves ongoing post-1999 hurricane cleanup

efforts. The Administration designated nearly all as emergency requirements for

FY2000, thereby eliminating the need to reduce existing appropriations to offset the

costs of additional spending. The White House proposed a limited number of offsets,

rescissions, transfers, and delays in funding obligations totaling about $750 million.

The FY2000 supplemental request continues a pattern of the past few years in

which the President has asked, and Congress has approved large supplementals

generally focusing on defense, foreign policy, and domestic natural disasters and farm

relief initiatives. In most cases, Congress has increased the President’s proposed

supplementals, adding funds especially for domestic programs and defense. A

continuing controversy, however, has been the extent to which new appropriations

should be offset by cuts in existing funds. Since FY1997, Congress has agreed to

declare most supplementals as emergencies, adding a small amount of offsets.

The House and Senate tool different legislative approaches during consideration

of the supplemental requests. On March 30, 2000, the House passed a $12.8 billion

FY2000 supplemental appropriation measure (H.R. 3908), about $7.5 billion higher

than the President’s $5 billion request. Senate leaders decided not to consider H.R.

3908, but to attach portions of it to regular FY2001 appropriations for Military

Construction (S. 2521), Foreign Operations (S. 2522), and Agriculture (S. 2536). As

reported in mid-May, these bills provided about $8.6 billion in supplemental funding,

well below the amount in H.R. 3908.

In June, congressional leaders agreed to merge all House and Senate-passed

FY2000 supplemental funds into the pending FY2001 Military Construction measure

(H.R. 4425) and resolve differences during conference committee negotiations on

H.R. 4425. As approved on June 30, FY2000 supplemental funding totals $11.2

billion, more than double the President’s request. The enacted bill increases the

Colombia counternarcotics initiative to $1.3 billion, fully funds peacekeeping costs in

Kosovo and low-income home energy assistance, adds about $4.6 billion for other

Defense Department requirements, and triples the amount requested for U.S. natural

disaster relief and other domestic programs. H.R. 4425, however, rejects funding for

poor country debt relief and most Balkan assistance.

Key CRS Policy Staff

Issue

Name

Telephone

Agriculture programs

Ralph Chite

7-....

Colombia counternarcotics

Nina Serafino

7-....

Debt relief and HIPC

(name redacted)

7-....

Defense programs

Steve Daggett

7-....

Low Income Home Energy Assistance

(name redacted)

7-....

Kosovo peacekeeping (DOD)

Steve Daggett

7-....

Kosovo reconstruction aid

(name redacted)

7-....

Contents

Most Recent Developments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Major Funding Elements of the Supplemental and Congressional Action . . . . . . 3

Congressional Debate Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

House Consideration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Senate Consideration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Conference Committee consideration . . . . . . . . . . . . . . . . . . . . . . . . . 6

Counternarcotics for Colombia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Congressional Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Kosovo Peacekeeping and Economic Aid . . . . . . . . . . . . . . . . . . . . . . . . . 10

Defense and Peacekeeping Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Reconstruction and Other Economic Aid . . . . . . . . . . . . . . . . . . . . . 11

HIPC Trust Fund Contribution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Congressional Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Low Income Home Energy Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Congressional Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Hurricane and Other Related Disaster Relief . . . . . . . . . . . . . . . . . . . . . . 15

Congressional Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Other Defense and Foreign Policy Supplementals . . . . . . . . . . . . . . . . . . . 15

Congressional Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Other Domestic Supplementals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Pay Date Adjustments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Paying for the FY2000 Supplemental . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Congressional Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

List of Tables

Table 1. FY2000 Supplemental Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Table 2. Supplemental Appropriations, FY2000 . . . . . . . . . . . . . . . . . . . . . . . 19

Table 3. Rescissions, Offsets, Deferrals, and Transfers . . . . . . . . . . . . . . . . . . 23

Table 4. Supplemental Appropriations Summary: Emergency,

Non-Emergency, Rescission, and Offset Totals . . . . . . . . . . . . . . . . . . . . 24

Supplemental Appropriations for FY2000:

Plan Colombia, Kosovo, Debt Relief, Home

Energy Assistance, and Other Initiatives

Most Recent Developments

On June 30, the Senate passed and cleared for the White House H.R. 4425, the

FY2001 Military Construction Appropriation bill that includes $11.2 billion for

FY2000 supplemental spending needs. As enacted, H.R. 4425 provides $1.3 billion

for the Colombian counternarcotics initiative (about the same as requested by the

President for FY2000/FY2001 combined), $2 billion, as proposed, for DOD

peacekeeping costs in Kosovo, about $4.5 billion for other defense requirements,

$1.5 billion for Hurricane Floyd, Cerro Grande fire, and other natural disaster

relief, and $600 million for the Low Income Heating and Energy Assistance

Program. H.R. 4425, however, rejects funding for poor country debt relief and most

Balkan assistance. The legislation further includes a change in the payment dates

for Social Security and Veterans benefits that will result in $4.2 billion higher

spending in FY2000 rather than FY2001. Some Senators oppose this switch in

payment schedules, and reportedly obtained Senate leadership agreement to attempt

to rescind these provisions legislation considered in July.

Earlier, the House and Senate took different legislative paths in considering the

President’s $5.7 billion supplemental request. The House took up a single FY2000

supplemental bill – H.R. 3908 – passing a $12.8 billion measure on March 30. The

Senate, however, decided to attach supplemental money to regular FY2001

appropriation bills: S. 2521 (Military Construction, passed by the Senate on May

18); S. 2522 (Foreign Operations, passed by the Senate on June 22); and S. 2536

(Agriculture, reported by the Committee on May 10). Combined, the three Senate

measures recommended $8.6 billion in FY2000 supplemental spending. Ultimately,

congressional leaders decided to use H.R. 4425 – the House-passed Military

Construction Appropriation – as the vehicle for all supplemental issues.

Background

Early in each new session of Congress, the Administration routinely submits

requests for supplemental appropriations for the current fiscal year. Such proposals

may include items rejected or deferred during congressional consideration of regular

appropriations requests the previous session, new requirements arising since

enactment of appropriations for the current fiscal year, or more routine matters that

are anticipated and generally non-controversial. The President may also ask that

Congress rescind, or cancel, funds previously appropriated. Often these rescissions

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are proposed to offset some of the costs of the new supplemental proposals. Part or

all of a supplemental request may be deemed as an “emergency,” thereby avoiding the

requirement under budget laws to find equivalent savings to offset the added costs of

new initiatives. The President may submit the supplementals and rescissions in

multiple packages over the course of several months.

During the final months of the first session of the 106th Congress, congressional

leaders and Administration officials had informally discussed additional funding

requirements for two major foreign policy and defense issues: a major

counternarcotics initiative to assist Colombia in fighting its growing drug production

problem and Kosovo peacekeeping operations and economic aid. Although neither

became part of end-of-the-session budget negotiations that culminated in passage of

the Consolidated Appropriations Act, FY2000 (P.L. 106-113) in mid-November, it

was widely anticipated that additional funding proposals for these two activities would

form the core elements of an FY2000 supplemental appropriation. In February,

March, and April 2000, President Clinton sent Congress several supplemental

proposals totaling $5.7 billion. In addition to the large requests for Colombia ($955

million) and Kosovo ($2.6 billion), the White House also seeks $210 million for a

U.S. contribution to the Heavily Indebted Poor Country Initiative (HIPC), $620

million to help Americans cope with the impact of rapidly increasing home heating oil

prices, roughly $426 million for domestic disaster relief programs, mostly related to

post-1999 hurricane cleanup efforts, and (after House debate) $200 million for flood

relief in Mozambique and southern Africa.

The FY2000 supplemental request continues a pattern of the past few years in

which the President has asked, and Congress has approved large supplementals

generally focusing on defense, foreign policy, and domestic natural disasters and farm

relief initiatives. Last year, Congress enacted a $15.2 billion supplemental (P.L. 10631; H.R. 1141) providing funds for Kosovo military and humanitarian aid operations

and military readiness ($12 billion), farm assistance ($609 million), and Central

American aid for victims of Hurricane Mitch ($1 billion). In 1998 Congress passed

two supplemental measures. The first, a $5.4 billion package enacted in early May

(P.L. 105-174; H.R. 3579), included funding largely for defense operations in Bosnia

and Iraq and various domestic natural disasters. The second, debated in the final days

of the 105th Congress and incorporated into the Omnibus Consolidated and

Emergency Supplemental Appropriations Act (P.L. 105-277; H.R. 4328), totaled

$20.8 billion in new spending for, among other things, farmers affected by low

commodity prices ($5.8 billion), U.S. embassy security overseas in the wake of

terrorist attacks in Kenya and Tanzania ($2.4 billion), American forces in Bosnia and

other defense readiness requirements ($6.6 billion), and Y2K computer conversion

efforts ($3.4 billion). One of the most controversial issues during each of these

debates was over the question of how to pay for the additional spending: to declare

most of the items as “emergency” requirements or offset new funds with cuts in

existing appropriations, frequently targeting domestic programs.

Normally, when seeking supplemental funds for the current fiscal year, the

Administration recommends prompt congressional action — within a few months —

to meet what are either unanticipated requirements or needs that cannot wait until the

regular appropriations cycle. Congress generally begins action on early-year

supplemental requests in March, and completes debate by May. It is not unusual for

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Congress to expand significantly the President’s supplemental proposal, as occurred

for each of the three supplementals cited above, adding funds for a host of additional

programs that were not anticipated at the outset of the debate.

Major Funding Elements of the Supplemental and

Congressional Action

The President’s supplemental request included five major spending initiatives for

counternarcotics programs in Colombia, peacekeeping and reconstruction aid for

Kosovo and the surrounding region, debt relief for poor developing countries, home

energy assistance for low income families affected by rising home fuel oil costs and

weather emergencies, and cleanup and repair operations remaining from hurricanes

that struck the United States in 1999. House and Senate bills added a sixth major

element concerning additional Defense Department needs for FY2000.1 Table 1

summarizes the components of the supplemental while Tables 2 and 3 found at the

end of this report provide more detailed information of new spending and offsets.

Congressional Debate Overview

House Consideration. During its March 9 markup, the House Appropriations

Committee agreed to a $9.1 billion FY2000 supplemental appropriation measure

(H.R. 3908), adding about $3.8 billion to the President’s then-$5.5 billion request.

The House panel increased funding for the counternarcotics initiative in Colombia and

the Andean region, added $2.4 billion for DOD petroleum cost increases and health

programs, and raised the President’s request for domestic natural disaster relief by

about $1.1 billion. The Committee supported the full $2 billion for DOD

peacekeeping operations in Kosovo but pared back by over $350 million economic

aid to Kosovo and the Balkans. H.R. 3908, as reported, recommended the requested

$600 million for low-income home energy assistance but rejected $210 million for

poor country debt relief.

During two days of debate, the House approved an amendment by

Representative Lewis adding $4 billion for various Defense Department activities,

focusing on “quality of life” and readiness-related programs such as recruiting,

advertising and retention; health care programs; and weapons maintenance. The

House further adopted an amendment by Representative Weldon that provides $100

million for local community fire company assistance. The House also approved a

proposal by Representative Toomey to appropriate from the on-budget surplus $4

billion to reduce the public debt. The House rejected (108-315), however, a

Representative Sanford amendment that would have cut $1.6 billion from the bill by

deleting all non-emergency appropriations and removing each emergency designation

for other accounts. This would have had the affect of triggering a sequestration by

whatever amount the bill exceeded the budget caps or requiring the insertion of

1

Three weeks after House debate on H.R. 3908, the White House submitted another

supplemental request: $200 million for relief of flood victims in Mozambique and southern

Africa.

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offsets to avoid a sequestration. The Sanford amendment exempted defense and

disaster relief funds from a sequester, if one occurred.

In many respects, the Administration supported the House-passed measure,

especially funding included for military operations in Kosovo, counternarcotics

activities in Colombia, victims of Hurricane Floyd, and energy aid for Americans

affected by rising oil costs. The White House, however, was also concerned about

areas that are not funded in H.R. 3908: embassy security for U.S. diplomatic

personnel in Kosovo; U.N. peacekeeping operations in East Timor and Kosovo; and

debt relief for poor developing nations. Officials further expressed alarm that the

growing price tag of the supplemental would generate opposition and delay final

enactment, something they said would begin to erode U.S. military readiness if the

Kosovo money was not approved. In particular, the Administration opposed the

Lewis amendment adding $4 billion for defense “quality-of-life” activities that officials

contended were not needed until next year.2

Table 1. FY2000 Supplemental Summary

($s – millions)

Counternarcotics for Colombia*

Kosovo Peacekeeping/Aid

Debt relief for poor countries

Home Energy Assistance

Request

955.0

2,633.9

210.0

620.0

House

1,418.5

2,272.1

0.0

619.0

Senate

1,167.9

1,825.4

0.0

600.0

Conf.

1,319.1

2,075.4

0.0

600.0

Domestic Disaster Relief

426.4

1,428.3

1,152.7

1,467.5

Critical Infrastructure Protection

9.0

0.0

1.0

0.0

Other Defense & Foreign Policy

314.0

6,548.6

2,243.7

4,638.1

Other Domestic

531.4

903.5

2,274.0

1,552.8

TOTAL, Supplementals

5,699.7

13,190.0

9,264.7

11,652.9

Offsets/Rescissions

(706.5)

(440.6)

(663.6)

(422.8)

Note: Totals exclude amounts in title V of Division B of H.R. 4425. Title V repeals several

provisions enacted in 1999 that shifted the final FY2000 pay date for military and civilian employees

so that the cost would occur in FY2001. Title V further adds two new provisions concerning the

payment dates of Social Security and Veterans benefits The net effect of these actions is the addition

of $3.946 billion in new budget authority in FY2000 that is not reflected in the totals in this or other

tables included in this report.

Senate Consideration. Partially because of the rising levels of funds added to

H.R. 3908, the Senate did not schedule consideration of the supplemental bill. Senate

leaders decided instead to include elements of the FY2000 supplemental request

during debate on three of the first regular FY2001 appropriation bills considered by

2

See Statement by the President, March 30, 2000; and Statement of Administration Policy

on H.R. 3908, March 29, 2000; each is available at the White House web site:

[http://www.whitehouse.gov].

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the Senate: Military Construction, which included DOD supplementals; Foreign

Operations, where Plan Colombia, Kosovo aid, debt relief, and Mozambique

assistance was considered; and Agriculture, which included domestic disaster relief

and other supplementals.3

During the week of May 8, the Senate Appropriations Committee reported three

FY2001 bills – Military Construction (S. 2521), Foreign Operations (S. 2522), and

Agriculture (S. 2536) containing FY2000 supplement spending. Following

amendments adopted during Senate debate and passage of Military Construction on

May 18, the combined amount recommended by the Senate bills for FY2000 totaled

about $8.6 billion. The level was about $3.55 billion more than the President’s

request but $3.8 billion less than the consolidated $12.8 billion House bill. Senate

measures (S. 2521 and S. 2522) recommended about $1.2 billion for Plan Colombia,

a level somewhat less than the House and the Administration’s combined request for

FY2000/FY2001 of $1.36 billion.4

S. 2521 cut funding to $1.825 billion for DOD operations in Kosovo, raising

objections from Administration officials who said it would result in transfers from

regular Army programs to Kosovo costs and reduce Army readiness. S. 2522

deferred all additional reconstruction aid to the region until FY2001. The most

controversial issue concerning Kosovo peacekeeping was a Senate Appropriations

Committee amendment that cut off spending for U.S. forces in Kosovo after July 1,

2001, unless an extension was authorized by Congress. The White House threatened

to veto S. 2521 because of the Committee amendment. During floor debate of S.

2521 on May 18, however, the Senate adopted a Levin amendment (53-47) deleting

the funding cut off provision from the bill.5

For other Defense Department spending items, S. 2521 added about $2.2 billion,

mainly for health programs and oil price increases, but did not include the roughly $4

billion additional funds included in H.R. 3908 for DOD “Quality of Life” activities.

In S. 2536 and S. 2521, the Senate increased the President’s request for domestic

natural disaster relief by about $700 million and recommended the requested $600

million for low-income home energy assistance. Like the House, however, S. 2522

3

Although Senate leaders hoped this would speed up final enactment of supplemental

spending, differences in House and Senate schedules for taking up the 13 appropriation bills

complicated swift consideration of the Foreign Operations measure. The Senate committee

reported its Foreign Operations bill (S. 2522) on May 9, but the House Appropriations panel

did not consider its bill until June 27. Because of disputes unrelated to the appropriations

issue, Minority Leader Daschle objected to the Senate proceeding with consideration of

Foreign Operations, citing Senate regular order that calls for debate on appropriation bills

only after House passage. Consequently, the Senate could not pass and schedule conference

meetings on the three FY2001 funding bills that included supplemental appropriations.

4

S. 2521 further provides $809 million for Coast Guard drug interdiction and other

requirements under the counternarcotics and Plan Colombia title. The Coast Guard funds,

however, are not directly part of Plan Colombia.

5

The House has adopted a related amendment to the Defense Department authorization bill

H.R. 4205 requiring the President to certify by April 1, 2001, that European allies had met

their specified pledges of assistance for Kosovo. If not, the President would prepare a plan

for the withdrawal of American forces.

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rejected most assistance for Kosovo and other regional countries as well as the $210

million for poor country debt relief.

Conference Committee consideration. Following lengthy discussions between

House and Senate leaders on how to proceed with conference meetings on the various

supplemental bills, conferees considered all supplemental items as part of the FY2001

Military Construction bill (H.R. 4425/S. 2521). On June 28, House and Senate

conferees reached agreement on an $11.2 billion FY2000 supplemental spending

package. Conferees included $1.3 billion for the Colombian counternarcotics

initiative (about the same as requested by the President for FY2000/FY2001

combined), $2 billion, as proposed, for DOD peacekeeping costs in Kosovo, about

$4.5 billion for other defense requirements, $1.5 billion for Hurricane Floyd ($421

million), Cerro Grande fire ($661 million) and other natural disaster relief, and $600

million for the Low Income Heating and Energy Assistance Program. The House

passed H.R. 4425 on June 29 (306-110), followed by the Senate on June 30.

Counternarcotics for Colombia

In considering a dramatic increase in U.S. funding to Colombia, U.S.

policymakers must grapple with the potential consequences of greater U.S.

involvement there. Colombian President Andres Pastrana is struggling to combat a

more than 30-year conflict with leftist guerrillas, deal with human rights violations in

the Colombian army, control the corrupting influence of drug trafficking, and recover

from an economic decline. Members of Congress are facing the issue of whether and

under what circumstances U.S. assistance can ameliorate the country’s problems.6

In this context, the President’s request for $955 million in FY2000 emergency

supplemental assistance for counternarcotics and related initiatives in Colombia and

other Andean countries has proved highly controversial. Much of the controversy has

revolved around the conditions that should be attached to Colombian aid, some $500

million of which would be spent on (1) helicopters intended to transport Colombian

army counternarcotics battalions to conduct counternarcotics (CN) operations in

Southern Colombia, where coca cultivation is expanding rapidly; (2) training and

equipping two new CN battalions, which would join the CN battalion trained by the

United States in 1999 in conducting such operations, and (3) logistics and intelligence

support for Colombia.

Because of reports documenting ties between Colombian army units and illegally

armed rightist “paramilitary” groups, which U.S. officials state engage in drug

trafficking and killing those that they suspect of collaborating with leftist guerrillas,

some Members argue that the assistance should be conditioned on the prosecution

and trial of members of the military who assist paramilitary groups, preferably by

civilian courts. Some argue that the Army should not receive any U.S. assistance,

either on the grounds that U.S. aid should continue to target special counternarcotics

police forces (which would receive some $68 million in support from the

6

For more detailed discussion of the supplemental package and the situation in Colombia, see

CRS Report RS20451, Colombia: Fact Sheet on U.S. Assistance and Legislation; and CRS

Report RL30541, Colombia: U.S. Assistance and Current Legislation.

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supplemental), or that assistance to the army will inevitably draw the United States

into Colombia’s decades-long counterinsurgency effort against two leftist guerrilla

groups. Others wonder whether the United States should be providing any assistance

at all, fearing that the United States will inadvertently be drawn into a Vietnam-like

quagmire; still others favor still greater assistance designed to combat guerrillas.

Other issues are whether the proposal’s $74 million in FY2000 support for

alternative employment and economic development programs outlined for Colombia

is sufficient, and whether the proposal includes enough funding for other Andean

nations. Under the proposal, Brazil, Bolivia, Ecuador, Peru and Venezuela would

receive about $76 million in funding for their own counternarcotics and alternative

development programs. Some $38 million would be allotted for the improvement of

a “Forward Operating Location” (FOL) in Manta, Ecuador, from which U.S. planes

fly counternarcotics surveillance missions over the Andean region.

Congressional Action. The House Appropriations Committee recommended

$1.4 billion for Plan Colombia, combining the Administration’s separate $1.27 billion

FY2000/FY2001 requests into the supplemental. H.R. 3908 strengthened regional

elements of Plan Colombia by increasing economic assistance to Peru, Bolivia, and

Ecuador by $61 million above the Administration’s FY2000/FY2001 proposal. The

Committee’s bill further shifted $26 million for the purchase of two Blackhawk

helicopters from funding for Colombian Army Counternarcotics Battalions to the

Colombian National Police.

During House floor debate, lawmakers rejected several amendments to cut Plan

Colombia funding. A Representative Obey amendment would have cut $552 million

from the counternarcotics section, a sum representing the entire budget for the Push

into Southern Colombia initiative. The Obey amendment also would have provided

for a subsequent vote in July under expedited procedures to restore these funds (186239). A Representative Pelosi amendment would have deleted $51 million from

Department of Defense funding, the cost of the DOD element of the Push into

Southern Colombia initiative. A proposal by Representative Ramstad would have

deleted the entire $1.4 billion Plan Colombia funding, plus the $300 million for DEA

domestic drug-related activities (158-262); and a Representative Paul amendment

would have cut counternarcotics and other Kosovo and East Timor funding (45-367).

The House, however, adopted two amendments pertaining to Colombia. One,

offered by Representatives Gilman, Goss, Delahunt, and Farr (approved 380-39),

attaches four conditions to Plan Colombia funding. For military aid to be distributed,

the President must certify that Colombia (1) has implemented a strategy to eliminate

coca and opium production by 2005; (2) allowed the head of its military to dismiss

personnel found violating human rights; (3) assured cooperation between the military

and civilian authorities in the investigation and prosecution of human rights violators;

and (4) developed a Judge Advocate General Corps for the Colombian military. The

amendment also earmarks funding for monitoring the armed forces, guerrillas, and

paramilitary groups and provides that any supporters of the latter two should be

denied visas to the United States. The President can waive the four conditions if

“required by extraordinary circumstances;” he can waive the visa prohibition if it is

“in the national interest.” In addition, the House approved by voice vote an

amendment offered by Representative Sawyer earmarking $50 million for assistance

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to displaced persons. The House Appropriations Committee version of the bill had

allocated $24.5 million to assist currently displaced persons.

A Representative Taylor amendment to limit the number of U.S. troops in

Colombia to 300 at any one time, except those present on an emergency rescue

mission or stationed as an attache or part of the Marine guard at the U.S. Embassy,

was ruled out of order.

In the Senate, Plan Colombia supplemental funding was split between FY2001

Military Construction (S. 2521) and Foreign Operations (S. 2522) appropriation

measures. Together, the two bills provided $1.17 billion, about $190 million less than

the Administration’s combined two-year request of $1.36 billion. The Senate

legislation reflected continuing congressional concern over the prospect of

incremental American entanglement in Colombian counter-insurgency activities, shifts

funding priorities in several key ways and restricts the involvement of U.S. personnel

in the region:

!

S. 2522 provided $118 million for 60 Huey II helicopters in lieu of

the Administration’s proposed $388 million for 30 Blackhawk

helicopters.

!

S. 2522 provided $138 million for human rights, governance, and

judicial programs, about three times the level requested by the

President. The Senate measure placed special emphasis on the

creation of Colombian National Police/Fiscalia Human Rights Units

($10 million), witness and judicial security ($10 million), and

oversight capacity by the U.N. Human Rights Office ($1 million) and

U.S. government monitors ($1.5 million).

!

S. 2522 increased from $76 million to $205 million funds for

interdiction and alternative development in Bolivia, Ecuador, Peru,

and other regional nations.

!

S. 2522 imposed a cap of 250 U.S. military personnel and 100

civilian contractors that can be in Colombia in support of the

counternarcotics initiative.

!

S. 2521 added $809 million (not requested and not part of the Plan

Colombia total) for Coast Guard activities, out of concern that the

shortage of personnel, spare parts, and aging equipment has severely

eroded Coast Guard drug interdiction and other operational

capabilities.

The Administration, in particular, opposed the helicopter provision and the cap placed

on U.S. personnel working in Colombia. Believing that Committee steps to

strengthen oversight of Plan Colombia, slow U.S. involvement with the military,

broaden regional assistance, and limit the presence of American advisors were not

enough, Senator Gorton proposed an amendment during Committee mark up on May

9 to reduce funding in S. 2522 from $934 million to $100 million. Although the

CRS-9

amendment failed 11-15, supporters said they might offer similar proposals during

Senate floor debate.

In June 21 floor action on S. 2522, the Senate either tabled or rejected three

amendments to reduce or condition funding for Colombia. These were:

!

a Senator Wellstone amendment to cut the $225 million provided for

the Push into Southern Colombia program and use the funds instead

for domestic substance abuse and mental health services, tabled 8911;

!

a Senator Gorton amendment to reduce total Plan Colombia funding

to $200 million, which could be spent in Colombia and other

Caribbean, Central and South American countries at the discretion of

the Secretary of State, rejected 19-79;

!

a Senator Dodd amendment to provide not less than $110 million for

procurement and support of helicopters, but to permit the

Department of Defense to decide in consultation with the Colombian

military which model or models should be purchased, rejected 47-51.

By voice vote, the Senate approved a variety of amendments on Colombia.

These included a Senator Shelby amendment to exempt certain intelligence and

intelligence-related activities from the limitation on the assignment of U.S. personnel

in Colombia; a Senator Inhofe Sense of the Senate condemnation of the presumed

FARC kidnaping of three Americans; Senators Sessions and Leahy amendments

providing for and clarifying reporting and certification requirements; and a Senator

Harkin clarification of an earmark for child soldiers. On June 22, the chair tabled a

Senator Boxer amendment to prohibit the use of funds from the act and from

Department of Defense funds for four purposes related to U.S. support for and

participation in counterinsurgency, law enforcement, and counternarcotics operations

in Colombia.

Senate-House conferees on H.R. 4425 agreed to $1.32 billion for Plan

Colombia, roughly the same amount, but with a different mix of program priorities,

than the President’s request. Major elements of the agreement include:

$315 million for helicopters, including 18 Blackhawks and 42 Huey

II aircraft.

! $116 million for support of the Colombian National Police.

! $122 million for human rights and justice programs.

! $185 million for counternarcotics battalion training and intelligence.

! $117 million to establish three Forward Operation Locations.

!

The conference agreement further caps the number of U.S. military personnel

permitted to be in Colombia supporting the counternarcotics initiative at 500 and the

number of U.S. civilian contractors at 300. The President may waive these limitations

for a 90-day period if he determines that U.S. forces are or are about to be involved

in hostilities in Colombia. Conferees also incorporated various certification and

reporting requirements largely focused on human rights observance of the Colombian

CRS-10

military and government strategies to eliminate coca and opium poppy cultivation by

2005.

Kosovo Peacekeeping and Economic Aid

Supplemental funding for Kosovo was divided into two components: one

supporting the U.S. military contribution to the peacekeeping operation (KFOR), and

the other providing mostly reconstruction assistance for Kosovo and economic

stabilization programs throughout the Balkans region.

Defense and Peacekeeping Costs. Of the $2.29 billion Defense Department

(DOD) supplemental, just over $2 billion would cover costs of U.S. contributions to

the peacekeeping operation in Kosovo (KFOR). This amount is intended to support

6,200 U.S. personnel in Kosovo and about 1,000 more supporting the operation in

surrounding countries, and enforcing international sanctions against the government

of Yugoslavia. Actual KFOR costs were somewhat uncertain – because of recent

tensions in Kosovo, NATO was considering whether to increase troop levels.

Congressional Action. The House-passed measure fully supported the $2.025

billion request for U.S. military operations as part of KFOR. During debate, the

House rejected an amendment by Representative Kasich (200-219) that would have

withheld half of the KFOR funds until the President certified that EU and NATO

member states had obligated or contracted a significant amount of the financial and

personnel assistance they had pledged for Kosovo.

The Senate Appropriations Committee in S. 2521 trimmed Defense funding for

KFOR to $1.825 billion, raising objections from Administration officials who say it

would result in transfers from regular Army programs to Kosovo costs and reduce

Army readiness. But most debate centered on congressional oversight of U.S. forces

in Kosovo. The panel approved an amendment by Senator Byrd (23-3) that would

terminate funding for the deployment of U.S. troops after July 1, 2001, unless

Congress authorizes an extension. The Byrd amendment further required the

President to develop a plan under which European militaries would assume the lead

role for ground forces in Kosovo and withholds 25% of supplemental money until the

Administration certifies that European nations are fulfilling their funding

commitments. The Administration strongly opposed the Byrd/Warner amendment,

threatening a presidential veto because the provision would “damage U.S. credibility

overseas, undermine our position as the leader of NATO, and inflame the situation in

Kosovo.”7 During floor debate of S. 2521 on May 18, the Senate adopted a Levin

amendment (53-47) deleting the Byrd/Warner provision from the bill.8

House-Senate conferees on H.R. 4425 approved $2.025 billion, as requested,

for U.S. military operations as part of KFOR.

7

8

White House, Statement of Administration Policy, S. 2521, May 16, 2000.

The House has adopted a related amendment to the Defense Department authorization bill

H.R. 4205 requiring the President to certify by April 1, 2001, that European allies had met

their specified pledges of assistance for Kosovo. If not, the President would prepare a plan

for the withdrawal of American forces.

CRS-11

Reconstruction and Other Economic Aid. The war in Kosovo since 1998 and

the NATO air campaign in 1999 caused immense physical destruction — of housing

and electric, water, sewage, transport and other infrastructure — and eliminated

social, public safety, and other government services. In mid-1999, a U.N. mission

assumed administration of the province while NATO began to deploy a peacekeeping

force there.9 The Administration’s supplemental request sought to expand on-going

programs to assist Kosovo’s economic and political development, help fund

continuing peacekeeping efforts and the U.N. civilian administration, and help secure

the U.S. diplomatic presence in the province. The supplemental also responded to

needs of countries in the Balkan region that were forced to provide for refugees and

whose trade routes and markets were disrupted as a result of the war.

The Administration’s remaining $624.5 million Kosovo-related proposal

supported a number of accounts, normally funded under both the Foreign Operations

and the Commerce, Justice, State appropriations. Key features included:

$195 million under the SEED (Support for East European

Democracy) account, for economic and political reform programs

in Kosovo, Montenegro, and Croatia. Kosovo would receive $92.8

million to help expand the U.N. civilian police force, establish a local

police service, and support Kosovo administrative and policy

reforms.

! $31 million in Foreign Military Financing and $2.9 million in military

training (IMET) to help regional countries implement defense

reforms, professionalize their militaries, and improve security

cooperation.

! $239 million for construction of secure diplomatic facilities in

Kosovo, Albania, and Bosnia.

! $91 million in U.S. assessed contributions for international

peacekeeping activities. (An additional $16 million would support

peacekeeping in East Timor.)

! $27.6 million for diplomatic and consular programs, and Fulbright

exchanges in Kosovo, Albania, Macedonia, and Montenegro.

!

Congressional Action. Unlike DOD-related costs associated with Kosovo, the

House-passed bill rejected much of the $624.5 million request for economic and

diplomatic programs. H.R. 3908 provided only $246.7 million for these activities,

40% of the request. The bill deleted all funds for assessed international peacekeeping

contributions, regional diplomatic and consular programs, and Fulbright and other

exchanges. Of the $239 million requested for secure embassy facilities, H.R. 3908

provided $104 million for a new facility and Marine guard quarters in Sarajevo. In

reporting the bill, the House Appropriations Committee noted that unallocated funds

from this account remain from FY1999 and FY2000 appropriations that could be

reprogrammed for other needs. The House bill fully met the Administration’s request

for FMF and IMET assistance for the Balkan region and provided $13 million of the

$22 million requested for additional USAID operating costs.

9

For detailed discussion of Kosovo reconstruction aid, see CRS Report RL30453, Kosovo:

Reconstruction and Development Assistance. For information on political developments in

Kosovo, see CRS Issue Brief IB98041, Kosovo and U.S. Policy.

CRS-12

Of the Administration’s $195 million SEED account request, H.R. 3908

provided $95.8 million, $12.4 million of which is for Kosovo and limited to support

of American officers in the international police force. In rejecting most of the $92.8

million requested for direct use for Kosovo reconstruction, the House Appropriations

Committee pointed to a provision in the FY2000 Foreign Operations Appropriations

that places a 15% limit on the proportion of total donor pledges for Kosovo that the

United States may provide. This limitation, which applies only to the FY2000 funds

provided in that Act, reflects the view of many who believe that because the United

States bore the heaviest burden in pursuing the Kosovo war, European allies should

lead the reconstruction effort. To date, the United States has pledged $150 million

of FY2000 SEED funds, accounting for 15% of the total pledged by donors at the

November 1999 donor conference. Increased donor pledges since November,

however, would allow the Administration to provide an additional $31 million and

stay within the 15% range. The Committee, however, suggested that it was reluctant

to provide additional funds for Kosovo because of Europe’s failure to meet

commitments in a timely fashion, including funds pledged for the U.N. administration

of the province and the international police force. During House floor debate,

Representative Kasich offered an amendment that would have withheld 50% of funds

for U.S. military operations in Kosovo until the President certified that EU and NATO

member countries followed through on financial commitments. The Kasich

amendment failed, however, 200-219.

S. 2522 provided no supplemental appropriations for Kosovo assistance or other

Balkan economic, military, or diplomatic funding. The Senate bill, however,

increased FY2001 spending above the President’s request so that Montenegro would

receive $89 million, the same as proposed for FY2000/FY2001. Croatia would

receive $60 million, slightly below the $65.7 million sought over two years. But the

Administration’s request for Kosovo – $92.8 million in FY2000 supplemental and

$175 million for FY2001 – would likely fall short under S. 2522 because of the

continuation of a congressional limitation that U.S. funds for Kosovo reconstruction

cannot exceed 15% of total contributions from all donors.

As enacted, H.R. 4425 includes $50 million in economic assistance only for

Croatia, Montenegro, and up to $12.4 million for Kosovo. The Kosovo funds can

only be used for police activities.

HIPC Trust Fund Contribution

Last year, in response to an international campaign led by non-governmental

development and religious organizations, the United States, Great Britain, and other

major foreign aid donors agreed to expand significantly the Heavily Indebted Poor

Country Debt (HIPC) Initiative. HIPC, which was first implemented in 1996, is an

effort to lower the debt burden of the world’s most severely indebted countries –

many of which are in Africa – to sustainable levels and stimulate economic policy

reforms and poverty reduction efforts in debtor nations. Previously, HIPC had been

criticized for providing too little debt relief over a lengthy qualification period for a

limited set of countries. HIPC expansion, first endorsed by the G-7 in June 1999 and

later approved by the World Bank and the IMF in September, also resulted in

CRS-13

substantial cost increases for creditor nations and international financial institutions

(IFIs) to which the debt is owed.10

The HIPC Initiative has two major components: cancellation of bilateral debt

owed to the United States and other creditor governments, and reduction of debt

owed to the World Bank, the IMF, and other regional IFIs. Creditor governments

cover their own expenses individually for the forgiveness of bilateral debt at the Paris

Club, an informal arena for negotiating debt reschedulings and reduction of publically

held loans. To finance the cancellation of multilateral debts, the World Bank and IMF

created the HIPC Trust Fund into which IFIs and aid donor governments would

deposit contributions. The Bank and the Fund will cover their own costs, but other

IFIs – especially the African Development Bank – do not have enough resources to

cover the losses of cancelled loan repayments. Donor governments have agreed to

to make up the gap for those IFIs with insufficient funds.

Following agreements to expand HIPC, President Clinton amended in September

1999 his pending FY2000 foreign aid request, increasing debt relief from $120 million

to nearly $1 billion over four years. Congress agreed to $123 million for bilateral debt

cancellation at the Paris Club in 2000 but rejected the $600 million proposed for

HIPC Trust Fund contributions, FY2000-FY2003. The Administration is now asking

Congress in the FY2000 supplemental to approve $210 million for the Trust Fund.

Officials say that the absence of a U.S. contribution has convinced other creditor

governments to hold back their own pledges until the U.S. acts. They argue that

while most of the existing pledges are earmarked for African nations that will be

among the earliest qualifiers, resources for Latin American debt relief – for Bolivia,

Nicaragua, and Honduras – are not available. Without a U.S. contribution, they

contend, debt workouts for these countries will be delayed. Critics of multilateral

debt relief, including some in Congress, believe that before the U.S. contributes to the

Trust Fund, IFIs should agree to suspend for a period of time new lending to HIPC

countries once they receive debt relief so that they do not return to a severely

indebted state.

Congressional Action. The House and Senate bills rejected all supplemental

funding for the HIPC Trust Fund. Although S. 2522 provided $75 million for debt

relief in FY2001 – money that could be used as an HIPC Trust Fund contribution –

the amount falls significantly below the President’s $472 million combined

FY2000/FY2001 debt reduction proposals.

In June 22 floor action on a modified Chafee amendment to S. 2522, the Senate

endorsed by voice vote a fully-funded HIPC concept, but provided no additional

funding. Instead, in a Sense of the Senate statement, it instructed the “relevant

committees” to report legislation authorizing “comprehensive debt relief” under the

enhanced HIPC initiative, and setting forth specified conditions under which such

assistance would be provided. Among the conditions, it stated that the authorizations

“should ensure that no country should receive the benefits of debt relief if that country

does not cooperate with the United States on terrorism or narcotics enforcement, is

10

For a full discussion of the HIPC initiative, see CRS Report RL30214, Debt Reduction:

Initiatives for the Most Heavily Indebted Poor Countries. See also, CRS Report RL30449,

Debt and Development in Poor Countries: Rethinking Policy Responses.

CRS-14

a gross violator of the human rights of its citizens, or is engaged in military or civil

conflict that undermines poverty alleviation effort [sic] or spends excessively on its

military...”

The conference committee on H.R. 4425 denied all funding for HIPC. The

Sense of the Senate provision concerning HIPC was not included in the final bill.

Low Income Home Energy Assistance

Following a decision last year by the world’s leading oil producers to decrease

output, prices for gasoline and home heating oil have soared in the United States. To

limit the impact, especially on low and moderate income families, the President has

requested $620 million in additional funds for the Low Income Home Energy

Assistance Program (LIHEAP),11 the Dept. Energy’s (DOE) Weatherization

Assistance Program, and the Small Business Administration (SBA) to help provide

SBA loans to those affected by high home heating oil and diesel fuel prices. Included

in the supplemental request was:

!

$600 million to replenish the LIHEAP contingency fund, an account

depleted by recent disbursements of $295 million. Congress

appropriated $300 million in FY2000 emergency funds; due to cold

weather and increased fuel costs, all of these funds have been

released. The $600 million supplemental request would be available

for emergency heating or cooling assistance during the remainder of

FY2000.

!

$19 million in additional resources for DOE Weatherization

Assistance Programs. These funds would meet the President’s

original request for weatherization and help increase the energy

efficiency of homes, thereby reducing homeowners’ energy burden

and cost.

!

$1 million for an SBA program to support $86 million in loans for

small businesses affected by rising oil prices. This would allow home

heating oil dealers, for example, to extend flexible payment terms to

their customers.

Congressional Action. House and Senate (S. 2536) bills fully supported the

$600 million for LIHEAP. H.R. 3908 further provided$19 million for DOE

Weatherization Assistance Programs (the latter as an advance appropriation for

FY2001). Both bills deleted the $1 million for SBA loans. The conference agreement

on H.R. 4425 includes the $600 million for LIHEAP.

11

For more information about LIHEAP, see CRS Report 94-211, The Low Income Home

Energy Assistance Program (LIHEAP).

CRS-15

Hurricane and Other Related Disaster Relief

The supplemental request included over $300 million in direct assistance to

individuals and facilities damaged as a result of Hurricanes Dennis, Floyd, and Irene

that struck the United States in 1999. Programs targeted a broad range of relief

activities including those for farmers, fishermen, displaced families, small businesses,

defense department facilities, and national parks. In addition, the President requested

$100 million in contingency funds for the Interior Department to respond to wildland

firefighting needs. Major fires in the western States during the summer of 1999

consumed more resources than were expected to be needed during an average

firefighting season and depleted the Interior Department’s emergency funds.

Congressional Action. The House-passed bill added about $1 billion to the

President’s request for hurricane-related and other natural disaster relief. The largest

add-ons included those for DOD facilities damaged by last year’s hurricanes, a $600

million appropriation for the Federal Highway Administration’s emergency relief

program, $150 million for the Agriculture Department’s Wildland Fire Management

Program, and about $140 million more for a range of USDA farm relief programs.

The Senate, in S. 2521 and S. 2536, also increased the President’s disaster relief

funding recommendations, approving $1.15 billion, or about $700 million higher than

the request. Like H.R. 3908, S. 2521 significantly increased funds for military

facilities damaged in the 1999 storms. S. 2536 further added money for several new

farm-related emergencies, including $130 million for USDA’s Rural Community

Advancement program, $58 million for various crop disease and insect assistance, and

$450 million in livestock aid.

Conferees meeting on H.R. 4425 approved a total of $1.47 billion in domestic

disaster relief funding, including:

$421 million for hurricane-affected areas;

$661 million for damages and claims resulting from the Cerro Grande

fire in New Mexico;

! $200 million for wildland fire management; and

! $148 million in disaster aid for damage at U.S. military bases.

!

!

A number of agriculture relief provisions added by the House and Senate were

dropped in conference, including livestock assistance crop disease and insect aid, and

USDA’s rural community advancement program.

Other Defense and Foreign Policy Supplementals

The President proposed $314 million for several additional defense and foreign

policy requirements, including: a new Air Force aircraft for an interagency counterterrorism task force called the Foreign Emergency Support Team ($73 million), DOD

peacekeeping operations in East Timor ($25 million), U.S. contributions to a U.N.

peacekeeping mission in East Timor ($16 million); and disaster relief for victims of

heavy flooding in Mozambique and southern Africa ($200 million).

Congressional Action. H.R. 3908 significantly increased DOD funding for

several additional requirements: petroleum cost growth ($1.556 billion), defense

CRS-16

health programs ($854 million), and DOD “quality of life” programs ($4 million). The

House bill fully supported DOD procurement of an aircraft for the Foreign Emergency

Support Team and East Timor peacekeeping costs but deleted funding for a U.N.

peacekeeping contribution in East Timor. The House had not yet received the

Mozambique request, so it took no action. Senate bills – S. 2521 and S. 2522 – also

added more funding for higher DOD oil costs and health programs but did not include

roughly $4 billion for defense “quality of life” activities as in the House. S. 2521

inserted a few new items, including those for Patriot missile enhancement ($125

million) and DOD humanitarian assistance in Mozambique and East Timor. During

floor debate, the Senate further added $220 million for Navy ship depot maintenance

and $5.7 million for testing by the Army of its Tactical High Energy Laser program.

S. 2522 approved $25 million of the $200 million requested for USAID emergency

relief to flood victims in Mozambique.

House-Senate conferees, meeting on H.R. 4425 agreed to roughly $4.5 billion

in other defense and foreign policy needs, including:

$1.56 billion to address DOD’s growing fuel costs;

$1.3 billion for military health care programs;

$1.1 billion for unfunded personnel and readiness requirements;

$40 million for development programs for Vieques, Puerto Rico;

$125 million for Patriot missile reliability;

$25 million for DOD peacekeeping costs in East Timor;

$61.5 million for DOD humanitarian assistance in Mozambique and

East Timor; and

! $25 million of the $200 million southern Africa flood relief

assistance.

!

!

!

!

!

!

!

Other Domestic Supplementals

The President also proposed about $530 million in supplemental spending for a

wide range of domestic activities. House and Senate bills supported many of these

recommendations and added several additional items reflecting congressional

priorities. H.R. 3908 provided $903 million for domestic programs, including $283

million for Drug Enforcement Agency domestic intelligence and investigation

requirements; Senate bills included $2.27 billion. A major Senate add-on provided

$800 million for the Coast Guard. Conferees approved $1.55 billion in domestic

supplemental, including $700 million for the Coast Guard and $181 million for the

DEA. (See Table 2 below for a complete list of all domestic programs affected.)

Pay Date Adjustments

Last year, during consideration of the Consolidated Appropriations Act,

FY2000, Congress modified the final salary payment date for military and Federal

civilian employees so that the costs would fall in FY2001 rather than FY2000. As

approved by conferees, H.R. 4425 repeals these provisions so that the payment will

occur in FY2000. H.R. 4425 further includes new sections that modify existing

payment dates of Social Security and Veterans benefits and claims. The net result of

these payment date modifications will increase FY2000 spending by $3.95 billion.

Senate opponents of these changes had threatened to delay passage of H.R. 4425

CRS-17

because conferees had included the pay date modifications. Reportedly, however,

they obtained Senate leadership agreement that when the Senate returns in July,

legislation to rescind these provisions will be considered.

Paying for the FY2000 Supplemental

A continuing controversy during the recent consideration of supplemental

appropriations is whether to cover the costs of the additional spending through offsets

or to declare the requirement as an “emergency,” a practice that has received

widespread criticism.12 The emergency designation allows Congress to approve the

supplemental funds without offsetting the amounts with rescissions in previously

enacted discretionary appropriations or finding cuts in mandatory spending programs.

But if Congress agrees with the President to define all or part of the supplemental as

an “emergency” and not offset the amounts, discretionary spending rises and the size

of the budget surplus for FY2000 declines. Between 1994 and 1997, Congress

usually enacted budget authority offsets for supplementals. Reversing that practice

during the past two years, Congress has mostly declared supplemental appropriations

as an emergency. Some lawmakers have strongly objected to this action, arguing that

fiscal discipline requires Congress to fully offset new spending so as not to reduce the

surplus, especially if it utilizes surpluses generated by Social Security. In January

2000, the Congressional Budget Office projected that there will be a $23 billion nonSocial Security surplus in FY2000.

The Administration designated nearly all – $4.8 billion – as emergency

requirements for FY2000, while proposing a limited number of offsets, rescissions,

transfers, and delays in funding obligations totaling $706 million that covered the

costs of non-emergency spending. The largest offset requested by the Administration

was $438 million of information technology funds provided for Y2K requirements

that are no longer needed by several federal agencies. Table 3, below, provides a

complete listing of offsets, rescissions, transfers, and delays in obligations.

Congressional Action. The House-passed bill, like the Administration, termed

nearly all of supplemental funding as an emergency. H.R. 3908 included $441 million

in rescissions and offsets. Also like the Administration, the House panel’s largest

rescission was the $235 million in un-needed Y2K funds. After reporting H.R. 3908

on March 9, the House Appropriations Committee encountered opposition among

some Members who wanted more – or all – of the new spending offset by cuts in

existing appropriations. House leaders delayed debate on H.R. 3908 until after the

House passed the FY2001 budget resolution. Representative Sanford proposed an

amendment during House floor debate that would have cut back significantly on the

size of the supplemental appropriation and removed emergency designations. The

Sanford amendment failed, however, on a 108-315 vote.

12

For a discussion of the debate over emergency supplemental appropriations for defense

programs since FY1993, see CRS General Distribution Memo, Emergency Appropriations

for the Department of Defense, by (name redacted), August 18, 1998.

CRS-18

Senate bills designated $8.6 billion of the $9.3 billion recommended in

supplemental appropriations as emergencies. S. 2522 and S. 2536 further rescinded

$664 million, an amount that more than covered the $493 million of non-emergency

appropriations. In addition to the Y2K technology rescissions, S. 2536 proposed a

number of rescissions for various Department of Justice programs.

Conferees agreed to define all but $406 million of the $11.2 billion as emergency

appropriations. They further rescinded $423 million to cover non-emergency

spending, including $287 million, $35 million, and $11 million in prior-year

appropriations for the Defense Department, Military Construction, and the Coast

Guard, respectively. (See Table 3 for details.)

CRS-19

Table 2. Supplemental Appropriations, FY2000

($s in millions)

Request

House

Senate

Enacted

Plan Colombia:

Dug interdiction & eradication (DOD)

Drug interdiction (State Dept)

Drug interdiction (Treasury Dept)

Drug interdiction (ONDCP)

Forward operating location for DOD drug ops

Drug eradication/law enforcement (State Dept)

Drug eradication/law enforcement (DEA)

Economic aid (USAID)

Human rights/governance (multiple agencies)

TOTAL, Plan Colombia

98.4

52.0

70.0

1.0

38.6

543.0

3.0

104.0

45.0

955.0

185.8

59.4

70.1

1.0

116.5

600.5

17.2

269.5

98.5

1,418.5

115.7a

62.0b

70.0b

0.5b

116.5a

397.0b

6.7a

261.5b

138.0b

1,167.9

184.1

59.4

70.0

0.0

116.5

506.1

–

261.0

122.0

1,319.1

Kosovo Peacekeeping & Balkans Aid:

DOD Peacekeeping Ops

State Dept. Peacekeeping contributions

Balkan economic aid (incl USAID costs)

Balkan military aid

US Embassy construction in the region

US diplomatic and exchanges in the region

TOTAL, Kosovo & Balkans

2,025.4

91.0

217.0

33.9

239.0

27.6

2,633.9

2,025.4

0.0

108.8

33.9

104.0

0.0

2,272.1

1,825.4a

0.0

0.0

0.0

0.0

0.0

1,825.4

2,025.4

0.0

50.0

0.0

0.0

0.0

2,075.4

HIPC Trust Fund*

210.0

0.0

0.0

–

Other Defense & Foreign Policy:

State peacekeeping contribution-East Timor

DOD peacekeeping-East Timor

Foreign Emerg. Support Team (counter terrorism)

DOD Working Capital Fund (petroleum $ growth)

Defense Health Programs (TRICARE contract costs)

Defense Health Program (other)

DOD “Quality of Life Programs”

DOD recruiting and retention

DOD depot maintenance and repair

DOD priority support to deployed forces

Assistance to Vieques, Puerto Rico

DOD/Air Force F-15 aircraft

DOD/Army M1A2 tank upgrades

DOD biometrics technologies

DOD Patriot missile enhancement program

DOD “Operation Walking Shield

DOD military construction for Natl Missile Defense

DOD Military Construction - Blount Is., Florida

DOD Tactical High Energy Laser program

DOD Cavalese, Italy accident

DOD humanitarian aid-Mozambique & East Timor

Mozambique/southern Africa flood relief

TOTAL, Other Defense and Foreign Policy

16.0

25.0

73.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

[40.0]

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

200.0

314.0

0.0

25.0

73.0

1,556.2

854.5

750.0

231.0

600.6

1,205.6

1,212.7

40.0

0.0

[125.0]

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

**

6,548.6

0.0

25.0a

73.0a

964.3a

695.9a

0.0

0.0

0.0

220.0a

0.0

40.0a

0.0

0.0

7.0a

125.0a

0.3a

1.0a

0.0

5.7a

0.0

61.5a

25.0b

2,243.7

0.0

25.0

73.0

1,556.2

615.6

695.9

27.0

357.3

220.0

503.9

40.0

90.0

163.7

7.0

125.0

0.3

1.0

35.0

5.7

10.0

61.5

25.0

4,638.1

CRS-20

Request

House

Senate

Enacted

Home Energy Assistance:

Low Income Home Energy Assistance (HHS)

Business Loans Program (Small Bus Admin)*

Weatherization Asst Programs (DOE)(FY2001)*

TOTAL, Home Energy Assistance

600.0

1.0

19.0

620.0

600.0

0.0

19.0

619.0

600.0c

0.0

0.0

600.0

600.0

0.0

0.0

600.0

Domestic Disaster Relief:

Hurricane-related relief:

USDA CCC-marketing loan forgiveness

USDA Rental Asst Program

USDA Rental Housing Insurance

USDA Rural Utility Service

Commerce Economic Development Asst

NOAA fisheries

NOAA-North Carolina research lab & other items

HUD Housing Certificate Fund

HUD HOME Investment Partnership Fund

DOD Corps of Engineers

DOD facilities

DOD Military Construction

Fish & Wildlife Service

US Geological Survey

National Park Service

Fed. Highway Admin.-Emergency Relief Program

Small Business Administration

Subtotal, Hurricane-related relief

Management of Land & Resources (Interior Dept)

Wildland Fire Management (Interior Dept)

Wildland Fire Management (USDA)

USDA Forest Service

USDA Federal Crop Insurance Corp. Fund

USDA Single Family Housing

USDA Housing Repair

USDA Pierce disease control

USDA Rural Community -Water and Waste grants

USDA Rural Community Facilities grants

USDA Rural Community Advancement program

USDA Mutual and Self-Help Housing grants

USDA Rural Housing Assistance grants

USDA Farm Labor Program account

USDA CCC Citrus Canker Control

USDA CCC Crop Disease & Insect Asst

USDA Livestock Assistance

USDA Livestock Price Reporting Program

Fisheries assistance

Cerro Grande Fire assistance - FEMA

Cerro Grande Fire assistance - USDA

Cerro Grande Fire assistance - DOE

81.0

13.6

15.9

0.0

32.9

50.1

0.0

12.0

0.0

19.2

27.4

0.0

5.0

1.8

4.0

0.0

50.5

313.4

0.0

100.0

0.0

0.0

13.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

81.0

13.6

15.9

1.0

25.8

19.4

0.0

0.0

36.0

27.9

115.9

19.0

5.0

1.8

4.0

600.0

60.9

1,027.2

0.0

100.0

150.0

0.0

13.0

25.0

4.0

7.1

28.0

15.0

0.0

6.0

8.0

5.0

40.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

81.0c

13.6c

15.9c

1.0c

8.3c

10.0c

5.5c

0.0

25.0c

35.0c

128.2a

26.2a

8.5c

1.8c

5.3c

0.0

0.0

365.3

17.2c

100.0c

1.6c

7.6c

13.0c

0.0

0.0

0.0

0.0

0.0

130.0c

0.0

0.0

0.0

0.0

58.0c

450.0c

0.0

0.0

0.0

0.0

0.0

81.0

13.6

15.9

0.0

55.8

30.7

0.0

0.0

36.0

0.0

128.2

19.0

0.0

0.0

0.0

0.0

40.9

421.1

0.0

200.0

150.0

2.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

1.4

32.0

500.0

14.0

138.0

CRS-21

Request

House

Senate

Enacted

Cerro Grande Fire assistance - Interior Dept

DOD Corps of Engineers-flood control

TOTAL, Domestic Disaster Relief

0.0

0.0

426.4

0.0

0.0

1,428.3

0.0

10.0c

1,152.7

9.0

0.0

1,467.5

Critical Infrastructure Protection Initiative

Natl Institute of Standards & Technology*

General Services Administration*

National Science Foundation*

Office of Personnel Management*

TOTAL, Critical Infrastructure Protection

5.0

2.0

1.0

1.0

9.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

1.0c

0.0

1.0

0.0

0.0

0.0

0.0

0.0

Other Domestic Supplementals:

DEA domestic drug-related intelligence & invest.

USDA Inspector General

USDA Farm Service Agency

USDA CCC Conservation/Wetlands Reserve progs.

USDA Foreign Ag Service-international food aid

USDA Peanut Assistance

USDA Dairy Market Loss Payments

USDA Milk Price Support extension

Fire Departments Aid-FEMA & Forest Service

Interior-Office Surface Mining Reclamation/Enforce

Interior-Bureau of Indian Affairs

Interior-Fish & Wildlife Management

Interior-Lewis & Clark project, S. Dakota

Interior-land acquisition in Maryland

DOD Corps of Engineers-Johnson Creek, Texas

DOD Corps of Engineers-Saxon Harbor, Wisconsin

DOD Corps of Engineers-General Investigations

DOD support for 2002 Winter Olympics

Fed Highway Admin support for Winter Olympics*

Gen. Services Admin-support for Winter Olympics*

NTSB-Egypt Air 990/Alaska Air 261 investigation

Commerce- Asst to Vieques, Puerto Rico*

Civil Rights Commission*

Federal Maritime Commission*

DOE-Uranium Enrichment Decontamination Fund*

DOE Weapons Production Facilities*

DOE Safety Issues & Cyber-Security

HHS Foster Care Independent Living*

HHS Food & Drug Admin-Los Angeles lab

HHS-Abstinence Education for Adolescents (FY01)*

HHS-Health Care Financing Administration

HHS-Ricky Ray Hemophilia Relief Fund Act*

HHS/CDC-International HIV/AIDS

HHS-Bioterrorism

HHS-Little Flower Children’s Services, N.Y.

Dept of Education-Higher Education

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

8.1

0.0

0.0

0.0

25.1

40.0

0.8

0.5

16.0

55.0

14.0

35.0

0.0

0.0

0.0

100.0

0.0

0.0

0.0

0.0

282.5

2.0

77.6

35.0

2.0

0.0

0.0

0.0

100.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

1.5

0.0

0.0

0.0

24.7

[40.0]

0.0

0.0

16.0

55.0

59.0

35.0

20.0

20.0

0.0

**

0.0

0.0

0.0

0.0

11.2

0.0

39.0c

35.0c

0.0

7.0c

443.0c

-14.0c

0.0

9.8c

1.2c

6.5c

0.0

0.0

0.0

0.0

4.5c

8.0a

35.0c

3.3c

24.7c

[40.0]

0.0

0.0

58.0c

221.0a

12.0a

35.0c

0.0

0.0

15.0c

0.0

0.0

0.0

0.0

0.0

181.0

0.0

77.6

0.0

0.0

7.0

0.0

0.0

0.0

9.8

0.0

0.0

0.6

2.0

3.0

0.2

3.5

8.0

0.0

3.3

19.7

[40.0]

0.0

0.0

58.0

96.5

38.0

35.0

0.0

20.0

0.0

0.0

12.0

31.2

3.0

0.8

CRS-22

Request

House

Senate

Enacted

c

HUD FHA General & Special Risk Program*

HUD Inspector General (delay until FY2001)*

HUD-Community Development Block Grants

Coast Guard operating expenses

Coast Guard - C37A aircraft

Coast Guard improvements

Internal Revenue Service*

Javits-Wagner-O’Day Products (Blind & Disabled)*

NASA Human Space Flight*

NASA Aeronautics and Technology

NASA Mission Support*

Capitol Police*

Capitol Buildings and Grounds*

National Garden-private donations*

Botanic Gardens*

Library Buildings*

Corporation for National & Community Services

DOL-Youth activities, Workforce Invest. Act*

Social Sec Admin-repeal retirement earning test*

DOT-Federal Aviation Administration*

Pres Advisory Commission on Holocaust Assets*

Dept of Justice-Radiation Exposure Compensation*

Dept of Justice-FBI Natl Domestic Preparedness*

Dept of Justice-FBI S&E*

Dept. of Justice-U.S. Attorneys salaries

Dept. of Justice-Justice Assistance

Railroad Retirement Board*

Telecommunications Carrier Compliance Fund*

Appalachian Regional Commission

Dept of Treasury-S&E, W. Va. firearms training fac.

Dept of Treasury-BATF, gun law enforcement

Dept of Transportation-EPA telecomuting

Dept of Transportation-Highway Trust Fund

Secret Service-National Special Security events

Executive Office of the President-email restoration

State Department-Intl Commission

U.S. Commission on Religious Freedom

Libby, Montana-asbestos illness treatment

District of Colombia Police

TOTAL, Other Domestic Supplementals

49.0

-6.0

0.0

[18.0]

0.0

0.0

39.8

0.7

0.0

0.0

[20.2]

0.0

0.0

0.0

0.0

0.0

0.0

40.0

35.0

77.0

1.4

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

531.4

49.0

-6.0

0.0

37.0

0.0

0.0

0.0

0.0

25.8

29.0

20.2

1.9

11.3

0.0

0.1

3.9

1.0

**

**

**

**

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

903.5

49.0

20.0c

0.0

264.4a

0.0

542.9a

0.0

0.0

25.8c

0.0

20.2c

14.6c

13.6c

3.0c

0.1c

3.9c

0.0

40.0c

50.0c

[77.0]c

1.4c

7.2c

13.5c

3.0c

0.0

0.0

0.5c

100.0c

11.0c

24.9c

93.8c

0.0

0.0

0.0

0.0

0.0

0.0

11.5c

4.5

2,274.0

0.0

0.0

27.5

77.0

45.0

578.0

0.0

0.0

0.0

1.5

0.0

0.0

13.6

0.0

0.1

3.9

0.0

0.0

35.0

75.0

0.0

0.0

0.0

0.0

12.0

2.0

0.0

0.0

0.0

24.9

0.0

2.0

6.5

10.0

8.4

2.2

2.0

11.5

4.5

1,552.8

GRAND TOTAL – SUPPLEMENTALS

5,699.7

13,190.0

9,264.7

11,652.9

* = Non-emergency appropriation.

** = Supplemental requested on March 27 after the House Appropriations Committee had reported H.R. 3708.

a

Appropriated in S. 2521.

b

Appropriated in S. 2522.

c

Appropriated in S. 2536.

CRS-23

Table 3. Rescissions, Offsets, Deferrals, and Transfers

($s in millions)

Request

House

Senate

Conf.

Commerce-Emerg Oil/Gas Guarantee Prog (offset)

-20.0

0.0

0.0

0.0

Commerce-Emerg Oil/Gas Guarantee Prog (offset)

-42.8

**

0.0

0.0

USDA-Fund for Rural America (rescission)*

0.0

-6.0

0.0

0.0

USDA-Future Ag & Food Systems (offset)*

0.0

-100.0

0.0

0.0

DOE-Defense Environ. Restoration/Waste (resc)*

-13.0

-13.0

0.0

0.0

Interior-Natl Park Service Construction (rescission)*

DOE-US-Russia Plutonium Disposition (rescission)

DOE-Strategic Petroleum account (rescission)*

-5.0

-40.0

-12.0

0.0

-40.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

HUD-Housing Certificate Fund (rescission)*

-128.0

0.0

-128.0c

0.0

c

0.0

HUD-IG (rescission)*

0.0

0.0

-20

Dept of Transport.-Info Technology systems (offset)

-26.6

-26.6

0.0

0.0

Dept of Transportation-Maritime Admin (offset)

-7.6

**

0.0

0.0

HHS-Public Health & Social Services Emergency Fd

0.0

0.0

0.0

-43.2

HHS-General Dept Management (FY01 rescission)*

0.0

-20.0

0.0

HHS-Y2K funds (offset)

Information Technology, Y2K funds (offset)

-163.8

-235.0

**

-235.0

-20.0

-124.5

c

0.0

-235.0

c

0.0

c

-26.6

Other agencies Y2K funds (offset)

-12.7

**

-2.4

Natl Institute of Standards & Tech (rescission)*

0.0

0.0

-4.5c

0.0

0.0

-2.0

c

0.0

-1.1

c

0.0

-2.0

c

0.0

-13.5

c

0.0

-15.0

c

0.0

0.0

-15.0

c

0.0

0.0

c

0.0

0.0

-82.4

c

0.0

b

0.0

Dept of Justice-General Admin. S&E (rescission)*

Dept of Justice-US Parole Commission (rescission)*

Dept of Justice-Legal Activities S&E (rescission)*

Dept of Justice-Asset Forfeiture Fund (rescission)*

Dept of Justice-FBI S&E (rescission)*

Dept of Justice-Immig & Naturalization (rescission)*

Dept of Justice-Justice Assistance (rescission)*

Dept of Justice-State Criminal Alien Asst Program*

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

-0.5

Dept of Justice-State & Local Law Enforcement*

0.0

0.0

-7.9

Small Business Administration (rescission)*

0.0

0.0

-6.5c

0.0

DOD prior year appropriations (rescission)*

0.0

0.0

0.0

-286.6

DOD Military Construction FY1996 approps (resc.)*

0.0

0.0

0.0

-35.0

Coast Guard prior year appropriations (rescission)*

0.0

0.0

0.0

-11.4

c

Fed Drug Control Prog.-Forfeiture Fund (resc.)*

0.0

0.0

-3.3

TOTAL, Offsets, Rescissions, Delays, Transfers

-706.5

-440.6

-663.6

0.0

-422.8

* = Rescission or offset of non-emergency appropriations.

** = Requested on March 27 after the House Appropriations Committee had reported H.R. 3708.

a

Appropriated in S. 2521.

b

Appropriated in S. 2522.

c

Appropriated in S. 2536.

CRS-24

Table 4. Supplemental Appropriations Summary: Emergency,

Non-Emergency, Rescission, and Offset Totals

Request

House

Senate

Conf.

Appropriations – Non-Emergencies

737.2

251.0

493.2

406.7

Appropriations – Emergencies

4,191.1

10,075.8

4,223.6

6,845.7

Appropriations – Contingent Emergencies

Appropriations – Advance

Rescissions – Non-Emergencies

Rescissions – Emergencies

771.4

0.0

(158.0)

(40.0)

2,824.2

39.0

(13.0)

(40.0)

4,592.2

0.0

(281.7)

0.0

4,387.3

20.0

(383.2)

(26.6)

0.0

(20.0)

(20.0)

(20.0)

Offsets – Non-Emergencies

(500.9)

(106.0)

0.0

0.0

Offsets – Emergencies

(7.6)

(261.6)

(361.9)

0.0

TOTAL, New Budget Authority

4,993.2

12,749.4

8,645.4

11,229.9

Rescissions – Advance Appropriations

Note: Totals exclude amounts in title V of Division B of H.R. 4425. Title V repeals several provisions

enacted in 1999 that shifted the final FY2000 pay date for military and civilian employees so that the cost

would occur in FY2001. Title V further adds two new provisions concerning the payment dates of Social

Security and Veterans benefits The net effect of these actions is the addition of $3.946 billion in new budget

authority in FY2000 that is not reflected in the totals in this or other tables included in this report.

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