[Senate Report 112-169]
[From the U.S. Government Publishing Office]


                                                       Calendar No. 409
112th Congress                                                   Report
                                 SENATE
 2d Session                                                     112-169

======================================================================



 
       DEPARTMENT OF HOMELAND SECURITY APPROPRIATIONS BILL, 2013
                                _______
                                

                  May 22, 2012.--Ordered to be printed

                                _______
                                

          Ms. Landrieu, from the Committee on Appropriations, 
                        submitted the following

                                 REPORT

                         [To accompany S. 3216]

     The Committee on Appropriations reports the bill (S. 3216) 
making appropriations for the Department of Homeland Security 
for the fiscal year ending September 30, 2013, and for other 
purposes, reports favorably thereon and recommends that the 
bill do pass.



Total obligational authority, fiscal year 2013

Total of bill as reported to the Senate\1\ \2\ \3\ \7\.. $46,671,548,000
Amount of 2012 appropriations\4\ \6\....................  47,698,385,000
Amount of 2013 budget estimate\1\ \2\ \5\ \7\...........  46,413,991,000
Bill as recommended to Senate compared to--
    2012 appropriations.................................  -1,026,837,000
    2013 budget estimate................................    +257,557,000

\1\Committee recommendation includes $191,798,000 in rescissions, 
compared to $25,000,000 of proposed cancellations.
\2\Includes a permanent indefinite appropriation of $203,000,000 for the 
Coast Guard healthcare fund contribution.
\3\Includes $254,000,000 for the Coast Guard for the costs of overseas 
contingency operations.
\4\Includes rescissions totaling $204,192,000 pursuant to Public Law 
112-74. Includes permanent indefinite appropriation of $261,871,000 for 
the Coast Guard healthcare fund contribution. Includes $258,000,000 for 
the Coast Guard for the costs of overseas contingency operations.
\5\Excludes up to $254,461,000 for Coast Guard overseas contingency 
operations requested in Department of Defense ``Operation and 
Maintenance, Navy''.
\6\Includes $6,400,000,000 for the FEMA Disaster Relief Fund designated 
by Congress as disaster relief pursuant to Public Law 112-25.
\7\Includes $5,481,000,000 for the FEMA Disaster Relief Fund designated 
by Congress as disaster relief pursuant to Public Law 112-25.


                                CONTENTS

                              ----------                              
                                                                   Page
Overview and Summary of the Bill.................................     5
Title I:
    Departmental Management and Operations:
        Office of the Secretary and Executive Management.........    12
        Office of the Under Secretary for Management.............    17
        Office of the Chief Financial Officer....................    21
        Office of the Chief Information Officer..................    24
        Analysis and Operations..................................    26
        Office of Inspector General..............................    26
Title II:
    Security, Enforcement, and Investigations:
        U.S. Customs and Border Protection:
            Salaries and Expenses................................    29
            Automation Modernization.............................    39
            Border Security Fencing, Infrastructure, and 
              Technology.........................................    40
            Air and Marine Interdiction, Operations, Maintenance, 
              and Procurement....................................    42
            Construction and Facilities Management...............    44
            United States Visitor and Immigrant Status Indicator 
              Technology.........................................    46
        U.S. Immigration and Customs Enforcement:
            Salaries and Expenses................................    49
            Automation Modernization.............................    56
            Construction.........................................    57
        Transportation Security Administration:
            Aviation Security....................................    58
            Surface Transportation Security......................    69
            Transportation Threat Assessment and Credentialing...    70
            Transportation Security Support......................    72
            Federal Air Marshals.................................    73
        United States Coast Guard:
            Operating Expenses...................................    75
            Environmental Compliance and Restoration.............    81
            Reserve Training.....................................    82
            Acquisition, Construction, and Improvements..........    82
            Research, Development, Test, and Evaluation..........    90
            Retired Pay..........................................    91
        United States Secret Service:
            Salaries and Expenses................................    91
            Acquisition, Construction, Improvements, and Related 
              Expenses...........................................    94
Title III:
    Protection, Preparedness, Response, and Recovery:
        National Protection and Programs Directorate:
            Management and Administration........................    95
            Infrastructure Protection and Information Security...    96
            Federal Protective Service...........................   101
        Office of Health Affairs.................................   102
        Federal Emergency Management Agency:
            Salaries and Expenses................................   106
            State and Local Programs.............................   111
            Firefighter Assistance Grants........................   116
            Emergency Management Performance Grants..............   116
            Radiological Emergency Preparedness Program..........   117
            United States Fire Administration....................   117
            Disaster Relief Fund.................................   118
            Disaster Assistance Direct Loan Program Account......   118
            Flood Hazard Mapping and Risk Analysis...............   119
            National Flood Insurance Fund........................   120
            National Predisaster Mitigation Fund.................   121
            Emergency Food and Shelter...........................   121
Title IV:
    Research and Development, Training, and Services:
        United States Citizenship and Immigration Services.......   122
        Federal Law Enforcement Training Center:
            Salaries and Expenses................................   124
            Acquisitions, Construction, Improvements, and Related 
              Ex- 
              penses.............................................   125
        Science and Technology:
            Management and Administration........................   126
            Research, Development, Acquisition, and Operations...   126
        Domestic Nuclear Detection Office:
            Management and Administration........................   131
            Research, Development, and Operations................   131
            Systems Acquisition..................................   133
Title V: General Provisions......................................   135
Program, Project, and Activity...................................   143
Compliance With Paragraph 7, Rule XVI of the Standing Rules of 
  the 
  Senate.........................................................   144
Compliance With Paragraph 7(c), Rule XXVI of the Standing Rules 
  of the Senate..................................................   144
Compliance With Paragraph 12, Rule XXVI of the Standing Rules of 
  the Senate.....................................................   145
Budgetary Impact of Bill.........................................   170
Comparative Statement of New Budget Authority....................   171

                    OVERVIEW AND SUMMARY OF THE BILL

------------------------------------------------------------------------
                                                       Fiscal year 2013
                                  Fiscal year 2013        Committee
                                 request\1\ \2\ \4\   recommendation\1\
                                        \5\              \2\ \3\ \5\
------------------------------------------------------------------------
Title I--Departmental                $1,278,624,000       $1,101,627,000
 Management and Operations....
Title II--Security,                  32,182,492,000       32,651,205,000
 Enforcement, and
 Investigations...............
Title III--Protection,               11,392,128,000       11,451,520,000
 Preparedness, Response, and
 Recovery.....................
Title IV--Research and                1,560,747,000        1,534,697,000
 Development, Training, and
 Services.....................
Title V--General Provisions...  ...................          -67,501,000
                               -----------------------------------------
      Total, new budget              46,413,991,000       46,671,548,000
       (obligational
       authority).............
------------------------------------------------------------------------
\1\Committee recommendation includes $191,798,000 in rescissions,
  compared to $25,000,000 of proposed cancellations.
\2\Includes a permanent indefinite appropriation of $203,000,000 for the
  Coast Guard healthcare fund contribution.
\3\Includes $254,000,000 for the Coast Guard for the costs of overseas
  contingency operations.
\4\Excludes up to $254,461,000 for Coast Guard overseas contingency
  operations requested in Department of Defense ``Operation and
  Maintenance, Navy''.
\5\Includes $5,481,000,000 for the FEMA Disaster Relief Fund designated
  by Congress as disaster relief pursuant to Public Law 112-25.

    The Committee recommends total appropriations of 
$46,671,548,000 for the Department of Homeland Security for 
fiscal year 2013, $257,557,000 more than the budget request. Of 
this amount, $45,248,548,000, including $254,000,000 for Coast 
Guard overseas contingency operations and $5,481,000,000 for 
the FEMA Disaster Relief Fund designated by Congress as 
disaster relief pursuant to Public Law 112-25, is for 
discretionary programs.
    The Committee recommends discretionary appropriations, 
excluding Coast Guard overseas contingency operations and the 
FEMA Disaster Relief Fund adjustment, of $39,513,548,000, 
$86,680,000 below fiscal year 2012 and $3,557,000 above the 
President's request.

                                Overview

    One year after the death of Osama bin Laden and 7 months 
after the death of Anwar al-Awlaki, the Congress could decide 
that it is time to reduce its commitment to securing the 
homeland. That would be a mistake. Recent intelligence 
highlights the significant and evolving threats to America's 
homeland.
    In recent remarks at the Woodrow Wilson International 
Center for Scholars, the Assistant to the President for 
Homeland Security and Counterterrorism concluded that, ``there 
are still terrorists in hard-to-reach places who are actively 
planning attacks against us. If given the chance, they will 
gladly strike again and kill more of our citizens . . . And the 
President has a Constitutional and solemn obligation to do 
everything in his power to protect the safety and security of 
the American people . . . As the al Qaeda core falters, it 
continues to look to its affiliates and adherents to carry on 
its murderous cause. Despite the great progress we've made 
against al Qaeda, it would be a mistake to believe this threat 
has passed. Al Qaeda and its associated forces still have the 
intent to attack the United States. And we have seen lone 
individuals, including American citizens--often inspired by al 
Qaeda's murderous ideology--kill innocent Americans and seek to 
do us harm.''
    The threat of homegrown terrorism continues. The Fort Hood 
shooting was committed by a United States citizen. The New York 
City subway bomb plot was organized by a legal resident alien. 
The Times Square bombing attempt was precipitated by a 
naturalized citizen.
    Threats from abroad continue to be a serious concern, as 
evidenced by the 2009 Christmas Day bomb plot, the October 2010 
air cargo bombing attempt, and efforts as recently as April 
2012 by al Qaeda in the Arabian Peninsula to place nonmetallic 
explosives on aircraft bound for the United States. We also 
face persistent cybersecurity threats from individuals, 
sophisticated criminal organizations, and nation states that 
desire to do us harm.
    In addition to these man-made threats, natural disasters 
continue to have a significant impact in cities and rural 
communities. The Department of Homeland Security must prepare 
for and respond to such natural disasters. In 2011, the 
President issued 99 disaster declarations in 48 States. 
According to the Department of Commerce, the United States 
suffered 14 disasters that cost over $1,000,000,000 each, the 
most since it has been keeping records.
    The Department of Homeland Security seeks to mature and 
strengthen homeland security at all levels of government, the 
private sector, and our citizenry. More than 10 years after the 
attacks of 9/11, it is critical that the Nation develop and 
maintain a constant, capable, and vigilant posture to protect 
ourselves against existing and evolving threats. The Department 
must also ensure that all levels of government and the private 
sector effectively prepare for and respond to natural 
disasters.
    In addition, the Department must effectively carry out its 
many legacy statutory responsibilities, including securing our 
borders, enforcing our immigration laws, facilitating trade, 
protecting our currency, securing cyber systems, combating drug 
trafficking, securing the aviation sector and other modes of 
transportation, and promoting the safety of life and property 
at sea. As the economy improves, it is expected that there will 
be increased demand for Department of Homeland Security 
missions, particularly trade, border security, immigration 
enforcement, maritime safety, and aviation security. We should 
not allow long lines, or reduced law enforcement to deter such 
growth. In carrying out such missions in fiscal year 2011, the 
Department of Homeland Security:

                              COAST GUARD

  --Responded to 20,510 search and rescue incidents, saving 
        3,804 lives and protecting $82,000,000 in property;
  --Interdicted 2,474 undocumented migrants attempting to 
        illegally enter the United States;
  --Removed 165,375 pounds of cocaine and 39,690 pounds of 
        marijuana bound for the United States; seized 40 
        vessels, and detained 191 suspected drug smugglers;
  --Conducted 5,000 escorts of high-capacity passenger vessels, 
        naval vessels, and ships carrying dangerous cargoes;
  --Conducted 37,000 waterborne patrols to protect Critical 
        Infrastructure and Key Resources;
  --Performed over 6,500 inspections at facilities to ensure 
        compliance, identifying over 2,250 deficiencies of 
        safety, security, and environmental protection 
        regulations;
  --Completed over 26,500 container inspections, identifying 
        more than 2,220 deficiencies; and
  --Responded to and investigated approximately 3,000 pollution 
        incidents.

                U.S. CUSTOMS AND BORDER PROTECTION [CBP]

  --CBP officers at 329 ports of entry inspected 340 million 
        travelers and enrolled over 290,000 new travelers for a 
        total of 1,139,056 members in the agency's Trusted 
        Traveler Programs;
  --Nationwide, Border Patrol apprehensions of illegal aliens, 
        a key indicator of illegal immigration, decreased from 
        nearly 724,000 in fiscal year 2008 to approximately 
        340,252 in fiscal year 2011, a 53-percent reduction and 
        one-fifth of what they were at their peak in 2000. This 
        indicates that, as a result of increased enforcement 
        and restrained economic conditions, fewer people are 
        attempting to illegally cross the border;
  --CBP Agriculture Specialists seized more than 1.6 million 
        prohibited plant materials, meat, and animal byproducts 
        in fiscal year 2011, and intercepted nearly 183,000 
        pests at ports of entry;
  --Seized over $126,000,000 in currency (inbound and outbound) 
        at and between U.S. ports of entry;
  --Seized more than 5 million pounds of narcotics a 20-percent 
        increase from fiscal year 2010;
  --Processed nearly $2,300,000,000,000 in trade--a 10-percent 
        increase over fiscal year 2010--and 23.5 million 
        containers through our Nation's ports of entry. In 
        fiscal year 2011, CBP officers conducted more than 
        24,800 seizures of violations of Intellectual Property 
        Rights, compared to nearly 20,000 in fiscal year 2010, 
        and prevented $178,000,000 in counterfeit goods from 
        entering the U.S. economy;
  --At ports of entry, CBP officers arrested over 22,200 people 
        wanted for crimes, including murder, rape, assault, and 
        robbery. CBP officers also denied entry to more than 
        171,500 people attempting to enter the United States 
        through an air, land, or sea port of entry who were 
        found inadmissible for immigration, customs, health, 
        criminal, or national security reasons; and
  --CBP officers processed more than 15 million travelers at 15 
        international pre-clearance locations.

             U.S. IMMIGRATION AND CUSTOMS ENFORCEMENT [ICE]

  --Made over 48,000 arrests, 29,397 criminal arrests, and 
        18,785 administrative arrests;
  --Removed approximately 396,906 individuals, the largest 
        number in history. Of these, 55 percent or 216,698 of 
        the people removed were convicted of felonies or 
        misdemeanors, which is an 89-percent increase in the 
        removal of criminals since fiscal year 2008. This 
        includes 1,119 aliens convicted of homicide; 5,848 
        aliens convicted of sexual offenses; 44,653 aliens 
        convicted of drug-related crimes; and 35,927 aliens 
        convicted of driving under the influence of alcohol or 
        drugs;
  --Seized nearly 2.4 million pounds of narcotics and other 
        dangerous drugs;
  --During fiscal year 2011, ICE seized a record 1,118 weapons 
        from gang members or gang associates, this reflects an 
        increase of more than 105 percent over fiscal year 
        2010;
  --Processed more than 11,700 child exploitation investigative 
        leads, from both foreign and domestic sources. This 
        represents a 66-percent increase from fiscal year 2010 
        and a 129-percent increase from fiscal year 2009. In 
        addition, ICE achieved 1,414 criminal arrests and 
        initiated 3,147 criminal investigations. This 
        represents a 49-percent and 26-percent increase, 
        respectively, from fiscal year 2010; and
  --Represented the U.S. Government in 735,998 hearings before 
        the Immigration Courts, resulting in 186,221 orders of 
        removal. Additionally, attorneys prosecuted 4,364 
        administrative removal cases for aliens convicted of 
        aggravated felonies.

                      UNITED STATES SECRET SERVICE

  --Secret Service protective details and field agents ensured 
        100-percent incident-free protection for 5,616 domestic 
        travel stops and 399 international travel stops; of the 
        total domestic travel stops, foreign dignitary 
        protection represented 2,355 travel spots, including 
        visits by 216 heads of state and government, and 86 
        spouses, from 136 countries;
  --Protected 129 heads of state and government and 55 spouses 
        at the 66th session of the United Nations General 
        Assembly in New York, New York;
  --Screened more than 1.4 million members of the public at 
        Secret Service protective events;
  --Screened 1.43 million mail items, including packages and 
        gifts, destined for the White House;
  --Arrested 4,642 suspects for noncyber financial crimes 
        violations, 2,857 suspects for counterfeiting 
        violations, 187 suspects for mortgage fraud violation, 
        and 1,239 suspects for cyber crime related violations;
  --Seized over $71,000,000 in counterfeit currency before it 
        could be introduced into circulation;
  --Prevented $5,600,000,000 in potential losses through 
        financial crime investigations and $1,600,000,000 
        through cyber crime investigations; and
  --Fingerprinted/photographed 6,155 children for ``Operation 
        Safe Kids,'' opened 201 investigative cases, and made 
        145 arrests providing forensic support for missing and 
        exploited children.

       UNITED STATES CITIZENSHIP AND IMMIGRATION SERVICES [USCIS]

  --Naturalized more than 692,000 new citizens;
  --Processed more than 17 million employment verification 
        queries through E-Verify;
  --Naturalized more than 10,000 military servicemembers along 
        with their qualified family members;
  --Interviewed nearly 80,000 refugee applicants; and
  --Processed more than 34,000 asylum applications.

              TRANSPORTATION SECURITY ADMINISTRATION [TSA]

  --Screened more than 640 million people and more than 425 
        million checked bags;
  --Prevented passengers from bringing more than 133,000 
        dangerous prohibited items onto planes;
  --Through Secure Flight, prescreened 100 percent of the 
        nearly 14 million passengers flying weekly to, from, 
        and within the United States against Government 
        watchlists;
  --Screened 308 million pounds of cargo with TSA proprietary 
        canine teams;
  --Processed over 288,788 Transportation Worker Identification 
        Credential [TWIC] applicants; and
  --Initiated Pre-Check, a risk-based security screening method 
        designed to make secure screening more efficient for 
        known travelers.

              NATIONAL PROTECTION AND PROGRAMS DIRECTORATE

  --Conducted 19 Cybersecurity Compliance Validations of 
        Federal Executive Branch departments and agencies;
  --Processed more than 106,000 incident reports from Federal 
        departments and agencies and critical infrastructure 
        and international partners;
  --Received and prioritized approximately 7,780 files for 
        malware analysis, resulting in the release of more than 
        5,200 actionable cybersecurity alerts and information 
        products;
  --Provided technical assistance to all 56 States and U.S. 
        territories to align State and national communications 
        systems to support the implementation of Statewide 
        Communication Interoperability Plans for use during 
        disasters;
  --Assessed more than 680 critical infrastructure sites and 
        conducted Regional Resiliency Assessments on clusters 
        of high-consequence critical infrastructure to 
        coordinate protection efforts in major metropolitan 
        areas;
  --The Federal Protective Service responded to 53,000 
        incidents, made 1,975 arrests, and interdicted more 
        than 680,000 weapons/prohibited items during routine 
        checks at Federal facilities; and
  --Investigated and mitigated more than 1,300 threats and 
        assaults directed toward Federal facilities and their 
        occupants.

                        OFFICE OF HEALTH AFFAIRS

  --Collected over 200,000 samples in more than 30 U.S. cities 
        to enhance protection and preparedness for high 
        consequence biological threats;
  --Conducted exercises in U.S. cities to test full-scale 
        response among multi-jurisdictions if notified of a 
        biological incident; and
  --Delivered 200,000 courses of medical countermeasures to 127 
        field locations providing DHS personnel with immediate 
        access to life-saving medications to ensure frontline 
        operations can continue during a biological attack.

               FEDERAL EMERGENCY MANAGEMENT AGENCY [FEMA]

  --Supported disaster response and recovery for major 
        disasters, including 99 major declared disasters, 26 
        emergency declarations, and 112 fire management 
        assistance declarations;
  --During Hurricane Irene in 2011, FEMA pre-positioned 
        communications equipment purchased after 2005 and local 
        officials consistently reported no unmet communications 
        requests during the response;
  --Obligated $5,600,000,000 in disaster recovery assistance;
  --Managed the national deployment program, which provided 
        systems and tracking support for disaster and emergency 
        declarations, processed 30,000 deployment requests, and 
        fielded 120,000 calls in support of deployment 
        activity;
  --Trained more than 2.5 million homeland security and 
        emergency management officials and first responders, 
        including thousands of State, local, and tribal 
        responders;
  --Conducted more than 200 Federal, State, and local 
        exercises, including more than 40 Executive Education 
        Seminars, to educate newly elected and appointed 
        officials on homeland security and emergency management 
        issues;
  --Provided 100 technical assistance deliveries for fusion 
        centers, planning, and critical infrastructure/key 
        resources; and
  --Due to investments made after the Post-Katrina Emergency 
        Management Reform Act, FEMA catastrophic planning is 
        more integrated, shelter facility data is better 
        managed, and the disaster acquisition process is 
        proactive, not reactive.

                 OFFICE OF THE INSPECTOR GENERAL [OIG]

  --The OIG issued 118 management and 61 financial assistance 
        grant reports in fiscal year 2011, identifying 
        $963,000,000 of questioned costs and recovering 
        $35,200,000 from cost disallowances in prior audit 
        reports and investigations, and identified $27,700,000 
        in funds put to better use;
  --Investigations resulted in 402 arrests, 283 indictments, 
        and 358 convictions. In addition, the Office of 
        Investigations closed 953 investigations and 15,102 
        complaints, initiated 1,353 new investigations, and 
        issued 863 Reports of Investigation; and
  --Investigative recoveries, fines, restitutions, and cost 
        savings totaled $28,500,000.

            FEDERAL LAW ENFORCEMENT TRAINING CENTER [FLETC]

  --Effectively trained 70,542 law enforcement agents, an 
        increase of 7.3 percent or 4,806 agents above fiscal 
        year 2010;
  --The Rural Policing Institute trained 15,194 State, local, 
        campus and tribal law enforcement officers in locations 
        throughout the United States and via distance learning; 
        and
  --Completed the construction of the Counterterrorism 
        Operations Training Facility Intermodal Terminal 
        Building, a first-of-its kind facility that addresses 
        evolving threats to homeland security by offering 
        frontline law enforcement personnel hands-on training 
        in a realistic, state-of-the-art intermodal 
        transportation environment.

                         ADMINISTRATIVE SAVINGS

     In an effort to maximize resources for front line 
missions, the Committee has approved $850,000,000 of 
administrative savings, $191,798,000 of rescissions of low-
priority unobligated balances, approved limitations on 
noncompetitive contracts, required reporting to the Inspector 
General on expenditures on conferences, limited travel to 
international conferences, required 32 expenditure and related 
plans to promote congressional oversight and effective 
execution of Federal funding (prohibiting the obligation of 
over $589,000,000 until such plans are delivered to Congress), 
consolidated eight grant programs, and increased public 
integrity funding for the Inspector General and Customs and 
Border Protection. These cuts come on top of over $800,000,000 
of similar savings and over $204,000,000 of rescissions in the 
fiscal year 2012 DHS Appropriations Act.

                               References

    This report refers to several Public Laws by short title as 
follows: The Budget Control Act of 2011, Public Law 112-25, is 
referenced as the BCA; American Recovery and Reinvestment Act 
of 2009, Public Law 111-5, is referenced as ARRA; Implementing 
Recommendations of the 9/11 Commission Act of 2007, Public Law 
110-53, is referenced as the 9/11 Act; Security and 
Accountability for Every Port Act of 2006, Public Law 109-347, 
is referenced as the SAFE Port Act; Robert T. Stafford Disaster 
Relief and Emergency Assistance Act, Public Law 93-288, is 
referenced as the Stafford Act; and Intelligence Reform and 
Terrorism Prevention Act of 2004, Public Law 108-458, is 
referenced as the Intelligence Reform Act.
    Any reference in this report to the Secretary shall be 
interpreted to mean the Secretary of Homeland Security.
    Any reference to the Department or DHS shall be interpreted 
to mean the Department of Homeland Security.
    Any reference in this report to a departmental component 
shall be interpreted to mean directorates, components, offices, 
or other organizations in the Department of Homeland Security.
    Any reference to ``full-time equivalents'' shall be 
referred to as FTE.
    Any reference to ``program, project, and activity'' shall 
be referred to as PPA.
    Any reference to a ``Homeland Security Presidential 
Directive'' shall be referred to as HSPD.
    Any reference to ``Government Accountability Office'' shall 
be referred to as GAO.
    Any reference to the ``Office of Inspector General'' of the 
Department of Homeland Security shall be referred to as OIG.

                    DEPARTMENT OF HOMELAND SECURITY

                                TITLE I

                 DEPARTMENTAL MANAGEMENT AND OPERATIONS

            Office of the Secretary and Executive Management

Appropriations, 2012....................................    $133,159,000
Budget estimate, 2013...................................     134,150,000
Committee recommendation................................     133,351,000

    The Office of the Secretary and Executive Management 
supports the Department by providing direction, management, and 
policy guidance to operating components. The specific 
activities funded by this account include: the Immediate Office 
of the Secretary; the Immediate Office of the Deputy Secretary; 
the Office of the Chief of Staff; the Office of the Executive 
Secretary; the Office of Policy; the Office of Public Affairs; 
the Office of Legislative Affairs; the Office of the General 
Counsel; the Office for Civil Rights and Civil Liberties; the 
Citizenship and Immigration Services Ombudsman; the Office of 
Intergovernmental Affairs; and the Privacy Office.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $133,351,000 for the Office of the 
Secretary and Executive Management, $192,000 above the fiscal 
year 2012 level and $799,000 below the request level. 
Reductions below the request taken to select offices are due to 
a high level of staffing vacancies. The recommendation includes 
requested reductions for efficiencies, contract support, and 
administrative savings. The Committee includes the requested 
programmatic increases for the Office for Civil Rights and 
Civil Liberties [OCRCL], including $1,327,000 for OCRCL to 
ensure that the Department's immigration efforts comply with 
all applicable civil rights statutes and constitutional 
requirements. The Committee directs that a briefing be provided 
not later than 30 days after the OCRCL completes the initial 
review of Secure Communities, 287(g), and other programs, 
including its findings and recommendations. This briefing 
should be conducted jointly by OCRCL and ICE officials.
    The Committee denies the budget proposal to create separate 
budget line items for the Office of International Affairs, the 
Office of State and Local Law Enforcement, and the Private 
Sector Office, which are all currently funded within the Office 
of Policy. The Department has not supplied the Committee with a 
compelling rationale for why these offices need to be stand 
alone entities within the Office of the Secretary and Executive 
Management and these functions have been performed adequately 
within the Office of Policy.
    The Committee is aware that funding was discontinued for a 
historian to maintain a historical record of the Department. 
The Secretary is encouraged to fill such a position from funds 
provided in this act.
    The specific levels recommended by the Committee as 
compared to the fiscal year 2012 and budget request levels are 
as follows:

                                OFFICE OF THE SECRETARY AND EXECUTIVE MANAGEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                  Fiscal year
                                                                 Fiscal year      2013 budget       Committee
                                                                 2012 enacted       request      recommendations
----------------------------------------------------------------------------------------------------------------
Immediate Office of the Secretary............................            5,000            4,295            4,295
Immediate Office of the Deputy Secretary.....................            1,918            2,387            2,100
Office of the Chief of Staff.................................            2,300            2,498            2,300
Office of Counternarcotics Enforcement.......................            1,800  ...............  ...............
Executive Secretary..........................................            8,100            7,993            7,993
Office of Policy.............................................           40,000           33,678        \2\44,322
Office of Public Affairs.....................................            5,800            5,966            5,800
Office of Legislative Affairs................................            6,000            6,041            6,041
Office of Intergovernmental Affairs..........................            2,650            2,648            2,500
Office of General Counsel....................................           22,400           21,947           21,947
Office for Civil Rights and Civil Liberties..................           22,500           21,716           21,716
Citizenship and Immigration Services Ombudsman...............            6,200            5,950            5,950
Privacy Officer..............................................            8,491            8,387            8,387
Office of International Affairs..............................            (\1\)            8,001  ...............
Office of State and Local Law Enforcement....................            (\1\)              892  ...............
Private Sector Office........................................            (\1\)            1,751  ...............
                                                              --------------------------------------------------
      Total, Office of the Secretary and Executive Management          133,159          134,150          133,351
----------------------------------------------------------------------------------------------------------------
\1\Funded under the Office of Policy.
\2\Includes funds for the Office of International Affairs, Office of State and Local Law Enforcement, and the
  Private Sector Office.

                            EVOLVING THREATS

    The demands on the Department of Homeland Security continue 
to grow as the threats from terrorism persistently evolve. 
Whether it is homegrown terrorism; cyber intrusions; semi-
submersibles; biological, chemical, or nuclear attacks; food 
tampering; surgically implanted explosives; animal diseases; or 
varying locations and means for crossing our borders (such as 
tunnels), the Department must be able to respond and adapt 
swiftly to interdict these threats at the earliest point 
possible. Further, naturally occurring events put our Nation at 
risk. Storms are growing more frequent and larger and 
earthquakes threaten major population areas, posing a risk to 
critical infrastructure. Within 90 days after the date of 
enactment of this act and periodically thereafter, DHS is to 
brief the Committee on how it is applying its resources to 
address these evolving threats.

           COORDINATION OF FEDERAL CHEMICAL SECURITY EFFORTS

    The National Protection and Programs Directorate's Office 
of Infrastructure Protection and the Coast Guard are to 
complete the planned Memorandum of Understanding [MOU] to 
harmonize chemical security responsibilities established by 
Chemical Facilities Anti-Terrorism Standards regulations and 
Maritime Transportation Security Act regulatory programs 
immediately. Congress directed this MOU to be completed no 
later than March 30, 2012, but that agreement has not been 
finalized. The Deputy Secretary is directed to continue semi-
annual reporting to the Committee on these matters as directed 
in fiscal year 2012.

                                REAL ID

    The Committee directs the Office of Policy to submit the 
report on Real ID required by Senate Report 112-74 immediately.

                         OSEM EXPENDITURE PLANS

    The Committee directs the Office of Policy, the Office of 
Intergovernmental Affairs, the Office for Civil Rights and 
Civil Liberties, the Office of Citizenship and Immigration 
Services Ombudsman, and the Privacy Officer each to submit an 
expenditure plan for fiscal year 2013 not later than 60 days 
after the date of enactment of this act. Each plan shall 
include details on: staffing by programmatic function area, 
expenses, contracts, obligations, funds by sub-offices (if 
appropriate), and how resources are aligned to specific 
activities and initiatives in fiscal year 2013.

                               USER FEES

    The Committee directs the Secretary to continue quarterly 
updates on user fees as originally directed in the conference 
report accompanying Public Law 111-83.

                     DEPARTMENTAL INTEGRITY EFFORTS

    The Committee is pleased with the work that has been done 
to solidify the investigative relationship between the OIG and 
CBP regarding corruption investigations. The Committee directs 
the Deputy Secretary, jointly with the OIG, CBP, and ICE, to 
submit a report, not later than 60 days after the date of 
enactment of this act, outlining the specific steps being taken 
to further address the process for investigating cases of 
corruption of DHS employees, and outline the plan to address, 
as a unified DHS, the engagement of DHS with the Department of 
Justice's Border Corruption Task Forces.

                  COMPACT OF FREELY ASSOCIATED STATES

    Pursuant to the Compact of Free Association Act of 1985 
(Public Law 99-239), and continued under the Compact of Free 
Association Amendments Act of 2003 (Public Law 108-188), 
citizens of the Freely Associated States [FAS] are accorded the 
privilege of traveling and residing in the United States 
without a limit. Although the Compact and accompanying statutes 
clearly state, ``it is not the intent of the Congress to cause 
any adverse consequences for an affected jurisdiction,'' 
pressing medical and social needs of FAS migrants are imposing 
considerable economic costs on a small number of jurisdictions 
within the United States.
    The Department is directed to promulgate regulations 
governing admission and residency of FAS migrants. The 
Department shall also continue its work within the National 
Security Council Interagency Policy Committee on Freely 
Associated State Affairs to implement its action plan to reduce 
the impact of FAS migration on Federal, State, local, and 
territorial governments, particularly those in affected 
jurisdictions.

                 RECEPTION AND REPRESENTATION EXPENSES

    Within the total amount recommended for the Office of the 
Secretary and Executive Management, up to $45,900 is included 
for reception and representation expenses. The Department is 
directed to submit quarterly reports to the Committee listing 
obligations for all DHS reception and representation expenses 
by purpose and dollar amount, at a level of detail provided in 
fiscal year 2011 and 2012, or in greater detail if that is 
required to explain how funds were used. In recognition of a 
more constrained budget environment and to limit opportunities 
for waste and abuse, the Committee reduced the limitation on 
spending for reception and representation expenses for official 
purposes Department-wide by 15 percent for fiscal year 2012 and 
includes a further 10-percent reduction in the limitation of 
these expenses for fiscal year 2013.

                             OVERHEAD COSTS

    Federal agencies have been directed by Executive Order 
13589 to plan for reducing the combined costs of certain 
activities by not less than 20 percent below fiscal year 2010 
levels in fiscal year 2013. The Department should continue to 
seek to reduce operating expenses by placing greater scrutiny 
on overhead costs. Savings might be achieved by further 
reducing nonessential travel, office supply, rent, and utility 
costs. The Committee directs the Department to submit a plan to 
reduce such costs within 60 days after the date of enactment of 
this act.

                            DETAILEE REPORT

    The Committee requires the Department to submit an annual 
report on detailees with the budget request for fiscal year 
2014. The format of this submission shall be in accordance with 
the revised guidance set forth in Senate Report 110-84.

           FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTERS

    The Department is directed to report semi-annually to the 
Committee on the current projects tasked to Federally Funded 
Research and Development Centers [FFRDCs], the funding 
obligated by component, including the purposes for the funds, 
and any projects completed in the prior 6-month period, with 
the first report due February 15, 2013. Reports for prior years 
were submitted well after the required due dates and failed to 
fully describe individual projects and the purpose they served. 
The Committee expects more robust project descriptions of 
individual projects and a more timely submission.

               RESEARCH AND DEVELOPMENT PORTFOLIO REVIEWS

    The Committee understands that the Science and Technology 
[S&T] Directorate established an effective review process for 
its own research and development portfolio to ensure that 
projects selected for funding are those that will have the 
greatest impact and opportunity for transition to operational 
use. This type of review would be of great value to coordinate 
research and development work and related efforts across the 
Department. To ensure a coordinated approach to research and 
development and related activities in the Department, the 
Committee directs the Secretary, through the Under Secretary 
for Science and Technology, to establish a review process 
similar to the S&T review process for all research and 
development and related work within DHS. In addition to direct 
research and development, the review should include operational 
analysis (documenting and resolving component capability gaps 
including any modeling and simulation funding to better 
understand where gaps reside in a component's mission space, 
the improvement of concepts of operations, etc.); technology 
improvement (any incremental upgrade to currently deployed 
technology); spiral development (resources devoted towards 
iterative processes such as software development involving the 
continual refinement of technology); and product development 
(any funding for new technology or knowledge products). S&T 
shall brief the Committees on this effort no later than 120 
days after the date of enactment of this act.

                             CYBERSECURITY

    In the Joint Explanatory Statement accompanying the 
Department of Homeland Security Appropriations Act, 2012, the 
Deputy Secretary, jointly with the Deputy Secretary of Defense 
was directed to submit a report on the benefits of establishing 
a National Guard cybersecurity team and/or an equivalent 
civilian team by May 1, 2012. The report shall be submitted 
without delay. The Committee expects DHS to continue 
coordination with the National Guard, particularly with regard 
to assessments of DHS and National Guard capabilities, and 
composition of the cyber operations workforce, including 
civilian acquired skills.

                     PORT SECURITY TRAINING PROGRAM

    The Committee is concerned that the Department has not yet 
implemented section 821 of the Coast Guard Authorization Act of 
2010 (Public Law 111-281) to enhance and upgrade Federal 
waterfront facility security officer [FSO] training and lead to 
the Federal certification of FSOs. Implementation will help 
harmonize security training at marine terminals. The Committee 
directs DHS and the Coast Guard to move forward with all 
deliberate speed to issue these new national training 
requirements.

              GLOBAL POSITIONING SYSTEM [GPS] INTERFERENCE

    The Committee is concerned about the security threat that 
interference, jamming, or spoofing of GPS could have on the 
aviation system, first responder network, and border security 
and the capacity to detect and analyze the nature of 
interruptions. The Committee recognizes that the Department is 
evaluating approaches that rely on adoption of new hardware on 
a nationwide scale that would not be available for several 
years, and urges the Secretary to compare this effort to 
approaches that rely upon existing hardware already in place 
nationwide that would provide the capacity in the near-term 
through the development of pilot projects leading to a broader 
nationwide detection system.

                      NONIMMIGRANT VISA RULEMAKING

    The Committee is aware that the Department of Justice is in 
the process of issuing new rules allowing nonimmigrants who 
enter the United States through the Visa Waiver Program to 
legally purchase and possess firearms in the United States. The 
Committee urges the Secretary of Homeland Security to work with 
the Attorney General to develop safeguards to protect the 
national security and public safety interests of the United 
States.

              Office of the Under Secretary for Management

Appropriations, 2012....................................    $235,587,000
Budget estimate, 2013...................................     221,771,000
Committee recommendation................................     220,270,000

    The Under Secretary for Management oversees management and 
operations of the Department, including procurement and 
acquisition, human capital, and property management. The 
specific activities funded by this account include the 
Immediate Office of the Under Secretary for Management, the 
Office of the Chief Security Officer, the Office of the Chief 
Procurement Officer, the Office of the Chief Human Capital 
Officer, and the Office of the Chief Administrative Officer.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $220,270,000 for the Office of the 
Under Secretary for Management, $1,501,000 below the amount 
requested and $15,317,000 below the amount enacted in fiscal 
year 2012. The Committee's recommendation includes funding for 
robust oversight of major acquisitions, recruitment and 
development of a skilled workforce, and security measures to 
safeguard DHS personnel, property, facilities, and information. 
The Committee supports the one-DHS concept, which can only be 
executed when such missions are appropriately funded. Effective 
government is not accomplished through excessive funding cuts 
for these essential capabilities. Unless specifically addressed 
in this report, reductions taken to individual offices below 
the request are due to a constrained budget environment and to 
focus limited resources on the Department's critical 
operational missions.
    The specific levels recommended by the Committee, as 
compared to the fiscal year 2012 and budget request levels, are 
as follows:

                                  OFFICE OF THE UNDER SECRETARY FOR MANAGEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Immediate Office of the Under Secretary for Management....             2,550             3,112             3,112
Office of Security........................................            70,000            69,258            69,258
Office of the Chief Procurement Officer...................            78,000            73,176            73,176
Office of the Chief Human Capital Officer:
    Salaries and Expenses.................................            25,165            25,971            24,971
    Human Resources Information Technology Program........            14,172             9,689             9,689
Office of the Chief Administrative Officer:
    Salaries and expenses.................................            40,700            35,117            34,616
    Nebraska Avenue Complex...............................             5,000             5,448             5,448
                                                           -----------------------------------------------------
      Total, Office of the Under Secretary for Management.           235,587           221,771           220,270
----------------------------------------------------------------------------------------------------------------

         COMPREHENSIVE AND QUARTERLY ACQUISITION STATUS REPORTS

    The Committee is displeased with the inability of the 
Department to provide timely information related to its major 
acquisition programs, especially since the information 
requested is already required by the Department as part of its 
own acquisition oversight process. The statutorily required 
Acquisition Status Report for fiscal year 2012 is over 3 months 
past due.
    In order to obtain the information necessary for in-depth 
congressional oversight, statutory language is included in this 
act that requires a Comprehensive Acquisition Status Report to 
be included as part of the submission of the President's fiscal 
year 2014 budget, with quarterly updates to be submitted 30 
days after the completion of each quarter. The requirements for 
both reports are addressed below. A general provision is 
included withholding funds from the Office of the Under 
Secretary for Management until this and other spend plans are 
submitted to the Committee.
    The Comprehensive Acquisition Status Report shall include 
programs identified for Major Acquisition Oversight as defined 
in the Department memorandum titled ``Department of Homeland 
Security Major Acquisition Oversight List'' dated January 25, 
2011, and programs that have been classified for major 
acquisition oversight subsequent to the referenced memorandum. 
The Comprehensive Acquisition Status Report shall include for 
each major acquisition:
  --A narrative description to include current gaps and 
        shortfalls, the capabilities to be fielded, and the 
        number of planned increments and/or units;
  --Acquisition Review Board (or other board designated to 
        review the acquisition) status of each acquisition, 
        including the current acquisition phase, the date of 
        the last review and a listing of the required documents 
        that have been reviewed with the dates reviewed and/or 
        approved;
  --The most current approved Acquisition Program Baseline (to 
        include project schedules and events);
  --A comparison of the original Acquisition Program Baseline, 
        the current Acquisition Program Baseline, and the 
        current estimate;
  --Whether or not an Independent Verification and Validation 
        has been implemented, with an explanation for the 
        decision and a summary of any findings;
  --A rating of cost risk, schedule risk, and technical risk 
        associated with the program (including narrative 
        descriptions and mitigation actions);
  --Contract status (to include earned value management data as 
        applicable);
  --A life-cycle cost of the acquisition and time basis for the 
        estimate;
  --A planned procurement schedule, including the best estimate 
        of the annual cost and increments/units to be procured 
        annually until procurement is complete;
  --A table delineated by appropriation that provides (for 
        prior years; past year; current year; budget year; 
        budget year plus one; budget year plus two; budget year 
        plus three; budget year plus four and beyond; and total 
        cost) the actual or estimated appropriations, 
        obligations, unobligated authority, and planned 
        expenditures;
  --The reason for any significant changes (from the previous 
        comprehensive report) in acquisition quantity, cost, or 
        schedule;
  --Key Events/Milestones from the prior fiscal year; and
  --Key Events/Milestones for the current fiscal year.
    Quarterly reports shall include:
  --An updated status report on any major acquisition for which 
        there has been an approved or a new acquisition program 
        baseline, a new acquisition decision memorandum, or 
        where there has been significant deviation from the 
        prior report with respect to acquisition cost, 
        quantity, or schedule (a significant change is any 
        deviation in cost or quantity that exceeds 8 percent or 
        any change in schedule that exceeds 6 months).
  --A table depicting the title of the program, quantity and 
        cost based on the original Acquisition Program 
        Baseline, quantity and cost based on the most current 
        acquisition program baseline, the quantity and cost of 
        the most current estimate, and the explanation for any 
        change in quantity and cost from prior reports.
  --If applicable, a copy of the acquisition decision 
        memorandum, together with a copy of the Letter of 
        Assessment signed by the Director of Testing and 
        Evaluation.

                    FRONT END TECHNOLOGY ASSESSMENT

    The Science and Technology Directorate has established an 
effective test and evaluation process for DHS major 
acquisitions. The test and evaluation takes place near the end 
of the acquisition process, after technology solution decisions 
have been made. The Committee believes the quality and 
successful application of new technology would benefit greatly 
from a more robust technology assessment of alternatives on the 
``front end'' of an acquisition. The Under Secretary for 
Management and the Under Secretary for Science and Technology 
are to develop a plan for a formal technology assessment of 
alternatives for all non-IT technology acquisitions and brief 
the Committee on the plan within 6 months after the date of 
enactment of this act.

                      OVER-RELIANCE ON CONTRACTORS

    The estimated number of contractors providing services in 
support of various DHS programs is 110,000 compared to 
approximately 230,000 Federal employees. According to the 
Department's congressional justification, ``The Quadrennial 
Homeland Security Review and the Bottom-Up Review have both 
confirmed a critical need to balance the DHS workforce by 
ensuring strong Federal control of all DHS work and reducing 
reliance on contractors.'' As of September 2011, the Department 
has eliminated nearly 3,689 contractor positions, of which 
2,771 were converted into new Federal jobs. The estimated 
savings associated with this effort is $28,000,000. The 
Committee supports the Department's continued efforts to 
convert contractor positions to Federal jobs through its 
Balanced Workforce Initiative and the Office of the Chief Human 
Capital Officer [OCHCO]-managed program office leading the 
Department's efforts to examine the appropriate workforce best 
suited to meet mission needs. The Committee also recognizes 
this is an evolving and continuous process, but progress and 
projected milestones are necessary to judge the success of 
these efforts. Therefore, the Committee directs the Department 
to submit a report by January 15, 2013, on the Department's 
balanced workforce strategy, including numbers of insourcing or 
outsourcing decisions by component for fiscal years 2009-2012, 
associated savings resulting from those decisions, and sourcing 
plans for fiscal year 2013 and fiscal year 2014.

                       HUMAN RESOURCES SERVICING

    In 2011, based on concerns raised by the Office of 
Personnel Management, the Human Resources Management and 
Services [HRMS] Delegating Examining Authority was withdrawn 
from the Department's HRMS division. Concerns were raised about 
the office's ability to comply with regulatory requirements in 
its recruitment and staffing missions. The Committee is aware 
of an ongoing independent assessment being conducted of HRMS to 
determine the root causes for these concerns and make 
recommendations for improvement. The OCHCO is to brief the 
Committee on the results of this assessment no later than 30 
days after its completion. The Committee expects DHS to not 
only improve its performance in providing human resources 
services, it shall streamline the process to make these 
services more efficient. Therefore, a reduction of $1,000,000 
below the President's request is recommended.

                       HEADQUARTERS CONSOLIDATION

    Pursuant to section 549, a total of $89,000,000 is provided 
for ``Office of the Under Secretary for Management'' for costs 
associated with headquarters consolidation and mission support 
consolidation. The Under Secretary shall submit an expenditure 
plan no later than 90 days after the date of enactment of this 
act detailing how these funds will be allocated, including a 
revised schedule and cost estimates for headquarters 
consolidation. Quarterly briefings are required on headquarters 
and mission support consolidation activities, including any 
deviation from the expenditure plan. According to the 
Department, an updated plan is being developed in coordination 
with the General Services Administration to complete the 
headquarters consolidation project in smaller, independent 
segments that are more fiscally manageable in the current 
budget environment. The Department expects this updated plan to 
be completed by the end of summer 2012 and it is to be 
submitted to the Committee upon its completion. The Committee 
expects the plan to identify the discrete construction 
segments, the associated resource requirements for each 
segment, and the proposed timeline for requesting funding to 
complete each segment.

                          CHILD CARE SERVICES

    Due to delays in the development of the consolidated 
headquarters at the St. Elizabeths campus in Washington, DC, 
the Nebraska Avenue Campus [NAC] will continue to serve as the 
headquarters facility for DHS and the location for mission 
support functions for several years to come. Given this reality 
and the fact that a child care center was planned for the St. 
Elizabeths campus, the Department is to consider establishing a 
child care facility at the NAC to support the 2,300 men and 
women employed there. The Chief Administrative Officer shall 
brief the Committee no later than 90 days after the date of 
enactment of this act on the feasibility of establishing a 
child center at the NAC.

                 Office of the Chief Financial Officer

Appropriations, 2012....................................     $50,860,000
Budget estimate, 2013...................................      55,414,000
Committee recommendation................................      53,714,000

    The Office of the Chief Financial Officer is responsible 
for the fiscal management and financial accountability of the 
Department of Homeland Security. The Office of the Chief 
Financial Officer provides guidance and oversight of the 
Department's budget execution while ensuring that funds are 
allocated and expended in accordance with relevant laws and 
policies. This account funds the Budget Division, Office of 
Financial Operations, Office of Performance Analysis and 
Evaluation, Office of Financial Management, Resource Management 
Transition Office, and the Office of the Government 
Accountability Office/Office of Inspector General Audit 
Liaison.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $53,714,000 for the Office of the 
Chief Financial Officer [OCFO], an increase of $2,854,000 above 
the fiscal year 2012 level and $1,700,000 less than the budget 
request.

                    FINANCIAL SYSTEMS MODERNIZATION

    The Committee recognizes the Department's need to improve 
the reliability and transparency of its financial data, and 
directs DHS to maintain frequent communications with the 
Committee on financial management improvement plans necessary 
to support the Department's missions. Following the 
Department's decision to cancel acquisition plans for the 
Transformation and Systems Consolidation [TASC] project, DHS 
plans to target components with immediate financial systems 
modernization needs and provide a solution that is already 
operational at other Federal agencies. The Department has 
funded an independent assessment to evaluate if this new 
approach to financial management system modernization meets the 
DHS goal of obtaining accurate and timely financial reporting. 
The OCFO is to brief the Committee on the results of this 
review no later than July 31, 2012.
    With regard to component specific solutions, the Committee 
is aware of Analyses of Alternatives being conducted by the 
Coast Guard and ICE to improve their core financial systems. 
The OCFO, in tandem with the Coast Guard and ICE, are to brief 
the Committee on the preferred solutions before funds can be 
obligated to initiate improvement efforts. The briefing is to 
include total resource requirements by fiscal year and a 
timeline for implementation with discrete milestones.

                  BUDGET EXECUTION AND STAFFING REPORT

    The Committee includes bill language requiring the 
Department to continue to submit to the House and Senate 
Committees on Appropriations a monthly budget execution report 
showing the status of obligations and costs for all components 
of the Department and on-board staffing levels (Federal 
employees and contractors). The report shall include the total 
obligational authority appropriated (new budget authority plus 
unobligated carryover), undistributed obligational authority, 
amount allotted, current year obligations, unobligated 
authority (the difference between total obligational authority 
and current year obligations), beginning unexpended 
obligations, year-to-date costs, and ending unexpended 
obligations. This budget execution information is to be 
provided at the level of detail shown in the tables displayed 
at the end of this report for each departmental component and 
the Working Capital Fund. This report shall be submitted no 
later than 45 days after the close of each month.

                           EXPENDITURE PLANS

    The Committee continues requiring expenditure plans for 
specific DHS programs. These plans are intended to provide 
Congress with information to effectively oversee a particular 
program and hold the Department accountable for program 
results. Expenditure plans required by the Committee shall 
include, at a minimum: a description of how the plan satisfies 
any relevant legislative conditions for the expenditure plan; 
planned capabilities and benefits; cost and schedule 
commitments; measures of progress against commitments made in 
previous plans; how the program is being managed to provide 
reasonable assurance that the promised program capabilities, 
benefits, and cost and schedule commitments will be achieved; 
historical funding for the program, if applicable; and an 
obligation and outlay schedule.
    The Department has failed to deliver or deliver on time a 
number of statutorily required fiscal year 2012 expenditure 
plans, which are essential for Congress to provide proper 
oversight of DHS programs. These plans also instill fiscal 
discipline within the Department and the relevant component by 
ensuring the development of a comprehensive strategy for the 
expenditure of funds early in the fiscal year that will then be 
followed throughout the year. Plans that have not been provided 
to the Committee for fiscal year 2012 include the Coast Guard's 
Capital Investment Plan; Office of the Chief Information 
Officer multiyear investment and management plan; and the 
Border Security Fencing, Infrastructure, and Technology 
multiyear investment and management plan. For fiscal year 2013, 
a general provision is included withholding 59 percent of funds 
from the Office of the Secretary and Executive Management, 
Under Secretary for Management and the Office of the Chief 
Financial Officer until all statutorily required expenditure 
plans are submitted on time.

                      ANNUAL BUDGET JUSTIFICATIONS

    The Chief Financial Officer is directed to ensure that 
fiscal year 2014 budget justifications for classified and 
unclassified budgets of all Department components are submitted 
on February 4, 2013, concurrent with the President's budget 
submission to Congress. The justifications shall include:
  --Detailed data and explanatory descriptions for each 
        appropriations request, and for each PPA reflected in 
        the table accompanying this statement, including 
        offices that have been identified as PPAs. Information 
        regarding actual and planned accomplishments should be 
        in quantifiable terms and demonstrate a direct 
        relationship to funding;
  --Tables that reflect actual and estimated funding by PPA for 
        fiscal years 2013 and 2014; identify each increase, 
        decrease, transfer, and staffing change proposed in 
        fiscal year 2014; and explain such year-to-year changes 
        in terms that are clear and unambiguous, and exclude 
        nonspecific terms such as ``technical adjustment'' or 
        ``administrative savings'' unless accompanied by a 
        detailed explanation. To establish a common baseline 
        reference, the fiscal year 2013 discretionary data 
        shall tie to the fiscal year 2013 discretionary total 
        in the table accompanying this statement or have a 
        table identifying each change. Explanations of 
        adjustments to base funding, whether increases or 
        decreases, should be specific, and programmatic changes 
        and initiatives should be clearly identified and 
        justified;
  --For each PPA that is comprised of acquisition and 
        procurement activity, the justification should address 
        all proposed spending using a zero-based budget 
        description;
  --Information by appropriations account and PPA on all 
        reimbursable agreements and significant uses of the 
        Economy Act for each fiscal year;
  --A detailed table identifying the last year that authorizing 
        legislation was enacted into law for each PPA, 
        including the amount of the authorization and the 
        appropriation in the last year of authorization;
  --The text and citation of all Department appropriations 
        provisions enacted to date that are permanent law;
  --Explanations and justifications for all proposed 
        legislative language changes, whether they are new or 
        amend existing law, whether they are substantive or 
        technical in nature, with an annotated comparison of 
        proposed versus existing language; and
  --A report on the status of overdue Committee reports, plans, 
        and briefings for each of fiscal years 2012 and 2013.

                 FUTURE YEARS HOMELAND SECURITY PROGRAM

    Consistent with section 874 of Public Law 107-296, the 
Department shall submit a Future Years Homeland Security 
Program budget as part of the fiscal year 2014 budget 
justification. The report is to display funding by 
appropriation account and subordinate program, project, or 
activity. Further the report is to provide a 5-year capital 
investment plan for all major acquisitions. The report shall be 
in unclassified form so as to be accessible to the general 
public. Having a forward-looking budget forecast provides a 
reasonable understanding of future program and acquisition 
needs and the proportionate resources needed to execute the 
Department's mission of protection and defense of the homeland, 
as well as emergency planning and response.

                Office of the Chief Information Officer

Appropriations, 2012....................................    $257,300,000
Budget estimate, 2013...................................     312,643,000
Committee recommendation................................     247,846,000

    The Office of the Chief Information Officer is responsible 
for oversight of information technology [IT] development, 
oversight of IT acquisition, alignment of IT systems and 
infrastructure to the enterprise architecture to support the 
missions and activities of the Department.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $247,846,000, of which 
$120,670,000 is for salaries and expenses, and $127,176,000 is 
to be available through fiscal year 2015 for Department-wide 
technology investments overseen by the Office of the Chief 
Information Officer [OCIO]. The recommendation is equal to the 
level proposed in the budget request (including $64,797,000 
provided for data center migration in a general provision).
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                     OFFICE OF THE CHIEF INFORMATION OFFICER
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                   Fiscal year
                                                                   Fiscal year     2013 budget      Committee
                                                                  2012 enacted       request     recommendations
----------------------------------------------------------------------------------------------------------------
Salaries and expenses..........................................         105,500         120,670          120,670
Information technology services................................          38,800          28,002           28,002
Infrastructure and security activities.........................          69,000         121,839        \1\57,042
Homeland security data network.................................          44,000          42,132           42,132
                                                                ------------------------------------------------
      Total, Office of the Chief Information Officer...........         257,300         312,643       \1\247,846
----------------------------------------------------------------------------------------------------------------
\1\$64,797,000 is included in a general provision for data center migration.

                       MULTIYEAR INVESTMENT PLAN

    The Committee includes bill language requiring a multiyear 
investment plan be submitted to the Committees on 
Appropriations with the fiscal year 2014 budget submission to 
Congress. The Committee is displeased that the investment plan 
for fiscal year 2012 has not been submitted and expects 
improved performance on the timeliness of this report. As the 
OCIO develops the fiscal year 2013 plan, it shall take proper 
stock of all IT investments and identify and adopt best 
practices, such as those identified by GAO in an October 2011 
report, GAO-12-7, to encourage proper management of these 
investments.

                 INFRASTRUCTURE AND SECURITY ACTIVITIES

    The Committee recommendation includes $57,042,000, for 
development and acquisition of information technology 
equipment, software, services, and related activities. The 
Committee believes the OCIO leads and manages efforts vital to 
the continued modernization of the Department's information 
technology infrastructure. Additionally, $64,797,000 is 
provided for data center consolidation in a general provision.
    The Committee is pleased with the Department's leadership 
in data center consolidation. The Committee agrees with the 
Department's position that these efforts will lead to 
operational efficiencies, reduced geographic footprint, data 
sharing synergies, reduced energy consumption, and clarity of 
mission throughout the Department. The Department reports that 
investment in data center consolidation will result in nearly 
$3,000,000,000 in savings by 2030.
    Consistent with section 888 of Public Law 107-296, the 
Committee instructs the Department to implement the 
consolidation plan in a manner that shall not result in a 
reduction to the Coast Guard's Operations Systems Center 
mission or its Government-employed or contract staff levels. A 
general provision is included for this purpose.

                             HSPD-12/ONENET

    Given the significant investment that will be required to 
transition the Department to logical access as required by 
Homeland Security Presidential Directive-12, the Committee 
directs the Department to submit an implementation plan that 
includes estimated costs and deployment milestones by component 
no later than January 15, 2013. The Department is directed to 
continue to provide quarterly briefings to the Committee on the 
progress to implement OneNet and migrate to Networx.

                 HUMAN RESOURCES INFORMATION TECHNOLOGY

    The Department has struggled in several areas with 
improving and standardizing the information technology systems 
that support its core functions, both the operations of those 
functions and data reporting on those functions. As the 
Department moves forward with planning and business case 
analyses for human capital information technology improvements, 
the Committee expects to be kept informed of major decisions. 
The OCHCO and Chief Information Officer are to brief the 
Committee semi-annually on the acquisition strategy, 
development schedule, and milestones for human capital 
information technology.

                           SOFTWARE INVENTORY

    The Committee encourages the Department's Chief Information 
Officer to perform periodic automated inventories of software 
in use across the Department. The Department should compare 
those usage numbers to its purchased licenses and seek to 
increase efficiency wherever it identifies discrepancies. The 
Department is to consider using this information to obtain 
Department-wide acquisitions as opposed to Component-specific 
purchases of licenses. The OCIO shall brief the Committee on 
the results of these reviews within 180 days after the date of 
enactment of this act.

                        Analysis and Operations

Appropriations, 2012....................................    $338,068,000
Budget estimate, 2013...................................     321,982,000
Committee recommendation................................     323,782,000

    The account supports activities to improve the analysis and 
sharing of threat information, including activities of the 
Office of Intelligence and Analysis [I&A] and the Office of 
Operations Coordination.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $323,782,000 for Analysis and 
Operations. This is a decrease of $14,286,000 below the fiscal 
year 2012 level and an increase of $1,800,000 above the budget 
request. The details of these recommendations are included in a 
classified annex accompanying this report. A general provision 
is included in the bill rescinding $1,800,000 of prior year 
balances.

                   DHS INTELLIGENCE EXPENDITURE PLAN

    The Committee requires the Department's Chief Intelligence 
Officer to submit an expenditure plan for fiscal year 2013 no 
later than 60 days after the date of enactment of this act.
    The plan shall include the following:
  --fiscal year 2013 expenditures and staffing allotted for 
        each program as compared to fiscal years 2012 and 2011;
  --all funded versus on-board positions, including Federal 
        FTE, contractors, and reimbursable and nonreimbursable 
        detailees;
  --a plan, including dates or timeframes for achieving key 
        milestones;
  --allocation of funding within each PPA for individual 
        programs;
  --funding, by object classification, including a comparison 
        to fiscal years 2012 and 2011; and
  --the number of I&A-funded employees supporting organizations 
        outside I&A and within DHS.
    The expenditure plan shall focus the activities of the 
Office on areas where the Department can provide unique 
expertise or serve intelligence customers who are not supported 
by other components of the Intelligence Community, consistent 
with current statute and Executive orders, and in a way that 
does not impair intelligence support to the senior leadership 
of the Department of Homeland Security.

                     STATE AND LOCAL FUSION CENTERS

    The Committee directs I&A to continue semi-annual briefings 
on the State and Local Fusion Centers program.

                      Office of Inspector General

Appropriations, 2012\1\.................................    $117,000,000
Budget estimate, 2013...................................     143,664,000
Committee recommendation\1\.............................     122,664,000

\1\Excludes $24,000,000 made available from the FEMA Disaster Relief 
Fund.

    This account finances the Office of Inspector General's 
activities, including audits, inspections, investigations, and 
other reviews of programs and operations of the Department of 
Homeland Security to promote economy, efficiency, and 
effectiveness and to prevent and detect fraud, waste, and 
abuse.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $122,664,000 for the Office of 
Inspector General [OIG] for fiscal year 2013, $5,664,000 above 
the fiscal year 2012 level and $3,000,000 above the comparable 
budget request. In addition, the Committee includes bill 
language transferring $24,000,000 needed by the OIG for audits 
and investigations related to natural disasters from the 
Disaster Relief Fund [DRF]. The OIG is required to notify the 
Committee in the department's monthly budget execution reports 
of the transfers from the DRF. Included in the recommendation 
are increased resources for integrity oversight and 
investigations. The Committee directs the Inspector General to 
submit a plan for expenditure of all funds no later than 90 
days after the date of enactment of this act. The 
recommendation includes the increase requested to complete all 
56 mandated 9/11 Commission Act audits of DHS' State Homeland 
Security Program and Urban Area Security Initiative grants by 
the August 20, 2014, deadline. The Committee is concerned that 
the current organization of the OIG may not allow for adequate 
independence for the inspections and evaluations function, and 
that the lines of reporting across the organization may not be 
sufficient to ensure that information flows in a timely and 
complete manner to leadership.

                          INTEGRITY OVERSIGHT

    The Committee has been concerned, due to the rapid hiring 
in CBP and ICE since fiscal year 2005, that there is the 
potential for increased corruption. To avoid corruption and 
misconduct, it is imperative that all agents, especially new 
hires, receive comprehensive training in ethics and public 
integrity. The OIG provides ethics training to all agencies and 
is in charge of investigating all allegations of criminal 
misconduct throughout the Department. It is essential that the 
OIG, CBP, and ICE work jointly and cooperatively to combat 
corruption. Recent incidents serve to highlight the continued 
need for integrity oversight. The Committee has made a 
deliberate effort in the past several appropriations bills to 
provide additional funding specifically for integrity 
investigations. Within the total funding recommended, the 
Committee provides the OIG an increase of no less than 
$3,000,000 for integrity investigations. The fiscal year 2013 
Expenditure Plan should identify the total funds dedicated to 
integrity investigations and their intended purpose.

                                TITLE II

               SECURITY, ENFORCEMENT, AND INVESTIGATIONS

                   U.S. Customs and Border Protection

                                SUMMARY

    U.S. Customs and Border Protection is responsible for 
enforcing laws regarding admission of foreign-born persons into 
the United States, and ensuring that all goods and persons 
entering and exiting the United States do so legally.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total resources of 
$11,972,976,000, including direct appropriations of 
$10,454,060,000 and estimated fee collections of 
$1,518,916,000.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                               U.S. CUSTOMS AND BORDER PROTECTION--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Appropriations:
    Salaries and expenses.................................         8,680,118      \1\9,010,581         8,769,870
    Automation modernization..............................           334,275           327,526           327,526
    Border Security Fencing, Infrastructure, and                     400,000           327,099           327,099
     Technology [BSFIT]...................................
    Air and Marine interdiction, operations, maintenance,            503,966           435,769           506,766
     and procurement......................................
    Construction and facilities management................           236,596           243,666           243,666
    US-VISIT..............................................  ................             (\1\)           279,133
                                                           -----------------------------------------------------
      Total, Appropriations...............................        10,154,955        10,344,641        10,454,060
                                                           =====================================================
Estimated fee collections:
    Immigration inspection user fee.......................           527,629           568,790           568,790
    Immigration enforcement fines.........................             1,041             1,093             1,093
    ESTA..................................................            44,524            46,318            46,318
    Land border inspection fee............................            28,909            35,935            35,935
    COBRA fee.............................................           411,937           419,352           419,352
    APHIS inspection fee..................................           323,000           329,000           329,000
    Global entry user fee.................................             2,615            13,743            13,743
    Puerto Rico Trust Fund................................            91,779            96,367            96,367
    Small airport user fee................................             8,167             8,318             8,318
                                                           -----------------------------------------------------
      Total, Estimated fee collections....................         1,439,601         1,518,916         1,518,916
                                                           =====================================================
      Total, U.S. Customs and Border Protection, available        11,594,556        11,863,557        11,972,976
       funding............................................
----------------------------------------------------------------------------------------------------------------
\1\Funding of $261,523,000 proposed under U.S. Customs and Border Protection, ``Salaries and Expenses''.

                         SALARIES AND EXPENSES

Appropriations, 2012....................................  $8,680,118,000
Budget estimate, 2013...................................\1\9,010,581,000
Committee recommendation................................   8,769,870,000

\1\Includes requested funding of $261,523,000 for US-VISIT.

    The U.S. Customs and Border Protection [CBP] Salaries and 
Expenses appropriation provides funds for border security, 
immigration, customs, agricultural inspections, regulating and 
facilitating international trade, collecting import duties, and 
enforcing U.S. trade laws. In addition to directly appropriated 
resources, fee collections are available for the operations of 
CBP from the following sources:
    Immigration Inspection User Fee.--CBP collects user fees to 
fund the costs of international inspections activities at 
airports and seaports, as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356).
    Electronic System for Travel Authorization Fee.--CBP 
collects fees to cover the cost of operating and implementing a 
system to pre-screen visitors from countries participating in 
the Visa Waiver Program prior to their arrival in the United 
States to avoid security risks, as authorized by section 
711(h)(3)(B) of the 9/11 Act (Public Law 110-53).
    Immigration Enforcement Fine.--CBP collects fines from 
owners of transportation lines and persons for unauthorized 
landing of aliens, as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356).
    Land Border Inspection Fee.--CBP collects fees for 
processing applications for the Dedicated Commuter Lanes 
program, the Automated Permit Ports program, the Canadian 
Border Boat Landing program, and both Canadian and Mexican Non-
Resident Alien Border Crossing Cards, as authorized by the 
Immigration and Nationality Act (8 U.S.C. 1356).
    Consolidated Omnibus Budget Reconciliation Act [COBRA] 
Fee.--CBP collects fees for inspection services involving 
customs-related functions. The COBRA user fee statutory 
authority (19 U.S.C. 58c) specifies the types of expenses to be 
reimbursed and the order for the reimbursement of these types 
of expenses.
    Animal and Plant Health Inspection Service Inspection 
Fee.--CBP receives as a transfer a distribution of agriculture 
inspection fees collected by the United States Department of 
Agriculture. The user fees, as authorized by the Food, 
Agriculture, Conservation, and Trade Act of 1990 (21 U.S.C. 
136), are charged to offset costs for the services related to 
the importation, entry, or exportation of animals and animal 
products.
    Global Entry User Fee.--CBP collects fees to cover the cost 
of a registered traveler program to expedite screening and 
processing of international passengers as authorized under the 
Consolidated Appropriations Act of 2008, section 565(3)(B).
    Puerto Rico Trust Fund.--Customs duties, taxes, and fees 
collected in Puerto Rico by CBP are deposited in the Puerto 
Rico Trust Fund. After providing for the expenses of 
administering CBP activities in Puerto Rico, the remaining 
amounts are transferred to the Treasurer of Puerto Rico 
pursuant to 48 U.S.C. sections 740 and 795.
    Small Airport User Fee.--The User Fee Airports Program 
authorized under 19 U.S.C. 58b and administered under 19 U.S.C. 
58c(b)(9)(A)(i), authorizes inspection services to be provided 
to participating small airports on a fully reimbursable basis. 
The fees charged under this program are set forth in a 
memorandum of agreement between the small airport facility and 
the agency, and may be adjusted annually as costs and 
requirements change.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $8,769,870,000 for salaries and 
expenses of U.S. Customs and Border Protection [CBP] for fiscal 
year 2013, including $3,285,000 from the Harbor Maintenance 
Trust Fund. The Committee includes bill language making 
available up to $150,000 for payment for rental space for 
preclearance operations and $1,000,000 for payments to 
informants. The Committee also includes bill language placing a 
$35,000 annual limit on overtime paid to any employee.
    The Committee does not include the following increases 
requested within the budget: $3,000,000 for financial and 
budgetary systems and $2,218,000 for other international 
programs. The Committee also denies the proposed reduction in 
the budget of $7,030,000 for air and marine staffing. 
Continuation of this funding will maintain funding for front-
line pilots and boat captains to ensure adequate personnel to 
avoid operational losses.
    Increases above the request for officer integrity and 
travel facilitation are discussed later in this report.

                           FUNDING PRIORITIES

    As CBP is a ``personnel heavy'' agency, it is 
understandable that difficult choices have to be made when 
developing the budget request in an era of declining resources. 
However, as these choices are made in the short term, we must 
take into account their long-term consequences. As presented, 
the budget is focused on maintaining frontline operations--
especially people. However, the people on the frontlines are 
only as good and effective as the systems they have supporting 
them. The budget proposes a total of $342,000,000 in so-called 
``efficiencies'' and other cuts, including nearly $50,000,000 
in additional cuts to information technology [IT] 
infrastructure and systems support. Between fiscal years 2009-
2012, $363,000,000 has been cut from CBP's IT systems. CBP 
relies on these systems to target potential terrorists before 
they reach our shores, perform database checks on all travelers 
to this country, and screen cargo manifests for all goods 
entering the United States via air, land, or sea. Other 
Government agencies, such as TSA's Secure Flight, are fast 
becoming entirely reliant on CBP's capabilities to assist them 
in performing their security and other functions. It appears 
that the Department is eating its seed corn. As discussed under 
``Air and Marine Interdiction, Operations, Maintenance, and 
Procurement'', a 52-percent cut to aircraft procurement is 
short-sighted in the extreme and has a direct impact on border 
security. Given the Budget Control Act funding limitations, the 
Committee is unable to restore all of these reductions. The 
Committee urges the Department and the Office of Management and 
Budget [OMB] to provide sufficient resources in the fiscal year 
2014 budget to sustain critical operations to avoid long-term 
negative impacts.

                             FINANCIAL PLAN

    To help facilitate oversight by the Committee, CBP is 
directed to submit to the Committee within 90 days after the 
date of enactment of this act, a financial plan reflecting a 
detailed breakout of funding by office for each of the major 
PPAs in the ``Salaries and Expenses'' appropriation. This 
financial plan shall include a comparison by office to the 
prior year plan amount and actual expenditures for fiscal year 
2012 and planned expenditures for fiscal year 2013.

              PORT OF ENTRY STAFFING AND RELIANCE ON FEES

    The Committee continues to hear concerns about the apparent 
lack of staffing availability of CBP officers [CBPOs] at 
airports and land border ports of entry. Approximately 35 
percent of CBPOs are funded through various inspection fees. 
The most significant fees have not been changed in roughly a 
decade and it is incumbent on CBP to work with OMB to adjust 
fees to ensure that ports are properly staffed to ensure the 
expeditious, efficient, and thorough inspection and processing 
of people and goods entering the country.
    Additionally, the Committee understands that CBP currently 
is engaged with the Department of Agriculture Animal and Plant 
Health Inspection Service [APHIS] to ensure that the APHIS User 
Fees cover the full cost of inspection of agricultural products 
at our ports of entry. The Committee strongly encourages the 
Secretary to develop and implement procedures to ensure revenue 
from these fees, transferred to the Department pursuant to 
section 421 of the Homeland Security Act of 2002, primarily 
funds the salaries, benefits, overtime, and associated costs of 
CBP Agriculture Specialists. Not later than 90 days of 
enactment of this act, CBP shall provide the Committee with a 
briefing describing the procedures being implemented to meet 
this objective.
    Finally, the Committee strongly encourages CBP to provide 
greater information on CBP officer staffing at airports to the 
appropriate airport authorities. DHS and CBP do themselves no 
favors and earn unnecessary ill will by withholding basic 
staffing information--including the reasoning behind its 
staffing decisions--and hiding behind vague phrases such as 
``law enforcement sensitive'' and ``for official use only''. If 
the Transportation Security Administration can provide 
information about transportation security officer staffing at a 
given airport to the proper authorities, it makes no sense for 
CBP to withhold similar information. The Committee directs the 
Commissioner to submit a report no later than 60 days after the 
date of enactment of this act on the specific steps CBP can 
take to advance its relationship, and specifically its 
information sharing, with port authorities. This report should 
include descriptions of high-level stakeholder coordination in 
the form of working groups, conference calls, operations, and 
other interactions. The report shall also address the legal 
reasons, if any, if CBP has determined it is prohibited from 
providing this information to airport authorities and other 
appropriate officials. If there are legal prohibitions, the 
report shall delineate them and provide alternative language 
and/or proposals to amend the relevant laws. Additionally, the 
Committee directs CBP to submit immediately the recently 
completed Workload Staffing Model.

                          COBRA FEE SHORTFALL

    Due to issues associated with the U.S.-Colombia Trade 
Promotion Agreement Implementation Act, Public Law 112-42, 
there is an anticipated shortfall of $83,000,000 in COBRA fees 
in fiscal year 2012 and $110,000,000 in fiscal year 2013. The 
Committee has yet to receive a reprogramming request informing 
it how the Department will address the fiscal year 2012 
shortfall nor a budget amendment proposing a solution to the 
even larger problem anticipated in fiscal year 2013. The 
Department and the Office of Management and Budget need to 
resolve this matter expeditiously and communicate to the 
Committee the consequences on CBP's missions if they fail to 
address this matter.

          FACILITATING TRAVEL AND ENHANCING THE ENTRY PROCESS

    The Committee notes that on January 19, 2012, the President 
issued an executive order announcing the administration's 
intent to place a renewed emphasis on steps various Government 
agencies, including the Department of Homeland Security, can 
take to increase travel to the United States. Increasing the 
number of international visitors to the United States has a 
direct economic impact, including job creation.
    The Committee provides $7,000,000 above the request for 
additional enhancements to the entry process for international 
travelers. When combined with the request, funding is provided 
to expand Global Entry to nine additional airports in fiscal 
year 2013, and for the installation of additional kiosks at 
existing Global Entry locations with high volumes of passenger 
traffic where the volume of air passenger traffic would benefit 
from additional kiosks. The Committee directs CBP to work 
jointly with interested airport authorities and airlines to 
provide improved signage, including informational videos, 
explaining the entry process. The Committee also encourages CBP 
to work with airport authorities in developing a ``welcome 
ambassador'' program with interested airports where 
appropriate.
    Additionally, the Committee provides $10,000,000 above the 
request to expand preclearance operations, including 45 
additional CBP officers, at priority preclearance airport 
locations. Investments should be focused on the most heavily 
trafficked preclearance facilities in order to increase 
efficiency and maximize CBP resources. Preclearance operations 
are a relatively low-cost method to expand travel to the United 
States while maintaining security. CBP shall brief the 
Committee no later than 60 days after the date of enactment of 
this act on its plan to expand preclearance operations.
    CBP's April 25, 2012, report entitled ``Improving Entry 
Process for Visitors to the United States'', which was mandated 
by Congress as part of the fiscal year 2012 the Department of 
Homeland Security Appropriations Act, states:
    ``A CBP officer is the first face of the U.S. Government 
that travelers see at POEs. As a visible symbol of our Nation, 
CBP officers have an important responsibility. Training 
provides new CBP officers an understanding of the expectations 
and standards in terms of conduct, workplace environment, 
demeanor, etiquette, respect for cultural diversity, and 
interpersonal communications.''
    The Committee shares the frustration resulting from long 
lines of people and goods waiting to be processed at our ports 
of entry. It is important that all CBP officers recognize the 
role they play as travel facilitators in addition to security 
officials. CBP, and the U.S. Government in general, need to do 
more to emphasize encouraging repeat visitors to the United 
States, as this will assist in growing jobs and the economy. 
Creating a welcome first impression for visitors is the first 
step in this process.

                          CROSS-BORDER TUNNELS

    Tunnels along the United States-Mexico border will remain 
an attractive alternative to overland drug smuggling because of 
increased security measures and aggressive enforcement activity 
on traditional cross-border routes. According to CBP's second 
semiannual cross-border tunnel report, which covered the third 
and fourth quarters of fiscal year 2011, 18 new tunnels were 
discovered along the United States-Mexico border, 5 more 
tunnels than were discovered in fiscal year 2010. Of these 
tunnels, four were discovered in the San Diego sector with the 
remainder discovered in the Nogales and Yuma sectors. Since 
fiscal year 2007, CBP has directed $5,800,000 towards 
remediation and closure of these tunnels. The Committee 
supports the ongoing efforts of the DHS Tunnel Task Force to 
detect and respond to new tunnels and directs continued 
submission of the required tunnel report and directs CBP to 
dedicate sufficient resources to continue detecting, responding 
to, and remediating tunnels as they are encountered.

                    CONDUCT AND INTEGRITY OVERSIGHT

    Since Congress initiated the rapid increase in CBP staffing 
in 2005, the Committee has been concerned about the potential 
for increased corruption by CBP personnel. Since fiscal year 
2005, 137 current or former CBP employees have been arrested, 
indicted, or otherwise prosecuted on corruption charges. The 
Committee remains committed to addressing this problem.
    The Committee recommends a total of $156,469,000, 
$2,000,000 above the request, for CBP to expand integrity 
training for its officers, conduct investigations, reduce the 
backlog of reviews and polygraphs, and meet the requirements of 
the Anti-Border Corruption Act of 2011 (Public Law 111-338).
    The Committee directs the Deputy Secretary to continue to 
oversee the coordination of the Office of the Inspector General 
and CBP on program integrity issues. As discussed in title I of 
this report, the Committee directs the Deputy Secretary to 
submit a report not later than 60 days after the date of 
enactment of this act outlining the specific steps being taken 
to further address the process for investigating cases of 
corruption of CBP employees.

                          BORDER PATROL AGENTS

    Included in the amount recommended by the Committee for 
``Border Security and Control'' is a total of $3,625,950,000, 
as requested. Bill language is included mandating a floor of 
not less than 21,370 Border Patrol agents on-board throughout 
fiscal year 2013. With the 1,000 new Border Patrol agents 
funded as part of the Emergency Supplemental Border Security 
Act, 2010, combined with the funds in this act, there will be 
21,370 Border Patrol agents on duty, more than double the 9,951 
agents on board at the end of fiscal year 2002.

                          OPERATION STREAMLINE

    The Committee supports Operation Streamline, a program 
through which individuals apprehended crossing the Southwest 
border are sentenced by a judge to serve a period of time in 
jail. In Border Patrol sectors where Operation Streamline is 
robustly in effect, there has been a noticeable reduction in 
attempted illegal crossings. The Committee encourages the 
Department to work with the appropriate Department of Justice 
agencies and the Judiciary to expand Operation Streamline to 
additional Border Patrol sectors.

                     NORTHERN BORDER PORT STAFFING

    The Committee remains concerned about CBP officer staffing 
levels for Northern Border ports of entry. The Committee 
believes that many of the concerns about Northern Border 
staffing could be allayed by more complete reporting to 
Congress about CBP's Northern Border staffing plans. The 
Committee directs CBP to submit a plan with the fiscal year 
2014 budget detailing specific staffing and funding for, and 
implementation of, planned Northern Border enforcement 
initiatives by port of entry. The Committee also directs CBP to 
provide a briefing to the Committee not later than December 1, 
2012, on the CBP officer staffing requirements on the Northern 
Border based on increased trade flows and the current threat 
environment.

                           TRADE ENFORCEMENT

    The Committee fully funds the request for trade enforcement 
activities, including $3,000,000 to expand the industry 
integration Centers of Excellence and Expertise beyond the 
existing electronics and pharmaceuticals centers to such 
critical trade sectors as textiles, petroleum, consumer 
products, and mass market retail imports. These efforts, 
combined with increases for risk-based targeting of passengers 
and goods entering the United States, should further expedite 
the trade process.
    CBP analysis has found that there is strong evidence to 
conclude that trade fraud and evasion is widespread in many 
commodity sectors--particularly for goods from China, which 
account for 46 percent of the antidumping and countervailing 
duties [AD/CVD] collected. The volume of trade continues to 
expand and, as the economy improves, the country will 
experience an even greater volume of trade. The Committee 
recognizes the need for all Federal Government agencies 
involved in international trade to aggressively enforce 
existing trade laws. During a hearing before the subcommittee 
on May 25, 2011, it became clear that there are specific 
actions that CBP and U.S. Immigration and Customs Enforcement 
[ICE], together with the Departments of Commerce and State and 
the United States Trade Representative, can take without the 
need for additional legislation. According to CBP's own 
statistics, more than $1,000,000,000 in duties related to 
antidumping from 2001 to 2010 have yet to be collected. To help 
combat this problem, CBP has created a multidisciplinary Re-
engineering Dumping Team to review the AD/CVD process and to 
develop enforcement solutions. The Committee commends CBP for 
taking this action and directs it to provide quarterly 
briefings to the Committees on Appropriations in the Senate and 
House of Representatives on its efforts to improve the 
enforcement and collection process.

        ANTIDUMPING AND COUNTERVAILING DUTY ENFORCEMENT REPORTS

    The Committee has ensured that, within the amounts provided 
in this account, there will be sufficient funds to administer 
the ongoing requirements of section 754 of the Tariff Act of 
1930 (19 U.S.C. 1675c), referenced in subtitle F of title VII 
of the Deficit Reduction Act of 2005 (Public Law 109-171; 120 
Stat. 154).
    The Committee directs CBP to continue to work with the 
Departments of Commerce and the Treasury and the Office of the 
United States Trade Representative (and all other relevant 
agencies) to increase collections, and provide a public report 
on an annual basis within 30 days of each year's distributions 
under the law. The report should summarize CBP's efforts to 
collect past due amounts and increase current collections, 
particularly with respect to cases involving unfairly traded 
United States imports from China. The report shall provide the 
amount of uncollected duties for each antidumping and 
countervailing duty order, and indicate the amount of open, 
unpaid bills for each such order. In that report, the 
Secretary, in consultation with other relevant agencies, 
including the Secretaries of the Treasury and Commerce, should 
also advise as to whether CBP can adjust its bonding 
requirements to further protect revenue without violating U.S. 
law or international obligations, and without imposing 
unreasonable costs upon importers.
    The Committee further directs the Secretary to work with 
the Secretary of Commerce to identify opportunities for the 
Commerce Department to improve the timeliness, accuracy, and 
clarity of liquidation instructions sent to CBP. Increased 
attention and interagency coordination in these areas could 
help ensure that steps in the collection of duties are 
completed in a more expeditious manner.
    Consistent with section 691a of Public Law 103-182, the 
North American Free Trade Agreement Implementing Act of 1993, 
the Committee directs the Commissioner of Customs to submit to 
Congress before the 60th day of each fiscal year a report 
regarding the collection of duties imposed under the 
antidumping and countervailing duty laws during the preceding 
fiscal year.
    Separately, CBP is directed to report to the Committee on 
collection of the outstanding $1,000,000,000 in antidumping/
countervailing duties, including the number of claims, the 
value of each claim, the stage of collection for each claim, 
and the date on which the claim was referred for further action 
to either the CBP Chief Counsel or U.S. Department of Justice. 
This report shall be submitted to the Committee not later than 
180 days after the date of enactment of this act.

       COMMERCIAL TRADE ENFORCEMENT/INTELLECTUAL PROPERTY RIGHTS

    CBP and ICE are directed to jointly brief the Committee by 
March 27, 2013, on the ongoing efforts to improve commercial 
trade enforcement and intellectual property rights protection, 
including the status of implementing the trade compliance 
enforcement strategy and efforts to improve coordination and 
collaboration between CBP and ICE field offices. The briefing 
should address the progress made to date and specifically 
address the approaches outlined in CBP's, April 4, 2012, 
``Trade Compliance--Broker Community'' report to improve the 
compliance of foreign importers.

                 TRADE COMPLIANCE--INFORMATION SHARING

    The Committee understands that current law may 
unintentionally prohibit the Department of Commerce from 
sharing proprietary information with CBP vital to determining 
violations or claims with respect to any provision of the 
Tariff Act of 1930. The Committee urges the Department to 
coordinate jointly with the Department of Commerce on a 
legislative proposal to amend the appropriate section of the 
United States Code to remove any legal barriers to sharing of 
appropriate and necessary information between these prime 
Federal trade compliance and enforcement agencies.

                               JONES ACT

    CBP is charged with enforcement of U.S. cabotage laws. The 
Jones Act provides for the national and economic security of 
the United States by supporting a strong U.S. merchant marine. 
By virtue of the Outer Continental Shelf Lands Act, as amended 
by Public Law 106-580, the coastwise laws apply to marine 
transportation between points and places in the United States, 
including the Outer Continental Shelf. U.S. vessels, mariners, 
and shipyards have been negatively impacted and underutilized 
as a result of lax enforcement of prior rulings inconsistent 
with congressional intent. The Committee urges the Department 
to levy penalties for previously documented violations, 
continue working with the Offshore Marine Service Association 
in order to investigate future potential violations, and 
dedicate adequate resources to vigorously enforce the Jones Act 
on the Outer Continental Shelf. The Committee is very concerned 
that 53 waivers of the Jones Act were issued in fiscal year 
2011, enabling foreign-flagged vessels to transport oil 
released from the Strategic Petroleum Reserve in response to 
extreme fluctuations in the price of gas.
    The Committee is also concerned about the lack of 
transparency in issuing these waivers. A general provision is 
included prohibiting funds from being used to issue future 
waivers related to a release from the Strategic Petroleum 
Reserve until the Secretary has consulted with the Departments 
of Energy and Transportation and representatives of the United 
States flag maritime industry and taken adequate steps to 
ensure the use of United States flag vessels. The Secretary 
shall notify the Congress within 2 business days of any request 
for a waiver, not solely waivers requested to transport oil 
released from the Strategic Petroleum Reserve.
    The Committee directs CBP to develop a system to track the 
status of all Jones Act violations, from the time they are 
reported until assessed penalties have been collected or there 
is a finding of no violation and the charges are dismissed. The 
Committee also directs CBP to make information available to the 
public and the Committees on Appropriations in the Senate and 
House of Representatives, on a quarterly basis, about specific 
Jones Act violations, findings of fact, parties determined to 
be at fault, amount of penalty assessments, and status of 
collections.

                      NORTHERN BORDER COOPERATION

    The Committee recognizes the economic importance of 
facilitating the flow of cross border goods and people between 
the United States and Canada. To this end, the Joint United 
States-Canada ``Beyond the Border'' Action Plan, issued April 
4, 2011, included several recommendations to enhance the 
economic relationship while increasing cross border security. 
The Committee directs CBP to continue working together with its 
Federal, State, local, and Canadian law enforcement partners to 
implement the Beyond the Border recommendations.

                        ADVANCED TRAINING CENTER

    Included in the amount recommended by the Committee is 
$53,000,000, as proposed in the budget, for programmatic 
expenses (including salaries and benefits) and the National 
Training Plan, at the Advanced Training Center [ATC]. For 
fiscal year 2013, the ATC staffing target is 224 employees. 
With the establishment of the Advanced Training Center 
Revolving Fund [ATCRF], pursuant to the fiscal year 2012 
Department of Homeland Security Appropriations Act, the 
Committee directs CBP to utilize ATCRF funds in addition to any 
funds appropriated annually by the Congress.
    Pursuant to Public Law 106-246, the training to be 
conducted at the Center shall be configured in a manner so as 
to not duplicate or displace any Federal law enforcement 
program of the Federal Law Enforcement Training Center [FLETC]. 
Training currently being conducted at a FLETC facility shall 
not be moved to the Center.

                  TRAINING REGARDING HUMAN TRAFFICKING

    CBP plays a critical role in identifying potential human 
trafficking victims as they enter the United States. The 
Committee encourages CBP to continue to work with appropriate 
nonprofit organizations and victim service providers to improve 
the training of CBP officers in the field to assist in the 
identification of human trafficking victims, especially 
children, and provide appropriate referrals to victim service 
organizations.

                     FOREIGN MUNICIPAL SOLID WASTE

    The Committee recognizes that trucks carrying foreign 
municipal solid waste entering the United States from Canada 
represent potential homeland security and environmental threats 
to our Nation. The Committee is also aware of successful 
efforts to address this threat, which have resulted in a 
significant reduction in municipally managed waste shipments to 
the United States. However, nearly 350 trash trucks still cross 
U.S. borders every day. The Committee urges DHS, in conjunction 
with CBP, to consider proposing to raise the current Customs 
User Fee for trucks carrying foreign municipal solid waste into 
the United States and include any such proposal in the fiscal 
year 2014 budget through the appropriate authorizing mechanism.

                       COMMITTEE RECOMMENDATIONS

    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                            U.S. CUSTOMS AND BORDER PROTECTION--SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                   Fiscal year
                                                                   Fiscal year     2013 budget      Committee
                                                                  2012 enacted       request     recommendations
----------------------------------------------------------------------------------------------------------------
Salaries and expenses:
    Headquarters, management, and administration:
        Management and administration, border security                  667,794         601,414          599,914
         inspections and trade facilitation....................
        Management and administration, border security, and             717,309         665,646          664,146
         control between ports of entry........................
        Rent...................................................         483,749         614,871          614,871
                                                                ------------------------------------------------
          Subtotal, Headquarters, management, and administra-         1,868,852       1,881,931        1,878,931
           tion................................................
                                                                ================================================
    Border security inspections and trade facilitation:
        Inspections, trade, and travel facilitation at ports of       2,484,235       2,480,674        2,499,674
         entry.................................................
        Harbor maintenance fee collection (Trust Fund).........           3,274           3,285            3,285
        International cargo screening..........................          74,557          71,534           71,534
        Other international programs...........................          10,684          27,084           24,866
        Customs-Trade Partnership Against Terrorism [C-TPAT]...          44,979          40,082           40,082
        Trusted Traveler Programs..............................           6,311           6,311            6,311
        Inspection and detection technology investments........         148,537         117,575          117,575
        Automated targeting systems............................          41,400         113,826          113,826
        National Targeting Center..............................          51,950          65,127           65,127
        Training...............................................          37,834          34,860           34,860
                                                                ------------------------------------------------
          Subtotal, Border security inspections and trade             2,903,761       2,960,358        2,977,140
           facilitation........................................
                                                                ================================================
Border security and control between ports of entry:
    Border security and control................................       3,530,994       3,551,840        3,551,840
    Training...................................................          88,610          74,110           74,110
                                                                ------------------------------------------------
          Subtotal, Border security and control between ports         3,619,604       3,625,950        3,625,950
           of entry............................................
                                                                ================================================
Air and Marine operations......................................         287,901         280,819          287,849
                                                                ------------------------------------------------
US-VISIT.......................................................  ..............      \1\261,523  ...............
                                                                ------------------------------------------------
      Total, Salaries and expenses.............................       8,680,118       9,010,581        8,769,870
----------------------------------------------------------------------------------------------------------------
\1\Funding of $261,523,000 proposed under U.S. Customs and Border Protection, ''Salaries and Expenses.'' Funding
  is provided in a separate account.

      

                        AUTOMATION MODERNIZATION

Appropriations, 2012....................................    $334,275,000
Budget estimate, 2013...................................     327,526,000
Committee recommendation................................     327,526,000

    The automation modernization account includes funds for 
major information technology systems and services for U.S. 
Customs and Border Protection [CBP], including the Automated 
Commercial Environment [ACE] and the International Trade and 
Data System projects, and connectivity of and integration of 
existing systems.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $327,526,000, to be available 
until September 30, 2015, for automation modernization.

                            EXPENDITURE PLAN

    The Committee includes bill language limiting the 
availability of $25,000,000 for development of ACE until the 
submission of a comprehensive expenditure plan for the program. 
The Committee also expects to continue receiving the ACE 
quarterly reports. CBP is directed to brief the Committees on 
Appropriations immediately on the plan to decommission the 
Automated Commercial System [ACS], the updated program plan for 
ACE, how the ACS decommission plan is integrated into the 
program plan, and the updated master schedule for ACE 
development.

                           TECS MODERNIZATION

    The Committee directs CBP and ICE to continue to conduct 
the semiannual joint briefings for the Committee.

                       COMMITTEE RECOMMENDATIONS

    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                            AUTOMATION MODERNIZATION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Automated Commercial Environment/International Trade Data            140,000           140,794           140,794
 System [ITDS]............................................
Current operations protection and processing support                 194,275           186,732           186,732
 [COPPS]..................................................
                                                           -----------------------------------------------------
      Total, Automation modernization.....................           334,275           327,526           327,526
----------------------------------------------------------------------------------------------------------------

        BORDER SECURITY FENCING, INFRASTRUCTURE, AND TECHNOLOGY

Appropriations, 2012....................................    $400,000,000
Budget estimate, 2013...................................     327,099,000
Committee recommendation................................     327,099,000

    The Border Security, Fencing, Infrastructure, and 
Technology account funds the capital procurement and total 
operations and maintenance costs associated with fencing, 
infrastructure, sensors, surveillance, and other border 
security technology.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $327,099,000 for Border Security 
Fencing, Infrastructure, and Technology, the same as the 
request.

                  BORDER TECHNOLOGY DEPLOYMENT DELAYS

    According to the Department, Border Patrol apprehensions 
have decreased 53 percent since fiscal year 2008. In the Tucson 
sector apprehensions dropped 42 percent between fiscal years 
2010-2011. This is the lowest level of apprehensions in Tucson 
in 17 years. Since fiscal year 2005, the Committee has been a 
strong and active supporter of the efforts to secure our 
Southwest Border through a strategic combination of fencing, 
tactical infrastructure, and technology, combined with a 
doubling of the size of the Border Patrol. In fact, at the 
initiation of this Committee, the Congress has appropriated 
more than $2,000,000,000 in regular, supplemental, and 
emergency funding above the amounts requested by this and the 
previous President for this account. These funds have been used 
to construct the 650 miles of fencing and border infrastructure 
mandated by the Secure Fence Act, as amended, and they have 
been used to bring more technology and security to Border 
Patrol agents than has ever been available.
    On April 6, 2012, the Department issued a request for 
proposals to build and deploy the next set of integrated fixed 
towers [IFTs] for cameras and radars within Arizona. CBP 
estimates the contract will be awarded in the first quarter of 
2013 and it intends to initiate the deployments in Douglas and 
Casa Grande, Arizona, in the second and third quarters of the 
fiscal year--before operational testing is even started on the 
first deployment of IFTs--which is not scheduled to occur until 
the fourth quarter of fiscal year 2013. Given the history of 
the border technology program under any name, the Committee is 
skeptical that this plan is prudent. In this era of 
increasingly scarce resources, it is more important than ever 
to ensure the system works as best as possible before investing 
further resources. If it applies nowhere else, the phrase 
``once burned, twice shy'' applies here.
    The fiscal year 2013 President's budget includes funding 
for additional deployments despite having no contract in place 
and no way of knowing if all of the deployment issues 
experienced over calendar years 2009 and 2010 have been solved. 
The Committee has provided the requested resources for a system 
which, while now working well and proving its capabilities, has 
been what could only charitably be called poorly managed. It is 
simply not prudent to fund additional deployments of towers 
until the program demonstrates at least one successful 
deployment on the new contract. The Department has indicated 
that approximately $639,000,000 remains available in 
unobligated prior year balances for border technology. Given 
these strong concerns, the Committee rescinds $92,000,000 in 
unobligated balances from this account that are not required 
for fiscal year 2013.
    Finally, the Committee commends the program managers for 
including in the request for proposal that if there are no 
offerors who provide adequate confidence in the 
nondevelopmental nature of their system, or no offerors who 
provide enough performance at a reasonable cost, CBP will 
cancel the solicitation rather than procure an ineffective or 
high-risk offering. This is most prudent given the many past 
contracting problems.

                            NORTHERN BORDER

    Included in the Committee's recommendation is $10,000,000, 
as requested, for enhancing low-flying aircraft surveillance 
and maritime detection technology along the Northern Border.
    The Committee recognizes that incidents of drug smuggling 
along our Northern Border are increasing, and that more efforts 
need to be undertaken to address this growing problem. In 
previous years, the Department of Homeland Security and 
Department of Defense cooperated on Operation Outlook, a 
program that used sophisticated military radar technology along 
the Northern Border to identify low-flying aircraft that would 
otherwise not have been caught with the current technology used 
by the Department of Homeland Security. Though that operation 
was highly successful, it was only temporary in nature and 
covered only one sector of the Northern Border. To better 
uncover and combat the smuggling of drugs by low-flying 
aircraft, and to assist in developing a comprehensive plan to 
combat narcotics smuggling along the Northern Border, the 
Committee urges CBP to jointly cooperate with its Canadian 
counterparts to further explore options to address low-flying 
aircraft and other potential airborne threats along the 
Northern Border, including the expanded use of military radar.

                          ACCESS TO THE BORDER

    The Committee recognizes that several steps have been taken 
by the Federal Government in recent years to increase 
communication among Federal agencies to address impediments 
that could impair their ability to carry out critical border 
protection responsibilities. The memoranda of understanding 
developed by these agencies underscore the notion that agencies 
can and must effectively work together to protect our borders, 
and the Committee concurs with the Secretary's comments during 
a March 30, 2012, hearing before the subcommittee that the 
Department's existing legal authorities are sufficient to 
protect our borders adjacent to public lands. Further, the 
Committee recognizes that, in fulfilling its border security 
responsibilities, the Department should continue to cultivate 
and maintain relationships between the agency and State, local, 
and tribal officials.

                              BORDER ROADS

    The Committee directs CBP to work with counties along the 
United States-Mexico border to identify unimproved county roads 
that the Border Patrol requires the use of and that provide 
critical access to the border region for the purpose of 
maintaining border security. The Committee directs CBP to 
provide a briefing on the extent to which these roads are used 
and their impact on daily border security operations not later 
than 90 days after the date of enactment of this act.

                            INVASIVE SPECIES

    CBP is directed to brief the Committee by March 27, 2013, 
on the current activities associated with the control of 
invasive species and any mitigation efforts.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                             BORDER SECURITY FENCING, INFRASTRUCTURE, AND TECHNOLOGY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Development and deployment................................           212,377           188,816           188,816
Operations and maintenance................................           133,248           138,283           138,283
Program management........................................            54,375  ................  ................
                                                           -----------------------------------------------------
      Total, Border security fencing, infrastructure, and            400,000           327,099        \1\327,099
       technology.........................................
----------------------------------------------------------------------------------------------------------------
\1\A rescission of $92,000,000 of prior year balances is included as a general provision.

 AIR AND MARINE INTERDICTION, OPERATIONS, MAINTENANCE, AND PROCUREMENT

Appropriations, 2012....................................    $503,966,000
Budget estimate, 2013...................................     435,769,000
Committee recommendation................................     506,766,000

    The U.S. Customs and Border Protection [CBP] Air and Marine 
Interdiction, Operations, Maintenance, and Procurement [AMO] 
account funds the capital procurement and total operations and 
maintenance costs of the CBP air and marine program and 
provides support to other Federal, State, and local agencies.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $506,766,000, an increase of 
$70,997,000 above the request, to remain available until 
September 30, 2015, for air and marine interdiction, 
operations, maintenance, and procurement.
    The Committee strongly supports CBP's continued efforts to 
recapitalize its air and marine assets. Working with the Office 
of Air and Marine, the Committee has provided resources to meet 
the Department's border security requirements in the air, 
coastal, and riverine environments as delineated by the CBP Air 
and Marine Recapitalization Plan. Resources to address some of 
these requirements are provided in this bill. The Committee 
notes the lengthy period of time it takes to procure certain 
types of aircraft and other air systems because of the need to 
compete with the Department of Defense for these systems. At 
the same time, these are mobile border security assets, able to 
be transferred rapidly to respond to actual and emerging 
threats.

   AGING AVIATION ASSETS AND STRATEGIC RECAPITALIZATION REQUIREMENTS

    The President's budget proposes an unacceptably steep, 52-
percent cut to the aviation procurement and operations budget 
for CBP below the fiscal year 2012 enacted level. CBP's fleet 
of aircraft is increasingly aged. More planes are being retired 
than are being replaced at a time when there is an increased 
demand for their use in the counterdrug, alien smuggling, and 
disaster response missions. More than 50 percent of the 
aircraft are 35 years old on average. Fixed wing P-3s--which 
can find and track boats with drugs or aliens in the source and 
transit zone and send that information to CBP and Coast Guard 
surface assets for interdiction--are more than 42 years old. 
The proposed reduction would result in fewer replacement 
aircraft being purchased and combined aircraft flight hours 
being cut to only an estimated 65,000 hours in fiscal year 
2013, a reduction of more than 40 percent from the peak level 
of 106,600 hours in fiscal year 2010, and a reduction of over 
20 percent from flight hour allocations for fiscal year 2012.
    The Committee recognizes that since the merger of the 
legacy U.S. Border Patrol and U.S. Customs Service aviation 
programs under CBP in 2005, the CBP's Office of Air and Marine 
[OAM] has dramatically increased the efficiency and 
effectiveness of CBP air operations in support of the 
Department and its international, Federal, State, local, and 
tribal partners. Many of these efficiencies were captured 
through the acquisition of technologies that then drove or 
facilitated changes in CBP air operations including decreased 
operations cycle time, effective asset procurement/
modernization, and innovative sensor system integration. These 
operations developments have then resulted in expanded mission 
functionality, vastly improved detection capability, real-time 
customer support, decreased mishaps and system downtime, which 
have consequently provided a significant increase in overall 
CBP aviation mission effectiveness. The Committee understands 
that the aircraft recapitalization plan is nearly complete, 
with more than $1,000,000,000 appropriated by Congress from 
fiscal year 2006 through fiscal year 2012 to accomplish the 
objectives laid out in the long-range plan to replace/upgrade 
CBP's aging fleet of aircraft and marine vessels.
    The budget request includes funding to continue the P-3 
aircraft service life extension effort, continue to upgrade 
Black Hawk helicopters, and to purchase the seventh multirole 
enforcement aircraft. But at this reduced level of procurement 
funding, it will take over 13 years to fully recapitalize CBP's 
fleet. As these air assets are fully mobile, they are capable 
of rapidly responding to an emerging threat anywhere in the 
country.
    To address the requirement to replace aging aircraft and 
enhance the capabilities of existing systems, the Committee 
recommends the following increases above the request:
  --$18,567,000 to provide enhanced sensor capabilities for at 
        least two unmanned aircraft systems which have been 
        developed by the Department of Defense and tested by 
        CBP;
  --$22,500,000 to procure an additional multirole enforcement 
        aircraft; and
  --$10,930,000 (for a total of $39,000,000) to continue the P-
        3 Service Life Extension Program on a schedule to 
        complete work by 2016.
    Additionally, the Committee recommends $19,000,000 above 
the request to restore total AMO flight hours for all aircraft 
to 96,000 hours, the fiscal year 2011 flight hour level.

                       COMMITTEE RECOMMENDATIONS

    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                      AIR AND MARINE INTERDICTION, OPERATIONS, MAINTENANCE, AND PROCUREMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Operations and maintenance................................           365,087           368,799           387,799
Procurement...............................................           138,879            66,970           118,967
                                                           -----------------------------------------------------
      Total, Air and Marine interdiction, operations,                503,966           435,769           506,766
       maintenance, and procurement.......................
----------------------------------------------------------------------------------------------------------------

                 CONSTRUCTION AND FACILITIES MANAGEMENT

Appropriations, 2012....................................    $236,596,000
Budget estimate, 2013...................................     243,666,000
Committee recommendation................................     243,666,000

    This appropriation provides funding to plan, construct, 
renovate, equip, and maintain buildings and facilities 
necessary for the administration and enforcement of the laws 
relating to immigration, customs, and alien registration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $243,666,000, the same as the 
requested amount and $7,070,000 above the enacted level, for 
construction and facilities management activities of U.S. 
Customs and Border Protection [CBP], to be available until 
September 30, 2017.

                ADDITIONAL LAND BORDER PORT REQUIREMENTS

    The Committee notes that the American Recovery and 
Reinvestment Act of 2009, (Public Law 111-5) provided 
$420,000,000 for construction, repairs, maintenance, and 
security upgrades to CBP-owned ports of entry [POEs]. Of the 
167 land border ports of entry, CBP owns 41. The rest are owned 
and administered by the General Services Administration [GSA] 
or are privately owned and leased, and one is owned by the 
National Park Service. The Committee is pleased that through 
good stewardship and creative contract management, CBP was able 
to reconstruct or renovate 31 CBP-owned ports of entry, 28 of 
which were on the Northern Border.
    The Committee emphasizes, however, that the largest land 
ports of entry, by both trade volume and staffing, are GSA-
owned. It is important that the President request sufficient 
resources for the GSA to rebuild and expand these large POEs to 
meet growing cargo and passenger traffic, as well as 
significant security requirements. While Congress has 
significantly enhanced physical security and staffing between 
the ports of the entry--especially on the Southwest Border--
similar construction and staffing increases for the POEs 
proportional to the requirements have not been requested or 
funded. This includes roads leading to and away from the POEs. 
As these probably are State or county roads, this issue must be 
approached in a comprehensive manner. As security between the 
ports has increased, attempts by organizations to smuggle 
aliens and contraband through the ports have increased 
substantially. This growing threat needs to be addressed via a 
comprehensive, multi-Departmental strategy--with significant 
involvement by State, tribal, and local officials.
    This funding requirement does not account for land 
purchases and construction of additional port capacity, traffic 
lanes, and security assets. The Committee directs DHS, GSA, and 
the Office of Management and Budget to develop a multiyear 
strategy to address this growing trade and security problem. 
This effort should include recommending alternative options for 
funding POE construction and improvements, such as expanded use 
of public-private partnerships, as well as any necessary 
legislative solutions. The Committee encourages this group to 
explore creative solutions currently under evaluation for 
existing projects, as well as successful, alternatively funded 
public works projects in other countries. The Committee directs 
DHS to convene the first strategy session to begin to address 
this issue during the first quarter of fiscal year 2013 and to 
brief the Committee on the initial results of that session not 
later than February 4, 2013.

                      FIVE-YEAR CONSTRUCTION PLAN

    The Committee reminds CBP that the fiscal year 2012 
Department of Homeland Security Act made permanent the 
requirement that a 5-year plan for all Federal land border 
ports of entry shall be submitted annually with the President's 
budget request. The fiscal year 2012 plan is more than 3 months 
overdue.
    The Committee directs the Department to continue to work 
with the GSA on its nationwide strategy to prioritize and 
address the infrastructure needs at land border POEs and to 
comply with the requirements of the Public Buildings Act of 
1959 (40 U.S.C. 3301) and seek necessary funding.
    The Committee further directs the Department to encourage 
the use of small businesses in all phases of the contracting 
process for construction and renovation of POEs.

                       COMMITTEE RECOMMENDATIONS

    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                     CONSTRUCTION AND FACILITIES MANAGEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                               Fiscal year    Fiscal year 2013      Committee
                                                               2012 enacted    budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Facility construction and sustainment......................          182,500          186,214           186,214
Program oversight and management...........................           54,096           57,452            57,452
                                                            ----------------------------------------------------
      Total, Construction and facilities management........          236,596          243,666           243,666
----------------------------------------------------------------------------------------------------------------

    UNITED STATES VISITOR AND IMMIGRANT STATUS INDICATOR TECHNOLOGY

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2012....................................    $306,802,000
Budget estimate, 2013...................................           (\1\)
Committee recommendation................................     279,133,000

\1\A total of $279,133,000 proposed under U.S. Customs and Border 
Protection, ``Salaries and Expenses'' and U.S. Immigration and Customs 
Enforcement, ``Salaries and Expenses''.

    The United States Visitor and Immigrant Status Indicator 
Technology [US-VISIT] account funds the development of a system 
to collect, maintain, and share appropriate information through 
an integrated information technology system, which determines 
the eligibility of aliens for admissions and benefits.
    The US-VISIT program office has lead responsibility within 
the Department of Homeland Security to work with the Federal 
Bureau of Investigation [FBI] on the further integration of the 
Automated Biometric Identification System [IDENT] and the FBI's 
Integrated Automated Fingerprint Identification System [IAFIS].

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $279,133,000, as a new account 
within U.S. Customs and Border Protection [CBP], to remain 
available until September 30, 2014, for US-VISIT.

                          TRANSFER OF US-VISIT

    The Committee supports the proposed transfer of US-VISIT. 
However, there remain significant concerns over the depth of 
the analysis that has been completed to support which functions 
should be assigned to various entities across the Department 
and what level of resources should accompany those 
responsibilities. Therefore, the Committee recommends that US-
VISIT be transferred in full as a stand-alone appropriation of 
CBP, rather than incorporated within the ``Salaries and 
Expenses'' appropriation of CBP and ICE. This does not reflect 
the Committee's disapproval of the ICE transfer but a deferral 
of this transfer until the proper level of funding is validated 
to support the visa overstay function. In addition to CBP and 
ICE, the Committee directs the Secretary to expand the review 
of the proper placement of the functions of US-VISIT, to 
determine whether some responsibilities might better be carried 
out by the Office of International Affairs or the Screening 
Coordination Office within the Office of Policy. The updated 
justification and transition of US-VISIT functions and funds 
within the Department shall be included in the President's 
fiscal year 2014 budget request. CBP and the National 
Protection and Program Directorate shall brief the Committee on 
the transition plan no later than July 31, 2012.

                  IDENTITY SCREENING SERVICE PROVIDER

    While US-VISIT was launched in response to congressional 
mandates for an automated, integrated entry-exit system, the 
program has been providing significant and indispensable 
support to the operational missions of CBP, United States 
Citizenship and Immigration Services, U.S. Immigration and 
Customs Enforcement, the Transportation Security 
Administration, the Coast Guard, and other DHS components. But 
both US-VISIT's innovative biometrics-based and biographics-
based technology solutions have evolved the program into 
something far more valuable to securing our Nation.
    Additionally, US-VISIT offers an opportunity for sharing 
information and collaborative planning and problem solving 
among biometric stakeholders at the Departments of State, 
Justice, Defense, and the Intelligence Community. In 2009, US-
VISIT established an Executive Stakeholder Board [ESB], the 
program's advisory body which provides valuable guidance and 
feedback on US-VISIT operations and strategies. The ESB offers 
a platform for discussing how US-VISIT's services can or should 
be adapted to fit the needs of its partners and enables US-
VISIT to better serve its customers at a strategic level. The 
Board is composed of senior executives from all DHS operational 
components as well as DHS support organizations. Senior 
officials from the Departments of Justice, State, and Defense 
also sit on the Board. Recognizing the need to maintain strong 
governance of the US-VISIT program, bill language has been 
included maintaining the active role of the Executive 
Stakeholder Board.

                FUTURE BIOGRAPHIC/BIOMETRIC CAPABILITIES

    The Committee recommendation includes $1,500,000 to begin 
implementation of a program exchanging the entry data for third 
country nationals, permanent residents of Canada, and U.S. 
lawful permanent residents in the United States, who enter 
through all automated common Northern Border land ports of 
entry. This funding will cover the implementation of a real-
time interface to exchange entry/exit biographic data on 
travelers between Canada and the United States. The Committee 
notes, according to the Comprehensive Biometric Air Exit Plan 
of May 11, 2012, the Secretary has directed S&T to work with 
CBP to conduct an objective analysis of previous air exit 
pilots, collect information to address knowledge gaps, and 
develop recommendations to inform biometric exit planning and 
implementation. S&T, with CBP's assistance, is working with 
subject matter experts within and external to the Department, 
including National Institute for Standards and Technology. The 
goals of this collaboration are to: evaluate recent information 
about relevant foreign and private-sector biometric technology 
deployments; review available documentation from previous 
pilots; and develop an evaluation framework. The Committee 
understands that following the analysis the Department will 
begin testing within the year and plans to advance to 
operational testing and evaluation by 2015, and consideration 
of deployment by 2016.
    The Committee directs the Secretary to report to the Senate 
Committees on Appropriations, the Judiciary, and Homeland 
Security and Governmental Affairs within 120 days after the 
date of enactment of this act, and to brief the Committee 
semiannually thereafter, on the Department's tangible progress 
in implementing an enhanced biographic exit system and 
biometric exit planning. The report shall include the results 
of the Canadian pilot programs and provide an update on the 
Mexican pilot program.

                               BRIEFINGS

    All current briefings on US-VISIT programs shall continue 
to be provided on a semiannual basis.

                U.S. Immigration and Customs Enforcement


                                SUMMARY

    U.S. Immigration and Customs Enforcement [ICE] is 
responsible for enforcing immigration and customs laws and 
detaining and removing deportable or inadmissible aliens.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total resources of $5,642,103,000, 
including direct appropriations of $5,330,234,000, and 
estimated fee collections of $311,869,000.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                            U.S. IMMIGRATION AND CUSTOMS ENFORCEMENT--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                             enacted   budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Appropriations:
    Salaries and expenses.................................         5,528,874      \1\5,296,692      \2\5,294,734
    Automation modernization..............................            21,710            30,500            30,500
    Construction..........................................  ................             5,000             5,000
                                                           -----------------------------------------------------
      Total, Appropriations...............................         5,550,584         5,332,192         5,330,234
                                                           =====================================================
Estimated Fee Collections:
    Immigration inspection user fee.......................           116,869           116,869           116,869
    Breached bond/detention fund..........................            75,000            75,000            75,000
    Student exchange and visitor fee......................           120,000           120,000           120,000
                                                           -----------------------------------------------------
      Total, Estimated fee collections....................           311,869           311,869           311,869
                                                           =====================================================
      Total, Available funding............................         5,862,453         5,644,061      \2\5,642,103
----------------------------------------------------------------------------------------------------------------
\1\Includes $17,610,000 requested for US-VISIT.
\2\Excludes $18,000,000 made available by transfer from US-VISIT and includes $5,000,000 for transfer to the
  Department of Justice.

                         SALARIES AND EXPENSES

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2012....................................  $5,528,874,000
Budget estimate, 2013...................................\1\5,296,692,000
Committee recommendation................................\2\5,294,734,000

\1\Includes $17,610,000 requested for US-VISIT.
\2\Excludes $18,000,000 made available by transfer from US-VISIT and 
includes $5,000,000 for transfer to the Department of Justice.

    The ICE Salaries and Expenses account provides funds for 
the enforcement of immigration and customs laws, intelligence, 
and detention and removals. In addition to directly 
appropriated resources, funding is derived from the following 
offsetting collections:
    Immigration Inspection User Fee.--ICE derives funds from 
user fees to support the costs of detention and removals in 
connection with international inspections activities at 
airports and seaports, as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356).
    Student Exchange Visitor Program Fee.--ICE collects fees 
from foreign students, exchange visitors, and schools and 
universities to certify and monitor participating schools, and 
to conduct compliance audits.
    Immigration Breached Bond/Detention Fund.--ICE derives 
funds from the recovery of breached cash and surety bonds in 
excess of $8,000,000 as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356); and from a portion of fees 
charged under section 245(i) of the Immigration and Nationality 
Act to support the cost of the detention of aliens.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $5,294,734,000, for salaries and 
expenses of ICE for fiscal year 2013 (excluding $18,000,000 
made available by transfer from US-VISIT and including 
$5,000,000 for transfer to the Department of Justice). The 
Committee includes bill language placing a $35,000 limit on 
overtime paid to any employee; making up to $10,000,000 
available for special operations; making up to $2,000,000 
available for the payment of informants; making up to 
$11,216,000 available to reimburse other Federal agencies for 
the costs associated with the care, maintenance, and 
repatriation of smuggled illegal aliens; making not less than 
$305,000 available for promotion of public awareness of the 
child pornography tipline and anti-child exploitation 
activities; making not less than $5,400,000 available to 
facilitate agreements consistent with section 287(g) of the 
Immigration and Nationality Act; limiting the use of funds for 
facilitating agreements consistent with section 287(g) of the 
Immigration and Nationality Act to the same activities funded 
in fiscal year 2005; making $15,770,000 available for 
activities to enforce laws against forced child labor, of which 
$6,000,000 shall remain available until expended; making up to 
$11,475 available for official reception and representation 
expenses; making $10,300,000 available until September 30, 
2014, for the Visa Security Program, and bill language allowing 
support for overseas vetted units.
    The Committee does not recommend the $6,163,000 increase 
for collocation of ICE facilities and, as discussed under U.S. 
Customs and Border Protection [CBP], does not include the 
proposed increase for ICE of $17,610,000 for overstay analysis 
as part of the US-VISIT program. Instead, the Committee 
includes transfer authority from CBP to ICE of $18,000,000 for 
that purpose. As discussed in greater detail below, the 
Committee recommends increases for overseas vetted units, 
detention beds, and the transportation and removal program.

                             INVESTIGATIONS

    The Committee notes that in fiscal year 2011, ICE disrupted 
or dismantled more than 140 transnational criminal 
organizations capable of laundering over $1,000,000,000 in 
illegal proceeds and illegally exporting 50,000 pieces of 
controlled technology. One such activity is Operation Global 
Shield, a program designed to thwart the smuggling of precursor 
chemicals that could be used to build improvised explosive 
devices, which are weapons commonly used against American 
troops and U.S. interests overseas. It initially began in 
November 2010 as a pilot project with more than 70 
participating nations that shared information about 14 
precursor chemicals. Based on its initial success and 
importance to multiple countries, the World Customs 
Organization's 177 members voted to continue Program Global 
Shield as a long-term program in June 2011. This was the first 
time that the international community, as a whole, addressed 
the threat posed by these dangerous precursor chemicals. With 
real-time information and intelligence sharing, partners are 
now better equipped to identify whether or not shipments are 
legitimate.
    The Committee encourages ICE to expand the use of 
ballistics imaging technology and other methods, including the 
capture and transfer of all ballistics images from guns seized 
through southbound inspections or by Mexican authorities, to 
trace weapons used in criminal acts in Mexico.

                    TRADE COMPLIANCE AND ENFORCEMENT

    The Committee notes that Intellectual Property Rights [IPR] 
violations, including piracy of not-yet-released movies, is a 
significant revenue source for transnational criminal 
organizations including Mexican drug cartels. According to 
officials at the IPR Coordination Center, these violations are 
a low-risk/high-profit type of crime. The Center sees more 
organized crime groups move into it because of the high-dollar 
value to it.
    The Committee fully funds the request for trade enforcement 
activities, including $10,000,000 for IPR enforcement, to 
enhance IPR supply/distribution chain management to improve 
targeting and ensure shipments of authentic goods are released 
without delays.
    CBP and ICE are directed to jointly brief the Committee by 
March 27, 2013, on the ongoing efforts to improve commercial 
trade enforcement and intellectual property rights, including 
the status of implementing the trade compliance enforcement 
strategy and efforts to improve coordination and collaboration 
between CBP and ICE field offices.

                    OVERSEAS VETTED UNITS OPERATIONS

    ICE works closely with its partners in law enforcement in 
many countries around the world. One tool that has proven 
especially important has been the use of vetted units, both to 
combat smuggling before it reaches the shores of the United 
States as well as to build law enforcement capacity within the 
host country. The Committee recommends $5,000,000 above the 
request for the Office of Investigations to be dedicated to the 
support of vetted units. Given the importance of this activity, 
the Committee directs ICE to specifically provide funds in the 
fiscal year 2014 request to sustain these efforts.

                     LAW ENFORCEMENT SUPPORT CENTER

    The Committee recommends $34,900,000, as requested, for 
operations and investigative activities at the Law Enforcement 
Support Center [LESC].
    In fiscal year 2012, the LESC's operations unit is 
projected to respond to over 1.3 million immigration alien 
queries. Likewise in fiscal year 2012, the LESC's National 
Crime Information Center [NCIC] unit is projected to administer 
nearly 300,000 ICE warrants located in the NCIC system. The 
LESC Communications Center provides instant NCIC warrant 
confirmation to law enforcement agencies around the clock, 
places immigration detainers on fugitives, and provides real-
time immigration status checks to ICE officers nationally and 
internationally. The Committee continues to strongly support 
the LESC as it assists ICE in carrying out its mission to 
apprehend criminal aliens residing in the United States, and to 
facilitate State and local cooperation in this effort.
    The Committee notes that the LESC and the Fugitive 
Operations Support Center [FOSC] play critical roles supporting 
local law enforcement officials while performing law 
enforcement actions in the field, as well as conducting 
analyses about the status and location of fugitive aliens. In 
fiscal year 2013, the LESC will continue to be an important 
component of DHS' Secure Communities program and serve as the 
single point of contact for Secure Communities queries from all 
3,181 jurisdictions from across the United States.
    The Committee understands that both the LESC and the FOSC 
are playing important and growing roles in analysis of visa 
overstays as part of ICE's immigration enforcement agenda. The 
Committee directs ICE to brief the Committee within 90 days 
after the date of enactment of this act on the support the LESC 
and FOSC provide to ICE in regard to visa overstay analysis, 
including the resources and staffing supporting this effort. In 
order to promote efficiency, the Committee recommends that ICE 
fully utilize current operations being carried out at the LESC 
and avoid unnecessary duplication of these activities at other 
locations around the country.

                         VISA SECURITY PROGRAM

    The Visa Security Program, mandated in section 428 of the 
Homeland Security Act of 2002 (Public Law 107-296), extends the 
border overseas to prevent terrorists and other criminals from 
receiving U.S. visas. The ICE Office of International Affairs 
has developed a multiyear plan which includes a prioritized 
expansion to the 57 highest-risk visa issuing posts. According 
to the plan, the program will cover approximately 75 percent of 
the highest risk visa activity posts by 2013. In fiscal year 
2011, ICE agents screened 1,172,388 visa applications at the 
existing overseas consular ports and, in collaboration with the 
Department of State, determined that 167,843 applications 
required further review. Of those reviewed, visa security 
program agents recommends refusal of more than 5,083 
applicants. The Committee recommends $32,616,000, as requested, 
to fully fund visa security programs and activities. Of the 
total amount provided for the Visa Security Program, bill 
language is included making $10,300,000 available for 
obligation through September 30, 2014.

                        IMMIGRATION ENFORCEMENT

    The role of the Appropriations Committee is to provide the 
resources necessary to enforce enacted laws and administration 
policy. The Committee takes seriously its role with regard to 
providing sufficient resources within constrained budgets to 
effectively and efficiently enforce immigration laws.
    Maintaining an adequate number of detention beds is 
critical to ensuring the integrity of our entire immigration 
enforcement system, including border enforcement, while at the 
same time preventing a return to the ill-advised ``catch and 
release'' policy. The Committee notes that in fiscal year 2011, 
ICE removed a total of 396,906 illegal aliens compared with 
240,665 in fiscal year 2004.
    According to the justification documents submitted with the 
President's budget request, ``ICE estimates there are 1.9 
million removable criminal aliens in the U.S. today.'' These 
are criminal aliens who pose a threat to our communities and 
are deemed removable. Over the years, this Committee has 
provided ICE with more funding than has been requested to 
enforce immigration laws--including the removal of criminal 
aliens. Given the fact that the administration states that 
there are such a large number of removable criminal aliens and 
the ongoing responsibility to support CBP and border 
enforcement, it is necessary to provide sufficient resources. 
The Committee includes $1,986,081,000, $26,718,000 above the 
request, to fully fund 33,400 detention beds. This is the same 
level of beds mandated in fiscal years 2010 and 2011.
    The bill contains language directing that a detention bed 
level of 33,400 beds shall be maintained throughout fiscal year 
2013.

                       ALTERNATIVES TO DETENTION

    The Committee recommends $96,687,000 for the Alternatives 
to Detention [ATD] program. This is $14,903,000 below the 
request and $24,314,000 above the enacted level. ICE has 
recently made the decision to more aggressively make use of the 
ATD program. In order for ICE to properly categorize aliens in 
custody, resources must be available for both detention beds 
and ATD. This is necessary as ICE is required to detain those 
posing the greatest threat to the community while also using 
ATD to effectively monitor lower risk individuals awaiting 
court hearings or final orders of removal. In the past few 
years, ICE has not effectively maximized the use of the ATD 
program. The Committee directs ICE to provide greater 
transparency on its use of the program--including providing 
quarterly briefings on the results of any evaluations of the 
program by field offices. ICE should post on its Web site any 
contractor evaluations and OIG reports related to the ATD 
program.

                   TRANSPORTATION AND REMOVAL PROGRAM

    The Committee recommends $263,227,000, $5,000,000 above the 
request and $13,405,000 below the enacted level, for the 
Transportation and Removal Program. The funds above the request 
will support additional removals resulting from the increase in 
detention beds.

                           SECURE COMMUNITIES

    The Committee continues its support of the Secure 
Communities program and recommends $138,713,000, as requested. 
This program facilitates State and local law enforcement 
authorities sharing of fingerprints with Federal authorities to 
determine if criminal offenders are illegally present in the 
United States so that ICE may initiate removal of illegal 
aliens who pose a threat to public safety. ICE's focus on 
prioritizing removal of criminal aliens continues to grow. In 
fiscal year 2008 there were 114,415 convicted criminal alien 
removals. In fiscal year 2011 there were 216,698 convicted 
criminal alien removals--an 89-percent increase since fiscal 
year 2009. One hundred thirty thousand criminal aliens have 
been removed from the United States through the Secure 
Communities program, nearly 53,000 of whom have committed an 
aggravated felony, such as murder or sexual assault, or 
multiple felonies. Secure Communities' use of this biometric 
matching capability has expanded from 14 communities in 2008 to 
2,504 communities as of March 31, 2012. With the funds 
recommended in this bill, Secure Communities will be 
implemented nationwide during 2013.
    The Committee has strongly supported the Secure Communities 
program since its creation as part of the fiscal year 2008 
Department of Homeland Security Appropriations Act. According 
to an April 22, 2011, Congressional Research Service memorandum 
regarding quantifying the criminal alien population, in fiscal 
year 2008 non-U.S. citizens comprised 7.1 percent of the U.S. 
population while comprising 23.1 percent of the Federal prison 
population. Clearly there are significant numbers of criminal 
aliens who should be identified and removed upon the completion 
of their prison sentences.
    While there have been concerns expressed about its 
implementation, two recent DHS Office of Inspector General 
reports (OIG-12-64 and OIG-12-66) addressed many of these 
concerns. Regarding complaints by some outside observers that 
ICE and DHS have not effectively communicated its plans for the 
program, one report stated, ``We did not find evidence that ICE 
intentionally misled the public or states and local 
jurisdictions during implementation of Secure Communities''. As 
for the overall effectiveness of the program achieving its 
goals, a second OIG report stated, ``Secure Communities was 
effective in identifying criminal aliens, and in most cases, 
ICE officers took enforcement actions according to agency 
enforcement policy . . .  Under Secure Communities, the agency 
expanded its ability to identify criminal aliens in areas not 
covered by its other programs.'' The report further indicated 
that some of those illegal immigrants would likely have gone 
unnoticed if not for Secure Communities.
    The Committee directs ICE to immediately resolve the open 
items listed in OIG-12-64 and OIG-12-66, publish its response 
on its Web site, and brief the Committees on the specific steps 
it has taken to resolve/implement the recommendations.
    The Committee has included bill language, as requested, 
ensuring that all illegal aliens encountered when enforcing our 
immigration laws are apprehended. The Committee also directs 
ICE to continue to provide quarterly briefings on progress 
being made in implementing the Secure Communities program. The 
briefings shall include Secure Communities' impact on removals 
reporting at the level of detail of the quarterly detention and 
removals report. Additionally, the briefings shall include 
quarterly data on the number of instances in which Secure 
Communities identifies when someone who is arrested is in this 
country illegally, the number of times ICE issues a detainer on 
such individuals, the major categories for the reasons why a 
decision is made to issue or not issue a detainer, and the 
number deported. The first briefing should occur no later than 
45 days after the date of enactment of this act.

                                 287(G)

    The Committee recommends $51,300,000, as requested, 
$17,000,000 below the enacted level, for the 287(g) program. 
The Committee notes that the Secure Communities program will be 
operational nationwide in 2013. Secure Communities deployments 
have increased criminal alien identifications and removals by 
89 percent since 2009. At the same time certain types of 287(g) 
agreements have proven to be a cost inefficient method for 
identifying and removing aliens. In fiscal year 2011, the task 
force 287(g) model cost almost $6,000 on average per removal, 
while the jail 287(g) model cost just under $2,000 on average 
per removal. Additionally, of the 30 task force 287(g) 
Memoranda of Agreements in effect, 9 identified no aliens for 
removal in fiscal year 2011. The Secure Communities screening 
process is more consistent, efficient, and cost effective in 
identifying and removing criminal and other priority aliens. To 
implement this reduction in fiscal year 2013, ICE will be 
discontinuing the least productive 287(g) task force agreements 
in those jurisdictions where Secure Communities is already in 
place.

                 EXECUTIVE OFFICE OF IMMIGRATION REVIEW

    The Committee includes $5,000,000, as requested, for 
reducing the nondetained docket at the Department of Justice's 
Executive Office of Immigration Review [EOIR]. The Assistant 
Secretary of ICE is directed to brief the Committee not later 
than 60 days after the date of enactment of this act on how 
these funds will be applied nationwide, and the specific 
projects to be undertaken with EOIR to make improvements and 
expedite action on the nondetained docket.

                U.S. CITIZEN CHILDREN OF REMOVED ALIENS

    The Committee is aware that there may have been instances 
in which U.S. citizen children of aliens facing removal were 
subject to foster home or adopted placement without proper 
consultation of the child's parents or legal guardians. Within 
30 days of the enactment of this act, the Committee directs ICE 
to brief the Committee on the agency's capabilities to 
identify, track, and report on the scope of this issue, the 
status of unaccompanied alien children after the removal or 
departure of their parent or legal guardian, and the procedures 
currently followed regarding children who remain in the United 
States after the deportation or removal of their parent. The 
briefing should also include details on any national guidelines 
or laws regarding this issue and, if appropriate, any State 
laws.
    The Committee directs ICE to continue to submit the 
semiannual report on ``Deportation of Parents of U.S.-Born 
Citizens''.

                    DETENTION AND REMOVAL REPORTING

    ICE is directed to continue to provide semiannual detention 
and removal reports at the same level of detail as directed in 
Senate report 112-74.

                      FORENSIC EVIDENCE PROTOCOLS

    The Committee directs CBP and ICE to brief jointly the 
Committee not later than April 12, 2013, on what standardized 
policies for treatment of forensic evidence from crime scenes 
against Federal officials or others when local agencies are 
involved are currently in use, whether or not separate 
memoranda of understanding are necessary with local 
jurisdictions, and if all guns, bullet casings, and shells are 
put through Federal systems such as E-trace and the National 
Integrated Ballistics Imaging Network.

                  TRAINING REGARDING HUMAN TRAFFICKING

    ICE plays a critical role in investigating criminal 
organizations which traffic individuals into the United States. 
The Committee encourages ICE to work with appropriate nonprofit 
organizations and victim service providers to improve the 
training of ICE officers in the field to assist in the 
identification of human trafficking victims, especially 
children, and provide appropriate referrals to victim service 
organizations.

                       COMMITTEE RECOMMENDATIONS

    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                         U.S. IMMIGRATION AND CUSTOMS ENFORCEMENT--SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                               Fiscal year    Fiscal year 2013      Committee
                                                               2012 enacted    budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Headquarters, management, and administration:
    Personnel compensation and benefits, services, and               233,251          220,122           213,959
     other costs...........................................
    Headquarters-managed IT investment.....................          184,227          157,188           157,188
                                                            ----------------------------------------------------
      Subtotal, Headquarters, management, and                        417,478          377,310           371,147
       administration......................................
                                                            ====================================================
Legal proceedings..........................................          215,935          207,580           207,580
                                                            ====================================================
Investigations:
    Domestic investigations................................        1,725,234        1,672,526      \2\1,654,916
    International operations...............................          114,928          110,370           115,370
    Visa Security Program..................................           33,889           32,616            32,616
                                                            ----------------------------------------------------
        Subtotal, Investigations...........................        1,874,051        1,815,512         1,802,902
                                                            ====================================================
Intelligence...............................................           81,503           78,748            78,748
                                                            ====================================================
Detention and removal operations:
    Custody operations.....................................        2,050,545        1,959,363         1,986,081
    Fugitive operations....................................          154,597          132,925           132,925
    Criminal Alien Program.................................          196,696          216,724           216,724
    Alternatives to detention..............................           72,373          111,590         \3\96,687
    Transportation and Removal Program.....................          276,632          258,227           263,227
                                                            ----------------------------------------------------
      Subtotal, Detention and removal operations...........        2,750,843        2,678,829         2,695,644
                                                            ====================================================
Secure Communities.........................................          189,064          138,713           138,713
                                                            ====================================================
      Total, Salaries and expenses.........................        5,528,874     \1\5,296,692      \4\5,294,734
----------------------------------------------------------------------------------------------------------------
\1\Includes $17,610,000 requested for US-VISIT.
\2\Excludes $18,000,000 made available by transfer from US-VISIT.
\3\Includes $5,000,000 for transfer to the Department of Justice.
\4\Excludes $18,000,000 made available by transfer from US-VISIT and includes $5,000,000 for transfer to the
  Department of Justice.

                        AUTOMATION MODERNIZATION

Appropriations, 2012....................................     $21,710,000
Budget estimate, 2013...................................      30,500,000
Committee recommendation................................      30,500,000

    The Automation Modernization account provides funds for 
major information technology [IT] projects for U.S. Immigration 
and Customs Enforcement [ICE], including the Atlas Program, 
modernization of TECS (formerly known as the Traveler 
Enforcement and Compliance System), modernization of Detention 
and Removal Operations' IT systems for tracking detainees (DRO 
Modernization), and other systems.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a total of $30,500,000, the same 
as the request. These funds are to remain available until 
September 30, 2017.
    The Committee directs that, of the funds made available to 
this account, priority shall be given to TECS modernization.
    The Committee also continues the requirement for semiannual 
briefings on this activity.

                              CONSTRUCTION

Appropriations, 2012....................................................
Budget estimate, 2013...................................      $5,000,000
Committee recommendation................................       5,000,000

    This appropriation provides funding to plan, construct, 
renovate, equip, and maintain buildings and facilities 
necessary for the administration and enforcement of the laws 
relating to immigration, detention, and alien registration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $5,000,000, as requested, to 
remain available until September 30, 2014. The Department 
intends that carryover funds within the Construction account 
will be used for emergency repairs and alterations, especially 
those focused on life and safety.

                 Transportation Security Administration

    The Transportation Security Administration [TSA] is charged 
with ensuring security across U.S. transportation systems, 
including aviation, railways, highways, pipelines, and 
waterways, and safeguarding the freedom of movement of people 
and commerce. Separate appropriations are provided for the 
following activities within TSA: aviation security; surface 
transportation security; transportation threat assessment and 
credentialing; transportation security support; and Federal Air 
Marshals.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a total program level of 
$7,633,436,000 and a net of $4,918,716,000 for the activities 
of TSA for fiscal year 2013.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                     TRANSPORTATION SECURITY ADMINISTRATION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2012   Fiscal year 2013      Committee
                                                              enacted         budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Aviation Security......................................         5,253,956          5,098,639          5,087,490
Aviation Security Capital Fund (mandatory).............           250,000            250,000            250,000
Surface Transportation Security........................           134,748            124,276            124,276
Transportation Threat Assessment and Credentialing                163,954            192,631            192,631
 (direct appropriations)...............................
Transportation Threat Assessment and Credentialing (fee-           40,320             79,720             79,720
 funded programs)......................................
Transportation Security Support........................         1,031,926            969,709            969,709
Federal Air Marshals...................................           966,115            929,610            929,610
                                                        --------------------------------------------------------
      Total, Transportation Security Administration             7,841,019          7,644,585          7,633,436
       (gross).........................................
                                                        ========================================================
Offsetting Fee Collections--current law................        -2,030,000         -2,070,000         -2,070,000
Offsetting Fee Collections--proposed increase..........  .................          -115,000           -315,000
Aviation Security Capital Fund (mandatory).............          -250,000           -250,000           -250,000
Fee Accounts [TTAC]....................................           -40,320            -79,720            -79,720
                                                        --------------------------------------------------------
      Total, Transportation Security Administration             5,520,699          5,129,865          4,918,716
       (net)...........................................
----------------------------------------------------------------------------------------------------------------

                           Aviation Security

Appropriations, 2012....................................  $5,253,956,000
Budget estimate, 2013...................................   5,098,639,000
Committee recommendation................................   5,087,490,000

    The Transportation Security Administration [TSA] Aviation 
Security account provides for Federal aviation security, 
including screening of all passengers and baggage, deployment 
of on-site law enforcement, continuation of a uniform set of 
background requirements for airport and airline personnel, and 
deployment of explosives detection technology.
    The aviation security activities include funding for: 
Federal transportation security officers [TSOs] and private 
contract screeners; air cargo security; procurement, 
installation, and maintenance of explosives detection systems; 
checkpoint technologies and support; and other aviation 
regulation and enforcement activities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $5,087,490,000 for Aviation 
Security, $11,149,000 below the amount requested and 
$166,466,000 below the fiscal year 2012 level.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                                AVIATION SECURITY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2012   Fiscal year 2013      Committee
                                                              enacted         budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Screening Operations...................................         4,167,631          4,022,439          3,999,790
Aviation Security Direction and Enforcement............         1,086,325          1,076,200          1,087,700
Aviation Security Capital Fund (mandatory).............          [250,000]          [250,000]          [250,000]
                                                        --------------------------------------------------------
      Total, Aviation Security.........................         5,253,956          5,098,639          5,087,490
----------------------------------------------------------------------------------------------------------------

                         AVIATION SECURITY FEES

    The President's budget assumes fiscal year 2013 aviation 
security fee collections of $2,659,000,000, including a 
proposal to collect an additional $317,000,000 through an 
increase in the fee passengers pay. The Congressional Budget 
Office, in its analysis of the President's budget, has re-
estimated collections from aviation security fees to be 
$2,635,000,000. According to estimates by the Congressional 
Budget Office, this amount is made up of $2,215,000,000 from 
passengers and $420,000,000 from air carriers. The amount 
estimated to come from passengers includes the administration's 
proposal to modify aviation passenger fees in fiscal year 2013 
by applying a flat fee of $5.00 per one-way trip. The Aviation 
and Transportation Security Act (Public Law 107-71) mandated 
that TSA impose a flat fee of $2.50 fee for a one-way trip with 
no stops and a $5.00 fee for a trip with one or more stops. 
This change is estimated to generate an additional $315,000,000 
in offsetting collections. The President's request proposes to 
dedicate $115,000,000 of the collections to aviation security 
costs and $200,000,000 to debt reduction.
    Security costs covered by offsetting fee collections 
represented 32 percent of aviation security costs in fiscal 
year 2005 as compared to 24 percent in fiscal year 2012 even 
though passenger volume increased by 2 percent during that time 
period. The Committee recommendation includes bill language for 
fiscal year 2013 requiring a $5.00 flat fee per one-way trip 
with the additional offsetting collections being assigned to 
aviation security. This will ensure that aviation customers, 
not general taxpayers, pay for a portion of the growth in 
aviation security costs. The additional offsetting collections 
generated by this change will be dedicated to aviation 
security. The Committee has not approved the President's 
proposal to provide the Secretary with permanent authority to 
increase aviation security fees, a proposal that should be 
considered by the Committee of jurisdiction.
    The Committee is also concerned about the impact airline 
checked baggage fees are having on security at airport 
checkpoints. According to TSA, there has been a notable change 
in carry-on baggage volume that directly correlates to the 
imposition of these fees. This has increased checkpoint 
security requirements and processing times. According to DHS, 
in 2000, it cost less than $1 to screen each passenger and 
accompanying baggage. Following the 2006 plot to use liquid 
explosives and the 2009 Christmas Day attempted bombing using 
nonmetallic explosives, TSA made significant investments in 
technology capable of detecting such threats. In addition, TSA 
has invested significant resources to streamline checked 
baggage screening with the installation of in-line systems, 
making airport lobbies more efficient and secure. In fiscal 
year 2011, the average cost for TSA to screen a passenger and 
accompanying baggage has increased to nearly $9, due in part to 
airline imposed checked baggage fees that have resulted in TSA 
screening 56 million additional carry-on bags at airport 
checkpoints annually. As a result of additional carry-on 
luggage at airport security checkpoints, TSA estimates it is 
spending an additional $260,000,000 to support passenger 
throughput rates, which is detracting from other security 
programs. The Committee encourages the Department to seek 
legislation authorizing TSA to recoup these costs from the 
airlines.

                          SCREENING OPERATIONS

    The Committee recommends $3,999,790,000 for TSA screening 
operations, $22,649,000 below the amount requested and 
$167,841,000 below the fiscal year 2012 level. The 
recommendation also includes a reduction of over $100,000,000 
in requested administrative reductions, management savings, and 
other efficiencies.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                              SCREENING OPERATIONS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Screener Workforce:
    Privatized Screening Airports.........................           144,193           143,190           143,190
    Screener personnel, compensation, and benefits........         3,025,771         3,107,649         3,100,000
                                                           -----------------------------------------------------
        Subtotal, Screener Workforce......................         3,169,964         3,250,839         3,243,190
                                                           =====================================================
Screener Training and Other...............................           249,796           225,012           225,012
Checkpoint Support........................................           204,768           120,239           115,239
Explosives Detection Systems/Explosives Trace Detection
 [EDS/ETD]:
    EDS procurement and installation......................           222,738           117,349           107,349
    Screening technology maintenance and utilities........           320,365           309,000           309,000
                                                           =====================================================
      Subtotal, EDS/ETD Systems...........................           543,103           426,349           416,349
                                                           =====================================================
      Total, Screening Operations.........................         4,167,631         4,022,439         3,999,790
----------------------------------------------------------------------------------------------------------------

                     PRIVATIZED SCREENING AIRPORTS

    The Committee recommends $143,190,000 for privatized 
screening airports, the same amount as requested in the budget 
and $1,003,000 below the fiscal year 2012 level. The budget 
request supports funding requirements for the 17 airports that 
participate in the program.
    TSA shall notify the Committee if the agency expects to 
spend less than the appropriated amount due to situations where 
no additional airports express interest in converting, either 
fully or partially, to privatized screening, or where airports 
currently using privatized screening convert to using Federal 
screeners. TSA shall adjust its PPA line items, and notify the 
Committee within 10 days, to account for any changes in private 
screening contracts, including new awards under the Screener 
Partnership Program [SPP], or the movement from privatized 
screening into Federal screening. The Committee also expects to 
be briefed on any proposed changes being considered for the SPP 
program.
    As TSA implements new statutory requirements for privatized 
screening, the Committee expects TSA to not approve any new 
contract application where privatized screening does not 
currently exist if the annual cost of the contract exceeds the 
annual cost to TSA of providing Federal screening services at 
that airport.

             SCREENER PERSONNEL, COMPENSATION, AND BENEFITS

    The Committee recommends $3,100,000,000 for screener 
personnel, compensation, and benefits, $7,649,000 below the 
amount requested and $74,229,000 above the fiscal year 2012 
level. The recommendation includes necessary resources for TSA 
to staff 1,250 Advanced Imaging Technology units funded in 
prior years and annualize 145 behavior detection officers 
funded in fiscal year 2012. TSA has indicated that the last 250 
AIT machines funded in fiscal year 2012 will be fielded later 
than originally anticipated in the budget request. Therefore, 
the recommended amount for AIT staffing is reduced by 
$7,649,000 below the request.
    The Committee does not include a statutory cap on TSA 
screening personnel. Consistent with the 9/11 Act, the 
Secretary of Homeland Security shall recruit and hire screeners 
as may be necessary to provide appropriate levels of aviation 
security and to ensure that average passenger wait times do not 
exceed 10 minutes.

                      SCREENER TRAINING AND OTHER

    The Committee recommends $225,012,000 for screener training 
and other, the same amount as requested in the budget and 
$24,784,000 below the fiscal year 2012 level. Funds are 
provided to support training of Transportation Security 
Officers [TSOs] and other direct costs associated with TSO 
operations, such as: consumable supplies, checkpoint janitorial 
services, travel for the National Deployment Force, uniform 
allowances, hazardous materials disposal, and a model workforce 
program. The reduction from fiscal year 2012 reflects one-time 
costs for the initial stand up of AIT units in prior years and 
support for new behavior detection officers hired in fiscal 
year 2012. In addition, requested reductions in administrative 
costs and other efficiencies are included in the recommended 
level.

                           CHECKPOINT SUPPORT

    The Committee recommends $115,239,000 for checkpoint 
support, $5,000,000 below the amount requested in the budget 
and $89,529,000 below the fiscal year 2012 level. Funds are 
provided to field test and deploy equipment for passenger 
screening, carry-on baggage screening, checkpoint 
reconfiguration, electronic surveillance of checkpoints, and 
operational integration of systems. As requested, funds are 
available in fiscal year 2013 to purchase: next generation 
explosives trace detectors; advanced technology; and bottled 
liquid scanners. The reduction below the request shall be 
offset by an identical amount in unobligated balances for this 
account that have remained unspent for over 5 years. There is 
no reason for prior year balances to languish for such a long 
period of time.

                FIVE-YEAR STRATEGIC PLAN OF INVESTMENTS

    TSA's budget submission, as it is currently structured, 
provides limited understanding of TSA's total acquisition costs 
for passenger screening technologies and how these technologies 
link to TSA's near-term and long-term vision for its screening 
responsibilities. It is important for the Committee to have a 
better understanding of future acquisition needs and the 
resources necessary to execute them. While the budget 
justification includes the total number of assets necessary to 
meet full operating capability, it does not include a future-
years financial plan to achieve the desired end state. 
Therefore, the Committee directs TSA to include a 5-year budget 
estimate within its fiscal year 2014 congressional budget 
justification that includes projected funding levels for the 
next 5 fiscal years individually for all passenger screening 
technology acquisitions. The plan shall also indicate the total 
cost and estimated completion date for each technology.

                      ADVANCED IMAGING TECHNOLOGY

    TSA has received funding for 1,250 Advanced Imaging 
Technology [AIT] machines, of which approximately 700 units 
have been fielded. Within this amount, approximately 450 of the 
machines are made with a technology called ``millimeter wave'' 
and 250 machines are made with ``backscatter'' technology. The 
``millimeter wave'' machines have been installed with software 
called ``Automated Target Recognition'' which automatically 
displays a generic outline of the passenger instead of a real 
image. With this technology, TSA human operators are no longer 
required to survey the real image. Backscatter units still 
require a human operator to view the passenger's real image.
    The request includes no funding for additional AIT units in 
fiscal year 2013 due to the time it takes to develop next 
generation AIT technology. The Committee is aware of efforts by 
TSA to pursue the procurement of enhanced AIT machines with 
reduced processing time, increased detection performance, and a 
reduction in size. In addition, the Science and Technology 
Directorate is working with TSA to develop a future-generation 
unit that would allow for an even smaller threat item to be 
detected and allow passengers to walk-through the unit instead 
of requiring the passenger to remain stationary.
    TSA is to continue its frequent briefings on AIT. The 
briefings are to include: procurement details; cost; schedule; 
associated staffing requirements; utilization rates; 
deployments; throughput rates; progress on ATR deployment for 
backscatter units; progress on the development of AIT-2 and 
next-generation units; and any changes to requirements for full 
operating capability. These briefings shall also include plans 
to address the recommendations in the Government Accountability 
Office's January 2012 classified report on AIT, including 
associated timelines to (1) improve the technology, (2) use the 
technology with other deployed technologies, and (3) address 
any utilization issues identified in GAO's report. In addition, 
TSA shall brief on the staffing implications of using ATR as 
part of the AIT system and how ATR impacts AIT detection 
capabilities.

                   ADVANCED IMAGING TECHNOLOGY STUDY

    Airline passengers have raised concerns that there has not 
been adequate study of the potential health risks that may be 
associated with the use of Advanced Imaging Technology [AIT] 
scanning machines at airport security screening checkpoints. 
Therefore, within the funding provided, the Committee instructs 
the Secretary to allocate resources for an independent study of 
the potential health risks associated with these technologies, 
including backscatter x-ray and millimeter wave technologies. 
The study shall be conducted by an independent laboratory 
selected by the Secretary, in consultation with the Nuclear and 
Radiation Studies Board of the National Academy of Science, the 
National Science Foundation, and the Science and Technology 
Directorate of the Department, from among laboratories with 
expertise in the conduct of similar studies. In addition, in 
consultation with the foregoing entities, the Secretary shall 
convene an independent panel of experts to evaluate the results 
of this study to consider any risk posed by AIT from a public 
health perspective in addition to the individual risk to each 
airline passenger.
    Among other things, the study should evaluate the possible 
malfunctions and fail-safe mechanisms of such machines as well 
as the radiation emissions of AIT. To the maximum extent 
practicable, the study shall ensure that any tests performed 
are replicable and the results are subject to peer review. The 
independent panel of experts should evaluate the results of the 
study as well as a review of relevant clinical and academic 
literature, to assess the health risks posed by AIT to certain 
individuals screened or affected by such machines, including: 
frequent air travelers; employees of the Transportation 
Security Administration; flight crews and other individuals who 
work at airports; and individuals with greater sensitivity to 
radiation, such as children, pregnant women, the elderly, and 
cancer patients. Upon completion, the Secretary shall submit to 
Congress a report that contains the results of the study and 
evaluation.
    Further, the Committee directs the Secretary to ensure that 
easily readable signs or equivalent electronic displays are 
placed at the front of airline passenger checkpoint queues 
where AIT scanning machines are used to alert passengers to the 
use of such technology and the screening alternatives to 
passengers.

                    RISK-BASED SCREENING INITIATIVES

    The Committee is pleased that the Transportation Security 
Administration plans to expand the Pre-Check pilot program from 
two to six participating airlines and increase the number of 
airport locations from 14 to 35 by the end of 2012. However, 
the Committee is concerned that currently only three airlines 
and passengers with frequent flyer status or participants in 
U.S. Customs and Border Protection's trusted travel programs 
are eligible to participate. TSA is to report to the Committee 
within 90 days after the date of enactment of this act on: (1) 
its plans to expand Pre-Check to additional airlines and 
passengers who currently do not qualify for the program, 
including a timeline and milestones; (2) statistics detailing 
the incremental progress being made to increase the eligible 
population of passengers that have access to Pre-Check and 
expand the number of airport locations where Pre-Check is 
available; (3) key indicators of success such as passenger 
satisfaction data; (4) projected cost savings from Pre-Check 
and other risk-based screening initiatives; (5) a description 
of efforts to ensure the public is fully aware of the program; 
(6) wait times for Pre-Check and non-Pre-Check lanes; and (7) a 
description of security measures being implemented to ensure 
that eligible passengers in the Pre-Check program are truly 
low-risk.
    In addition to the establishment of Pre-Check, the 
Committee commends TSA for developing modified screening 
procedures in the past year for children under 12, the elderly, 
members of the military, and airline pilots.
    Flight attendant association representatives testified 
before the Committee on March 21, 2012, that they are required 
to successfully complete the same background check as pilots, 
but are not eligible for expedited screening at airport 
checkpoints. The Committee is concerned that TSA's Known 
Crewmember pilot program is not currently open to members of 
the cabin flight crew and has included bill language requiring 
TSA to modify the program within 270 days after the date of 
enactment of this act to allow for their enrollment and 
participation.

                         PRE-CLEARANCE AIRPORTS

    The Committee commends TSA's efforts to work with the 
Canadian Government's eight pre-clearance airports, which are 
in the process of upgrading their checked baggage screening 
equipment to TSA-certified explosives detection systems 
equipment standards. When fully implemented, passengers 
arriving in the United States from these Canadian airports will 
not be required to have their baggage rescreened when 
connecting to other flights. TSA is to brief the Committee on 
the status of these efforts no later than 60 days after the 
date of enactment of this act. The briefing shall include a 
discussion of TSA's strategy to expand this program to other 
pre-clearance airports.

                          PASSENGER COMPLAINTS

    The Committee remains concerned about the process TSA has 
established for resolving passenger complaints regarding wide-
ranging issues related to screening, such as health concerns 
and alleged violations of civil rights, racial profiling, 
sexual harassment, and other alleged inappropriate treatment by 
TSA and other screening personnel. The Committee believes TSA 
has made some progress in this area by establishing several 
channels that passengers can use to submit screening 
complaints, such as the TSA contact center and a new external 
ombudsman to which individuals can turn after exhausting other 
avenues within TSA. In addition, the Secretary recently 
testified that passenger advocates will be deployed to all 
category X airports. While TSA has created these alternate 
channels for passengers to turn to, the complaint process 
remains cumbersome and confusing. The Committee directs TSA to 
improve the process for addressing passenger complaints and to 
better communicate to passengers key aspects of the complaints 
process available to them so that they have a clear 
understanding of their rights before entering the screening 
area. In addition, TSA shall also ensure that transportation 
security officers, as well as other screening personnel, are 
appropriately trained to engage passengers who may seek to file 
a complaint. Finally, TSA shall create a data-based system for 
systematically tracking passenger complaints agency-wide that 
includes information on, among other things, how and when 
complaints are resolved and communicated to complainants. Such 
a system will provide the Administrator with an important 
measuring tool to judge the success of the agency's process for 
addressing screening-related complaints. TSA is to brief the 
Committee no later than 60 days after the date of enactment of 
this act on its efforts to address these requirements. TSA is 
also required to robustly fund the new external ombudsman's 
office and new passenger advocates in order to respond to 
passengers seeking assistance.

                           SECURITY BREACHES

    The Committee is concerned about the findings in the 
Department of Homeland Security Office of Inspector General 
Investigation Report entitled ``Transportation Security 
Administration's Efforts to Identify and Track Security 
Breaches at Our Nation's Airports''. The investigation found 
that TSA does not have a comprehensive oversight program in 
place to gather information about all security breaches and 
therefore cannot use the information to monitor trends or make 
general improvements to security. It further found that TSA 
does not provide the necessary guidance and oversight to ensure 
that all breaches are consistently reported, tracked, and 
corrected. As a result, TSA does not have a complete 
understanding of breaches occurring at the Nation's airports 
and misses opportunities to strengthen aviation security. The 
report details two recommendations that TSA must take to 
correct these issues, including refining and using only one 
comprehensive definition for a security breach and developing a 
comprehensive oversight program. The Committee expects TSA to 
take action to implement the recommendations as soon as 
possible and will monitor the progress of the reforms. In 
addition, not later than 30 days after the date of enactment of 
this act, the TSA Administrator shall submit to the Committee a 
report that identifies all actions taken and all planned 
actions, including timelines detailing when actions will be 
implemented, to address the recommendations made in the Office 
of Inspector General Investigation Report.

                      EXPLOSIVES DETECTION SYSTEMS

    The Committee recommends $107,349,000 in discretionary 
appropriations for explosives detection systems [EDS] 
procurement and installation, $10,000,000 below the amount 
requested in the budget and $115,389,000 below the fiscal year 
2012 level. The reduction below the request shall be offset by 
an identical amount in unobligated balances for this account 
that have remained unspent for over 5 years. There is no reason 
for prior year balances to languish for such a long period of 
time. An additional $250,000,000 in mandatory spending will be 
available from Aviation Security Capital Fund [ASCF] fee 
collections. The total discretionary and mandatory funding will 
allow TSA to purchase and install approximately 155 EDS units 
in fiscal year 2013.
    Current law requires that the $250,000,000 in annual 
mandatory funding deposited into the ASCF is to be available 
for airport security improvement projects, such as facility 
modifications. However, procurement and installation of EDS 
equipment associated with these projects is not permitted. With 
a diminishing base of airport applications seeking large 
improvement projects and the need to replace aging EDS machines 
currently deployed at airports, the recommendation includes 
bill language, as requested, to permit ASCF funding to be used 
to procure and install EDS equipment during fiscal year 2013. 
This change will allow TSA to more effectively, economically, 
and expeditiously plan and implement the acquisition and 
replacement of existing EDS units. TSA is to work with the 
appropriate committees of jurisdiction if it desires a 
permanent solution to this problem.
    TSA shall brief the Committee no later than 60 days after 
the date of enactment of this act on its plans to upgrade all 
EDS units procured and deployed with its 2010 detection 
standards, which were established to better address current 
threats. The Government Accountability Office in its report 
(GAO-11-740) highlighted several challenges TSA has encountered 
in meeting these new detection standards. The briefing shall 
address the concerns highlighted in that report.

           EXPENDITURE PLANS FOR EDS/CHECKPOINT TECHNOLOGIES

    The Committee includes statutory language under the 
``Transportation Security Support'' appropriation withholding 
the obligation of $20,000,000 for headquarters administration 
until TSA submits to the Committee, no later than 60 days after 
the date of enactment of this act, detailed expenditure plans 
for fiscal year 2013 for checkpoint security and EDS 
refurbishment, procurement, and installations on an airport-by-
airport basis. The withholding is included to encourage timely 
submissions of materials necessary for robust and informed 
oversight. The plans shall include specific technologies for 
purchase, program schedules and major milestones, a schedule 
for obligation of the funds, recapitalization priorities, and a 
table detailing actual versus anticipated unobligated balances 
at the close of the fiscal year. The plan shall include a new 
section that provides details on passenger screening pilot 
programs that are in progress or being considered for 
implementation in fiscal year 2013. Information to be addressed 
in this section is to include a summary of the pilot program 
describing what the program is attempting to achieve; potential 
capabilities and benefits of the program; the airports where 
the pilots will be operating; funding commitments; and plans 
for future expansion. TSA shall brief the Committee at the end 
of the second, third, and fourth quarters with an update on EDS 
and checkpoint expenditures, including an explanation of any 
deviation from the original plan.

   INSTALLATION OF OPTIMAL BAGGAGE SCREENING SYSTEMS AND FTE SAVINGS

    With the funding provided in this act and in prior 
appropriations acts for EDS procurement and installation, TSA 
is able to greatly expedite the deployment of in-line checked 
baggage screening systems, thereby permitting a reduction in 
personnel. For instance, by the end of fiscal year 2013, TSA 
estimates that 216 airports will have optimal checked baggage 
screening solutions. TSA shall report to the Committees, in 
tandem with the annual budget request, on the savings achieved 
and anticipated by fiscal year from the installation of new in-
line systems.

 AIRPORTS THAT HAVE INCURRED ELIGIBLE COSTS FOR IN-LINE BAGGAGE SYSTEM 
                               DEPLOYMENT

    As required by the 9/11 Act, TSA is to give funding 
consideration to airports that incurred eligible costs for EDS 
and that were not recipients of funding agreements. The fiscal 
year 2013 EDS expenditure plan shall identify airports eligible 
for funding pursuant to section 1604(b)(2) of Public Law 110-53 
and funding, if any, allocated to reimburse those airports.

             SCREENING TECHNOLOGY MAINTENANCE AND UTILITIES

    The Committee recommends $309,000,000 for screening 
technology maintenance and utilities, the same level as 
requested in the budget and $11,365,000 below the fiscal year 
2012 level. The reduction below fiscal year 2012 reflects 
requested reductions identified for administrative savings, 
longer warranties, and more efficient screening security 
equipment.

              AVIATION SECURITY DIRECTION AND ENFORCEMENT

    The Committee recommends $1,087,000,000 for aviation 
security direction and enforcement, $11,500,000 above the 
amount requested in the budget and $1,375,000 above the fiscal 
year 2012 level. The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                   AVIATION SECURITY DIRECTION AND ENFORCEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Aviation regulation and other enforcement.................           369,984           371,989           371,989
Airport management and support............................           570,226           569,615           569,615
Federal flight deck officer and flight crew training......            25,461            12,500            24,000
Air cargo.................................................           120,654           122,096           122,096
                                                           -----------------------------------------------------
      Total, Aviation Security Direction and Enforcement..         1,086,325         1,076,200         1,087,700
----------------------------------------------------------------------------------------------------------------

               AVIATION REGULATION AND OTHER ENFORCEMENT

    The Committee recommends $371,989,000 for aviation 
regulation and other enforcement, the same level as requested 
in the budget and $2,005,000 above the fiscal year 2012 level. 
The recommended amount provides for law enforcement and 
regulatory activities at airports to: ensure compliance with 
required security measures, respond to security incidents, and 
provide international support for worldwide security 
requirements.
    The recommendation includes an increase of $29,711,000, as 
requested, to annualize 12 additional multimodal Visible 
Intermodal Prevention and Response [VIPR] teams funded in 
fiscal year 2012 with 6 teams dedicated to aviation and 6 teams 
dedicated to surface transportation security. This amount 
brings the total number of VIPR teams to 37. VIPR teams were 
authorized by the 9/11 Act to augment the security of any mode 
of transportation at any location within the United States. 
These teams, made up of TSA employees, including Federal Air 
Marshals, Transportation Security Officers, surface 
transportation inspectors, and canine teams, are deployed to 
airports, rail stations, and other venues in response to 
intelligence-driven threats, or for deterrence through risk-
based deployments. TSA shall provide an updated VIPR 
expenditure plan for fiscal year 2013 within 60 days after the 
date of enactment of this act. TSA is to use the same format 
provided in the March 12, 2012, report to the Committees.
    In the 2003 Vision 100--Century of Aviation Reauthorization 
Act, Congress directed TSA to issue ``final regulations to 
ensure the security of foreign and domestic aircraft repair 
stations''. According to TSA, approval and publication of the 
final rule is anticipated in the fourth quarter of calendar 
year 2012. TSA is to brief the Committee if this timeline will 
not be met.

                     AIRPORT MANAGEMENT AND SUPPORT

    The Committee recommends $569,615,000 for airport 
management and support, the same level as requested in the 
budget and $611,000 below the fiscal year 2012 level. Funds are 
provided for: the workforce to support TSA Federal security 
directors; Bomb Appraisal Officers; Explosives Security 
Specialists; the Transportation Security Operations Center; 
airport rent and furniture; a vehicle fleet; airport parking; 
and employee transit benefits.

     FEDERAL FLIGHT DECK OFFICER AND FLIGHT CREW TRAINING PROGRAMS

    The Committee recommends $24,000,000 for Federal flight 
deck officer and flight crew training programs, $11,500,000 
above the amount requested in the budget and $1,461,000 below 
the fiscal year 2012 level. Funds are provided to deputize 
qualified airline pilots who volunteer to be Federal law 
enforcement officers and to provide initial and recurrent law 
enforcement training. Funds are also provided for the Crew 
Member Self-Defense Training program for the purpose of 
teaching crew members basic self-defense concepts and 
techniques.
    The Committee disagrees with the request to reduce funding 
for the Federal Flight Deck Officer program by 51 percent 
without a valid justification. The proposed cut would prevent 
thousands of dedicated flight crews who volunteer for this 
program from receiving training that could protect commercial 
flights and the passengers on them. The recommended amount 
includes a small decrease below the fiscal year 2012 enacted 
level, which reflects the constrained budget environment.

                               AIR CARGO

    The Committee recommends $122,096,000 for air cargo 
security activities, the same level as requested in the budget 
and $1,442,000 above the fiscal year 2012 level. Funds are 
provided to secure the air cargo supply chain, conveyances, and 
people.
    By August 2010, TSA achieved 100-percent screening of air 
cargo that is placed on passenger aircraft for domestic 
flights, but 100-percent screening of air cargo loaded onto 
inbound international passenger flights has yet to be achieved. 
Given recent aviation based terrorist plots, including the 
October 2010 plot to blow up air cargo aircraft destined for 
the United States, the Committee was encouraged when the 
Secretary directed TSA to expedite the achievement of 100-
percent screening of inbound cargo from 2013 to the end of 
2011. However, due to the potentially disruptive consequences 
this deadline would have had on the international air cargo 
supply chain, DHS revised its requirement for 100-percent 
international inbound cargo screening to the end of 2012. TSA 
is to brief the Committee on its efforts to meet this deadline 
no later than 30 days after the date of enactment of this act. 
This briefing shall also include a discussion, in a classified 
session if appropriate, on its progress in implementing the 
recommendations contained in GAO-12-283SU, ``Actions Needed to 
Address Challenges and Potential Vulnerabilities Related to 
Securing Inbound Air Cargo.''
    The Committee includes statutory language under 
``Transportation Security Support'' restricting $20,000,000 
from being obligated for headquarters administration until TSA 
submits to the Committee, no later than 60 days after the date 
of enactment of this act, an expenditure plan on the allocation 
of air cargo funds, including carryover balances. Due to delays 
in receiving the air cargo expenditure plan in prior years, the 
withholding is included to encourage timely submissions of 
materials necessary for robust and informed oversight.

                    Surface Transportation Security

Appropriations, 2012....................................    $134,748,000
Budget estimate, 2013...................................     124,276,000
Committee recommendation................................     124,276,000

    Surface transportation security provides funding for 
personnel and operational resources to assess the risk of a 
terrorist attack on nonaviation modes of transportation, 
standards and procedures to address those risks, and to ensure 
compliance with established regulations and policies.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $124,276,000 for surface 
transportation security, the same amount as requested in the 
budget and $10,472,000 below the fiscal year 2012 level. Funds 
are available to assess the risk of terrorist attacks for all 
nonaviation transportation modes, issue regulations to improve 
the security of those modes, and enforce regulations to ensure 
the protection of the transportation system. The following 
table summarizes the Committee's recommendations as compared to 
the fiscal year 2012 and budget request levels:

                                         SURFACE TRANSPORTATION SECURITY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Staffing and operations...................................            38,514            36,711            36,711
Surface transportation security inspectors and canines....            96,234            87,565            87,565
                                                           -----------------------------------------------------
      Total, Surface Transportation Security..............           134,748           124,276           124,276
----------------------------------------------------------------------------------------------------------------

        SURFACE TRANSPORTATION SECURITY STAFFING AND OPERATIONS

    The Committee recommends $36,711,000 for surface 
transportation security staffing and operations, the same 
amount as requested in the budget and $1,803,000 below the 
fiscal year 2012 level.

         SURFACE TRANSPORTATION SECURITY INSPECTORS AND CANINES

    The Committee recommends $87,565,000 for surface 
transportation security inspectors and canines, the same amount 
as requested in the budget and $8,669,000 below the fiscal year 
2012 level.
    Since 2004, there have been 1,300 terrorist attacks 
worldwide against mass transit, buses, and passenger rail, 
resulting in more than 4,000 deaths and 14,000 injuries. It is 
now more important than ever to increase our defenses against 
similar attacks here in the United States. Intelligence 
gathered from Osama bin Laden's compound revealed evidence that 
al Qaeda considered rail lines high-value targets. TSA is to 
brief the Committee no later than 90 days after the date of 
enactment of this act on its multimodal technology pilots and 
initiatives. The briefing shall include a summary of all 
technology pilot programs/initiatives TSA will have operating 
or has planned for fiscal year 2013; what each program/
initiative is attempting to achieve; potential capabilities and 
benefits of the program/initiative; locations of each program/
initiative; and plans for future expansion.

           Transportation Threat Assessment and Credentialing

Appropriations, 2012....................................    $163,954,000
Budget estimate, 2013...................................     192,631,000
Committee recommendation................................     192,631,000

    Transportation threat assessment and credentialing includes 
several TSA credentialing programs: Secure Flight, Crew 
Vetting, Screening Administration and Operations, Registered 
Traveler, Transportation Worker Identification Credential, 
Hazardous Materials Commercial Drivers License Endorsement 
Program, and Alien Flight School.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a direct appropriation of 
$192,631,000 for transportation threat assessment and 
credentialing, the same level as requested in the budget and 
$28,677,000 above the fiscal year 2012 level. In addition, an 
estimated $79,720,000 in fee collections is available for these 
activities in fiscal year 2013, as proposed in the budget.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                               TRANSPORTATION THREAT ASSESSMENT AND CREDENTIALING
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Direct Appropriations:
    Secure Flight.........................................            92,414           107,074           107,074
    Crew and other vetting programs.......................            71,540            85,557            85,557
                                                           -----------------------------------------------------
      Subtotal, direct appropriations.....................           163,954           192,631           192,631
                                                           =====================================================
Fee Collections:
    Transportation worker identification credential.......             8,300            47,300            47,300
    Hazardous materials...................................            12,000            12,000            12,000
    Alien flight school (transfer from DOJ)...............             4,000             5,000             5,000
    Certified cargo screening program.....................             5,200             7,200             7,200
    Large aircraft security program.......................             1,200  ................  ................
    Secure identification display area checks.............             8,000             8,000             8,000
    Other security threat assessments.....................               100               120               120
    General aviation at DCA...............................               100               100               100
    Indirect air cargo....................................             1,400  ................  ................
    Sensitive security information........................                20  ................  ................
                                                           -----------------------------------------------------
      Subtotal, fee collections...........................            40,320            79,720            79,720
----------------------------------------------------------------------------------------------------------------

                             SECURE FLIGHT

    The Committee recommends $107,074,000 for Secure Flight, 
the same amount as requested in the budget and $14,660,000 
above the fiscal year 2012 level. As recommended by the 9/11 
Commission and mandated by the Intelligence Reform Act, this 
program transferred the responsibility of airline passenger 
watch list matching from the air carriers to the Federal 
Government.
    The Committee recommendation includes $7,000,000 for Secure 
Flight to provide more robust pre-screening of passengers 
participating in Pre-Check and an increase of $12,717,000 as 
requested for watchlist screening for passengers of large 
general aviation aircraft. The Intelligence Reform Act of 2004 
mandates that DHS make advanced passenger pre-screening 
available to charter and lessors of aircraft greater than 
12,500 pounds flying into, out of, or within the United States. 
A rule on large aviation aircraft is expected to be published 
by February 2013.

                    CREW AND OTHER VETTING PROGRAMS

    The Committee recommends $85,557,000 for Crew and Other 
Vetting Programs, the same amount as requested in the budget 
and $14,017,000 above the fiscal year 2012 level.
    The Committee supports TSA's efforts to modernize its 
vetting and credentialing infrastructure, which is currently 
made up of disconnected and duplicative systems. This has 
resulted in high-system complexity and lengthy adjudication 
processes due to manual reviews. TSA intends to modernize its 
system to address these issues and improve vetting and 
credentialing services. Following several delays in the 
development of this system, TSA has refined its acquisition 
strategy, awarded a contract for system development, and now 
appears to be on track to achieve initial operating capability 
in 2013. The Committee is also encouraged by TSA's new 
lifecycle cost estimate, which was reduced substantially from 
projections made in the early stages of this acquisition. The 
Committee fully funds the requested increase of $30,000,000 for 
a total of $57,700,000 in fiscal year 2013 and expects TSA to 
continue its quarterly briefings on its efforts to develop this 
new vetting system.

            TRANSPORTATION WORKER IDENTIFICATION CREDENTIAL

    The Committee is concerned that Transportation Worker 
Identification Credential [TWIC] applicants are required to 
make multiple trips to TWIC enrollment centers, which are 
occasionally at some distance from the applicants' homes or 
places of work. The Committee directs TSA to expand Universal 
Enrollment Centers, which will result in no less than a 50 
percent expansion in the number of available TWIC enrollment 
sites. Furthermore, TSA is to brief the Committee no later than 
June 22, 2012, on the projected resource requirements, security 
impacts, and a potential timeline to effect changes in the TWIC 
enrollment system to permit cards to be shipped directly to the 
recipient.

                    Transportation Security Support

Appropriations, 2012....................................  $1,031,926,000
Budget estimate, 2013...................................     969,709,000
Committee recommendation................................     969,709,000

    The transportation security support account supports the 
operational needs of TSA's extensive airport/field personnel 
and infrastructure. Transportation security support includes: 
headquarters' personnel, pay, benefits, and support; 
intelligence; mission support centers; human capital services; 
and information technology support.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $969,709,000 for transportation 
security support activities, the same amount as requested in 
the budget and $62,217,000 below the fiscal year 2012 level.
    The following table summarizes the Committee's 
recommendations compared to the fiscal year 2012 and budget 
request levels:

                                         TRANSPORTATION SECURITY SUPPORT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                   Fiscal year
                                                                   Fiscal year     2013 budget      Committee
                                                                  2012 enacted       request     recommendations
----------------------------------------------------------------------------------------------------------------
Headquarters administration....................................         292,334         281,554          281,554
Information technology.........................................         447,200         417,196          417,196
Human capital services.........................................         249,400         225,829          225,829
Intelligence...................................................          42,992          45,130           45,130
                                                                ------------------------------------------------
      Total, Transportation Security Support...................       1,031,926         969,709          969,709
----------------------------------------------------------------------------------------------------------------

                      HEADQUARTERS ADMINISTRATION

    The Committee recommends $281,554,000 for headquarters 
administration, the same amount as requested in the budget and 
$10,780,000 below the fiscal year 2012 level.
    The recommendation includes the requested reduction for 
management efficiencies, administrative savings, and 
operational support.
    TSA shall continue semiannual briefings on covert testing 
activities, to include the latest metrics gathered from recent 
tests and resulting mitigating factors.
    The Committee includes bill language withholding the 
obligation of $20,000,000 for headquarters administration 
until: fiscal year 2013 expenditure plans for air cargo 
security, explosives detection systems procurement and 
installation, and checkpoint support are provided to the 
Committee. The expenditure plans are due no later than 60 days 
after the date of enactment of this act.

                            BUDGET STRUCTURE

    The Committee directs TSA to include a proposal in its 
fiscal year 2014 congressional justification that creates a 1-
year appropriation for salaries and related expenses. The 
Committee believes that TSA, like all other Departmental 
components, should receive appropriations for these purposes 
with the expectation that the funds will be obligated within a 
1-year window or expire and be returned to the Treasury. TSA is 
to continue its consultation with the Committee as it develops 
its fiscal year 2014 proposal.

                         INFORMATION TECHNOLOGY

    The Committee recommends $417,196,000 for information 
technology, the same amount as requested in the budget and 
$30,004,000 below the fiscal year 2012 level. This reduction 
includes management efficiencies, enterprise wide efficiencies, 
and administrative savings.

                         HUMAN CAPITAL SERVICES

    The Committee recommends $225,829,000 for human capital 
services, the same amount as requested in the budget and 
$23,571,000 below the fiscal year 2012 level.
    This reduction includes management efficiencies, 
administrative savings, and other one-time costs no longer 
necessary to support hires funded in prior years.

                              INTELLIGENCE

    The Committee recommends $45,130,000 for the Office of 
Intelligence, the same amount as requested in the budget and 
$2,138,000 above the fiscal year 2012 level.

                RISK-BASED DECISIONMAKING AND BUDGETING

    The Committee directs TSA to submit, concurrent with the 
fiscal year 2014 budget request, supporting documentation that 
explicitly explains how TSA's comprehensive risk assessments 
for all transportation modes were used to allocate resources 
across and within each mode. This documentation should also 
identify the corresponding allocation of resources being 
proposed in the budget request (by appropriations account, 
program, project, and activity) that address these priorities. 
This annual submission shall be made in classified or 
unclassified formats, as appropriate.

                          Federal Air Marshals

Appropriations, 2012....................................    $966,115,000
Budget estimate, 2013...................................     929,610,000
Committee recommendation................................     929,610,000

    The Federal Air Marshals [FAMs] protect the air 
transportation system against terrorist threats, sabotage, and 
other acts of violence. The FAMs account provides funds for the 
salaries, benefits, travel, training, and other expenses of the 
program.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $929,610,000 for the Federal Air 
Marshals, the same amount as requested in the budget and 
$36,505,000 below the fiscal year 2012 level.
    The Committee directs TSA to submit quarterly reports on 
mission coverage, staffing levels, and hiring rates as in prior 
years.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                              FEDERAL AIR MARSHALS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Management and administration.............................           842,500           815,639           815,639
Travel and training.......................................           123,615           113,971           113,971
                                                           -----------------------------------------------------
      Total, Federal Air Marshals.........................           966,115           929,610           929,610
----------------------------------------------------------------------------------------------------------------

                       United States Coast Guard


                                SUMMARY

    The Coast Guard's primary responsibilities are the 
enforcement of all applicable Federal laws on the high seas and 
waters subject to the jurisdiction of the United States; 
promotion of safety of life and property at sea; assistance to 
navigation; protection of the marine environment; and 
maintenance of a state of readiness to function as a 
specialized service in the Navy in time of war, as authorized 
by sections 1 and 2 of title 14, United States Code.
    The Commandant of the Coast Guard reports directly to the 
Secretary of the Department of Homeland Security.

                       COMMITTEE RECOMMENDATIONS

    The President's fiscal year 2013 discretionary budget 
request proposes to reduce funding for the Coast Guard by 3.3 
percent, including the reduction of over 1,000 military 
billets, the decommissioning of critical operational assets, 
and a significant reduction in capital expenditures at a time 
when major Coast Guard cutters average over 43 years of age. If 
the budget request were to be enacted, the Coast Guard's 
ability to carry out its 11 statutory missions would be 
seriously hampered. The recommended level provided for in this 
bill includes targeted increases above the President's request 
to ensure that Coast Guard personnel serving on the front lines 
have the resources to accomplish their many missions in fiscal 
year 2013 and in the future.
    The Committee recommends a total program level of 
$10,335,532,000 for the activities of the Coast Guard for 
fiscal year 2013. When costs for overseas contingency 
operations are excluded, the recommendation for the Coast Guard 
is $306,601,000 and 363 positions above the request. The 
following table summarizes the Committee's recommendations as 
compared to the fiscal year 2012 and budget request levels:

                                          COAST GUARD--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                           Fiscal year 2013
                                                         Fiscal year 2012       budget            Committee
                                                             enacted\1\       request\2\      recommendations\3\
----------------------------------------------------------------------------------------------------------------
Operating Expenses.....................................         7,051,054         6,791,178           7,073,479
Environmental Compliance and Restoration...............            13,500            13,162              13,162
Reserve Training.......................................           134,278           132,554             132,554
Acquisition, Construction, and Improvements............         1,403,924         1,192,309           1,470,609
Research, Development, Test, and Evaluation............            27,779            19,728              19,728
Health Care Fund Contribution (Permanent Indefinite               261,871           203,000             203,000
 Appropriations).......................................
Retired Pay............................................         1,440,157         1,423,000           1,423,000
                                                        --------------------------------------------------------
      Total, Coast Guard...............................        10,332,563         9,774,931          10,335,532
----------------------------------------------------------------------------------------------------------------
\1\Includes $258,000,000 for overseas contingency operations.
\2\Excludes a permissive transfer of up to $254,461,000 from ``Operation and Maintenance, Navy'' for overseas
  contingency operations.
\3\Includes $254,000,000 for overseas contingency operations.

    The Coast Guard will pay an estimated $203,000,000 in 
fiscal year 2013 to the Medicare-Eligible Retiree Health Care 
Fund for the costs of military Medicare-eligible health 
benefits earned by its uniformed servicemembers. The 
contribution is funded by permanent indefinite discretionary 
authority pursuant to the National Defense Authorization Act 
for fiscal year 2005 (Public Law 108-375).

                           OPERATING EXPENSES

Appropriations, 2012\1\.................................  $7,051,054,000
Budget estimate, 2013\2\................................   6,791,178,000
Committee recommendation\3\.............................   7,073,479,000

\1\Includes $258,000,000 for overseas contingency operations.
\2\Excludes a permissive transfer of up to $254,461,000 from ``Operation 
and Maintenance, Navy'' for overseas contingency operations.
\3\Includes $254,000,000 for overseas contingency operations.

    The Operating Expenses appropriation provides funds for the 
operation and maintenance of multipurpose vessels, aircraft, 
and shore units strategically located along the coasts and 
inland waterways of the United States and in selected areas 
overseas. The program activities of this appropriation fall 
into the following categories:
    Search and Rescue.--As one of its earliest and most 
traditional missions, the Coast Guard maintains a nationwide 
system of boats, aircraft, cutters, and rescue coordination 
centers on 24-hour alert.
    Aids to Navigation.--To help mariners determine their 
location and avoid accidents, the Coast Guard maintains a 
network of manned and unmanned aids to navigation along the 
Nation's coasts and on its inland waterways. In addition, the 
Coast Guard operates radio stations in the United States and 
abroad to serve the needs of the armed services and marine and 
air commerce.
    Marine Safety.--The Coast Guard ensures compliance with 
Federal statutes and regulations designed to improve safety in 
the merchant marine industry and operates a recreational 
boating safety program.
    Marine Environmental Protection.--The primary objectives of 
the marine environmental protection program are to minimize the 
dangers of marine pollution and to assure the safety of ports 
and waterways.
    Enforcement of Laws and Treaties.--The Coast Guard is the 
principal maritime enforcement agency with regard to Federal 
laws on the navigable waters of the United States and the high 
seas, including fisheries, drug smuggling, illegal immigration, 
and hijacking of vessels.
    Ice Operations.--In the Arctic and Antarctic, Coast Guard 
icebreakers escort supply ships, support research activities 
and Department of Defense operations, survey uncharted waters, 
and collect scientific data. The Coast Guard also assists 
commercial vessels through ice-covered waters.
    Defense Readiness.--During peacetime, the Coast Guard 
maintains an effective state of military preparedness to 
operate as a service in the Navy in time of war or national 
emergency at the direction of the President. As such, the Coast 
Guard has primary responsibility for the security of ports, 
waterways, and navigable waters up to 200 miles offshore.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $7,073,479,000 for Coast Guard 
Operating Expenses, including $24,500,000 from the Oil Spill 
Liability Trust Fund and $535,000,000 for Coast Guard defense-
related activities. Of this amount, the Committee recommends 
not to exceed $15,300 for official reception and representation 
expenses.
    The recommended funding level is $282,301,000 above the 
request and $22,425,000 above the fiscal year 2012 level. The 
Committee's recommendation is $28,301,000 above the comparable 
net request for Coast Guard Operating Expenses when excluding 
funds provided for overseas contingency operations.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                               OPERATING EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Military pay and allowances...............................         3,413,061         3,415,595         3,429,023
Civilian pay and benefits.................................           784,256           790,130           790,389
Training and recruiting...................................           213,321           212,761           214,115
Operating funds and unit level maintenance................         1,109,623         1,092,419         1,098,257
Centrally managed accounts................................           336,653           350,178           351,011
Intermediate and depot level maintenance..................           936,140           930,095           936,684
Overseas contingency operations...........................           258,000             (\1\)           254,000
                                                           -----------------------------------------------------
      Total, Operating Expenses...........................         7,051,054         6,791,178         7,073,479
----------------------------------------------------------------------------------------------------------------
\1\Excludes a permissive transfer of up to $254,461,000 from ``Operation and Maintenance, Navy'' for overseas
  contingency operations.

                    OVERSEAS CONTINGENCY OPERATIONS

    The Committee provides $254,000,000 for Coast Guard 
operations in support of overseas contingency operations. While 
funding for these activities is requested in the Department of 
Defense budget for the Navy, the Committee adopted a practice 
beginning in the fiscal year 2009 Supplemental Appropriations 
Act to appropriate these amounts directly to the Coast Guard. 
The Committee continues this practice and urges the 
administration to budget for Coast Guard overseas contingency 
operations under the Department of Homeland Security in future 
budget requests. The Coast Guard shall brief the Committee no 
later than 30 days after the date of enactment of this act on 
any changes expected during fiscal year 2013 or projected 
transition costs expected in fiscal year 2014 to support 
overseas contingency operations.

                 HIGH ENDURANCE CUTTER DECOMMISSIONINGS

    The budget request proposes to decommission two high 
endurance cutters [HECs] and 389 associated billets due to the 
fact that the HEC fleet has become increasingly difficult to 
maintain and sustain operationally. The request also notes that 
the loss of major cutter hours from this reduction will be 
mitigated when new, more capable National Security Cutters 
[NSCs] are delivered. To date, three HECs have been 
decommissioned and the Coast Guard has delivered three National 
Security Cutters to replace them. The fourth NSC is under 
production and scheduled for delivery in fiscal year 2014 and 
the fifth NSC is under contract and scheduled for delivery in 
fiscal year 2016. The decommissioning of two additional HECs in 
fiscal year 2013 would result in a significant mission hour gap 
until these replacement NSCs are ready for Coast Guard 
operations. This decision would limit the Coast Guard's ability 
to perform drug and illegal migrant interdiction, fisheries 
enforcement, and other missions requiring the offshore 
operating capabilities of a HEC. Therefore, the recommendation 
includes an additional $8,000,000 and 199 positions to maintain 
one of the two HECs proposed to be decommissioned in the 
request, saving 1,665 major cutter hours that otherwise would 
have been cut.
    In fiscal year 2010, the Committee appropriated $4,000,000 
for the Coast Guard to assess the HEC fleet to determine the 
most effective use of funds to operate the vessels until 
replaced by the NSCs. Unfortunately, minimal work has been put 
into this effort with less than $800,000 of this funding being 
obligated since October 2009. Given the delays in deploying the 
remaining NSCs, the Coast Guard is urged to accelerate work in 
this area. If the Coast Guard cannot use the remaining funds 
for this purpose, the Committee encourages the Coast Guard to 
submit a transfer request to use these funds to address its 
backlog of deferred maintenance on its major cutters.

                              PATROL BOATS

    The budget request proposes to decommission three 110-foot 
patrol boats and 70 associated billets in fiscal year 2013. The 
request also proposes to reduce funding that allows for a 
higher level of programmed resource hours for eight legacy 
patrol boats through use of multiple crews and intensive 
maintenance. The request points to the delivery of more capable 
Fast Response Cutters [FRCs] to mitigate the loss of hours from 
these reductions. While the Committee agrees that the FRC is 
superior to legacy patrol boats, the delivery schedule for the 
new cutters is such that the loss of patrol boat hours in 
fiscal year 2013 that would occur under the budget request will 
not be mitigated by new FRCs until fiscal year 2014. This would 
only serve to exacerbate the Coast Guard's current patrol boat 
hour gap. In fiscal year 2011, the Coast Guard's patrol boat 
fleet completed 74,325 resource hours, 25,075 hours short (25 
percent) of its 1998 baseline. If the fiscal year request were 
approved, available patrol boat hours would be reduced by 
another 11,760 hours. The Committee finds this proposed 
reduction unacceptable as it would have a negative impact on 
the Coast Guard's ability to conduct counter drug operations, 
migrant interdiction activities, search and rescue, and other 
critical missions. Therefore, the Committee includes 
$12,000,000 to restore the proposed decommissionings of three 
110-foot patrol boats and temporarily increase the programmed 
operating hours of in-service patrol boats to mitigate the 
fiscal year 2013 operational hour gap that would otherwise 
occur until an appropriate number of new FRCs become 
operational.

                        SEASONAL AIR FACILITIES

    The Committee denies the request to replace five HH-65 
helicopters in operation at Air Station Traverse City with 
three HH-60 helicopters and to close two seasonal Air 
Facilities at Muskegon, Michigan and Waukegan, Illinois. The 
request proposes to eliminate immediate air support during the 
summer months from areas where there is heavy boat traffic and 
significant search and rescue requirements. The helicopters 
stationed at these seasonal Air Facilities along Lake Michigan 
are critical to the safety of Great Lakes mariners and 
recreational users. In addition, the Committee is also 
concerned that two of the HH-60 aircraft proposed to be 
transferred to Air Station Traverse City would be taken from 
Operation Bahamas, Turks and Caicos, resulting in a loss of 470 
annual hours dedicated to drug and migrant interdiction and 
search and rescue in that area of responsibility.

                     MARINE ENVIRONMENTAL RESPONSE

    Recent oil spills including the M/V Cosco Busan in 2007 and 
the Mobile Offshore Drilling Unit Deepwater Horizon in 2010 
stress the importance of having well-trained and readily 
deployable incident managers and pollution responders 
throughout the Coast Guard. The Coast Guard has responsibility 
to respond, investigate, and ensure removal of oil and 
hazardous substances that are released in pollution incidents. 
In the event pollution occurs, it is critical to have the 
capacity and competency to respond without severely degrading 
performance of other missions. As the economy rebounds and 
pressure to produce natural resources from the marine 
environment escalates, demand for marine environmental response 
is expected to grow. Unfortunately, the request proposes to cut 
the number of personnel added in fiscal year 2012 for this 
effort from 87 to 61. The Committee denies this request and 
includes $3,100,000 to fully fund 26 additional marine 
environmental response positions for fiscal year 2013. The 
Committee expects the Coast Guard to continue hiring throughout 
fiscal year 2012 to achieve the hiring goal of 87 positions 
funded by Congress. With the addition of these 26 positions, 
the total number of marine environmental positions funded in 
fiscal year 2013 is estimated to be 718. The Coast Guard shall 
keep the Committee apprised of hiring efforts in fiscal year 
2013 to achieve this level and report to the Committee within 
15 days if it deviates from this plan. The Committee also notes 
that a congressionally required report on marine environmental 
response is overdue and should be submitted immediately. As 
required in fiscal year 2012, the marine environmental response 
plan is to include a 5-year strategic plan, including 
comprehensive funding estimates, to implement mission 
requirements.

                        OIL SPILL RESPONSE PLAN

    The Committee is aware of the Coast Guard's efforts to 
update its plans to ensure a prompt response to a spill from 
drilling activities off the coast of Cuba that could impact the 
United States. Extensive planning has been ongoing in this area 
and the Coast Guard has been working with the Bureau of Safety 
and Environmental Enforcement to conduct multilateral seminars 
to help prepare for and respond to an oil discharge in the 
Caribbean. The Coast Guard is to brief the Committee on its 
evolving efforts to enhance regional readiness and protect U.S. 
interests no later than 30 days after the date of enactment of 
this act.

                      SUPPORT OF MILITARY FAMILIES

    The Committee believes that the well-being of military 
families should be a top priority for the Coast Guard. For 
housing military families and unaccompanied personnel, the 
Coast Guard primarily relies on the Basic Allowance for Housing 
for community-based housing or constructing or leasing housing 
when affordable community housing is not available. Currently, 
the Coast Guard maintains 3,978 housing units across the 
country and spends approximately $27,000,000 annually to 
maintain them. The Committee understands the Coast Guard is in 
the process of conducting a National Housing Assessment to 
evaluate the current state of the housing inventory, develop 
standards, and recommend specific improvement initiatives. The 
Coast Guard is to submit a copy of this report to the Committee 
not later than 30 days after the date of enactment of this act. 
The report shall prioritize short-term and long-term 
improvement needs for military family housing, including 
resource requirements. The Committee recommends an additional 
$10,000,000 in ``Acquisition, Construction, and Improvements'' 
to address the highest priority needs resulting from this 
assessment.

                  MANAGEMENT EFFICIENCIES AND OFFSETS

    The Committee recommendation assumes $89,244,000, as 
proposed in the budget, for various reductions resulting from 
efficiencies and administrative offsets. No later than 120 days 
after the date of enactment of this act, the Coast Guard is 
directed to brief the Committee on how such efficiencies and 
other reductions will be achieved. The briefing shall include a 
detailed listing of the specific efficiencies and offsets taken 
to achieve the targeted reductions and the impact of such 
actions on Coast Guard missions. The briefing shall also 
address any shortfalls related to rising energy prices and what 
activities are being diverted to address them.

               STEM-TO-STERN REVIEW OF DEPLOYABLE FORCES

    As the Commandant discussed in his 2011 State of the Coast 
Guard address, he has ordered a ``stem-to-stern'' review of 
Coast Guard Deployable Specialized Forces and their concept of 
operations. The purpose of the review is to look at required 
capabilities, training, tactics, equipment, procedures, and 
resources. The Coast Guard is to keep the Committee apprised on 
how the review's outcomes are being executed.

                         SMALL VESSEL SECURITY

    The recommendation for the Domestic Nuclear Detection 
Office [DNDO] includes $8,900,000 for the procurement of new 
systems for the Coast Guard and U.S. Customs and Border 
Protection [CBP] that will improve the efficiency of scanning 
vessels under 300 tons for nuclear threats. According to 
information provided by DNDO, various technologies are being 
evaluated by DHS and a recommended solution will be selected by 
the end of fiscal year 2012. The Coast Guard, in tandem with 
CBP and DNDO, shall brief the Committee on acquisition and 
deployment plans for this effort no later than 60 days after 
the date of enactment of this act.

                     FINANCIAL MANAGEMENT OVERSIGHT

    The Coast Guard shall continue to periodically brief the 
Committee on its efforts to address material weaknesses in its 
financial management enterprise that prevent accurate, 
complete, and timely financial information. These weaknesses 
have contributed to the inability of financial auditors to 
provide a complete unqualified opinion on the Department's 
balance sheets. The Committee is aware of individual Analyses 
of Alternatives [AoA] being conducted by the Coast Guard to 
improve its core financial systems. The Coast Guard, in tandem 
with the Office of the Chief Financial Officer, is to brief the 
Committee on the preferred solution before funds can be 
obligated to initiate improvement efforts. The briefing is to 
include total resource requirements by fiscal year and a 
timeline for implementation with discrete milestones.

         INFRASTRUCTURE AND RESPONSE CAPABILITIES IN THE ARCTIC

    Section 307 of the Coast Guard Authorization Act of 2010 
(Public Law 111-281), encouraged the Secretary of Homeland 
Security to ``enter into negotiations through the International 
Maritime Organization to conclude and execute agreements to 
promote coordinated action'' among Arctic nations to ensure 
adequate infrastructure and response capabilities in the 
Arctic. Within 90 days after the date of enactment of this act, 
the Coast Guard shall report to the Committee on the actions 
that have been taken to reach international agreements on 
ensuring adequate maritime transportation infrastructure and 
response capabilities in the Arctic.

                            COAST GUARD YARD

    The Committee recognizes the Coast Guard Yard at Curtis 
Bay, Maryland, is a critical component of the Coast Guard's 
core logistics capability which directly supports fleet 
readiness. The Committee further recognizes the Yard has been a 
vital part of the Coast Guard's readiness and infrastructure 
for more than 100 years and believes that sufficient industrial 
work should be assigned to the Yard to maintain this 
capability.

                SEXUAL HARASSMENT REPORTING REQUIREMENTS

    The Coast Guard shall provide to the Committee the annual 
report required by section 217 of the Coast Guard Authorization 
Act of 2010.

                   REPORTING REQUIREMENTS WITHOLDING

    In an effort to encourage timely submissions to the 
Committees of materials necessary for robust and informed 
oversight, the Committee withholds $75,000,000 from obligation 
from the Coast Guard's ``Headquarters Directorates'' until the 
comprehensive 5-year Capital Investment Plan for fiscal years 
2014-2018 has been submitted to the Committee.

                   EXECUTIVE TRANSPORTATION AIRCRAFT

    The Coast Guard shall include in its annual justification 
any plans to alter the executive transportation aircraft 
program.

                           CHEMICAL SECURITY

    The Coast Guard and the National Protection and Programs 
Directorate are to complete the planned Memorandum of 
Understanding [MOU] to harmonize chemical security 
responsibilities established by Chemical Facilities Anti-
Terrorism Standards [CFATS] regulations and Maritime 
Transportation Security Act [MTSA] regulatory programs 
immediately. Congress directed the MOU to be completed no later 
than March 30, 2012, but the agreement has not been finalized.

                ENVIRONMENTAL COMPLIANCE AND RESTORATION

Appropriations, 2012....................................     $13,500,000
Budget estimate, 2013...................................      13,162,000
Committee recommendation................................      13,162,000

    The Environmental Compliance and Restoration account 
provides funds to address environmental problems at former and 
current Coast Guard units as required by applicable Federal, 
State, and local environmental laws and regulations. Planned 
expenditures for these funds include major upgrades to 
petroleum and regulated substance storage tanks, restoration of 
contaminated ground water and soils, remediation efforts at 
hazardous substance disposal sites, and initial site surveys 
and actions necessary to bring Coast Guard shore facilities and 
vessels into compliance with environmental laws and 
regulations.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $13,162,000 for environmental 
compliance and restoration, $338,000 below the fiscal year 2012 
level and the same as the budget request. The Coast Guard is 
directed to include in its annual budget justification a 
listing of the activities projected to be funded by the amount 
requested under this heading and an updated backlog report for 
Environmental Compliance and Restoration projects, with an 
explanation of how the amount requested will impact this 
documented backlog.

                            RESERVE TRAINING

Appropriations, 2012....................................    $134,278,000
Budget estimate, 2013...................................     132,554,000
Committee recommendation................................     132,554,000

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $132,554,000 for Reserve Training, 
$1,724,000 below the fiscal year 2012 level and the same as the 
budget request.

              ACQUISITION, CONSTRUCTION, AND IMPROVEMENTS

Appropriations, 2012....................................  $1,403,924,000
Budget estimate, 2013...................................   1,192,309,000
Committee recommendation................................   1,470,609,000

    Funding in this account supports the acquisition, 
construction, and improvement [AC&I] of vessels, aircraft, 
information management resources, shore facilities, aids to 
navigation, and military housing required to execute the Coast 
Guard's missions and achieve its performance goals.
    Vessels.--The vessel program provides funding to 
recapitalize and/or improve the Coast Guard's fleet of aging 
boats and cutters.
    Aircraft.--The aircraft program is the primary 
recapitalization and sustainment effort for the Coast Guard's 
aging aircraft.
    Other Equipment.--The Coast Guard invests in numerous 
management information and decision support systems that will 
result in increased efficiencies, including Rescue 21 (formerly 
the National Distress and Response System Modernization 
Project), and the Nationwide Automatic Identification System.
    Shore Facilities and Aids to Navigation.--The Coast Guard 
invests in the acquisition, construction, rebuilding, and 
improvement of shore facilities, aids to navigation, and 
related equipment.
    Military Housing.--The Coast Guard invests in Military 
Housing facilities to ensure military members have access to 
housing in areas where there is a lack of affordable 
accommodations.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,470,609,000 for acquisition, 
construction, and improvements, including $20,000,000 from the 
Oil Spill Liability Trust Fund. The recommended amount is 
$278,300,000 above the request and $66,685,000 above the fiscal 
year 2012 level.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                   ACQUISITION, CONSTRUCTION, AND IMPROVEMENTS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                           Fiscal year 2012  Fiscal year 2013      Committee
                                                               enacted        budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Vessels:
    Survey and Design--Vessel and Boats.................             6,000              2,500             2,500
    Response Boat Medium................................           110,000   ................             8,000
    In-Service Cutter Sustainment.......................            14,000   ................  .................
    National Security Cutter............................            77,000            683,000           722,300
    Offshore Patrol Cutter..............................            25,000             30,000            30,000
    Fast Response Cutter................................           358,000            139,000           335,000
    Cutter Boats........................................             5,000              4,000             4,000
    Medium Endurance Cutter Sustainment.................            47,000             13,000            13,000
    Polar Icebreaking Vessel............................  .................             8,000             8,000
                                                         -------------------------------------------------------
      Subtotal, Vessels.................................           642,000            879,500         1,122,800
                                                         =======================================================
Aircraft:
    CGNR 6017 Airframe Replacement......................            18,300   ................  .................
    Maritime Patrol Aircraft............................           129,500             43,000            43,000
    HH-60 Conversion Projects...........................            56,100   ................  .................
    Long Range Surveillance Aircraft....................            62,000   ................  .................
    DOD transfer pursuant to Public Law 112-74  (C-130J)           (63,500)  ................  .................
    HH-65 Conversion/Sustainment Projects...............            24,000             31,500            31,500
                                                         -------------------------------------------------------
      Subtotal, Aircraft................................           289,900             74,500            74,500
                                                         =======================================================
Other Acquisition Programs:
    Program Oversight and Management....................            26,000             25,000            25,000
    Systems Engineering and Integration.................            17,140              2,500             2,500
    C4ISR...............................................            38,500             40,500            40,500
    CG-Logistics Information Management System  [CG-                 6,500              2,500             2,500
     LIMS]..............................................
    National Automatic Identification System............             5,000              6,000             6,000
    Rescue 21...........................................            65,000   ................  .................
    Interagency Operations Centers......................             3,000   ................  .................
                                                         -------------------------------------------------------
      Subtotal, Other Acquisition Programs..............           161,140             76,500            76,500
                                                         =======================================================
Shore Facilities and Aids to Navigation:
    Major Shore, ATON, and Survey and Design............            92,500             15,000            15,000
    Major Acquisition Systems Infrastructure............            81,500             49,411            49,411
    Minor Shore.........................................             6,292              5,000             5,000
                                                         -------------------------------------------------------
      Subtotal, Shore Facilities and Aids to Navigation.           180,692             69,411            69,411
                                                         =======================================================
Military Housing........................................            20,000   ................            10,000
Personnel and Related Support:
    Core Acquisition Costs..............................               600                600               600
    Direct Personnel Costs..............................           109,592            116,798           116,798
                                                         -------------------------------------------------------
      Subtotal, Personnel and Related Support...........           110,192            117,398           117,398
                                                         =======================================================
Rescission of Unexpended Funds..........................  .................           -25,000       \1\(-25,000)
                                                         -------------------------------------------------------
      Total, Acquisition, Construction, and Improvements         1,403,924          1,192,309         1,470,609
----------------------------------------------------------------------------------------------------------------
\1\Included as a general provision.

                        CAPITAL INVESTMENT PLAN

    The fiscal year 2012 statutory requirement for the 
Department to submit a comprehensive multiyear investment plan 
for major capital assets has not been met. This report is 
critical for the Committee to carry out its oversight function 
of the Coast Guard, especially at a time when recapitalization 
of aging assets has become so critical for the service. All of 
the information required by the Committee is in accordance with 
the Coast Guard's Major Systems Acquisition Manual and 
applicable Department of Homeland Security management 
directives. The Committee expects the fiscal year 2013-2017 
plan to be submitted with all due speed. To encourage a more 
timely submission in fiscal year 2013, the Committee has 
withheld $75,000,000 from the Headquarters Directorate of the 
Coast Guard. In addition, 59 percent of funding appropriated to 
the Office of the Secretary, Office of the Under Secretary for 
Management, and Office of the Chief Financial Officer is 
withheld until all statutorily required expenditure plans, 
investment plans, and acquisition plans are submitted to the 
Committees.

                    QUARTERLY ACQUISITION BRIEFINGS

    The Coast Guard is to continue quarterly briefings on all 
major acquisitions. In addition to the information normally 
provided for each asset, these briefings shall include: the top 
five risks for each acquisition, if applicable, consistent with 
those on the risk watch list in quarterly program manager 
reports, and if the risks have future budget implications; the 
objective for operational hours the Coast Guard expects to 
achieve; the gap between that objective, current capabilities, 
and stated mission requirements; and how the acquisition of the 
specific asset closes the gap. The information presented at 
these required briefings shall also include a discussion of how 
the Coast Guard calculated the operational hours, an 
explanation on risks to mission performance associated with the 
current shortfall, and the operational strategy to mitigate 
such risks. Finally, the briefings are to include a status 
chart on all shore construction projects that have not been 
completed. For each construction project, the chart is to 
include the funding status, design status, and procurement and 
construction status.

                           PROGRAM OF RECORD

    The Coast Guard's Program of Record [POR] was developed 
based on mission requirements established in its 2004 Deepwater 
Mission Need Statement [MNS]. The 2004 MNS examined the Coast 
Guard's maritime role post-September 11, 2001, gaps in 
requirements, and capabilities necessary to carry out its 
responsibilities. The POR includes the assets and acquisitions 
necessary to meet the requirements of the 2004 MNS and has 
guided the Coast Guard as it recapitalizes its fleet of aging 
ships and aircraft. For instance, the POR includes a 
requirement of eight National Security Cutters, 25 Offshore 
Patrol Cutters, 58 Fast Response Cutters, 36 Maritime Patrol 
Aircraft, new communications systems across the fleet, and 
upgrades to several legacy cutters and aircraft. In recent 
years, questions have been raised about the ability to achieve 
this mix of assets in terms of cost and schedule within budget 
constraints, including those in the Budget Control Act of 2011. 
Most recent estimates indicate the POR could cost as much as 
$29,300,000,000 to complete by 2031. While the Committee does 
not believe that Coast Guard requirements should be modified to 
meet an arbitrary spending topline, the Committee expects the 
Coast Guard to be considering various options within the POR if 
budget toplines make it unrealistic to achieve. Therefore, the 
Secretary and the Commandant shall develop a working group of 
experts to examine available studies on Coast Guard fleet 
requirements to identify various options that fit in expected 
and realistic budget parameters. For the options identified, 
the analysis should include cost, capability, quantity 
tradeoffs, and the overall impact to the Coast Guard's ability 
to carry out its many statutory mission requirements. The 
Department shall provide the results of this analysis to the 
Committee no later than 180 days after the date of enactment of 
this act.

                          RESPONSE BOAT-MEDIUM

    The Committee recommends $8,000,000 for the Response Boat-
Medium [RB-M] acquisition. The Committee disagrees with the 
request to end RB-M production 14 boats short of the 180 boats 
required to complete the program. The RB-Ms are meeting or 
exceeding all performance expectations; and there is a 
demonstrated requirement for the remaining boats. To date, 89 
RB-Ms have been delivered on time and on budget. These funds 
will allow the Coast Guard to purchase 4 RB-Ms in fiscal year 
2013, bringing the total funded to 170 of 180 boats. The RB-M 
is a critical asset for the Coast Guard to replace aging 41-
foot Utility Boats that are less able to handle Coast Guard 
mission requirements, particularly maritime security 
requirements that have changed significantly since September 
11, 2001. With the acquisition of RB-Ms, the Coast Guard will 
be able to perform its duties more efficiently by allowing 
crews, for example, to be onsite to a rescue more quickly. The 
RB-Ms serve as an ideal platform for search and rescue; ports, 
waterways, and coastal security; drug interdiction; and migrant 
interdiction. Further, the RB-M supports marine safety, aids to 
navigation, marine environmental protection, and defense 
readiness missions.

                     IN-SERVICE CUTTER SUSTAINMENT

    While no funding is proposed in fiscal year 2013 for in-
service cutter sustainment, over $264,000,000 is included in 
capital investment plan estimates for fiscal years 2014-2017. 
As required in fiscal year 2012, the Committee expects the 
long-term fiscal plan for this effort to be submitted to the 
Committees no later than June 23, 2012. Given the success of 
the Mission Effectiveness Projects and the rehabilitation of 
the 110' patrol boats at the Coast Guard Yard, the Committee 
expects the Coast Guard to direct sustainment work on all aging 
vessels there when geographically feasible.

                        NATIONAL SECURITY CUTTER

    The Coast Guard operates a fleet of 378-foot High Endurance 
Cutters [HECs] that are over 43 years old on average, and are 
increasingly unreliable and expensive to maintain. By 
comparison, the average Navy ship is 20 years old. The Coast 
Guard's program of record is to acquire 8 National Security 
Cutters [NSCs] to replace 12 HECs (of which 3 have been 
decommissioned with the arrival of the first 3 NSCs). To date, 
approximately $3,199,000,000 has been appropriated for five 
NSCs and long lead time materials [LLTM] for NSC-6. Three NSCs 
have been delivered to the Coast Guard, the fourth is expected 
to be delivered in fiscal year 2014, and the fifth in fiscal 
year 2016.
    NSC-1 [USCGC Bertholf] has already achieved several 
operational successes, including the seizure of 1,300 kilograms 
of contraband with an estimated street value of $61,000,000 
during its October-December 2011 patrol. During its first 
patrol in 2011, NSC-2 [USCGC Waesche] seized 938 kilograms of 
contraband with an estimated street value of $24,800,000.
    As noted in prior years, the Committee strongly supports 
the procurement of one National Security Cutter per year until 
all eight planned ships are procured. The continuation of 
production without a break will ensure that these ships, which 
are vital to the Coast Guard's mission, are procured at the 
lowest cost, and that they enter the Coast Guard fleet as soon 
as possible. The Committee is concerned that the 
administration's current acquisition policy requires the Coast 
Guard to attain total acquisition cost for a vessel, including 
long lead time materials, production costs, and post-production 
costs, before a production contract can be awarded. This has 
the potential to create shipbuilding inefficiencies, force 
delayed obligation of production funds, and require 
postproduction funds far in advance of when they will be used. 
The budget request to rescind and reappropriate $25,000,000 
previously appropriated for NSC-4 post-production costs is 
evidence that this policy is misguided. The Department should 
be in a position to acquire NSCs in the most efficient manner 
within the guidelines of strict governance measures. Therefore, 
the Committee includes language in the bill specifying that 
funds made available by this act shall be available to contract 
for long lead time materials for Coast Guard vessels, 
notwithstanding the availability of funds for production costs 
or post-production costs.
    For NSC-6, the Committee includes $13,300,000 for Segment 2 
of LLTM, $15,700,000 below the request due to savings realized 
in the contract after the budget request was formulated. The 
Committee recommendation also includes $557,000,000, as 
requested, for production and $50,000,000 for post-production 
costs, $22,000,000 below the request due to the fact that these 
funds are not necessary until fiscal years 2018 and 2019 and 
would expire prior to obligation.
    The request includes no funding in its outyear Capital 
Investment Plan for NSC-7 or NSC-8 despite the fact that the 
requirement for NSCs continues to be eight cutters. The 
Administration's request to zero out funding for the NSC is 
contrary to previous testimony by the Secretary of Homeland 
Security and is inconsistent with testimony from the Commandant 
before the Committee. Therefore, the recommendation includes 
$77,000,000 to acquire LLTM necessary for the production of 
NSC-7. Finally, the recommendation includes $25,000,000 for 
post-production costs for NSC-4 with a corresponding rescission 
of funds that are expected to expire prior to obligation. This 
rescission is included in a general provision.
    According to the Department, this will accelerate the 
production schedule for the cutter and result in direct savings 
of approximately $40,000,000 compared to delaying long lead 
acquisition to fiscal year 2014.

                          FAST RESPONSE CUTTER

    The Committee recommends $335,000,000 for the Coast Guard's 
Fast Response Cutter [FRC], $196,000,000 above the request for 
a total of six cutters instead of two cutters. This funding 
will allow the Coast Guard to acquire FRC hulls (19-24). 
Procuring six Fast Response Cutters in fiscal year 2013 will 
maximize the production line and generate cost savings of 
$5,000,000 per hull for a total savings to the taxpayers of 
$30,000,000. Funding six boats instead of four will also allow 
the Coast Guard to advance the replacement of aging 110-foot 
Island Class Patrol Boats already beyond the end of their 
projected service life and expensive to maintain.
    The Coast Guard is currently operating with a shortfall of 
25,075 hours (25 percent) below its 1998 baseline of required 
patrol hours. Each FRC will provide 2,500 annual operating 
hours and an improved sea keeping ability, resulting in better 
habitability and full-mission capability in higher sea states.

                  MEDIUM ENDURANCE CUTTER SUSTAINMENT

    The recommendation includes $13,000,000 for the Medium 
Endurance Cutter Sustainment Project, as requested. Funding 
will complete sustainment work on the final two 270-foot 
cutters. This funding is intended to improve mission 
effectiveness of these vessels to allow them to meet their 
goals for program availability through the remainder of their 
service lives. This program has been successful in 
significantly reducing the number of major equipment failures 
on these vessels resulting in a much higher percentage of time 
they are fully mission capable.

                         OFFSHORE PATROL CUTTER

    The recommendation includes $30,000,000 for the Offshore 
Patrol Cutter [OPC], as requested. Funding is provided for pre-
acquisition activities. The Coast Guard expects to release a 
preliminary contract design ``request for proposal'' by the end 
of fiscal year 2012 with a contract award expected in fiscal 
year 2013. A final detailed design and construction award is 
expected in fiscal year 2016.
    The OPC's initial capabilities to control and direct 
aircraft as well as execute interdiction missions should, to 
the greatest extent feasible, be equivalent to that of the NSC 
to facilitate maximum savings to the Federal Government, rather 
than being deferred to future upgrades that add to total cost 
of ownership. The Committee urges the Coast Guard to maximize, 
to the greatest extent practicable, such systems commonality 
between the OPC and the NSC to reduce total acquisition cost 
and life-cycle costs facilitated by savings in life-cycle 
logistics management, integration costs, and personnel training 
efficiencies.

                            POLAR ICEBREAKER

    The recommendation includes $8,000,000, as requested, to 
initiate survey and design activities for a new Coast Guard 
polar icebreaker. The Coast Guard's two heavy polar icebreakers 
(Polar Star and Polar Sea), the only U.S. vessels that have the 
capability to perform year-round operations in the polar 
regions, are currently inoperable, with the Polar Sea set to be 
decommissioned and Polar Star set to be reactivated in 2013 for 
an additional 7 to 10 years of service life. Both the Polar Sea 
and Polar Star were commissioned in the late 1970's and have 
exceeded their expected service life of 30 years. The Coast 
Guard's high latitude study, which was completed in 2010, 
concluded that additional icebreaking assets are necessary in 
the polar regions. This followed a National Academy of Science 
study that made similar conclusions. The Coast Guard has 
indicated that its mission needs statement [MNS] for this 
acquisition is to be completed by June 2012. The Coast Guard 
shall submit this document to the Committee no later than 30 
days after it receives Departmental approval and brief the 
Committee on its timeline for completing a concept of 
operations, market research, specification development, and 
other acquisition milestones leading to a request for proposal 
and contract award.

                        MARITIME PATROL AIRCRAFT

    The Committee recommends $43,000,000 for the Maritime 
Patrol Aircraft [MPA], as requested. Funds are recommended for 
the acquisition of one aircraft (MPA-18), which will provide an 
additional 1,200 hours to address the Coast Guard's MPA flight-
hour gap.

                    LONG RANGE SURVEILLANCE AIRCRAFT

    The Committee notes that the Capital Investment Plan 
projects outyear funding for the acquisition of new C-130Js in 
lieu of extending and upgrading the legacy fleet of C-130Hs. 
The Committee understands that the updated acquisition program 
baseline [APB] for this aircraft is in the final stages of 
approval. The Coast Guard is to submit a copy of the revised 
APB to the Committee upon its approval by DHS. Further, the 
Committee is growing increasingly concerned about the 
acquisition of the 7th and 8th C-130Js. Funds for acquiring 
these aircraft were provided to the Department of Defense in 
the fiscal year 2010 Supplemental Appropriations Act. To date, 
a contract has not been awarded and funds will expire at the 
end of fiscal year 2012. The Coast Guard shall maintain 
frequent communications regarding developments with regard to 
this acquisition, including the follow-on missionization 
contract for the planes.

                             C-27J AIRCRAFT

    In an attempt to live within a more constrained budget 
environment, the U.S. Air Force has targeted over 280 aircraft 
for elimination over the next 5 years, including 21 C-27Js. 
With missionization and adequate funds for operation, these 
aircraft could be converted for Coast Guard use. Given the 
multitude of Coast Guard acquisition requirements and the 
billions of dollars necessary to fulfill them, the Coast Guard 
should consider obtaining these aircraft through a transfer 
from the U.S. Air Force if it makes a compelling business case 
for the service and if the divestiture proposal is approved by 
Congress. The Committee understands the Coast Guard is in the 
process of conducting a holistic cost analysis to compare the 
fiscal tradeoffs of obtaining the C-27Js from the Air Force in 
lieu of its current fixed wing aircraft acquisition program of 
record, or some variant thereof. The Committee expects this 
analysis to include, but not be limited to, tradeoffs in the 
operating costs compared to Maritime Patrol Aircraft and the C-
130J, as well as missionization costs, pilot training, and 
maintenance costs. The Coast Guard is to maintain frequent 
communication with the Committee as its cost analysis 
progresses and on any other developments related to these 
aircraft.

                       UNMANNED AIRCRAFT SYSTEMS

    The Committee is aware of efforts by the Coast Guard to 
evaluate both ship-based and land-based Unmanned Aircraft 
Systems [UAS] for mission requirements. Both platforms have the 
potential to enhance the Coast Guard's capability to execute 
statutory requirements in the maritime domain. The Coast Guard 
has reported to the Committee that its long standing plan to 
add vertical take-off unmanned aircraft systems to National 
Security Cutters would result in an estimated 95- to 225-
percent increase in surveillance coverage within an 80-mile 
radius of the cutter and an estimated 95-percent increase in 
the number of prosecutions achieved by the cutter. The 
Committee continues to be very supportive of the use of 
vertical take-off unmanned aircraft systems aboard Coast Guard 
cutters and strongly encourages the Coast Guard to ensure that 
the test and development is not delayed for this enhanced 
surveillance capability.
    The Committee understands the Coast Guard recently received 
approval from the Department to pursue a small UAS as an 
interim capability for the NSC. The Coast Guard is to keep the 
Committee informed of its efforts in this area. With regard to 
land-based UAS, the development process has been extremely slow 
and is still in the ``Need'' phase of the acquisition process. 
The Committee is concerned that the land-based mission need 
statement [MSN] was sent to DHS headquarters in November of 
2010, but it wasn't endorsed by the Joint Requirements Council 
until January 31, 2012. The MSN is currently pending approval 
from the DHS Acquisition Authority. The Coast Guard is to keep 
the Committee apprised of its efforts for both cutter-based and 
land-based UAS development, including the reason for any delays 
in the acquisition process.

                     INTERAGENCY OPERATIONS CENTERS

    In the Safe Port Act of 2006, Congress required the Coast 
Guard to establish Interagency Operations Centers [IOCs] in 
order for maritime information to be shared between Federal and 
State port partners. According to a December 16, 2010, Federal 
Register Notice, ``IOCs will provide information systems, 
facilities, and sensors needed to conduct daily, 24/7 tactical 
coordination of port-level activities.'' A recent Government 
Accountability Office [GAO] report (GAO-12-202) revealed that 
no Coast Guard sector has achieved IOCs with full operating 
capability. Only 12 sectors have received the Coast Guard's 
information sharing system named ``Watchkeeper'', and according 
to GAO, 80 percent of port partners at those sectors were not 
using the system during its evaluation period. GAO made several 
recommendations in report GAO-12-202, including the inclusion 
of port partner input, and improvements in requirements 
development, cost estimating, and scheduling for the delivery 
of Watchkeeper. The Coast Guard is to brief the Committee no 
later than 90 days after the date of enactment of this act on 
its progress in addressing GAO's recommendations and on its 
updated acquisition costs necessary to achieve full operating 
capability.

                SHORE FACILITIES AND AIDS TO NAVIGATION

    The Committee recommends $69,411,000 for shore facilities 
and aids to navigation, as requested. As requested, the 
recommendation includes $5,000,000 for a rinse rack for C-130s 
at Air Station Barbers Point, Hawaii; $5,000,000 for hangar 
renovations for rotary wing aircraft in Cold Bay, Alaska; 
$1,100,000 to replace aged fuel tanks at Sitkinak, Alaska; and 
$1,900,000 for a boat ramp at Station New York, New York to 
hoist and launch Coast Guard small boats.
    The Coast Guard has estimated its shore facilities 
construction backlog to be over $527,000,000. The Coast Guard 
shall provide the Committee with a prioritized list of projects 
(including the estimated cost for each) in the backlog and the 
Coast Guard's plans to address them no later than 45 days after 
the date of enactment of this act. In addition, if there are 
changes to the projects listed in the fiscal year 2013 budget 
justification for major acquisition systems infrastructure, the 
Coast Guard shall include a detailed description of the changes 
in the report.

                      COAST GUARD MILITARY HOUSING

    The Committee provides $10,000,000 above the request for 
the recapitalization, improvement, and acquisition of housing 
to support military families. Of this amount, $3,900,000 is 
derived from the Coast Guard Housing Fund. The Coast Guard 
shall provide an expenditure plan to the Committee for these 
funds in the shore facilities report required 45 days after the 
date of enactment of this act.

                             AC&I PERSONNEL

    The Committee provides $117,398,000 for personnel and 
related support, as requested.

                          UNFUNDED PRIORITIES

    The Committee directs the Commandant to provide to the 
Congress, at the time of the President's budget submission, a 
list of approved but unfunded Coast Guard priorities and the 
funds needed for each.

              RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

Appropriations, 2012....................................     $27,779,000
Budget estimate, 2013...................................      19,728,000
Committee recommendation................................      19,728,000

    The Coast Guard's Research and Development program develops 
techniques, methods, hardware, and systems that directly 
contribute to increasing the productivity and effectiveness of 
the Coast Guard's operating missions. This account provides 
funds to operate and maintain the Coast Guard Research and 
Development Center.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $19,728,000 for the Coast Guard's 
research, development, test, and evaluation activities, the 
same as the budget request and $8,051,000 below the fiscal year 
2012 level.
    The Deepwater Horizon oil spill highlighted the need for 
improved basic oceanographic research and the research and 
development of new oil spill response and removal technologies. 
The Committee believes that innovative technologies, such as 
unmanned maritime vehicles [UMVs], can improve prediction 
accuracy for oil spill response efforts through better 
trajectory models, provide real-time data telemetry, and reduce 
operational response costs. Of the funds available under this 
heading, the Committee directs the Commandant to study the 
viability and applicability of persistent, UMVs and other cost-
saving maritime technologies through a competitive process. 
This assessment should consider technologies that complement 
and enhance the Coast Guard's marine environmental protection 
capabilities, and emphasis shall be given to technologies which 
also have potential applications for other Coast Guard 
missions, such as search and rescue; port, waterways, and 
coastal security; marine debris removal; drug interdiction; and 
migrant interdiction.

                              RETIRED PAY

Appropriations, 2012....................................  $1,440,157,000
Budget estimate, 2013...................................   1,423,000,000
Committee recommendation................................   1,423,000,000

    This account provides for the retired pay of military 
personnel of the Coast Guard and Coast Guard Reserve, members 
of the former Lighthouse Service, and for annuities payable to 
beneficiaries of retired military personnel under the retired 
serviceman's family protection plan (10 U.S.C. 1431-1446) and 
survivor benefit plan (10 U.S.C. 1447-1455); payments for 
career status bonuses under the National Defense Authorization 
Act; and payments for medical care of retired personnel and 
their dependents under the Dependents Medical Care Act (10 
U.S.C., ch. 55).

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,423,000,000, as proposed in the 
budget, for retired pay. This amount is $17,157,000 below the 
fiscal year 2012 level.

                      United States Secret Service


                         SALARIES AND EXPENSES

Appropriations, 2012....................................  $1,661,237,000
Budget estimate, 2013...................................   1,544,113,000
Committee recommendation................................   1,555,913,000

    The United States Secret Service's [USSS], salaries and 
expenses appropriation provides funds for the security of the 
President, the Vice President, and other dignitaries and 
designated individuals; for enforcement of laws relating to 
obligations and securities of the United States and laws 
relating to financial crimes; and for protection of the White 
House and other buildings within the Washington, DC, 
metropolitan area.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,555,913,000 for salaries and 
expenses. This is a decrease of $105,324,000 from the fiscal 
year 2012 level and $11,800,000 above the amount proposed in 
the budget.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                               UNITED STATES SECRET SERVICE--SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                   Fiscal year
                                                                   Fiscal year     2013 budget      Committee
                                                                  2012  enacted      request     recommendations
----------------------------------------------------------------------------------------------------------------
Headquarters, management, and administration...................         191,588         174,669          174,669
Information Integration and Technology Transformation..........          43,843           1,137            1,137
Protection:
    Protection of persons and facilities.......................         832,463         837,646          857,501
    Protective intelligence activities.........................          68,125          68,373           68,373
    National Special Security Event Fund.......................          19,307           4,500            4,500
    Presidential candidate nominee protection..................         113,462          57,960           57,960
    White House mail screening.................................          18,472          19,855            (\1\)
                                                                ------------------------------------------------
      Subtotal, Protection.....................................       1,051,829         988,334          988,334
                                                                ================================================
Investigations:
    Domestic field operations..................................         223,991         238,553          297,508
    International field office administration, operations, and           32,971          31,016           31,016
     train-  ing...............................................
    Electronic crimes special agent program and electronic               53,051          54,655            (\2\)
     crimes task forces........................................
    Support for missing and exploited children.................           8,366  ..............            7,500
                                                                ------------------------------------------------
      Subtotal, Investigations.................................         318,379         324,224          336,024
                                                                ================================================
Training: Rowley Training Center...............................          55,598          55,749           55,749
                                                                ------------------------------------------------
      Total, Salaries and expenses.............................       1,661,237       1,544,113        1,555,913
----------------------------------------------------------------------------------------------------------------
\1\Funded under ``Protection of Persons and Facilities''.
\2\Funded under ``Domestic Field Operations''.

                       SECRET SERVICE ACTIVITIES

    The Committee fully funds the request for the 2012 
Presidential campaign, protective intelligence, and 
investigations. The Committee also fully funds the White House 
mail screening and the electronic crimes special agent program 
and electronic task force activities, but has moved the funds 
to the ``Protection of Persons and Facilities'' and ``Domestic 
Field Operations'' PPAs, respectively. Included in the amount 
recommended for ``Domestic Field Operations'' is $4,300,000 
above the request for priority investigations undertaken by the 
Secret Service.
    As a result of the improper behavior involving 12 Secret 
Service agents and officers in Cartagena, Colombia, on April 
12, 2012, the Director of the Secret Service issued enhanced 
standards of conduct on April 27, 2012, which immediately went 
into effect. These guidelines explicitly address the standards 
and behaviors to which each employee will adhere when on duty--
whether domestically or abroad--and include rules regarding 
standards of conduct briefings, a prohibition on foreign 
nationals in hotel rooms, drinking of alcohol, and the 
professional code of conduct. Additional ethics training is 
being conducted for every employee. As stated by the Director:
    ``Each point of the Secret Service star represents one of 
the agency's five core values: justice, duty, courage, honesty, 
and loyalty. These values should resonate with each man and 
woman in our organization. The building block--the very 
foundation--of these values is our personal and professional 
code of conduct. To that end, you are expected to always 
conduct yourselves in a manner that reflects credit on you, the 
Secret Service, the Department of Homeland Security, and--most 
importantly--the United States Government and the citizens that 
we serve.''
    The Committee notes the swift and decisive action taken by 
the Director to immediately address the situation, conduct a 
thorough investigation, and take appropriate disciplinary 
action against the individuals involved. The Committee 
understands that a Professionalism Reinforcement Working Group 
[PRWG] has been established by the Director to examine the 
Secret Service's professional standards of conduct as they 
relate to training, policies, and procedures to ensure the 
agency is providing the proper foundation for and reinforcement 
of its high standards. The Committee directs the Secret Service 
to provide quarterly briefings on the PRWG's activities.
    The Committee also understands that the Secret Service is 
working with the Office of the Inspector General on an 
independent investigation and expects to be kept regularly 
briefed on the investigation.

           NATIONAL CENTER FOR MISSING AND EXPLOITED CHILDREN

    For more than a decade, the Secret Service has provided 
funding for grants as well as computer forensic support to the 
National Center for Missing and Exploited Children [NCMEC]. In 
fiscal year 2011, the $6,000,000 in grant funds provided to 
NCMEC constituted 13 percent of the Center's budget. Since 
1997, the Secret Service assisted NCMEC by opening more than 
2,208 investigative cases throughout the Secret Services field 
offices which resulted in 566 arrests of child predators and 
others. In fiscal year 2011 alone, Secret Service participation 
in Operation Safe Kids helped parents fingerprint and/or 
photograph 6,155 children and provided forensic support for 
missing and exploited children, leading to 145 arrests.
    For fiscal year 2013, the Committee recommends $6,000,000 
for grants in support of missing and exploited children and 
expects USSS to sustain forensic support at the fiscal year 
2012 level of $2,366,000. The Secret Service shall identify and 
inform the Committee as to which PPAs will absorb an $866,000 
reduction in order to sustain that level.

                    NATIONAL SPECIAL SECURITY EVENTS

    The Committee recommends $4,500,000, as requested, for 
support to currently planned and unanticipated National Special 
Security Events [NSSEs] for fiscal year 2013. As the Secret 
Service knows in advance of a number of NSSEs scheduled to 
occur during the fiscal year, it has been able to plan its 
budget accordingly. The Committee directs the USSS to continue 
to provide quarterly briefings on the use of these funds, with 
the first briefing to occur not later than 45 days after the 
end of the first quarter.

         INFORMATION INTEGRATION AND TECHNOLOGY TRANSFORMATION

    The Committee recommends $1,137,000 for Information 
Integration and Technology Transformation [IITT] personnel and 
related activities, as requested. The Committee also supports 
the transfer of the bulk of this program to the ``Acquisition, 
Construction, Improvements, and Related Expenses'' account. 
While the Secret Service has made great progress in 
implementing its information technology program, the Committee 
continues statutory language withholding $20,000,000 of these 
funds from obligation until the DHS CIO certifies to the 
Committee not later than 60 days after the date of enactment of 
this act, that Secret Service modernization activities are 
consistent with the Department's guidance.
    The Committee also directs the USSS to provide greater 
detail in the justifications accompanying the fiscal year 2014 
budget request on all USSS information technology activities.

                        REPROGRAMMING THRESHOLDS

    Statutory language is included in the bill setting a higher 
threshold for the reprogramming of funds in section 503 of this 
act to accommodate unanticipated shifts in funding requirements 
for protection and investigation activities.

                  INTERNATIONAL ACTIVITIES AND OFFICES

    In the fiscal year 2012 Department of Homeland Security 
Appropriations Act, the Committee provided resources to support 
the opening of new international field offices in Lima, Peru 
and Beijing, China to stem counterfeiting activity and better 
facilitate protectee travel. The Committee expects sufficient 
funds to be requested in the fiscal year 2014 budget to 
maintain the offices and directs a briefing on the status of 
the staffing and activities at these offices not later than 
February 15, 2013.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

Appropriations, 2012....................................      $5,380,000
Budget estimate, 2013...................................      56,750,000
Committee recommendation................................      56,750,000

    This appropriation provides funding for security upgrades 
of existing facilities; for information integration and 
technology transformation; to continue development of the 
current master plan; to maintain and renovate existing 
facilities, including the James J. Rowley Training Center 
(Center); and to ensure efficient and full utilization of the 
Center.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $56,750,000, as requested, for 
infrastructure improvements, IITT, and other activities.

                               TITLE III

            PROTECTION, PREPAREDNESS, RESPONSE, AND RECOVERY

              National Protection and Programs Directorate

    The National Protection and Programs Directorate aims to 
foster better integration of national approaches between 
strategic homeland security programs, facilitate infrastructure 
protection, ensure broad emergency communications capabilities, 
and ensure the protection of Federal buildings and facilities.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                  NATIONAL PROTECTION AND PROGRAMS DIRECTORATE
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                Fiscal year    Fiscal year 2013     Committee
                                                               2012  enacted    budget request   recommendations
----------------------------------------------------------------------------------------------------------------
Management and administration...............................           50,695           50,321            50,321
Infrastructure protection and information security:
    Infrastructure protection...............................          295,452          255,082           269,792
    Cybersecurity...........................................          443,176          769,004           755,604
    Communications..........................................          149,615          142,547           144,187
                                                             ---------------------------------------------------
      Subtotal, Infrastructure protection and information             888,243        1,166,633         1,169,583
       security.............................................
                                                             ===================================================
Federal Protective Service..................................        1,261,537        1,301,824         1,301,824
United States Visitor and Immigrant Status Indicator                  306,802             (\1\)            (\1\)
 Technology.................................................
                                                             ---------------------------------------------------
      Total, National Protection and Programs Directorate           2,507,277        2,518,778         2,521,728
       (gross)..............................................
                                                             ===================================================
Offsetting fee collections..................................       -1,261,537       -1,301,824        -1,301,824
                                                             ---------------------------------------------------
      Total, National Protection and Programs Directorate           1,245,740        1,216,954         1,219,904
       (net)................................................
----------------------------------------------------------------------------------------------------------------
\1\Funded under title II, in ``U.S. Customs and Border Protection''.

                     MANAGEMENT AND ADMINISTRATION

Appropriations, 2012....................................     $50,695,000
Budget estimate, 2013...................................      50,321,000
Committee Recommendation................................      50,321,000

    This account funds salaries and expenses for the Office of 
the Under Secretary, which oversees all activities of the 
National Protection and Programs Directorate [NPPD]. This 
account also funds business operations and information 
technology support services.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $50,321,000 for ``Management and 
Administration'', $374,000 below fiscal year 2012 and the same 
amount as the budget request. No funding is provided for risk 
management and analysis activities, which reflects a transfer 
of the function and funding to the Department's Office of 
Policy in fiscal year 2012. Additionally, the amount includes a 
realignment of resources from NPPD ``Information Protection and 
Information Security'' to ``Management and Administration'' to 
centralize business support.
    A provision is included in the bill requiring the Under 
Secretary for NPPD to submit an expenditure plan for the Office 
of Cybersecurity and Communications and the Office of 
Infrastructure Protection not later than 90 days after the date 
of enactment of this act. The Committee notes that NPPD has 
made strides to better align expenditures to the year in which 
funding is appropriated. Carryover amounts are estimated to be 
significantly lower than in previous years. NPPD offices are 
encouraged to continue improving budget discipline. NPPD is 
directed to more carefully review its Congressional 
Justification to prevent errors and should officially submit 
updated information correcting any such errors without delay.

           INFRASTRUCTURE PROTECTION AND INFORMATION SECURITY

Appropriations, 2012....................................    $888,243,000
Budget estimate, 2013...................................   1,166,633,000
Committee recommendation................................   1,169,583,000

    Infrastructure Protection and Information Security [IPIS] 
assists the entities and people responsible for securing the 
Nation's critical infrastructure assets. In addition, IPIS 
works collaboratively with State, local, public, private, and 
international entities to secure cyberspace and U.S. cyber 
assets, and reduce the vulnerability of the Nation's 
telecommunications and information technology infrastructures.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total appropriations of 
$1,169,583,000 for ``Infrastructure Protection and Information 
Security'' [IPIS] programs. The following table summarizes the 
Committee's recommendations as compared to the fiscal year 2012 
and budget request levels:

                               INFRASTRUCTURE PROTECTION AND INFORMATION SECURITY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                   Fiscal year
                                                                   Fiscal year     2013 budget      Committee
                                                                  2012  enacted      request     recommendations
----------------------------------------------------------------------------------------------------------------
Infrastructure protection and information security:
    Infrastructure protection:
        Infrastructure analysis and planning...................          70,518          56,909           59,692
        Sector management and governance.......................          74,219          67,132           67,132
        Regional field operations..............................          57,367          56,497           56,497
        Infrastructure security compliance.....................          93,348          74,544           86,471
                                                                ------------------------------------------------
          Subtotal, Infrastructure protection..................         295,452         255,082          269,792
                                                                ================================================
Cybersecurity and communications:
    Cybersecurity:
        Cybersecurity coordination.............................           4,500           3,995            3,995
        US-Computer Incident Response Team [US-CERT] Operations          79,116          93,002           93,002
        Federal network security...............................          35,000         236,014          217,606
        Network security deployment............................         229,000         345,046          345,046
        Global cybersecurity management........................          23,992          21,957           25,965
        Critical infrastructure cyber protection and awareness.          60,000          62,763           63,763
        Business operations....................................          11,568           6,227            6,227
                                                                ------------------------------------------------
          Subtotal, Cybersecurity..............................         443,176         769,004          755,604
                                                                ================================================
    Communications:
        Office of emergency communications.....................          43,495          38,689           41,726
        Priority telecommunications services...................          56,074          53,286           53,286
        Next generation networks...............................          25,253          20,000           25,253
        Programs to study and enhance telecommunications.......          13,441          19,594           12,944
        Critical infrastructure protection programs............          11,352          10,978           10,978
                                                                ------------------------------------------------
          Subtotal, Communications.............................         149,615         142,547          144,187
                                                                ================================================
          Subtotal, Cybersecurity and communications...........         592,791         911,551          899,791
                                                                ================================================
          Total, Infrastructure protection and information              888,243       1,166,633        1,169,583
           security............................................
----------------------------------------------------------------------------------------------------------------

                       INFRASTRUCTURE PROTECTION

    The Committee recommends $269,792,000 for Infrastructure 
Protection, $25,660,000 below the fiscal year 2012 level and 
$14,710,000 above the request. Overall, the budget proposes a 
13.7 percent reduction to Infrastructure Protection programs. 
The Committee is concerned that missions designed to protect 
against threats to infrastructure received low priority in the 
request. As evidenced by the 2010 attempted bombing in New York 
City's Times Square, the threat of a lone actor carrying out a 
physical attack is present. The Committee has made choices to 
fund targeted programs at a level above the request, such as 
bombing prevention and vulnerability assessments, to ensure the 
Nation is maintaining a coordinated domestic defense against 
threats to critical infrastructure.
    For the Office of Bombing Prevention, the Committee 
recommends $13,551,000, the same level as fiscal year 2012 and 
$2,143,000 above the request. This level of funding will 
sustain needed training and awareness for State, local, and 
private sector entities on how terrorists use explosives; and 
needed analysis of counter-explosives requirements, 
capabilities, and gaps. The Committee is aware of the Office's 
efforts to work with the National Guard on training and 
encourages the Office to analyze efficiencies that could be 
gained through coordination with the National Guard's 
counterdrug training mission. The Committee further encourages 
the Office to work with the Department of Defense on 
capabilities related to counter explosives, including the 
possible transfer, equipping, and storage of electronic 
countermeasures. The Office should continue to explore 
applicable capabilities from defense programs that comply with 
domestic policies and protections, such as privacy.
    The Committee recommends $21,268,000 for vulnerability 
assessments, the same level as fiscal year 2012 and $680,000 
above the request. The Committee notes that in conducting 
assessments on the risks to critical infrastructure and key 
resources, interdependencies on associated infrastructure are 
often discovered. The Committee encourages NPPD to ensure this 
information is shared regionally to maximize the benefits of 
the assessments and facilitate planning for restoration of 
services post-disaster.
    Of the total amount available, the Committee recommends no 
less than $16,000,000 for the National Infrastructure 
Simulation and Analysis Center, as requested.
    The Committee encourages the Office of Infrastructure 
Protection to continue its efforts related to training which 
meets requirements for safety and security at large venues.
    The Committee recommends $86,471,000 for Infrastructure 
Security Compliance, $11,927,000 above the request and 
$6,877,000 below the fiscal year 2012 level. Infrastructure 
Security Compliance funding is provided for implementation of 
the Chemical Facility Anti-Terrorism Standards [CFATS] program. 
A recent internal review of the CFATS program found significant 
issues with its implementation. The Department is to be 
commended for conducting the review; however, transparency and 
completing needed improvements are imperative. The budget 
request proposes a 20-percent cut to the CFATS program, 
justified by high annual carryover balances. This budget 
proposal was developed before a detailed plan to address the 
implementation problems had been completed. The Committee 
understands that within the third and fourth quarters of fiscal 
year 2012, a detailed manpower and systems review will be 
completed. Initial action items show that fiscal year 2013 
costs will likely need to be incurred for additional personnel, 
training, and information technology. The Committee notes it 
would be shortsighted, in the meantime, to take the full amount 
of proposed savings when the need for improvement has been 
documented. Funding will not resolve all of the outstanding 
issues, but the proposed cuts are too deep to ensure change for 
the better can be completed.
    The Under Secretary of NPPD is directed to provide a report 
to the Committee detailing the findings of the action plan 
associated with the internal review not later than 90 days 
after the date of enactment of this act, including all 
associated costs. In order to more completely measure the needs 
of the CFATS program on a consistent basis, the Under Secretary 
of NPPD is also directed to submit a report on the 
implementation of the CFATS program to the Committee on a 
semiannual basis that includes the number of: facilities 
covered; inspectors; completed inspections; inspections 
completed by region; pending inspections; days inspections are 
overdue; enforcements resulting from inspections; and 
enforcements overdue for resolution. This data should be 
delineated by tier. The first report shall be submitted not 
later than 90 days after the date of enactment of this act.
    Finally, the Committee has repeatedly expressed concern 
over the few number of inspections completed and the lack of 
trained employees in place to conduct such inspections through 
CFATS. The previously mentioned internal manpower and systems 
review will enumerate the total number of inspectors needed. 
The Committee expects this information will be included in the 
report required in the previous paragraph. To ensure 
inspections are still actively pursued throughout the CFATS 
program improvement, NPPD is directed to maintain no fewer than 
148 FTE in the inspector cadre for fiscal year 2013.
    While the CFATS program is in need of significant 
improvement, a recent survey by the American Chemistry Council 
found that companies have made substantial investments in 
security upgrades as a result of CFATS and they are actively 
engaged in knowing, assessing, and managing their risks. The 
survey found that the risk-based performance standards approach 
is effective. Since the program's inception, more than 1,670 
facilities have completely removed chemicals of interest and 
more than 700 facilities have reduced the quantity of stored 
chemicals for better security. These findings emphasize the 
accomplishments made by government and industry working 
together and the need to continue the program.
    The Committee notes a requirement, under title I, for the 
Deputy Secretary to continue semiannual reporting to the 
Committee on harmonizing chemical security responsibilities 
with all relevant Departmental components. NPPD is expected to 
continue its involvement in this effort.

                             CYBERSECURITY

    The Committee recommends $755,604,000 for cybersecurity 
programs, $13,400,000 below the budget request and $312,428,000 
above the fiscal year 2012 level.
    Of the total amount, the Committee recommends $217,606,000 
for Federal Network Security, $18,408,000 below the request and 
$182,606,000 above the fiscal year 2012 level. The budget 
request includes $202,046,000 for a new cybersecurity 
capability to provide continuous monitoring for the civilian 
Federal computer network. The Committee recommends $183,638,000 
for this effort, which will provide for robust implementation 
but also a disciplined approach to ensure lessons are learned 
before deployment to all Federal agencies. A provision is 
included in the bill withholding from obligation $120,000,000 
of the amount provided for this effort until the Committee 
receives a detailed expenditure plan and a timeframe for 
implementation. The expenditure plan should serve two purposes. 
First, the Committee understands the approach to implement this 
capability has evolved since it was originally proposed in the 
budget. Now, instead of being a federated system managed by 
individual agencies, it will be a more effective unified 
security program, managed by DHS. The plan shall clearly 
explain the revisions to program implementation, the most 
critical of which is that funds will not be directly allocated 
to other Federal agencies. The Committee directs NPPD not to 
augment other agencies appropriations with this funding. 
Second, the plan should demonstrate a disciplined approach to 
budgeting and implementation that is properly aligned with the 
timing of appropriated funds. The need for the protection that 
this program will provide requires expedient action which the 
Committee believes is being carefully considered. However, 
clear documentation through an expenditure plan will provide 
the type of transparency for necessary oversight.
    The Committee understands that NPPD is constantly 
evaluating the most effective ways to implement the National 
Cybersecurity Protection System [NCPS], known as Einstein. The 
system must be agile and able to evolve with both technological 
advances and the threat. NPPD's efforts, in conjunction with 
the National Security Agency, to keep the Committee apprised of 
the most recent approaches are useful. The Committee encourages 
NPPD to continue its proactive approach to managing the NCPS, 
by carefully balancing the need for evolution with disciplined 
program management.
    The Committee recommends $25,965,000 for Global 
Cybersecurity Management, of which $16,876,000 is for 
cybersecurity education. The Committee notes the proposed 
$2,008,000 reduction below the fiscal year 2012 level for 
cybersecurity education programs would defer the assessment of 
the national cybersecurity workforce by 2 years. The 
justification for the delay is to ``serve higher-priority 
cybersecurity efforts''; however, investments proposed in 
technology will not be useful if there is not a trained 
workforce to support those tools in future years.
    The Committee includes $63,763,000 for Critical 
Infrastructure Cyber Protection and Awareness. The Committee 
recognizes the importance of programs that improve the 
cybersecurity posture of State, local, territorial, and tribal 
governments and encourages NPPD to fully support these 
important initiatives.

                     NATIONAL CYBERSECURITY REVIEW

    In March of 2012, the Department completed the first 
National Cyber Security Review assessing the cybersecurity 
capabilities of State and local jurisdictions. This voluntary 
effort surveyed the capabilities of 162 States, territories, 
and localities across the country. This well-executed effort 
strengthened partnerships between levels of government, created 
a baseline of the cybersecurity posture of multiple levels of 
government, and identified areas on which to focus future 
cybersecurity efforts. The Committee expects that this survey 
will be updated every other year so that progress may be 
charted and further areas of concern may be identified. 
Additionally, NPPD is encouraged to consider privacy as a focus 
area in future surveys.
    NPPD is directed to brief the Committee within 90 days 
after the date of enactment of this act on mitigation steps 
that can be taken to assist survey respondents with improving 
their cybersecurity capabilities, and how NPPD could undertake 
validation of the survey results and how that validation could 
be useful to the survey respondents.

                             COMMUNICATIONS

    The Committee recommends $144,187,000 for communications 
programs, $5,428,000 below the fiscal year 2012 level and 
$1,640,000 above the budget request.
    Of the total amount recommended, $41,726,000 is for the 
Office of Emergency Communications, $1,769,000 below the fiscal 
year 2012 level and $3,037,000 above the budget request. The 
Committee is concerned that a reduction is proposed when there 
are known needs in communications. In a recent GAO report (GAO-
12-343) on emergency communications, challenges were identified 
that are likely to slow implementation of a public safety 
broadband network. Several Federal agencies have 
responsibilities in this area, but specifically, GAO recommends 
that DHS work with Federal, State, and local partners to 
identify and communicate opportunities for joint procurement of 
devices that will be used on the broadband network to ensure 
public safety agencies are not overpaying for handheld 
communications devices. Given that 22 communities are currently 
seeking expedited use of broadband, that Congress has provided 
more than $7,000,000,000 to expand broadband in the United 
States, and that the Federal Communications Commission is 
developing technical rules associated with the use of 
broadband, now is the time to invest in the needed planning, 
testing, technical assistance, and standardization for 
efficient use of the infrastructure.
    The Committee also recommends $25,253,000 for Next 
Generation Networks, the same level as provided in fiscal year 
2012, and $5,253,000 above the request. The proposed reduction 
would delay priority services capability in the core networks 
by 1 year. Industry has already indicated that degradation of 
priority services in the network may begin as early as 2015, 
and market forces, including success of broadband, may hasten 
this schedule. A delay in the schedule will jeopardize the 
capacity for priority communications during an emergency on 
commercial carriers modernized networks.

                       FEDERAL PROTECTIVE SERVICE

Appropriations, 2012\1\.................................  $1,261,537,000
Budget estimate, 2013\1\................................   1,301,824,000
Committee recommendation\1\.............................   1,301,824,000

\1\Fully funded by offsetting collections paid by General Services 
Administration tenants and credited directly to this appropriation.

    The Federal Protective Service [FPS] is responsible for the 
security and protection of Federal property under the control 
of the General Services Administration [GSA]; and for the 
enforcement of laws for the protection of persons and property, 
the prevention of breaches of peace, and enforcement of any 
rules and regulations made and promulgated by the GSA 
Administrator and/or the Secretary. The FPS authority can also 
be extended by agreement to any area with a significant Federal 
interest. The FPS account provides funds for the salaries, 
benefits, travel, training, and other expenses of the program, 
offset by collections paid by GSA tenants and credited to the 
account.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,301,824,000, as requested, for 
salaries and expenses of the Federal Protective Service for 
fiscal year 2013. This amount is fully offset by collections of 
security fees.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                           FEDERAL PROTECTIVE SERVICE
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Basic security............................................           247,478           271,540           271,540
Building-specific security................................           501,039           509,056           509,056
Reimbursable security fees (contract guard services)......           513,020           521,228           521,228
                                                           -----------------------------------------------------
      Total, Federal Protective Service...................         1,261,537         1,301,824         1,301,824
Offsetting fee collections................................        -1,261,537        -1,301,824        -1,301,824
----------------------------------------------------------------------------------------------------------------

    The Federal Protective Service [FPS] is funded through fees 
assessed to participating agencies by the Office of Management 
and Budget [OMB]. A provision is included requiring the 
Secretary and the Director of OMB to certify that FPS is 
sufficiently funded to support 1,371 FTE, including no less 
than 1,007 police officers, inspectors, area commanders, and 
special agents, by December 31, 2012.
    A provision is included in the bill requiring the Director 
of FPS to submit an expenditure plan not later than 90 days 
after the date of enactment of this act.
    A provision was included in the Department of Homeland 
Security Appropriations Act, 2012, requiring FPS to submit a 
strategic human capital plan that aligns fee collections to 
personnel requirements based on a current threat assessment by 
February 6, 2012. The plan has not yet been received and the 
Committee expects it to be submitted without delay. A provision 
is included in the bill requiring an update of the plan, to be 
submitted with the fiscal year 2014 budget request. Without 
such a guiding document, decisionmakers cannot reliably match 
resources to threat.
    The Committee understands FPS is currently engaged in an 
effort to link operations, performance, and cost data. The 
Committee directs FPS to complete this effort as it is critical 
in addressing the issues found by GAO related to the fee 
structure and the timing of budget decisions (GAO-11-492). Two 
elements of the overall current effort are to complete an 
activity-based costing program and finalize implementation of 
the Modified Infrastructure Survey Tool, which will replace the 
Risk Assessment Management Program. The Committee encourages 
such efforts to be completed expeditiously. The Office of the 
Under Secretary for NPPD, in conjunction with the Director of 
FPS, shall brief the Committee not later than 30 days after the 
date of enactment of this act on the timeline to finalize its 
management and budget improvement efforts.

                        Office of Health Affairs

Appropriations, 2012....................................    $167,449,000
Budget estimate, 2013...................................     166,458,000
Committee recommendation................................     168,300,000

    The Office of Health Affairs [OHA], headed by the Chief 
Medical Officer who also serves as the Assistant Secretary for 
Health Affairs, leads the Department on medical issues related 
to natural and man-made disasters; serves as the principal 
advisor to the Secretary on medical and public health issues; 
coordinates biodefense activities within the Department; and 
serves as the Department's primary contact with other 
Departments and State, local, and tribal governments on medical 
and public health issues.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total appropriations of 
$168,300,000 for Office of Health Affairs [OHA] programs. The 
following table summarizes the Committee's recommendations as 
compared to the fiscal year 2012 and budget request levels:

                                            OFFICE OF HEALTH AFFAIRS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                   Fiscal year
                                                                   Fiscal year     2013 budget      Committee
                                                                  2012 enacted       request     recommendations
----------------------------------------------------------------------------------------------------------------
BioWatch.......................................................         114,164         125,294          125,294
National Biosurveillance Integration Center....................          12,013           8,000            8,000
Chemical Defense Program.......................................           5,439             500            2,000
Planning and coordination......................................           6,162           4,907            5,249
Salaries and expenses..........................................          29,671          27,757           27,757
                                                                ------------------------------------------------
      Total, Office of Health Affairs..........................         167,449         166,458          168,300
----------------------------------------------------------------------------------------------------------------

                                BIOWATCH

    The Committee recommends $125,294,000 for the BioWatch 
Program, $11,130,000 above the fiscal year 2012 level and the 
same amount as the budget request. Of the total amount 
provided, $39,904,000 is for the Generation 3 system, as 
requested. A provision is included in the bill withholding 
$28,500,000 from obligation for Generation 3 until the 
Secretary certifies to the Committee that the science used to 
develop the technology is sound and warrants operational 
testing and evaluation. The Committee expects that all 
Departmental subject matter experts and additional experts as 
needed, will be included in such a review.
    The Committee has consistently demonstrated support for the 
development of an early warning network to detect biological 
agents to speed response and recovery from a terrorist attack 
through the BioWatch program. An October 2011 report by the 
Weapons of Mass Destruction Terrorism Research Center 
determined that the usefulness of BioWatch is unclear. 
Biological detection is complex and BioWatch execution has 
suffered from delays and system limitations as this unique 
capability is developed. The next major phase of development 
should be undertaken only if the Secretary determines that the 
system can reliably perform. Therefore, requested funds are 
provided for performance testing and program management; 
however, funds for operational testing and evaluation shall not 
be obligated until the Secretary certifies that it is prudent. 
Should the Secretary decide that it is not prudent to move 
forward with Generation 3 as it is currently designed, an 
alternate plan for the way forward should be provided. Such a 
plan shall clearly explain all appropriate options ranging from 
needed scientific and technology enhancements to program 
redesign or termination.

              NATIONAL BIOSURVEILLANCE INTEGRATION CENTER

    The Committee recommends $8,000,000 for the National 
Biosurveillance Integration Center [NBIC], the same amount as 
the budget request and $4,013,000 below the fiscal year 2012 
level.
    The Bio-Response Report Card, published by the Weapons of 
Mass Destruction Terrorism Research Center in October 2011, 
found that the United States is not prepared for a bioterrorism 
attack, particularly a large-scale event. Further, it found 
that the United States has made progress in strengthening 
biosurveillance capabilities but systems do not adequately 
involve or integrate data from various sources. The Report Card 
found that while DHS does not have a fully functional and 
effective system to integrate streams of surveillance, as 
mandated in the 9/11 Act and by Presidential directive, ``[i]f 
given more time and stable funding, DHS could potentially build 
an operational and useful NBIC.''
    The Committee has repeatedly expressed concern about the 
lack of an adequate strategic plan that clearly delineates how 
it will most effectively execute its mandated responsibility. 
Therefore, a provision is included in the bill prohibiting 
obligation of funding for pilot projects, 50 percent of the 
NBIC budget, until the Committee receives a strategic plan for 
the Center and a report that describes how each pilot project 
furthers implementation of the plan. The strategic plan should 
clearly identify which Federal departments and agencies OHA 
coordinates with and the process, procedure, and frequency for 
coordination. The report should clearly explain how pilot 
projects are coordinated with relevant Federal departments to 
guard against unnecessary duplication of effort.
    The Committee understands that in fiscal year 2012, NBIC is 
relocating to the same facility as its sister OHA offices. 
While this move does not produce savings in the current fiscal 
year, it should facilitate better coordination among experts 
and demonstrate efficiencies in future years.

                        CHEMICAL DEFENSE PROGRAM

    The Committee recommends $2,000,000 for the Chemical 
Defense Program, $3,439,000 below the fiscal year 2012 level 
and $1,500,000 above the budget request. The goal of the 
Program is to develop guidance and evaluate detection and 
communication technology that could be effective in a high-
consequence chemical event. To date, the program has only one 
on-going pilot to demonstrate detection and response capability 
in a transit system. While this pilot should garner useful 
information, a complete program must provide guidance and 
evaluations for all high-risk situations. In fiscal year 2012, 
funding was provided for two additional demonstration projects. 
The competition for those projects, based on risk, is projected 
to go forward in May 2012. The Committee recommends an increase 
of $1,500,000 above the request for two additional 
demonstration projects, to be competitively awarded, to ensure 
all high-risk situations are studied and useful information is 
made available on mitigation and response measures.

                       PLANNING AND COORDINATION

    The Committee recommends $5,249,000 for Planning and 
Coordination, $913,000 below fiscal year 2012 and $342,000 
above the budget request. Funding is provided to ensure OHA can 
adequately fulfill its security and workforce health mission 
through: guidance on catastrophic health consequences related 
to a pandemic, chemical, biological, radiological or nuclear 
event; completing Department health risk assessments and 
resilience training; enhancing preparedness at the State, local 
and tribal level; and partnering where appropriate with the 
private sector and international community. The Committee also 
notes the important responsibility the Food, Agriculture, and 
Veterinary Defense Division is charged with through Homeland 
Security Presidential Directive-9 in advising Departmental 
leadership on security issues regarding food, water, agro-
defense, veterinary, and zoonotic diseases.
    Of the amount provided, $1,900,000 is for the Department 
medical countermeasure program, as requested. The Committee 
directs OHA to consider efficiencies in executing this program 
through collocation of storage, shared rotation of stockpiles, 
and other prudent stockpile management measures when possible. 
OHA is directed to brief the Committee not later than 60 days 
after the date of enactment of this act on sustainable cost 
saving measures.

                         SALARIES AND EXPENSES

    The Committee recommends $27,757,000 for salaries and 
expenses, the same amount as the budget request and $1,914,000 
below the fiscal year 2012 level. Reductions are justified 
based on a consistent pattern of lapsed balances.
    A provision is included in the bill requiring the Assistant 
Secretary for Health Affairs to provide an expenditure plan for 
OHA not later than 90 days after the date of enactment of this 
act.

                  Federal Emergency Management Agency


                                MISSION

    The primary mission of the Federal Emergency Management 
Agency [FEMA] is to reduce the loss of life and property and 
protect the Nation from all hazards, including natural 
disasters, acts of terrorism, and other manmade disasters, by 
leading and supporting the Nation in a risk-based, 
comprehensive emergency management system of preparedness, 
protection, response, recovery, and mitigation.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a total program level of 
$10,063,316,000 for activities of FEMA for fiscal year 2013.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                       FEDERAL EMERGENCY MANAGEMENT AGENCY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2012   Fiscal year 2013      Committee
                                                              enacted         budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Salaries and expenses..................................        \1\895,350         \1\789,172            979,402
State and local programs...............................      \2\1,349,681       \2\2,900,212          1,645,082
Firefighter Assistance Grants..........................           675,000               (\3\)           675,000
Emergency Management Performance Grants................           350,000               (\3\)           350,000
Radiological Emergency Preparedness Program............              -896             -1,443             -1,443
United States Fire Administration......................            44,038             42,520             44,020
Disaster Relief Fund:
    Core Activity......................................           700,000            607,926            607,926
    Disaster Relief Adjustment.........................         6,400,000          5,481,000          5,481,000
                                                        --------------------------------------------------------
      Subtotal, Disaster Relief Fund...................         7,100,000          6,088,926          6,088,926
                                                        ========================================================
Disaster Assistance Direct Loan Program Account........               295   .................  .................
Flood hazard mapping and risk analysis.................            97,712             89,329             97,329
National Flood Insurance Fund..........................          (171,000)          (171,000)          (171,000)
National Predisaster Mitigation Fund...................            35,500   .................            35,000
Emergency food and shelter.............................           120,000            100,000            150,000
                                                        --------------------------------------------------------
      Total, Federal Emergency Management Agency.......        10,666,680         10,008,716         10,063,316
----------------------------------------------------------------------------------------------------------------
\1\Excludes transfers from ``State and Local Programs''.
\2\Includes funds to be transferred to ``Salaries and Expenses''.
\3\Funding proposed under ``State and Local Programs''.

                         SALARIES AND EXPENSES

Appropriations, 2012\1\.................................    $895,350,000
Budget estimate, 2013\1\................................     789,172,000
Committee recommendation................................     979,402,000

\1\Excludes transfers from ``State and Local Programs''.

    Funding for FEMA's ``Salaries and Expenses'' provides for 
the development and maintenance of an integrated, nationwide 
capability to prepare for, mitigate against, respond to, and 
recover from the consequences of major disasters and 
emergencies, regardless of cause, in partnership with Federal 
agencies, State, local, and tribal governments, volunteer 
organizations, and the private sector. Salaries and Expenses 
supports FEMA's programs by coordinating between Headquarters 
and Regional Offices the policy, managerial, resource, and 
administrative actions.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total appropriations of 
$979,402,000 for FEMA ``Salaries and Expenses''. The following 
table summarizes the Committee's recommendations as compared to 
the fiscal year 2012 and budget request levels:

                                              SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                           Fiscal year 2013
                                                         Fiscal year 2012       budget            Committee
                                                              enacted         request\1\      recommendations\1\
----------------------------------------------------------------------------------------------------------------
Administrative and Regional Offices....................       \2\110,495        \2\214,603             257,884
Office of National Capital Region Coordination.........           (5,493)           (5,099)             (5,099)
Preparedness and Protection............................       \2\109,873         \2\73,153             179,095
Response...............................................          226,228           171,897             179,681
Urban Search and Rescue Response Systems...............          (41,250)          (27,513)            (35,180)
Recovery...............................................           78,373            55,423              55,423
Mitigation.............................................           43,675            27,110              29,837
Mission Support........................................       \2\219,433           152,806             167,895
Centrally Managed Accounts.............................          107,273            94,180             109,587
                                                        --------------------------------------------------------
      Total, Salaries and Expenses.....................          895,350           789,172             979,402
----------------------------------------------------------------------------------------------------------------
\1\Reflects a realignment of activity within PPAs.
\2\Excludes a transfer from ``State and Local Programs''.

                       PROGRAM LEVEL COMPARISIONS

    A comparison of FEMA funding levels between the fiscal year 
2012 enacted, budget request, and Committee recommendation 
level is complicated by several factors, including a 
realignment of funding within PPAs and transfers from the 
``State and Local Programs'' account.
    In the Department of Homeland Security Appropriations Act, 
2012, the Committee provided a new PPA structure for FEMA 
``Salaries and Expenses.'' Using temporary authority provided 
in that Act, FEMA realigned funding directly to the regions for 
preparedness and protection, response, recovery, and mitigation 
activities.
    In addition, as FEMA's responsibilities have increased 
through reorganizations, varying levels of transfers between 
FEMA accounts have been proposed in the budget and enacted into 
law. In order to promote transparency, the Committee 
recommendation ends this practice and provides the funding in 
the account and program from which it is spent.
    The following table shows comparable levels of funding by 
PPA for ``Salaries and Expenses'', after all transfers and 
realignments are accounted for. A similar table is included 
under State and local programs to provide an accurate 
comparison of grant funding.

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Administrative and Regional Offices.......................           255,308           257,884           257,884
Preparedness and Protection...............................           198,832           178,595           179,095
Response..................................................           191,771           171,897           179,681
Recovery..................................................            55,299            55,423            55,423
Mitigation................................................            30,650            27,110            29,837
Mission Support...........................................           190,438           152,806           167,895
Centrally Managed Accounts................................           109,080           109,587           109,587
                                                           -----------------------------------------------------
      Subtotal............................................         1,031,378           953,302           979,402
----------------------------------------------------------------------------------------------------------------

                          BUDGET PRESENTATION

    The Committee includes a provision directing FEMA to submit 
its fiscal year 2014 budget request, including justification 
materials, by office. Each office and FEMA region shall include 
(1) budget detail by object classification; (2) the number of 
FTE on-board; (3) the number of FTE vacancies; and (4) the 
appropriations account(s) used to support the office and the 
programs managed by the office. The level of detail provides 
improved transparency and refined tracking of actual spending.
    In the fiscal year 2012 Joint Explanatory Statement, FEMA 
was directed to request its budget in the same format and PPA 
structure as appropriated in fiscal year 2012 in order for 
Congress to interpret the request in the context of previous 
years. Disappointingly, the administration chose not to comply 
with the direction and the Committee was left once again 
parsing through the details with no context, receiving delayed 
additional information, and finally cobbling together the 
request.
    The Administrator of FEMA is directed to present the fiscal 
year 2014 budget request in the same account and PPA structure 
as provided in this bill and report. If in the administration's 
view, there is a reason to adjust the format, the Committee 
directs FEMA to request such adjustments in an addendum with a 
clear justification for how the changes facilitate better 
resource management and transparency in spending.

                           PROGRAM ACTIVITIES

    The budget request includes $279,304,000 under the ``State 
and Local Programs'' account for transfer to ``Salaries and 
Expenses.'' To provide greater transparency and better budget 
execution, the Committee recommendation includes $164,130,000 
for the following activities at the requested levels in the 
listed PPAs, instead of as part of a transfer. Administration 
and Regional Offices PPA: $43,281,000 for Evaluations and 
Assessments, National Preparedness Directorate Regional Support 
and Grants Preparedness Directorate Regional Support. 
Preparedness and Protection PPA: $105,442,000 for Preparedness 
and Protection Front Office Programs, National Preparedness 
Directorate, Office of Preparedness Integration and 
Coordination, National Integration Center, Individual and 
Community Preparedness Division, National Training and 
Education Division, Technical Assistance, Office of the 
Assistant Administrator, Grants Administration and Assistance 
Division, Preparedness Grants Division, Program Administration 
for Assistance to Firefighter Grants, and Program 
Administration for Emergency Management Performance Grants. 
Centrally Managed Accounts: $15,407,000 for National 
Preparedness Directorate and Grants Preparedness Directorate 
Enterprise Costs. The Committee recommends the remaining 
$115,174,000, which is proposed for transfer from ``State and 
Local Programs'' remain in that account for programs as shown 
under that heading.
    Of the total amounts provided, not less than: $2,000,000 is 
for the Emergency Management Assistance Compact under the 
Preparedness and Protection PPA; $2,589,000 is for the National 
Hurricane Program under the Response PPA; $8,798,000 is for the 
National Earthquake Hazards Reduction Program and $9,360,000 is 
for the National Dam Safety Program under the Mitigation PPA.
    FEMA is directed to ensure all divisions in FEMA, including 
training centers, are able to receive appropriate gifts, such 
as training aids, through appropriate legal means. In the rare 
instances of using official reception and representation 
expenses, the Administrator shall consider the needs of all 
entities in FEMA who receive non-DHS visitors.

                        AUTOMATION MODERNIZATION

    The Committee provides $14,689,000 to continue FEMA's 
automation modernization program. The funding and reporting 
requirement continued in this act provide the means and 
structure for FEMA to modernize its systems for better 
performance and future costs savings. The Committee expects to 
receive the expenditure plan and strategy required in the 
fiscal year 2012 Joint Explanatory Statement in a timely 
fashion. FEMA shall continue to include the DHS CIO in planning 
efforts to ensure compatibility with Department systems where 
practicable.

             OFFICE OF NATIONAL CAPITAL REGION COORDINATION

    The Committee recommends $5,099,000 for the Office of 
National Capital Region Coordination, $394,000 below the fiscal 
year 2012 level and the same amount included in the request. 
The Committee recognizes the unique responsibilities of the 
Office in coordinating emergency preparedness and response 
activity in a high-population area, where the workforce is made 
up of many independently operating Federal agencies and the 
District of Columbia, and where National leaders and foreign 
dignitaries are ever present. The Committee directs the Office 
to work expeditiously on its high-priority activities such as 
aligning Federal building emergency plans and evacuation 
procedures to facilitate an orderly evacuation for no-notice 
events; and facilitating daily data sharing across local, 
State, and the plethora of Federal sources for situational 
awareness.

                URBAN SEARCH AND RESCUE RESPONSE SYSTEM

    The Committee recommends $35,180,000 for the Urban Search 
and Rescue Response System, $6,070,000 below the fiscal year 
2012 level and $7,667,000 above the budget request. Funding 
will sustain the existing system and additional chemical, 
biological, nuclear, radiological, and explosives capabilities 
gained in fiscal year 2012.

                    COMMITTEE BRIEFINGS AND REPORTS

    The Deputy Administrator is directed to continue quarterly 
briefings on progress made to stabilize the Agency's core 
administrative functions of budgeting, human capital 
management, and information technology.
    The Committee notes that several reports required in the 
Joint Explanatory Statement accompanying the Department of 
Homeland Security Appropriations Act, 2012, are due to the 
Committee in the coming months, including a report related to 
planning, regional catastrophic preparedness, and planning and 
education. These reports will be critical to the Committee's 
understanding of FEMA program execution.

                         CHILDREN AND DISASTERS

    The Committee directs FEMA to maintain the Children's 
Coordinator position within the Office of the Administrator and 
sustain the on-going efforts of the working group to address 
children's disaster-related needs. Each of these efforts is 
consistent with recommendations of the National Commission on 
Children and Disasters, which highlighted the unique disaster-
related needs of America's 73 million children.
    Further, the Committee notes Senate Report 112-74 requires 
a report on the grant expenditures related to ensuring the 
needs of children are met. This report has not yet been 
submitted and the Committee expects to receive it without 
further delay. FEMA is directed to provide an updated report 
not later than 120 days after the date of enactment of this 
act. The report shall include all sources of FEMA grants, such 
as preparedness and mitigation grants.

           OFFICE OF DISABILITY INTEGRATION AND COORDINATION

    The Committee directs FEMA to continue implementation of 
the Office of Disability Integration and Coordination to ensure 
the integration of people with disabilities into emergency 
preparedness, protection, mitigation, evacuation, sheltering, 
transition, resiliency, and recovery plans.

                        INTERNATIONAL READINESS

    Disasters are growing more frequent and more extreme 
worldwide. The Committee believes FEMA is in a prime position 
to share its lessons learned and expertise with other nations, 
and vice versa. FEMA is directed to brief the Committee not 
later than 45 days after the date of enactment of this act on 
current efforts to work with other nations on building 
emergency management expertise, including a review of how 
related policy organizations could support FEMA in this effort.

                               RESILIENCE

    The Committee encourages FEMA to continue its efforts 
related to the Strategic Foresight Initiative, which serves the 
emergency management community by looking at factors that are 
likely to change, such as demographic shifts and technological 
advances, in the context of all hazards which are increasing in 
intensity.
    Weather-related disasters in recent years have caused a 
significant strain on our economy. The Committee encourages 
FEMA to consider the need to complete additional studies, in 
coordination with qualified entities, to evaluate mechanisms 
that improve resilience and reduce the costs and losses from 
disasters.

                          GRANT EFFECTIVENESS

    The Committee included a provision in the Department of 
Homeland Security Appropriations Act, 2012, withholding 
$1,400,000 in funding from the Office of the Administrator 
until the Committee receives a comprehensive plan to implement 
a system to measure the effectiveness of grants. The Committee 
has not yet received the report.

                      NATIONAL PREPAREDNESS REPORT

    The Committee is pleased to note the first annual National 
Preparedness Report has been completed. The Report marks a 
maturation of the Nation's emergency management ethos that is 
critical in serving its citizens during their time of need. The 
Committee expects that the remaining reports on preparedness, 
as required in the Post-Katrina Emergency Management Reform 
Act, will be delivered without delay.

                      EVALUATIONS AND ASSESSMENTS

    The Committee provides $11,906,000 for evaluations and 
assessments, as requested, in the administration and Regional 
Offices PPA. The Committee is concerned that after consistent 
and stable funding for this activity, a comprehensive and 
effective set of evaluations and assessments of FEMA's programs 
is not available to Congress. Further, the recent completion of 
the National Preparedness Report highlights the continuing need 
for a collective set of reliable data sources to continue 
assessing the preparedness of the Nation. The Deputy 
Administrator is directed to brief the Committee not later than 
30 days after the date of enactment of this act on the specific 
deliverables that will be completed in fiscal year 2013, and 
how specifically they will contribute to a better knowledge 
base. The Deputy Administrator should also identify programs 
that are no longer needed under this activity.

                      DISASTER DAMAGE ASSESSMENTS

    The Administrator of FEMA is directed to report to the 
Committee not later than 120 days after the date of enactment 
of this act on alternatives to the current damage assessment 
process, including an analysis of regional assessment and 
declarations.

                   RECOVERY AND MITIGATION FRAMEWORK

    The Committee is pleased that FEMA issued the National 
Disaster Recovery Framework in September 2011 to identify the 
roles and responsibilities of all levels of government, 
individuals, and the nonprofit and private sectors during each 
phase of the recovery process. The Committee is also pleased 
that FEMA is developing a National Mitigation Framework to 
promote the identification of opportunities and collaborative 
efforts to reduce vulnerability to future hazards. FEMA is 
directed to remain focused on these efforts and provide the 
necessary resources to improve, finalize, operationalize, 
implement, and sustain both the Frameworks.

                             MOUNT WEATHER

    Of the total amount made available, $22,000,000 is included 
for Mount Weather capital improvements and operations, as 
requested. The Administrator of FEMA is directed to provide an 
expenditure plan for capital improvements for the Mount Weather 
facility through fiscal year 2018, not later than February 15, 
2013.

                        STATE AND LOCAL PROGRAMS

Appropriations, 2012....................................  $1,349,681,000
Budget estimate, 2013\1\................................   2,900,212,000
Committee recommendation................................   1,645,082,000

\1\Includes $670,000,000 proposed for Firefighter Assistance Grants and 
$350,000,000 proposed for Emergency Management Performance Grants, which 
continue to be funded in separate accounts, and $279,304,000 for 
transfer to ``Salaries and Expenses''.

    State and local programs provide grants for training, 
equipment (including interoperable communications equipment), 
and exercises to improve readiness for potential disasters.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total appropriations of 
$1,645,082,000 for State and local programs. The following 
table summarizes the Committee's recommendations as compared to 
the fiscal year 2012 and budget request levels:

                                            STATE AND LOCAL PROGRAMS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                                 Fiscal year
                                                             Fiscal year 2012    2013 budget        Committee
                                                                  enacted          request       recommendations
----------------------------------------------------------------------------------------------------------------
Grants:
    National Preparedness Grant Program....................  ................        1,540,908  ................
    State and local program (grants).......................        1,118,000   ...............  ................
    State Homeland Security Grant Program..................  ................  ...............          470,000
        Operation Stonegarden..............................          (50,000)  ...............          (55,000)
    Urban Area Security Initiative.........................  ................  ...............          676,908
        Non-profit Security Grants.........................  ................  ...............          (13,000)
    Public Transportation Security/Railroad Security/Bus     ................  ...............          132,000
     Assistance............................................
        Amtrak.............................................  ................  ...............          (13,000)
    Port Security Grants...................................  ................  ...............          132,000
    First Responder Assistance Programs:
        Emergency Management Performance Grants............             (\1\)          350,000             (\1\)
        Firefighter Assistance Grants......................             (\1\)          670,000             (\1\)
        Training Partnership Grants........................  ................           60,000  ................
                                                            ----------------------------------------------------
      Subtotal, First Responder Assistance Programs........  ................        1,080,000  ................
                                                            ====================================================
    Management and Administration..........................  ................          279,304  ................
                                                            ----------------------------------------------------
      Subtotal, Grants.....................................        1,118,000         2,900,212        1,410,908
                                                            ====================================================
Education, Training, and Exercises:
    Emergency Management Institute.........................           16,181             (\2\)           17,805
    Center for Domestic Preparedness.......................           62,500             (\2\)           64,991
    National Domestic Preparedness Consortium..............           93,000   ...............           93,000
    Continuing training....................................           26,000   ...............           26,000
    National Exercise Program..............................           34,000             (\2\)           32,378
                                                            ----------------------------------------------------
      Subtotal, Education, Training, and Exercises.........          231,681   ...............          234,174
                                                            ====================================================
      Total, State and Local Programs......................        1,349,681         2,900,212        1,645,082
----------------------------------------------------------------------------------------------------------------
\1\Funds appropriated under a separate account.
\2\Funds proposed under Management and Administration in this account.

                       PROGRAM LEVEL COMPARISIONS

    A comparison of FEMA funding levels between the fiscal year 
2012 enacted, budget request, and committee recommendation is 
complicated by several factors, including: grant program 
changes; transfers to the ``Salaries and Expenses'' account for 
program administration; and funding requested and executed 
within ``Salaries and Expenses'' for training and exercises. 
The Committee recommendation ends the practice of transfers to 
``Salaries and Expenses'' and provides the funding in the 
account and program from which it is spent. This provides 
greater transparency.
    The following table shows comparable levels of funding 
taking into account transfers and the Secretary's discretionary 
distribution of fiscal year 2012 grant funding, after all 
transfers and program changes are accounted for:


                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
National Preparedness Grant Program.......................  ................         1,540,908  ................
State Homeland Security Grant Program.....................           300,000  ................           415,000
    Operation Stonegarden.................................            46,600  ................            55,000
Urban Area Security Initiative............................           490,376  ................           663,908
    Non-profit Security Grants............................            10,000  ................            13,000
Transit and Rail Security Grants..........................            87,500  ................           119,000
    Amtrak................................................            10,000  ................            13,000
Port Security Grants......................................            97,500  ................           132,000
                                                           -----------------------------------------------------
      Total...............................................         1,041,976         1,540,908         1,410,908
                                                           =====================================================
Training Partnership Grants...............................  ................            60,000  ................
Emergency Management Institute............................            18,735            17,805            17,805
Center for Domestic Preparedness..........................            64,241            64,991            64,991
National Domestic Preparedness Consortium.................            86,676  ................            93,000
Continuing training.......................................            23,994  ................            26,000
National Exercise Program.................................            33,693            32,378            32,378
                                                           =====================================================
      Total...............................................           227,339           175,174           234,174
----------------------------------------------------------------------------------------------------------------

                              GRANT REFORM

    The Committee appreciates the efforts of the Secretary and 
the Administrator of FEMA to ensure homeland security grants 
are meeting the Nation's needs through proposing grant reform 
in the budget request. It has been over 10 years since homeland 
security grants were first appropriated. The first annual 
National Preparedness Report found that the Nation has 
increased ability in several core capabilities, such as 
operational communications and coordination, physical 
protective measures, and planning. Now is an appropriate time 
to closely examine what the Nation still needs in preparing for 
all hazards and how we accomplish filling that need. However, 
the reform proposal in the budget leaves key questions 
unanswered such as, how risk assessments will be used in 
determining the distribution of resources, and to whom Federal 
resources will be allocated. The Committee appreciates that the 
Department and FEMA are seeking stakeholder input to answer 
these key questions. However, until such questions can be 
answered, it is premature to approve the reform proposal. The 
Secretary and the Administrator are directed to refine the 
proposal and include enough detail for the appropriate 
committees of jurisdiction and the general public to 
understand: how funds will be allocated; to whom; and for what 
purpose. The completion of this process, including all of the 
appropriate stakeholders, shall take place in sufficient time 
to inform the fiscal year 2014 budget process.
    For fiscal year 2013, the Committee recommends funding four 
core State and local grant programs: the State Homeland 
Security Grant Program, the Urban Area Security Initiative, 
Transit and Rail Security, and Port Security. Activities 
previously funded through eight separate programs in fiscal 
year 2011 are eligible for funding from the four funded grant 
programs.

                           GRANTS MANAGEMENT

    The Committee includes specific timeframes for grant dollar 
distribution. For each of the grant programs, funding 
opportunity announcements shall be issued in 60 days, 
applicants shall apply within 80 days after announcements are 
made, and FEMA shall act on the application within 65 days 
after applications are due.
    The Department is encouraged to require State and local 
governments to address child care services and facilities in 
response and recovery plans, exercises, and training. 
Additionally, the Committee is concerned that State and local 
cybersecurity issues are not receiving the needed resources and 
attention, and the Department is encouraged to require State 
and local governments to include Chief Information Officers in 
planning efforts. The Committee is concerned that drinking 
water and sanitation security needs, especially related to 
emergency response initiatives, are not adequately addressed. 
FEMA is encouraged to require State and local governments to 
include rural water associations in planning efforts. The 
Committee encourages FEMA to consider the need for severe 
weather alert systems and reverse 9-1-1 notification systems 
when evaluating grant applications.

                 STATE HOMELAND SECURITY GRANT PROGRAM

    The Committee recommends $470,000,000 for the State 
Homeland Security Grant Program [SHSGP], of which $55,000,000 
shall be for Operation Stonegarden. Activities previously 
funded under Metropolitan Medical Response System, Citizens 
Corps, Regional Catastrophic Preparedness, Emergency Operations 
Centers, Driver's Licenses Security Program, Buffer Zone 
Protection Program, and the Interoperable Emergency 
Communication Grant Programs in fiscal year 2011 are eligible 
for funding under SHSGP.
    Operation Stonegarden grants shall continue to be 
competitively awarded and shall not be restricted to any 
particular border. As in previous years, FEMA is directed to 
ensure all border States shall be eligible to apply in fiscal 
year 2013. Since 2008, Operation Stonegarden has involved 291 
participating agencies, allowing the equivalent force 
multiplier of 65,000 additional law enforcement workdays 
resulting in 5.7 million patrol miles, 221,771 vehicle stops, 
1,380 gun and drug seizures, and 11,830 legal cases.

                     URBAN AREA SECURITY INITATIVE

    The Committee recommends $676,908,000 for the Urban Areas 
Security Initiative [UASI], of which $13,000,000 shall be for 
nonprofit entities determined to be at high risk by the 
Secretary. Eligibility for nonprofit entities shall not be 
limited to UASI communities. Activities previously funded under 
Metropolitan Medical Response System, Citizens Corps, Regional 
Catastrophic Preparedness, Buffer Zone Protection Program, 
Emergency Operations Centers, and the Interoperable Emergency 
Communication Grant Programs in fiscal year 2011 are eligible 
for funding under UASI.

              LAW ENFORCEMENT TERRORISM PREVENTION PROGRAM

    In accordance with section 2006 of the Homeland Security 
Act of 2002, the Law Enforcement Terrorism Prevention Program 
[LETPP] is funded through a required set aside of 25 percent of 
the funds appropriated through the SHSGP and UASI programs. The 
Committee directs FEMA to provide clear guidance to State and 
urban areas to ensure that the intent of LETPP is fully 
realized. The Committee expects to receive the report on 
expenditures for prevention activities, as required in Senate 
Report 112-74, without delay. FEMA is directed to provide an 
update of the report not later than 120 days after the date of 
enactment of this act.

    PUBLIC TRANSPORTATION SECURITY ASSISTANCE AND RAILROAD SECURITY 
                               ASSISTANCE

    The Committee recommends $132,000,000 for Public 
Transportation Security Assistance, Railroad Security 
Assistance and Over-the-Road Bus Security Assistance. Of the 
recommended amount, no less than $13,000,000 is for Amtrak 
security needs. For fiscal year 2011, over $700,000,000 in 
applications were not approved due to limited funding.

                          PORT SECURITY GRANTS

    The Committee recommends $132,000,000 for the Port Security 
Grant Program. The Committee notes that training of port 
facility officials at the Nation's ports is imperative. The 
Committee notes that operation and maintenance costs for 
security technology are an allowable expense through grant 
funding. For fiscal year 2011, over $220,000,000 in 
applications were not approved due to limited funding.

                   EDUCATION, TRAINING, AND EXERCISES

    The Committee recommends $234,174,000 for Education, 
Training, and Exercises. Of this amount, the Committee 
recommends $64,991,000 for the Center for Domestic Preparedness 
as requested.
    The Committee recommends $93,000,000 of the total for the 
National Domestic Preparedness Consortium, instead of 
$60,000,000 for Training Partnership Grants, as proposed in the 
budget. The Consortium, authorized by the 9/11 Act, has 
conducted training in all 50 States and each U.S. territory. 
Over 1.9 million first responders have been trained to date. 
The existing Consortium members have proven to be an effective 
delivery system for this important training. Dismantling the 
current program and replacing proven instructional bodies with 
an undefined system of providers would diminish the quality and 
consistency of training available to first responders.
    The Committee includes $26,000,000 for continuing training 
grants, instead of $60,000,000 for Training Partnership Grants, 
as proposed in the budget. The Committee supports full funding 
of programs that deliver homeland security curricula in the 
form of executive education programs and accredited master's 
degree education. FEMA should consider the training needs of 
State and local first responders in preparedness and response 
to cyber attacks; and in medical readiness training and public 
health resiliency. FEMA should consider regional training 
centers in future funding requests.
    The Committee includes $32,378,000 for the National 
Exercise Program.

                     FIREFIGHTER ASSISTANCE GRANTS

Appropriations, 2012....................................    $675,000,000
Budget estimate, 2013\1\................................................
Committee recommendation................................     675,000,000

\1\Budget proposes $670,000,000 under ``State and Local Programs''.

    Firefighter assistance grants, as authorized by section 33 
of the Federal Fire Prevention and Control Act of 1974 (15 
U.S.C. 2229), assist local firefighting departments for the 
purpose of protecting the health and safety of the public and 
fire fighting personnel, including volunteers and emergency 
medical service personnel, against fire and fire-related 
hazards.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $675,000,000 for firefighter 
assistance grants, including $337,500,000 for firefighter 
assistance grants, and $337,500,000 for firefighter staffing 
grants, to remain available until September 30, 2014. In fiscal 
year 2012, of the $675,000,000 appropriated, $33,750,000 was 
dedicated to program administration. For fiscal year 2013, the 
Committee has included funding for program administration costs 
under FEMA ``Salaries and Expenses'', instead of making such 
costs allowable under this account. As a result, when compared 
to fiscal year 2012, total funding for Firefighter Assistance 
Grants is $33,750,000 higher.
    The Committee directs the Department to continue the 
present practice of funding applications according to local 
priorities and those established by the United States Fire 
Administration, and to continue direct funding to fire 
departments and the peer review process.

                EMERGENCY MANAGEMENT PERFORMANCE GRANTS

Appropriations, 2012....................................    $350,000,000
Budget estimate, 2013\1\................................................
Committee recommendation................................     350,000,000

\1\Budget proposes $350,000,000 under ``State and Local Programs''.

    Funding requested in this account provides support to the 
Nation's all-hazards emergency management system and helps to 
build State and local emergency management capability.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $350,000,000 for Emergency 
Management Performance Grants [EMPG]. In fiscal year 2012, of 
the $350,000,000 appropriated, $10,500,000 was dedicated to 
program administration. For fiscal year 2013, the Committee has 
included funding for program administration costs under FEMA 
``Salaries and Expenses'', instead of making such costs 
allowable under this account. As a result, when compared to 
fiscal year 2012, total funding for Emergency Management 
Performance Grants is $10,500,000 higher. EMPG is an essential 
source of funding for State and local emergency management.
    The Committee directs FEMA to retain EMPG as a separate 
grant program, and not to combine its funding with any other 
grant allocation or application process.

              RADIOLOGICAL EMERGENCY PREPAREDNESS PROGRAM

Appropriations, 2012\1\.................................      ($896,000)
Budget estimate, 2013\1\................................     (1,443,000)
Committee recommendation\1\.............................     (1,443,000)

\1\Fee collections are estimated to exceed costs.

    The Radiological Emergency Preparedness [REP] program 
assists State and local governments in the development of off-
site radiological emergency preparedness plans within the 
emergency planning zones of commercial nuclear power facilities 
licensed by the Nuclear Regulatory Commission [NRC]. The fund 
is financed from fees assessed and collected from the NRC 
licensees to recover the amounts anticipated to be obligated in 
the next fiscal year for expenses related to REP program 
activities.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides for the receipt and expenditure of 
fees collected, as authorized by Public Law 105-276. The budget 
estimates fee collections to exceed expenditures by $1,443,000 
in fiscal year 2013.

                   UNITED STATES FIRE ADMINISTRATION

Appropriations, 2012....................................     $44,038,000
Budget estimate, 2013...................................      42,520,000
Committee recommendation................................      44,020,000

    The mission of the United States Fire Administration [USFA] 
is to reduce losses, both economic and human, due to fire and 
other emergencies through training, research, coordination and 
support. USFA also prepares the Nation's first responder and 
healthcare leaders through ongoing, and when necessary, 
expedited training regarding how to evaluate and minimize 
community risk, improve protection to critical infrastructure, 
and be better prepared to react to all hazard and terrorism 
emergencies.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $44,020,000 for the USFA, which is 
$18,000 below the fiscal year 2012 level and $1,500,000 above 
the request. The amount included above the request will allow 
for the continued development of the National Fire Incident 
Reporting System and continue programs that promote fire safety 
and fire prevention in the wildland urban interface.

                          DISASTER RELIEF FUND

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2012\1\.................................  $7,100,000,000
Budget estimate, 2013\2\................................   6,088,926,000
Committee recommendation\2\.............................   6,088,926,000

\1\Includes $6,400,000,000, enacted in Public Law 112-77 and designated 
by Congress as disaster relief pursuant to Public Law 112-25.
\2\Includes $5,481,000,000 designated by Congress as disaster relief 
pursuant to Public Law 112-25.

    Through the Disaster Relief Fund [DRF], the Department 
provides a significant portion of the total Federal response to 
victims in presidentially declared major disasters and 
emergencies. Major disasters are declared when a State requests 
Federal assistance and proves that a given disaster is beyond 
the local and State capacity to respond. Under the DRF, FEMA 
will continue to operate the primary assistance programs, 
including Federal assistance to individuals and households; and 
public assistance, which includes the repair and reconstruction 
of State, local, and nonprofit infrastructure. The post-
disaster hazard mitigation set-aside to States, as part of the 
DRF, works as a companion piece to the National Predisaster 
Mitigation Fund.

                       COMMITTEE RECOMMENDATIONS

    As requested, the Committee recommends $6,088,926,000 for 
the Disaster Relief Fund, of which $5,481,000,000 is provided 
under the disaster relief adjustment pursuant to Public Law 
112-25. The Committee is pleased the Department has requested 
amounts for the Disaster Relief Fund that more accurately 
reflect, based on documented claims and historic evidence, the 
disaster needs that are likely to arise during this fiscal 
year, including the costs of previously designated disasters. 
The Committee will be closely monitoring the demands on the 
Fund to ensure there is enough to prevent funding only 
immediate needs which would slow down necessary recovery work.
    The Committee includes bill language requiring an 
expenditure plan and quarterly reports for disaster readiness 
and support costs; and a monthly report on disaster relief 
expenditures. The Committee recommends bill language 
transferring $24,000,000 to the Department of Homeland Security 
Office of Inspector General for audits and investigations. Over 
the past 3 fiscal years, the Office of Inspector General issued 
154 audit reports covering grants totaling $3,400,000,000. Of 
that total, 145 audits (94 percent) had reportable findings. 
The audits identified $641,000,000 in questioned costs that 
could be put to better use. This represents an average error 
rate of 19 percent and a 13-to-1 return on investment.

            DISASTER ASSISTANCE DIRECT LOAN PROGRAM ACCOUNT

Appropriations, 2012....................................        $295,000
Budget estimate, 2013...................................................
Committee recommendation................................................

    Disaster assistance loans authorized by the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5162) are loans to States for the non-Federal portion of 
cost-sharing funds, and community disaster loans to local 
governments incurring a substantial loss of tax and other 
revenues as a result of a major disaster. The funds requested 
for this program include direct loans and a subsidy based on 
criteria including loan amount and interest charged. As 
required by the Federal Credit Reform Act of 1990 (2 U.S.C. 661 
et seq.), this account records, for this program, the subsidy 
costs associated with the direct loans obligated in 1992 and 
beyond (including modifications of direct loans), as well as 
administrative expenses of the program. The subsidy amounts are 
estimated on a present value basis; the administrative expenses 
are estimated on a cash basis.

                       COMMITTEE RECOMMENDATIONS

    As requested in the budget, the Committee does not include 
any funding to subsidize State disaster loans. State loans have 
not been requested or awarded since 1996.

                 FLOOD HAZARD MAPPING AND RISK ANALYSIS

Appropriations, 2012....................................     $97,712,000
Budget estimate, 2013...................................      89,329,000
Committee recommendation................................      97,329,000

    This appropriation supports the functions necessary to 
develop, and keep current, flood risk information and flood 
maps. The flood maps are used to determine appropriate risk-
based premium rates for the National Flood Insurance Program, 
to complete flood hazard determinations required of the 
Nation's lending institutions, and to develop appropriate 
disaster response plans for Federal, State, and local emergency 
management personnel.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $97,329,000 for Flood Hazard 
Mapping and Risk Analysis, $8,000,000 above the budget request 
and $383,000 below the fiscal year 2012 level. To date, only 55 
percent of flood maps have been updated with the most current 
data. Therefore, the Committee restores $8,000,000 of the 
proposed reduction.
    Updating our Nation's Flood Insurance Rate Maps and 
certifying the safety of our levees is an important task, and 
the Committee supports efforts to provide better information to 
residents about flood risk in their communities. The Committee 
urges FEMA to continue to work with the United States Army 
Corps of Engineers [USACE] to ensure the accuracy of the maps, 
coordinate outreach to local stakeholders throughout this 
process, and better coordinate answers to questions about flood 
mapping, flood insurance, and flood control infrastructure 
projects. Further, the Committee directs FEMA, in conjunction 
with the USACE, to fully complete the reporting requirements 
included in Senate Report 111-118 accompanying the fiscal year 
2010 Supplemental Disaster Relief and Summer Jobs Act, 
including providing GAO with the relevant information needed 
for it to complete the requirement prescribed in the report.
    The Committee is pleased that FEMA continues to offer 
communities the option to request review of pending flood maps 
by Scientific Resolution Panels comprised of independent 
experts and encourages the continuation of this adjudicative 
option. The Committee also commends FEMA for working to improve 
the accuracy of its flood risk analysis by modifying mapping 
procedures to account for all levees within a community, 
including those which offer varying degrees of protection, on 
newly developed Flood Insurance Risk Maps.
    Senate Report 112-74 directed FEMA to convene a joint task 
force with USACE to better align National Flood Insurance 
Program levee accreditation requirements with levee inspections 
performed by or for USACE. The Committee expects to receive the 
required report in a timely fashion and directs the continued 
operation of this task force to address pertinent issues.

                     NATIONAL FLOOD INSURANCE FUND

Appropriations, 2012\1\.................................  ($171,000,000)
Budget estimate, 2013\1\................................   (171,000,000)
Committee recommendation\1\.............................   (171,000,000)

\1\Fully offset by fee collections.

    The National Flood Insurance Fund is a fee-generated fund 
which provides funding for the National Flood Insurance 
Program. This program enables property owners to purchase flood 
insurance otherwise unavailable in the commercial market. The 
National Flood Insurance Act of 1968 authorizes the Federal 
Government to provide flood insurance on a national basis. This 
insurance is available to communities which enact and enforce 
appropriate floodplain management measures and covers virtually 
all types of buildings and their contents up to $350,000 for 
residential types and $1,000,000 for all other types.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $171,000,000, as proposed in the 
budget, for the National Flood Insurance Fund, of which 
$40,000,000 is for expenses under section 1366 of the National 
Flood Insurance Act (42 U.S.C. 4104c) to provide assistance 
planning to States and communities for implementing floodplain 
management measures to reduce or eliminate the long-term risk 
of flood damage to buildings and other structures eligible for 
insurance under the National Flood Insurance Program.
    The Committee does not recommend elimination of funding for 
the Severe Repetitive Loss Program, as proposed in the budget. 
In fiscal year 2012, over $65,000,000 in applications were 
received for the severe repetitive loss program.
    The Committee supports FEMA's efforts to analyze and 
improve the ways flood control infrastructure are treated under 
the National Flood Insurance Program. The Committee is 
concerned with possible increases to the costs of the National 
Flood Insurance Program as the definition of areas of special 
flood hazards changes. Therefore, the Committee directs FEMA, 
prior to any further adjustment to the definition of areas of 
special flood hazards related to the treatment of flood control 
infrastructure, to report to the Committee on Appropriations 
and the Committee on Banking, Housing, and Urban Affairs on its 
final guidance for its ongoing efforts to improve Levee 
Analysis and Mapping Procedures as well as on the final 
findings of its ongoing study with the National Academy of 
Sciences on the treatment of flood control infrastructure under 
the program.

                  NATIONAL PREDISASTER MITIGATION FUND

Appropriations, 2012....................................     $35,500,000
Budget estimate, 2013...................................................
Committee recommendation................................      35,000,000

    The National Predisaster Mitigation [PDM] Fund provides 
grants to States, communities, territories, and Indian tribal 
governments for hazard mitigation planning and implementing 
mitigation projects prior to a disaster event. PDM grants are 
awarded on a competitive basis. This program operates 
independent of the Hazard Mitigation Grant Program, funded 
through the Disaster Relief Fund, which provides grants to a 
State in which a disaster has been declared.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $35,000,000 for PDM, $35,000,000 
above the request and $500,000 below the fiscal year 2012 
level. The Committee continues to support predisaster 
mitigation, and recognizes the importance of coordinating 
predisaster mitigation projects with projects being completed 
through the post-disaster Hazard Mitigation Grant Program.
    In fiscal year 2011, 30 percent of grant awards went to 
States that did not have a Presidential disaster declaration 
which would provide for post-disaster mitigation. The Committee 
is concerned that eliminating PDM will leave some States with 
no mitigation planning or project funding.
    The Committee does not include any funding to FEMA for 
program administration due to sufficient funding being 
available through carry over balances for this purpose.

                       EMERGENCY FOOD AND SHELTER

Appropriations, 2012....................................    $120,000,000
Budget estimate, 2013...................................     100,000,000
Committee recommendation................................     150,000,000

    This appropriation funds grants to nonprofit and faith-
based organizations at the local level to supplement their 
programs for emergency food and shelter to provide for the 
immediate needs of the homeless.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $150,000,000 for Emergency Food 
and Shelter, which is $50,000,000 above the budget request 
level and $30,000,000 above the fiscal year 2012 level. The 
Committee continues to support the Emergency Food and Shelter 
Program, and recognizes it as one program, in conjunction with 
other Federal programs, that serves those in immediate need of 
food and shelter assistance. This funding helped provide 
89,014,368 meals, 5,184,274 nights of lodging, 127,001 rent and 
mortgage payments, and 145,457 utility payments for people in 
need in fiscal year 2010.

                                TITLE IV

            RESEARCH AND DEVELOPMENT, TRAINING, AND SERVICES

           United States Citizenship and Immigration Services

Appropriations, 2012....................................    $102,424,000
Budget estimate, 2013...................................     142,974,000
Committee recommendation................................     116,924,000

    United States Citizenship and Immigration Services [USCIS] 
funds expenses necessary for the administration of laws and the 
provision of services related to people seeking to enter, 
reside, work, and naturalize in the United States. In addition 
to directly appropriated resources, fee collections are 
available for the operations of USCIS.
    Immigration Examinations Fees.--USCIS collects fees from 
persons applying for immigration benefits to support the 
adjudication of applications, as authorized by the Immigration 
and Nationality Act (8 U.S.C. 1356).
    H1-B and L Fraud Prevention and Detection Fees.--USCIS 
collects fees from petitioners seeking a beneficiary's initial 
grant of H1-B or L nonimmigrant classification or those 
petitioners seeking to change a beneficiary's employer within 
those classifications (Public Law 108-447).
    H1-B Nonimmigrant Petitioner Fees.--USCIS collects fees 
from petitioners using the H1-B program (Public Law 108-447).

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total resources of $2,999,381,000 
including direct appropriations of $116,924,000 and estimated 
fee collections of $2,882,457,000.
    The Committee recommends no direct appropriations for the 
Systematic Alien Verification System [SAVE], instead of 
$20,048,000 as requested in the budget. SAVE shall continue to 
be a fee-funded activity and the authorized fee accounts have 
been adjusted to reflect this change.

                                E-VERIFY

    The Committee recommends $111,924,000 for the E-verify 
program, as requested. The Committee supports E-Verify and the 
effort the Department is performing to improve E-Verify's 
ability to automatically verify those who are work authorized, 
detect identity fraud, and detect system misuse and 
discrimination. E-Verify is both a tool for employers committed 
to maintaining a legal workforce and a deterrent to illegal 
immigration. The Committee notes progress continues to be made 
on reducing the mismatch rate.
    The growth in E-Verify use by employers has significantly 
increased from fewer than 25,000 employers in fiscal year 2007 
to more than 290,000 employers in fiscal year 2011. The 
Committee directs the Director of USCIS to provide a report not 
later than 90 days after the date of enactment of this act 
identifying the costs of expanding the use of E-Verify.

                         IMMIGRANT INTEGRATION

    The Committee recommends $5,000,000 for immigrant 
integration grants in direct appropriations and includes a 
general provision directing that an additional $5,000,000 be 
made available for these grants via fees. The grants shall be 
available to assist individuals who are legally authorized to 
be present in the United States. The Committee believes it is 
important to assist individuals following the law and working 
to become citizens. However, the Committee directs that no 
appropriations be used to operate the Office of Citizenship 
Services and that its operation continue to be fee-funded. 
Additionally, the Committee continues to be concerned that 
costs to administer the grant program currently may exceed 11 
percent of the grant award total and directs that no more than 
5 percent of the grant funding level from either appropriated 
dollars or fees be used to administer the program in fiscal 
year 2013.

                         ADOPTIONS IN GUATEMALA

    The Committee commends USCIS and the Department of State 
[DOS] for their diligent efforts regarding intercountry 
adoptions in Guatemala, and encourages ongoing cooperation 
between the United States and the Guatemalan government to 
complete all remaining cases. Since the Hague Adoption 
Convention entered into force for the United States on April 1, 
2008, no new adoptions have been possible from Guatemala 
because DOS, as the Hague Central Authority, has found the 
Guatemalan system is not in compliance with the Convention's 
requirements. As of April 1, 2008, some 3,600 adoption cases 
were in progress. Most of those pending cases were resolved by 
mid-2009. Over the past year, USCIS and DOS have been working 
closely with Guatemalan authorities in an effort to identify 
all remaining adoption cases and resolve them. USCIS has worked 
extensively with U.S. prospective adoptive parents to gather 
information about the children with whom they have been matched 
in Guatemala, and has generated a comprehensive and 
authoritative list of pending cases and associated records that 
will streamline and expedite the process.

                             USE OF PAROLE

    The Committee encourages DHS use of parole authority under 
section 212(d)(5) of the Immigration and Nationality Act to 
address urgent humanitarian needs--especially in the interest 
of family unity and to address medical emergencies--in the 
period following exceptionally calamitous natural disasters 
such as the Haitian earthquake on January 12, 2010. The 
Committee urges the Secretary to allocate sufficient resources 
for similar appropriate responsiveness to rare and 
exceptionally deadly and destructive natural disasters in the 
future.

                   E-VERIFY IN AGRICULTURAL SETTINGS

    The Committee directs USCIS to jointly brief the Senate 
Committees on Appropriations and the Judiciary not later than 
120 days after the date of enactment of this act on 
recommendations regarding how the E-Verify system can be most 
effectively used in the agricultural industry. The briefing 
should include an update on USCIS' consideration and 
development of technologies and strategies that address 
implementation challenges commonly encountered in agriculture, 
such as non-office-based hiring, limited access to high-speed 
Internet, prevalence of seasonal employment, and high turnover.

                       COMMITTEE RECOMMENDATIONS

    The following table, which includes appropriations and 
estimated fee collections, summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                       UNITED STATES CITIZENSHIP AND IMMIGRATION SERVICES--PROGRAM SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                           Fiscal year 2012  Fiscal year 2013      Committee
                                                               enacted        budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Appropriations:
    E-Verify............................................           102,424            111,924           111,924
    Systematic Alien Verification for Entitlements        .................            20,048  .................
     [SAVE].............................................
    Immigrant Integration Programs......................  .................            11,002             5,000
                                                         -------------------------------------------------------
      Total, Appropriations.............................           102,424            142,974           116,924
                                                         =======================================================
Fee collections:\1\
    Adjudication services (fee account):
        District operations.............................         1,315,570          1,318,771         1,318,771
            (Immigrant integration grants)..............            [4,960]  ................            [5,000]
        Service Center operations.......................           532,414            520,029           520,029
        Asylum, Refugee and international operations....           196,877            196,274           196,274
        Records operations..............................            86,631             86,774            86,774
        Business transformation.........................           344,055            269,216           269,216
            (Digitization program)......................           [29,000]  ................  .................
                                                         -------------------------------------------------------
              Subtotal, Adjudication services...........         2,475,547          2,391,064         2,391,064
                                                         =======================================================
    Information and customer services (fee account):                88,891             89,011            89,011
     Information and customer services..................
                                                         -------------------------------------------------------
    Administration (fee account): Operation expenses....           381,666            382,334           382,334
                                                         -------------------------------------------------------
    SAVE, (fee account).................................            29,937   ................            20,048
                                                         =======================================================
      Total, fee collections............................         2,976,041          2,862,409         2,882,457
----------------------------------------------------------------------------------------------------------------
\1\Includes Immigration Examination Fee Account, H1-B Visa Fee Account, and H1-B and L Fraud Prevention Fee
  Account.

                Federal Law Enforcement Training Center


                         SALARIES AND EXPENSES

Appropriations, 2012\1\.................................    $238,957,000
Budget estimate, 2013\2\................................     228,939,000
Committee recommendation\2\.............................     228,939,000

\1\Includes $1,304,000 for Federal Law Enforcement Accreditation.
\2\Includes $1,303,000 for Federal Law Enforcement Accreditation.

    The Federal Law Enforcement Training Center Salaries and 
Expenses appropriation provides funds for basic and some 
advanced training to Federal law enforcement personnel from 
more than 90 agencies. This account also allows for research of 
new training methodologies; provides for training to certain 
State, local, and foreign law enforcement personnel on a space-
available basis; and accreditation of Federal law enforcement 
training programs.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $228,939,000 for salaries and 
expenses of the Federal Law Enforcement Training Center [FLETC] 
for fiscal year 2013. Within the funds provided is $29,261,000 
for Management and Administration and $1,303,000 for the 
Federal Law Enforcement Training Accreditation Board.
    The Committee includes bill language requiring the Director 
of FLETC to ensure all training centers are operated at the 
highest capacity feasible throughout the fiscal year. The 
Committee also expects the Director to maintain training at or 
near capacity before entering into new leases with private 
contractors or establishing new partner organizations.

                           INTEGRITY TRAINING

    The Federal Government has experienced a significant 
increase in law enforcement officer hiring in the years since 
the tragic attacks on September 11, 2001. The Committee 
believes it is critical that all Federal law enforcement 
personnel, especially new hires, receive comprehensive training 
in ethics and public integrity. The Committee notes that 
Federal law enforcement personnel receive ethics training as 
part of their basic training at FLETC and expects that all 
newly hired Federal law enforcement officers will receive such 
training wherever they are trained.

     ACQUISITIONS, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

Appropriations, 2012....................................     $32,456,000
Budget estimate, 2013...................................      29,385,000
Committee recommendation................................      29,385,000

    This account provides for the acquisition and related costs 
for expansion and maintenance of facilities of the Federal Law 
Enforcement Training Center [FLETC]. This includes construction 
and maintenance of facilities and environmental compliance. The 
environmental compliance funds ensure compliance with 
Environmental Protection Agency and State environmental laws 
and regulations.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $29,385,000, the same as the 
President's request and $3,071,000 below the fiscal year 2012 
amount, for acquisition, construction, improvements, and 
related expenses for expansion and maintenance of FLETC 
facilities.

                         Science and Technology


                                SUMMARY

    The mission of Science and Technology [S&T] is to conduct, 
stimulate, and enable homeland security research, development, 
testing, and to facilitate the timely transition of 
capabilities to Federal, State, local, and tribal end-users.

                     MANAGEMENT AND ADMINISTRATION

Appropriations, 2012....................................    $135,000,000
Budget estimate, 2013...................................     138,008,000
Committee recommendation................................     138,008,000

    The Management and Administration account funds salaries 
and expenses related to the Office of the Under Secretary for 
Science and Technology, and headquarters.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $138,008,000 for management and 
administration of programs and activities carried out by S&T. 
Of this amount, the Committee recommends not to exceed $7,650 
for official reception and representation expenses.
    The recommended amount is the same level as requested in 
the budget and $3,008,000 above the fiscal year 2012 level.

           RESEARCH, DEVELOPMENT, ACQUISITION, AND OPERATIONS

Appropriations, 2012....................................    $533,000,000
Budget estimate, 2013...................................     693,464,000
Committee recommendation................................     693,464,000

    Science and Technology supports the mission of DHS through 
basic and applied research, fabrication of prototypes, research 
and development to mitigate the effects of weapons of mass 
destruction, as well as acquiring and field testing equipment.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $693,464,000, for research, 
development, acquisition, and operations of S&T. The 
recommended amount is the same level as in the budget request 
and $160,464,000 above the fiscal year 2012 level.
    Due to the significant reduction below the request in 
fiscal year 2012, Congress provided S&T with one PPA for 
research and development funding called ``Research, 
Development, and Innovation'' [RD&I] for fiscal year 2012. The 
single PPA structure was approved in order to provide S&T with 
flexibility to effectively manage a steep reduction in funding. 
The President's request proposes to continue this budget 
account structure in fiscal year 2013. With a more robust 
funding level recommended in fiscal year 2013, the Committee 
does not support the consolidation of all research areas into 
one account, as it reduces transparency and accountability of 
S&T's primary research funding. Therefore, the Committee 
modifies the requested budget structure by including the six 
research areas identified in the budget request as PPAs under 
RD&I: Apex Research and Development [R&D]; Border Security; 
Chemical, Biological, Radiological, Nuclear, and Explosives 
Defense; Counter Terrorist R&D; Cyber Security; and Disaster 
Resilience.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                    SCIENCE AND TECHNOLOGY-RESEARCH, DEVELOPMENT, ACQUISITION, AND OPERATIONS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                           Fiscal year 2012   Fiscal year 2013      Committee
                                                                enacted        budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Research, Development, and Innovation....................           265,783           478,048   ................
RD&I: Apex R&D...........................................  ................           [15,000]            15,000
RD&I: Border Security....................................  ................           [31,652]            31,652
RD&I: Chem/Bio/Radiological/Nuclear/Explosives Defense...  ................          [197,688]           197,688
RD&I: Counter Terrorist R&D..............................  ................           [25,493]            25,493
RD&I: Cyber Security.....................................  ................           [64,477]            64,477
RD&I: Disaster Resilience................................  ................          [143,738]           143,738
Acquisition and Operations Support.......................            54,154            47,984             47,984
Laboratory Facilities (operations and construction)......           176,500           127,432            127,432
University Programs......................................            36,563            40,000             40,000
                                                          ------------------------------------------------------
      Total, Research, Development, Acquisition and                 533,000           693,464            693,464
       Operations........................................
----------------------------------------------------------------------------------------------------------------

                         REPORTING REQUIREMENTS

    S&T is directed to continue to provide the following:
  --quarterly briefings to the Committee on the test and 
        evaluation status of all level 1 acquisitions;
  --a report on results of its research and development for the 
        prior fiscal year; and
  --a report on the amounts de-obligated from projects during 
        the prior fiscal year and to what projects those funds 
        were subsequently obligated.
    The reports listed above are to be submitted in conjunction 
with the fiscal year 2014 President's budget request. Further, 
the report on the results of research and development should 
detail all technologies, technology improvements, or 
capabilities delivered to front line users.
    No later than 120 days after the enactment of this act, S&T 
is to brief the Committee on its progress in implementing its 
new strategic initiatives, including:
  --transition to use (moving new technologies from concept to 
        practical application);
  --improving private sector partnerships;
  --technology foraging;
  --acquisition support for DHS components;
  --support of the First Responder Community; and
  --addressing high-priority ``urgent'' problems identified by 
        component heads--known as Apex R&D Projects.

                                APEX R&D

    The Committee notes that S&T has implemented a new program 
called Apex, which is focused on high-priority and high-value 
projects needed in a short turn-around for DHS components. 
Unlike other S&T research initiatives, Apex projects are 
collaborative efforts between DHS component heads and the Under 
Secretary for S&T. The Committee is supportive of the Apex 
concept, especially since it is focused on expediting 
technology solutions to the field. S&T and the partner 
components are to brief the Committee no later than 60 days 
after the date of enactment of this act and periodically 
thereafter on: the funding allocation by project; and progress 
made to field improved technologies, including a schedule for 
evaluation and testing of technical solutions in relevant 
operational environments.
    With regard to S&T's ongoing work with the Secret Service 
to provide a roadmap for technology solutions for protective 
mission requirements, the initial results appear to be 
promising. However, the Committee expects metrics to be 
established for APEX partnerships to judge the true value of 
the program. Follow-on evaluations will be necessary to 
determine the Service's progress in fielding improved 
technologies for its protective mission and how those solutions 
improved performance in relevant operational environments.

                          DISASTER RESILIENCE

    The Committee notes that, within the last decade, record-
breaking hurricanes, tornadoes, and floods have devastated the 
Southeast Region of the United States. These events have cost 
our Nation thousands of lives and billions of dollars. This 
region also has the potential for a significant earthquake. 
Within the $143,738,000 provided for disaster resilience 
research, the Committee encourages S&T to work with appropriate 
universities and existing Federal research centers to address 
these unique challenges through competitively awarded projects.

                             CYBERSECURITY

    The Committee believes that sophisticated cyber attacks, 
such as those launched against Estonia, Georgia, and elsewhere 
around the world, could have devastating consequences if such 
attacks targeted America's financial market infrastructure. 
Because financial markets depend exclusively on the digital 
transmission of data, disrupting the confidentiality, 
integrity, or availability of market transactions or other 
information could have catastrophic and cascading economic 
effects. Such a disruption of or intrusion into U.S. financial 
services could result in a renewed global economic downturn. 
The Committee directs S&T to submit a report not later than 90 
days after the date of enactment of this act on the expenditure 
of fiscal year 2010, 2011, and 2012 funds for the purpose of 
financial sector attack simulation and collaboration with 
industry partners in the U.S. financial sector, and on the 
outcomes of those investments. Within the amount provided for 
cyber security research for fiscal year 2013, the Committee 
encourages S&T to robustly fund cyber security programs that 
will assist the U.S. financial industry in preparing for and 
defending against cyber attacks. The Committee also encourages 
S&T to extend the cyber security exercise technology developed 
for the financial services sector to other critical 
infrastructure sectors, such as the energy and transportation 
sectors.
    The Committee encourages the Department of Homeland 
Security to fund multi-disciplinary programs of study and 
research that focus on tackling cyber security issues on a 
global scale, including institutions of higher education with 
National Security Agency-designated Centers of Academic 
Excellence for Information Assurance Education and Centers for 
Academic Excellence for Information Assurance Research.

           FIRST RESPONDER COMMUNICATIONS EQUIPMENT STANDARDS

    S&T, in conjunction with the Director of the National 
Institute of Standards and Technology, shall continue assessing 
the compliance of first responder communication equipment with 
common standards for digital public safety radio communications 
(Project 25 standards).
    With the re-allocation of the D Block to the new public 
safety broadband network, S&T shall also develop transitional 
solutions that permit and maintain interoperability among 
legacy public safety communications systems and emerging 
broadband networks.

                                CANINES

    The Committee recognizes the critical benefit canines 
trained to detect explosives provide to homeland security. The 
Committee encourages the Department to support research that 
studies the olfactory system, genetic markers, and behavior 
traits of detection canines in order to increase the 
capabilities and quality of these canines available to the 
government. The Committee also encourages the Department to 
strongly consider the development of standards, protocols and 
certifications for the breeding, training, and deployment of 
explosives-detection canines.

                       TEST AND EVALUATION [T&E]

    Within the amount provided for ``Acquisition, Operations 
and Support'', no less than $6,640,000 shall be for S&T to 
establish policies and procedures for and to coordinate and 
monitor the T&E activities across the DHS acquisition 
framework. Testing and evaluation of new technologies prior to 
their acquisition and deployment will, in the long-run, save 
money through the prevention of wasteful spending.

             DIGITAL IMAGING AND COMMUNICATIONS IN SECURITY

    The Committee is aware that S&T is reviewing a recently 
established standard designed to facilitate the exchange of 
digital information between security-imaging equipment from 
different manufacturers to enhance security screening 
capabilities. Given the potential benefit of this new standard, 
the Committee encourages S&T to complete this review 
expeditiously.

                         LABORATORY FACILITIES

    The Committee recommendation includes $127,432,000 for 
Laboratory Facilities, as requested. No funding was requested 
in the budget for National Bio and Agro Defense Facility [NBAF] 
construction, which is estimated to cost $1,138,000,000. 
According to the Secretary of Homeland Security in testimony 
before the Committee, the Department is re-evaluating the scope 
and costs of the project in light of the Budget Control Act 
spending limits. According to the Department's budget 
justification, ``DHS, beginning in fiscal year 2012, will 
convene an expert and stakeholder taskforce, in conjunction 
with the interagency, to conduct a comprehensive assessment of 
whether and for what purpose a BSL 4 facility should be stood 
up. This taskforce will consider current threats from 
terrorism, foreign animals and the global migration of zoonotic 
diseases to U.S. agriculture. This assessment will also review 
the cost, safety, and any alternatives to the current plan that 
would reduce costs and ensure safety within the overall funding 
constraints established by the Budget Control Act.'' In 
addition, pursuant to a congressional mandate, the National 
Academy of Sciences is reviewing the Department's updated site 
specific risk assessment for the selected site for the NBAF, 
with results due in June 2012. The Committee looks forward to 
the results of both of these studies.

                          UNIVERSITY PROGRAMS

    The Committee recommendation includes $40,000,000 for 
University Programs, as requested.
    The Department of Homeland Security may benefit from a 
broader research effort that could bring a more diverse 
perspective on the development of new technologies to address 
the many challenges faced by the Department in enhancing our 
Nations' security. Other Federal agencies have a broader based 
research effort underway called EPSCoR, the Experimental 
Program to Stimulate Competitive Research, which was initiated 
by the National Science Foundation and has since grown to 
include other Federal agencies. The Committee directs the 
Department to evaluate if an EPSCoR program would be of value 
to DHS.

                   Domestic Nuclear Detection Office


                                SUMMARY

    The Domestic Nuclear Detection Office [DNDO] is responsible 
for development of technologies to detect and report attempts 
to import, possess, store, develop, or transport nuclear and 
radiological material.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $327,977,000 for activities of 
DNDO for fiscal year 2013. The recommendation is an increase of 
$37,977,000 above the fiscal year 2012 level and the same level 
as proposed in the budget request.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                        DOMESTIC NUCLEAR DETECTION OFFICE
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Management and Administration.............................            38,000            39,692            39,692
Research, Development, and Operations.....................           215,000           236,830           236,830
Systems Acquisition.......................................            37,000            51,455            51,455
                                                           -----------------------------------------------------
      Total, Domestic Nuclear Detection Office............           290,000           327,977           327,977
----------------------------------------------------------------------------------------------------------------

                     MANAGEMENT AND ADMINISTRATION

Appropriations, 2012....................................     $38,000,000
Budget estimate, 2013...................................      39,692,000
Committee recommendation................................      39,692,000

    The Management and Administration account funds salaries, 
benefits, and expenses for DNDO.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommendation includes $39,692,000 for 
Management and Administration. The recommendation is an 
increase of $1,692,000 above the fiscal year 2012 level and the 
same level as proposed in the budget request. Of this amount 
the Committee recommends not to exceed $2,250 for official 
reception and representation expenses.

                     STRATEGIC PLAN OF INVESTMENTS

    The Committee includes bill language requiring DNDO to 
update its strategic plan of investments necessary to implement 
the Department's responsibilities under the domestic component 
of the Global Nuclear Detection Architecture. The plan is to:
  --identify the various elements of the domestic architecture 
        and the roles and responsibilities of each Departmental 
        entity;
  --investments being made in fiscal year 2013 and planned for 
        2014 to secure pathways into the United States (sea, 
        land, and air);
  --investments necessary to close known vulnerabilities and 
        gaps, including associated costs and timeframes, and 
        estimates of feasibility and cost effectiveness; and
  --how R&D funding is furthering the implementation of the 
        domestic architecture.
    While the strategic plan of investments is to cover the 
Department's implementation responsibilities, it shall include 
a section on DNDO's focus on surge capabilities and the ability 
of Federal, State, and local level assets to be mobilized 
together to respond to suspected radiological threats.

                 RESEARCH, DEVELOPMENT, AND OPERATIONS

Appropriations, 2012....................................    $215,000,000
Budget estimate, 2013...................................     236,830,000
Committee recommendation................................     236,830,000

    The Research, Development and Operations account funds the 
development of nuclear detection systems and the integration 
and advancement of national nuclear forensics capabilities.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommendation includes $236,830,000 for 
Research, Development and Operations. The recommendation is an 
increase of $21,830,000 above the fiscal year 2012 level and 
the same level as proposed in the budget request.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                      RESEARCH, DEVELOPMENT, AND OPERATIONS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Systems Engineering and Architecture......................            30,000            30,091            30,091
Systems Development.......................................            51,000            28,401            28,401
Transformational Research and Development.................            40,000            83,897            83,897
Assessments...............................................            38,000            33,198            33,198
Operations Support........................................            33,000            35,679            35,679
National Technical Nuclear Forensics Center...............            23,000            25,564            25,564
                                                           -----------------------------------------------------
      Total, Research, Development, and Operations........           215,000           236,830           236,830
----------------------------------------------------------------------------------------------------------------

                          SEMIANNUAL BRIEFINGS

    DNDO shall continue semi-annual briefings on program 
updates and provide periodic updates on any new threats, 
research, and studies and assessments related to the Global 
Nuclear Detection Architecture [GNDA]. Semiannual program 
briefings shall also cover emergent technology solutions being 
explored by DNDO, such as the human portable tripwire program; 
cargo scanning technologies for air, land, and sea ports of 
entry; long-range detection; small vessel standoff detection; 
and related programs. Briefings shall include available test 
and evaluation results and progress made to promote industry 
development of nuclear detection equipment solutions.

                            PVT IMPROVEMENTS

    In fiscal year 2010, Congress appropriated $5,000,000 for 
DNDO to improve operations and capabilities of currently 
deployed polyvinyl toluene [PVT] radiation portal monitors and 
handheld radiation detectors, and to deploy any improvements to 
the field. The Committee is aware of progress made by DNDO in 
this area, such as a capability development plan. Further 
progress is expected in fiscal year 2012, such as the 
completion of a trade study, including energy window 
optimization. DNDO is to provide a copy of the final trade 
study once it is completed and brief the Committee on PVT 
improvements no later than 90 days after the date of enactment 
of this act.

                        RAIL DETECTION SOLUTIONS

    The Committee notes that DNDO did not request systems 
development funding for international rail and on-dock rail 
detection solutions in fiscal year 2013 due to a constrained 
budget and what is described as higher priority initiatives to 
support the GNDA. The Committee understands DNDO will complete 
testing to validate solution capabilities in fiscal year 2012. 
DNDO shall brief the Committee on the results of this testing 
no later than 30 days after the date of enactment of this act. 
If the results of this testing prove successful and result in a 
priority shift in funding needs to support the GNDA, the 
Committee directs DNDO to maintain the possibility of 
restarting these efforts with funding provided for Systems 
Development.

                          TEST AND EVALUATION

    The Committee encourages DNDO to test new radiation 
detection technologies that the commercial sector may offer, 
such as those that have the potential to detect shielded and 
unshielded nuclear materials like advanced radiography and muon 
tomography. DNDO is to provide a report to the Committee no 
later than 120 days after the date of enactment of this act on 
the status of systems being researched, under development, or 
being tested to improve the Nation's ability to prevent 
shielded and unshielded special nuclear material from entering 
the United States.

                          SYSTEMS ACQUISITION

Appropriations, 2012....................................     $37,000,000
Budget estimate, 2013...................................      51,455,000
Committee recommendation................................      51,455,000

    The Systems Acquisition account funds the acquisition of 
equipment for front line users across the Department.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommendation includes $51,455,000 for 
Systems Acquisition. The recommendation is an increase of 
$14,455,000 above the fiscal year 2012 level and the same level 
as proposed in the budget request.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2012 and budget 
request levels:

                                               SYSTEMS ACQUISITION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2012  Fiscal year 2013      Committee
                                                                 enacted       budget request    recommendations
----------------------------------------------------------------------------------------------------------------
Radiation Portal Monitor Program..........................             7,000             1,355             1,355
Securing the Cities.......................................            22,000            22,000            22,000
Human Portable Radiation Detection Systems................             8,000            28,100            28,100
                                                           -----------------------------------------------------
      Total, Systems Acquisition..........................            37,000            51,455            51,455
----------------------------------------------------------------------------------------------------------------

                       RADIATION PORTAL MONITORS

    The Committee recommendation includes $1,355,000 for the 
Radiation Portal Monitor program, as requested. Funds are 
provided to acquire and deploy a limited number of fixed 
systems to airports with heavy volumes of international air 
cargo. DNDO is to keep the Committee apprised of ongoing 
development and testing of systems capable of screening high 
volumes of air cargo for nuclear threats.

                          SECURING THE CITIES

    The Committee recommendation includes $22,000,000 for 
Securing the Cities [STC], as requested. Of this amount, 
$12,000,000 is to continue efforts in New York City and 
$10,000,000 is to initiate the establishment of a STC program 
in another major U.S. city, as requested. Prior to obligating 
funds for a new city, DNDO is to brief the Committee on its 
plans.

               HUMAN PORTABLE RADIATION DETECTION SYSTEMS

    The Committee recommendation includes $28,100,000 for the 
Handheld Portable Radiation Detection Systems program, the same 
level as the budget request and $20,100,000 above the fiscal 
year 2012 appropriation to support CBP, TSA, the Coast Guard, 
and other emergency response officials. Because new systems 
offer greater accuracy in radiation detection, are easier to 
use and less expensive to maintain, the Committee encourages 
DNDO to pursue an aggressive schedule, through competitive 
means. Within the current fiscal constraints, the Committee 
encourages DNDO to recapitalize CBP's existing radioisotope 
identification devices, while continuing to support the 
procurement of handheld devices for TSA and USCG and address 
other vulnerabilities in the GNDA, and to provide the Committee 
with a multiyear procurement forecast and deployment schedule 
by no later than February 5, 2013.

                                TITLE V

                           GENERAL PROVISIONS

                    (INCLUDING RESCISSIONS OF FUNDS)

    Section 501. The bill includes a provision that no part of 
any appropriation shall remain available for obligation beyond 
the current fiscal year unless expressly provided.
    Section 502. The bill includes a provision that unexpended 
balances of prior appropriations may be merged with new 
appropriations accounts and used for the same purpose, subject 
to reprogramming guidelines.
    Section 503. The bill includes a provision that provides 
authority to reprogram appropriations within an account and to 
transfer up to 5 percent between appropriations accounts with 
15-day advance notification of the Committees on 
Appropriations. A detailed funding table identifying each 
congressional control level for reprogramming purposes is 
included at the end of this statement. These reprogramming 
guidelines shall be complied with by all departmental 
components funded by this act.
    The Committee expects the Department to submit 
reprogramming requests on a timely basis, and to provide 
complete explanations of the reallocations proposed, including 
detailed justifications of the increases and offsets, and any 
specific impact the proposed changes will have on the budget 
request for the following fiscal year and future-year 
appropriations requirements. Each request submitted to the 
Committees should include a detailed table showing the proposed 
revisions at the account, program, project, and activity level 
to the funding and staffing (full-time equivalent) levels for 
the current fiscal year and to the levels required for the 
following fiscal year. The Committee continues to be 
disappointed by the quality, level of detail, and timeliness of 
the Department's proposed reprogrammings.
    The Committee expects the Department to manage its programs 
and activities within the levels appropriated. The Committee 
reminds the Department that reprogramming or transfer requests 
should be submitted only in the case of an unforeseeable 
emergency or situation that could not have been predicted when 
formulating the budget request for the current fiscal year. 
When the Department submits a reprogramming or transfer request 
to the Committees on Appropriations and does not receive 
identical responses from the House and Senate, it is the 
responsibility of the Department to reconcile the House and 
Senate differences before proceeding, and if reconciliation is 
not possible, to consider the reprogramming or transfer request 
unapproved.
    The Department shall not propose a reprogramming or 
transfer of funds after June 30 unless there are extraordinary 
circumstances, which place human lives or property in imminent 
danger. To the extent any reprogramming proposals are required, 
the Department is strongly encouraged to submit them well in 
advance of the June 30 deadline.
    Section 504. The bill includes a provision relating to the 
Department's Working Capital Fund [WCF] that: extends the 
authority of the Department's WCF in fiscal year 2013; 
prohibits funds appropriated or otherwise made available to the 
Department from being used to make payments to the WCF, except 
for the activities and amounts allowed in the President's 
fiscal year 2013 budget; makes WCF funds available until 
expended; ensures departmental components are only charged for 
direct usage of each WCF service; makes funds provided to the 
WCF available only for purposes consistent with the 
contributing component; requires the WCF to be paid in advance 
or reimbursed at rates which will return the full cost of each 
service; and subjects the WCF to the requirements of section 
503 of this act. The WCF table included in the Department's 
congressional justification accompanying the President's fiscal 
year 2013 budget shall serve as the control level for 
reprogramming and transfer purposes in compliance with section 
503 of this act.
    Section 505. The bill includes a provision that not to 
exceed 50 percent of unobligated balances remaining at the end 
of fiscal year 2013 from appropriations made for salaries and 
expenses shall remain available through fiscal year 2014, 
subject to reprogramming.
    Section 506. The bill includes a provision providing that 
funds for intelligence activities are specifically authorized 
during fiscal year 2013 until the enactment of an act 
authorizing intelligence activities for fiscal year 2013.
    Section 507. The bill includes a provision requiring 
notification to the Committees 3 business days before any grant 
allocation, grant award, contract award (including Federal 
Acquisition Regulation-covered contracts), other transaction 
agreement, a task or delivery order on a DHS multiple award 
contract, letter of intent, or public announcement of the 
intention to make such an award totaling in excess of 
$1,000,000. If the Secretary determines that compliance would 
pose substantial risk to health, human life, or safety, an 
award may be made without prior notification but the Committees 
shall be notified within 5 full business days after such award 
or letter is issued. Additionally, FEMA is required to brief 
the Committees 5 full business days prior to announcing 
publicly the intention to make an award under State and local 
programs. The 3-day notification also pertains to task or 
delivery order awards greater than $10,000,000 from multiyear 
DHS funds or a task or delivery order that would cause 
cumulative obligations of multiyear funds in a single account 
to exceed 50 percent of the total amount appropriated.
    Section 508. The bill includes a provision that no agency 
shall purchase, construct, or lease additional facilities for 
Federal law enforcement training without the advance approval 
of the Committees on Appropriations.
    Section 509. The bill includes a provision that none of the 
funds may be used for any construction, repair, alteration, or 
acquisition project for which a prospectus, if required under 
chapter 33 of title 40, United States Code, has not been 
approved. The bill excludes funds that may be required for 
development of a proposed prospectus.
    Section 510. The bill includes a provision that 
consolidates, continues, and modifies by reference prior-year 
statutory bill language into one provision. These provisions 
concern contracting officers' training and Federal building 
energy performance. The provision strikes a permanent 
requirement for a report related to Sensitive Security 
Information.
    Section 511. The bill includes a provision that none of the 
funds may be used in contravention of the Buy American Act.
    Section 512. The bill includes a provision prohibiting any 
person other than the privacy officer appointed under 
subsection (a) of section 222 of the Homeland Security Act of 
2002 to alter, direct that changes may be made, delay, or 
prohibit the transmission to Congress of any report prepared 
under paragraph (6) of such subsection.
    Section 513. The bill includes a provision prohibiting 
funds to be used to amend the oath of allegiance required by 
section 337 of the Immigration and Nationality Act (8 U.S.C. 
1448).
    Section 514. The bill includes a provision requiring the 
Chief Financial Officer to submit monthly budget execution and 
staffing reports within 45 days after the close of each month.
    Section 515. The bill includes a provision regarding 
competitive sourcing for United States Citizenship and 
Immigration Services.
    Section 516. The bill includes a provision requiring any 
funds appropriated to Coast Guard for 110-123 foot patrol boat 
conversions that are recovered, collected, or otherwise 
received as a result of negotiation, mediation, or litigation, 
shall be available until expended for the Fast Response Cutter 
program.
    Section 517. The bill includes a provision relating to 
undercover investigative operations authority of the Secret 
Service.
    Section 518. The bill includes a provision classifying the 
functions of instructor staff at FLETC as inherently 
governmental for purposes of the Federal Activities Inventory 
Reform Act of 1998.
    Section 519. The bill includes a provision prohibiting the 
obligation of funds appropriated to the Office of the Secretary 
and Executive Management, the Office of the Under Secretary for 
Management, or the Office of the Chief Financial Officer for 
grants or contracts awarded by any means other than full and 
open competition. Certain exceptions apply. This provision does 
not require new competitions of existing contracts during their 
current terms. The OIG is required to review Departmental 
contracts awarded noncompetitively every 3 years with the next 
report due on February 4, 2015.
    Section 520. The bill includes a provision that precludes 
DHS from using funds in this act to carry out reorganization 
authority. This prohibition is not intended to prevent the 
Department from carrying out routine or small reallocations of 
personnel or functions within components of the Department, 
subject to section 503 of this act.
    Section 521. The bill includes a provision prohibiting the 
Secretary of Homeland Security from reducing operations within 
the Coast Guard's Civil Engineering Program except as 
specifically authorized by a statute enacted after the date of 
enactment of this act.
    Section 522. The bill includes a provision prohibiting 
funding to grant an immigration benefit to any individual 
unless the results of background checks required by statute to 
be completed prior to the grant of a benefit have been received 
by DHS.
    Section 523. The bill includes a provision extending other 
transactional authority for DHS through fiscal year 2013.
    Section 524. The bill includes a provision requiring the 
Secretary to link all contracts that provide award fees to 
successful acquisition outcomes.
    Section 525. The bill includes a provision regarding 
waivers of the Jones Act.
    Section 526. The bill includes a provision prohibiting the 
obligation of funds for the Office of the Secretary and 
Executive Management for any new hires that are not verified 
through the E-Verify Program.
    Section 527. The bill includes a provision prohibiting 
funds from being used to reduce the Coast Guard's Operations 
Systems Center mission or its Government-employed or contract 
staff.
    Section 528. The bill includes a provision contained in 
Public Laws 109-295, 110-161, 110-329, 111-83, 112-10, and 112-
74 related to prescription drugs.
    Section 529. The bill includes a provision prohibiting 
funds to be used to conduct or implement the results of a 
competition under Office of Management and Budget Circular A-76 
with respect to the Coast Guard National Vessel Documentation 
Center.
    Section 530. The bill includes a provision requiring the 
Secretary of Homeland Security, in conjunction with the 
Secretary of the Treasury, to notify the Committees on proposed 
transfers of surplus balances from the Department of the 
Treasury Forfeiture Fund to any agency within the Department of 
Homeland Security.
    The Committee notes that the Fund is comprised of assets 
forfeited to the Federal Government as the result of law 
enforcement investigations and operations conducted primarily 
by agencies of the Department of the Treasury and DHS. The 
President's budget proposes to rescind $830,000,000 of the Fund 
and gives the credit to agencies under the jurisdiction of the 
Financial Services and General Government Appropriations 
Subcommittee. Approximately one-third of the Forfeiture Fund 
balance proposed for rescission is the result of DHS law 
enforcement activities. The Committee directs the President, if 
he proposes to rescind Treasury Forfeiture Funds in his fiscal 
year 2014 budget, to divide the funds equitably between the two 
Departments based upon their contributions to the Fund.
    Section 531. The bill includes a provision prohibiting 
funds from being used to plan, test, pilot, or develop a 
national identification card.
    Section 532. The bill includes a provision requiring a 
report summarizing damage assessment information used to 
determine whether to declare a major disaster.
    Section 533. The bill includes a provision directing that 
any official required by this act to report or certify to the 
Committees on Appropriations may not delegate such authority 
unless expressly authorized to do so in this act.
    Section 534. The bill includes a provision extending the 
risk-based security standards for chemical facilities cited in 
section 550 of Public Law 109-295, as amended, for 1 year.
    Section 535. The bill includes a provision extending 
current law concerning individuals detained at the Naval 
Station, Guantanamo Bay, Cuba.
    Section 536. The bill includes a provision prohibiting 
funds in this act to be used for first-class travel.
    Section 537. The bill includes a provision permanently 
prohibiting funds to be used for adverse personnel actions for 
employees who use protective equipment or measures, including 
surgical masks, N95 respirators, gloves, or hand sanitizers in 
the conduct of their official duties.
    Section 538. The bill includes a provision prohibiting 
funds to be used to employ workers in contravention of section 
274A(h)(3) of the Immigration and Nationality Act.
    Section 539. The bill includes a provision on the proper 
disposal of personal information collected through the 
Registered Traveler program.
    Section 540. The bill includes a provision prohibiting 
funds appropriated or otherwise made available by this act to 
pay for award or incentive fees for contractors with below 
satisfactory performance or performance that fails to meet the 
basic requirements of the contract.
    Section 541. The bill includes language that requires 
certification that the 100 percent screening of air cargo 
carried on passenger aircraft mandate contained in the 9/11 Act 
has been met and biannual reports on the strategy to meet this 
mandate if certification does not occur 180 days after the date 
of enactment of this act.
    Section 542. The bill includes language that requires the 
Secretary to ensure screening of passengers and crews for 
transportation and national security purposes are consistent 
with applicable laws, regulations, and guidance on privacy and 
civil liberties.
    Section 543. A provision is included directing $5,000,000 
in Immigration Examination Fees for the purpose of providing 
immigrant integration grants in fiscal year 2013.
    Section 544. A provision is included that provides an 
additional amount of $7,500,000 for the Federal Emergency 
Management Agency ``State and Local Programs'' to reimburse 
costs incurred by State and local governments affected by 
National Special Security Events, including use of services, 
personnel, equipment, and facilities. The Federal Emergency 
Management Agency shall brief the Committees on Appropriations 
within 30 days of the date of enactment of this act regarding 
the process to distribute this funding, including the 
application process and eligible costs. Funds shall remain 
available until September 30, 2014, and are not subject to any 
legislated timeframes required under ``State and Local 
Programs''.
    Section 545. The bill includes a provision providing some 
flexibility to the Department for financing a response to an 
immigration emergency.
    Section 546. The bill includes a provision prohibiting 
funds appropriated or otherwise made available by this act for 
DHS to enter into a Federal contract unless the contract meets 
requirements of the Federal Property and Administrative 
Services Act of 1949 or chapter 137 of title 10 U.S.C., and the 
Federal Acquisition Regulation, unless the contract is 
otherwise authorized by statute without regard to this section.
    Section 547. The bill includes a provision allowing the 
Secretary to transfer data center migration funds made 
available by this act between appropriations for the same 
purpose after notifying the Committees 15 days in advance. The 
bill provides an additional $64,797,000 for data center 
migration activities to be allocated by the Secretary pursuant 
to this section.
    Section 548. The bill includes a provision permitting the 
Department to sell ICE-owned detention facilities and use the 
proceeds from any sale for improvement to other facilities 
provided that any such sale will not result in the maintenance 
of less than 33,400 detention beds. ICE is required to notify 
the Committees on Appropriations 15 days prior to announcing 
any sale.
    Section 549. The bill includes language that provides a 
total of $89,000,000 for expenses related to the consolidation 
of the new DHS headquarters and mission support activities.
    Section 550. The Committee, in recognition of on-going 
fiscal distress in local communities, provides the Secretary 
with discretion to waive certain requirements of the Federal 
Fire Prevention and Control Act of 1974, including a provision 
which allows grants to be used to retain firefighters, instead 
of only for increasing the number of firefighters. The 
Committee expects that the Secretary will take into 
consideration economic hardship when exercising the waiver 
authority.
    Section 551. The bill includes language directing CBP and 
ICE to submit a multiyear investment and management plan for 
all information technology programs and procurements.
    Section 552. The bill includes language stating that the 
Secretary shall ensure enforcement of all immigration laws.
    Section 553. The bill includes language authorizing an 
increase to aviation security passenger fees for fiscal year 
2013.
    Section 554. The bill includes language extending the 
authorization of four immigration programs--the E-Verify, EB-5, 
Special Immigrant Nonminister Religious Worker, and Conrad 
State 30 J-1 Visa Waiver programs--for an additional 2 years. 
These programs each were extended for a 3-year period expiring 
September 30, 2012, in the fiscal year 2010 Department of 
Homeland Security Appropriations Act (Public Law 111-83). 
Approximately 17,400,000 new hires were processed through E-
Verify in fiscal year 2011 and the program continues to grow by 
approximately 1,000 new employers per week. Since its inception 
in 1990 through December 30, 2011, USCIS estimates that a 
minimum of 43,280 jobs have been created and more than 
$2,200,000,000 has been invested through the EB-5 program. 
Since fiscal year 2010, more than 1,900 non-minister immigrant 
worker visas have been approved. Under the Conrad 30 rural 
nurses and doctors program, up to 1,500 visas may be granted to 
medical professionals committing to working in rural 
communities.
    Section 555. The bill includes a provision requested in the 
budget authorizing CBP to enter into reimbursable fee 
agreements for the provision of CBP services and any other 
costs incurred by CBP relating to such services. Current 
statutory limitations on CBP's authority to receive outside 
funding, except in narrowly defined instances, have prevented 
CBP from receiving reimbursement from private sector and 
international, State, and local partners. Funds collected 
pursuant to this section shall be deposited in the U.S. Customs 
and Border Protection ``Salaries and Expenses'' account as 
offsetting collections and remain available until expended, 
without fiscal year limitation. They can be used to pay for any 
expenses incurred by CBP in providing CBP services and any 
other costs incurred by CBP relating to such services.
    The Committee expects this provision to be used on a 
limited basis, noting that when it is exercised, CBP should 
deduct user fees collected from the total amount charged for 
services so not to be compensated twice per inspection. CBP 
shall provide semiannual reports to the Committee on each 
request received, the reasons for its approval or denial, the 
anticipated and actual revenue received, and the service 
provided, including number of CBP officers funded. Language is 
included prohibiting the CBP Commissioner from entering into an 
agreement if it would negatively impact or alter services at an 
existing facility.
    Section 556. The bill includes a provision requiring the 
Secretary to submit reports to the DHS OIG on costs and 
contract procedures related to conferences costing in excess of 
$20,000.
    Section 557. The bill includes language regarding the 
number of employees permitted to attend international 
conferences.
    Section 558. The bill includes a provision withholding 59 
percent of funds available to the Office of the Secretary and 
Executive Management, the Office of the Under Secretary for 
Management, and the Office of the Chief Financial Officer until 
all statutorily required expenditure plans, investment plans, 
and acquisition plans are submitted to the Committees.
    Section 559. The bill includes a provision authorizing 
collection of a $30 fee for all diversity visa lottery 
applications. In order to address any issues regarding possible 
fraud within the diversity visa lottery program, the Department 
of State, in consultation with DHS, is directed to report to 
the Committees no later than 90 days after the date of 
enactment of this act on the steps being taken to implement the 
recommendations of GAO report (GAO-07-1174). This 
recommendation facilitates immigration enforcement efforts, 
including detention beds, investigations, and costs related to 
removal of aliens.
    Section 560. The bill includes a provision related to 
community disaster loans.
    Section 561. The bill includes a provision creating a 
Department of Homeland Security Forfeiture Fund effective in 
fiscal year 2014. The Committee assumes that the Treasury 
Forfeiture Fund process will continue under current law and 
procedures during fiscal year 2013.
    Section 562. The bill includes a provision modifying the 
Visa Waiver Program to permit the entry of additional member 
countries based on adjusting the criteria for visa refusal 
rates if a country has a low visa overstay rate while 
maintaining the security requirements of the Visa Waiver 
Program. The waiver authority shall remain in effect until 
September 30, 2014.
    Section 563. The bill includes a provision regarding the 
transfer of an operable firearm by a Federal law enforcement 
officer to an agent of a drug cartel.
    Section 564. The bill includes a provision regarding an OIG 
review and arbitration of disaster assistance.
    Section 565. The bill includes a provision rescinding 
unobligated balances of prior year appropriations in multiple 
appropriations across the Department. This amount includes 
$59,000,000 from Coast Guard prior year balances, of which 
$25,000,000 is from post-production costs for the 4th National 
Security Cutter and $20,000,000 is from post-production costs 
for the 5th National Security Cutter. The Coast Guard cannot 
make use of these funds before they expire. The remaining 
$14,000,000 is from funding for systems engineering and 
integration activities. As the Coast Guard assumed control of 
the lead systems integrator role for asset recapitalization, 
these funds are no longer necessary. A total of $92,000,000 is 
rescinded from funds made available in Public Law 112-10 and 
Public Law 112-74 for ``Border Security Fencing, 
Infrastructure, and Technology''.
    Section 566. The bill includes a $12,000,000 rescission of 
the unobligated prior year balances available for FEMA 
``National Predisaster Mitigation Fund''.
    Section 567. The bill includes rescissions of prior year 
balances from funds transferred to the Department when it was 
created in 2003.

                     PROGRAM, PROJECT, AND ACTIVITY

    In fiscal year 2013, for purposes of the Balanced Budget 
and Emergency Deficit Control Act of 1985 (Public Law 99-177), 
as amended, the following information provides the definition 
of the term ``program, project, and activity'' for the 
components of the Department of Homeland Security under the 
jurisdiction of the Homeland Security Subcommittee of the 
Committee on Appropriations. The term ``program, project, and 
activity'' shall include the most specific level of budget 
items identified in the Department of Homeland Security 
Appropriations Act, 2013, the House and Senate Committee 
reports, and the conference report and accompanying joint 
explanatory statement of the managers of the committee of 
conference.
    If a percentage reduction is necessary, in implementing 
that reduction, components of the Department of Homeland 
Security shall apply any percentage reduction required for 
fiscal year 2013 to all items specified in the justifications 
submitted to the Committees on Appropriations of the Senate and 
the House of Representatives in support of the fiscal year 2013 
budget estimates, as amended, for such components, as modified 
by congressional action.

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

    Paragraph 7 of rule XVI requires that Committee reports 
accompanying general appropriations bills identify each 
recommended amendment 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 Committee is filing an original bill, which is not 
covered under this rule, but reports this information in the 
spirit of full disclosure.
    The Committee recommends funding for the following programs 
or activities which currently lack authorization for fiscal 
year 2013:
    U.S. Customs and Border Protection: Salaries and Expenses; 
Automation Modernization; Border Security Fencing, 
Infrastructure, and Technology; Air and Marine Interdiction, 
Operations, Maintenance, and Procurement; Construction and 
Facilities Management; and U.S. Visitor and Immigrant Status 
Indicator Technology;
    U.S. Immigration and Customs Enforcement: Salaries and 
Expenses; and Automation Modernization; and Construction;
    Transportation Security Administration: Aviation Security; 
Surface Transportation Security; Transportation Threat 
Assessment and Credentialing; Transportation Security Support; 
and Federal Air Marshals;
    Coast Guard: Operating Expenses; Environmental Compliance 
and Restoration; Reserve Training; Acquisition, Construction, 
and Improvements; Research, Development, Test, and Evaluation; 
and Retired Pay;
    United States Secret Service: Salaries and Expenses; and 
Acquisition, Construction, Improvements, and Related Expenses;
    National Protection and Programs Directorate: Management 
and Administration;
    Office of Health Affairs;
    Federal Emergency Management Agency: Salaries and Expenses; 
State and Local Programs; Disaster Relief; Flood Hazard Mapping 
and Risk Analysis; Firefighter Assistance Grants; National 
Flood Insurance Fund; and Emergency Food and Shelter; and
    United States Citizenship and Immigration Services.

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

    Pursuant to paragraph 7(c) of rule XXVI, on May 22, 2012, 
the Committee ordered reported the bill (S. 3216), making 
appropriations for the Department of Homeland Security for the 
fiscal year ending September 30, 2013, and for other purposes, 
subject to amendment, by a recorded vote of 27-3, a quorum 
being present. The vote was as follows:
        Yeas                          Nays
Chairman Inouye                     Mrs. Hutchison
Mr. Leahy                           Mr. Moran
Mr. Harkin                          Mr. Johnson (WI)
Ms. Mikulski
Mr. Kohl
Mrs. Murray
Mrs. Feinstein
Mr. Durbin
Mr. Johnson (SD)
Ms. Landrieu
Mr. Reed
Mr. Lautenberg
Mr. Nelson
Mr. Pryor
Mr. Tester
Mr. Brown
Mr. Cochran
Mr. McConnell
Mr. Shelby
Mr. Alexander
Ms. Collins
Ms. Murkowski
Mr. Graham
Mr. Kirk
Mr. Coats
Mr. Blunt
Mr. Hoeven

 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, 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 italic; and existing law in which no change is 
proposed is shown in roman.

                       TITLE 6--DOMESTIC SECURITY


               CHAPTER 1--HOMELAND SECURITY ORGANIZATION


  SUBCHAPTER VIII--COORDINATION WITH NON-FEDERAL ENTITIES; INSPECTOR 
 GENERAL; UNITED STATES SECRET SERVICE; COAST GUARD; GENERAL PROVISIONS


                          PART D--ACQUISITIONS

Sec. 391. Research and development projects

(a) Authority

    [Until September 30, 2012,] Until September 30, 2013, and 
subject to subsection (d), the Secretary may carry out a pilot 
program under which the Secretary may exercise the following 
authorities:

           *       *       *       *       *       *       *

(c) Additional requirements

        (1) In general

            The authority of the Secretary under this section 
        shall terminate [September 30, 2012,] September 30, 
        2013, unless before that date the Secretary--
                                ------                                


                    TITLE 8--ALIENS AND NATIONALITY


                CHAPTER 12--IMMIGRATION AND NATIONALITY


                       SUBCHAPTER II--IMMIGRATION


                        Part I--Selection System


Sec. 1154. Procedure for granting immigrant status

(a) Petitioning procedure

        (1)(A)(i) Except as provided in clause (viii), any 
        citizen of the United States claiming that an alien is 
        entitled to classification by reason of a relationship 
        described in paragraph (1), (3), or (4) of section 
        1153(a) of this title or to an immediate relative 
        status under section 1151(b)(2)(A)(i) of this title may 
        file a petition with the Attorney General for such 
        classification.
                (ii) An alien spouse described in the second 
                sentence of section 1151(b)(2)(A)(i) of this 
                title also may file a petition with the 
                Attorney General under this subparagraph for 
                classification of the alien (and the alien's 
                children) under such section.
                (iii)(I) An alien who is described in subclause 
                (II) may file a petition with the Attorney 
                General under this clause for classification of 
                the alien (and any child of the alien) if the 
                alien demonstrates to the Attorney General 
                that--
                        (aa) the marriage or the intent to 
                        marry the United States citizen was 
                        entered into in good faith by the 
                        alien; and
                        (bb) during the marriage or 
                        relationship intended by the alien to 
                        be legally a marriage, the alien or a 
                        child of the alien has been battered or 
                        has been the subject of extreme cruelty 
                        perpetrated by the alien's spouse or 
                        intended spouse.
                (iv) Each petition filed under this 
                subparagraph shall be accompanied by a fee 
                equal to $30. All amounts collected under this 
                clause shall be covered into the Treasury as 
                miscellaneous receipts.

           *       *       *       *       *       *       *


    Part II--Admission Qualifications For Aliens; Travel Control of 
                          Citizens and Aliens


Sec. 1187. Visa waiver program for certain visitors

(a) Establishment of program

    The [Attorney General] Secretary of Homeland Security and 
the Secretary of State are authorized to establish a program 
(hereinafter in this section referred to as the ``program'') 
under which the requirement of paragraph (7)(B)(i)(II) of 
section 1182(a) of this title may be waived by the [Attorney 
General] Secretary of Homeland Security, in consultation with 
the Secretary of State and in accordance with this section, in 
the case of an alien who meets the following requirements:

           *       *       *       *       *       *       *

        (1) Seeking entry as tourist for 90 days or less

           *       *       *       *       *       *       *

        (4) Executes immigration forms

            The alien before the time of such admission 
        completes such immigration form as the [Attorney 
        General] Secretary of Homeland Security shall 
        establish.

        (5) Entry into the United States

            If arriving by sea or air, the alien arrives at the 
        port of entry into the United States on a carrier, 
        including any carrier conducting operations under part 
        135 of title 14, Code of Federal Regulations, or a 
        noncommercial aircraft that is owned or operated by a 
        domestic corporation conducting operations under part 
        91 of title 14, Code of Federal Regulations\1\ which 
        has entered into an agreement with the [Attorney 
        General] Secretary of Homeland Security pursuant to 
        subsection (e) of this section. The [Attorney General] 
        Secretary of Homeland Security is authorized to require 
        a carrier conducting operations under part 135 of title 
        14, Code of Federal Regulations, or a domestic 
        corporation conducting operations under part 91 of that 
        title, to give suitable and proper bond, in such 
        reasonable amount and containing such conditions as the 
        [Attorney General] Secretary of Homeland Security may 
        deem sufficient to ensure compliance with the 
        indemnification requirements of this section, as a term 
        of such an agreement.
---------------------------------------------------------------------------
    \1\So in original. Probably should be followed by a comma.

           *       *       *       *       *       *       *

---------------------------------------------------------------------------
        (8) Round-trip ticket

            The alien is in possession of a round-trip 
        transportation ticket (unless this requirement is 
        waived by the [Attorney General] Secretary of Homeland 
        Security under regulations or the alien is arriving at 
        the port of entry on an aircraft operated under part 
        135 of title 14, Code of Federal Regulations, or a 
        noncommercial aircraft that is owned or operated by a 
        domestic corporation conducting operations under part 
        91 of title 14, Code of Federal Regulations).

           *       *       *       *       *       *       *

        (10) Electronic transmission of identification 
        information

            Operators of aircraft under part 135 of title 14, 
        Code of Federal Regulations, or operators of 
        noncommercial aircraft that are owned or operated by a 
        domestic corporation conducting operations under part 
        91 of title 14, Code of Federal Regulations, carrying 
        any alien passenger who will apply for admission under 
        this section shall furnish such information as the 
        [Attorney General] Secretary of Homeland Security by 
        regulation shall prescribe as necessary for the 
        identification of any alien passenger being transported 
        and for the enforcement of the immigration laws. Such 
        information shall be electronically transmitted not 
        less than one hour prior to arrival at the port of 
        entry for purposes of checking for inadmissibility 
        using the automated electronic database.

(c) Designation of program countries

        [(1) In general

            [The [Attorney General] Secretary of Homeland 
        Security, in consultation with the Secretary of State, 
        may designate any country as a program country if it 
        meets the requirements of paragraph (2).]
            (1) Authority to designate; definitions.--
                    (A) Authority to designate.--The Secretary 
                of Homeland Security, in consultation with the 
                Secretary of State, may designate any country 
                as a program country if that country meets the 
                requirements under paragraph (2).
                    (B) Definitions.--In this subsection:
                            (i) Appropriate congressional 
                        committees.--The term ``appropriate 
                        congressional committees'' means--
                                    (I) the Committee on 
                                Foreign Relations, the 
                                Committee on Homeland Security 
                                and Governmental Affairs, and 
                                the Committee on the Judiciary 
                                of the Senate; and
                                    (II) the Committee on 
                                Foreign Affairs, the Committee 
                                on Homeland Security, and the 
                                Committee on the Judiciary of 
                                the House of Representatives.
                            (ii) Overstay rate.--
                                    (I) Initial designation.--
                                The term ``overstay rate'' 
                                means, with respect to a 
                                country being considered for 
                                designation in the program, the 
                                ratio of--
                                            (aa) the number of 
                                        nationals of that 
                                        country who were 
                                        admitted to the United 
                                        States on the basis of 
                                        a nonimmigrant visa 
                                        under section 
                                        101(a)(15)(B) whose 
                                        periods of authorized 
                                        stay ended during a 
                                        fiscal year but who 
                                        remained unlawfully in 
                                        the United States 
                                        beyond such periods; to
                                            (bb) the number of 
                                        nationals of that 
                                        country who were 
                                        admitted to the United 
                                        States on the basis of 
                                        a nonimmigrant visa 
                                        under section 
                                        101(a)(15)(B) whose 
                                        periods of authorized 
                                        stay ended during that 
                                        fiscal year.
                                    (II) Continuing 
                                designation.--The term 
                                ``overstay rate'' means, for 
                                each fiscal year after initial 
                                designation under this section 
                                with respect to a country, the 
                                ratio of--
                                            (aa) the number of 
                                        nationals of that 
                                        country who were 
                                        admitted to the United 
                                        States under this 
                                        section or on the basis 
                                        of a nonimmigrant visa 
                                        under section 
                                        101(a)(15)(B) whose 
                                        periods of authorized 
                                        stay ended during a 
                                        fiscal year but who 
                                        remained unlawfully in 
                                        the United States 
                                        beyond such periods; to
                                            (bb) the number of 
                                        nationals of that 
                                        country who were 
                                        admitted to the United 
                                        States under this 
                                        section or on the basis 
                                        of a nonimmigrant visa 
                                        under section 
                                        101(a)(15)(B) whose 
                                        periods of authorized 
                                        stay ended during that 
                                        fiscal year.
                                    (III) Computation of 
                                overstay rate.--In determining 
                                the over stay rate for a 
                                country, the Secretary of 
                                Homeland Security may utilize 
                                information from any available 
                                databases to ensure the 
                                accuracy of such rate.
                            (iii) Program country.--The term 
                        ``program country'' means a country 
                        designated as a program country under 
                        subparagraph (A).

        [(2) Qualifications

            [Except as provided in subsection (f) of this 
        section, a country may not be designated as a program 
        country unless the following requirements are met:

                [(A) Low nonimmigrant visa refusal rate

                    [Either--

                            [(i) the average number of refusals 
                        of nonimmigrant visitor visas for 
                        nationals of that country during--
                                    [(I) the two previous full 
                                fiscal years was less than 2.0 
                                percent of the total number of 
                                nonimmigrant visitor visas for 
                                nationals of that country which 
                                were granted or refused during 
                                those years; and
                                    [(II) either of such two 
                                previous full fiscal years was 
                                less than 2.5 percent of the 
                                total number of nonimmigrant 
                                visitor visas for nationals of 
                                that country which were granted 
                                or refused during that year;
                            [(ii) such refusal rate for 
                        nationals of that country during the 
                        previous full fiscal year was less than 
                        3.0 percent.]
                    (A) General numerical limitations.--
                            (i) Low nonimmigrant visa refusal 
                        rate.--The percentage of nationals of 
                        that country refused nonimmigrant visas 
                        under section 101(a)(15)(B) during the 
                        previous full fiscal year was not more 
                        than 3 percent of the total number of 
                        nationals of that country who were 
                        granted or refused nonimmigrant visas 
                        under such section during such year.
                            (ii) Low nonimmigrant overstay 
                        rate.--The overstay rate for that 
                        country was not more than 3 percent 
                        during the previous fiscal year.

           *       *       *       *       *       *       *

                [(C) Law enforcement and security interests

                    [The [Attorney General] Secretary of 
                Homeland Security, in consultation with the 
                Secretary of State--
                            [(i) evaluates the effect that the 
                        country's designation would have on the 
                        law enforcement and security interests 
                        of the United States (including the 
                        interest in enforcement of the 
                        immigration laws of the United States 
                        and the existence and effectiveness of 
                        its agreements and procedures for 
                        extraditing to the United States 
                        individuals, including its own 
                        nationals, who commit crimes that 
                        violate United States law);
                            [(ii) determines that such 
                        interests would not be compromised by 
                        the designation of the country; and
                            [(iii) submits a written report to 
                        the [Committee on the Judiciary and the 
                        Committee on International Relations of 
                        the House of Representatives and the 
                        Committee on the Judiciary and the 
                        Committee on Foreign Relations of the 
                        Senate] appropriate congressional 
                        committees regarding the country's 
                        qualification for designation that 
                        includes an explanation of such 
                        determination.]

           *       *       *       *       *       *       *

        [(3) Continuing and subsequent qualifications

            [For each fiscal year after the initial period--

                [(A) Continuing qualification

                    [In the case of a country which was a 
                program country in the previous fiscal year, a 
                country may not be designated as a 
                programcountry unless the sum of--
                            [(i) the total of the number of 
                        nationals of that country who were 
                        denied admission at the time of arrival 
                        or withdrew their application for 
                        admission during such previous fiscal 
                        year as a nonimmigrant visitor, and
                            [(ii) the total number of nationals 
                        of that country who were admitted as 
                        nonimmigrant visitors during such 
                        previous fiscal year and who violated 
                        the terms of such admission, was less 
                        than 2 percent of the total number of 
                        nationals of that country who applied 
                        for admission as nonimmigrant visitors 
                        during such previous fiscal year.

                [(B) New countries

                    [In the case of another country, the 
                country may not be designated as a program 
                country unless the following requirements are 
                met:

                        [(i) Low nonimmigrant visa refusal rate 
                        in previous 2-year period

                            [The average number of refusals of 
                        nonimmigrant visitor visas for 
                        nationals of that country during the 
                        two previous full fiscal years was less 
                        than 2 percent of the total number of 
                        nonimmigrant visitor visas for 
                        nationals of that country which were 
                        granted or refused during those years.
                            [(ii) Low nonimmigrant visa refusal 
                        rate in each of the 2 previous years 
                        The average number of refusals of 
                        nonimmigrant visitor visas for 
                        nationals of that country during either 
                        of such two previous full fiscal years 
                        was less than 2.5 percent of the total 
                        number of nonimmigrant visitor visas 
                        for nationals of that country which 
                        were granted or refused during that 
                        year.]
            (3) Qualification criteria.--After the initial 
        period, a country may not be designated as a program 
        country unless the Secretary of Homeland Security, in 
        consultation with the Secretary of State, determines, 
        pursuant to the requirements under paragraph (5), that 
        the designation will be continued.

           *       *       *       *       *       *       *

        (5) Written reports on continuing qualification; 
        designation terminations

                (A) Periodic evaluations

                        (i) In general

           *       *       *       *       *       *       *

                                    (I) * * *
                                    [(II) shall determine, 
                                based upon the evaluation in 
                                subclause (I), whether any such 
                                designation ought to be 
                                continued or terminated under 
                                subsection (d) of this 
                                section;]
                                    (II) shall determine, based 
                                upon the evaluation in 
                                subclause (I), whether any such 
                                designation under subsection 
                                (d) or (f), or probation under 
                                subsection (f), ought to be 
                                continued or terminated;
                                    (III) shall submit a 
                                written report to the 
                                [Committee on the Judiciary, 
                                the Committee on Foreign 
                                Affairs, and the Committee on 
                                Homeland Security, of the House 
                                of Representatives and the 
                                Committee on the Judiciary, the 
                                Committee on Foreign Relations, 
                                and the Committee on Homeland 
                                Security and Governmental 
                                Affairs of the Senate] 
                                appropriate congressional 
                                committees regarding the 
                                continuation or termination of 
                                the country's designation that 
                                includes an explanation of such 
                                determination andthe effects 
                                described in subclause (I); and

           *       *       *       *       *       *       *

        [(6) Computation of visa refusal rates

            [For purposes of determining the eligibility of a 
        country to be designated as a program country, the 
        calculation of visa refusal ratesshall not include any 
        visa refusals which incorporate any procedures based 
        on, or are otherwise based on, race, sex, or 
        disability, unlessotherwise specifically authorized by 
        law or regulation. No court shall have jurisdiction 
        under this paragraph to review any visa refusal,the 
        denial of admission to the United States of any alien 
        by the [Attorney General] Secretary of Homeland 
        Security, the Secretary's computation of the visa 
        refusal rate, or the designation or nondesignation of 
        any country.]
            (6) Computation of visa refusal rates and judicial 
        review.--
                    (A) Computation of visa refusal rates.--For 
                purposes of determining the eligibility of a 
                country to be designated as a program country, 
                the calculation of visa refusal rates shall not 
                include any visa refusals which incorporate any 
                procedures based on, or are otherwise based on, 
                race, sex, or disability, unless otherwise 
                specifically authorized by law or regulation.
                    (B) Judicial review.--No court shall have 
                jurisdiction under this section to review any 
                visa refusal, the Secretary of State's 
                computation of a visa refusal rate, the 
                Secretary of Homeland Security's computation of 
                an overstay rate, or the designation or 
                nondesignation of a country as a program 
                country.

        (7) Visa [waiver information] waiver information.--In 
        refusing

                [(A) In general]

                    [In refusing] the application of nationals 
                of a program country for United States visas, 
                or the applications of nationals of a 
                countryseeking entry into the visa waiver 
                program, a consular officer shall not knowingly 
                or intentionally classify the refusal of the 
                visa under a category that is not included in 
                the calculation of the visa refusal rate only 
                so that the percentage of that country's visa 
                refusals is less than the percentage limitation 
                applicable to qualification for participation 
                in the visa waiver program.

           *       *       *       *       *       *       *

                [(D) Consideration of countries in the visa 
                waiver program

                    [Upon notification to the [Attorney 
                General] Secretary of Homeland Security that a 
                country is under consideration for inclusion in 
                the visa waiver program, the Secretary of State 
                shall provide all of the information described 
                in subparagraph (B) to the [Attorney General] 
                Secretary of Homeland Security.

                [(E) Definition

                    [In this paragraph, the term ``appropriate 
                congressional committees'' means the Committee 
                on the Judiciary and the Committee on Foreign 
                Relations of the Senate and the Committee on 
                the Judiciary and the Committee on 
                International Relations of the House of 
                Representatives.]

        [(8) Nonimmigrant visa refusal rate flexibility

                [(A) Certification

                        [(i) In general

                            [On the date on which an air exit 
                        system is in place that can verify the 
                        departure of not less than 97 percent 
                        of foreign nationalswho exit through 
                        airports of the United States and the 
                        electronic travel authorization system 
                        required under subsection (h)(3) is 
                        fully operational, the Secretary of 
                        Homeland Security shall certify to 
                        Congress that such air exit system and 
                        electronic travel authorization system 
                        are in place.

                        [(ii) Notification to Congress

                            [The Secretary shall notify 
                        Congress in writing of the date on 
                        which the air exit system under clause 
                        (i) fully satisfies the biometric 
                        requirements specified in subsection 
                        (i).

                        [(iii) Temporary suspension of waiver 
                        authority

                            [Notwithstanding any certification 
                        made under clause (i), if the Secretary 
                        has not notified Congress in accordance 
                        with clause (ii) by June 30, 2009, the 
                        Secretary's waiver authority under 
                        subparagraph (B) shall be suspended 
                        beginning on July 1, 2009, until such 
                        time as the Secretary makes such 
                        notification.

                        [(iv) Rule of construction

                            [Nothing in this paragraph shall be 
                        construed as in any way abrogating the 
                        reporting requirements under subsection 
                        (i)(3).

                [(B) Waiver

                    [After certification by the Secretary under 
                subparagraph (A), the Secretary, in 
                consultation with the Secretary of State, may 
                waive the application of paragraph (2)(A) for a 
                country if--
                            [(i) the country meets all security 
                        requirements of this section; (ii) the 
                        Secretary of Homeland Security 
                        determines that the totality of the 
                        country's security risk mitigation 
                        measures provide assurance that the 
                        country's participation in the program 
                        would not compromise the law 
                        enforcement, security interests, or 
                        enforcement of the immigration laws of 
                        the United States;
                            [(ii) the Secretary of Homeland 
                        Security determines that the totality 
                        of the country's security risk 
                        mitigation measures provide assurance 
                        that the country's participation in the 
                        program would not compromise the law 
                        enforcement, security interests, or 
                        enforcement of the immigration laws of 
                        the United States;
                            [(iii) there has been a sustained 
                        reduction in the rate of refusals for 
                        nonimmigrant visas for nationals of the 
                        country and conditionsexist to continue 
                        such reduction;
                            [(iv) the country cooperated with 
                        the Government of the United States on 
                        counterterrorism initiatives, 
                        information sharing, and preventing 
                        terrorist travel before the date of its 
                        designation as a program country, and 
                        the Secretary of Homeland Security and 
                        the Secretary of State determine that 
                        such cooperation will continue;and
                            [(v)(I) the rate of refusals for 
                        nonimmigrant visitor visas for 
                        nationals of the country during the 
                        previous full fiscal year was not more 
                        than ten percent; or
                            [(II) the visa overstay rate for 
                        the country for the previous full 
                        fiscal year does not exceed the maximum 
                        visa overstay rate, once such rate is 
                        established under subparagraph (C).

                [(C) Maximum visa overstay rate

                        [(i) Requirement to establish

                            [After certification by the 
                        Secretary under subparagraph (A), the 
                        Secretary and the Secretary of State 
                        jointly shall use informationfrom the 
                        air exit system referred to in such 
                        subparagraph to establisha maximum visa 
                        overstay rate for countries 
                        participating in the program pursuant 
                        to a waiver under subparagraph (B). The 
                        Secretary of Homeland Security shall 
                        certify to Congress that such rate 
                        wouldnot compromise the law 
                        enforcement, security interests, or 
                        enforcement of the immigration laws of 
                        the United States.

                        [(ii) Visa overstay rate defined In 
                        this paragraph the term ``visa overstay 
                        rate'' means, with respect to a 
                        country, the ratio of--
                                [(I) the total number of 
                                nationals of that country who 
                                were admitted to the United 
                                States on the basis of a 
                                nonimmigrant visa whose periods 
                                of authorized stays ended 
                                during a fiscal year but who 
                                remained unlawfully in the 
                                United States beyond such 
                                periods; to
                                [(II) the total number of 
                                nationals of that country who 
                                were admitted to the United 
                                States on the basis of a 
                                nonimmigrant visa during that 
                                fiscal year.

                        [(iii) Report and publication

                            [The Secretary of Homeland Security 
                        shall on the same date submit to 
                        Congress and publish in the Federal 
                        Register information relating to the 
                        maximum visa overstay rate established 
                        under clause (i). Not later than 60 
                        days after such date, the Secretary 
                        shall issue a final maximum visa 
                        overstay rate above which a country may 
                        not participate in the program.]
                    (8) Waiver authority.--The Secretary of 
                Homeland Security, in consultation with the 
                Secretary of State, may waive the application 
                of paragraph (2)(A)(i) for a country if--
                    (A) the country meets all other 
                requirements of paragraph (2);
                    (B) the Secretary of Homeland Security 
                determines that the totality of the country's 
                security risk mitigation measures provide 
                assurance that the country's participation in 
                the program would not compromise the law 
                enforcement, security interests, or enforcement 
                of the immigration laws of the United States;
                    (C) there has been a general downward trend 
                in the percentage of nationals of the country 
                refused nonimmigrant visas under section 
                101(a)(15)(B);
                    (D) the country consistently cooperated 
                with the Government of the United States on 
                counterterrorism initiatives, information 
                sharing, preventing terrorist travel, and 
                extradition of the country's nationals to the 
                United States before the date of its 
                designation as a program country, and the 
                Secretary of Homeland Security and the 
                Secretary of State assess that such cooperation 
                is likely to continue; and
                    (E) the percentage of nationals of the 
                country refused a nonimmigrant visa under 
                section 101(a)(15)(B) during the previous full 
                fiscal year was not more than 10 percent of the 
                total number of nationals of that country who 
                were granted or refused such nonimmigrant 
                visas.

           *       *       *       *       *       *       *

(e) Carrier agreements

        (1) In general

            The agreement referred to in subsection (a)(4) of 
        this section is an agreement between a carrier 
        (including any carrier conducting operations under part 
        135 of title 14, Code of Federal Regulations) or a 
        domestic corporation conducting operations under part 
        91 of that title and the [Attorney General] Secretary 
        of Homeland Security under which the carrier (including 
        any carrier conducting operations under part 135 of 
        title 14, Code of Federal Regulations) or a domestic 
        corporation conducting operations under part 91 of that 
        title agrees, in consideration of the waiver of the 
        visa requirement with respect to a nonimmigrant visitor 
        under the program--
                (A) * * *

           *       *       *       *       *       *       *

                (C) to be subject to the imposition of fines 
                resulting from the transporting into the United 
                States of a national of a designatedcountry 
                without a passport pursuant to regulations 
                promulgated by the [Attorney General] Secretary 
                of Homeland Security, and

           *       *       *       *       *       *       *

        (2) Termination of agreements

            The [Attorney General] Secretary of Homeland 
        Security may terminate an agreement under paragraph (1) 
        with five days' notice to the carrier (including any 
        carrier conducting operations under part 135 of title 
        14, Code of Federal Regulations) or a domestic 
        corporation conducting operations under part 91 of that 
        title for the failure by a carrier (including any 
        carrier conducting operations under part 135 of title 
        14, Code of Federal Regulations) or a domestic 
        corporation conducting operations under part 91 of that 
        title to meet the terms of such agreement.

        (3) Business aircraft requirements

                (A) In general

                    For purposes of this section, a domestic 
                corporation conducting operations under part 91 
                of title 14, Code of Federal Regulations\2\ 
                that owns or operates a noncommercial aircraft 
                is a corporation that is organized under the 
                laws of any of the States of the United States 
                or the District of Columbia and is accredited 
                by or a member of a national organization that 
                sets business aviation standards. The Attorney 
                General shall prescribe by regulation the 
                provision of such information as the [Attorney 
                General] Secretary of Homeland Security deems 
                necessary to identify the domestic corporation, 
                its officers, employees, shareholders, its 
                place of business, and its business activities.
---------------------------------------------------------------------------
    \2\So in original. Probably should be followed by a comma.

---------------------------------------------------------------------------
                (B) Collections

                    In addition to any other fee authorized by 
                law, the [Attorney General] Secretary of 
                Homeland Security is authorized to charge and 
                collect, on a periodic basis, an amount from 
                each domestic corporation conducting operations 
                under part 91 of title 14, Code of Federal 
                Regulations, for nonimmigrant visa waiver 
                admissions on noncommercial aircraft owned or 
                operated by such domestic corporation equal to 
                the total amount of fees assessed for issuance 
                of nonimmigrant visa waiver arrival/departure 
                forms at land border ports of entry. All fees 
                collected under this paragraph shall be 
                deposited into the Immigration User Fee Account 
                established under section 1356(h) of this 
                title.
[(f) Duration and termination of designation

        [(1) In general

                [(A) Determination and notification of 
                disqualification rate

                    [Upon determination by the [Attorney 
                General] Secretary of Homeland Security that a 
                program country's disqualification rate is 2 
                percent or more, the Attorney General shall 
                notify the Secretary of State.

                [(B) Probationary status

                    [If the program country's disqualification 
                rate is greater than 2 percent but less than 
                3.5 percent, the [Attorney General] Secretary 
                of Homeland Security shall place the program 
                country in probationary status for a period not 
                to exceed 2 full fiscal yearsfollowing the year 
                in which the determination under subparagraph 
                (A) is made.

                [(C) Termination of designation

                    [Subject to paragraph (3), if the program 
                country's disqualification rate is 3.5 percent 
                or more, the [Attorney General] Secretary of 
                Homeland Security shall terminate the country's 
                designation as a program country effective at 
                the beginning of the second fiscal year 
                following the fiscal year in which the 
                determination under subparagraph (A) is made.

        [(2) Termination of probationary status

                [(A) In general

                    If the [Attorney General] Secretary of 
                Homeland Security determines at the end of the 
                probationary period described in paragraph 
                (1)(B) that the program country placed in 
                probationary status under such paragraph has 
                failed to develop a machine-readable passport 
                program as required by section\3\ (c)(2)(C) of 
                this section, or has a disqualification rate of 
                2 percent or more, the [Attorney General] 
                Secretary of Homeland Security shall terminate 
                the designation of the country as a program 
                country. If the [Attorney General] Secretary of 
                Homeland Security determines that the program 
                country has developed a machine-readable 
                passport program and has a disqualification 
                rate of less than 2 percent, the [Attorney 
                General] Secretary of Homeland Security shall 
                redesignate the country as a program country.]
---------------------------------------------------------------------------
    \3\So in original. Probably should be ``subsection''.
---------------------------------------------------------------------------
    (f) Termination of Designation; Probation.--
            (1) Definitions.--In this subsection:
                    (A) Probationary period.--The term 
                ``probationary period'' means the fiscal year 
                in which a probationary country is placed in 
                probationary status under this subsection.
                    (B) Program country.--The term ``program 
                country'' has the meaning given that term in 
                subsection (c)(1)(B).
            (2) Determination, notice, and initial probationary 
        period.--
                    (A) Determination of probationary status 
                and notice of noncompliance.--As part of each 
                program country's periodic evaluation required 
                by subsection (c)(5)(A), the Secretary of 
                Homeland Security shall determine whether a 
                program country is in compliance with the 
                program requirements under subparagraphs 
                (A)(ii) through (F) of subsection (c)(2).
                    (B) Initial probationary period.--If the 
                Secretary of Homeland Security determines that 
                a program country visa is not in compliance 
                with the program requirements under 
                subparagraphs (A)(ii) through (F) of subsection 
                (c)(2), the Secretary of Homeland Security 
                shall place the program country in probationary 
                status for the fiscal year following the fiscal 
                year in which the periodic evaluation is 
                completed.
            (3) Actions at the end of the initial probationary 
        period.--At the end of the initial probationary period 
        of a country under paragraph (2)(B), the Secretary of 
        Homeland Security shall take one of the following 
        actions:
                    (A) Compliance during initial probationary 
                period.--If the Secretary determines that all 
                instances of noncompliance with the program 
                requirements under subparagraphs (A)(ii) 
                through (F) of subsection (c)(2) that were 
                identified in the latest periodic evaluation 
                have been remedied by the end of the initial 
                probationary period, the Secretary shall end 
                the country's probationary period.
                    (B) Noncompliance during initial 
                probationary period.--If the Secretary 
                determines that any instance of noncompliance 
                with the program requirements under 
                subparagraphs (A)(ii) through (F) of subsection 
                (c)(2) that were identified in the latest 
                periodic evaluation has not been remedied by 
                the end of the initial probationary period--
                            (i) the Secretary may terminate the 
                        country's participation in the program; 
                        or
                            (ii) on an annual basis, the 
                        Secretary may continue the country's 
                        probationary status if the Secretary, 
                        in consultation with the Secretary of 
                        State, determines that the country's 
                        continued participation in the program 
                        is in the national interest of the 
                        United States.
            (4) Actions at the end of additional probationary 
        periods.--At the end of all probationary periods 
        granted to a country pursuant to paragraph (3)(B)(ii), 
        the Secretary shall take 1 of the following actions:
                    (A) Compliance during additional period.--
                The Secretary shall end the country's 
                probationary status if the Secretary determines 
                during the latest periodic evaluation required 
                by subsection (c)(5)(A) that the country is in 
                compliance with the program requirements under 
                subparagraphs (A)(ii) through (F) of subsection 
                (c)(2).
                    (B) Noncompliance during additional 
                periods.--The Secretary shall terminate the 
                country's participation in the program if the 
                Secretary determines during the latest periodic 
                evaluation required by subsection (c)(5)(A) 
                that the program country continues to be in 
                noncompliance with the program requirements 
                under subparagraphs (A)(ii) through (F) of 
                subsection (c)(2).
            (5) Effective date.--The termination of a country's 
        participation in the program under paragraph (3)(B) or 
        (4)(B) shall take effect on the first day of the first 
        fiscal year following the fiscal year in which the 
        Secretary determines that such participation shall be 
        terminated. Until such date, nationals of the country 
        shall remain eligible for a waiver under subsection 
        (a).
            (6) Treatment of nationals after termination.--For 
        purposes of this subsection and subsection (d)--
                    (A) nationals of a country whose 
                designation is terminated under paragraph (3) 
                or (4) shall remain eligible for a waiver under 
                subsection (a) until the effective date of such 
                termination; and
                    (B) a waiver under this section that is 
                provided to such a national for a period 
                described in subsection (a)(1) shall not, by 
                such termination, be deemed to have been 
                rescinded or otherwise rendered invalid, if the 
                waiver is granted prior to such termination.
            (7) Consultative role of the secretary of state.--
        In this subsection, references to subparagraphs (A)(ii) 
        through (F) of subsection (c)(2) and subsection 
        (c)(5)(A) carry with them the consultative role of the 
        Secretary of State as provided in those provisions.

           *       *       *       *       *       *       *

(h) Use of information technology systems

        (1) Automated entry-exit control system

                (A) System

                    Not later than October 1, 2001, the 
                [Attorney General] Secretary of Homeland 
                Security shall develop and implement a fully 
                automated entry and exit control system that 
                will collect a record of arrival and departure 
                for every alien who arrives and departs by sea 
                or air at a port of entry into the United 
                States and is provided a waiver under the 
                program.

           *       *       *       *       *       *       *

                        (i) Data collection by carriers

           *       *       *       *       *       *       *

                        (ii) Data provision by carriers

                            Not later than October 1, 2002, no 
                        waiver may be provided under this 
                        section to an alien arriving by sea or 
                        air at a port ofentry into the United 
                        States on a carrier unless the carrier 
                        is electronically transmitting to the 
                        automated entry and exit control system 
                        passenger data determined by the 
                        [Attorney General] Secretary of 
                        Homeland Security to be sufficient to 
                        permit the [Attorney General] Secretary 
                        of Homeland Security to carry out this 
                        paragraph.

                        (iii) Calculation

                            The system shall contain sufficient 
                        data to permit the [Attorney General] 
                        Secretary of Homeland Security to 
                        calculate, for each program country and 
                        each fiscal year, the portion of 
                        nationals of that country who are 
                        described in subparagraph (A) and for 
                        whom no record of departure exists, 
                        expressed as a percentage of the total 
                        number of such nationals who are so 
                        described.

                (C) Reporting

                        (i) Percentage of nationals lacking 
                        departure record

                            As part of the annual report 
                        required to be submitted under section 
                        1365a(e)(1) of this title, the 
                        [Attorney General] Secretary of 
                        Homeland Security shall include a 
                        section containing the calculation 
                        described in subparagraph (B)(iii) for 
                        each program country for the previous 
                        fiscal year, together with an analysis 
                        of that information.

                        (ii) System effectiveness

           *       *       *       *       *       *       *

                                    (I) The conclusions of the 
                                [Attorney General] Secretary of 
                                Homeland Security regarding the 
                                effectiveness of the automated 
                                entry and exit control system 
                                to be developed and implemented 
                                under this paragraph.
                                    (II) The recommendations of 
                                the [Attorney General] 
                                Secretary of Homeland Security 
                                regarding the use of the 
                                calculation described in 
                                subparagraph (B)(iii) as a 
                                basis for evaluating whether to 
                                terminate or continue the 
                                designation of a country as a 
                                program country.

           *       *       *       *       *       *       *

        (2) Automated data sharing system

                (A) System

                    The [Attorney General] Secretary of 
                Homeland Security and the Secretary of State 
                shall develop and implement an automated data 
                sharing system that will permit them to share 
                data in electronic form from their respective 
                records systems regarding the admissibility of 
                aliens who are nationals of a program country.

                (B) Requirements

           *       *       *       *       *       *       *

                        (i) * * *

           *       *       *       *       *       *       *

                        (ii) Supplying photographs of 
                        inadmissible aliens

                            The system shall permit the 
                        [Attorney General] Secretary of 
                        Homeland Security electronically to 
                        obtain any photograph contained in the 
                        records of the Secretary of State 
                        pertaining to an alien who is a 
                        national of a program country and has 
                        been determined to be ineligible to 
                        receive a visa.
                                ------                                


            HOMELAND SECURITY ACT, 2002, PUBLIC LAW 107-296


                         TITLE VII--MANAGEMENT

Sec. 701. Under Secretary for Management.
Sec. 702. Chief Financial Officer.
Sec. 703. Chief Information Officer.
Sec. 704. Chief Human Capital Officer.
Sec. 705. Establishment of Officer for Civil Rights and Civil 
                            Liberties.
Sec. 706. Consolidation and Co-location of Offices.

           *       *       *       *       *       *       *


                         TITLE VII--MANAGEMENT

SEC. 706. CONSOLIDATION AND CO-LOCATION OF OFFICES.

           *       *       *       *       *       *       *


SEC. 707. DEPARTMENT OF HOMELAND SECURITY FORFEITURE FUND.

    (a) In General.--There is established in the United States 
Treasury, a special fund to be known as the ``Department of 
Homeland Security Forfeiture Fund'' (referred to in this 
section as the `Fund').
    (b) Use of Funds.--The Fund shall be available to the 
Secretary of Homeland Security (referred to in this section as 
`the Secretary'), without fiscal year limitation, with respect 
to seizures and forfeitures made pursuant to any law enforced 
or administered by the Department, for the following law 
enforcement and other purposes:
            (1)(A) Payment of all proper expenses of seizure 
        (including investigative costs incurred by a Department 
        of Homeland Security law enforcement organization 
        leading to seizure) or the proceedings of forfeiture 
        and sale, including the expenses of detention, 
        inventory, security, maintenance, advertisement, or 
        disposal of the property, and if condemned by a court 
        and a bond for such costs was not given, the costs as 
        taxed by the court.
            (B) Payment for--
                    (i) contract services;
                    (ii) the employment of outside contractors 
                to operate and manage properties or to provide 
                other specialized services necessary to dispose 
                of such properties in an effort to maximize the 
                return from such properties; and
                    (iii) reimbursing any Federal, State, or 
                local agency for any expenditures made to 
                perform the functions described in this 
                subparagraph.
            (C) Awards of compensation to informers under 
        section 619 of the Tariff Act of 1930 (19 U.S.C. 1619).
            (D) Satisfaction of--
                    (i) liens for freight, charges, and 
                contributions in general average, notice of 
                which has been filed with the appropriate 
                Customs officer according to law; and
                    (ii) subject to the discretion of the 
                Secretary, other valid liens and mortgages 
                against property that has been forfeited 
                pursuant to any law enforced or administered by 
                a Department of Homeland Security law 
                enforcement organization. To determine the 
                validity of any such lien or mortgage, the 
                amount of payment to be made, and to carry out 
                the functions described in this subparagraph, 
                the Secretary may employ and compensate 
                attorneys and other personnel skilled in State 
                real estate law.
            (E) Payment of amounts authorized by law with 
        respect to remission and mitigation.
            (F) Payment of claims of parties in interest to 
        property disposed of under section 612(b) of the Tariff 
        Act of 1930 (19 U.S.C. 1612(b)), in the amounts 
        applicable to such claims at the time of seizure.
            (G) Equitable sharing payments made to other 
        Federal agencies, State and local law enforcement 
        agencies, and foreign countries pursuant to section 
        616(c) of the Tariff Act of 1930 (19 U.S.C. 1616a(c)), 
        section 981 of title 18, or subsection (h) of this 
        section, and all costs related thereto.
            (H) Payment for services of experts and consultants 
        needed by a Department of Homeland Security law 
        enforcement organization to carry out the 
        organization's duties relating to seizure and 
        forfeiture.
            (I) Payment of overtime salaries, travel, fuel, 
        training, equipment, and other similar costs of State 
        or local law enforcement officers that are incurred in 
        joint law enforcement operations with a Department of 
        Homeland Security law enforcement organization.
            (J) Payment made pursuant to guidelines promulgated 
        by the Secretary, if such payment is necessary and 
        directly related to seizure and forfeiture program 
        expenses for--
                    (i) the purchase or lease of automatic data 
                processing systems (not less than a majority of 
                which use will be related to such program);
                    (ii) training;
                    (iii) printing; and
                    (iv) services, including contracting for 
                services, directly related to--
                            (I) the identification of 
                        forfeitable assets;
                            (II) the processing of and 
                        accounting for forfeitures; and
                            (III) the storage, maintenance, 
                        protection, and destruction of 
                        controlled substances.
            (K) Payment for equipment for any vessel, vehicle, 
        or aircraft available for official use by the United 
        States Coast Guard to enable the vessel, vehicle, or 
        aircraft to assist in law enforcement functions.
            (L) Payment for any vessel, vehicle, equipment, or 
        aircraft available for official use by a State or local 
        law enforcement agency to enable the vessel, vehicle or 
        aircraft to assist in law enforcement functions if the 
        vessel, vehicle or aircraft will be used in joint law 
        enforcement operations with the United States Coast 
        Guard.
            (M) Payment for overtime salaries, travel, fuel, 
        training, equipment,. And other similar costs of State 
        and local law enforcement operations with the United 
        States Coast Guard.
            (N) Payment for expenses incurred in bringing 
        vessels into compliance with applicable environmental 
        laws prior to disposal by sinking.
            (2) At the discretion of the Secretary--
                    (A) payment of awards for information or 
                assistance leading to a civil or criminal 
                forfeiture involving any Department of Homeland 
                Security law enforcement organization 
                participating in the Fund;
                    (B) purchases of evidence or information 
                by--
                            (i) a Department of Homeland 
                        Security law enforcement organization 
                        with respect violations of any law 
                        enforced or administered by a 
                        Department of Homeland Security law 
                        enforcement;
                    (C) payment of costs for publicizing awards 
                available under section 619 of the Tariff Act 
                of 1930 (19 U.S.C. 1619);
                    (D) payment for equipment for any vessel, 
                vehicle, or aircraft available for official use 
                by a Department of Homeland Security law 
                enforcement organization to enable the vessel, 
                vehicle, or aircraft to assist in law 
                enforcement functions, and for other equipment 
                directly related to seizure or forfeiture, 
                including laboratory equipment, protective 
                equipment, communications equipment, and the 
                operation and maintenance costs of such 
                equipment;
                    (E) the payment of claims against employees 
                of the Department of Homeland Security settled 
                by the Secretary under section 630 of the 
                Tariff Act of 1930;
                    (F) payment for equipment for any vessel, 
                vehicle, or aircraft available for official use 
                by a State or local law enforcement agency to 
                enable the vessel, vehicle, or aircraft to 
                assist in law enforcement functions if the 
                vessel, vehicle, or aircraft will be used in 
                joint law enforcement operations with a 
                Department of Homeland Security law enforcement 
                organization;
                    (G) reimbursement of private persons for 
                expenses incurred by such persons in 
                cooperating with a Department of Homeland 
                Security law enforcement organization in 
                investigations and undercover law enforcement 
                operations; and
                    (H) payment for training foreign law 
                enforcement personnel with respect to seizure 
                or forfeiture activities of the Department of 
                Homeland Security; and
    (c) Limitations.--
            (1) Any payment made under subparagraph (D) or (E) 
        of subsection (b)(1) with respect to a seizure or a 
        forfeiture of property shall not exceed the value of 
        the property at the time of the seizure.
            (2) Any payment made under subsection (b)(1)(G) 
        with respect to a seizure or forfeiture of property 
        shall not exceed the value of the property at the time 
        of disposition.
            (3) The Secretary may exempt the procurement of 
        contract services under the Fund from section 3709 of 
        the Revised Statutes of the United States (41 U.S.C. 
        5), title III of the Federal Property and 
        Administrative Services Act of 1949 (41 U.S.C. 251 et 
        seq.), and other provisions of law as may be necessary 
        to maintain the security and confidentiality of related 
        criminal investigations.
            (4) The Secretary shall assure that any equitable 
        sharing payment made to a State or local law 
        enforcement agency pursuant to subsection (b)(1)(G) and 
        any property transferred to a State or local law 
        enforcement agency pursuant to subsection (i)--
                    (A) has a value that bears a reasonable 
                relationship to the degree of participation of 
                the State or local agency in the law 
                enforcement effort resulting in the forfeiture, 
                taking into account the total value of all 
                property forfeited and the total law 
                enforcement effort with respect to the 
                violation of law on which the forfeiture is 
                based; and
                    (B) will serve to encourage further 
                cooperation between the recipient State or 
                local agency and Federal law enforcement 
                agencies.
    (d) Deposits and Credits.--
            (1) With respect to fiscal year 2014 and 
        thereafter, there shall be deposited into or credited 
        to the Fund--
                    (A) all currency forfeited during fiscal 
                year 2014 and thereafter, and all proceeds from 
                forfeitures during fiscal year 2014 and there 
                after, under any law enforced or administered 
                by the Department of Homeland Security law 
                enforcement organizations;
                    (B) all income from investments made under 
                subsection (e); and
                    (C) all amounts representing the equitable 
                share of the Department of Homeland Security 
                law enforcement organizations from the 
                forfeiture of property under any Federal, 
                State, local, or foreign law.
            (2) With respect to fiscal years beginning after 
        fiscal year 2014, there shall be deposited into or 
        credited to the Fund--
                    (A) all currency forfeited after fiscal 
                year 2014 and all proceeds from forfeitures 
                after fiscal year 2014, under any law enforced 
                or administered by a Department of Homeland 
                Security law enforcement organization;
                    (B) all income from investments made under 
                subsection (e); and
                    (C) all amounts representing the equitable 
                share of a Department of Homeland Security law 
                enforcement organization from the forfeiture of 
                property under any Federal, State, local, or 
                foreign law.
    (e) Investments.--Amounts in the Fund, and in any holding 
accounts associated with the Fund, which are not currently 
needed for the purposes of this section may be kept on deposit 
or invested in obligations of, or guaranteed by, the United 
States and all earnings on such investments shall be deposited 
in the Fund.
    (f) Reports to Congress.--The Fund shall be subject to 
annual financial audits as authorized in the Chief Financial 
Officers Act of 1990 (Public Law 101-576).
            (1) The Secretary shall transmit to the Congress, 
        not later than February 1 of each year copies of the 
        annual financial audits.
    (g) Administration.--The Fund shall be administered on 
behalf of the Secretary by the Department of Homeland Security, 
Chief Financial Officer who is authorized to enter into an 
agreement with any Federal agency to manage the operations of 
the Fund on behalf of the Department. Payments may be made to 
the managing agency from the proceeds of the Fund, not to 
exceed 8 percent of funds managed on behalf of the Department.
    (h) Appropriations.--
            (1) There are hereby appropriated from the Fund 
        such sums as may be necessary to carry out the purposes 
        described in subsection (a)(1).
            (2) There are authorized to be appropriated from 
        the Fund to carry out the purposes set forth in 
        subsections (a)(2) and (c) not to exceed $50,000,000 
        for each fiscal year.
            (3)(A) The Secretary of the Treasury, in 
        coordination with the Secretary of Homeland Security, 
        shall reserve from the unobligated balances remaining 
        in the Treasury Forfeiture Fund on September 30, 2013, 
        an amount equal to balances resulting from actions 
        carried out by the Department of Homeland Security, and 
        such amount shall be transferred to the Fund on October 
        1, 2013. Such amount shall be available for any 
        expenses or activities authorized under this section. 
        At the end of fiscal year 2013, and at the end of each 
        fiscal year thereafter, the Secretary shall reserve any 
        amounts that are required to be retained in the Fund to 
        ensure the availability of amounts in the subsequent 
        fiscal year for purposes authorized under subsection 
        (a). Unobligated balances remaining pursuant to section 
        4(B) shall also be carried forward.
            (B) Super Surplus: Any unobligated balances in the 
        Fund on October 1, 2013, and on September 30 of each 
        fiscal year thereafter, shall be made available to the 
        Secretary, without fiscal year limitation, for 
        obligation or expenditure in connection with the law 
        enforcement activities of any Federal agency, including 
        a Department of Homeland Security law enforcement 
        organization: Provided, That none of the funds 
        transferred shall be available for obligation unless 
        the Committees on Appropriations of the Senate and the 
        House of Representatives are notified at least 15 days 
        in advance of such transfer.
            (C) Any obligation or expenditure in excess of 
        $500,000 with respect to an unobligated balance 
        described in subparagraph (B) may not be made by the 
        Secretary unless the Appropriations Committees of both 
        Houses of Congress are notified at least 15 days in 
        advance of such obligation or expenditure.
    (i) Retention or Transfer of Property.--
            (1) The Secretary may, with respect to any property 
        forfeited under any law enforced or administered by the 
        Department of Homeland Security--
                    (A) retain any of the property for official 
                use; or
                    (B) transfer any of the property to--
                            (i) any other Federal agency; or
                            (ii) any State or local law 
                        enforcement agency that participated 
                        directly or indirectly in the seizure 
                        or forfeiture of the property; and
            (2) The Secretary may transfer any forfeited 
        personal property or the proceeds of the sale of any 
        forfeited personal or real property to any foreign 
        country which participated directly or indirectly in 
        the seizure or forfeiture of the property, if such a 
        transfer--
                    (A) is one with which the Secretary of 
                State has agreed;
                    (B) is authorized in an international 
                agreement between the United States and the 
                foreign country; and
                    (C) is made to a country which, if 
                applicable, has been certified under section 
                481(h) of the Foreign Assistance Act of 1961 
                (22 U.S.C. 2291(h)).
            (3) Nothing in this section shall affect the 
        authority of the Secretary under section 981 of title 
        18 or section 616 of the Tariff Act of 1930 (19 U.S.C. 
        1616a).
    (j) Regulations.--The Secretary may prescribe such rules 
and regulations as may be necessary to carry out this section.
    (k) Customs and Treasury Forfeiture Funds.--Notwithstanding 
any other provision of law--
            (1) during any period when forfeited currency and 
        proceeds from forfeitures under any law enforced or 
        administered by the Department of Homeland Security, 
        are required to be deposited in the Fund pursuant to 
        this section--
                    (A) all moneys required to be deposited in 
                the Customs Forfeiture Fund or the Treasury 
                Forfeiture Fund pursuant to section 613A of the 
                Tariff Act of 1930 (19 U.S.C. 1613b) shall 
                instead be deposited in the Fund; and
                    (B) no deposits or withdrawals may be made 
                to or from the Customs Forfeiture Fund pursuant 
                to section 613A of the Tariff Act of 1930 (19 
                U.S.C. 1613b); and
            (2) any funds in the Treasury Forfeiture Fund 
        apportioned to represent the contributions of the 
        Department of Homeland Security law enforcement 
        organization and any obligations of the Department of 
        Homeland Security law enforcement organization of the 
        Treasury Forfeiture Fund on the effective date of the 
        enactment of this section, shall be transferred to the 
        Fund and all administrative costs of such transfer 
        shall be paid for out of the Fund.
    (l) Limitation of Liability.--The United States shall not 
be liable in any action relating to property transferred under 
this section or under section 616 of the Tariff Act of 1930 (19 
U.S.C. 1616a) if such action is based on an act or omission 
occurring after the transfer.
    (m) Authority To Warrant Title.--Following the completion 
of procedures for the forfeiture of property pursuant to any 
law enforced or administered by the Department of Homeland 
Security, the Secretary is authorized, at the Secretary's 
discretion, to warrant clear title to any subsequent purchaser 
or transferee of such forfeited property.
    (n) Forfeited Property.--For purposes of this section and 
notwithstanding section 524(c)(11) of title 28, United States 
Code, or any other law, property and currency shall be deemed 
to be forfeited pursuant to a law enforced or administered by a 
Department of Homeland Security law enforcement organization if 
it is forfeited pursuant to--
            (1) a judicial forfeiture proceeding when the 
        underlying seizure was made by an officer of a 
        Department of the Homeland Security law enforcement 
        organization or the property was maintained by a 
        Department of the Homeland Security law enforcement 
        organization; or
            (2) a civil administrative forfeiture proceeding 
        conducted by a Department of the Homeland Security law 
        enforcement organization.
    (o) Transfers to Attorney General, Secretary of the 
Treasury, and Postmaster General.--
            (1) The Secretary shall transfer from the Fund to 
        the Attorney General for deposit in the Department of 
        Justice Assets Forfeiture Fund or the Secretary of the 
        Treasury for deposit in the Treasury Forfeiture Fund 
        amounts appropriate to reflect the degree of 
        participation of participating Federal agencies in the 
        law enforcement effort resulting in the forfeiture 
        pursuant to laws enforced or administered by a 
        Department of Homeland Security law enforcement 
        organization. For purposes of the preceding sentence, a 
        ``participating Federal agency'' is an agency that 
        participates in the Department of Justice Assets 
        Forfeiture Fund or the Treasury Forfeiture Fund.
            (2) The Secretary shall transfer from the Fund to 
        the Postmaster General for deposit in the Postal 
        Service Fund amounts appropriate to reflect the degree 
        of participation of the United States Postal Service in 
        the law enforcement effort resulting in the forfeiture 
        pursuant to laws enforced or administered by a 
        Department of Homeland Security law enforcement 
        organization.
    (p) Definitions.--For purposes of this section--
            (1) The term ``Department of Homeland Security law 
        enforcement organization'' means U.S. Customs and 
        Border Protection, U.S. Immigration and Customs 
        Enforcement, the United States Secret Service, the 
        Federal Law Enforcement Training Center, the United 
        States Coast Guard, and any other law enforcement 
        component of the Department of the Homeland Security so 
        designated by the Secretary.
            (2) The term ``Secretary'' means the Secretary of 
        the Homeland Security.
                                ------                                


 DEPARTMENT OF HOMELAND SECURITY APPROPRIATIONS ACT, 2007, PUBLIC LAW 
                                109-295


                                TITLE V


                           GENERAL PROVISIONS

    Sec. 501. * * *

           *       *       *       *       *       *       *

    Sec. 532. (a) United States Secret Service Use of Proceeds 
Derived From Criminal Investigations.--During fiscal year 
[2012] 2013, with respect to any undercover investigative 
operation of the United States Secret Service (hereafter 
referred to in this section as the ``Secret Service'') that is 
necessary for the detection and prosecution of crimes against 
the United States--

           *       *       *       *       *       *       *

    Sec. 550. (a) * * *

           *       *       *       *       *       *       *

    (b) Interim regulations issued under this section shall 
apply until the effective date of interim or final regulations 
promulgated under other laws that establish requirements and 
standards referred to in subsection (a) and expressly supersede 
this section: Provided, That the authority provided by this 
section shall terminate [on October 4, 2012]  on October 4, 
2013.
                                ------                                


 DEPARTMENT OF HOMELAND SECURITY APPROPRIATIONS ACT, 2010, PUBLIC LAW 
                                 111-83


                                TITLE V


                           GENERAL PROVISIONS


                    (INCLUDING RESCISSIONS OF FUNDS

    Sec. 547. Section 401(b) of the Illegal Immigration Reform 
and Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a note) 
is amended by striking ``at the end of the 11-year period 
beginning on the first day the pilot program is in effect.'' 
and inserting ``on [September 30, 2012] September 30, 2015.''.
    Sec. 548. Section 610(b) of the Departments of Commerce, 
Justice, and State, the Judiciary, and Related Agencies 
Appropriations Act, 1993 (8 U.S.C. 1153 note) is amended by 
striking ``for 15 years'' and inserting ``until [September 30, 
2012] September 30, 2015.''

           *       *       *       *       *       *       *

    Sec. 568. (a) Special Immigrant Nonminister Religious 
Worker Program and Other Immigration Programs.--
            (1) Extension.--Subclauses (II) and (III) of 
        section 101(a)(27)(C)(ii) of the Immigration and 
        Nationality Act (8 U.S.C. 1101(a)(27)(C)(ii)) are 
        amended by striking ``September 30, 2009,'' each place 
        such term appears and inserting ``[September 30, 2012] 
        September 30, 2015''.

           *       *       *       *       *       *       *

    (b) Conrad State 30 J-1 Visa Waiver Program.--Section 
220(c) of the Immigration and Nationality Technical Corrections 
Act of 1994 (8 U.S.C. 1182 note) is amended by amended by 
striking ``September 30, 2009'' and inserting ``[September 30, 
2012] September 30, 2014''.
                                ------                                


        CONSOLIDATED APPROPRIATIONS ACT, 2012, PUBLIC LAW 112-74


                                TITLE IV


            RESEARCH AND DEVELOPMENT, TRAINING, AND SERVICES


                Federal Law Enforcement Training Center


                         SALARIES AND EXPENSES

    For necessary expenses of the Federal Law Enforcement 
Training Center, including materials and support costs of 
Federal law enforcement basic training; the purchase of not to 
exceed 117 vehicles for police-type use and hire of passenger 
motor vehicles; expenses for student athletic and related 
activities; the conduct of and participation in firearms 
matches and presentation of awards; public awareness and 
enhancement of community support of law enforcement training; 
room and board for student interns; a flat monthly 
reimbursement to employees authorized to use personal mobile 
phones for official duties; and services as authorized by 
section 3109 of title 5, United States Code; $238,957,000; of 
which up to $48,978,000 shall remain available until September 
30, 2013, for materials and support costs of Federal law 
enforcement basic training; of which $300,000 shall remain 
available until expended to be distributed to Federal law 
enforcement agencies for expenses incurred participating in 
training accreditation; and of which not to exceed $10,200 
shall be for official reception and representation expenses: 
Provided, That the Center is authorized to obligate funds in 
anticipation of reimbursements from agencies receiving training 
sponsored by the Center, except that total obligations at the 
end of the fiscal year shall not exceed total budgetary 
resources available at the end of the fiscal year: Provided 
further, That section 1202(a) of Public Law 107-206 (42 U.S.C. 
3771 note), as amended by Public Law 111-83 (123 Stat. 2166), 
is further amended by striking ``December 31, 2012'' and 
inserting [``December 31, 2014''] ``December 31, 2015''.

                        BUDGETARY IMPACT OF BILL


  PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC. 308(a), PUBLIC LAW 93-344, AS
                                                     AMENDED
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                  Budget authority               Outlays
                                                             ---------------------------------------------------
                                                               Committee    Amount  in   Committee    Amount  in
                                                               allocation      bill      allocation      bill
----------------------------------------------------------------------------------------------------------------
Comparison of amounts in the bill with Committee allocations
 to its subcommittees of amounts in the Budget Resolution
 for 2013: Subcommittee on Homeland Security:
    Mandatory...............................................        1,423        1,423        1,431     \1\1,431
    Discretionary...........................................       39,514       45,249       45,320     \1\45,52
        Security............................................        1,564        1,818           NA           NA
        Nonsecurity.........................................       37,950       43,431           NA           NA
Projection of outlays associated with the recommendation:
    2013....................................................  ...........  ...........  ...........    \2\26,588
    2014....................................................  ...........  ...........  ...........        9,055
    2015....................................................  ...........  ...........  ...........        5,769
    2016....................................................  ...........  ...........  ...........        2,764
    2017 and future years...................................  ...........  ...........  ...........        2,238
Financial assistance to State and local governments for                NA        5,515           NA          392
 2013.......................................................
----------------------------------------------------------------------------------------------------------------
\1\Includes outlays from prior-year budget authority.
\2\Excludes outlays from prior-year budget authority.

NA: Not applicable.

Consistent with the funding recommended in the bill for disaster funding and overseas contingency operations and
  in accordance with section 251(b)(2)(D) of the BBEDCA and section 106 of the Deficit Control Act of 2011, the
  Committee anticipates that the Budget Committee will file a revised section 302(a) allocation for the
  Committee on Appropriations reflecting an upward adjustment of $5,735,000,000 in budget authority plus
  associated outlays.


  COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2012 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN THE BILL FOR FISCAL
                                                                        YEAR 2013
                                                                [In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                         Senate Committee recommendation
                                                                                                                             compared with (+ or -)
                                Item                                       2012       Budget estimate     Committee    ---------------------------------
                                                                      appropriation                     recommendation        2012
                                                                                                                         appropriation   Budget estimate
--------------------------------------------------------------------------------------------------------------------------------------------------------
                  DEPARTMENT OF HOMELAND SECURITY

          TITLE I--DEPARTMENTAL MANAGEMENT AND OPERATIONS

                      Departmental Operations

Office of the Secretary and Executive Management:
    Immediate Office of the Secretary..............................           5,000            4,295            4,295             -705   ...............
    Immediate Office of the Deputy Secretary.......................           1,918            2,387            2,100             +182             -287
    Office of the Chief of Staff...................................           2,300            2,498            2,300   ...............            -198
    Office of Counternarcotics Enforcement.........................           1,800   ...............  ...............          -1,800   ...............
    Executive Secretary............................................           8,100            7,993            7,993             -107   ...............
    Office of Policy...............................................          40,000           33,678           44,322           +4,322          +10,644
    Office of Public Affairs.......................................           5,800            5,966            5,800   ...............            -166
    Office of Legislative Affairs..................................           6,000            6,041            6,041              +41   ...............
    Office of Intergovernmental Affairs............................           2,650            2,648            2,500             -150             -148
    Office of General Counsel......................................          22,400           21,947           21,947             -453   ...............
    Office for Civil Rights and Civil Liberties....................          22,500           21,716           21,716             -784   ...............
    Citizenship and Immigration Services Ombudsman.................           6,200            5,950            5,950             -250   ...............
    Privacy Officer................................................           8,491            8,387            8,387             -104   ...............
    Office of International Affairs................................  ...............           8,001   ...............  ...............          -8,001
    Office of State and Local Law Enforcement......................  ...............             892   ...............  ...............            -892
    Private Sector Office..........................................  ...............           1,751   ...............  ...............          -1,751
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         133,159          134,150          133,351             +192             -799

Office of the Under Secretary for Management:
    Immediate Office of the Under Secretary for Management.........           2,550            3,112            3,112             +562   ...............
    Office of Security.............................................          70,000           69,258           69,258             -742   ...............
    Office of the Chief Procurement Officer........................          78,000           73,176           73,176           -4,824   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         150,550          145,546          145,546           -5,004   ...............

    Office of the Chief Human Capital Officer:
        Salaries and expenses......................................          25,165           25,971           24,971             -194           -1,000
        Human resources information technology.....................          14,172            9,689            9,689           -4,483   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................          39,337           35,660           34,660           -4,677           -1,000

    Office of the Chief Administrative Officer:
        Salaries and expenses......................................          40,700           35,117           34,616           -6,084             -501
        Nebraska Avenue Complex [NAC]..............................           5,000            5,448            5,448             +448   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................          45,700           40,565           40,064           -5,636             -501
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Office of the Under Secretary for Management...         235,587          221,771          220,270          -15,317           -1,501

DHS Consolidated Headquarters Project..............................  ...............          89,000   ...............  ...............         -89,000

Office of the Chief Financial Officer..............................          50,860           55,414           53,714           +2,854           -1,700

Office of the Chief Information Officer:
    Salaries and expenses..........................................         105,500          120,670          120,670          +15,170   ...............
    Information technology services................................          38,800           28,002           28,002          -10,798   ...............
    Infrastructure and security activities.........................          69,000          121,839           57,042          -11,958          -64,797
    Homeland Secure Data Network...................................          44,000           42,132           42,132           -1,868   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         257,300          312,643          247,846           -9,454          -64,797

Analysis and Operations............................................         338,068          321,982          323,782          -14,286           +1,800
                                                                    ------------------------------------------------------------------------------------
      Total, Departmental Operations...............................       1,014,974        1,134,960          978,963          -36,011         -155,997
                                                                    ====================================================================================

Office of Inspector General:
    Operating expenses.............................................         117,000          143,664          122,664           +5,664          -21,000
    (by transfer from Disaster Relief).............................         (24,000)  ...............         (24,000)  ...............        (+24,000)
                                                                    ------------------------------------------------------------------------------------
      Total, Office of Inspector General...........................         141,000          143,664          146,664           +5,664           +3,000
                                                                    ====================================================================================
      Total, title I, Departmental Management and Operations.......       1,131,974        1,278,624        1,101,627          -30,347         -176,997
      (by transfer)................................................         (24,000)  ...............         (24,000)  ...............        (+24,000)
                                                                    ====================================================================================
        TITLE II--SECURITY, ENFORCEMENT, AND INVESTIGATIONS

                 U.S. Customs and Border Protection

Salaries and Expenses:
    Headquarters, Management, and Administration:
        Management and administration, border security inspections          667,794          601,414          599,914          -67,880           -1,500
         and trade facilitation....................................
        Management and administration, border security and control          717,309          665,646          664,146          -53,163           -1,500
         between ports of entry....................................
        Rent.......................................................         483,749          614,871          614,871         +131,122   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................       1,868,852        1,881,931        1,878,931          +10,079           -3,000

    Border Security Inspections and Trade Facilitation:
        Inspections, trade, and travel facilitation at ports of           2,484,235        2,480,674        2,499,674          +15,439          +19,000
         entry.....................................................
        Harbor maintenance fee collection (trust fund).............           3,274            3,285            3,285              +11   ...............
        International cargo screening..............................          74,557           71,534           71,534           -3,023   ...............
        Other international programs...............................          10,684           27,084           24,866          +14,182           -2,218
        Customs-Trade Partnership Against Terrorism [C-TPAT].......          44,979           40,082           40,082           -4,897   ...............
        Trusted Traveler programs..................................           6,311            6,311            6,311   ...............  ...............
        Inspection and detection technology investments............         148,537          117,575          117,575          -30,962   ...............
        Automated targeting systems................................          41,400          113,826          113,826          +72,426   ...............
        National Targeting Center..................................          51,950           65,127           65,127          +13,177   ...............
        Training...................................................          37,834           34,860           34,860           -2,974   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................       2,903,761        2,960,358        2,977,140          +73,379          +16,782

    Border Security and Control Between Ports of Entry:
        Border security and control................................       3,530,994        3,551,840        3,551,840          +20,846   ...............
        Training...................................................          88,610           74,110           74,110          -14,500   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................       3,619,604        3,625,950        3,625,950           +6,346   ...............

    Air and Marine Operations......................................         287,901          280,819          287,849              -52           +7,030

    US-VISIT.......................................................  ...............         261,523   ...............  ...............        -261,523
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Salaries and expenses..............................       8,680,118        9,010,581        8,769,870          +89,752         -240,711
          Appropriations...........................................      (8,676,844)      (9,007,296)      (8,766,585)        (+89,741)       (-240,711)
          Harbor maintenance trust fund............................          (3,274)          (3,285)          (3,285)            (+11)  ...............

Automation Modernization:
    Automated Commercial Environment/International Trade Data               140,000          140,794          140,794             +794   ...............
     System [ITDS].................................................
    Current operations protection and processing support [COPPS]...         194,275          186,732          186,732           -7,543   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         334,275          327,526          327,526           -6,749   ...............

Border Security Fencing, Infrastructure, and Technology [BSFIT]:
    Development and deployment.....................................         212,377          188,816          188,816          -23,561   ...............
    Operations and maintenance.....................................         133,248          138,283          138,283           +5,035   ...............
    Program management.............................................          54,375   ...............  ...............         -54,375   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         400,000          327,099          327,099          -72,901   ...............

Air and Marine Interdiction, Operations, Maintenance, and
 Procurement:
    Operations and maintenance.....................................         365,087          368,799          387,799          +22,712          +19,000
    Procurement....................................................         138,879           66,970          118,967          -19,912          +51,997
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         503,966          435,769          506,766           +2,800          +70,997

Construction and Facilities Management:
    Facility construction and sustainment..........................         182,500          186,214          186,214           +3,714   ...............
    Program oversight and management...............................          54,096           57,452           57,452           +3,356   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         236,596          243,666          243,666           +7,070   ...............

US-VISIT...........................................................  ...............  ...............         279,133         +279,133         +279,133
    (Transfer out to ICE)..........................................  ...............  ...............        (-18,000)        (-18,000)        (-18,000)
                                                                    ------------------------------------------------------------------------------------
      Total, U.S. Customs and Border Protection direct                   10,154,955       10,344,641       10,454,060         +299,105         +109,419
       appropriations..............................................
                                                                    ====================================================================================

Fee Accounts:
    Immigration inspection user fee................................        (527,629)        (568,790)        (568,790)        (+41,161)  ...............
    Immigration enforcement fines..................................          (1,041)          (1,093)          (1,093)            (+52)  ...............
    ESTA...........................................................         (44,524)         (46,318)         (46,318)         (+1,794)  ...............
    Land border inspection fee.....................................         (28,909)         (35,935)         (35,935)         (+7,026)  ...............
    COBRA passenger inspection fee.................................        (411,937)        (419,352)        (419,352)         (+7,415)  ...............
    APHIS inspection fee...........................................        (323,000)        (329,000)        (329,000)         (+6,000)  ...............
    Global Entry user fee..........................................          (2,615)         (13,743)         (13,743)        (+11,128)  ...............
    Puerto Rico collections........................................         (91,779)         (96,367)         (96,367)         (+4,588)  ...............
    Small airport user fee.........................................          (8,167)          (8,318)          (8,318)           (+151)  ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal, fee accounts.......................................      (1,439,601)      (1,518,916)      (1,518,916)        (+79,315)  ...............
                                                                    ------------------------------------------------------------------------------------
      Total Program Level, U.S. Customs and Border Protection......     (11,594,556)     (11,863,557)     (11,972,976)       (+378,420)       (+109,419)
          Appropriations...........................................     (10,154,955)     (10,344,641)     (10,454,060)       (+299,105)       (+109,419)
          Fee accounts.............................................      (1,439,601)      (1,518,916)      (1,518,916)        (+79,315)  ...............
                                                                    ====================================================================================
              U.S. Immigration and Customs Enforcement

Salaries and Expenses:
    Headquarters, Management, and Administration:
        Personnel compensation and benefits, services, and other            233,251          220,122          213,959          -19,292           -6,163
         costs.....................................................
        Headquarters-managed IT investment.........................         184,227          157,188          157,188          -27,039   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         417,478          377,310          371,147          -46,331           -6,163

    Legal Proceedings..............................................         215,935          207,580          207,580           -8,355   ...............
    Investigations:
        Domestic investigations....................................       1,725,234        1,672,526        1,654,916          -70,318          -17,610
            (By transfer)..........................................  ...............  ...............         (18,000)        (+18,000)        (+18,000)
        International Investigations:
            International operations...............................         114,928          110,370          115,370             +442           +5,000
            Visa Security Program..................................          33,889           32,616           32,616           -1,273   ...............
                                                                    ------------------------------------------------------------------------------------
              Subtotal.............................................         148,817          142,986          147,986             -831           +5,000
                                                                    ------------------------------------------------------------------------------------
              Subtotal, Investigations.............................       1,874,051        1,815,512        1,802,902          -71,149          -12,610

    Intelligence...................................................          81,503           78,748           78,748           -2,755   ...............

    Detention and Removal Operations:
        Custody operations.........................................       2,050,545        1,959,363        1,986,081          -64,464          +26,718
        Fugitive operations........................................         154,597          132,925          132,925          -21,672   ...............
        Criminal alien program.....................................         196,696          216,724          216,724          +20,028   ...............
        Alternatives to detention..................................          72,373          111,590           96,687          +24,314          -14,903
            (Transfer out to DOJ)..................................  ...............         (-5,000)         (-5,000)         (-5,000)  ...............
        Transportation and removal program.........................         276,632          258,227          263,227          -13,405           +5,000
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................       2,750,843        2,678,829        2,695,644          -55,199          +16,815

    Secure Communities.............................................         189,064          138,713          138,713          -50,351   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Salaries and expenses..............................       5,528,874        5,296,692        5,294,734         -234,140           -1,958

Automation Modernization...........................................          21,710           30,500           30,500           +8,790   ...............

Construction.......................................................  ...............           5,000            5,000           +5,000   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, U.S. Immigration and Customs Enforcement direct              5,550,584        5,332,192        5,330,234         -220,350           -1,958
       appropriations..............................................
                                                                    ====================================================================================

Fee Accounts:
    Immigration inspection user fee................................        (116,869)        (116,869)        (116,869)  ...............  ...............
    Breached bond/detention fund...................................         (75,000)         (75,000)         (75,000)  ...............  ...............
    Student exchange and visitor fee...............................        (120,000)        (120,000)        (120,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         311,869          311,869          311,869   ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Total Program Level, Immigration and Customs Enforcement.....      (5,862,453)      (5,644,061)      (5,655,103)       (-207,350)        (+11,042)
          Appropriations...........................................      (5,550,584)      (5,332,192)      (5,330,234)       (-220,350)         (-1,958)
          Fee accounts.............................................        (311,869)        (311,869)        (311,869)  ...............  ...............
    (By Transfer)..................................................  ...............  ...............         (18,000)        (+18,000)        (+18,000)
    (Transfer out).................................................  ...............         (-5,000)         (-5,000)         (-5,000)  ...............
                                                                    ====================================================================================
               Transportation Security Administration

Aviation Security:
    Screening Operations:
        Screener workforce:
            Privatized screening...................................         144,193          143,190          143,190           -1,003   ...............
            Screener personnel, compensation, and benefits.........       3,025,771        3,107,649        3,100,000          +74,229           -7,649
                                                                    ------------------------------------------------------------------------------------
              Subtotal.............................................       3,169,964        3,250,839        3,243,190          +73,226           -7,649

        Screener training and other................................         249,796          225,012          225,012          -24,784   ...............
        Checkpoint support.........................................         204,768          120,239          115,239          -89,529           -5,000

        EDS/ETD Systems:
            EDS procurement and installation.......................         222,738          117,349          107,349         -115,389          -10,000
            Screening technology maintenance, utilities............         320,365          309,000          309,000          -11,365   ...............
                                                                    ------------------------------------------------------------------------------------
              Subtotal.............................................         543,103          426,349          416,349         -126,754          -10,000
                                                                    ------------------------------------------------------------------------------------
              Subtotal, Screening operations.......................       4,167,631        4,022,439        3,999,790         -167,841          -22,649

    Aviation Security Direction and Enforcement:
        Aviation regulation and other enforcement..................         369,984          371,989          371,989           +2,005   ...............
        Airport management and support.............................         570,226          569,615          569,615             -611   ...............
        FFDO and flight crew training..............................          25,461           12,500           24,000           -1,461          +11,500
        Air cargo..................................................         120,654          122,096          122,096           +1,442   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................       1,086,325        1,076,200        1,087,700           +1,375          +11,500

    Aviation Security Capital Fund (mandatory).....................        (250,000)        (250,000)        (250,000)  ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Aviation security (gross).............................       5,253,956        5,098,639        5,087,490         -166,466          -11,149
                                                                    ====================================================================================
Aviation security fees (offsetting collections)....................      -2,030,000       -2,070,000       -2,070,000          -40,000   ...............

Additional offsetting collections (leg. proposal)..................  ...............        -115,000         -315,000         -315,000         -200,000
                                                                    ------------------------------------------------------------------------------------
      Total, Aviation security (net, discretionary)................       3,223,956        2,913,639        2,702,490         -521,466         -211,149
                                                                    ====================================================================================

Surface Transportation Security:
    Staffing and operations........................................          38,514           36,711           36,711           -1,803   ...............
    Surface transportation security inspectors and canines.........          96,234           87,565           87,565           -8,669   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         134,748          124,276          124,276          -10,472   ...............

Transportation Threat Assessment and Credentialing:
    Secure Flight..................................................          92,414          107,074          107,074          +14,660   ...............
    Crew and other vetting programs................................          71,540           85,557           85,557          +14,017   ...............
    TWIC fees......................................................          (8,300)         (47,300)         (47,300)        (+39,000)  ...............
    Hazardous materials fees.......................................         (12,000)         (12,000)         (12,000)  ...............  ...............
    Alien Flight School fees (by transfer from DOJ)................          (4,000)          (5,000)          (5,000)         (+1,000)  ...............
    Certified cargo screening program..............................          (5,200)          (7,200)          (7,200)         (+2,000)  ...............
    Large aircraft security program................................          (1,200)  ...............  ...............         (-1,200)  ...............
    Secure identification display area checks......................          (8,000)          (8,000)          (8,000)  ...............  ...............
    Other security threat assessments..............................            (100)            (120)            (120)            (+20)  ...............
    General aviation at DCA........................................            (100)            (100)            (100)  ...............  ...............
    Indirect air cargo.............................................          (1,400)  ...............  ...............         (-1,400)  ...............
    Sensitive security information [SSI] fees......................             (20)  ...............  ...............            (-20)  ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         204,274          272,351          272,351          +68,077   ...............

          Direct appropriations....................................        (163,954)        (192,631)        (192,631)        (+28,677)  ...............
          Fee funded programs......................................         (40,320)         (79,720)         (79,720)        (+39,400)  ...............

Transportation Security Support:
    Headquarters administration....................................         292,334          281,554          281,554          -10,780   ...............
    Information technology.........................................         447,200          417,196          417,196          -30,004   ...............
    Human capital services.........................................         249,400          225,829          225,829          -23,571   ...............
    Intelligence...................................................          42,992           45,130           45,130           +2,138   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................       1,031,926          969,709          969,709          -62,217   ...............

Federal Air Marshals:
    Management and administration..................................         842,500          815,639          815,639          -26,861   ...............
    Travel and training............................................         123,615          113,971          113,971           -9,644   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         966,115          929,610          929,610          -36,505   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Transportation Security Administration................       7,841,019        7,644,585        7,633,436         -207,583          -11,149
                                                                    ====================================================================================
Offsetting collections.............................................     (-2,030,000)     (-2,185,000)     (-2,385,000)       (-355,000)       (-200,000)

Aviation Security Capital Fund (mandatory).........................        (250,000)        (250,000)        (250,000)  ...............  ...............

Fee funded programs................................................         (40,320)         (79,720)         (79,720)        (+39,400)  ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Transportation Security Administration (net)..........       5,520,699        5,129,865        4,918,716         -601,983         -211,149
                                                                    ====================================================================================
                            Coast Guard

Operating Expenses:
    Military pay and allowances....................................       3,413,061        3,415,595        3,429,023          +15,962          +13,428
    Civilian pay and benefits......................................         784,256          790,130          790,389           +6,133             +259
    Training and recruiting........................................         213,321          212,761          214,115             +794           +1,354
    Operating funds and unit level maintenance.....................       1,109,623        1,092,419        1,098,257          -11,366           +5,838
    Centrally managed accounts.....................................         336,653          350,178          351,011          +14,358             +833
    Intermediate and depot level maintenance.......................         936,140          930,095          936,684             +544           +6,589
    Overseas contingency operations/Global war on terrorism........         258,000   ...............         254,000           -4,000         +254,000
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................       7,051,054        6,791,178        7,073,479          +22,425         +282,301

          (Defense)................................................        (598,000)        (339,000)        (535,000)        (-63,000)       (+196,000)
          (Nondefense).............................................      (6,453,054)      (6,452,178)      (6,538,479)        (+85,425)        (+86,301)

Environmental Compliance and Restoration...........................          13,500           13,162           13,162             -338   ...............

Reserve Training...................................................         134,278          132,554          132,554           -1,724   ...............

Acquisition, Construction, and Improvements:
    Vessels:
        Survey and design-vessels and boats........................           6,000            2,500            2,500           -3,500   ...............
        Response boat-medium.......................................         110,000   ...............           8,000         -102,000           +8,000
        In-service cutter sustainment..............................          14,000   ...............  ...............         -14,000   ...............
        National security cutter...................................          77,000          683,000          722,300         +645,300          +39,300
        Offshore patrol cutter.....................................          25,000           30,000           30,000           +5,000   ...............
        Fast response cutter.......................................         358,000          139,000          335,000          -23,000         +196,000
        Cutter small boats.........................................           5,000            4,000            4,000           -1,000   ...............
        Medium-endurance cutter sustainment........................          47,000           13,000           13,000          -34,000   ...............
        Polar Ice Breaking Vessel..................................  ...............           8,000            8,000           +8,000   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         642,000          879,500        1,122,800         +480,800         +243,300

    Aircraft:
        Airframe replacement (CGNR 6017)...........................          18,300   ...............  ...............         -18,300   ...............
        Maritime patrol aircraft...................................         129,500           43,000           43,000          -86,500   ...............
        HH-60 conversion projects..................................          56,100   ...............  ...............         -56,100   ...............
        Long-range surveillance aircraft...........................          62,000   ...............  ...............         -62,000   ...............
            (DoD transfer for C-130J) (Public Law 112-74)..........         (63,500)  ...............  ...............        (-63,500)  ...............
        HH-65 conversion/sustainment projects......................          24,000           31,500           31,500           +7,500   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         289,900           74,500           74,500         -215,400   ...............

    Other Acquisition Programs:
        Program oversight and management...........................          26,000           25,000           25,000           -1,000   ...............
        Systems engineering and integration........................          17,140            2,500            2,500          -14,640   ...............
        C4ISR......................................................          38,500           40,500           40,500           +2,000   ...............
        CG-Logistics Information Management System.................           6,500            2,500            2,500           -4,000   ...............
        Nationwide automatic identification system.................           5,000            6,000            6,000           +1,000   ...............
        Rescue 21..................................................          65,000   ...............  ...............         -65,000   ...............
        Interagency operations centers.............................           3,000   ...............  ...............          -3,000   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         161,140           76,500           76,500          -84,640   ...............

    Shore Facilities and Aids to Navigation:
        Major Shore; ATON; and Survey and design...................          92,900           15,000           15,000          -77,900   ...............
        Major acquisition systems infrastructure...................          81,500           49,411           49,411          -32,089   ...............
        Minor shore................................................           6,292            5,000            5,000           -1,292   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         180,692           69,411           69,411         -111,281   ...............

    Military Housing...............................................          20,000   ...............          10,000          -10,000          +10,000

    Personnel and Related Support:
        Direct personnel costs.....................................         109,592          116,798          116,798           +7,206   ...............
        Core acquisition costs.....................................             600              600              600   ...............  ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         110,192          117,398          117,398           +7,206   ...............

    Rescission of funds from (Public Law 111-83)...................  ...............         -25,000   ...............  ...............         +25,000
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Acquisition, construction, and improvements........       1,403,924        1,192,309        1,470,609          +66,685         +278,300

        (By Transfer)..............................................         (63,500)  ...............  ...............        (-63,500)  ...............

Research, Development, Test, and Evaluation........................          27,779           19,728           19,728           -8,051   ...............

Healthcare fund contribution (permanent indefinite discretionary)..         261,871          203,000          203,000          -58,871   ...............

Retired Pay (mandatory)............................................       1,440,157        1,423,000        1,423,000          -17,157   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Coast Guard...........................................      10,332,563        9,774,931       10,335,532           +2,969         +560,601
          Appropriations...........................................     (10,074,563)      (9,799,931)     (10,081,532)         (+6,969)       (+281,601)
          Rescissions..............................................  ...............        (-25,000)  ...............  ...............        (+25,000)
          By transfer..............................................         (63,500)  ...............  ...............        (-63,500)  ...............
          Overseas contingency operations/Global war on terrorism..        (258,000)  ...............        (254,000)         (-4,000)       (+254,000)
                                                                    ====================================================================================
                    United States Secret Service

Salaries and Expenses:
    Protection:
        Protection of persons and facilities.......................         832,463          837,646          857,501          +25,038          +19,855
        Protective intelligence activities.........................          68,125           68,373           68,373             +248   ...............
        National special security events...........................          19,307            4,500            4,500          -14,807   ...............
        Presidential candidate nominee protection..................         113,462           57,960           57,960          -55,502   ...............
        White House mail screening.................................          18,472           19,855   ...............         -18,472          -19,855
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................       1,051,829          988,334          988,334          -63,495   ...............

    Investigations:
        Domestic field operations..................................         223,991          238,553          297,508          +73,517          +58,955
        International field office administration, operations, and           32,971           31,016           31,016           -1,955   ...............
         training..................................................
        Electronic crimes special agent program and electronic               53,051           54,655   ...............         -53,051          -54,655
         crimes task forces........................................
        Support for missing and exploited children.................           8,366   ...............           7,500             -866           +7,500
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         318,379          324,224          336,024          +17,645          +11,800

    Headquarters, Management, and Administration...................         191,588          174,669          174,669          -16,919   ...............

    Rowley Training Center.........................................          55,598           55,749           55,749             +151   ...............

    Information Integration and Technology Transformation..........          43,843            1,137            1,137          -42,706   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Salaries and expenses..............................       1,661,237        1,544,113        1,555,913         -105,324          +11,800

Acquisition, Construction, Improvements, and Related Expenses......           5,380           56,750   ...............          -5,380          -56,750
    Facilities.....................................................  ...............  ...............           4,430           +4,430           +4,430
    Information Integration and Technology Transformation..........  ...............  ...............          52,320          +52,320          +52,320
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Acquisition, Construction, Improvements, and                  5,380           56,750           56,750          +51,370   ...............
       Related Expenses............................................
                                                                    ------------------------------------------------------------------------------------
      Total, United States Secret Service..........................       1,666,617        1,600,863        1,612,663          -53,954          +11,800
                                                                    ====================================================================================
      Total, title II, Security, Enforcement, and Investigations...      33,225,418       32,182,492       32,651,205         -574,213         +468,713
              Appropriations.......................................     (32,967,418)     (32,207,492)     (32,397,205)       (-570,213)       (+189,713)
              Rescissions..........................................  ...............        (-25,000)  ...............  ...............        (+25,000)
              Overseas contingency operations/Global war on                (258,000)  ...............        (254,000)         (-4,000)       (+254,000)
               terrorism...........................................
          (Fee Accounts)...........................................      (1,791,790)      (1,910,505)      (1,910,505)       (+118,715)  ...............
          (By transfer)............................................         (63,500)  ...............         (18,000)        (-45,500)        (+18,000)
          (Transfer out)...........................................  ...............         (-5,000)        (-23,000)        (-23,000)        (-18,000)
                                                                    ====================================================================================
    TITLE III--PROTECTION, PREPAREDNESS, RESPONSE, AND RECOVERY

            National Protection and Programs Directorate

Management and Administration:
    Administrative activities......................................          46,454           50,321           50,321           +3,867   ...............
    Risk management and analysis...................................           4,241   ...............  ...............          -4,241   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................          50,695           50,321           50,321             -374   ...............

Infrastructure Protection and Information Security:
    Infrastructure Protection (defense):
        Infrastructure analysis and planning.......................          70,518           56,909           59,692          -10,826           +2,783
        Sector management and governance...........................          74,219           67,132           67,132           -7,087   ...............
        Regional field operations..................................          57,367           56,497           56,497             -870   ...............
        Infrastructure security compliance.........................          93,348           74,544           86,471           -6,877          +11,927
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Infrastructure protection......................         295,452          255,082          269,792          -25,660          +14,710

    Cybersecurity and Communications:
        Cybersecurity (defense):
        Cybersecurity coordination.................................           4,500            3,995            3,995             -505   ...............
        US Computer Response Team [US-CERT] Operations.............          79,116           93,002           93,002          +13,886   ...............
        Federal Network Security...................................          35,000          236,014          217,606         +182,606          -18,408
        Network Security Deployment................................         229,000          345,046          345,046         +116,046   ...............
        Global Cybersecurity Management............................          23,992           21,957           25,965           +1,973           +4,008
        Critical Infrastructure Cyber Protection and Awareness.....          60,000           62,763           63,763           +3,763           +1,000
        Business Operations........................................          11,568            6,227            6,227           -5,341   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Cybersecurity..................................         443,176          769,004          755,604         +312,428          -13,400

    Communications (defense):
        Office of Emergency Communications.........................          43,495           38,689           41,726           -1,769           +3,037
        Priority telecommunications services.......................          56,074           53,286           53,286           -2,788   ...............
        Next generation networks...................................          25,253           20,000           25,253   ...............          +5,253
        Programs to study and enhance telecommunications...........          13,441           19,594           12,944             -497           -6,650
        Critical infrastructure protection programs................          11,352           10,978           10,978             -374   ...............
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Communications.................................         149,615          142,547          144,187           -5,428           +1,640
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Cybersecurity and communications...............         592,791          911,551          899,791         +307,000          -11,760
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Infrastructure Protection and Information               888,243        1,166,633        1,169,583         +281,340           +2,950
           Security (defense)......................................

Federal Protective Service:
    Basic security.................................................         247,478          271,540          271,540          +24,062   ...............
    Building-specific security.....................................         501,039          509,056          509,056           +8,017   ...............
    Reimbursable Security Fees (contract guard services)...........         513,020          521,228          521,228           +8,208   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Federal Protective Service.........................       1,261,537        1,301,824        1,301,824          +40,287   ...............

      Offsetting collections.......................................      -1,261,537       -1,301,824       -1,301,824          -40,287   ...............

U.S. Visitor and Immigrant Status Indicator Technology.............         306,802   ...............  ...............        -306,802   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, National Protection and Programs Directorate..........       1,245,740        1,216,954        1,219,904          -25,836           +2,950
          Appropriations...........................................      (2,507,277)      (2,518,778)      (2,521,728)        (+14,451)         (+2,950)
          Offsetting collections...................................     (-1,261,537)     (-1,301,824)     (-1,301,824)        (-40,287)  ...............
                                                                    ====================================================================================
                      Office of Health Affairs

BioWatch...........................................................         114,164          125,294          125,294          +11,130   ...............
National Biosurveillance Integration Center........................          12,013            8,000            8,000           -4,013   ...............
Chemical Defense Program...........................................           5,439              500            2,000           -3,439           +1,500
Planning and Coordination..........................................           6,162            4,907            5,249             -913             +342
Salaries and Expenses..............................................          29,671           27,757           27,757           -1,914   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Office of Health Affairs..............................         167,449          166,458          168,300             +851           +1,842
                                                                    ====================================================================================
                Federal Emergency Management Agency

Salaries and Expenses:
    Administrative and regional offices............................         110,495          214,603          257,884         +147,389          +43,281
        Office of National Capital Region Coordination.............          (5,493)  ...............          (5,099)           (-394)         (+5,099)
    Preparedness and protection....................................         109,873           73,153          179,095          +69,222         +105,942
    Response.......................................................         226,228          171,897          179,681          -46,547           +7,784
        Urban search and rescue response system....................         (41,250)         (27,513)         (35,180)         (-6,070)         (+7,667)
    Recovery.......................................................          78,373           55,423           55,423          -22,950   ...............
    Mitigation.....................................................          43,675           27,110           29,837          -13,838           +2,727
    Mission support................................................         219,433          152,806          167,895          -51,538          +15,089
    Centrally managed accounts.....................................         107,273           94,180          109,587           +2,314          +15,407
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Salaries and expenses..............................         895,350          789,172          979,402          +84,052         +190,230

          (Defense)................................................         (99,099)         (58,000)         (58,000)        (-41,099)  ...............
          (Nondefense).............................................        (796,251)        (731,172)        (921,402)       (+125,151)       (+190,230)
(by transfer from State and Local Programs)........................         (91,778)        (279,304)  ...............        (-91,778)       (-279,304)
(available from Firefighter Assistance Grants).....................         (33,750)  ...............  ...............        (-33,750)  ...............
(available from Emergency Management Performance Grants)...........         (10,500)  ...............  ...............        (-10,500)  ...............
                                                                    ------------------------------------------------------------------------------------
      Program level, Salaries and Expenses.........................      (1,031,378)      (1,068,476)        (979,402)        (-51,976)        (-89,074)

Grants and Training:
    State and Local Programs:
        State and local programs (grants)..........................       1,118,000   ...............  ...............      -1,118,000   ...............
        State Homeland Security Grant Program......................  ...............  ...............         470,000         +470,000         +470,000
            Operation Stonegarden..................................         (50,000)  ...............         (55,000)         (+5,000)        (+55,000)
        Urban Area Security Initiative.............................  ...............  ...............         676,908         +676,908         +676,908
            Nonprofit security grants..............................  ...............  ...............         (13,000)        (+13,000)        (+13,000)
        Public transportation security assistance, railroad          ...............  ...............         132,000         +132,000         +132,000
         security assistance.......................................
            Amtrak security........................................  ...............  ...............         (13,000)        (+13,000)        (+13,000)
        Port security grants.......................................  ...............  ...............         132,000         +132,000         +132,000
                                                                    ------------------------------------------------------------------------------------
          Subtotal, State and local program (grants)...............       1,118,000   ...............       1,410,908         +292,908       +1,410,908

        Education, Training, and Exercises:
            Emergency Management Institute.........................          16,181   ...............          17,805           +1,624          +17,805
            Center for Domestic Preparedness.......................          62,500   ...............          64,991           +2,491          +64,991
            National Domestic Preparedness Consortium..............          93,000   ...............          93,000   ...............         +93,000
            Continuing training....................................          26,000   ...............          26,000   ...............         +26,000
            National Exercise Program..............................          34,000   ...............          32,378           -1,622          +32,378
                                                                    ------------------------------------------------------------------------------------
              Subtotal, Education, training and exercises..........         231,681   ...............         234,174           +2,493         +234,174

    National Preparedness Grant Program............................  ...............       1,540,908   ...............  ...............      -1,540,908

    First Responder Assistance Program:
        Emergency Management Performance Grants....................  ...............         350,000   ...............  ...............        -350,000
        Fire Grants................................................  ...............         335,000   ...............  ...............        -335,000
        Staffing for Adequate Fire and Emergency Response [SAFER]    ...............         335,000   ...............  ...............        -335,000
         Act Grants................................................
    Training Partnership Grants....................................  ...............          60,000   ...............  ...............         -60,000
                                                                    ------------------------------------------------------------------------------------
      Subtotal, First Responder Assistance Program.................  ...............       1,080,000   ...............  ...............      -1,080,000

    Management and Administration..................................  ...............         279,304   ...............  ...............        -279,304
                                                                    ------------------------------------------------------------------------------------
      Subtotal, State and Local Programs...........................       1,349,681        2,900,212        1,645,082         +295,401       -1,255,130

          (Defense)................................................         (50,000)  ...............         (55,000)         (+5,000)        (+55,000)
          (Nondefense).............................................      (1,299,681)      (2,900,212)      (1,590,082)       (+290,401)     (-1,310,130)
    (Transfer out to Salaries and Expenses)........................        (-91,778)       (-279,304)  ...............        (+91,778)       (+279,304)
                                                                    ------------------------------------------------------------------------------------
        Program level, State and Local Programs....................      (1,257,903)      (2,620,908)      (1,645,082)       (+387,179)       (-975,826)

    Firefighter Assistance Grants:
        Fire grants................................................         337,500   ...............         337,500   ...............        +337,500
        Staffing for Adequate Fire and Emergency Response [SAFER]           337,500   ...............         337,500   ...............        +337,500
         Act grants................................................
                                                                    ------------------------------------------------------------------------------------
          Subtotal.................................................         675,000   ...............         675,000   ...............        +675,000

    (Available to Salaries and Expenses)...........................        (-33,750)  ...............  ...............        (+33,750)  ...............
                                                                    ------------------------------------------------------------------------------------
        Program level, Firefighter Assistance Grants...............        (641,250)  ...............        (675,000)        (+33,750)       (+675,000)

    Emergency Management Performance Grants........................         350,000   ...............         350,000   ...............        +350,000
    (Available to Salaries and Expenses)...........................        (-10,500)  ...............  ...............        (+10,500)  ...............
                                                                    ------------------------------------------------------------------------------------
        Program level, Emergency Management Performance Grants.....        (339,500)  ...............        (350,000)        (+10,500)       (+350,000)
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Grants and Training............................       2,374,681        2,900,212        2,670,082         +295,401         -230,130
                                                                    ------------------------------------------------------------------------------------
            (Transfer out to salaries and expenses)................       (-136,028)       (-279,304)  ...............       (+136,028)       (+279,304)
                                                                    ------------------------------------------------------------------------------------
            Program level, Grants and Training.....................      (2,238,653)      (2,620,908)      (2,670,082)       (+431,429)        (+49,174)

Radiological Emergency Preparedness Program........................            -896           -1,443           -1,443             -547   ...............
United States Fire Administration..................................          44,038           42,520           44,020              -18           +1,500
Disaster Relief Fund...............................................         700,000          607,926          607,926          -92,074   ...............
    (Disaster relief category).....................................       6,400,000        5,481,000        5,481,000         -919,000   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................       7,100,000        6,088,926        6,088,926       -1,011,074   ...............

    (Transfer out to Inspector General)............................        (-24,000)  ...............        (-24,000)  ...............        (-24,000)
                                                                    ------------------------------------------------------------------------------------
        Program level, Disaster Relief Fund........................      (7,076,000)      (6,088,926)      (6,064,926)     (-1,011,074)        (-24,000)

Disaster Assistance Direct Loan Program Account:
    (Limitation on direct loans)...................................         (25,000)         (25,000)  ...............        (-25,000)        (-25,000)
    Direct loan subsidy............................................             295   ...............  ...............            -295   ...............
Flood Hazard Mapping and Risk Analysis Program.....................          97,712           89,329           97,329             -383           +8,000

National Flood Insurance Fund:
    Salaries and expenses..........................................          22,000           22,000           22,000   ...............  ...............
    Flood plain management and mapping.............................         149,000          149,000          149,000   ...............  ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         171,000          171,000          171,000   ...............  ...............

    Offsetting fee collections.....................................        -171,000         -171,000         -171,000   ...............  ...............
National Predisaster Mitigation Fund...............................          35,500   ...............          35,000             -500          +35,000
Emergency Food and Shelter.........................................         120,000          100,000          150,000          +30,000          +50,000
                                                                    ------------------------------------------------------------------------------------
      Total, Federal Emergency Management Agency...................      10,666,680       10,008,716       10,063,316         -603,364          +54,600
          (Appropriations).........................................      (4,266,680)      (4,527,716)      (4,582,316)       (+315,636)        (+54,600)
          (Disaster relief category)...............................      (6,400,000)      (5,481,000)      (5,481,000)       (-919,000)  ...............

    (By transfer)..................................................         (91,778)        (279,304)  ...............        (-91,778)       (-279,304)
    (Transfer out).................................................       (-115,778)       (-279,304)        (-24,000)        (+91,778)       (+255,304)
    (Limitation on direct loans)...................................         (25,000)         (25,000)  ...............        (-25,000)        (-25,000)
                                                                    ====================================================================================
      Total, title III, Protection, Preparedness, Response and           12,079,869       11,392,128       11,451,520         -628,349          +59,392
       Recovery Directorate........................................
          Appropriations...........................................      (5,679,869)      (5,911,128)      (5,970,520)       (+290,651)        (+59,392)
          Disaster relief category.................................      (6,400,000)      (5,481,000)      (5,481,000)       (-919,000)  ...............

    (By transfer)..................................................         (91,778)        (279,304)  ...............        (-91,778)       (-279,304)
    (Transfer out).................................................       (-115,778)       (-279,304)        (-24,000)        (+91,778)       (+255,304)
    (Limitation on direct loans)...................................         (25,000)         (25,000)  ...............        (-25,000)        (-25,000)
                                                                    ====================================================================================
     TITLE IV--RESEARCH AND DEVELOPMENT, TRAINING, AND SERVICES

         United States Citizenship and Immigration Services

Appropriations:
    Systematic Alien Verification for Entitlements [SAVE]..........  ...............          20,048   ...............  ...............         -20,048
    E-Verify program...............................................         102,424          111,924          111,924           +9,500   ...............
    Immigrant integration programs.................................  ...............          11,002            5,000           +5,000           -6,002
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         102,424          142,974          116,924          +14,500          -26,050

Fee Accounts:
    Adjudication Services:
        District operations........................................      (1,315,570)      (1,283,771)      (1,283,771)        (-31,799)  ...............
            (Immigrant Integration Grants).........................          (4,960)  ...............          (5,000)            (+40)         (+5,000)
        Service center operations..................................        (532,414)        (507,479)        (507,479)        (-24,935)  ...............
        Asylum, refugee and international operations...............        (196,877)        (196,274)        (196,274)           (-603)  ...............
        Records operations.........................................         (86,631)         (86,774)         (86,774)           (+143)  ...............
        Business transformation....................................        (344,055)        (269,216)        (269,216)        (-74,839)  ...............
            (Digitization program).................................         (29,000)  ...............  ...............        (-29,000)  ...............
                                                                    ------------------------------------------------------------------------------------
              Subtotal.............................................       2,475,547        2,343,514        2,343,514         -132,033   ...............

    Information and Customer Services:
        Operating expenses.........................................         (88,891)         (89,011)         (89,011)           (+120)  ...............

    Administration:
        Operating expenses.........................................        (381,666)        (382,334)        (382,334)           (+668)  ...............
    Systematic Alien Verification for Entitlements [SAVE]..........         (29,937)  ...............         (20,048)         (-9,889)        (+20,048)
                                                                    ------------------------------------------------------------------------------------
      Subtotal, Fee accounts.......................................       2,976,041        2,814,859        2,834,907         -141,134          +20,048

H1-B Visa Fee Account:
    Adjudication Services:
        Service center operations..................................  ...............         (12,550)         (12,550)        (+12,550)  ...............

H1-B and L Fraud Prevention Fee Account:
    Adjudication Services:
        District operations........................................  ...............         (35,000)         (35,000)        (+35,000)  ...............
                                                                    ------------------------------------------------------------------------------------
          Total, Fee accounts......................................       2,976,041        2,862,409        2,882,457          -93,584          +20,048
                                                                    ------------------------------------------------------------------------------------
          Total Program Level, United States Citizenship and             (3,078,465)      (3,005,383)      (2,999,381)        (-79,084)         (-6,002)
           Immigration Services....................................
                Appropriations.....................................        (102,424)        (142,974)        (116,924)        (+14,500)        (-26,050)
                Fee accounts.......................................      (2,976,041)      (2,862,409)      (2,882,457)        (-93,584)        (+20,048)
                                                                    ====================================================================================
(Immigration Examination Fee Account)..............................      (2,923,845)      (2,814,859)      (2,834,907)        (-88,938)        (+20,048)
(H1-B Visa Fee Account)............................................         (13,000)         (12,550)         (12,550)           (-450)  ...............
(H1-B and L Fraud Prevention Fee Account)..........................         (39,196)         (35,000)         (35,000)         (-4,196)  ...............
                                                                    ====================================================================================
              Federal Law Enforcement Training Center

Salaries and Expenses:
    Law enforcement training.......................................         207,937          198,375          198,375           -9,562   ...............
    Management and administration..................................          29,716           29,261           29,261             -455   ...............
    Accreditation..................................................           1,304            1,303            1,303               -1   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         238,957          228,939          228,939          -10,018   ...............

Acquisitions, Construction, Improvements, and Related Expenses:              32,456           29,385           29,385           -3,071   ...............
 direct appropriation..............................................
                                                                    ------------------------------------------------------------------------------------
      Total, Federal Law Enforcement Training Center...............         271,413          258,324          258,324          -13,089   ...............
                                                                    ====================================================================================
                       Science and Technology

Management and Administration......................................         135,000          138,008          138,008           +3,008   ...............

Research, Development, Acquisition, and Operations:
    Research, development, and innovation..........................         265,783          478,048   ...............        -265,783         -478,048
        Apex R&D...................................................  ...............  ...............          15,000          +15,000          +15,000
        Border Security............................................  ...............  ...............          31,652          +31,652          +31,652
        Chem/Bio/Radiological/Nuclear/Explosives Defense...........  ...............  ...............         197,688         +197,688         +197,688
        Counter Terrorist R&D......................................  ...............  ...............          25,493          +25,493          +25,493
        Cyber Security.............................................  ...............  ...............          64,477          +64,477          +64,477
        Disaster Resilience........................................  ...............  ...............         143,738         +143,738         +143,738
                                                                    ------------------------------------------------------------------------------------
          Subtotal, Research, development, and innovation..........         265,783          478,048          478,048         +212,265   ...............

    Laboratory facilities..........................................         176,500          127,432          127,432          -49,068   ...............
    Acquisition and operations support.............................          54,154           47,984           47,984           -6,170   ...............
    University programs............................................          36,563           40,000           40,000           +3,437   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         533,000          693,464          693,464         +160,464   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Science and Technology................................         668,000          831,472          831,472         +163,472   ...............
                                                                    ====================================================================================
                 Domestic Nuclear Detection Office

Management and Administration......................................          38,000           39,692           39,692           +1,692   ...............

Research, Development, and Operations:
    Systems engineering and architecture...........................          30,000           30,091           30,091              +91   ...............
    Systems development............................................          51,000           28,401           28,401          -22,599   ...............
    Transformational research and development......................          40,000           83,897           83,897          +43,897   ...............
    Assessments....................................................          38,000           33,198           33,198           -4,802   ...............
    Operations support.............................................          33,000           35,679           35,679           +2,679   ...............
    National Technical Nuclear Forensics Center....................          23,000           25,564           25,564           +2,564   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................         215,000          236,830          236,830          +21,830   ...............

Systems Acquisition:
    Radiation portal monitor program...............................           7,000            1,355            1,355           -5,645   ...............
    Securing the Cities............................................          22,000           22,000           22,000   ...............  ...............
    Human portable radiation detection systems.....................           8,000           28,100           28,100          +20,100   ...............
                                                                    ------------------------------------------------------------------------------------
      Subtotal.....................................................          37,000           51,455           51,455          +14,455   ...............
                                                                    ------------------------------------------------------------------------------------
      Total, Domestic Nuclear Detection Office.....................         290,000          327,977          327,977          +37,977   ...............
                                                                    ====================================================================================
      Total, title IV, Research and Development, Training, and            1,331,837        1,560,747        1,534,697         +202,860          -26,050
       Services....................................................
          (Fee Accounts)...........................................      (2,976,041)      (2,862,409)      (2,882,457)        (-93,584)        (+20,048)
                                                                    ====================================================================================
                    TITLE V--GENERAL PROVISIONS

NSSE reimbursement fund............................................           7,500   ...............           7,500   ...............          +7,500
Community Disaster loans...........................................  ...............  ...............          13,000          +13,000          +13,000
Rescission of unobligated balances.................................         -45,411   ...............  ...............         +45,411   ...............
Analysis and operations (rescission)...............................  ...............  ...............          -1,800           -1,800           -1,800
CBP BSFIT (rescission).............................................  ...............  ...............         -92,000          -92,000          -92,000
TSA Surface Transportation (rescission)............................  ...............  ...............         -21,667          -21,667          -21,667
USCG AC&I (rescission).............................................  ...............  ...............         -59,000          -59,000          -59,000
Working Capital fund (rescission)..................................  ...............  ...............            -996             -996             -996
Predisaster Mitigation (rescission)................................  ...............  ...............         -12,000          -12,000          -12,000
Office of Domestic Preparedness (rescission).......................  ...............  ...............          -1,328           -1,328           -1,328
Lapsed Predisaster Mitigation (rescission).........................  ...............  ...............          -3,007           -3,007           -3,007
Visa Lottery fee...................................................  ...............  ...............         -50,000          -50,000          -50,000
Data center migration..............................................          70,000   ...............          64,797           -5,203          +64,797
DHS Consolidated Headquarters Project..............................          55,979   ...............          89,000          +33,021          +89,000
Rescission of legacy funds.........................................         -20,654   ...............  ...............         +20,654   ...............
ICE Salaries and expenses (rescission).............................         -10,000   ...............  ...............         +10,000   ...............
ICE Automation Modernization (rescission)..........................         -10,000   ...............  ...............         +10,000   ...............
TSA (rescission)...................................................         -71,300   ...............  ...............         +71,300   ...............
CBP Automation Modernization (rescission)..........................          -5,000   ...............  ...............          +5,000   ...............
CBP BSFIT Program Management (rescission)..........................          -7,000   ...............  ...............          +7,000   ...............
USCG AC&I Great Lakes Icebreaker (rescission)......................          -2,427   ...............  ...............          +2,427   ...............
TASC (rescission)..................................................          -5,000   ...............  ...............          +5,000   ...............
US-VISIT (rescission)..............................................         -27,400   ...............  ...............         +27,400   ...............
                                                                    ====================================================================================
      Total, title V, General Provisions...........................         -70,713   ...............         -67,501           +3,212          -67,501
          Appropriations...........................................        (133,479)  ...............        (124,297)         (-9,182)       (+124,297)
          Rescissions..............................................       (-204,192)  ...............       (-191,798)        (+12,394)       (-191,798)
                                                                    ====================================================================================
      Grand total..................................................      47,698,385       46,413,991       46,671,548       -1,026,837         +257,557
          Appropriations...........................................     (41,244,577)     (40,957,991)     (41,128,346)       (-116,231)       (+170,355)
          Rescissions..............................................       (-204,192)        (-25,000)       (-191,798)        (+12,394)       (-166,798)
          Overseas contingency operations/Global war on terrorism..        (258,000)  ...............        (254,000)         (-4,000)       (+254,000)
          Disaster relief category.................................      (6,400,000)      (5,481,000)      (5,481,000)       (-919,000)  ...............

    (Fee-funded programs)..........................................      (4,767,831)      (4,772,914)      (4,792,962)        (+25,131)        (+20,048)
    (Limitation on direct loans)...................................         (25,000)         (25,000)  ...............        (-25,000)        (-25,000)
    (By transfer)..................................................        (179,278)        (279,304)         (42,000)       (-137,278)       (-237,304)
    (Transfer out).................................................       (-115,778)       (-284,304)        (-47,000)        (+68,778)       (+237,304)
--------------------------------------------------------------------------------------------------------------------------------------------------------