[House Report 107-152]
[From the U.S. Government Publishing Office]
107th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 107-152
======================================================================
TREASURY, POSTAL SERVICE, AND GENERAL GOVERNMENT APPROPRIATIONS BILL,
2002
_______
July 23, 2001.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Istook, from the Committee on Appropriations, submitted the
following
R E P O R T
together with
MINORITY VIEWS
[To accompany H.R. 2590]
The Committee on Appropriations submits the following
report in explanation of the accompanying bill making
appropriations for the Treasury Department, the Postal Service,
the Executive Office of the President, and certain Independent
Agencies for the fiscal year ending September 30, 2002, and for
other purposes.
INDEX TO BILL AND REPORT
_______________________________________________________________________
Page number
Bill Report
Summary of the Bill........................................
2
Title I--Department of the Treasury:
Bureau of Alcohol, Tobacco and Firearms............ 9
18
Bureau of Engraving and Printing...................
28
Bureau of the Public Debt.......................... 17
30
Departmental Offices............................... 2
5
Department-Wide Systems and Capital Investments
Programs....................................... 3
9
Federal Law Enforcement Training Center............ 6
15
Financial Crimes Enforcement Network............... 5
12
Financial Management Service....................... 9
17
General Provisions--Treasury Department............ 23
38
Interagency Crime and Drug Enforcement............. 9
17
Internal Revenue Service........................... 17
32
Office of Inspector General........................ 3
9
Treasury Building and Annex Repair and Restoration. 4
11
Treasury Inspector General for Tax Administration.. 4
10
United States Customs Service...................... 12
20
United States Mint................................. 16
29
United States Secret Service....................... 21
37
Violent Crime Reduction Programs...................
19
Title II--Postal Service:
Payment to the Postal Service Fund................. 26
39
Title III--Executive Office of the President and Funds
Appropriated to the President:
Compensation of the President and White House
Office......................................... 27
44
Council of Economic Advisers....................... 32
47
Executive Residence at the White House............. 28
45
Federal Drug Control Programs...................... 38
57
National Security Council.......................... 33
48
Office of Administration........................... 33
49
Office of Management and Budget.................... 34
50
Office of National Drug Control Policy............. 36
55
Office of Policy Development....................... 33
48
Special Assistance to the President and Official
Residence of the Vice President................ 31
46
Unanticipated Needs................................ 39
61
Title IV--Independent Agencies:
Committee for Purchase from People who are Blind or
Severely Disabled.............................. 40
61
Federal Election Commission........................ 40
62
Federal Labor Relations Authority.................. 40
64
General Services Administration.................... 41
64
Merit Systems Protection Board..................... 55
76
Morris K. Udall Scholarship and Foundation......... 56
77
National Archives and Records Administration....... 57
79
Office of Government Ethics........................ 58
81
Office of Personnel Management..................... 58
82
Office of Special Counsel.......................... 62
85
United States Tax Court............................ 62
86
Title V--General Provisions:
This Act........................................... 63
86
Title VI--Governmentwide General Provisions:
Departments, Agencies, and Corporations............ 68
87
Compliance with House Rules........................
90
Tables.............................................
118
Summary of the Total Bill..........................
95
The accompanying bill contains recommendations for new
budget (obligational) authority for fiscal year 2002 for the
Department of the Treasury, the Postal Service, various offices
in the Executive Office of the President, and certain
Independent Agencies. The following table summarizes these
Recommendations and reflects comparisons with the budget, as
amended, and with amounts appropriated to date for fiscal year
2001:
[In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
Budget Bill compared with
New budget estimates of -------------------------------
(obligation) new
Agency authority (obligational) Recommended in New budget Budget
fiscal year authority, the bill authority estimate,
2001 enacted fiscal year fiscal year fiscal year
to date 2002 2001 2002
----------------------------------------------------------------------------------------------------------------
Treasury........................ $13,880,468 $14,631,710 $15,061,997 +$1,181,529 $430,287
Postal Service.................. 95,888 143,712 143,712 +47,824 ..............
Executive Office of the 700,273 731,725 749,585 +49,312 +17,860
President......................
Independent agencies............ 15,740,361 16,528,204 16,519,775 +779,414 -8,429
-------------------------------------------------------------------------------
Grand total............... 30,619,925 32,371,351 32,711,450 +2,091,526 +340,099
----------------------------------------------------------------------------------------------------------------
RECOMMENDATION
The Committee recommends a total of $17,021,000,000 in
discretionary resources for agencies under its jurisdiction;
this includes $146,000,000 for the Earned Income Tax Credit
Compliance Initiative. After scorekeeping adjustments, the
Committee's recommendation is $1,080,682,000 or 6.8 percent
above amounts appropriated in fiscal year 2001 and $340,099,000
or 2.0 percent above the amounts requested by the President.
GENERAL STATEMENT
The allocation received by the Subcommittee on Treasury,
Postal Service and General Government for fiscal year 2002
fully supports the critical missions and responsibilities for
programs under its jurisdiction and maintains a strong
commitment to ongoing information technology, federal law
enforcement, and capital construction requirements. The funding
level is consistent with the recommendations included in the
fiscal year 2002 Congressional Budget Resolution, as agreed to
by the House, Senate and President. Although the allocation is
above the President's original budget by $340 million, the
agreement on the budget resolution superseded those figures.
The Committee believes the President's original budget under-
funded certain critical law enforcement and information
technology initiatives, as reflected by the President's own
supplemental request for additional funds to provide security
at the upcoming Olympics.
The Committee has adjusted amounts to balance Congressional
priorities with the President's, but has remained within the
overall agreed-to funding level, and within its 302(b)
allocation. The Committee is disappointed that the President's
budget did not support the total funding requirements of the
Customs Service's Automated Commercial Environment (ACE)
program. The Committee is aware that original cost estimates
for ACE called for an investment of $1.4-$1.8 billion over 4
years. Under the President's budget, this schedule would have
slipped by an estimated 2 years, with an additional cost to
taxpayers of $200 million. In order to keep this program on
track and within budget, the Committee recommends an
appropriation of $300 million, an increase of $170 million from
amounts requested by the President.
The Committee is also concerned that the President's
initial request did not include the $60.6 million necessary to
support Treasury law enforcement's role in the upcoming 2002
Winter Olympics; the Committee is nonetheless pleased that the
President submitted a request for these funds within the fiscal
year 2001 supplemental appropriations bill. Because these funds
would not be spent until fiscal year 2001 had closed, the
Committee has included funding for these efforts in fiscal year
2002, which is when they are needed.
The Committee is pleased by efforts within the
Administration to streamline common functions, achieve
economies of scale and implement best business practices. The
Committee looks forward to working with the Administration to
achieve these goals but is concerned that the Administration so
far has adopted a non-specific longer-term approach and could
not identify specific initiatives nor quantify exact savings
for fiscal year 2002. In total, the Administration proposed
that agencies under the Subcommittee's jurisdiction absorb $150
million in uncontrollable costs associated with non-pay
inflation, most of which was presumed to be made up through
administrative initiatives to streamline common functions. In
the absence of specific initiatives to produce these savings,
the Committee believes it is premature to assume savings of
$150 million. The Committee is also concerned that this non-
specific absorption of $150 million would reduce the number of
critical law enforcement personnel at a time when they are
sorely needed. For example, the volume of trade and passenger
traffic outpaces Customs' workforce levels; and Secret Service
agents are averaging 80 hours of overtime per month. Therefore,
the Committee provides full funding for most agencies to
maintain their current levels of effort. The Committee directs
agencies to keep it informed of ongoing reviews for program
efficiencies and all efforts associated with implementing best
business practices; the Committee expects that specific
proposed savings will be fully developed and submitted as part
of the President's fiscal year 2003 budget request.
The Committee supports the President's request to maintain
a viable courthouse construction program and other critical
federal infrastructure requirements. Nonetheless, the Committee
is concerned by the dramatic increases in courthouse
construction costs and is disappointed by the absence of
aggressive measures within the General Services Administration
(GSA) to control these costs. The Committee expects GSA to be
prepared to both quantify and justify the methodologies used to
develop the courthouse construction program. The Committee
believes that these costs can be controlled and will look for
positive results in the President's fiscal year 2003 budget
request.
The Committee continues to have serious concerns about
Office of Management and Budget's (OMB) lack of leadership in
the management of federal agencies. The Committee commends the
President's efforts to improve government performance and
believes that OMB, which implements both the President's budget
and his management agenda, will play a critical role in
determining whether these efforts succeed. The Committee will
continue to review OMB's performance as it relates to oversight
and management of federal agencies.
REPROGRAMMING AND TRANSFER OF FUNDS GUIDELINES
The following reprogramming guidelines shall be complied
with by all agencies funded by the Treasury and General
Government Appropriations Act, 2002:
1. Except under extraordinary and emergency
situations, the Committees on Appropriations will not
consider requests for a reprogramming or a transfer of
funds, or use of unobligated balances, which are
submitted after the close of the third quarter of the
fiscal year, June 30;
2. Clearly stated and detailed documentation
presenting justification for the reprogramming,
transfer, or use of unobligated balances shall
accompany each request;
3. For agencies, departments, or offices receiving
appropriations in excess of $20,000,000, a
reprogramming shall be submitted if the amount to be
shifted to or from any object class, budget activity,
program line item, or program activity involved is in
excess of $500,000 or 10 percent, whichever is greater,
of the object class, budget activity, program line
item, or program activity;
4. For agencies, departments, or offices receiving
appropriations less than $20,000,000, a reprogramming
shall be submitted if the amount to be shifted to or
from any object class, budget activity, program line
item, or program activity involved is in excess of
$50,000, or 10 percent, whichever is greater, of the
object class, budget activity, program line item, or
program activity;
5. For any action where the cumulative effect of
below threshold reprogramming actions, or past
reprogramming and/or transfer actions added to the
request, would exceed the dollar threshold mentioned
above, a reprogramming shall be submitted;
6. For any action which would result in a major
change to the program or item which is different than
that presented to and approved by either of the
Committees, or the Congress, a reprogramming shall be
submitted;
7. For any action where funds earmarked by either of
the Committees for a specific activity are proposed to
be used for a different activity, a reprogramming shall
be submitted; and
8. For any action where funds earmarked by either of
the Committees for a specific activity are in excess of
the project or activity requirement, and are proposed
to be used for a different activity, a reprogramming
shall be submitted.
Additionally, each request shall include a declaration
that, as of the date of the request, none of the funds included
in the request have been obligated, and none will be obligated,
until the Committees on Appropriations have approved the
request.
UNAUTHORIZED APPROPRIATIONS REQUESTS
The Committee directs that budget justification materials
submitted in support of future appropriations requests contain
tabular listings of any item that is not authorized by law, in
the format contained elsewhere in this report under the heading
``Appropriations Not Authorized by Law''.
TITLE I--DEPARTMENT OF THE TREASURY
Departmental Offices
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $162,381,000
Budget estimate, fiscal year 2002..................... 181,768,000
Recommended in the bill............................... 173,496,000
Bill compared with:
Appropriation, fiscal year 2001................... +11,115,000
Budget Estimate, fiscal year 2002................. -8,272,000
MISSION
The Departmental Offices' function in the Treasury
Department is to provide basic support to the Secretary of the
Treasury, who is the chief operating executive of the
Department. The Secretary of the Treasury also has a primary
role in formulating and managing the domestic and international
tax and financial policies of the Federal Government. The
Secretary's responsibilities funded by the salaries and
expenses appropriation include: recommending and implementing
United States domestic and international economic and tax
policy; fiscal policy; governing the fiscal operations of the
Government; maintaining foreign assets control; managing the
public debt; overseeing the law enforcement functions carried
out by the Treasury Department; managing development of
financial policy; representing the United States on
international monetary, trade and investment issues; overseeing
Treasury Department overseas operations; directing the
administrative operations of the Treasury Department; and
providing executive oversight of the bureaus within the
Treasury Department.
RECOMMENDATION
The Committee recommends an appropriation of $173,496,000
for Departmental Offices, an increase of $11,115,000 above the
fiscal year 2001 enacted level and a decrease of $8,272,000
below the request level. Increases above the enacted level
include $6,059,000 to maintain current levels, $2,612,000 to
annualize the fiscal year 2001 initiative for establishing a
new interagency National Terrorist Asset Tracking Center,
$40,000 for law enforcement support of the 2002 Winter
Olympics, and $3,356,000 to fund the highest priority
additional requirements of the Departmental Offices. These
increases are partially offset by a reduction of $952,000
associated with one-time costs of certain local law enforcement
support.
The Administration proposed a total increase of $13,022,000
for six items: a secure data network ($3,000,000), an
occupational safety and health information system ($400,000), a
record management system ($200,000), a labor shortfall
($5,659,000), a digital telecommunications system ($2,000,000),
and information technology contract support ($1,763,000). The
Committee expects the $3,356,000 provided in support of these
efforts to be used to meet the highest priority requirements of
the Departmental Offices and directs that the Department supply
a report 120 days after the enactment of this Act that outlines
the uses of these funds. The Committee notes that $1,746,000
has been provided as requested in the Department-wide Systems
and Capital Investments Programs account for a computer backup/
disaster recovery project for Departmental Offices. The
Committee looks forward to working with the Department to
ensure that all of its highest priority needs are met,
including those of its offices and bureaus, and strongly
supports the current management review and analysis that is
underway.
Office of Enforcement
The Office of Enforcement (OE) occupies a key position with
the Treasury Department, led by an Under Secretary with
responsibility for issues covering the whole range of law
enforcement bureaus and offices. The Committee has reviewed the
General Accounting Office report on OE operations, which
brought to light the problems faced by the OE, the bureaus, and
Treasury law enforcement community in general when it comes to
(1) coordinating policy and resource planning, (2) advocating
for the Department and on behalf of its operational components
for law enforcement priorities within and beyond Treasury, and
(3) maintaining continuity in management for Treasury law
enforcement. The Committee strongly supports the plan to
develop an Enforcement policies and procedures manual that will
make clear the ground rules for interaction within the
Department between OE and various Departmental components and
their liaisons, to the overall benefit of Treasury law
enforcement. Other issues raised in the report, such as
organizational or bureaucratic hindrances to good planning and
coordination, may be addressed through management improvements
or resources. The Committee requests the Department and OE keep
the Committee informed of efforts to strengthen policy and
program coordination and to improve the status and voice of
Treasury law enforcement within the Federal law enforcement
arena.
INVENTORY OF INTERNATIONAL AGREEMENT PROVISIONS
The Committee directs the Department of the Treasury to
produce a report containing an inventory of all provisions of
current agreements between the International Monetary Fund and
debtor countries and between the World Bank and debtor
countries that place specific restrictions on the debtor
countries. The inventory is to include all agreements that
contain provisions requiring debtor countries to (1) establish,
revise or privatize state-owned enterprises, utilities
(including water and sewer systems) or public services, (2)
convert any private enterprises to state ownership, (3) lower
or raise barriers to imports (food products in particular), (4)
establish, revise or privatize public pension, retirement or
benefit systems (including social security), (5) change bank
interest rates, (6) establish, revise or eliminate regulations
on the environment and natural resources, or (7) adopt or
revise labor, wage or benefit laws (including legal minimum
wages and the right to strike). The report shall be completed
and delivered to the House Committee on Appropriations by
November 15, 2001. The Committee notes with frustration and
extreme disappointment that the Department has not complied
with an earlier request for this material.
STATE AND LOCAL REVENUE LOSS
Congress periodically must consider issues arising from or
related to consumer transactions that are (or that are claimed
to be) exempt from state or local taxes, including requests to
compensate for tax losses with federal spending. Among these
are transactions involving remote sellers (via the Internet,
mail order, long-distance telephone, etc.) and transactions
involving Indian tribes. The Treasury Department's Office on
Tax Policy and the IRS's Tax Exempt and Government Entities
Division are directed to submit to the Committee on
Appropriations, the House Resources Committee and the House
Judiciary Committee, a report, no later than 120 days after
enactment of this Act, detailing the dollar volume of
transactions that are exempt from state taxes (or that are
claimed to be exempt) and their impact on state and local tax
revenue, with state-by-state breakdowns where possible. It is
not the intent of the Committee that this report include
impacts of compacts regarding gambling, property tax, interests
in natural resources or use of natural resources, but instead
be limited to impact arising from consumer transactions.
To the extent that any impact is affected by compacts
between the tribes and state and/or local governments (or lack
thereof) the report should detail these compacts (or lack
thereof) and the parties to them, including the relevant
conditions, the starting and expiration dates, and the impact
of each compact (or lack thereof) on state and local tax
revenues. The report should differentiate the impact by type of
tax.
E-Learning Solutions
The Committee understands that the Department is exploring
the potential benefits that can be gained from the customized
development and selective deployment of Internet-based
training. The Committee believes that in many circumstances
such e-learning solutions can lead to substantial savings and
enhanced improvements in skills. The Committee encourages the
Department to continue its evaluation and assessment of the
best ways in which Internet-based training can fulfill many of
the training needs of the Department.
``Dollarization'' in Central and South America
The Committee is concerned that the growth in
``dollarization'' throughout the world, especially in Central
and South America, could also cause a negative consequence--
namely an increase in the overseas based production and
distribution of counterfeit U.S. currency, causing more
circulation of counterfeit both globally and domestically.
Nations are increasingly adopting U.S. currency as the official
means of exchange or tying the rate of exchange for their
internal currencies to the U.S. dollar making U.S. currency
more prevalent.
A nation's decision to end the legal tender status of its
national currency and to adopt the U.S. dollar provides
potential benefits to both the nation that converts and to the
United States. Dollarization in foreign countries can reduce
transaction costs for U.S. importers, exporters, borrowers and
lenders. Nearly a century ago, Panama became the first nation
outside of the U.S. to officially choose the dollar as its form
of currency. Now, Ecuador is among several nations worldwide
that have switched to the dollar. Nations are dollarizing as a
way to boost trade, increase foreign investment and control
inflation.
Despite its advantages, the Committee is concerned that
dollarization will heighten the status of U.S. currency as a
prime target for counterfeiters. Dollarization in countries
that lack law enforcement expertise or meaningful criminal
penalties will provide counterfeiters a fertile environment to
use that economy as a place to launder counterfeit U.S.
dollars. It is estimated that nearly two-thirds of the
approximately $570 billion of genuine U.S. currency circulates
beyond our nation's border and nearly one-third of today's
counterfeit passed in this country originates in Colombia.
Ecuadorian authorities are seeing significant increases in
counterfeit since it dollarized in 2000. From 1999 to the end
of 2000, counterfeit seizures in Ecuador rose from $239,000 to
$1.4 million.
To prevent the proliferation of counterfeiting as a result
of increased dollarization, the Committee directs the Secretary
of the Treasury to develop jointly a strategy with the
Secretary of State to mitigate counterfeiting of U.S. dollars
in dollarized regions and report its findings to the Committees
on Appropriations no later than September 30, 2002.
REAL ESTATE BROKERAGE
The Committee is aware that concerns have been expressed
about the impact of the Federal Reserve/Department of Treasury
proposed regulation to redefine real estate brokerage and
management activities. The Committee expects Treasury to work
with the Department of Housing and Urban Development when
developing the final rule.
Department-Wide Systems and Capital Investments Programs
Appropriation, fiscal year 2001 to date............... $62,150,000
Budget estimate, fiscal year 2002..................... 70,828,000
Recommended in the bill............................... 68,828,000
Bill compared with:
Appropriation, fiscal year 2001................... +6,678,000
Budget Estimate, fiscal year 2002................. -2,000,000
MISSION
This appropriation funds the modernization of Treasury
business processes and increases in Department-wide systems
efficiency through technology investments for systems that
involve more than one Treasury bureau or Treasury's interface
with other governmental agencies.
RECOMMENDATION
The Committee recommends an appropriation of $68,828,000
for the Department-wide Systems and Capital Investments
Programs, an increase of $6,678,000 above the fiscal year 2001
enacted level and a decrease of $2,000,000 below the
President's request. The changes to the President's request
consist of a decrease of $3,000,000 for the critical
infrastructure protection project and an increase of $1,000,000
for technical investigations equipment as part of the Treasury
(Wireless) Integrated Network.
Office of Inspector General
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $32,827,000
Budget estimate, fiscal year 2002..................... 35,150,000
Recommended in the bill............................... 35,318,000
Bill compared with:
Appropriation, fiscal year 2001................... +2,491,000
Budget Estimate, fiscal year 2002................. +168,000
MISSION
This appropriation provides agency-wide audit and
investigative functions to identify and correct operational and
administrative deficiencies, which create conditions for
existing or potential instances of fraud, waste, and
mismanagement. The audit function provides program, contract,
and financial statement audit services. Contract audits provide
professional advice to agency contracting officials on
accounting and financial matters relative to negotiation,
award, administration, repricing, and settlement of contracts.
Program audits review and evaluate all facets of agency
operations. Financial statement audits assess whether financial
statements fairly present the agency's financial condition and
results of operations, the adequacy of accounting controls, and
compliance with laws and regulations. The investigative
function provides for the detection and investigation of
improper and illegal activities involving programs, personnel,
and operations. The Office of Inspector General also provides
for internal investigations made by the Office of Internal
Affairs and Inspection in the Bureau of Alcohol, Tobacco and
Firearms, the Customs Service, and the Secret Service.
RECOMMENDATION
The Committee recommends an appropriation of $35,318,000
for the Office of Inspector General, an increase of $2,491,000
above the fiscal year 2001 enacted level and an increase of
$168,000 above the President's request. The increase above the
President's request is for non-pay inflation.
Inspector General for Tax Administration
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $118,166,000
Budget estimate, fiscal year 2002..................... 122,342,000
Recommended in the bill............................... 123,133,000
Bill compared with:
Appropriation, fiscal year 2001................... +4,967,000
Budget Estimate, fiscal year 2002................. +791,000
MISSION
The Internal Revenue Service (IRS) Restructuring and Reform
Act of 1998 established the Office of Treasury Inspector
General for Tax Administration and abolished the IRS Office of
the Chief Inspector. The Office was established in January of
1999 as required by that legislation. The Treasury Inspector
General for Tax Administration conducts audits, investigations,
and evaluations to assess the operations and programs of the
IRS and its related entities, the IRS Oversight Board and the
Office of Chief Counsel. The purpose of those audits and
investigations is to: (1) promote the economic, efficient, and
effective administration of the nation's tax laws and to detect
and deter fraud and abuse in IRS programs and operations; and
(2) recommend actions to resolve fraud and other serious
problems, abuses, and deficiencies in these programs and
operations.
RECOMMENDATION
The Committee recommends an appropriation of $123,133,000
for the Inspector General for Tax Administration, an increase
of $4,967,000 above the fiscal year 2001 enacted level and an
increase of $791,000 above the President's request. The
increase above the President's request includes $457,000 for
non-pay inflation and $334,000 for participation in law
enforcement support of the 2002 Winter Olympics.
Inspectors General Criminal Investigator Academy
The mission of the Inspectors General (IG) is unique, in
that it focuses on the practices of government agencies and
representatives. This mission is vitally important, as it
ensures that the public is served in the best possible manner
by providing an independent review of agency policies and
operations. This mission requires training which is specific to
the Inspectors General. The Committee supports the concept of
an Inspectors General Criminal Investigator Academy, as
authorized by Public Law 106-422, and is also aware that a
training academy exists at the Federal Law Enforcement Training
Center (FLETC), in Glynco, Georgia. This academy consolidates
training of the 57 independent Offices of Inspectors General,
composed of approximately 3,000 investigators, and provides
programs tailored to the Inspectors General mission. The
Treasury IG for Tax Administration (TIGTA) is the accountable
IG for the academy. Training regarding the investigation of
contract and procurement fraud, health care fraud, entitlement
and program fraud, and other topics specific to the Inspectors
General Criminal Investigator is provided. Funding for this
academy is currently supported by contributions from the
budgets of the individual Inspector General offices.
In order to properly evaluate the current and future
funding levels appropriate for the current IG academy, as well
as that authorized by Public Law 106-422, the Committee directs
that TIGTA, in consultation and coordination with FLETC,
present a report detailing the operations of the current
academy at FLETC. This report should include a description of
the current financial contribution made by each Office of
Inspector General, as well as an evaluation of appropriate
levels of training hours, a determination as to whether FLETC
is the appropriate venue for all, or part, of the training
requirement, and a detailed explanation of these
determinations. The report should also include a comprehensive
analysis regarding the establishment of a forensic laboratory,
as authorized by P.L. 106-422. This should include a cost-
benefit analysis of establishing a separate laboratory as well
as the numbers and types of cases that require specialized
services.
The Committee strongly supports the partnership formed with
the Federal Law Enforcement Training Center to create
specialized training for Inspectors General criminal
investigators, and believes that this partnership ensures that
the training provided adheres to the highest professional
standards in a consistent manner.
Treasury Building and Annex Repair and Restoration
Appropriation, fiscal year 2001 to date............... $30,932,000
Budget estimate, fiscal year 2002..................... 32,932,000
Recommended in the bill............................... 30,932,000
Bill compared with:
Appropriation, fiscal year 2001................... ................
Budget Estimate, fiscal year 2002................. -2,000,000
MISSION
This appropriation funds the repairs, selected
improvements, and construction necessary to renovate and
maintain the Main Treasury, the Treasury Annex, and other
Treasury buildings.
RECOMMENDATION
The Committee recommends an appropriation of $30,932,000
for Treasury Building and Annex Repair and Restoration, the
same as the fiscal year 2001 enacted level and $2,000,000 below
the President's request.
Financial Crimes Enforcement Network
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $37,493,333
Budget estimate, fiscal year 2002..................... 45,155,000
Recommended in the bill............................... 45,760,000
Bill compared with:
Appropriation, fiscal year 2001................... +8,266,667
Budget Estimate, fiscal year 2002................. +605,000
MISSION
The Financial Crimes Enforcement Network (FinCEN) is
responsible for implementing Treasury's anti-money laundering
regulations through administration of the Bank Secrecy Act, 31
U.S.C. section 5311, et seq (BSA). It also serves as a United
States Government source for the systematic collection and
analysis of information to assist in the investigation of money
laundering and other financial crimes. FinCEN assists all law
enforcement entities, including Federal, State, local and
international, through information collection, sophisticated
data analysis, and intelligence sharing through dissemination
of its analytical products, technological assistance, and
implementation of Treasury authorities. It prevents money
laundering through its regulatory and outreach programs,
including setting policy for and overseeing BSA compliance by
financial institutions, and by providing BSA training for law
enforcement, bankers, and bank regulators. FinCEN supports U.S.
Government initiatives on money laundering and financial crime
through multilateral organizations, such as the Financial
Action Task Force (FATF) of the Group of Eight, and the UN. It
is a catalyst for the development of Financial Intelligence
Units (FIUs) in other countries, and the transfer of
information on money laundering and financial services
worldwide.
As part of its regulatory mission, FinCEN is beginning to
provide regulatory and enforcement support to ensure compliance
by money service businesses (MSBs) with the requirements of the
BSA.
RECOMMENDATION
The Committee recommends an appropriation of $45,760,000
for the Financial Crimes Enforcement Network, an increase of
$8,266,667 above the fiscal year 2001 enacted level and
$605,000 above the President's request. The increase above the
President's request is for non-pay inflation and for security
planning and operations related to the 2002 Winter Olympics.
Money Service Business Initiative
Efforts to combat money laundering have long focused on
traditional financial institutions, which submit currency
transaction reports for transactions exceeding $10,000, and are
also required to submit Suspicious Activity Reports (SARs). In
recent years, non-bank financial institutions have been
recognized as posing a high money laundering risk, due to their
large numbers and the opportunity they offer criminals to
structure financial transactions. A major development in the
effort to curtail money laundering, therefore, is the
implementation of regulations pursuant to the Bank Secrecy Act
and the Money Laundering Suppression Act of 1994 to register
and educate money service businesses (MSBs) about their
responsibilities to report on and prevent money laundering.
MSBs are defined to include five types of financial services
providers: currency dealers or exchangers; check cashers;
issuers or sellers of traveler's checks, money orders, or
stored value; money transmitters; and the U.S. Postal Service
(except with respect to sale of postage or philatelic
products). As of January 1, 2002, MSBs, subject to certain
dollar thresholds, must also submit SARs. The Committee has
provided, as requested by the President, an additional
$5,520,000 to fully fund the costs of completing registration,
outreach, and related administration costs to permit the
implementation of this rule.
Because of its interest in seeing how this regulation is
carried out, the Committee directs FinCEN to report by May 1,
2002, on the status of its MSB program, to include costs,
statistics on SAR reporting, and a description of the outreach
and communication system in place for dealing with this newly
regulated financial sector.
Cost-Benefit Analysis of SAR Regulations
The Committee is aware of interest within Treasury in
reevaluating the costs and benefits of Suspicious Activity
Reports, including the private sector compliance cost to detect
the relatively small number of transactions that are
suspicious, and to deter improper transactions. The Committee
is aware of the SAR Activity Review published by FinCEN, and is
familiar with the statistics on the numbers of SARs filed, the
numbers of SARs that are referred for action directly to law
enforcement or regulatory institutions, and reporting on major
trends in money laundering, and knows that there is ample
information about program outputs.
To more fully understand the costs and benefits associated
with SARs, the Committee directs the Secretary of the Treasury
to submit by February 1, 2002, a cost-benefit analysis. This
report should include reference to the overall number of
financial transactions potentially subject to SAR reports, to
establish the proportion that result in SARs; the total dollar
value of such transactions and the dollar value of transactions
that are the subject of SARs; the private sector costs
associated with SAR reporting, per transaction and per SAR; and
the costs to the Treasury Department and the Federal government
on a per transaction and per SAR basis. As appropriate, the
report should include an analysis of inflation's impact on
costs and benefits, including to law enforcement.
High Intensity Financial Crime Areas
Under the National Money Laundering Strategy, High
Intensity Financial Crime Areas (HIFCAs) were established in
four areas (New York-New Jersey, Puerto Rico, Los Angeles, and
the Southwest Border). These overlay and reinforce existing
government working groups, and geographically represent high
concentrations of money laundering activity. The Committee
supports close coordination in this multi-agency effort, and
directs the Secretary of Treasury to include a report on the
progress of the HIFCA initiative with its submission of the
fiscal year 2003 budget. This report should describe the
budgets for the HIFCAs, statistical information about the level
of money laundering in the regions covered by the HIFCAs, and
performance data.
Magnitude of Money Laundering Study
The Committee is aware that the ongoing study of the
magnitude of money laundering being undertaken by FinCEN faces
some complex obstacles in terms of quantifying the proceeds of
criminal activity. Some of these include not only difficulties
in data quality and methodology, but unequal willingness by
government agencies to share information. The lack of a uniform
database on money laundering, and absence of international
cooperation also present difficulties. Because the Committee
firmly supports establishing a baseline for money laundering
strategy and anti-money laundering performance, it directs the
Secretary of the Treasury to report within 90 days of enactment
of this Act on the progress of the study, to include
recommendations for funding or legislation if necessary.
Counterterrorism Fund
Appropriation, fiscal year 2001 to date............... $54,879,000
Budget estimate, fiscal year 2002..................... 44,879,000
Recommended in the bill............................... 36,879,000
Bill compared with:
Appropriation, fiscal year 2001................... -18,000,000
Budget Estimate, fiscal year 2002................. -8,000,000
MISSION
This appropriation would provide funding for unanticipated
costs associated with support to counter, investigate, or
prosecute domestic or international terrorism, including
payment of rewards, and to re-establish the operational
capability of an office, facility, or other property damaged or
destroyed as a consequence of any unexpected domestic or
international terrorist act. These funds would only be
available to the extent that prior notification is sent to the
Committees on Appropriations in accordance with guidelines on
reprogramming and transfer of funds.
RECOMMENDATION
The Committee recommends an appropriation of $36,879,000
for the Treasury Counterterrorism Fund, a decrease of
$18,000,000 below the fiscal year 2001 enacted level and
$8,000,000 below the President's request. The Committee has
included language clarifying that the fund is to be used for
unexpected threats or acts of terrorism, and that funding shall
be available after prior notification is made to the Committees
on Appropriations in accordance with reprogramming and transfer
guidelines.
Federal Law Enforcement Training Center
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $99,264,137
Budget estimate, fiscal year 2002..................... 100,707,000
Recommended in the bill............................... 101,769,000
Bill compared with:
Appropriation, fiscal year 2001................... +2,504,863
Budget Estimate, fiscal year 2002................. +1,062,000
MISSION
The Federal Law Enforcement Training Center (FLETC)
provides the necessary facilities, equipment, and support
services to conduct advanced, specialized, and refresher
training for Federal law enforcement personnel. This
appropriation is for operating expenses of the Center, for
research in law enforcement training methods, and curriculum
content. In addition, the Center has a reimbursable program to
accommodate the training requirements of various Federal
agencies. As funds are available, law enforcement training is
provided to certain State and local law enforcement, and in
some cases, foreign government and private sector security
personnel, on a space-available and usually reimbursable basis.
RECOMMENDATION
The Committee recommends an appropriation of $101,769,000
for the Federal Law Enforcement Training Center, an increase of
$2,504,863 above the fiscal year 2001 enacted level and
$1,062,000 above the President's request. The increase above
the President's request is for non-pay inflation.
Transition of Border Patrol Basic Training
The current Master Plan for the Federal Law Enforcement
Training Center (FLETC) is predicated on providing basic
training for new entrants to the U.S. Border Patrol at the
Glynco, Georgia or Artesia, New Mexico, FLETC campuses. This
will require adequate capacity to handle the increased numbers
of new entrants, particularly with the planned closure of the
temporary U.S. Border Patrol training facility at the former
Charleston, South Carolina, Navy Yard. This move will conform
to longstanding Congressional support for consolidated law
enforcement training. The Committee wants to be fully apprised
of decisions as they are made, as well as funding necessary to
complete this transition successfully. The Committee therefore
directs FLETC to report by September 1, 2001, on the
preparations for this transition, including a description of
remaining decisions, actions, and funding required, as well as
associated timelines.
Capital Metropolitan Area Law Enforcement Training Facility
In fiscal year 2001, the Committee provided $30,000,000 for
the establishment of a new training facility to meet the
substantial need for Washington, D.C., area firearms and driver
requalification and other necessary training that can be met
more effectively and practically in the Capital region, rather
than require travel to other facilities such as FLETC campuses
at Glynco or Artesia, or simply failing to provide critical
perishable skills maintenance. This facility, which will be
located at the site of the former Cheltenham Naval
Communications Detachment in Prince Georges County, Maryland,
will serve this purpose for both federal agencies located in
the Capital area, including the U.S. Capitol Police, as well as
for local law enforcement agencies on a space-available basis.
The Committee wishes to be kept fully informed of progress in
developing the new training facility.
Although the initial concept was that the new center be
open to all interested Federal agencies in the Capital area, as
well as meet local law enforcement agency training needs, not
every agency has demonstrated such interest. At the same time,
the Committee is aware of efforts to establish other training
facilities for specialized purposes. Consistent with the
longstanding goal of this Committee to consolidate law
enforcement training wherever practicable, the Committee
directs that any plans for new training facilities or
significant new programs should address why they cannot be
accommodated through the use of existing FLETC facilities,
distance learning or off-site training programs. The Committee
also directs that requests to fund such initiatives other than
through FLETC should be accompanied by an assessment from FLETC
explaining the necessity for such action.
Rural Law Enforcement Training
FLETC has for several years run a counterdrug training
program for rural law enforcement agencies. The Committee
strongly supports this effort, and encourages FLETC to continue
its efforts to make such training available as widely as
possible, to include using such tools as teleconferencing,
online training, or ``train the trainer'' approaches to
expanding the access to FLETC resources for rural State and
local law enforcement agencies.
Acquisition, Construction, Improvements and Related Expenses
Appropriation, fiscal year 2001 to date............... $54,086,000
Budget estimate, fiscal year 2002..................... 21,895,000
Recommended in the bill............................... 22,834,000
Bill compared with:
Appropriation, fiscal year 2001................... -31,252,000
Budget Estimate, fiscal year 2002................. +939,000
MISSION
This account provides for the acquisition, construction,
improvements, equipment, furnishings and related costs for
expansion and maintenance of facilities of the Federal law
Enforcement Training Center.
RECOMMENDATION
The Committee recommends an appropriation of $22,834,000
for FLETC Acquisition, Construction, Improvements, and Related
Expenses, a decrease of $31,252,000 below the fiscal year 2001
appropriation and $939,000 above the President's request. The
increase above the President's request is for non-pay
inflation.
Interagency Law Enforcement
INTERAGENCY CRIME AND DRUG ENFORCEMENT
Appropriation, fiscal year 2001 to date............... $103,248,000
Budget estimate, fiscal year 2002..................... 106,487,000
Recommended in the bill............................... 106,965,000
Bill compared with:
Appropriation, fiscal year 2001................... +3,717,000
Budget Estimate, fiscal year 2002................. +478,000
MISSION
This program consists of nine regional task forces that
consolidate resources and expertise of 11 member federal
agencies, in cooperation with state and local investigators and
prosecutors, to target and destroy major narcotic trafficking
and money laundering organizations. The funding for Treasury
Department participation was included in the Department of
Justice appropriation prior to fiscal year 1998. Since then,
Treasury has administered its portion of the program through
its Departmental Offices to reimburse the three Treasury
bureaus--the Customs Service, the Bureau of Alcohol and
Tobacco, and the Internal Revenue Service--for the costs of
their employees detailed to the task forces, as well as for
operating expenses during investigative phases of cases.
RECOMMENDATION
The Committee recommends an appropriation of $106,965,000
for Interagency Crime and Drug Enforcement, an increase of
$3,717,000 above the fiscal year 2001 enacted level and
$478,000 above the President's request for the estimated costs
of non-pay inflation.
Financial Management Service
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $206,396,000
Budget estimate, fiscal year 2002..................... 211,594,000
Recommended in the bill............................... 212,316,000
Bill compared with:
Appropriation, fiscal year 2001................... +5,920,000
Budget Estimate, fiscal year 2002................. +722,000
MISSION
The Financial Management Service (FMS) is responsible for
the management of Federal finances and the collection of
Federal debt. As the Government's central financial agent, FMS
receives and disburses public monies, maintains Government
accounts, and reports on the status of the Government's
finances. FMS is also accountable for developing and
implementing the most reliable and efficient financial methods
and systems to manage and improve the Government's cash
management, credit management, and debt collection programs.
Pursuant to the Debt Collection Improvement Act of 1996,
FMS became the primary agency for the collecting of Federal
non-tax debt which is due and owed to the government. Through
FMS, there is a coordinated effort to collect debt from those
who have defaulted on agreements with the Federal government.
RECOMMENDATION
The Committee recommends an appropriation of $212,316,000
for the Financial Management Service, an increase of $5,920,000
above the fiscal year 2001 enacted level and an increase of
$722,000 above the President's request. The increase above the
President's request is for non-pay inflation.
Bureau of Alcohol, Tobacco and Firearms
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $771,142,745
Budget estimate, fiscal year 2002..................... 803,521,000
Recommended in the bill............................... 824,199,000
Bill compared with:
Appropriation, fiscal year 2001................... +53,056,255
Budget Estimate, fiscal year 2002................. +20,678,000
MISSION
The Bureau of Alcohol, Tobacco and Firearms (ATF) is
responsible for the enforcement of laws designed to eliminate
certain illicit activities and to regulate lawful activities
relating to distilled spirits, beer, wine and nonbeverage
alcohol products, tobacco, firearms, explosives, and arson. Its
responsibilities are focused on reducing the future number and
cost of violent crimes; collecting revenue, reducing taxpayer
burden and improving service while preventing diversion of
regulated items and revenue from their sale; and protecting the
public and preventing consumer deception in ATF's regulated
commodities.
RECOMMENDATION
The Committee recommends an appropriation of $824,199,000
for the Bureau of Alcohol, Tobacco and Firearms, an increase of
$53,056,255 above the fiscal year 2001 enacted level and an
increase of $20,678,000 above the President's request. The
increase above the President's request includes $9,655,000 for
non-pay inflation, $10,523,000 for costs of security planning
and operations associated with the 2002 Winter Olympics, and
$500,000 to fund additional support for management improvements
for the National Firearms Act (NFA) and Imports Branches, and
the National Licensing Center.
INSPECTOR SHORTFALL
ATF has testified that it faces a significant shortage of
inspectors required to meet its statutory mandates. Such a
shortfall translates into reduced frequency in inspections by
field inspectors in such critical areas as explosives and
firearms licensees, as well as reducing ATF's ability to carry
out its mission to collect revenue and protect the public. The
Committee continues to be concerned by this discrepancy, and
strongly urges ATF to develop a plan to improve its inspection
effort and resources, and to incorporate this plan in its
budget request for fiscal year 2003.
TARGETED ENFORCEMENT OF VIOLENT CRIME
The Committee strongly supports the goals of the Integrated
Violence Reduction Strategy (IVRS) (initiated in FY 2000), the
Youth Crime Gun Interdiction Initiative (YCGII) (initiated in
FY 1996), and the National Integrated Ballistic Information
Network (NIBIN) (initiated in 1999). Accordingly, the Committee
has significantly increased funding for each of these programs
since their inception, and fully funds the President's request
for each of these programs in FY 2002. This includes
$73,500,000 for IVRS, $85,000,000 for YCGII, and $25,200,000
for NIBIN. The Committee believes that this level of funding
for these programs is consistent with the priority of stopping
gun violence. However, the Committee believes that the rapid
growth of these programs warrants close oversight to ensure
that funding is directed most effectively to those programs
that result in a reduction in violent crime. In October, 2000,
the Committee heard from ATF and the Treasury Inspector General
about management weaknesses in the YCGII program, as well as
about assessments of program effectiveness. To this end, the
Committee will look carefully to ATF to see that it carries out
its agreed management improvements for the YCGII program, and
continues to develop and utilize reliable measures of
effectiveness for these programs. The Committee therefore
directs ATF to report on a quarterly basis as to program
effectiveness, including statistical data and other information
about program performance.
NORTH CAROLINA GUN CRIME
The Committee is concerned about youth gun violence in the
Raleigh, Durham, and Chapel Hill areas of North Carolina. The
Committee requests that ATF evaluate the feasibility of
expanding the Youth Crime Gun Interdiction Initiative into
these areas and report its findings to the Committee within 90
days of enactment of this Act.
NEW JERSEY YOUTH GUN VIOLENCE
The Committee requests that the ATF evaluate its current
Youth Crime Gun Interdiction Initiative efforts in New Jersey
to combat youth gun violence and examine the feasibility of
expanding those efforts and report those findings to the
Committee within 90 days of enactment of this Act.
GREAT PROGRAM
The Committee anticipates that ATF will soon release a
longitudinal study of the Gang Resistance Education And
Training (GREAT) program, which should help add to the basis
for evaluating the impact this program has had on reducing gang
violence. ATF has testified that its assessments show that
program participants demonstrate more positive social attitudes
and more antipathy toward gangs than non-participants. However,
the Committee would also encourage ATF to look at the
statistics for gang violence and membership in areas where the
GREAT program has been operating as well to see if a
correlation can be drawn between this program and the impact on
creating a safer environment for young people.
IMPROVEMENTS IN FIREARMS LICENSING AND REGULATORY OPERATIONS
ATF received $2,000,000 in fiscal year 2001 for management
and technical improvements at the National Firearms and Import
Branches, as well as the National Licensing Center. This is
being used to upgrade the level of service provided to both
commercial and personal customers. ATF has applied this funding
to three principal initiatives aimed at rationalizing separate
systems, including consolidation and standardization, and is
pursuing several management initiatives to streamline processes
and improve information access and usefulness for both ATF and
the public. ATF is also engaged in a project to image and index
records of the National Firearms Registration and Transfer
Record (NFRTR), and then to link such records to its retrieval
system in order to meet recommendations by the Treasury
Inspector General to ensure accuracy in the NFRTR database. The
Committee includes an additional $500,000 to assist in such
efforts as linkage technology, electronic filing, and the use
of contract employees with the aim of reducing processing times
and ensuring the completeness and accuracy of the NFRTR.
ATF Report on Status of Notice of Proposed Rulemaking No. 872
The Committee is aware that the ATF issued a Notice of
Proposed Rulemaking (No. 872 dated February 9, 1999, as amended
by No. 873 dated April 12, 1999) to prohibit certain alcohol
beverage containers that are likely to mislead consumers as to
the identity or character of the distilled spirits, wine, or
malt beverage products within the containers, or which are
likely to be confused with other (non-alcohol) food products.
The proposed rules also amend regulations to clarify the
standards of fill for distilled spirits and wine.
The Committee directs the ATF to report to the Committee by
October 1, 2001 concerning the status of these proposed rules.
The report shall include the ATF's analysis of how, if at all,
the adoption of these rules will affect the marketing and
distribution of so-called ``Alcopops'' products, the sweeter
and fruit-flavored, 5%+ alcoholic beverages bearing names which
equate them to or are confusingly similar to lemonade, tea, or
other drinks that typically contain no alcohol. The ATF also
shall include an analysis of whether it needs any additional
regulatory or legal authority to address this issue
effectively.
United States Customs Service
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $1,878,557,062
Budget estimate, fiscal year 2002..................... 1,961,764,000
Recommended in the bill............................... 2,059,170,000
Bill compared with:
Appropriation, fiscal year 2001................... +180,612,938
Budget Estimate, fiscal year 2002................. +97,406,000
MISSION
The United States Customs Service is the nation's principal
border agency with responsibility to enforce the law, safeguard
revenue, and support lawful international trade and travel. Its
mission is to ensure that all goods that enter and exit the
United States do so in accordance with all United States laws
and regulations. This includes enforcing U.S. laws intended to
stop trafficking in drugs and other contraband; protecting the
American public and environment from the introduction of
prohibited hazardous and noxious products; assessing and
collecting revenue in the form of duties, taxes, and fees on
imported merchandise; regulating the movement of persons,
carriers, merchandise, and commodities between the United
States and other nations, while facilitating the movement of
all legitimate cargo, carriers, travelers, and mail;
interdicting narcotics and other contraband; and enforcing
certain provisions of the export control laws of the United
States.
RECOMMENDATION
The Committee recommends an appropriation of $2,059,170,000
for the U.S. Customs Service, an increase of $180,612,938 above
the fiscal year 2001 enacted level and an increase of
$97,406,000 above the President's request. The increase above
the President's request includes $33,476,000 for non-pay
inflation, $13,813,000 for costs of security planning and
operations associated with the 2002 Winter Olympics,
$30,000,000 for additional investments in nonintrusive
inspection technology, $15,000,000 for additional positions to
offset reductions in COBRA funding, $3,000,000 to field test
Pulsed Fast Neutron Analysis (PFNA) inspection technology,
$800,000 to fund tobacco smuggling task forces, and $1,317,000
to implement the African Growth and Opportunity Act.
INSPECTION TECHNOLOGY INVESTMENTS
In fiscal year 1999 the Customs Service received
$134,000,000 to begin a significant investment in non-intrusive
inspection (NII) technology. Acquisition and deployment of this
technology has continued since that time, with significant
improvements in the use of such technology at high risk ports
of entry. In addition to such systems as mobile x-ray, gamma
ray technology and the Automated Targeting System (ATS), Mobile
Sea Container Systems are being deployed at vulnerable seaports
to begin to improve the level of scrutiny given the rapidly
increasing volume of cargo there. Such technology investments
are essential, given the rapid increase in volume of trade and
passenger traffic that Customs must clear with no significant
increase in personnel.
However, $80,000,000 is required to complete deployment of
NII systems called for in the Customs five year NII Technology
Plan for the southern United States, and there is a need to
address similar concerns along the Northern Border, where
Customs is planning to deploy two NII systems funded through
the fiscal year 2001 appropriation provided to enhance Northern
Border security after recent terrorist threats.
The Committee therefore provides an additional $30,000,000,
to remain available until expended, to address this high
priority. Such technology may be used, in conjunction with
existing NII technology, to increase the range and intensity of
coverage, to test promising new technologies such as computed
tomography, to be applied to outbound detection (such as for
currency or stolen vehicles), to increase security against
smuggling, drugs, and terrorist threats, and generally to
assist in enforcing compliance with Customs laws.
Pulsed Fast Neutron Analysis Field Test
In addition to the $30,000,000 described above, the
Committee has included in its recommendation an additional
$3,000,000 to fund the operational field testing of a Pulsed
Fast Neutron Analysis (PFNA) NII system in El Paso, Texas. The
technology, which has been developed through years of support
from various government agencies, is designed to provide non-
invasive, non-harmful detection of illegal substances including
narcotics, explosives, currency and chemical weapons,
regardless of the shape or density of the subject material. The
Committee directs Customs to report within 90 days after
enactment of this Act on the progress in deploying this system,
and again one year after enactment of this Act on the results
of its test. The Committee encourages the Customs Service to
invite other border inspection agencies to participate in this
test.
Customs Inspection Staffing Shortfalls
The cost of providing Customs inspection services is
exceeding the revenues generated by Consolidated Omnibus
Reconciliation Act (COBRA) fees. As a result, in fiscal year
2001 Customs is experiencing a real reduction of over 300 full-
year positions, resulting in reduced staffing and deferral or
cancellation of plans to upgrade equipment and staff Customs
terminals. At the same time, the Resource Allocation Model
(RAM) developed by Customs indicates a workload exists to
justify staffing levels that are at least 50% higher than at
present.
The Committee recognizes that a decision to reauthorize
COBRA fees may provide additional resources, as authority to
collect them otherwise expires in 2003. However, the trend
appears to be downward, particularly in light of possible moves
toward more trade agreements that could create pressure to
reduce or eliminate such fees. Given the certainty that Customs
will continue to face sharply increasing passenger and cargo
workloads, any real reduction in staffing levels is
unacceptable. The Committee therefore has included $15,000,000
to permit additional staffing, with the expectation that such
positions will be allocated according to the highest priorities
indicated by the RAM and other management tools.
The Committee directs the Secretary of the Treasury to
report by February 1, 2002, on how Customs will allocate this
funding, indicating the types, numbers and locations of
positions filled. The report should also address what steps the
Department and Customs are taking to compensate for decreases
in COBRA resources and meet growing demands on Customs
inspection and related services.
Customs Inspection Services For International Cargo and Passenger
Traffic
The Committee is aware of many ports of entry and border
areas that are experiencing significant growth in commercial
and passenger traffic, or that face more severe drug
trafficking and other forms of smuggling. The Committee remains
concerned about airports and seaports experiencing increases in
traffic and about those that project such increases as a result
of regional development patterns. The Committee acknowledges
that decisions by the Customs Service to allocate inspectors,
criminal investigators, trade specialists and other positions
must be based on staff availability, funding constraints,
traffic and workload experience and projections, as well as the
need to prioritize targets in enforcing trade laws or
countering smuggling. At the same time, the Committee
recognizes that some ports, such as international airports like
Miami (which is developing new terminals), Louisville (a major
cargo shipment hub), or Dulles International Airports, are
facing the prospect of growth that depends heavily on the
availability of critical Customs services. The Committee
expects the $15,000,000 provided to offset reductions in COBRA-
funded positions to be used to target areas facing such acute
pressure. The Committee directs the Customs Service, with the
help of its RAM and other decision tools, to identify and
request resources needed to meet these requirements, and in so
doing to work closely with airport and other port authorities
and the trade community.
Northern Border
With the expansion of trade entries by 132 percent since
enactment of the U.S.-Canada Free Trade Agreement and NAFTA,
the increase of air and sea passengers by 62 percent, from 52
million to 84 million per year, and dramatic increases in land
border traffic, there has been only a token increase in the
number of inspectors and other needed personnel, and U.S.-
Canadian ports are experiencing significant delays in cross-
border traffic. The Committee therefore directs Customs to pay
especial attention to the needs of these port areas as it makes
its allocation decisions, both in terms of personnel, as guided
by the RAM, and in infrastructure. In 2001 Congress provided
additional funding for Northern Border security infrastructure
and criminal investigator positions to meet the increased
terrorist threat. The Committee expects that decisions on
allocation of the additional $15,000,000 for personnel will
thoroughly assess the needs of Northern Border ports for
additional staff, particularly inspectors, canine enforcement
officers, and import specialists.
Southwest Border Ports of Entry Organization
The Committee is interested in the continuing growth in
border crossings along the Southwest Border ports of entry. The
Committee is following with interest the infrastructure
improvements for Southwest (and Northern) Border ports
identified in the U.S. Port of Entry Infrastructure Study last
year, and looks forward to the recommendations of the Border
Station Partnership Council. Given this potential
infrastructure change, along with highway improvements on both
sides of the border, airport improvement and increased NAFTA
activity, the Committee requests that Customs submit a report
on how it plans to address this growth, including any plans to
change existing port or border organizational structures.
Resource Allocation Model
The Committee recognizes the limitations in using the
Resource Allocation Model (RAM) to make staffing and investment
decisions, and that it cannot be employed as the exclusive
basis for such decisions. However, it provides a reasonable
estimate of country-wide workload requirements, and Customs
should be able to use the RAM in conjunction with other
management tools to make objective and timely decisions about
how to prioritize its resources. The Committee is struck by the
significant discrepancy between overall resource requirements
estimated using the RAM, and actual resources available or
planned for the Customs Service, and believes this incongruity
needs to be addressed by the Administration. The Committee
therefore directs the Secretary of the Treasury to report by
November 1, 2001, on its plan to fulfill these requirements,
including a description of staffing requirements indicated by
the RAM for each Customs location, and what decision processes,
including the RAM, are in use to decide where and how to deploy
staff and resources.
Personal Search Practices
Customs is commended for taking meaningful and effective
steps to reform and clarify its personal search practices. As a
result, it is the first major law enforcement agency to
demonstrate a significant reduction in the numbers of
minorities searched for contraband, with the number of personal
searches at international airports falling by nearly 80 percent
between 1998 and 2000, while experiencing a 38 percent increase
in drug seizures since 1999. The Committee congratulates
Customs on its success, and because maintaining strong
oversight of this is important, the Committee directs Customs
to submit by November 1, 2001, an updated report giving
statistical information concerning the frequency of complaints
about personal search abuses, including claims of racial
profiling; Customs' assessment of such claims; and any new
policies or procedures that have been or are being implemented
by Customs.
Seaport Security
In 2000 the Interagency Commission on Crime and Security in
U.S. Seaports (ICCSS) reported on significant levels of drug
trafficking and other smuggling occurring at the 368 public
seaports in this country, and described the high vulnerability
of those seaports to terrorist and criminal exploitation. The
ICCSS called for substantial increases in resources, changes in
regulations and procedures, and improved interagency and
intergovernmental coordination to improve the level of security
at our nation's seaports.
Customs has reported on several efforts underway to address
these concerns. The General Service Administration's Maritime
Federal Facilities council is seeking single site federal
services within seaports. In a move to make export information
more timely, the Customs Service, Commerce Department and
National Institute for Standards and Technology have defined
export filing requirements and will submit a report to Congress
requiring all export filings to be reported in the Automated
Export System (AES), rather than provided after vessels leave
U.S. ports. The Research and Technology Committee of the
Interagency Committee on the Marine Transportation System
(ICMTS) will hold a conference in November, 2001 and follow
this up with interagency recommendations for examination and
investigative technology at seaports. To assess resource
requirements, a Subcommittee on Security was established under
the ICMTS, co-chaired by Customs and the Coast Guard, and is
pursuing a comprehensive interagency study to analyze the
impact of current projections related to seaport crime, trade
volumes, technology, and other key factors on future personnel
requirements for federal agencies having seaport border control
responsibilities.
The Committee strongly urges the Administration to sustain
momentum in addressing the ICCSS' recommendations, and
therefore directs the Secretary of the Treasury to report
within 90 days of enactment of this Act on these and other
specific actions that have been taken by the Department,
Customs Service and other federal agencies to complete action
on the initiatives underway, including efforts of the Criminal
Justice Information Services Advisory Policy Board to develop a
National Incident Based Report System and thereby improve
collection and reporting of crime data by seaports. The report
should detail actions underway and provide a time line for
completion of reports, draft legislation, and other action
items.
AFRICAN GROWTH AND OPPORTUNITY ACT
The Committee provides $1,317,000 to the Customs Service to
provide assistance to help AGOA beneficiary countries come into
compliance with the customs requirements in the Trade and
Development Act of 2000, so that more countries are designated
as eligible to ship goods under the program.
ILLEGAL TRANSSHIPMENTS
The Committee is concerned about reports of goods,
including textiles and shoes, being transshipped from China
through the United States into Mexico with false certificates
of origin. Such transshipment clearly would violate NAFTA. The
Committee encourages Customs to accelerate its efforts to stop
illegal transshipments that follow this or other patterns.
Harbor Maintenance Fee Collection
Appropriation, fiscal year 2001 to date............... $2,993,000
Budget estimate, fiscal year 2002..................... 2,993,000
Recommended in the bill............................... 2,993,000
Bill compared with:
Appropriation, fiscal year 2001................... ................
Budget Estimate, fiscal year 2002................. ................
MISSION
The Harbor Maintenance Fee provides resources to the Army
Corps of Engineers for the improvement of American channels and
harbors. It is assessed on the value of commercial imports and
exports delivered to or from certain specified ports. The fee
is collected by the U.S. Customs Service and deposited into the
Harbor Maintenance Trust Fund.
RECOMMENDATION
The Committee recommends an appropriation of $2,993,000,
the same as the fiscal year 2001 appropriation and the amount
requested by the President.
Operation, Maintenance and Procurement, Air and Marine Interdiction
Programs
Appropriation, fiscal year 2001 to date............... $139,919,498
Budget estimate, fiscal year 2002..................... 162,637,000
Recommended in the bill............................... 183,853,000
Bill compared with:
Appropriation, fiscal year 2001................... +43,933,502
Budget Estimate, fiscal year 2002................. +21,216,000
MISSION
The Customs Air and Marine Interdiction Programs combat the
illegal entry of narcotics and other items into the United
States. This appropriation provides all operations, maintenance
and procurement for the Customs air and marine program and
support for the interdiction of narcotics by other Federal,
State, and local agencies. Included in this mission is the
requirement to support the Bureau of Alcohol, Tobacco and
Firearms and the U.S. Secret Service.
RECOMMENDATION
The Committee recommends an appropriation of $183,853,000
for Operations, Maintenance and Procurement, Air and Marine
Interdiction Programs, an increase of $43,933,502 above the
fiscal year 2001 enacted level and an increase of $21,216,000
above the President's request. The increase above the
President's request includes $2,285,000 for non-pay inflation,
$4,931,000 for costs of security planning and operations
associated with national special security events, $4,000,000
for electro-optical and infrared imaging systems for aircraft
and marine vessels, and $10,000,000 for additional investments
in the air program.
MODERNIZATION OF THE AIR AND MARINE INTERDICTION DIVISION
The Committee fully funds the President's request for new
investments for the Air and Marine Interdiction Division (AMID)
program. However, this only scratches at the surface of the
needs projected for modernization as outlined in the
Modernization Plan for the AMID, which totals over $1.5 billion
for air, marine, communications and training/standardization
requirements. Requirements of this magnitude are clearly beyond
the means of the Committee at this time. However, given the age
of the Customs AMID air and marine vessels, its inadequate
basing and storage capabilities, and the difficulties it faces
in maintaining a high rate of operational readiness, it is
critical that modernization must be approached strategically,
with a clear, achievable plan.
This will require strong direction from the Administration,
through the Treasury Department and Customs, and in
coordination with other federal agencies with responsibilities
for air and international and arrival zone counterdrug
missions. Such efforts should also address the strategic and
tactical priorities for Customs mission and functions, and
either follow the timelines and priorities of the existing plan
or institute a new one. Future funding will need to be
substantially increased if credible modernization is to take
place, which will involve large scale system replacement,
upgrades, and facilities and communications costs. The
Committee strongly urges that the Administration assign this
effort high priority as it plans for its fiscal year 2003
budget.
As a way to begin support for this effort, the Committee
provides an additional $10,000,000 that it directs should go
towards air program modernization. The Committee also directs
the Customs Service to apply this funding to key program
priorities contained in the AMID Modernization Plan, such as
the need for hangars at the Standardization and Training Branch
and for needed aircraft replacements or upgrades.
The Committee would also urge the Administration to avoid
the complete breakdown of the tethered aerostat radar system
(TARS), which is being allowed to shut down in the absence of
strong, committed program management and funding support. If
the Customs Service is assigned the TARS mission, it will be
essential that an adequate budget for that activity be included
as well.
MOBILE SUPPORT VESSELS
As part of modernizing its marine interdiction effort, the
Customs Service needs to consider a wide range of options for
basing and deploying its interceptor vessels in the most
effective and economical way. The Committee requests that
Customs consider the option of using mobile support vessels to
support offshore drug interdiction efforts for long term, on-
station mission support, supplies, maintenance and personnel
needs.
Automation Modernization
Appropriation, fiscal year 2001 to date............... $257,831,532
Budget estimate, fiscal year 2002..................... 257,832,000
Recommended in the bill............................... 427,832,000
Bill compared with:
Appropriation, fiscal year 2001................... +170,000,468
Budget Estimate, fiscal year 2002................. +170,000,000
MISSION
The Automation Modernization account includes funding for
major information technology projects for the Customs Service.
Projects included in this request are the planned Automated
Commercial Environment (ACE) system, the existing Automated
Commercial System (ACS), and the International Trade Data
System (ITDS), which is being developed as a component of ACE.
RECOMMENDATION
The Committee recommends an appropriation of $427,832,000
for Automation Modernization, an increase of $170,000,468 above
the fiscal year 2001 enacted level and an increase of
$170,000,000 above the President's request. The increase above
the President's request is for development and deployment of
the Automated Commercial Environment (ACE).
AUTOMATED COMMERCIAL ENVIRONMENT (ACE)
The selection of a prime contractor to work with the
Customs Service to develop a successor system to the aging,
legacy Automated Commercial System (ACS) has put the Customs
effort to modernize and improve its automated systems on a new
footing. The Committee strongly supports this effort, and
believes it merits some of the highest priority in funding for
this bill. However, the Administration's request for
$130,000,000 would have the effect of delaying the
implementation of this project by at least a year, increasing
the risk of project failure (worsened by uncertainty over
future funding), and increasing the pressure on ACS. In order
to help ensure that the development phase of this project
remains on track for completion within five years, the
Committee includes an additional $170,000,000 to bring the full
fiscal year 2002 level of funding for ACE to $300,000,000. This
is $88,000,000 below what it would take to fully fund phases I
and II of this project, but should provide ample resources to
begin making a significant impact on Customs processes at
critical, high volume ports of entry.
The Committee has continued language requiring that the
release of this funding will depend on first receiving and
reviewing specific Customs' expenditure plans, including cost-
benefit analysis, for each requested funding release. Such
Committee review will last a minimum of 30 days, with the
assistance of the General Accounting Office. The Committee
strongly supports the recommendations made by GAO to
consolidate responsibility and accountability for ITDS under
the overall modernization management framework, rather than to
permit development of a separate, stovepiped system, and
clarify roles of agents used by Customs and its prime
contractor to avoid conflicts of interest. The Committee
therefore directs Customs to specifically include any plans for
further ITDS pilot funding, including cost, benefits, and risk
justification, in the next ACE expenditure plan, expected to be
submitted in October 2001, and at the same time report to the
Committee on what steps it has taken to ensure the independence
of its independent verification and validation agent.
Bureau of Engraving and Printing
----------------------------------------------------------------------------------------------------------------
2001 2002
2000 (actual) (estimate) (estimate)
----------------------------------------------------------------------------------------------------------------
Total revenue................................................... $476,000,000 $417,000,000 $450,000,000
Revenue from currency....................................... 409,000,000 355,000,000 396,000,000
Revenue from stamps......................................... 55,000,000 53,000,000 45,000,000
Other revenue............................................... 12,000,000 9,000,000 9,000,000
Cost of operations.............................................. 461,000,000 425,000,000 450,000,000
Net revenue (to Treasury)....................................... 15,000,000 -8,000,000 0
----------------------------------------------------------------------------------------------------------------
MISSION
The Bureau of Engraving and Printing (BEP) designs,
manufactures, and supplies Federal Reserve notes, various
public debt instruments, as well as most evidences of a
financial character issued by the United States, such as
postage and internal revenue stamps. The BEP executes certain
printings for various territories administered by the United
States, particularly postage and revenue stamps.
The operations of the BEP are financed by means of a
revolving fund established in accordance with the provisions of
Public Law 656, August 4, 1950 (31 U.S.C. 181), which requires
the BEP to be reimbursed by customer agencies for all costs of
manufacturing products and services performed. The BEP is also
authorized to assess amounts to acquire capital equipment and
provide for working capital needs. The anticipated work volume
is based on estimates of requirements submitted by agencies
served.
United States Mint
----------------------------------------------------------------------------------------------------------------
Circulating coins Numismatic coins Protection
----------------------------------------------------------------------------------------------------------------
2000 (actual):
Number of coins................. 21.0 billion........... 6.2 billion............
Cost of operations.............. $423 million........... $669 million........... $28 million
Revenue......................... $1,679 million......... $2,023 million.........
Net revenue (to Treasury)....... $1,256 million......... $1,355 million......... ($28 million)
2001 (estimate):
Number of coins................. 18.9 billion........... 6.0 billion............
Cost of operations.............. $311 million........... $768 million........... $35 million
Revenue......................... $816 million........... $1,956 million.........
Net revenue (to Treasury)....... $504 million........... $1,188 million......... ($35 million)
2002 (estimate):
Number of coins................. 18.2 billion........... 5.8 billion............
Cost of operations.............. $287 million........... $806 million........... $36 million
Revenue......................... $689 million........... $1,939 million.........
Net revenue (to Treasury)....... $402 million........... $1,133 million......... ($36 million)
----------------------------------------------------------------------------------------------------------------
MISSION
The United States Mint manufactures coins, receives
deposits of gold and silver bullion, and safeguards the
Government's holdings of monetary metals. For fiscal year 1997,
Congress established the United States Mint Public Enterprise
Fund (Public Law 104-52) which authorized the U.S. Mint to use
proceeds from the sale of coins to finance the costs of its
operations and which consolidated all existing Mint accounts
into a single fund. Public Law 104-52 also provides that, in
certain situations, the levels of capital investments for
circulating coins and protective services factor into the
decisions of the Congress such that those levels compete with
other requirements for funding.
RECOMMENDATION
The Committee recommends a spending level for capital
investments by the U.S. Mint for circulating coinage and
protective services of $43,000,000, the same as the fiscal year
2002 spending level currently planned by the U.S. Mint and a
decrease of $5,000,000 below the level included in the
President's request. The Committee is extremely disappointed
with the level of information provided in the budget
justification for this item and directs that more detailed
information, including descriptions of specific capital
investment items, be provided in future annual budget
justifications to Congress. The Committee also includes a
requirement that the United States Mint Public Enterprise Fund
pay for a study by the General Accounting Office on circulating
coinage. The payment is to be made 60 days after the enactment
of this Act. The GAO report is to be delivered to the House
Committee on Appropriations and House Committee on Financial
Service 270 days after the enactment of this Act.
The Committee recommends a new general provision (Section
121) to require specific Congressional authorization for the
construction and operation of a museum in the Mint's National
Headquarters in Washington, D.C. Last year, the Committee
directed the Mint to provide a report assessing the nature and
the extent to which the new dollar coin is being used in
commerce; the resultant report did not address this issue. The
Committee directs the Mint to provide a new report by March 31,
2002, on this important topic and expects the Mint to more
adequately address this issue. The Committee also has serious
reservations regarding the procurement and leasing activities
of the Mint and is concerned that the Mint may be
misinterpreting or abusing the flexibility provided by Congress
in establishing the public enterprise fund. The Committee urges
the Department to take a more active role in guiding and
managing the Mint, particularly in such areas as its needs for
foreign travel and justification of foreign travel.
Bureau of the Public Debt
ADMINISTERING THE PUBLIC DEBT
Appropriation, fiscal year 2001 to date............... $182,699,000
Budget estimate, fiscal year 2002..................... 185,370,000
Recommended in the bill............................... 187,318,000
Bill compared with:
Appropriation, fiscal year 2001................... +4,619,000
Budget Estimate, fiscal year 2002................. +1,948,000
MISSION
This appropriation provides funds for the conduct of all
public debt operations and the promotion of the sale of U.S.
savings-type securities.
RECOMMENDATION
The Committee recommends an appropriation of $187,318,000
for administering the public debt, an increase of $4,619,000
above the fiscal year 2001 enacted level and an increase of
$1,948,000 above the President's request. The increase above
the President's request is for non-pay inflation.
The Committee has not continued language in the bill
regarding the administration of certain Trusts. This language,
first contained in fiscal year 2001, created an indefinite
appropriation for the funding of administrative services by the
Bureau of the Public Debt on behalf of these Trusts. The
Committee believes that the Bureau should recover the costs of
the administrative services it provides to the various Federal
trust and investment funds and expects these administrative
costs to be fully covered within the appropriation provided.
The Committee has provided a one-time increase in the
representational allowance for the Bureau of the Public Debt in
support of its hosting of an international debt conference in
May 2002 to share information and discuss the challenges of
managing and marketing sovereign debt.
PUBLIC DEBT PROGRAM ACTIVITIES
The Committee is concerned about the adequacy of response
by the Bureau of Public Debt to recent developments that have
drastically altered the long-time assumptions regarding the
debt of the Nation. Current and future reductions of the
national debt held by the public should bring significant
reductions of the workforce required to manage and service that
debt. As debt instruments mature, there will continue to be
some new or rollover borrowings to re-finance the declining
balance as well as a need to administer bond redemptions. But
reductions in borrowing from the public also will dramatically
affect the mix of instruments used to finance the public debt.
The Committee finds a pressing need to explore immediately
the implications of reduced borrowing and to re-visit the
assumptions that underlie the work of the Bureau of Public
Debt. For instance, according to its fiscal year 2002 budget
justification, more than 70 percent of the Bureau's workforce
and funding are devoted to savings bond activities. Yet savings
bonds constitute only about 3 percent of the total public debt
and less than 6 percent of the publicly held debt. In contrast,
less than 30 percent of the Bureau's workforce and funding are
focused on marketable securities, although these securities
make up 97 percent of the outstanding public debt. The
Committee is concerned that the implications of (1) the decline
in the relative importance of savings bonds in funding the
public debt, (2) the steady increase in savings bond
redemptions over new issuances, and (3) the preference by
Americans for other forms of savings and investments are not
being adequately anticipated by the Bureau in its debt
management programs and activities.
Therefore, the Committee directs the Bureau to provide a
report that reviews the complete debt program of the Bureau.
The report is to take a fresh and fiscally-focused look at the
savings bond program, its current and future role in financing
the public debt and in providing a savings opportunity for the
public, in the context of the full range of debt instruments
available for financing the public debt. The report should
detail the specific costs associated with the various debt
instruments (savings bonds, Treasury bills, etc.), not only the
interest rates that represent federal liabilities but also the
federal personnel and processing costs related to issuing,
redeeming, and otherwise administering the instruments on both
an annual basis (expense of paying interest) and a cost-per-
transaction basis. The report should provide cost comparisons
between high-amount, lower-volume instruments such as large T-
bills or T-notes (with varying maturities) and low-amount,
high-volume instruments such as savings bonds. It should also
explore the costs associated with maintaining these dual
approaches to borrowing, rather than converting to a single
approach, as the public debt shrinks. Costs related on a per-
transaction basis should include a breakout and description of
overhead charges, such as the indirect costs of program
management and administrative and support personnel, as well as
the costs of the employees who directly handle transactions.
The report should focus on fiscal management concerns. The
report should provide an analysis of the impact on the federal
government of simply discontinuing the savings bond program.
The Bureau is to provide this report to the House Committee on
Appropriations and to the House Committee on Financial Services
180 days after enactment of this Act.
Internal Revenue Service
The Committee is concerned about the variety and quality of
information provided in justification of the budget request for
the Internal Revenue Service (IRS). Despite the improvements
brought about by the recent budget restructuring and by the
functional presentation in the budget justification, the
Committee remains intensely aware that other types of
information and presentations would be of assistance in
evaluating the IRS budget.
A portion of this concern stems from the known inadequacy
and weaknesses of the current financial management system,
leading to mistrust of the financial information generated by
the system. This lack of sound financial information, and the
recent one-year delay in replacing the system as part of the
business systems modernization effort, throws into question the
ability of the IRS to justify its budgetary needs. While the
IRS is to be congratulated for having achieved a clean audit
opinion for its fiscal year 2000 financial statement, this
unqualified opinion was only achieved at great cost, and the
General Accounting Office continues to document substantial
financial weaknesses. The Committee fully expects the IRS to
continue improving its financial practices and processes to the
greatest extent practicable. The Committee recognizes the role
of the newly formulated IRS Oversight Board in reviewing the
annual budget request of the IRS and submitting its own budget
recommendation to the Congress. The Committee appreciates
receiving their analysis of the IRS budget and looks forward to
strengthening its relations with the IRS Oversight Board. The
Committee urges the Secretary of the Treasury to consider the
IRS Oversight Board's budget recommendations during
deliberations on the FY 2000 budget request.
Processing, Assistance and Management
Appropriation, fiscal year 2001 enacted to date....... $3,594,966,000
Budget estimate, fiscal year 2002..................... 3,783,347,000
Recommended in the bill............................... 3,808,434,000
Bill compared with:
Appropriation, fiscal year 2001................... +213,468,000
Budget Estimate, fiscal year 2002................. +25,087,000
MISSION
This appropriation provides for processing tax returns and
related documents; processing data for compiling statistics of
income; assisting taxpayers in correct filing of their returns
and in paying taxes that are due; overall planning and
direction of the Internal Revenue Service; and management of
financial resources and procurement.
RECOMMENDATION
The Committee recommends an appropriation of $3,808,434,000
for Processing, Assistance, and Management, an increase of
$213,468,000 above the fiscal year 2001 enacted level and an
increase of $25,087,000 above the President's request. The
increase above the President's request is for non-pay
inflation. The Committee understands that this amount will be
sufficient to provide $6,000,000 in support of low income tax
clinics, the same level of support provided during fiscal year
2001.
Tax Law Enforcement
Appropriation, fiscal year 2001 enacted to date....... $3,366,380,000
Budget estimate, fiscal year 2002..................... 3,533,198,000
Recommended in the bill............................... 3,541,076,000
Bill compared with:
Appropriation, fiscal year 2001................... +174,696,000
Budget Estimate, fiscal year 2002................. +7,878,000
MISSION
This appropriation provides for the examination of tax
returns, both domestic and international; the administrative
and judicial settlement of taxpayer appeals of examination
findings; technical rulings; monitoring employee pension plans;
determining qualifications of organizations seeking tax-exempt
status; examining tax returns of exempt organizations;
enforcing statutes relating to detection and investigation of
criminal violations of the internal revenue laws; collecting
unpaid accounts; compiling statistics of income and compliance
research; and securing unfiled tax returns and payments.
RECOMMENDATION
The Committee recommends an appropriation of $3,541,076,000
for Tax Law Enforcement, an increase of $174,696,000 above the
fiscal year 2001 enacted level and $7,878,000 above the
President's request. The increase above the President's request
includes $5,149,000 for non-pay inflation and $2,729,000 for
participation in law enforcement support of the 2002 Winter
Olympics. Within available funds, IRS is directed to spend
$3,000,000 to contract for actuarial expertise and/or related
computer software as a pilot compliance effort to assist in
audits involving tax reserves and other situations requiring
actuarial expertise.
AUDIT RATES AND AUDIT FAIRNESS
The Committee remains concerned about the steady and
significant decline in IRS' audit rates. An April 2001
Government Accounting Office report, GAO-01-484, requested by
the Committee on Ways and Means, reports IRS data of reductions
since 1997 in audit coverage for large corporations (-60%),
partnerships (-40%), and individuals (-62%). The IRS hopes to
reverse this trend during fiscal years 2001 and 2002, and has
pointed out increasing rates of other non-audit compliance
activities, such as document matching. The Committee recognizes
that audit rates are not the only measure of IRS tax compliance
efforts, but remains concerned with the uncertainty about
optimizing the rate of audits. Although the IRS has stated that
it foresees no need to return to the levels of individual audit
coverage that existed five years ago, the IRS has been unable
to state what the audit rate ought to be (either in general or
for specific taxpayer segments), to quantify the degree to
which it expects fiscal years 2001 and 2002 will reverse the
decline in audit rates, or to characterize how recent audit
levels have affected compliance.
The Committee is also concerned with indications that the
current IRS audit coverage may disproportionately impact lower-
income taxpayers. At a recent hearing before the Committee, the
IRS Commissioner testified that the decline in audit coverage
and the increase in document matching have created unevenness
in IRS compliance actions among taxpayers based on economic
considerations, because current document-matching capabilities
center upon tax returns that report mostly wages, salaries, and
other non-investment income sources. At the same time, higher-
income taxpayers, whose returns often have income sources and
deductions that are not part of current document-matching, also
are being audited less frequently. The audit rate for high-
income individuals ($100,000 and higher) has declined by 65%
from FY 1997 to FY 2000, while the audit rate for all
individuals has declined by 62% over the same period. These
figures call into question how the IRS can best allocate and
manage its compliance resources.
Therefore, the Committee directs the IRS to provide to the
House Committee on Appropriations within 120 days of the date
of the enactment of this Act a report detailing how the full
range of all IRS tax compliance activities (document matching,
in-person audits, correspondence audits, etc.) have changed for
fiscal years 1996 through 2000 with projections for fiscal
years 2001 and 2002. The report shall contain an analysis,
broken out by appropriate taxpayer segments, of what the
current audit levels are, what the optimum audit rates should
be, and what actions are being taken to achieve these optimal
audit rates. The report shall discuss, by specific tax law
areas and taxpayer categories, compliance rates, the equitable
distribution of IRS compliance resources among taxpayer
segments, and the steps IRS is taking to ensure that no segment
of taxpayers are disproportionately impacted by IRS tax
enforcement activities.
Earned Income Tax Credit Compliance Initiative
Appropriation, fiscal year 2001 to date............... $144,681,000
Budget estimate, fiscal year 2002..................... 146,000,000
Recommended in the bill............................... 146,000,000
Bill compared with:
Appropriation, fiscal year 2001................... +1,319,000
Budget Estimate, fiscal year 2002................. ................
MISSION
The Earned Income Tax Credit Compliance Initiative provides
for expanded customer service and public outreach programs,
strengthened enforcement programs, and enhanced research
efforts to reduce overclaims and erroneous filings associated
with the Earned Income Tax Credit.
RECOMMENDATION
The Committee recommends an appropriation of $146,000,000
for the Earned Income Tax Credit Compliance Initiative, an
increase of $1,319,000 above the fiscal year 2001 enacted level
and the same as the President's request.
EITC PROGRAM MANAGEMENT
The Committee is quite concerned that the IRS, in managing
its special program for remedying improper EITC payments, has
not allocated the program resources in proportion to the
different factors causing overclaims (math errors by tax payers
and by tax preparers, legal misinterpretations by tax payers
and by tax preparers, criminal fraud committed by tax payers
and by tax preparers, etc.) that cause those improper payments.
Of even greater concern, the IRS has not documented the
relative levels of these factors but nevertheless has allocated
major resources toward education efforts to correct legal
misinterpretations but only lesser resources to reduce criminal
fraud. Because the overclaims and overpayments consistently
total $8-billion to $9-billion annually, it is crucial that all
contributing factors be pursued in correct proportion to their
contribution to the problem.
Therefore, the Committee directs the IRS to immediately:
devote all resources necessary to distinguish expeditiously
what portions of the overclaims are attributable to erroneous
but unintentional misunderstandings of the law, to math errors,
to social security number errors, to returns prepared by
taxpayers, to returns prepared by professionals, and to
fraudulent or other deliberate conduct by taxpayers or
preparers; and align the distribution of program resources (the
$146-million appropriated for fiscal year 2002 and the 2,200
FTE associated with the effort) to create a mix between
education and enforcement efforts that reflects the ratio
between mistaken versus intentional efforts to receive improper
payments of EITC.
EITC Program Effectiveness
Last year, the Committee directed the Internal Revenue
Service to provide a report on the results, effectiveness, and
success of the program. The resultant report provided limited
information on program effectiveness. A key ingredient to
determining the effectiveness of a program is the ability to
measure and quantitatively characterize the extent of the
problems and issues as well as the impact of the program on
those problems and issues. Such specific measures and
quantitative characteristics were not included in the report.
For instance, the report state that about 7,100 tax return
preparers were educated on EITC provisions and an additional
2,300 received compliance visits, but information is not
provided to place these figures in context. For example, the
report does not address a comparison between the number of EITC
tax return preparers and the overall number of preparers
(including the proportion of EITC returns among the total
returns prepared by these preparers), the proportion and number
of self-prepared EITC returns and professionally prepared
returns as a percentage of overall EITC returns which sought
overclaims, whether IRS has identified preparers with a high
volume of EITC overclaims and, if so, what portions have been
detected and how has the IRS targeted these preparers for
education or enforcement followup. These are but a few examples
of the types of questions generated by the report; answers to
these and other questions will assist in evaluating the
effectiveness of the program.
Therefore, the Committee directs the IRS to provide to the
House Committee on Appropriations and the House Ways and Means
Committee within 90 days of enactment of this Act a report that
specifically addresses and provides data on the management and
effectiveness of this program. The report should contain a
cohesive strategy for improving the EITC program in the
framework of pre-filing, filing, and post-filing activities and
that strategy should specifically address the areas of:
outreach and education, enforcement, compliance improvement,
and compliance research. Such information is crucial in
deliberations regarding future program authorization and
funding. The report should contain the amounts for outreach and
education, enforcement, compliance improvement, and compliance
research for fiscal years 1998, 1999, 2000, 2001 (estimate),
and 2002 (estimate) including a full discussion of what steps
IRS has taken to better align its program resources in
proportion to the factors that have created the overpayment
problem.
Information Systems
Appropriation, fiscal year 2001 to date............... $1,522,416,000
Budget estimate, fiscal year 2002..................... 1,563,249,000
Recommended in the bill............................... 1,573,065,000
Bill compared with:
Appropriation, fiscal year 2001................... +50,649,000
Budget Estimate, fiscal year 2002................. +9,816,000
MISSION
This appropriation provides for Service-wide data
processing support, including the evaluation, development, and
implementation of computer systems (including software and
hardware) requirements.
RECOMMENDATION
The Committee recommends an appropriation of $1,573,065,000
for Information Systems, an increase of $50,649,000 above the
fiscal year 2001 enacted level and an increase of $9,816,000
above the President's request. The increase above the
President's request is for non-pay inflation. The Committee is
aware of information system requirements that were identified
by the IRS Oversight Board but not explicitly included in the
President's budget request. The Committee believes the
appropriation recommended by the Committee is adequate to
address all of the highest priority information system needs of
the IRS.
The IRS and the Department of the Treasury are to be
congratulated on the reverse auction it held on May 14, 2001,
for purchasing new computers for IRS employees. This was the
largest reverse auction yet to be conducted by a government
agency and it resulted in substantial savings. For desktop and
laptop computers, the government saved an average of about 25
percent off the prices that otherwise would have been obtained;
for some types of computers, such as top-end desktops, the
savings were even greater. As a consequence of the reverse
auction process and savings, the IRS should be able to meet its
employees' immediate needs for computers during fiscal years
2001 and 2002.
Business Systems Modernization
Appropriation, fiscal year 2001 to date............... $71,593,000
Budget estimate, fiscal year 2002..................... 396,593,000
Recommended in the bill............................... 391,593,000
Bill compared with:
Appropriation, fiscal year 2001................... +320,000,000
Budget Estimate, fiscal year 2002................. -5,000,000
MISSION
This appropriation provides for funding of the PRIME
Systems Integration Services Contractor to modernize the
business systems of the Internal Revenue Service.
RECOMMENDATION
The Committee recommends an appropriation of $391,593,000
for Business Systems Modernization, an increase of $320,000,000
above the fiscal year 2001 enacted level and a decrease of
$5,000,000 below the level proposed in the President's request.
This account had been previously known as the Information
Technology Investment account; the Committee approves the
change of the name of the appropriation as proposed by the
Administration. The release of funding from this account is
governed by the same statutory conditions that governed the
funds appropriated into the Information Technology Investment
account for fiscal year 2001.
Administrative Provisions--Internal Revenue Service
Section 101. The Committee continues the provision that
allows the transfer of 5 percent of any appropriation made
available to the IRS to any other IRS appropriation, subject to
prior Congressional approval.
Section 102. The Committee continues the provision that
requires the IRS to maintain a training program in taxpayer's
rights, dealing courteously with taxpayers, and cross cultural
relations.
Section 103. The Committee continues the provision that
requires the IRS to institute policies and procedures, which
will safeguard the confidentiality of taxpayer information.
Section 104. The Committee continues the provision that
makes funds available for improved facilities and increased
manpower to provide sufficient and effective 1-800 help line
service for taxpayers.
United States Secret Service
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $824,885,251
Budget estimate, fiscal year 2002..................... 857,117,000
Recommended in the bill............................... 943,777,000
Bill compared with:
Appropriation, fiscal year 2001................... +118,891,749
Budget Estimate, fiscal year 2002................. +86,660,000
MISSION
The Secret Service is responsible 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 financial
crimes such as financial institution fraud and other fraud; and
for protection of the White House and other buildings within
Washington, D.C. It also has responsibility to provide security
for national special security events, as designated by the
President.
RECOMMENDATION
The Committee recommends an appropriation of $943,777,000
for the U.S. Secret Service, an increase of $118,891,749 above
the fiscal year 2001 enacted level and an increase of
$86,660,000 above the President's request. The increase above
the President's request includes $13,624,000 for non-pay
inflation, $27,530,000 for security planning and operations for
the 2002 Winter Olympics (including the costs of non-Treasury
agencies), $45,000,000 to complete the staffing rebalancing
initiative, and $506,000 in additional support for the National
Center for Missing and Exploited Children.
Workforce Retention and Workload Rebalancing Initiative
In response to a significant increase in workload for
Secret Service agents, particularly in the field, and unusually
high attrition rates, Congress provided additional funding for
new hires to reduce the level of overtime to the 1994 target
level of 62 hours per month. Fiscal year 2000 saw average
overtime rise as high as 80 hours per month, as would be
expected in an election year, but is on track to fall to more
manageable levels. In order to complete this effort and achieve
the target level, the Committee has included funding for the
final increment of 204 agents, and included the funding
necessary for hiring, support, space and equipment.
Acquisition, Construction, Improvements, and Related Expenses
Appropriation, fiscal year 2001 to date............... $8,921,330
Budget estimate, fiscal year 2002..................... 3,352,000
Recommended in the bill............................... 3,457,000
Bill compared with:
Appropriation, fiscal year 2001................... -5,464,330
Budget Estimate, fiscal year 2002................. +105,000
MISSION
This account supports the acquisition, construction,
improvement, equipment, furnishing and related costs for
maintenance and support of Secret Service facilities, including
the Secret Service Headquarters Building and the Rowley
Training Center.
RECOMMENDATION
The Committee recommends an appropriation of $3,457,000 for
Acquisition, Construction, Improvement and Related Expenses, a
decrease of $5,464,330 below the fiscal year 2001 enacted level
and an increase of $105,000 above the President's request. The
increase above the President's request is for non-pay
inflation.
General Provisions--Department of the Treasury
Section 110. The Committee continues the provision that
requires the Secretary of the Treasury to comply with certain
reprogramming guidelines when obligating or expending funds for
law enforcement activities.
Section 111. The Committee continues the provision that
allows the Department of the Treasury to purchase uniforms,
insurance, and motor vehicles without regard to the general
purchase price limitation, and enter into contracts with the
State Department for health and medical services for Treasury
employees in overseas locations.
Section 112. The Committee continues the provision that
requires expenditures of funds so as not to diminish efforts
under the Federal Alcohol Administration Act.
Section 113. The Committee continues the provision that
authorizes transfers, up to 2 percent, between law enforcement
appropriations under certain circumstances.
Section 114. The Committee continues the provision that
authorizes transfers, up to 2 percent, between Departmental
Offices, Office of the Inspector General, Financial Management
Service, and the Bureau of the Public Debt appropriations under
certain circumstances.
Section 115. The Committee continues the provision that
authorizes transfer, up to 2 percent, between the Internal
Revenue Service and the Treasury Inspector General for Tax
Administration under certain circumstances.
Section 116. The Committee continues the provision that
provides that no funds may be obligated for the purchase of law
enforcement vehicles until the Secretary of the Treasury
certifies that the purchase is consistent with Departmental
vehicle management principles.
Section 117. The Committee continues the provision that
prohibits the Department of the Treasury from undertaking a
redesign of the $1 Federal Reserve note.
Section 118. The Committee continues the provision that
provides for transfers from and reimbursements to the Salaries
and Expenses appropriation of the Financial Management Service
for the purposes of debt collection.
Section 119. The Committee includes a new provision that
authorizes intelligence and intelligence-based activities of
the Department of Treasury.
Section 120. The Committee includes a new provision that
extends the pilot project for designated critical occupations
for one additional year.
Section 121. The Committee includes a new provision that
requires authorization for the construction and operation of a
museum by the United States Mint.
TITLE II--POSTAL SERVICE
Payment to the Postal Service Fund
Appropriation, fiscal year 2001 to date............... $95,888,000
Budget estimate, fiscal year 2002..................... 143,712,000
Recommended in the bill............................... 143,712,000
Bill compared with:
Appropriation, fiscal year 2001................... +47,824,000
Budget Estimate, fiscal year 2002................. ................
MISSION
Funds provided to the Postal Service in the Payment to the
Postal Service Fund include the costs of revenue forgone on
free and reduce-rate mail for the blind and overseas voters;
reconciliation adjustments for amounts appropriated for free
and reduced rate mail and the actual amounts required; and
partial reimbursement for losses which the Postal Service
incurred as a result of insufficient appropriations in fiscal
years 1991 through 1993 and the additional revenues it would
have received between 1993 and 1998 in the absence of certain
rate phasing provisions of the Revenue Forgone Act of 1993.
RECOMMENDATION
The Committee recommends an appropriation of $143,712,000
for Payment to the Postal Service Fund, an increase of
$47,824,000 from amounts appropriated in fiscal year 2001 and
the same as the amounts requested by the President. Of the
amounts appropriated, $56,303,000 is provided for free mail for
the blind and overseas voters; a reduction of $8,684,000 is
assumed as a reconciliation adjustment for differences between
estimated free mail volumes and final audited volumes for
fiscal year 1999. The final appropriation of $47,619,000 for
free mail for the blind and overseas voters is made available
on October 1, 2002. The Committee also includes $29,000,000 as
reimbursements to the Postal Service for prior year
reimbursement shortfalls due to insufficient appropriations and
rate phasing provisions of the Revenue Forgone Act of 1993. The
balance of the funds appropriated, $67,093,000, reflects the
advance appropriation provided in fiscal year 2001.
FINANCIAL CONDITION OF THE US POSTAL SERVICE
The Committee is extremely concerned by the current
financial status of the US Postal Service (USPS), with current
estimates projecting a deficit of between $2-3 billion during
fiscal year 2001 and $3.5 billion in fiscal year 2002. Although
the Committee understands that this deficit reflects a number
of unanticipated factors such as rising energy costs, labor
costs, and reduced mail volume, the Committee believes that
deficits of this magnitude are unacceptable. The Committee is
also aware that the General Accounting Office has placed the
USPS on its high-risk list due to the Service's operational and
financial challenges.
The Committee understands that the USPS is considering a
number of options to reduce projected deficits, increase
revenue, and control future costs, including an ongoing review
of Saturday mail delivery, postal rate increases and the
consolidation of postal facilities. The Committee is extremely
concerned by reports that the USPS is considering the
termination of Saturday mail delivery, the closing of small
post offices and additional rate increases as both revenue
generating and cost-saving mechanisms. The Committee directs
the USPS to submit a copy of all reviews related to these
matters upon their completion to the House Committee on
Appropriations and the House Committee on Government Reform.
The Committee believes that the goal of maintaining
universal service at uniform rates from self-supporting postal
revenues is in jeopardy within the current financial and
operational structure of the USPS. The Committee strongly
supports on-going efforts by the House Committee on Government
Reform to achieve comprehensive postal service reform and
believes that such reform efforts are central to the ability of
the USPS to efficiently manage its resources. The Committee is
disappointed that the Administration has not taken a more
active role in both postal service reform and the financial
viability of the USPS. The Committee believes that these issues
are of national significance and deserve the active
participation of the Administration.
POSTAL SERVICE WEATHER EMERGENCY POLICIES AND PRACTICES
In its report last year (H. Rpt. 106-756), the Committee
expressed its concern that during Hurricanes Irene and Floyd,
the US Postal Service may have put the health and safety of
South Florida postal employees at risk by continuing business
as usual for an unreasonable period and failing to curtail
postal operations in a timely manner. As a result of that
concern, the Committee urged the U.S. Postal Service to report
to the Committee, by October 1, 2000, on its weather emergency
policies and practices and to adopt a policy and practice of
following the recommendations and directives of federal, state
and local emergency management and weather authorities in all
locations served by the Postal Service when weather emergencies
arise.
Despite this request, the Postal Service did not report to
the Committee, nor does it appear that it has adopted a policy
and practice of following the recommendations and directives of
federal, state and local emergency management and weather
authorities in all locations served by the US Postal Service
when weather emergencies arise.
The Committee continues to believe that the health and
safety of postal employees must never be put at risk in order
to deliver the mail. Thus, the Committee directs the Postal
Service to report to the Committee by October 1, 2001, on its
weather emergency policies and practices, and strongly urges
the Postal Service to adopt a policy and practice of following
the recommendations and directives of federal, state and local
emergency management and weather authorities in all locations
served by the US Postal Service when weather emergencies arise.
In its October 1, 2001 report, the US Postal Service shall
describe any variation between US Postal Service weather
emergency policies and practices and those used by federal,
state, and local emergency management and weather authorities,
including the justification for each variation and shall
indicate whether it will agree to follow the recommendations
and directives of federal, state and local emergency management
and weather authorities in all locations served by the US
Postal Service when weather emergencies arise.
INBOUND AND OUTBOUND MAIL INSPECTIONS
In 2000, the House Treasury, Postal Service and General
Government Appropriations Subcommittee expressed concern about
the U.S. Customs Service's inability to effectively screen
items entering and exiting the United States via the U.S.
Postal Service. The Subcommittee recognizes the critical role
that Customs plays in protecting our nation's borders from
illegal drugs and contraband, money laundering, intellectual
property violations, and other types of fraud.
Last year, the fiscal year 2001 Treasury, Postal Service,
and General Government Appropriations included House report
language that directed the U.S. Customs Service and U.S. Postal
Service to jointly study and report on the problems and
possible solutions affecting Customs' ability to properly and
effectively screen, inspect, and review all parcels and
packages entering the United States.
The requested report is to address the issue of electronic
manifests, timely collection of fees, and other issues of party
in the treatment of the Postal Service and private carriers by
the Customs Service. This report is due to the appropriate
authorizing and appropriations committees within 180 days of
enactment of the legislation.
A subsequent face-to-face meeting between Members of
Congress, Customs and the Postal Service, and resulting
correspondence, have further instructed the agencies to work
toward a joint operating agreement to correct the anomaly that
prevents Customs from inspecting outbound items exiting the
United States via the Postal Service. Currently, Customs
inspects items exiting the United States via any mode of
transport except the U.S. Postal Service. The outcome of
efforts to develop a joint operating agreement is desired
within the same time frame as the report described above.
Customs and the Postal Service have provided interim status
reports at the request of various Members of the House of
Representatives and the Senate as the two agencies have been
working towards resolution of these issues. The Committee looks
forward to receiving the results of this final report.
KENNAN, WISCONSIN
The Committee is concerned about the postal needs of the
citizens of Kennan, Wisconsin. The Committee supports the US
Postal Service's effort to construct a new facility in Kennan
to replace the current deteriorating post office. The Committee
recommends that the US Postal Service evaluate the status of
this effort and report its findings to the Committee.
COLLEGEDALE, TENNESSEE
The Committee is concerned about the postal needs of
Collegedale, Tennessee, in Hamilton County, particularly that
the City has four different Postmasters: Collegedale, Ooltewah,
McDonald, and Apison. This situation has led to zip code
related problems. The Committee is also aware that the USPS
could consolidate local mail routes in order to create a unique
zip code for Collegedale. The Committee recommends that the
USPS evaluate the need for a post office in Collegedale,
Tennessee, by working with local officials and community
leaders. The Committee urges the USPS to evaluate the proposal
for a single Collegedale zip code and report its findings to
the Committee no later than December 1, 2001.
MEBANE, NORTH CAROLINA
The Committee is aware that the City of Mebane, North
Carolina, is interested in acquiring the postal-owned building
on Main Street in Mebane, which has been vacated. The Committee
encourages the Postal Service to work with the City to
facilitate this acquisition.
CURRY, ALABAMA
The Committee is concerned about the postal needs of Curry,
Alabama, located in Walker County. The Committee recommends
that the US Postal Service evaluate the need for a post office
in Curry, Alabama, working with local officials and community
leaders. The Committee further recommends that the US Postal
Service report its findings to the Committee.
GADSDEN, ALABAMA
The Committee is concerned about the postal needs of
Gadsden, Alabama, located in Etowah County. The Committee
recommends that the US Postal Service evaluate the need for a
larger post office in Gadsden, Alabama, working with local
officials and community leaders. The Committee further
recommends that the US Postal Service report its findings to
the Committee.
SNEAD, ALABAMA
The Committee is concerned about the postal needs of Snead,
Alabama, located in Etowah County. The Committee recommends
that the US Postal Service evaluate the need for a new post
office in Snead, Alabama, working with local officials and
community leaders. The Committee further recommends that the US
Postal Service report its findings to the Committee.
ROYAL OAKS, CALIFORNIA
The Committee is concerned about the postal needs of Royal
Oaks, California, located in Monterey County because the
current zip code does not correspond to the City's
jurisdictional boundaries. This situation has led to delayed
mail delivery, confusion when dispatching police and fire
services, and other zip code related problems such as: mail
order taxes, auto insurance ratings, and insurance coverage.
Therefore, the Committee directs the Postal Service to review
the zip code related problems in Royal Oaks and report its
findings to the Committee.
POSTAL SERVICE EMPLOYEES IN PENNSYLVANIA
The Committee has received reports that USPS employees in
Pennsylvania have expressed a high level of concern and
dissatisfaction with various aspects of their job. The
Committee knows the importance of resolving these claims of a
high degree of frustration among the rural letter carriers,
city letter carriers, and clerks concerning management
practices. The Committee directs the USPS to look into the
situation in Pennsylvania and report back to the Committee by
December 1, 2001.
PUEBLO WEST, COLORADO
The Committee is concerned about the postal needs of Pueblo
West, Colorado, located in Pueblo County. Pueblo West has
experienced a 70% growth rate in the past decade, and its
population of 17,200 is projected to double in the next five
years, yet the community is still served by a small contract
facility. The Committee recommends that the US Postal Service
evaluate the need for a post office in Pueblo West, Colorado,
working with local officials and community leaders. The
Committee further recommends that the US Postal Service report
its findings to the Committee.
Cooperative Mailing Rule
The Committee supports the work of the House Committee on
Government Reform to pass legislation correcting the current
USPS misinterpretation of the cooperative mailing rule. The
Committee is disappointed with the interpretation of the
cooperative mailing rule rendered by the USPS. The Committee
regrets that a legislative clarification is necessary to
resolve this issue.
TITLE III--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO
THE PRESIDENT
Compensation of the President and the White House Office
COMPENSATION OF THE PRESIDENT
Appropriation, fiscal year 2001 to date............... $390,000
Budget estimate, fiscal year 2002..................... 450,000
Recommended in the bill............................... 450,000
Bill compared with:
Appropriation, fiscal year 2001................... +60,000
Budget Estimate, fiscal year 2002................. ................
MISSION
These funds provide for the compensation of the President
as well as official expenses, as authorized by Title 3.
RECOMMENDATION
The Committee recommends an appropriation of $450,000 for
Compensation of the President, an increase of $60,000 from
amounts appropriated in fiscal year 2001 and the same as the
amount requested by the President. This increase fully funds
the additional costs of increasing compensation for the
President to $400,000, as authorized by Section 644 of Public
Law 106-58.
Salaries and Expenses
Appropriation, fiscal year 2001 to date............... $53,171,000
Budget estimate, fiscal year 2002..................... 54,165,000
Recommended in the bill............................... 54,651,000
Bill compared with:
Appropriation, fiscal year 2001................... +1,480,000
Budget Estimate, fiscal year 2002................. +486,000
MISSION
The Salaries and Expenses account of the White House Office
supports staff and administrative services necessary for the
direct support of the President. This account also includes
reimbursements to the White House Communications Agency.
RECOMMENDATION
The Committee recommends an appropriation of $54,651,000
for the White House Office, $1,480,000 above the amounts
appropriated in fiscal year 2001 and $486,000 above the amounts
requested by the President. The Committee includes an increase
of $486,000 to cover the estimated costs of non-pay inflation
during fiscal year 2002.
Executive Residence at the White House
OPERATING EXPENSES
Appropriation, fiscal year 2001 to date............... $10,876,000
Budget estimate, fiscal year 2002..................... 11,914,000
Recommended in the bill............................... 11,695,000
Bill compared with:
Appropriation, fiscal year 2001................... +819,000
Budget Estimate, fiscal year 2002................. -219,000
MISSION
These funds provide for the care, maintenance, and
operation of the Executive Residence.
RECOMMENDATION
The Committee recommends an appropriation of $11,695,000
for the operating expenses of the Executive Residence, an
increase of $819,000 from the amounts appropriated in fiscal
year 2001 and a decrease of $219,000 from the amounts requested
by the President. The Committee denies the President's
requested increase of $214,000 for supplies and materials and
notes that the Committee increased the base appropriation for
these requirements from $450,000 to $748,000 in fiscal year
2001. The Committee further denies the requested increase of
$5,000 for historic furnishing and notes that funding for this
activity was increased from $5,000 to $10,000 in fiscal year
2001. The Committee was informed that, as of May of this year,
only $114 had been obligated from the $10,000 appropriated; as
such, the Committee does not believe that an increase of 50% is
justified at this time.
White House Repair and Restoration
Appropriation, fiscal year 2001 to date............... $966,000
Budget estimate, fiscal year 2002..................... 8,625,000
Recommended in the bill............................... 8,625,000
Bill compared with:
Appropriation, fiscal year 2001................... +7,659,000
Budget Estimate, fiscal year 2002................. ................
MISSION
To provide for the repair, alteration, and improvement of
the Executive Residence at the White House, a separate account
was established in fiscal year 1996 to program and track
expenditures for capital improvement projects at the Executive
Residence at the White House.
RECOMMENDATION
The Committee recommends an appropriation of $8,625,000 for
White House Repair and Restoration, an increase of $7,659,000
from amounts appropriated in fiscal year 2001 and the same as
the amounts requested by the President.
Appropriations Justifications
The Committee is disappointed by the justification
materials as originally submitted by the National Park Service
for White House Repair and Restoration. The President has
requested funds for 8 separate construction activities within
this account, including the 2nd phase of repair for the
communication system serving the East Wing and the Executive
Residence. Some are multi-year efforts requiring significant
survey and design work prior to construction. The Committee
requested detailed information regarding the costs and
schedules of these projects and was disappointed by the
vagueness of responses originally provided by the National Park
Service. Although subsequent information provided to the
Committee served to justify the appropriations request, the
Committee remains concerned that the 8 separate projects, all
of which will be in various stages of completion throughout the
fiscal year, may be both difficult to manage as well as
disruptive to Executive Residence operations.
For each project in excess of $100,000, with the exception
of computer upgrades and software development, and prior to the
obligation of any of the funds appropriated, the Committee
directs the National Park Service to submit a prospectus that
includes, at minimum, a complete description of the project's
scope and design, major work items to be completed, estimated
total obligations by activity (construction cost, design and
review cost, management and inspection), estimated construction
schedules including start and completion dates for both design
and construction, and estimated construction cost by major work
item.
Special Assistance to the President and the Official Residence of the
Vice President
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $3,665,000
Budget estimate, fiscal year 2002..................... 3,896,000
Recommended in the bill............................... 3,925,000
Bill compared with:
Appropriation, fiscal year 2001................... +260,000
Budget Estimate, fiscal year 2002................. +29,000
MISSION
These funds support the official duties and functions of
the Office of the Vice President.
RECOMMENDATION
The Committee recommends an appropriation of $3,925,000 for
the Office of the Vice President, an increase of $260,000 from
amounts appropriated in fiscal year 2001 and an increase of
$29,000 from amounts requested by the President. The Committee
includes an increase of $29,000 to cover the cost of non-pay
inflation during fiscal year 2002. The Committee funds the
requested increase of $150,000 for 2 additional FTE within the
Office of the Vice President, bringing total FTE to 24.
OPERATING EXPENSES
Appropriation, fiscal year 2001 to date............... $353,000
Budget estimate, fiscal year 2002..................... 314,000
Recommended in the bill............................... 318,000
Bill compared with:
Appropriation, fiscal year 2001................... -35,000
Budget Estimate, fiscal year 2002................. +4,000
MISSION
These funds support the care and operation of the Vice
President's residence and specifically support equipment,
furnishings, dining facilities, and services required to
perform and discharge the Vice President's official duties,
functions and obligations.
RECOMMENDATION
The Committee recommends an appropriation of $318,000 for
the Operating Expenses of the Vice President's residence, a
decrease of $35,000 from amounts appropriated in fiscal year
2001 and an increase of $4,000 from amounts requested by the
President. The Committee includes an increase of $4,000 for
estimated costs of non-pay inflation during fiscal year 2002.
The Committee also includes two new general provisions
(Sections 633 and 634), as requested by the President,
regarding the care and operations of the Official Residence.
Council of Economic Advisers
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $4,101,000
Budget estimate, fiscal year 2002..................... 4,192,000
Recommended in the bill............................... 4,211,000
Bill compared with:
Appropriation, fiscal year 2001................... +110,000
Budget Estimate, fiscal year 2002................. +19,000
MISSION
The Council of Economic Advisers analyzes the national
economy and its various segments, advises the President on
economic developments, recommends policies for economic growth
and stability, appraises economic programs and policies of the
Federal Government, and assists in preparation of the annual
Economic Report of the President to Congress.
RECOMMENDATION
The Committee recommends an appropriation of $4,211,000 for
the Council of Economic Advisers, an increase of $110,000 from
amounts appropriated in fiscal year 2001 and an increase of
$19,000 from amounts requested by the President. The Committee
includes an increase of $19,000 for estimated costs of non-pay
inflation in fiscal year 2002.
Office of Policy Development
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $4,023,000
Budget estimate, fiscal year 2002..................... 4,119,000
Recommended in the bill............................... 4,142,000
Bill compared with:
Appropriation, fiscal year 2001................... +119,000
Budget Estimate, fiscal year 2002................. +23,000
MISSION
The Office of Policy Development supports the National
Economic Council and the Domestic Policy Council in carrying
out their responsibilities to advise and assist the President
in the formulation, coordination, and implementation of
economic and domestic policy. The Office of Policy Development
also provides support for other domestic policy development and
implementation activities, as directed by the President.
RECOMMENDATION
The Committee recommends an appropriation of $4,142,000 for
the Office of Policy Development, an increase of $119,000 from
amounts appropriated in fiscal year 2001 and an increase of
$23,000 from amounts requested by the President. As compared to
the President's request, the Committee includes an increase of
$23,000 for the estimated costs of non-pay inflation in fiscal
year 2002.
National Security Council
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $7,149,000
Budget estimate, fiscal year 2002..................... 7,447,000
Recommended in the bill............................... 7,494,000
Bill compared with:
Appropriation, fiscal year 2001................... +345,000
Budget Estimate, fiscal year 2002................. +47,000
MISSION
The National Security Council advises the President on the
integration of domestic, foreign, and military policies
relating to national security.
RECOMMENDATION
The Committee recommends an appropriation of $7,494,000 for
the National Security Council, an increase of $345,000 from
amounts appropriated in fiscal year 2001 and an increase of
$47,000 above the amounts requested by the President. The
Committee includes an increase of $47,000 for estimated costs
of non-pay inflation in fiscal year 2002.
Office of Administration
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $43,641,000
Budget estimate, fiscal year 2002..................... 46,032,000
Recommended in the bill............................... 46,955,000
Bill compared with:
Appropriation, fiscal year 2001................... +3,314,000
Budget Estimate, fiscal year 2002................. +923,000
MISSION
The Office of Administration is responsible for providing
cost-effective, administrative services to the Executive Office
of the President. These services, defined by Executive Order
12028 of 1977, include financial, personnel, library and
records services, information management systems support, and
general office services.
RECOMMENDATION
The Committee recommends an appropriation of $46,955,000
for the Office of Administration, an increase of $3,314,000
from amounts appropriated in fiscal year 2001 and an increase
of $923,000 from amounts requested by the President. Although
the Committee appreciates the President's efforts to control
costs within the Executive Office of the President (EOP), the
Committee is concerned that the proposed funding levels for the
Office of Administration (OA) may be inadequate to fully
support authorized activities and, specifically, the
requirements of the Chief Financial Officers Act. As such, in
comparison to amounts requested by the President, the Committee
includes $377,000 for estimated costs of non-pay inflation in
fiscal year 2002, $216,000 to annualize the costs of the office
of the Chief Financial Officer, and $330,000 to fully fund the
required formal audit of financial statements within the EOP.
Capital Investment Plan
For the past 5 years, the Committee has followed closely
the EOP's efforts to develop and implement a comprehensive
information technology modernization system. To date, the
Committee has appropriated $61,704,000 for these efforts,
including $29,791,000 for Y2K compliance and $13,200,000 for
on-going e-mail reconstruction efforts. The Committee is
extremely disappointed to learn that the Capital Investment
Plan (CIP) that was submitted to it was based on an incomplete
and inadequate enterprise architecture and is missing critical
elements such as a capital planning and investment control
process and a strategic plan. The Committee recognizes that
each new Administration inherits the work of its predecessor,
and believes that this vital information system should be
designed in a manner easily understood and used by subsequent
Administrations. The Committee is also concerned that the EOP
may not have the requisite in-house expertise to complete this
project successfully and highly recommends that OA consider
expanding the use of external expertise for all future work on
this project.
The Committee has fully funded the President's request for
information technology. Of the amounts provided, $7,300,000 is
made available on October 1, 2001, for the following purposes:
Core Infrastructure (Cabling, Network hardware/software, Data
Center, Internet/security, Travel support/equipment) and
Development and Modernization (Desktop Operating Software and
Calendaring/e-forms). The balance of $4,475,000 is withheld
pending the submission of a report that (1) includes an
Enterprise Architecture, as defined, in OMB Circular A-130 and
the Federal Chief Information Officers' guidance; (2) presents
an Information Technology (IT) Human Capital Plan, to include
an inventory of current IT workforce knowledge and skills, a
definition of needed IT knowledge and skills, a gap analysis of
any shortfalls, and a plan for addressing any shortfalls; (3)
presents a capital investment plan for implementing the
Enterprise Architecture; (4) includes a description of the IT
capital planning and investment control process; and (5) is
reviewed and approved by OMB, is reviewed by the General
Accounting Office, and is approved by the House Committee on
Appropriations.
Chief Financial Officer
The Committee is pleased with on-going progress to hire a
Chief Financial Officer (CFO) within the EOP and has provided
full funding for the CFO in fiscal year 2002, including
estimated costs for the auditable financial statements and
formal financial statements. The Committee directs the OA to
provide a report identifying the schedule for accomplishing the
preparation of auditable financial statements, by EOP agency,
as well as a schedule for preparation of the financial audit.
This report should identify estimated and actual obligations by
activity and delivered to the Committee no later than 30 days
after enactment of this Act.
Office of Management and Budget
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $68,635,000
Budget estimate, fiscal year 2002..................... 70,521,000
Recommended in the bill............................... 70,752,000
Bill compared with:
Appropriation, fiscal year 2001................... +2,117,000
Budget Estimate, fiscal year 2002................. +231,000
MISSION
The Office of Management and Budget assists the President
in the discharge of budgetary, economic, management, and other
executive responsibilities.
RECOMMENDATION
The Committee recommends an appropriation of $70,752,000
for the Office of Management and Budget, an increase of
$2,117,000 from amounts appropriated in fiscal year 2001 and an
increase of $231,000 from amounts requested by the President.
As compared to the President's request, the Committee includes
$233,000 for the estimated costs of non-pay inflation in fiscal
year 2002 and a reduction of $2,000 from amounts requested for
representation allowances. The Committee has fenced a portion
of the funds appropriated to the Office of Information and
Regulatory Affairs (OIRA) until such time as the Office of
Management and Budget addresses the Committee's concerns
regarding the implementation of Executive Order 13166,
Improving Access to Services for Persons with Limited English
Proficiency, as discussed below.
Representation Allowances
As requested by the President, the Committee has agreed to
establish a representation allowance for the Office of
Management and Budget (OMB); however, the Committee provides
$3,000 instead of the $5,000 requested. This amount is
consistent with amounts provided to the Congressional Budget
Office. The Committee directs OMB to submit, as part of its
fiscal year 2003 budget submission, an itemization of all
obligations made from this account, including a description of
the official purpose of each obligation.
Executive Office of the President Account Consolidation
The Administration has proposed to consolidate eighteen
separate appropriations accounts within the Executive Office of
the President (EOP) into a single annual appropriation in order
to provide the President with maximum flexibility in allocating
resources, simplify the current accounting structure and
streamline common administrative functions, such as
procurement. The Committee supports these objectives. However,
the Committee has a number of concerns that make it difficult
to support the proposed consolidation at this time.
In fiscal year 2000, the Committee established a Chief
Financial Officer (CFO) within the EOP to analyze the EOP's
accounting systems and reports, examine internal financial
management control procedures, review compliance with
applicable government-wide accounting standards, and identify
areas needing improvement. The Committee believes that the
CFO's review of EOP's financial management systems should be
considered as part of any proposal to consolidate
appropriations accounts; absent that review, the Committee
believes that the proposed consolidation is premature.
The Committee believes that current law provides the
necessary authority to achieve economies of scale for common
goods and services. In particular, the Administration has been
unable to illustrate why the authorities provided by 31 U.S.C.,
Section 1535, have not been used in the past and why they are
insufficient to meet current and future EOP objectives.
Further, the Committee notes that statutory transfer authority
would provide the desired flexibility in managing EOP staff and
resources and does not agree with the Administration that
transfer authority would create complications. In addition, the
Committee believes that future consolidation proposals should
include specific information detailing and quantifying the
economies of scale that would be achieved by merging
appropriations accounts.
The Committee is also concerned that the proposed account
consolidation would adversely affect oversight of specific
statutory responsibilities assigned to various EOP offices,
including the Council on Environmental Quality, the National
Security Council, the Office of Management and Budget, and the
Office of Science and Technology Policy. The Committee believes
that the current account structure ensures that adequate
resources are provided to each agency, that sufficient
resources are devoted to support the unique missions and
responsibilities of these distinct organizations, and that
Congressional oversight is maintained.
The Committee is encouraged by the EOP's intent to achieve
economies of scale and supports the President's desires to
achieve flexibility; the Committee looks forward to working
with the EOP to achieve these goals during the upcoming fiscal
year.
OMB's Management Responsibilities
The Committee is pleased by the boldness of the
Administration's opening section, ``Improving Government
Performance,'' in its fiscal year 2002 budget submission. The
ability to deliver improvements will greatly depend on the
efforts and guidance of OMB, with its broad superintending
authority over the multitude of agencies within the Executive
Branch. That hoped-for performance, however, is challenged both
by a slow start on this year's budget due to the transition,
and by the expectation that OMB will not launch many of its
reviews until the new fiscal year starts in October. As the
budget proposal stated, ``This task will not be easy and it
will take time''.
The Committee supports the goals stated in the
Administration's budget, which expressly calls for re-examining
the role of the Federal government with three objectives for
improving performance: becoming citizen centered, not
bureaucracy centered; results-oriented, not process-oriented;
and market-based, actively promoting innovation and
competition. The intended tasks for accomplishing this include
linking budget and management decisions to performance,
ensuring financial accountability, eliminating duplicative and
ineffective programs, using capital planning to improve
performance, and opening government activities to competition.
Many of these tasks are not new but rather expand upon existing
legislation intended to improve government performance,
including the Government Performance and Results Act and the
Clinger-Cohen Act. What is new is the President's proposal to
reexamine the role of the Federal government and to create an
aggressive management agenda. OMB, as staff to the President,
has played, and will continue to play, a key leadership role
both to develop and to implement this agenda.
In this regard, the Committee remains concerned by OMB's
lack of leadership in the management of federal agencies. Too
often its focus is on budgeting but not on managing. In
reviewing OMB's FY 2000 Annual Performance Report, the
Committee notes the absence of quantifiable measures of
performance associated with OMB's management responsibilities.
The Committee is also struck by certain inconsistencies. For
instance, although the Performance Report states that OMB
``worked with agencies . . . to manage . . . the health of the
Government's IT portfolio'' a recent report by the Senate
Committee on Governmental Affairs (Senate Report 106-64) found
that seventeen of twenty-four agencies and departments did not
have a complete and comprehensive IT capital planning and
investment control process. The Committee questions not only
the extent to which OMB has worked with agencies as it relates
to IT portfolios but also its success.
The Committee believes that OMB must take a more aggressive
leadership role in the coordination of agency efforts to
implement the Government Performance and Results Act, the Chief
Financial Officers Act and the Clinger-Cohen Act. The Committee
also remains extremely disappointed in OMB's implementation of
the Paperwork Reduction Act, the Congressional Review Act and
the review of agency regulatory proposals.
In fairness, it should be stressed that OMB has new
leadership and certainly has many highly capable individuals to
meet these challenges. The Committee is attempting to outline a
clear assessment of how difficult those challenges are as a
necessary part of working with OMB to surmount them.
The Committee believes that the Administration's management
agenda should be incorporated into OMB's annual performance
plan and should include specific and measurable goals. The
Committee notes that the General Accounting Office (GAO) has
identified 22 high risk areas within the federal government,
those programs, activities, and operations that are vulnerable
to fraud, waste, abuse and mismanagement. Given OMB's
superintending authority over Executive Branch agencies, the
Committee believes that OMB plays a critical role in addressing
these and other vulnerabilities within federal agencies. The
Committee will look to OMB's Fiscal Year 2001 Annual
Performance Report to determine the extent to which OMB has
included quantifiable goals that measure its success at
implementing the President's management agenda.
Limited English Proficiency
The Committee is concerned that OMB has made no appreciable
effort to review both the regulatory burden and the budgetary
impact of agency implementation of Executive Order 13166,
Improving Access to Services for Persons with Limited English
Proficiency (LEP). The Committee understands that agencies are
required to develop policy guidance to implement this Executive
Order and that this guidance is to be submitted to the
Department of Justice. OMB has informed the Committee that,
because this Executive Order is being implemented through
policy guidance and not regulation, OMB has had a limited role
in review of EO 13166 and its implementation.
The Committee believes that the difference between ``policy
guidance'' and ``regulation'' is more than a technical
distinction, and further understands OMB's responsibilities in
regard to reviewing ``significant regulatory action''. The
Committee believes that, for the practical purpose of
implementing EO 13166, there is virtually no distinction
between ``policy guidance'' and ``regulatory action''. In fact,
the cumulative effect of agency policy guidance regarding EO
13166 clearly meets the definition of ``significant regulatory
action'' and should be considered as such for the purpose of
OMB's responsibilities.
The Committee further believes that, even if the EO impact
only generated internal costs, it would create new federal
expenditures that have not been expressly authorized or
approved by Congress. However, the EO requirements extend far
beyond placing internal burdens upon federal agencies and
workers. The Committee is concerned that OMB has not assessed
the budgetary impact of this Executive Order on entitlements,
grants, loan programs and contracts. Additionally, the
Committee is concerned that there has been no assessment of the
burden EO 13166 will create for state and local governments,
private businesses and non-profit organizations.
The Committee understands that OMB is in the process of
considering how to assess the costs that may be imposed on
recipients of federal financial assistance as a result of EO
13166 and is concerned that these cost burdens may be imposed
on agencies and the private sector before OMB has thoroughly
evaluated them. The Committee has fenced a portion of the funds
available to the Office of Information and Regulatory Affairs
pending a submission by OMB of the total costs of implementing
EO 13166. The Committee directs that this report include the
cost to each of the following: federal, state and local
governments as well as those imposed on recipients of federal
financial assistance and upon the overall private sector.
Making Federal Information User Friendly
The rapidly-expanding information made publicly available
by Federal agencies via the Internet is a positive development
in improving public disclosure, understanding and
accountability. The efforts of many Federal agencies in this
are worthy of praise. However, it often remains difficult for
the public to comprehend fully, in part because the great
volume of material must often be re-organized in different ways
to be useful to different persons. Information from different
Federal sources--and in particular information involving
spending--can be compared and correlated only if it can be
properly matched. Matching is often difficult because different
names or labels may be used to mean the same thing, and
similar-appearing names or labels may be used to mean different
things. Internally, Federal agencies apply identifying codes to
resolve this and to distinguish among entities, accounts, etc.
(For example: agency codes, function codes, program codes,
report numbers, contract and grant numbers, identifying numbers
of vendors, contractors, grantees, sub-vendors, subcontractors,
sub-grantees, etc.) By March 1, 2002, the Office of Management
and Budget is directed to establish and publish guidelines to
require all Federal agencies to include the existing non-
confidential federal identifying codes as part of information
on their websites and their public documents in a manner that
permits ease-of-use for persons wishing to compare and
correlate Federal data.
LOAN SUBSIDY RATES
The Committee is concerned that the subsidy models for the
Section 7(a) General Business Loan and the Section 504
Certified Development Company Loan programs operated by the
Small Business Administration (SBA) have repeatedly resulted in
over-estimated losses in those programs. Since implementation
of the Credit Reform Act, there have been nine years of subsidy
rate re-estimates that compare projections against actual
experience. According to the Congressional Budget Office, the
budget re-estimates for the 7(a) loan program alone have
totaled $1.258 billion in downward re-estimates representing
excess funds returned to Treasury. Inaccurate subsidy models
result in both excessive fees and unnecessary appropriations.
The Committee has included bill language directing OMB to
work with the SBA to develop subsidy estimates that track the
actual default experience in those programs since the
implementation of the Credit Reform Act of 1992. The Committee
further requires that these subsidy estimates be included in
the President's fiscal year 2003 budget submission and to
report on the progress of developing these efforts to the House
Committee on Appropriations and the House Committee on Small
Business.
Apportionment for International Food Assistance Programs
The Committee remains concerned that the Office of
Management and Budget is inappropriately involved in the
detailed review of applications filed with the Department of
Agriculture for international food assistance, particularly as
a member of the Food Assistance Policy Council. While OMB does
have a responsibility to be certain that funds are expended for
the purposes for which they are appropriated, OMB's role is not
to interfere with the policy determinations made by USDA,
including the policy decision to allow for the monetization of
commodities. The allocation and review process that has been in
place has resulted in delays in the provision of food
assistance that has hampered efforts to provide food assistance
around the world in a timely fashion. It has also hindered
USDA's ability to acquire commodities in a fashion designed to
have a positive effect on the prices received by producers. The
Committee directs OMB to apportion not less than 75% of funds
for all of the food assistance programs operated by USDA no
later than December 31, 2001, and to restrict its involvement
with the Food Assistance Policy Council to administrative
monitoring.
Office of National Drug Control Policy
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $24,704,530
Budget estimate, fiscal year 2002..................... 25,100,000
Recommended in the bill............................... 25,267,000
Bill compared with:
Appropriation, fiscal year 2001................... +562,470
Budget Estimate, fiscal year 2002................. +167,000
MISSION
The Office of National Drug Control Policy, established by
the Anti-Drug Abuse Act of 1988, is charged with developing
policies, objectives and priorities for the National Drug
Control Program as defined by the Act and Executive Order
12880, and by the Office of National Drug Control Policy
Reauthorization Act of 1998.
RECOMMENDATION
The Committee recommends an appropriation of $25,267,000
for the Office of National Drug Control Policy, an increase of
$562,470 above the fiscal year 2001 enacted level and an
increase of $167,000 above the President's request. The
increase above the President's request is for non-pay
inflation.
STRATEGIC INFORMATION AND POLICY GUIDANCE
The Committee strongly supports continued efforts to
develop information on the flows of various drugs, the
population and treatment of chronic users, and the development
of both strategic and detailed information about the structure
and scale of the underground economy and social structures that
make illicit drug use and trafficking possible. ONDCP is
encouraged to keep the Committee fully informed about progress
in mapping such flows of drugs and in the development of
systems such as the National Treatment Outcome Monitoring
System (NTOMS).
COUNTERDRUG ENFORCEMENT IN U.S. NATIONAL FORESTS
Last year, the Committee directed ONDCP, in consultation
with the U.S. Forest Service, the Bureau of Land Management,
and other relevant agencies, to review the problems of
marijuana cultivation and controlled-substance production in
our national forests and to submit a plan to address them,
including legislative and funding recommendations, by February
1, 2001. The Committee continues to await this report and is
very disappointed that it has not yet been provided. If the
report is not submitted prior to enactment of this Act, the
Committee expects ONDCP to submit a written explanation
regarding the status of the report within 30 days of enactment.
The Committee directs ONDCP to submit the completed report
within 90 days of enactment of this legislation.
Counterdrug Technology Assessment Center
Appropriation, fiscal year 2001 to date............... $35,973,683
Budget estimate, fiscal year 2002..................... 40,000,000
Recommended in the bill............................... 40,000,000
Bill compared with:
Appropriation, fiscal year 2001................... +4,026,317
Budget Estimate, fiscal year 2002................. ................
MISSION
Pursuant to 21 U.S.C. 1707, the Counterdrug Technology
Assessment Center serves as the central counterdrug research
and development organization for the United States Government.
RECOMMENDATION
The Committee recommends an appropriation of $40,000,000
for the Counterdrug Technology Assessment Center, an increase
of $4,026,317 above the fiscal year 2001 enacted level and the
same as the President's request. The Committee directs that
this appropriation reflect a funding level of $22,236,000 for
the technology transfer program, $236,000 above the President's
request, and $17,764,000 for basic R&D, which is the fiscal
year 2001 funding level.
CTAC TECHNOLOGY TRANSFER PROGRAM
The CTAC technology transfer program has been enormously
successful, demonstrating the impact that can be achieved with
a relatively small level of funding by transferring mature,
tested technology that has practical and immediate usefulness
to local and State law enforcement agencies that would
otherwise not have access to such tools. The Committee
therefore includes $22,236,000, a $4,026,150 increase over the
level funded in fiscal year 2001. As of the end of fiscal year
2000, there had been 1,808 deliveries of targeted, relatively
low-cost technology to 1,325 State and local law enforcement
agencies nationwide. In fiscal year 2001, there are 1,234
outstanding requests for law enforcement technology transfers
to date, and the expectation that over 800 of these can be met
this year. The Committee believes that this additional funding
will help increase the capability of CTAC to meet this need for
technology to help leverage the ability of chronically short-
staffed law enforcement agencies to take on major drug crime at
the local level.
Federal Drug Control Programs
HIGH INTENSITY DRUG TRAFFICKING AREAS PROGRAM
Appropriation, fiscal year 2001 to date............... $206,045,700
Budget estimate, fiscal year 2002..................... 206,350,000
Recommended in the bill............................... 231,500,000
Bill compared with:
Appropriation, fiscal year 2001................... +25,454,300
Budget Estimate, fiscal year 2002................. +25,150,000
MISSION
The High Intensity Drug Trafficking Areas (HIDTA) Program
was established by the Director, ONDCP pursuant to Section 1005
of the Anti-Drug Abuse Act of 1988, and now as reauthorized by
21 U.S.C. 1706 to provide assistance to Federal and State and
local law enforcement entities operating in those areas most
adversely affected by drug trafficking.
RECOMMENDATION
The Committee recommends an appropriation of $231,500,000
for the High Intensity Drug Trafficking Areas Program, an
increase of $25,454,300 above the fiscal year 2001 enacted
level and an increase of $25,150,000 above the President's
request. The increase above the President's request is to meet
requirements to fully fund existing HIDTA program activity, to
expand existing HIDTAs where such expansion is justified, and
to fund new HIDTAs as appropriate. The Committee provides that
HIDTAs existing in FY 2001 shall receive funding equal to the
FY 2001 level. However, the Committee has continued language
that permits ONDCP to adjust such spending levels if
performance indicates that an increase or decrease in funding
is warranted.
The Committee supports a vigorous HIDTA program and is
aware of areas facing increased drug trafficking that may be
appropriate candidates for designation as a HIDTA, inclusion in
an existing HIDTA, or increased funding. As ONDCP reviews
candidates for new HIDTA funding, the Committee recommends that
it consider the following: expansion of the North Texas HIDTA
to include Oklahoma counties, and of the Northwest HIDTA to
include the counties of Southwest and Eastern Washington;
increased funding for the Southeast Michigan HIDTA; designation
of an Arkansas HIDTA; designation of a North Carolina HIDTA;
increased funding for Arizona in the Southwest border HIDTA;
and an increase in funding for the Central Florida, West Texas,
Appalachian, Lake County, Indiana, and Gulf Coast HIDTAs. The
Committee recognizes the strong pressure to add new HIDTAs and
expand those currently existing, and underscores the need for
performance based management ensuring that HIDTAs that
demonstrate performance and need are provided adequate
resources.
CENTRAL FLORIDA HIDTA
The Central Florida HIDTA was established in 1998 to meet
the rising threat of drug trafficking coming from the Caribbean
and South America. As the level of drugs transiting through
this area have grown in recent years, HIDTA funding has
remained at the basic level, with only a $22,000 increase in
fiscal year 2001 to provide intelligence-sharing
infrastructure. The region would especially benefit from joint
program operations and support available from the HIDTA, such
as for additional overtime costs of task forces, network
communications, and translation services. The Committee
therefore directs ONDCP to examine these requirements,
including providing additional funds of $2,500,000 to support
these needs, and to report back to the Committee within 90 days
of enactment of this Act on implementation of this directive.
HIDTA Performance Management
Performance measures for HIDTAs have been, and continue to
be, an area of focus for the Committee. As previously noted,
the ability to match funding needs against budgets depends on
reliable and consistent methodology for performance measurement
and management. ONDCP has indicated that fifty-six
developmental standards are currently being used by HIDTA
executive boards to guide their decisions and improve the
effectiveness of law enforcement efforts. The Committee
strongly encourages continued efforts on the part of ONDCP to
develop and refine standards that provide reliable measures
which can be easily reported, and will serve as a basis for
sound budget decisions. The goal should be to have the ability
to assess overall program performance and to set priorities for
resource allocation within and between HIDTAs.
HIDTA Response to Methamphetamine Production
The Committee remains extremely concerned about the
manufacture and distribution of methamphetamines. ONDCP reports
that methamphetamines are the most prevalent synthetic drug
clandestinely manufactured in the United States. It is highly
addictive and can be manufactured using products commercially
available. Because of this ease of manufacture, small towns and
rural areas are popular targets of manufacturing and
distribution. The Committee endorses efforts to focus on those
areas most significantly affected by methamphetamine
manufacture and distribution and strongly encourages ONDCP, as
it makes its decisions to designate new HIDTAs or fund existing
ones, to target methamphetamines. The Committee believes that
this would be a productive use of funding and an extremely
beneficial tool in the implementation of the national drug
control strategy.
Special Forfeiture Fund
Appropriation, fiscal year 2001 to date............... $233,086,080
Budget estimate, fiscal year 2002..................... 247,600,000
Recommended in the bill............................... 238,600,000
Bill compared with:
Appropriation, fiscal year 2001................... +5,513,920
Budget Estimate, fiscal year 2002................. -9,000,000
MISSION
The Special Forfeiture Fund was established by the Anti-
Drug Abuse Act of 1988, as amended, to be administered by the
Director of the Office of National Drug Control Policy. While
the fund was originally authorized to receive deposits from the
Department of Justice Assets Forfeiture Fund and the Treasury
Forfeiture Fund, its current source of funding is direct
appropriations.
RECOMMENDATION
The Committee recommends an appropriation of $238,600,000
for the Special Forfeiture Fund, an increase of $5,513,920
above the fiscal year 2001 enacted level and a decrease of
$9,000,000 below the President's request. The recommendation
includes no funding for the proposed Parents for a Drug-Free
Future initiative, and $180,000,000 for the National Youth
Anti-Drug Media Campaign, $5,000,000 below the President's
request. The Committee also includes $50,600,000 for
implementation of the Drug Free Communities Act, $3,000,000 for
the Counterdrug Intelligence Executive Secretariat, and
$1,000,000 for the National Drug Court Institute. The Committee
also recommends $4,000,000 for the US Anti-Doping Agency, an
increase of $1,000,000 above the President's request.
National Youth Anti-Drug Media Campaign
The Committee provides $180,000,000 for the National Youth
Anti-Drug Media Campaign (NYAMC), pursuant to 21 U.S.C. 1801-
1804. This is $5,000,000 below the level in fiscal years 1999-
2001. The impact of this program has not been clearly
determined and is difficult to measure. The Committee is
watching closely the reports on the impact of the campaign,
both from long-term analyses such as that being conducted under
the auspices of the National Institute of Drug Abuse (NIDA) as
well as more anecdotal reports from community drug coalitions.
Campaign ads have received notice in the general media, and the
Committee is aware of local efforts to leverage their impact,
thereby helping increase awareness of and sensitivity to drug
use. In addition, the Committee is aware of some promising
trends in indicators of youth attitudes and behavior (although
some, such as increasing prevalence of such club drugs as
ecstasy, are discouraging). However, the statistical
significance of such awareness and the campaign's impact on
behavior on a national or even local level has yet to be
adequately validated. The Committee will continue to scrutinize
such information with the expectation that statistically
significant results, demonstrating how effective the campaign
has been, will be available within the foreseeable future.
The Committee is aware that ONDCP developed a corporate
sponsorship strategy for the campaign last year, and would like
to know more about the feasibility and success of efforts to
enlist direct, private support and contributions to the
campaign. The Committee therefore directs ONDCP to report not
later than 90 days after enactment on the performance of its
sponsorship strategy, as well as corporate cooperation,
including an assessment of the potential contribution such a
strategy has or could make to increase the resources for the
campaign and leverage its impact. In the absence of clear
measurements of performance, the ability of this program to
attract private support may prove a key indicator of its value.
Contract Performance and Management for the Youth Media Campaign
The Committee has received the General Accounting Office
(GAO) review of the advertising contract for phase III of the
National Youth Anti-Drug Media Campaign (NYAMC) and is
disappointed to learn of weaknesses in contract performance and
management. GAO concluded that there was a failure on the part
of both the contractor and the government to ensure that a
proper billing and accounting system was in place and adhered
to, as well as poor contract management of key elements of the
award and administration of the advertising contract. The
Committee is aware that responsibility for contract management
has been transferred from HHS to the Navy, which is conducting
its own audit of contracts, and that the contractor has agreed
to restructure its accounting system to comply with government
cost accounting standards. However, to ensure that there be no
repetition of such mistakes, the Committee fully supports the
recommendations made by GAO. The Committee therefore directs
ONDCP to work with its Contracting Officer's Technical
Representative (COTR), the Navy, to: (1) review the
contractor's invoices and determine how much the government
overpaid or should reimburse the contractor; (2) ensure that
the contractor has a cost accounting system needed for full
contract performance; and (3) coordinate the roles of ONDCP's
contracting officer and the COTR and ensure that such roles are
effectively carried out. The Committee also directs that the
Navy not exercise the next option year of the contract with the
current contractor until that contractor has restructured its
accounting system to meet government requirements, and ONDCP
has assessed both the contractor's administrative as well as
technical performance. The Committee recognizes that this is an
evolving situation, given that the GAO report was only recently
published, and because ONDCP is still awaiting new policy
leadership.
Counterdrug Intelligence Programs
The Committee strongly supports intensifying efforts to
develop useful strategic and tactical intelligence to attack
drug trafficking and organizations, and to leverage the
resources available to law enforcement and other agencies
charged with stopping drug trafficking. The Committee therefore
continues its funding of the Counterdrug Intelligence Executive
Secretariat (CDX) in its support of the interagency Counterdrug
Intelligence Coordinating Group. The Committee directs ONDCP to
report within 90 days of enactment on the status of
implementation of the General Counterdrug Intelligence Plan.
Funds Appropriated to the President
UNANTICIPATED NEEDS
Appropriation, fiscal year 2001 to date............... $3,492,000
Budget estimate, fiscal year 2002..................... 1,000,000
Recommended in the bill............................... 1,000,000
Bill compared with:
Appropriation, fiscal year 2001................... -2,492,000
Budget Estimate, fiscal year 2002................. ................
MISSION
These funds enable the President to meet unanticipated
exigencies in support of the national interest, security or
defense.
RECOMMENDATION
The Committee recommends an appropriation of $1,000,000, a
decrease of $2,492,000 from amounts appropriated in fiscal year
2001 and the same as the amount requested by the President.
TITLE IV--INDEPENDENT AGENCIES
Committee for Purchase From People Who Are Blind or Severely Disabled
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $4,149,000
Budget estimate, fiscal year 2002..................... 4,498,000
Recommended in the bill............................... 4,609,000
Bill compared with:
Appropriation, fiscal year 2001................... +460,000
Budget Estimate, fiscal year 2002................. +111,000
MISSION
The Committee for Purchase From People Who Are Blind or
Severely Disabled was established by the Wagner-O'Day Act of
1938, as amended. Its primary objective is to increase the
employment opportunities for people who are blind or have other
severe disabilities and, whenever possible, to prepare them to
engage in competitive employment.
RECOMMENDATION
The Committee recommends an appropriation of $4,609,000 for
the Committee for Purchase From People Who Are Blind or
Severely Disabled, an increase of $460,000 from amounts
appropriated in fiscal year 2001 and an increase of $111,000
from amounts requested by the President. The Committee's
recommendation includes an increase of $111,000 for the
estimated costs of non-pay inflation.
Federal Election Commission
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $40,410,900
Budget estimate, fiscal year 2002..................... 41,410,900
Recommended in the bill............................... 43,223,000
Bill compared with:
Appropriation, fiscal year 2001................... +2,812,100
Budget Estimate, fiscal year 2002................. +1,812,100
MISSION
The Commission administers the disclosure of campaign
finance information, enforces limitations on contributions and
expenditures, supervises the public funding of Presidential
elections, and performs other tasks related to Federal
elections.
RECOMMENDATION
The Committee recommends an appropriation of $43,223,000
for the Federal Election Commission (FEC), an increase of
$2,812,100 from amounts appropriated in fiscal year 2001 and an
increase of $1,812,100 from amounts requested by the President.
The Committee is disappointed to learn that, in preparation of
the fiscal year 2002 budget submission, the Office of
Management and Budget (OMB) did not base the President's
recommended fiscal year 2002 budget for the FEC on a
comprehensive review of FEC's resource requirements but rather
recommended an unspecified increase of $1,000,000. The
Committee will continue to monitor OMB's process for managing
the preparation of the President's budget and, in particular,
it's examination of agency programs and resource requirements.
The Committee's recommendation includes an increase of
$1,679,000 for personnel compensation and benefits, $708,100
for the estimated costs of non-pay inflation, and $425,000 and
5 FTE for the Data Systems Division to complete and support
current and future information technology initiatives. The
Committee has included a new general provision (Section 641)
extending authority for FEC to assess administrative fines for
straightforward violations of reporting deadlines; FEC's
authority is extended from December 31, 2001, to December 31,
2003.
Election Administration Reform
The Committee notes that, as a concurrent submission
agency, the FEC has submitted a fiscal year 2002 request of
$47,671,000, including an increase of $2,542,600 for the Office
of Election Administration to update and enhance Voting Systems
Standards. The Committee supports efforts to achieve election
administration reform and is aware of several legislative
initiatives currently being considered by the House Committee
on Administration. The Committee will consider appropriations
for election administration reform when such reform measures
become authorized.
FEC Resource Requirements
The Committee continues to have overall concerns regarding
FEC's resource requirements. The request submitted by the
Commission for fiscal year 2002 recommended an increase of 18
percent from fiscal year 2001 appropriated levels, well above
the President's overall increase of 4 percent for domestic
discretionary programs. The Committee appreciates that a
portion of the Commission's request was targeted to election
administration reform; nonetheless, absent this initiative, the
FEC was requesting an increase of nearly 11 percent. The
Committee notes that, over the past 10 years, the FEC has
received an increase of more than 136 percent in appropriations
and continues to question FEC's ability to efficiently manage
its resources.
The Committee is aware that much of FEC's workload is
uncontrollable and independent of any actions FEC might take.
For instance, total disbursements in federal elections were
$3.5 billion in the 2000 election cycle which, according to FEC
budget justification materials, has translated into an increase
of 27 percent in documents filed since 1984 and an increase of
400 percent in the number of transactions entered into the
database. The Committee understands that certain factors are
beyond FEC's control. On the other hand, much of FEC's work is
controllable, such as the manner in which FEC processes
filings, its methods and processes in meeting disclosure
deadlines, and its compliance and enforcement activities. The
Committee notes that it has supported FEC's efforts to use more
information technology, providing approximately $26 million for
these IT efforts over the past 7 years. The Committee is not
convinced that the FEC has maximized the use of these IT
resources, or the use of available technology.
The Committee is particularly aware that, over the past ten
years, the Office of General Counsel has received more than a
165 percent increase in appropriations, largely based on data
showing the growth in both internal and external enforcement
cases and the complexity of those cases. Because of the
confidential nature of the work conducted by the Office of
General Counsel (OGC), it has been difficult for the Committee
to conduct a comprehensive and thorough analysis of its
resource requirements. The Committee is nonetheless concerned
by certain enforcement statistics and measures of lagging
performance, including the total number of pending cases, the
number of inactive cases, and the number of cases closed
because they have become ``stale''. Although the FEC maintains
that lagging indicators reflect a lack of enforcement
resources, the Committee has been unable to verify this
assertion given FEC's stated need to maintain confidentiality
of certain information, particularly involving the FEC's
Enforcement Priority System (EPS). The Committee supports the
need for confidentiality of EPS, but without greater specifics
on how FEC allocates its enforcement resources and manages its
investigations, it is difficult for the Committee to support
significant increases in FEC's appropriation.
The Committee is pleased with the progress FEC has made in
regard to the recommendations put forth by the Price Waterhouse
Coopers management and technological review. The Committee also
believes there continue to be significant opportunities for
improvement. The Committee looks forward to working with the
FEC to implement these opportunities and directs the FEC to
work with the Committee to design an analytical flow of
information that will help the Committee to determine more
precisely the appropriate levels of resources needed for proper
FEC operations.
Federal Labor Relations Authority
Salaries and Expenses
Appropriation, fiscal year 2001 to date............... $25,002,872
Budget estimate, fiscal year 2002..................... 26,378,000
Recommended in the bill............................... 26,378,000
Bill compared with:
Appropriation, fiscal year 2001................... +1,375,128
Budget Estimate, fiscal year 2002................. ................
MISSION
The Federal Labor Relations Authority (FLRA), established
by the Civil Service Reform Act of 1978, serves as a neutral
party in the settlement of disputes that arise between unions,
employees, and agencies on matters outlined in the Federal
Service Labor Management Relations statute, decides major
policy issues, prescribes regulations, and disseminates
information appropriate to the needs of agencies, labor
organizations, and the public. Establishment of the FLRA gives
full recognition to the role of the Federal Government as an
employer. Pursuant to the Foreign Service Act of 1980, FLRA
also supports the Foreign Service Impasse Disputes Panel and
the Foreign Service Labor Relations Board.
RECOMMENDATION
The Committee recommends an appropriation of $26,378,000
for the Federal Labor Relations Authority (FLRA), an increase
of $1,375,128 above the amount appropriated in fiscal year 2001
and the same as requested by the President.
General Services Administration
Federal Buildings Fund
Appropriation:
Appropriation, fiscal year 2001 to date............. $476,523,000
Budget estimate, fiscal year 2002................... 276,400,000
Recommended in the bill............................. 276,400,000
Bill compared with:
Appropriation, fiscal year 2001..................... -200,123,000
Budget Estimate, fiscal year 2002...................................
Limitations on Availability of Revenue (not an
appropriation):
Limitation on availability, fiscal year 2001 enacted
to date........................................... 5,983,878,000
Limitation on availability, budget estimate, fiscal
year 2002......................................... 6,179,891,000
Recommended in the bill............................. 6,133,838,000
Bill compared with:
Availability limitation, fiscal year 2001 enacted to
date.............................................. +149,960,000
Availability limitation, fiscal year 2002 estimate.. -46,053,000
MISSION
The Federal Buildings Fund (FBF) finances the activities of
the Public Buildings Service, which provides space and services
for Federal agencies in a relationship similar to that of
landlord and tenant. The FBF, established in 1975, replaces
direct appropriations by using income derived from rent
assessments, which approximate commercial rates for comparable
space and services. The Appropriations Committee makes funds
available through a process of placing limitations on
obligations from the FBF as a way of allocating funds for
various FBF activities. The Committee may also appropriate
funds into the FBF as a way of covering the difference between
the total revenues coming into the FBF and the total limitation
on the expenditure from the FBF.
RECOMMENDATION
The Committee recommends no additional direct appropriation
into the Federal Buildings Fund, a decrease of $200,123,000
below the fiscal year 2001 enacted level and the same as the
President's request. The $276,400,000 listed in the table above
references the amount included in fiscal year 2001 and made
available on October 1, 2001, for four courthouse projects.
Construction and Acquisition
Limitations on Availability of Revenue (not an
appropriation):
Limitation on availability, fiscal year 2001 $477,676,000
enacted to date......................................
Limitation on availability, budget estimate, 386,289,000
fiscal year 2002.....................................
Recommended in the bill........................... 328,816,000
Bill compared with:
Availability limitation, fiscal year 2001 enacted -148,860,000
to date..............................................
Availability limitation, fiscal year 2002 estimate -57,473,000
RECOMMENDATION
The Committee recommends a limitation of $328,816,000 for
construction and acquisition, a decrease of $148,860,000 below
the fiscal year 2001 enacted level and a decrease of
$57,473,000 below the President's request. Changes to the
President's request include decreases of $500,000 for
nonprospectus construction and $84,406,000 and increases of
$4,933,000 for the Rockford, IL, courthouse project, $4,000,000
for the Orlando, FL, courthouse project, $15,000,000 for the
Miami, Florida, courthouse project, $500,000 for the Champlain,
NY, border station, and $3,000,000 for the Prince Georges
County, MD, National Center for Environmental Prediction
project. All construction projects funded in this bill are
subject to authorization by the Committee on Transportation and
Infrastructure.
Orlando, Florida, Courthouse
The Committee recommends an appropriation of $4,000,000 to
complete the design of the Orlando, Florida, courthouse. The
Committee directs the General Services Administration (GSA) to
use this funding to redesign the courthouse so that it meets
the functional and security needs stipulated by the courts. The
Committee has serious concerns about the security of the
current design. To alleviate these concerns, the courthouse
should be located further away from Highway I-4 than
contemplated in the current design. It also believes that a
glass facade at this location provides an inviting target.
Therefore, materials should be incorporated into the building
which reduce the appearance of vulnerability. The courthouse
should be oriented to provide security and to complement the
historic community and the future Florida A&M College of Law.
Space not specifically dedicated to judicial functions should
be minimized and designed to facilitate efficient movement of
those using the building. The Committee expects the GSA to
reach an agreement expeditiously with the courts on the final
design of this project and directs that none of the funds be
obligated until approved by the Committee.
National Center for Environmental Prediction
The Committee includes $3,000,000, subject to authorization
by the Committee on Transportation and Infrastructure, to begin
the site design and acquisition or lease acquisition of a
replacement facility for the National Center for Environmental
Prediction currently located in Camp Springs, MD. The General
Services Administration is directed to follow the findings and
conclusions in its site selection analysis to identify a
location for this facility.
Courthouse Construction Costs
The Committee remains unconvinced that the General Services
Administration has taken all necessary and prudent steps to
reduce its courthouse construction costs. For ten courthouse
construction projects that are completed, or nearly completed,
GSA has provided data to the Committee indicating an average
courthouse construction cost of $175 per square foot.
Information gleaned from the GSA budget justification for
fiscal year 2002 indicates that the average per-square-foot
construction costs for currently active courthouse projects may
be significantly higher (as much as $250 per square foot). Such
a potential large increase appears to be out of step with
inflation and has not been adequately justified. The Committee
is committed to gaining a better understanding of courthouse
construction costs and the potential for increases in
courthouse construction costs as well as to helping lower these
costs.
The Committee strongly supports the benchmarking of
construction costs but is concerned that the ``space-type''
methodology being followed by GSA does not lend itself to
external benchmarking. While adequate and meaningful cost
comparisons among federal courthouse construction projects are
important, the ability to compare federal costs to non-federal
costs is equally critical. The Committee looks forward to being
provided with a copy of the Smith Group/Hanscomb analysis that
is currently underway for verifying the construction costs for
five different types of courthouse spaces and for identifying
the breakout between the construction costs for the core and
shell elements and for the tenant improvement elements of the
space types. Nevertheless, this analysis will not allow an easy
or meaningful comparisons among federal and state courthouse
construction projects.
Therefore, the Committee directs the GSA to conduct a
comparative analysis of its courthouse construction costs with
an appropriate representative sampling of state courthouse
construction costs and to provide this analysis to the
Committee 120 days after enactment of this Act. This analysis
should contain externally derived cost estimates from the
private sector. Accompanying this analysis is to be a
quantification and discussion, if applicable, of specific
reasons why federal courthouse construction costs exceed state
courthouse construction costs.
MIAMI, FLORIDA, COURTHOUSE
The Committee directs the General Services Administration
to make every effort to include minority contractors, vendors,
and employees in every phase of the design, construction, and
operation of the new courthouse to be constructed in Miami,
Florida. The Committee further directs the General Services
Administration to provide a report by February 1, 2002, on its
plans for achieving this essential objective and its progress
to date.
SOLOMON BUILDING, CHATTANOOGA, TENNESSEE
The Committee is aware that a recent feasibility study of
the space requirements associated with the Solomon Federal
Building recommends that GSA acquire the old post office
building, renovate the Solomon Federal Building, and develop an
adjoining addition to the Solomon Building to provide parking
and expansion. Given the time-sensitive nature of the optimal
site acquisition, the Committee strongly encourages GSA move
forward quickly with plans to acquire land adjacent to the
Solomon Building. The Committee also fully supports actions to
acquire the old post office building from the Tennessee Valley
Authority as part of its debt servicing arrangements. The
Committee is concerned to learn that the construction aspect of
the project may be delayed and urges GSA to work with the
courts to reestablish as early a construction start as is
practicable.
HAMMOND, INDIANA, FEDERAL BUILDING
The Committee is very concerned about the added costs and
extensive delays that have plagued the construction of a new
federal building in Hammond, Indiana. The needs for federal
facilities in northwestern Indiana are not being met because
the new federal building being constructed by GSA in Hammond,
originally scheduled for completion in November 1999, remains
unfinished and unoccupied. The Committee directs GSA to apply
all necessary resources and priority to immediately resolve all
outstanding issues and to complete the project by no later than
September 8, 2001; with occupancy immediately thereafter. The
Committee is extremely concerned with reports that extensive
project delays have been caused not only by major issues but
also by flaws in expensive finishing materials. The Committee
directs GSA to provide a report to the House Committee on
Appropriations within 90 days of the enactment of this Act on
all steps it is taking to ensure that this and other federal
building construction projects remain on schedule, and
especially to ensure that aesthetic factors do not impede
progress or completion.
TOLEDO, OHIO, COURTHOUSE
The Committee is aware of a recent land exchange between
the City of Toledo and GSA that provided GSA with a site
eminently suitable for constructing a new federal plaza to
include a new federal building and courthouse. GSA is also in
the process of completing an 11(b) Report of Building Project
Survey to identify and characterize the needs for federal
construction in the Toledo area. The Committee urges GSA to
move forward on this construction project with all due speed
and to take factors such as site availability and multi-purpose
space requirements into serious consideration in formulating
its construction priorities for this and coming years.
CHAMPLAIN, NEW YORK, BORDER CROSSING
The Committee is aware of the difficult and dangerous
situation that exists at the Champlain, New York, border
crossing. Growth in commercial traffic and changes in
inspection procedures have contributed to severe backups, a
growing number of accidents, significant increases in air
pollution, and a concern that the increasing delays associated
with the Champlain crossing are having a detrimental impact on
the all-important U.S.-Canadian trade relationship along that
portion of the border. The Committee recommends an
appropriation of $500,000, subject to authorization, to assist
GSA in meeting the site and design needs of the project to
vastly improve the Champlain border station and crossing. The
Committee is aware that $2,800,000 was appropriated for fiscal
year 2001 through Public Law 106-346 and that negotiations are
underway to allow the transfer of these funds from the State of
New York to GSA for a portion of the site and design work. In
addition, the State of New York has indicated that it will
provide an additional $500,000. The Committee expects that
these funds, together with the $500,000 appropriated in this
bill, will be sufficient to complete the site and design work
for the project, providing a total of $3,300,000 in Federal
funds and $500,000 in State funds. The Committee further urges
GSA to submit with all due speed a site and design prospectus
to the appropriate authorizing committees so that these funds
can be quickly applied to the much needed improvements of the
Champlain, NY, border requirements.
BROOKLYN, NEW YORK, COURTHOUSE
The Committee recognizes the economic prudence of building
out the remaining additional courtrooms and chambers needed to
complete the district courthouse in Brooklyn, NY, at this time.
The Committee has approved an appropriation of $3,361,000 in
this bill and expects that design of these courtrooms and
chambers shall begin. Further, the Committee urges GSA to seek
the necessary funding to complete this project in a timely
manner.
CENSUS FACILITIES, SUITLAND, MARYLAND
The Committee has included $2,813,000 for Census Bureau
facilities in Suitland, Maryland, within the construction and
acquisition activity. These funds, together with the requested
reprogramming of $5,200,000 from the repairs and alterations
activity hereby approved, are sufficient to design one new
building for the Census Bureau at Suitland. The House Committee
on Appropriations understands that the Committee on
Transportation and Infrastructure is on the verge of
authorizing $16,200,000 for the design of two buildings for the
Census Bureau at Suitland and that the establishment of two
buildings for the Census is now the preferred alternative. The
House Committee on Appropriations is also aware of discussions
and negotiations between GSA and Census in support of the
project. The Committee anticipates that the Agencies involved
will be able to resolve how funding might be allocated to
enable the design work to proceed on both buildings.
SAN DIEGO, CALIFORNIA, COURTHOUSE
The Committee is aware of plans for constructing a new
courthouse in San Diego next to the current courthouse and the
need for repairing the current courthouse. $15,400,000 was
included in the FY 1999 bill for acquisition of a site for the
new courthouse. $13,070,000 has been included in this bill, as
proposed by the President, for repairing the current
courthouse. The House Committee on Appropriations understands
that the Committee on Transportation and Infrastructure is on
the verge of authorizing $14,337,000 for the design of the new
courthouse. The Committee urges GSA to move forward
expeditiously to meet the judiciary space needs efficiently and
effectively. The Committee is also aware that there are
negotiations currently underway regarding historical issues
with the property and urges GSA to expeditiously complete these
negotiations.
Repairs and Alterations
Limitations on Availability of Revenue (not an
appropriation):
Limitation on availability, fiscal year 2001 $681,613,000
enacted to date......................................
Limitation on availability, budget estimate, 826,676,000
fiscal year 2002.....................................
Recommended in the bill........................... 826,676,000
Bill compared with:
Availability limitation, fiscal year 2001 enacted +145,063,000
to date..............................................
Availability limitation, fiscal year 2002 estimate ................
RECOMMENDATION
The Committee recommends a limitation of $826,676,000 for
repairs and alterations, an increase of $145,063,000 above the
fiscal year 2001 enacted level and the same as the budget
request.
BOW BUILDING, CANTON, OHIO
Within the amount provided for the basic repair program the
Committee understands that GSA will spend $500,000 on repairing
the exterior of the Bow Building in Canton, Ohio. The Committee
is further aware that GSA recently completed a modernization
study pursuant to a House Resolution and encourages GSA to move
forward with the modernization project.
PROJECT PRIORITIZATION
The Committee is concerned that the methodology, its
application, or the associated criteria used by the GSA and the
Administration to develop the priority listing of repair and
alteration projects contained in the President's budget request
may be flawed. This concern is based on a possible geographic
bias, the continuing exclusion of the much-needed repair work
at 300 North Los Angeles Boulevard in California, and
uncertainty about the weights assigned the 5 criteria used for
assessing and ranking projects. The failure of the 300 North
Los Angeles Boulevard Federal Building repair project to be
included in the President's budget request, despite serious and
extensive public health and safety problems (unmitigated
seismic risks, inadequate venting and exiting, fire and
disability code violations, etc.), suggests that insufficient
weight is being given to the physical urgency and public
safety.
Therefore, the Committee directs GSA to provide a report
120 days after enactment of this Act that includes (1) the
fiscal year 2002 guidance sent to the GSA regions as to how GSA
repair and alteration projects will be ranked, what criteria
will be used, how each criterion is to be evaluated, and what
weight is to be assigned each criterion; and (2) the individual
rankings (total ranking as well as specific criteria ranking)
of the proposed fiscal year 2002 projects submitted by the GSA
regions to GSA headquarters and by GSA headquarters to the
Office of Management and Budget.
Installment Acquisition Payments
Limitations on Availability of Revenue (not an
appropriation):
Limitation on availability, fiscal year 2001 to $185,369,000
date.................................................
Limitation on availability, budget estimate, 186,427,000
fiscal year 2002.....................................
Recommended in the bill........................... 186,427,000
Bill compared with:
Availability limitation, fiscal year 2001 to date. +1,058,000
Availability limitation, fiscal year 2002 estimate ................
RECOMMENDATION
The Committee recommends a limitation of $186,427,000 for
installation acquisition payments, an increase of $1,058,000
above the fiscal year 2001 enacted level and the same as the
President's request.
Rental of Space
Limitations on Availability of Revenue (not an
appropriation):
Limitation on availability, fiscal year 2001 to $2,943,854,000
date.................................................
Limitation on availability, budget estimate, 2,959,550,000
fiscal year 2002.....................................
Recommended in the bill........................... 2,959,550,000
Bill compared with:
Availability limitation, fiscal year 2001 to date. +15,696,000
Availability limitation, fiscal year 2002 estimate ................
RECOMMENDATION
The Committee recommends a limitation of $2,959,550,000 for
rental of space, an increase of $15,696,000 above the fiscal
year 2001 enacted level and the same as the President's
request.
Building Operations
Limitations on Availability of Revenue (not an
appropriation):
Limitation on availability, fiscal year 2001 to $1,624,771,000
date.................................................
Limitation on availability, budget estimate, 1,748,949,000
fiscal year 2002.....................................
Recommended in the bill........................... 1,760,369,000
Bill compared with:
Availability limitation, fiscal year 2001 to date. +135,598,000
Availability limitation, fiscal year 2002 estimate +11,420,000
RECOMMENDATION
The Committee recommends a limitation of $1,760,369,000 for
building operations, an increase of $135,598,000 above the
fiscal year 2001 enacted level and an increase of $11,420,000
above the President's request. The increase above the
President's request consists of $10,970,000 to cover a portion
of estimated non-pay inflation costs and $450,000 for a study
of hurricane risks and mitigation strategies in the southeast.
In providing only a portion of the increase needed to cover the
non-pay inflation in building operations, the Committee
encourages GSA to seriously consider absorbing the shortfall in
such activities as cleaning, maintenance, other building
services, and staff support (especially reducing or eliminating
the funding for the proposed new environmental audits). The
Committee is aware of a memorandum of understanding between GSA
and the Geothermal Heat Pump Consortium and urges GSA to
continue exploring and evaluating the energy efficient and cost
effective use of geothermal heat pumps in federal buildings.
The Committee directs the General Services Administration to
work with the State Department to review the decision to
consolidate warehouse space along the Southwest border. The
Committee directs the General Services Administration to report
on the benefits of other locations.
NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION
The Committee directs GSA to work closely with the National
Oceanic and Atmospheric Administration, the University of
Oklahoma, and all other interested parties regarding the much-
needed new facilities for NOAA's National Serve Storm
Laboratory and Storm Prediction Center, for which design funds
were appropriated in the last Congress. Due to the intended co-
location of the NOAA facility with related programs at the
university, GSA is particularly directed to help identify the
necessary costs that are beyond those of standard-design
federal offices.
TELECOMMUTING/TELEWORK
The Committee is strongly supportive of the appropriate and
effective use of telecommuting, including utilization of the
GSA telecenters. Currently, the GSA telecenters are operating
at about 50 percent of their full capacity and GSA is
subsidizing operating costs not covered by user fees. To
facilitate federal employee awareness and utilization of
federal telecenters, GSA is directed to increase its marketing
of the telecenters and to develop a business case for a pilot
project that would allow a 60-day free trial period for certain
federal employees to use the telecenters. The federal employees
eligible for participation in the 60-day free trial period are
to be those federal employees that are eligible for telework,
that do not currently use the telecenters, and whose agencies
have sufficient funds to cover the user fees if the employee
elects to continue using the telecenter after the trial period.
The business case is to be submitted to the House Committee on
Appropriations within 60 days of enactment; the pilot program
should be implemented immediately, if warranted.
The Committee further directs GSA to prepare and deliver to
the Committee 90 days after enactment of this Act a report
evaluating the costs (actual costs on a per-worker basis based
on historical data) of providing telecenters in comparison to
the costs of establishing and operating a workplace within a
telecommuter's home, and the other relative merits of each
approach.
The Committee further directs GSA to evaluate the needs and
opportunities for establishing a telecenter to serve the Route
355/I-270 corridor and a telecenter to serve the Georgia/New
Hampshire Avenue corridor in Montgomery County, Maryland, to
include this evaluation in the cost evaluation report, and to
proceed with establishing both or either of these centers if
warranted.
HURRICANE THREATS IN THE SOUTHEAST
The Committee is concerned about the risks to federal
buildings in the southeastern United States from damaging
hurricanes. The Committee has provided $450,000 for a study to
assess the risk of hurricane damage to federal buildings in the
southeast, to ascertain what pre-disaster hurricane mitigation
strategies are most appropriate, to quantitatively characterize
the current mitigation strategy costs and benefits, and to
determine the extent to which additional measures should be
taken as well as associated implementation costs. The study is
to be submitted to the House Committee on Appropriations six
months after the enactment of this Act.
CONSUMER PRODUCT SAFETY COMMISSION
The Committee is very supportive of GSA's continued efforts
to assist the Consumer Product Safety Commission (CPSC) with
the development of their master plan. The Committee further
understands that the CPSC has contributed $50,000 from its
fiscal year 1999 appropriation for an assessment to determine
the modernization needs of CPSC's laboratories in Gaithersburg,
Maryland. CPSC also hopes, as part of its master plan, to
reduce waste and inefficiency by co-locating a sample warehouse
on its Gaithersburg facilities. In recognition of the important
service that CPSC offers to the American public, the Committee
encourages GSA to continue to work with CPSC to finalize a
master plan and work toward its implementation.
USGS FACILITIES, SANTA CRUZ, CALIFORNIA
The Committee strongly encourage GSA to work with the U.S.
Geological Survey (USGS) and the University of California at
Santa Cruz to fashion a plan to address the facilities needs of
the USGS Western Coastal and Marine Geology Program. The
Committee hopes that such a plan will provide the best possible
financial and programmatic benefits to the Federal Government
and the USGS over an extended time frame in terms of facilities
construction, rental, and relocation costs. The Committee urges
GSA to consider innovative and creative facilities construction
alternatives that would give the Federal government, and the
USGS, the greatest possible economic benefit, including a rent-
free option exclusive of maintenance and operation costs. Part
of such a facilities plan is predicated on the USGS adequately
defining its coastal and marine facility needs and appropriate
Congressional authorization. The GSA should report back to the
Committee no later than 90 days after enactment of this Act.
Policy and Operations
Appropriation, fiscal year 2001 to date............... $137,406,000
Budget estimate, fiscal year 2002..................... 138,499,000
Recommended in the bill............................... 137,515,000
Bill compared with:
Appropriation, fiscal year 2001................... +109,000
Budget Estimate, fiscal year 2002................. -984,000
MISSION
Policy and operations provides for Government-wide policy,
planning, and oversight associated with real and personal
property asset management, supplies, information technology,
electronic commerce, transportation and travel management,
acquisition, and Federal advisory committees management. In
addition, this activity provides for the internal policy,
management, oversight, and coordination of all GSA programs.
RECOMMENDATION
The Committee recommends an appropriation of $137,515,000
for Policy and Operations, an increase of $109,000 above the
fiscal year 2001 enacted level and a decrease of $984,000 below
the President's request. Changes to the President's request
include decreases of $1,000,000 for the Federal Computer
Incident Response Capability, $1,000,000 for activities
associated with the Lorton Complex (leaving $3,822,000
appropriated in fiscal year 2002 for this effort), and $500,000
for activities associated with Governors Island (leaving
$8,082,000 appropriated in fiscal year 2002 for this effort) as
well as an increase of $1,516,000 for non-pay inflation.
The fiscal year 2002 funding level for the public key
infrastructure (PKI) effort is $3,500,000, the same level as
proposed in the President's budget. In materials supplied to
the Committee in response to questions for the record, GSA
stated that the effort was focused on deploying commercial PKI
in a Federal environment. The Committee remains concerned that
this deployment, as presented, may be more appropriately
conducted by (and funded in the accounts of) those individual
federal agencies who require secure ways of conducting
transactions or exchanging information electronically.
Therefore, GSA is directed to provide a report to the House
Committee on Appropriations 90 days after enactment of this Act
that fully explains the importance and benefits from managing
this effort centrally within the federal government, quantifies
the extent to which commercially developed PKI is already being
deployed in the federal government, and that fully describes
industry/government PKI relations, partnerships, and
collaborations.
The fiscal year 2002 funding level for the Federal computer
incident response capability is $9,982,000, an increase of
$2,000,000 above the fiscal year 2002 funding level and a
decrease of $1,000,000 below the level requested in the
President's budget. The Committee is supportive of the
decentralized, distributed philosophy for computer incident
detection and response that is inherent in the current federal
effort and that appears to allow appropriate agency control and
private sector involvement.
Public Service Recognition Week
The Committee recognizes that Public Service Recognition
Week, a program of the Public Employees Roundtable, has
educated America about the value of the career workforce, which
carries out the daily operations of government. This program,
which has existed for over 10 years, plays an important role in
educating our nation's youth by providing them with timely
information about their government. The Committee urges the
General Services Administration to support the mission of the
Public Employees Roundtable and provide $100,000 in
administrative and logistical assistance to Public Service
Recognition Week activities, the same level as was provided for
fiscal year 2001.
Office of Inspector General
Appropriation, fiscal year 2001 to date............... $34,444,000
Budget estimate, fiscal year 2002..................... 36,025,000
Recommended in the bill............................... 36,290,000
Bill compared with:
Appropriation, fiscal year 2001................... +1,846,000
Budget Estimate, fiscal year 2002................. +265,000
MISSION
This appropriation provides agencywide audit and
investigative functions to identify and correct management and
administrative deficiencies within GSA which create conditions
for existing or potential instances of fraud, waste, and
mismanagement. The audit function provides internal audit and
contract audit services. Contract audits provide professional
advice to GSA contracting officials on accounting and financial
matters relative to the negotiation, award, administration,
repricing, and settlement of contracts. Internal audits review
and evaluate all facets of GSA operations and programs, test
internal control systems, and develop information to improve
operating efficiencies and enhance customer services. The
investigative function provides for the detection and
investigation of improper and illegal activities involving GSA
programs, personnel, and operations.
RECOMMENDATION
The Committee recommends an appropriation of $36,290,000
for the Office of Inspector General, an increase of $1,846,000
above the fiscal year 2001 enacted level and an increase of
$265,000 above the President's request. The increase above the
President's request is for non-pay inflation.
Electronic Government Fund
Appropriation, fiscal year 2001 to date............... ................
Budget estimate, fiscal year 2002..................... $20,000,000
Recommended in the bill............................... 5,000,000
Bill compared with:
Appropriation, fiscal year 2001................... +5,000,000
Budget Estimate, fiscal year 2002................. -15,000,000
MISSION
The President proposes a new appropriation to provide
support for interagency Electronic Government (E-Gov)
initiatives that utilize the Internet or other electronic
methods as a means to increase Federal Government
accessibility, efficiency, and productivity.
RECOMMENDATION
The Committee recommends an appropriation of $5,000,000 for
the Electronic Government Fund, an increase of $5,000,000 above
the level that was provided for fiscal year 2001 and a decrease
of $15,000,000 below the President's request. The Committee
supports, in general, the purpose of the fund and recommends
the Administration work with the House Committee on Government
Reform to clarify its authorization. The Committee would
encourage the use of these funds for interagency electronic
government projects for which matching funds are provided. The
Committee is aware of interagency groups, such as the Chief
Information Officer (CIO) Council chaired by OMB, that have
wide experience and expertise in electronic government and
information technology areas and suggests that these groups
could make key contributions in the review and selection of
projects.
Allowances and Office Staff for Former Presidents
Appropriation, fiscal year 2001 to date............... $2,511,000
Budget estimate, fiscal year 2002..................... 3,552,000
Recommended in the bill............................... 3,196,000
Bill compared with:
Appropriation, fiscal year 2001................... +685,000
Budget Estimate, fiscal year 2002................. -356,000
MISSION
This appropriation provides support consisting of pensions,
office staffs, and related expenses for former Presidents
Gerald R. Ford, Jimmy Carter, Ronald Reagan, George Bush and
Bill Clinton and for pension and postal franking privileges for
the widow of former President Lyndon B. Johnson. Also, this
appropriation is authorized to provide funding for security and
travel related expenses for each former President and the
spouse of a former President pursuant to Section 531 of Public
Law 103-329.
RECOMMENDATION
The Committee recommends an appropriation of $3,196,000 for
allowances and office staff of former Presidents, an increase
of $685,000 above the fiscal year 2001 enacted level and a
decrease of $356,000 below the President's request. Changes to
the President's request include a decrease of $176,000 for an
unspecified increase and a decrease of $180,000 as a reduction
in office rent for former President Reagan.
FY 2002 BUDGET ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS
[In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
Ford Carter Reagan Bush Clinton Widows Total
----------------------------------------------------------------------------------------------------------------
Personnel Compensation.................. 96 96 96 96 150 0 534
Personnel Benefits...................... 24 6 24 35 60 0 149
Benefits for Former Personnel:
Pensions............................ 166 166 166 166 166 20 850
Travel.............................. 50 2 16 57 57 0 182
Rental Payments to GSA.................. 110 102 177 169 354 0 912
Communications, Utilities and
Miscellaneous charges:
Telephone........................... 21 25 15 14 28 0 103
Postage............................. 6 20 10 14 22 2 74
Printing................................ 0 5 12 12 15 0 44
Other Services.......................... 11 71 15 13 80 0 190
Supplies & Materials.................... 9 6 20 11 24 0 70
Equipment............................... 4 9 3 36 36 0 88
-----------------------------------------------------------------------
Total Obligations................. 497 508 554 623 992 22 3,196
----------------------------------------------------------------------------------------------------------------
General Provisions--General Services Administration
Section 401. The Committee continues the provision that
provides that costs included in rent received from government
corporations for operation, protection, maintenance, upkeep,
repair and improvement shall be credited to the Federal
Buildings Fund.
Section 402. The Committee continues the provision
providing authority for the use of funds for the hire of motor
vehicles.
Section 403. The Committee continues the provision
providing that funds made available for activities of the
Federal Buildings Fund may be transferred between
appropriations with advance approval of the Congress.
Section 404. The Committee continues the provision
prohibiting the use of funds for developing courthouse
construction requests that do not meet GSA standards and the
priorities of the Judicial Conference.
Section 405. The Committee continues the provision
providing that no funds may be used to increase the amount of
occupiable square feet, provide cleaning services, security
enhancements, or any other service usually provided, to any
agency which does not pay the requested rent.
Section 406. The Committee continues the provision
providing for Information Technology Fund repayment from
sponsored projects that realize program savings.
Section 407. The Committee continues the provision that
permits GSA to pay small claims (up to $250,000) made against
the government.
Section 408. The Committee recommends a new provision
requiring the General Services Administration to increase its
fiscal year 2002 expenditures for purchasing alternative fuel
vehicles by $5,000,000 above its fiscal year 2001 expenditures.
Merit Systems Protection Board
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $29,372,239
Budget estimate, fiscal year 2002..................... 30,375,000
Recommended in the bill............................... 30,375,000
Bill compared with:
Appropriation, fiscal year 2001................... +1,002,761
Budget Estimate, fiscal year 2002................. ................
MISSION
The Merit Systems Protection Board performs the
adjudicatory functions necessary to maintain the civil service
merit system. These include hearing appeals on adverse actions,
reduction-in-force actions, and retirement. The Board reports
to the President on whether merit systems are sufficiently free
from prohibited personnel practices to protect the public
interest.
RECOMMENDATION
The Committee recommends an appropriation of $30,375,000
for the Merit Systems Protection Board (MSPB), an increase of
$1,002,761 above the amount appropriated in fiscal year 2001
and the same as requested by the President.
Morris K. Udall Scholarship and Excellence in National Environmental
Policy Foundation
FEDERAL PAYMENT TO MORRIS K. UDALL SCHOLARSHIP AND EXCELLENCE IN
NATIONAL ENVIRONMENTAL POLICY FOUNDATION
Appropriation, fiscal year to date.................... $1,996,000
Budget estimate, fiscal year 2002..................... 1,746,000
Recommended in the bill............................... ................
Bill compared with:
Appropriation, fiscal year 2001................... -1,996,000
Budget Estimate, fiscal year 2002................. -1,746,000
MISSION
Public Law 102-259 established the Morris K. Udall
Scholarship and Excellence in National Environmental Policy
Trust Fund. Federal payments to that fund are invested in
Treasury securities. Interest earnings from the investments are
used to carry out the activities of the Morris K. Udall
Scholarship and Excellence in National Environmental Policy
Foundation. The Foundation awards scholarships, fellowships,
and grants and funds activities of the Udall Center for Studies
in Public Policy.
RECOMMENDATION
The Committee recommends no appropriation for this account,
a decrease of $1,996,000 below the fiscal year 2001 enacted
level and a decrease of $1,746,000 below the President's
request. Funding for activities associated with this account is
provided in a new account, Morris K. Udall Scholarship and
Excellence in National Environmental Policy Trust Fund.
Native Nations Institute
Appropriation, fiscal year 2001 to date............... ................
Budget estimate, fiscal year 2002..................... $250,000
Recommended in the bill............................... ................
Bill compared with:
Appropriation, fiscal year 2001................... ................
Budget Estimate, fiscal year 2002................. -250,000
MISSION
Public Law 106-653 (section 817) established the Native
Nations Institute as part of the Morris K. Udall Scholarship
and Excellence in National Environmental Policy Foundation. The
purpose of the Native Nations Institute is to provide
management and leadership training to Native American tribal
leaders.
RECOMMENDATION
The Committee recommends no appropriation for the Native
Nations Institute, the same as the fiscal year 2001 enacted
level and a decrease of $250,000 below the President's request.
The potential for funding activities associated with this
proposed account has been made permissible by transfer from a
new account, Morris K. Udall Scholarship and Excellence in
National Environmental Policy Trust Fund.
Morris K. Udall Scholarship and Excellence in National Environmental
Policy Trust Fund
Appropriation, fiscal year 2001 to date............... ................
Budget estimate, fiscal year 2002..................... ................
Recommended in the bill............................... $2,500,000
Bill compared with:
Appropriation, fiscal year 2001................... +2,500,000
Budget Estimate, fiscal year 2002................. +2,500,000
MISSION
Public Law 102-259 established the Morris K. Udall
Scholarship and Excellence in National Environmental Policy
Trust Fund. Federal payments to that fund are invested in
Treasury securities. Interest earnings from the investments are
used to carry out the activities of the Morris K. Udall
Scholarship and Excellence in National Environmental Policy
Foundation. The Foundation awards scholarships, fellowships,
and grants and funds activities of the Udall Center for Studies
in Public Policy.
Public Law 106-568 (section 817) established the Native
Nations Institute as part of the Morris K. Udall Scholarship
and Excellence in National Environmental Policy Foundation. The
purpose of the Native Nations Institute is to provide
management and leadership training to Native American tribal
leaders.
RECOMMENDATION
The Committee establishes a new appropriation in lieu of
the Federal Payment to Morris K. Udall Scholarship and
Excellence in National Environmental Policy Foundation account
and the proposed Native Nations Institute account. The
Committee recommends an appropriation of $2,500,000 for these
activities of the Morris K. Udall Foundation, an increase of
$504,000 above the fiscal year 2001 enacted level for the Trust
Fund and an increase of $504,000 above the President's combined
request for the Trust Fund and the proposed Native Nations
Institute account. The Committee includes language to allow up
to 60 percent of the appropriation to be used for the expenses
of the Native Nations Institute. The Committee also includes
language requiring the Foundation to report to the Committee on
the amount of funding, if any, transferred from the Trust Fund
for the Native Nations Institute, and directs that this report
include an itemization of planned Native Nations Institute
expenditures for fiscal year 2002. The Committee further
directs the Foundation to describe as part of the report its
justification for such a transfer. Future budget justifications
submitted to Congress regarding this effort are to contain
detailed information on the actual expenditures of past years
as well as detailed information on planned expenditures for the
current and budget years.
Environmental Dispute Resolution Fund
Appropriation, fiscal year 2001 to date............... $1,248,000
Budget estimate, fiscal year 2002..................... 1,309,000
Recommended in the bill............................... 1,309,000
Bill compared with:
Appropriation, fiscal year 2001................... +61,000
Budget Estimate, fiscal year 2002................. ................
MISSION
Public Law 105-156 established the United States Institute
for Environmental Conflict Resolution as part of the Morris K.
Udall Scholarship and Excellence in National Environmental
Policy Foundation. It also established in the Treasury an
Environmental Dispute Resolution Fund to be available to
establish and operate the Institute. The purpose of the
Institute is to conduct environmental conflict resolution and
training.
RECOMMENDATION
The Committee recommends an appropriation of $1,309,000 for
the Environmental Dispute Resolution Fund, an increase of
$61,000 above the fiscal year 2001 enacted level and the same
as the President's request.
National Archives and Records Administration
OPERATING EXPENSES
Appropriation, fiscal year 2001 to date............... $208,946,000
Budget estimate, fiscal year 2002..................... 244,247,000
Recommended in the bill............................... 243,547,000
Bill compared with:
Appropriation, fiscal year 2001................... +34,601,000
Budget Estimate, fiscal year 2002................. -700,000
MISSION
The National Archives and Records Administration provides
for basic operations dealing with management of the
Government's archives and records, operation of Presidential
libraries, and for the review for declassification of
classified security information.
RECOMMENDATION
The Committee recommends an appropriation of $243,547,000
for the operating expenses of the National Archives and Records
Administration, an increase of $34,601,000 above the fiscal
year 2001 enacted level and a decrease of $700,000 below the
President's fiscal year 2002 budget request. Changes to the
President's budget request include decreases of $1,000,000 for
the electronic records archive and $1,000,000 for the
development of an integrated website as well as increases of
$850,000 for non-pay inflation and $450,000 for efforts to
preserve and improve access to the records of the Freedmen's
Bureau. The Committee also has recommended identification of
funding for the electronic records archive in the bill and made
a portion of the funding for this effort available for three
years.
ELECTRONIC RECORDS ARCHIVE
The Committee recommends a funding level of $22,302,000 for
the electronic records archive, an increase of $19,000,000
above the level provided for fiscal year 2001 and a decrease of
$1,000,000 less than the President's request. The Committee
also recommends making a portion of the funding available for
three years.
The Committee is aware of the importance of this project
and its potential impact on the entire Federal government. The
project also involves substantial risks due to the magnitude of
the effort, the immaturity of the technology, the limited
information available on the volumes and types of agency
electronic records, and the lack of related management and
technical experience within NARA. The Committee is acutely
aware of the potential pitfalls associated with the effort, as
a result of these risks and based on previous experience of the
Committee with large information technology efforts.
Therefore, the Committee directs NARA to use a portion of
the fiscal year 2002 funding to assess the feasibility of
exploring alternative solutions based on existing technologies
and commercial-off-the-shelf applications and to provide a
report on this effort to the House Committee on Appropriations
by July 30, 2002.
NARA is also directed (1) to develop a fiscal year 2002
research plan and to submit the plan to the Committee 120 days
after enactment of this Act, (2) to develop a plan to identify
and periodically assess the volumes and types of agency
electronic records to be accessioned, preserved, and made
accessible and to submit the plan to the Committee 120 days
after enactment of this Act, and (3) to work with the Library
of Congress and other Federal information technology groups to
ensure that the proposed information technologies are developed
in conjunction with the National Digital Information
Infrastructure and Preservation program and that the proposed
systems development follows all appropriate capital planning
guidance for information technologies.
Freedmen's Bureau
The Committee has provided an increase of $450,000 for
preservation and access activities associated with the records
of the Freedmen's Bureau, providing a total fiscal year 2002
base funding level of at least $600,000 for this effort. These
records are the best documentation of the greatest social
undertaking in this country's history. These funds are to be
used to help microfilm the records, assist researchers in using
related documents, provide better access to record inventories,
and create partnerships for developing indexes.
Repairs and Restoration
Appropriation, fiscal year 2001 to date............... $101,536,000
Budget estimate, fiscal year 2002..................... 10,643,000
Recommended in the bill............................... 10,643,000
Bill compared with:
Appropriation, fiscal year 2001................... -90,893,000
Budget Estimate, fiscal year 2002................. ................
MISSION
This appropriation provides for the repair, alteration, and
improvement of Archives facilities and Presidential libraries
nationwide. It enables the National Archives to maintain its
facilities in proper condition for visitors, researchers, and
employees, and also maintain the structural integrity of the
buildings.
RECOMMENDATION
The Committee recommends an appropriation of $10,643,000
for repairs and restoration, a decrease of $90,893,000 below
the fiscal year 2001 enacted level and the same as the
President's request.
National Historical Publications and Records Commission
GRANTS PROGRAM
Appropriation, fiscal year 2001 to date............... $6,436,000
Budget estimate, fiscal year 2002..................... 4,436,000
Recommended in the bill............................... 10,000,000
Bill compared with:
Appropriation, fiscal year 2001................... +3,564,000
Budget Estimate, fiscal year 2002................. +5,564,000
MISSION
This program provides for grants funding that the
Commission makes, nationwide, to preserve and publish records
that document American history. Administered within the
National Archives and Records Administration, which preserves
Federal records, the NHPRC helps state, local, and private
institutions preserve non-Federal records, helps publish the
papers of major figures in American history, and helps
archivists and records managers improve their techniques,
training, and ability to serve a range of information users.
RECOMMENDATION
The Committee recommends an appropriation of $10,000,000
for the National Historical Publications and Research
Commission grants program, an increase of $3,564,000 above the
fiscal year 2001 enacted level and an increase of $5,564,000
above the President's request. The Committee has included
$1,700,000 for a grant to the Oklahoma Centennial Commission to
assist with memorializing the Oklahoma Land Run as part of the
Oklahoma Centennial celebration and $1,000,000 for a grant to
the Boston Public Library for preserving and enhancing its
holdings of materials related to John Adams.
Office of Government Ethics
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $9,663,000
Budget estimate, fiscal year 2002..................... 10,060,000
Recommended in the bill............................... 10,060,000
Bill compared with:
Appropriation, fiscal year 2001................... +397,000
Budget Estimate, fiscal year 2002................. ................
MISSION
The Office of Government Ethics (OGE), established by the
Ethics in Government Act of 1978, provides overall direction of
executive branch policies designed to prevent conflicts of
interest and insure high ethical standards. The OGE discharges
its responsibilities to preserve and promote public confidence
in the integrity of executive branch officials by developing
rules and regulations pertaining to conflicts of interest, post
employment restrictions, standards of conduct, and public and
confidential financial disclosure in the executive branch. It
monitors compliance with public and confidential financial
disclosure requirements of the Ethics in Government Act of 1978
and the Ethics Reform Act of 1989, to determine possible
violations of applicable laws or regulations and recommending
appropriate corrective action. OGE also consults with and
assists various officials in evaluating the effectiveness of
applicable laws and the resolution of individual problems, and
prepares formal advisory opinions, informal letter opinions,
policy memoranda, and Federal Register entries on how to
interpret and comply with the requirements on conflicts of
interest, post employment, standards of conduct, and financial
disclosure. Finally, OGE issues and amends regulations
implementing the procurement integrity provisions relating to
negotiating for employment, post employment, and gratuities in
the Office of Federal Procurement Policy Act Amendments of
1988, P.L. 100-679.
RECOMMENDATION
The Committee recommends an appropriation of $10,060,000
for the Office of Government Ethics, the same amount requested
by the President and $397,000 above the fiscal year 2001
appropriated level.
Office of Personnel Management
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $93,888,000
Budget estimate, fiscal year 2002..................... 99,036,000
Recommended in the bill............................... 99,036,000
Bill compared with:
Appropriation, fiscal year 2001................... +5,148,000
Budget Estimate, fiscal year 2002................. ................
MISSION
The Office of Personnel Management (OPM) is the Government
agency responsible for management of Federal human resource
policy and oversight of the merit civil service system.
Although individual agencies are increasingly responsible for
personnel operations, OPM provides a Governmentwide policy
framework for personnel matters, advises and assists agencies
(often on a reimbursable basis), and ensures that agency
operations are consistent with requirements of law, with
emphasis on such issues as veterans preference. OPM oversees
examining of applicants for employment, issues regulations and
policies on hiring, classification and pay, training,
investigations, and many other aspects of personnel management,
and operates a reimbursable training program for the
Government's managers and executives. OPM is also responsible
for administering the retirement, health benefits and life
insurance programs affecting most Federal employees, retired
Federal employees, and their survivors.
RECOMMENDATION
The Committee recommends an appropriation of $99,036,000
for the Office of Personnel Management, an increase of
$5,148,000 above the amount appropriated in fiscal year 2001
and the same as requested by the President.
FEDERAL WAGE SYSTEM
The Federal Government currently pays approximately 225,000
blue collar craft and trades workers under the Federal Wage
System (FWS). Section 612 of this bill caps the 2002 pay raise
which FWS workers can receive at that provided to General
Schedule (GS) employees. However, many FWS workers may receive
less than the GS raise, as a result of FWS surveys. The
Committee therefore directs the Office of Personnel Management
to submit a report within 120 days of enactment on the cost of
administering the FWS, including the cost of data collection,
the cost of analyzing FWS data and its transformation into FWS
pay lines and wage schedules, the cost of operating the Federal
Prevailing Rate Advisory Committee, and the number of FWS
workers in each Federal agency. This information will help to
determine whether the data used by the FWS justifies its cost,
and whether other mechanisms for setting federal blue collar
worker pay would be more effective.
FEDERAL WAGE GRADE SYSTEM FOR BUREAU OF PRISIONS
The Committee is concerned that the wage surveys utilized
in determining the cost of labor for federal wage grade
positions are inadequate with respect to Bureau of Prisons
employees. Wage grade employees in the Bureau of Prisons are
often in ``mixed jobs'' which have no private sector
equivalent. These employees are hired for one primary skill,
but they also are trained as security officers and perform
security functions in conjunction with their other duties. The
Committee directs OPM to review and report to Congress on how
the current survey instrument quantifies the cost of labor with
respect to mixed wage grade jobs at the Bureau of Prisons. The
report should include a comparison of the average wage rates
for employees at each federal prison facility, a review of any
differences in how the surveys are conducted in different wage
areas, and a set of recommendations for determining how to
quantify the cost of labor in a given wage area if there are no
private sector comparables. The report is due no later than 90
days after the date of enactment of this Act.
WAGE GRADE FEDERAL EMPLOYEES IN MONTEREY COUNTY, CALIFORNIA
It is the Committee's understanding that on November 8,
1999, and again on February 24, 2000, the Salinas-Monterey
Local Wage Grade Survey Committee recommended that the Salinas-
Monterey Wage Area be realigned with San Francisco/San Jose/
Santa Cruz wage area, based in part upon their finding that
Monterey County GS civil service employees are part of the San
Francisco/San Jose locality pay area. The Committee directs OPM
to report to the Committee its intention with regard to
implementing this recommendation.
Office of Inspector General
Appropriation, fiscal year 2001 to date............... $1,357,000
Budget estimate, fiscal year 2002..................... 1,398,000
Recommended in the bill............................... 1,398,000
Bill compared with:
Appropriation, fiscal year 2001................... +41,000
Budget Estimate, fiscal year 2002................. ................
MISSION
This appropriation provides agencywide audit,
investigative, evaluation, and inspection functions to identify
management and administrative deficiencies, which may create
conditions for fraud, waste and mismanagement. The audits
function provides internal agency audit, insurance audit, and
contract audit services. Contract audits provide professional
advice to agency contracting officials on accounting and
financial matters regarding the negotiation, award,
administration, repricing, and settlement of contracts.
Internal audits review and evaluate all facets of agency
operations, including financial statements. Evaluation and
inspection services provide detailed technical evaluations of
agency operations. Insurance audits review the operations of
health and life insurance carriers, health care providers, and
insurance subscribers. The investigative function provides for
the detection and investigation of improper and illegal
activities involving programs, personnel, and operations.
RECOMMENDATION
The Committee recommends an appropriation of $1,398,000 for
the Office of Inspector General of the Office of Personnel
Management, an increase of $41,000 above the amount
appropriated in fiscal year 2001 and the same as requested by
the President.
Government Payment for Annuitants, Employees Health Benefits
Appropriation, fiscal year 2001 to date............... $5,427,166,000
Budget estimate, fiscal year 2002..................... 6,145,000,000
Recommended in the bill............................... 6,145,000,000
Bill compared with:
Appropriation, fiscal year 2001................... +717,834,000
Budget Estimate, fiscal year 2002................. ................
MISSION
This appropriation covers: (1) the Government's share of
the cost of health insurance for 1,851,000 annuitants as
defined in sections 8901 and 8906 of title 5, United States
Code; (2) the Government's share of the cost of health
insurance for about 12,000 annuitants (who were retired when
the Federal employees health benefits law became effective), as
defined in the Retired Federal Employees Health Benefits Act of
1960; and (3) the government's contribution for payment of
administrative expenses incurred by the Office of Personnel
Management in administration of the act.
Government Payment for Annuitants, Employees Life Insurance
Appropriation, fiscal year 2001 to date............... $35,000,000
Budget estimate, fiscal year 2002..................... 33,000,000
Recommended in the bill............................... 33,000,000
Bill compared with:
Appropriation, fiscal year 2001................... -2,000,000
Budget Estimate, fiscal year 2002................. ................
MISSION
This appropriation finances the Government's share of
premiums, which is one-third the cost, for basic life insurance
for annuitants retiring after December 31, 1989, and who are
less than 65 years old.
Payment to Civil Service Retirement and Disability Fund
Appropriation, fiscal year 2001 to date............... $8,940,051,000
Budget estimate, fiscal year 2002..................... 9,229,000,000
Recommended in the bill............................... 9,229,000,000
Bill compared with:
Appropriation, fiscal year 2001................... +288,949,000
Budget Estimate, fiscal year 2002................. ................
MISSION
This appropriation provides for payment of annuities,
including the payment of annuities under special acts for
persons employed on the construction of the Panama Canal or
their widows and widows of employees of the Lighthouse Service;
payment of the government share of retirement costs of the
unfunded liability resulting from any statute authorizing new
or liberalized benefits, extension of retirement coverage, or
pay increases; transfers for interest on unfunded liability and
payment of military service annuities covering interest on the
unfunded liability and annuity disbursements for military
service; payments for spouse equity providing survivor
annuities to eligible former spouses of annuitants who died
between September 1978 and May 1986 and did not elect survivor
coverage; and transfers for payment of FERS supplemental
liability covering annual amortization payments financing
supplemental liabilities for FERS.
Office of Special Counsel
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $11,122,000
Budget estimate, fiscal year 2002..................... 11,784,000
Recommended in the bill............................... 11,823,000
Bill compared with:
Appropriation, fiscal year 2001................... +701,000
Budget Estimate, fiscal year 2002................. +39,000
MISSION
The Office of Special Counsel: (1) investigates Federal
employee allegations of prohibited personnel practices
(including reprisal for whistleblowing) and, when appropriate,
prosecutes before the Merit Systems Protection Board; (2)
provides a channel for whistleblowing by Federal employees; and
(3) enforces the Hatch Act. The Office may transmit
whistleblower allegations to the agency head concerned and
require an agency investigation and a report to the Congress
and the President when appropriate.
RECOMMENDATION
The Committee recommends an appropriation of $11,823,000
for the Office of Special Counsel, an increase of $701,000 from
amounts appropriated in fiscal year 2001 and an increase of
$39,000 from amounts requested by the President. The
Committee's recommendation includes an increase of $39,000 for
non-pay inflation.
United States Tax Court
SALARIES AND EXPENSES
Appropriation, fiscal year 2001 to date............... $37,223,000
Budget estimate, fiscal year 2002..................... 37,305,000
Recommended in the bill............................... 37,621,000
Bill compared with:
Appropriation, fiscal year 2001................... +398,000
Budget Estimate, fiscal year 2002................. +316,000
MISSION
The bulk of the Court's work is the trial and adjudication
of controversies involving deficiencies in income, estate, and
gift taxes. The Court also has jurisdiction to redetermine
deficiencies in certain excise taxes; to issue declaratory
judgments in the areas of qualification of retirement plans,
exemption of charitable organizations and the status of certain
governmental obligations; and to decide certain cases involving
disclosure of tax information by the Commissioner of Internal
Revenue.
RECOMMENDATION
The Committee recommends an appropriation of $37,621,000
for the U.S. Tax Court, an increase of $398,000 from amounts
appropriated in fiscal year 2001 and an increase of $316,000
from amounts requested by the President. The Committee's
recommendation includes an increase of $316,000 for non-pay
inflation.
TITLE V--GENERAL PROVISIONS
This Act
Section 501. The Committee continues the provision limiting
the expenditure of funds to the current year unless expressly
provided in this Act.
Section 502. The Committee continues the provision limiting
the expenditure of funds for consulting services under certain
conditions.
Section 503. The Committee continues the provision
prohibiting the use of funds to engage in activities that would
prohibit the enforcement of section 307 of the 1930 Tariff Act.
Section 504. The Committee continues the provision
prohibiting the transfer of control over the Federal Law
Enforcement Training Center out of the Department of the
Treasury.
Section 505. The Committee continues the provision
concerning employment rights of Federal employees who return to
their civilian jobs after assignment with the Armed Forces.
Section 506. The Committee continues the provision
concerning compliance with the Buy American Act.
Section 507. The Committee continues the provision
regarding the purchase of American made equipment and products.
Section 508. The Committee continues the provision
prohibiting contract eligibility where fraudulent intent has
been proven in affixing ``Made in America'' labels.
Section 509. The Committee continues the provision
prohibiting the expenditure of funds for abortions under the
FEHBP.
Section 510. The Committee continues the provision that
would authorize the expenditure of funds for abortions under
the FEHBP if the life of the mother is in danger or the
pregnancy is a result of an act of rape or incest.
Section 511. The Committee continues the provision
providing that fifty percent of unobligated balances may remain
available for certain purposes.
Section 512. The Committee continues the provision
restricting the use of funds for the White House to request
official background reports without the written consent of the
individual who is the subject of the report.
Section 513. The Committee continues the provision that
cost accounting standards under the Federal Procurement Policy
Act shall not apply to the FEHBP.
Section 514. The Committee continues a provision regarding
non-foreign area cost of living allowances.
Section 515. The Committee includes a new provision
regarding apportionment for International Food Assistance
Programs.
TITLE VI--GOVERNMENTWIDE GENERAL PROVISIONS
Departments, Agencies, and Corporations
Section 601. The Committee continues the provision
authorizing agencies to pay costs of travel to the United
States for the immediate families of Federal employees assigned
to foreign duty in the event of a death or a life threatening
illness of the employee.
Section 602. The Committee continues the provision
requiring agencies to administer a policy designed to ensure
that all of its workplaces are free from the illegal use of
controlled substances.
Section 603. The Committee continues the provision
regarding price limitations on vehicles to be purchased by the
Federal Government.
Section 604. The Committee continues the provision allowing
funds made available to agencies for travel, to also be used
for quarters allowances and cost-of-living allowances.
Section 605. The Committee continues the provision
prohibiting the government, with certain specified exceptions,
from employing non-U.S. citizens whose posts of duty would be
in the continental U.S.
Section 606. The Committee continues the provision ensuring
that agencies will have authority to pay GSA bills for space
renovation and other services.
Section 607. The Committee continues the provision allowing
agencies to finance the costs of recycling and waste prevention
programs with proceeds from the sale of materials recovered
through such programs.
Section 608. The Committee continues the provision
providing that funds may be used to pay rent and other service
costs in the District of Columbia.
Section 609. The Committee continues the provision
precluding the financing of groups by more than one Federal
agency absent prior and specific statutory approval.
Section 610. The Committee continues the provision
authorizing the Postal Service to employ guards and give them
the same special police powers as GSA guards.
Section 611. The Committee continues the provision
prohibiting the use of funds for enforcing regulations
disapproved in accordance with the applicable law of the U.S.
Section 612. The Committee continues the provision limiting
the pay increases of certain prevailing rate employees.
Section 613. The Committee continues the provision limiting
the amount of funds that can be used for redecoration of
offices under certain circumstances.
Section 614. The Committee continues the provision
prohibiting the expenditure of funds for the acquisition of
additional law enforcement training facilities.
Section 615. The Committee continues the provision to allow
for interagency funding of national security and emergency
telecommunications initiatives.
Section 616. The Committee continues the provision
requiring agencies to certify that a Schedule C appointment was
not created solely or primarily to detail the employee to the
White House.
Section 617. The Committee continues the provision
requiring agencies to administer a policy designed to ensure
that all workplaces are free from discrimination and sexual
harassment.
Section 618. The Committee continues the provision
prohibiting the importation of any goods manufactured by forced
or indentured child labor.
Section 619. The Committee continues the provision
prohibiting the payment of any employee who prohibits,
threatens or prevents another employee from communicating with
Congress.
Section 620. The Committee continues the provision
prohibiting Federal training not directly related to the
performance of official duties.
Section 621. The Committee continues the provision
prohibiting the expenditure of funds for implementation of
agreements in nondisclosure policies unless certain provisions
are included.
Section 622. The Committee continues the provision
prohibiting propaganda, publicity and lobbying by executive
agency personnel in support or defeat of legislative
initiatives.
Section 623. The Committee continues the provision
prohibiting any Federal agency from disclosing an employee's
home address to any labor organization, absent employee
authorization or court order.
Section 624. The Committee continues the provision
prohibiting funds to be used to provide non-public information
such as mailing or telephone lists to any person or
organization outside the government without the approval of the
Committees on Appropriations.
Section 625. The Committee continues the provision
prohibiting the use of funds for propaganda and publicity
purposes not authorized by Congress.
Section 626. The Committee continues the provision
directing agency employees to use official time in an honest
effort to perform official duties.
Section 627. The Committee continues the provision
authorizing the use of funds to finance an appropriate share of
the Joint Financial Management Improvement Program.
Section 628. The Committee continues and modifies the
provision authorizing agencies to transfer funds to the Policy
and Operations account of GSA to finance an appropriate share
of the Joint Financial Management Improvement Program.
Section 629. The Committee continues a provision, with
technical modifications, authorizing an Executive agency to use
certain funds to improve the affordability of child care for
lower income Federal employees.
Section 630. The Committee continues the provision that
permits breast feeding in a Federal building or on Federal
property if the woman and child are authorized to be there.
Section 631. The Committee continues the provision that
permits interagency funding of the National Science and
Technology Council and provides for a report on the budget and
resources of the National Science and Technology Council. The
report should include the entire budget of the National Science
and Technology Council.
Section 632. The Committee continues the provision
requiring that any request for proposals, solicitation, grant
application, form, notification, press release, or other
publications involving the distribution of Federal funds shall
indicate the agency providing the funds and the amount
provided. This provision shall apply to direct payments,
formula funds, and grants received by a State receiving Federal
funds.
Section 633. The Committee includes a new provision to
extend the authorization for franchise fund pilots for one year
in order to allow the Administration to evaluate their results
and make a decision regarding permanent authority.
Section 634. The Committee includes a new provision to
clarify that the Department of the Navy will provide and pay
for utilities for the official residence of the Vice President
without reimbursement.
Section 635. The Committee includes a new provision
authorizing the Secretary of the Navy to accept gifts of
consumable items, or funds for them, to be accepted for use at
official functions at the Vice President's residence, including
the hosting of foreign dignitaries.
Section 636. The Committee includes a new provision
clarifying that certain Title 5 authorities are available with
respect to civilian personnel of the White House Office, the
Executive Residence at the White House, the Office of the Vice
President, the Domestic Policy Council, and the Office of
Administration.
Section 637. The Committee includes a new provision
requiring the Office of Personnel Management to submit a report
regarding telecommuting centers.
Section 638. The Committee continues and modifies a
provision prohibiting the use of funds to monitor personal
information relating to the use of Federal internet sites.
Applies provision government-wide.
Section 639. The committee includes a new provision
amending Title 5 to clarify retirement benefits for air traffic
controllers.
Section 640. The Committee includes a new provision
amending 5 U.S.C. 4507 to make Federal employees in senior
technical positions eligible for Presidential rank awards.
Section 641. The Committee includes a new general provision
extending authority for the FEC to assess administrative fines
for straightforward violations of reporting deadlines from
December 31, 2001 to December 31, 2003.
Section 642. The Committee continues, with a technical
modification, the provision addressing contraceptive coverage
in health plans participating in the FEHBP. The technical
modification deletes the name of a provider no longer
participating in the program.
Section 643. The Committee includes a new provision
concerning pay parity for federal civilian employees.
Appropriations Can Be Used Only for the Purposes for Which Made
Title 31 of the United States Code makes clear that
appropriations can be used only for the purposes for which they
were appropriated as follows:
Section 1301. Application.
(a) Appropriations shall be applied only to the objects for
which the appropriations were made except as otherwise provided
by law.
Compliance With House Rules
TRANSFER OF FUNDS
Pursuant to clause 3(f)(2), rule XIII of the Rules of the
House of Representatives, the following is submitted describing
the transfer of funds provided in the accompanying bill.
The table shows, by title, department and agency, the
appropriations affected by such transfers:
APPROPRIATION TRANSFERS RECOMMENDED IN THE BILL
----------------------------------------------------------------------------------------------------------------
Account to which transfer is to be Account from which
made Amount transfer is to be made Amount
----------------------------------------------------------------------------------------------------------------
Treasury Department offices, bureaus $67,828,000 Department-wide Systems $67,828,000
and other groups. and Capital Investments
programs.
Customs, Salaries & Expenses......... 2,993,000 Harbor Maintenance Fee 2,993,000
Collection.
Federal Departments.................. 1,300,000 Office of National Drug 1,300,000
Control Policy.
State and local entries.............. 118,065,000 Federal Drug Programs-- 118,065,000
HIDTA.
Federal Departments.................. 112,935,000 Federal Drug Programs-- 112,935,000
HIDTA.
State and local entities............. 22,236,000 Counterdrug Technology 22,236,000
Assessment Center.
Federal Departments.................. 17,764,000 Counterdrug Technology 17,764,000
Assessment Center.
Federal Departments.................. 238,800,000 Special Forfeiture Fund. 238,800,000
Personnel Management................. 115,928,000 Trust Funds, Office of 115,928,000
Personnel Management.
Inspector General, OPM............... 10,016,000 Trust Funds, Office of 10,016,000
Personnel Management.
Merit System Protection Board........ 2,520,000 Civil Service Retirement 2,520,000
and Disability Trust
Fund.
Federal Financing Bank............... 72,000,000 General Service 72,000,000
Administration, Federal
Buildings Fund.
Federal Departments.................. 5,000,000 General Services 5,000,000
Administration,
Electronic Government
Fund.
Treasury Department offices, bureaus 850,000 General Services 850,000
and other groups. Administration,
Allowances and Office
Staff for Former
Presidents.
Treasury Department offices, bureaus, $10,000,000 Expanded Access to 10,000,000
and other organizations. Financial Services.
----------------------------------------------------------------------------------------------------------------
RESCISSION OF FUNDS
In compliance with clause 3(f)(2) of rule XIII of the Rules
of the House of Representatives, the Committee reports that it
recommends no rescissions in the bill.
CONSTITUTIONAL AUTHORITY
Clause 3(d)(1) of rule XIII of the Rules of the House of
Representatives states that:
Each report of a committee on a bill or joint
resolution of a public character, shall include a
statement citing the specific powers granted to the
Congress in the Constitution to enact the law proposed
by the bill or joint resolution.
The Committee on Appropriations bases its authority to
report this legislation from Clause 7 of Section 9 of Article I
of the Constitution of the United States of America that
states:
No money shall be drawn from the Treasury but in
consequence of Appropriations made by law * * * ''
Appropriations contained in this Act are made pursuant to
this specific power granted by the Constitution.
STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES
Pursuant to clause 3(c)(4) of rule XIII of the Rules of the
House of Representatives, the following is a statement of
general performance goals and objectives for which this measure
authorizes funding:
The Committee on Appropriations considers program
performance, including a program's success in developing and
attaining outcome-related goals and objectives, in develping
funding recommendations.
COMPLIANCE WITH RULE XIII, CL. 3(E) (RAMSEYER RULE)
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, existing law in which no change is
proposed is shown in roman):
SECTION 122 OF DEPARTMENTS OF COMMERCE, JUSTICE, AND STATE, THE
JUDICIARY, AND RELATED AGENCIES APPROPRIATIONS ACT, 1998
(Public Law 105-119)
Sec. 122. (a) * * *
* * * * * * *
(g)(1) Notwithstanding any other provision of law and subject
to paragraph (2), the Secretary of the Treasury is authorized
to establish, for a period of [three] four years from date of
enactment of this provision, a personnel management
demonstration project providing for the compensation and
performance management of not more than a combined total of 950
employees who fill critical scientific, technical, engineering,
intelligence analyst, language translator, and medical
positions in the Bureau of Alcohol, Tobacco and Firearms[, the
United States Customs Service, and the United States Secret
Service].
* * * * * * *
----------
SECTION 403 OF GOVERNMENT MANAGEMENT REFORM ACT OF 1994
(Public Law 103-356)
SEC. 403. FRANCHISE FUND PILOT PROGRAMS.
(a) * * *
* * * * * * *
(f) Termination.--The provisions of this section shall expire
on October 1, [2001] 2002.
----------
ACT OF JULY 12, 1974
(Public Law 93-346)
JOINT RESOLUTION Designating the premises occupied by the Chief of
Naval Operations as the official residence of the Vice President,
effective upon the termination of service of the incumbent Chief of
Naval Operations.
* * * * * * *
Sec. 3. The Secretary of the Navy shall, subject to the
supervision and control of the Vice President, provide for the
military staffing, utilities (including electrical) for, and
the care and maintenance of the grounds of the temporary
official residence of the Vice President and, subject to
reimbursement therefor out of funds appropriated for such
purposes, provide for the civilian staffing, care, maintenance,
repair, improvement, alteration, and furnishing of such
residence.
* * * * * * *
Sec. 6. The Secretary of the Navy is authorized and directed,
with the approval of the Vice President, to accept donations of
money or property for the furnishing of or making improvements
in or about, or for use at official functions in or about, the
temporary official residence of the Vice President, all such
donations to become the property of the United States and to be
accounted for as such.
* * * * * * *
----------
TITLE 5, UNITED STATES CODE
* * * * * * *
PART III--EMPLOYEES
* * * * * * *
Subpart C--Employee Performance
* * * * * * *
CHAPTER 45--INCENTIVE AWARDS
SUBCHAPTER I--AWARDS FOR SUPERIOR ACCOMPLISHMENTS
Sec.
4501. Definitions.
* * * * * * *
4507. Awarding of ranks in the Senior Executive Service.
4507a. Awarding of ranks to other senior career employees.
* * * * * * *
SUBCHAPTER I--AWARDS FOR SUPERIOR ACCOMPLISHMENTS
* * * * * * *
Sec. 4506. Regulations
The Office of Personnel Management shall prescribe
regulations and instructions under which [the agency awards
program] the awards programs set forth by this subchapter shall
be carried out.
* * * * * * *
Sec. 4507a. Awarding of ranks to other senior career employees
(a) For the purpose of this section, the term ``senior career
employee'' means an individual appointed to a position
classified above GS-15 and paid under section 5376 who is not
serving--
(1) under a time-limited appointment; or
(2) in a position that is excepted from the
competitive service because of its confidential or
policy-making character.
(b) Each agency employing senior career employees shall
submit annually to the Office of Personnel Management
recommendations of senior career employees in the agency to be
awarded the rank of Meritorious Senior Professional or
Distinguished Senior Professional, which may be awarded by the
President for sustained accomplishment or sustained
extraordinary accomplishment, respectively.
(c) The recommendations shall be made, reviewed, and awarded
under the same terms and conditions (to the extent determined
by the Office of Personnel Management) that apply to rank
awards for members of the Senior Executive Service under
section 4507.
* * * * * * *
Subpart G--Insurance and Annuities
* * * * * * *
CHAPTER 83--RETIREMENT
* * * * * * *
SUBCHAPTER III--CIVIL SERVICE RETIREMENT
* * * * * * *
Sec. 8335. Mandatory separation
(a) An air traffic controller shall be separated from the
service on the last day of the month in which he becomes 56
years of age[.] or completes the age and service requirements
for an annuity under section 8336, whichever occurs later. The
Secretary, under such regulations as he may prescribe, may
exempt a controller having exceptional skills and experience as
a controller from the automatic separation provisions of this
subsection until that controller becomes 61 years of age. The
Secretary shall notify the controller in writing of the date of
separation at least 60 days before that date. Action to
separate the controller is not effective, without the consent
of the controller, until the last day of the month in which the
60-day notice expires.
* * * * * * *
----------
SECTION 640 OF THE TREASURY AND GENERAL GOVERNMENT APPROPRIATIONS ACT,
2000
Sec. 640. (a) * * *
* * * * * * *
(c) Effective Date.--The amendments made by this section
shall apply with respect to [violations occurring between
January 1, 2000 and December 31, 2001] violations that relate
to reporting periods that begin on or after January 1, 2000,
and that end on or before December 31, 2003.
FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS
In accordance with section 308(a)(1)(C) of the
Congressional Budget Act of 1974 (Public Law 93-344), as
amended, the financial assistance to state and local
governments is as follows:
Millions
FY 2002 new budget authority............................ 232
2002 outlays resulting therefrom........................ 58
COMPARISON WITH BUDGET RESOLUTION
Clause 3(c)(2) of rule XIII of the House of Representatives
requires section 308(a)(1)(A) of the Congressional Budget and
Impoundment Control Act of 1974 (Public Law 93-344), as
amended, requires that the report accompanying a bill providing
new budget authority contain a statement detailing how the
authority compares with the reports submitted under section
302(b) of the Act for the most recently agreed to concurrent
resolution on the budget for the fiscal year. This information
follows:
[In millions of dollars]
----------------------------------------------------------------------------------------------------------------
302(b) allocation This bill--
---------------------------------------------------
Budget Budget
authority Outlays authority Outlays
----------------------------------------------------------------------------------------------------------------
Discretionary............................................... 16,880 16,134 13,021 16,223
Mandatory................................................... 15,478 15,475 15,478 15,475
----------------------------------------------------------------------------------------------------------------
Note.--Pursuant to section 314 of the Congressional Budget Act of 1974, as amended, increases to the Committee's
section 302(a) allocation are authorized for funding in the reported bill for the Earned Income Tax Credit
Compliance Initiative. After the bill is reported to the House, the Chairman of the Committee on the Budget
will provide an increased section 302(a) allocation consistent with the funding provided in the bill.
FIVE YEAR OUTLAY PROJECTIONS
In compliance with section 308(a)(1)(B) of the
Congressional Budget Act of 1974 (Public Law 93-344), as
amended, the following table contains five-year projections
associated with the budget authority provided in the
accompanying bill:
Millions
Budget Authority........................................ 32,499
Outlays:
Fiscal year 2002.................................... 27,972
Fiscal year 2003.................................... 2,830
Fiscal year 2004.................................... 671
Fiscal year 2005.................................... 262
Fiscal year 2006 and future years................... 131
Note.--The above table includes mandatory appropriations and
discretionary appropriations.
---------------------------------------------------------------------------
COMPLIANCE WITH RULE XIII, CLAUSE 3(F)(1)
Pursuant to clause 3(f)(1) of rule XIII of the Rules of the
House of Representatives, the Committee has inserted at the
appropriate place in the report a description of the effects of
provisions proposed in the accompanying bill which may be
considered, under certain circumstances, to change the
application of existing law, either directly or indirectly.
The bill provides, in some instances, for funding of
agencies and activities where legislation has not yet been
finalized. In addition, the bill carries language, in some
instances, permitting activities not authorized by law, or
exempting agencies from certain provisions of law, but which
has been carried in appropriations acts for many years.
Additionally, the Committee includes a number of new general
provisions.
In title IV of the bill, in connection with the General
Services Administration, certain limitations on availability of
revenue in the Federal Buildings Fund and certain legislative
provisions have been carried forward from last year.
The bill continues a number of general provisions applying
to agencies covered by the bill as well as certain provisions
applying Government-wide. These provisions have been carried in
the prior year appropriations bill, and some have been carried
for many years. Additionally, the Committee includes a number
of new general provisions.
TITLE I--DEPARTMENT OF THE TREASURY
Departmental Offices
The Committee has continued language which provides funds
for operation and maintenance of the Treasury Building and
Annex, hire of passenger motor vehicles; maintenance, repairs,
and improvements of, and purchase of commercial insurance
policies for real properties leased or owned overseas; official
travel expenses, official reception and representation
expenses; and unforeseen emergencies of a confidential nature.
The Committee continues language providing funds for grants to
state and local law enforcement groups to help fight money
laundering.
Department-Wide Systems and Capital Investments Programs
The Committee has continued language that provides funds
for the development and acquisition of automated data
processing equipment, software, and services, providing
transfer authority, and prohibiting expenditures for IRS's
Information Technology Systems.
Office Of Inspector General
The Committee has continued language that provides funds to
carry out the provisions of the Inspector General Act of 1978,
the hire of vehicles, official travel expenses, and unforeseen
emergencies.
Treasury Inspector General For Tax Administration
The Committee has continued language that provides for the
purchase and hire of motor vehicles, services by 5 U.S.C. 3109,
travel expenses, and unforeseen emergencies.
Treasury Building and Annex Repair and Restoration
The Committee has continued language that provides funds
for the repair, alteration, and improvement of the Treasury
Building and Annex.
Expanded Access to Financial Services
The Committee has continued language providing $10,000,000
for the Secretary of the Treasury to develop and implement a
program to expand access to financial services to low-income
individuals who do not currently utilize bank accounts or other
financial service opportunities.
Financial Crimes Enforcement Network
The Committee has continued language that provides funds
for hire of vehicles and official reception and representation
expenses; the travel of non-federal personnel attending
conferences or meetings involving financial law enforcement,
intelligence, and regulation; the purchase of personal services
contracts; and allowing FinCEN to provide assistance to federal
law enforcement agencies with or without reimbursement.
Counterterrorism Fund
The Committee continues and modifies language that provides
funds for the Secretary of the Treasury to reimburse Treasury
Department organizations for support of countererrorism
efforts. The language no longer designates this as emergency
funding.
Federal Law Enforcement Training Center
The Committee has continued language that provides funds
for: material and support costs of basic training; the purchase
and hire of vehicles; student athletic and related activities;
uniform purchases; for the conduct of and participation in
firearms matches, and presentation of awards; room and board
for interns; training U.S. Postal Service, State and local law
enforcement personnel; training of foreign law enforcement
personnel on a space available, reimbursable basis with
discretion by the Secretary to waive reimbursement; training of
private sector security officials on a reimbursable space
available basis; travel expenses of non-federal personnel to
attend course development meetings and training sponsored by
the Center; training for the GREAT program; and the provision
of short term medical services for students undergoing training
at the center. It has also continued language authorizing
acceptance of gifts, including funding of a gift for certain
honor graduate students, and to authorize obligation of funds
in anticipation of reimbursements from agencies receiving
training at the Center, provided that total obligations do not
exceed total budgetary resources at the end of the fiscal year.
Acquisition, Construction, Improvements, and Related Expenses
The Committee has continued language for acquisition of
necessary additional real property and facilities, and for
ongoing maintenance, facility improvements, and related
expenses, to remain available until expended.
Interagency Crime and Drug Enforcement
The Committee has continued language funding Treasury
participation in and contribution to regional crime and drug
enforcement task forces.
Financial Management Service
The Committee has continued language that provides that
funds for necessary expenses of the Financial Management
Service, a representation allowance, and provides that funds
for systems modernization will remain available for three
years.
Bureau of Alcohol, Tobacco and Firearms
The Committee has continued language which provides funds
for the hire of aircraft, the services of expert witnesses,
official reception and representation expenses, training of
State and local law enforcement agencies, the provision of
laboratory assistance to State and local agencies, the payment
of attorney's fees, the equipping of certain vessels, vehicles,
equipment or aircraft. The Committee has continued language
that: provides that no funds shall be used to consolidate or
centralize the records pertaining to firearms licenses;
prohibits the payment of administrative expenses in changing
the definition of curios or relics; prohibits the transfer of
ATF's functions to another federal agency; prohibiting
electronic retrieval of information gathered pursuant to 18
U.S.C. 923(g)(4) by name or personal identification; and
prohibits ATF from acting upon applications for relief from
Federal firearms disabilities. The Committee has continued
language relating to payment of per diem and/or subsistence
allowances to cover situations where a major investigative
assignment requires an employee to work 16 hours or more per
day or to remain overnight at his or her post of duty; and
continues language providing funding for cooperative research
and development programs for Laboratory Services and Fire
Research Center activities. The Committee continues and
modifies language regarding the purchase of vehicles. The
Committee includes language making funding for Gang Resistance
Education And Training (GREAT) grants available for obligation
until September 30, 2003.
United States Customs Service
SALARIES AND EXPENSES
The Committee has continued and modified language that
provides funds for the purchase and hire of vehicles, official
reception and representation expenses, personal services
contracts abroad, compensation to informers, rental space for
pre-clearance operations, special operations, procurement of
automation infrastructure items, research, uniforms, repairs to
Customs facilities, the child pornography tipline and Project
Alert. The Committee continues the provision establishing the
aggregate overtime limitation. The Committee eliminates
language restricting the number of vehicles that may be
procured, and includes new language that provides funding for
the procurement and deployment of non-intrusive inspection
technology.
HARBOR MAINTENANCE FEE COLLECTION
The Committee has continued language relating to the
appropriations of funds to be transferred to and merged with
the Customs Salaries and Expenses account to be used for the
collection of the Harbor Maintenance Fee pursuant to Public Law
103-182.
OPERATION, MAINTENANCE, AND PROCUREMENT, AIR AND MARINE INTERDICTION
PROGRAMS
The Committee has continued language providing funds for
the operation and maintenance of marine vessels, aircraft and
other equipment; operational training and mission-related
travel; rental payments; operations for interdiction of
narcotics and other goods; provision of support to Customs and
other federal, state, or local agencies in enforcement or
administration of laws enforced by Customs; and for other law
enforcement and emergency humanitarian efforts; and prohibiting
transfer of certain aircraft without prior Committee approval.
AUTOMATION MODERNIZATION
The Committee has continued and modified language providing
funding for major information technology projects for the U.S.
Customs Service, provides that funds are available until
expended, and modifies the characterization of expenditure
plans.
U.S. Mint
The Committee has included new language identifying the
source of funding for the operations and activities of the U.S.
Mint and specifying the level of funding for circulating
coinage and protective service capital investments. The
Committee has included new language requiring the U.S. Mint pay
for a study of coin circulation by the General Accounting
Office.
Bureau of the Public Debt
The Committee has continued language which provides that
funds may be used for reception and representation expenses and
language which provides that a portion of the funds will remain
available until expended. The Committee also has continued
language which provides that appropriations from the General
Fund will be reduced as fees are collected and language which
provides that funds are to be derived from the Oil Spill
Liability Trust Fund for administration of the Fund.
Internal Revenue Service
PROCESSING, ASSISTANCE, AND MANAGEMENT
The Committee has continued language providing funds for
management services, rent and utilities, services authorized by
5 U.S.C. 3109, and official reception and representation
expenses. The Committee has modified the language concerning
the intent of the funds to include reference to pre-filing and
filing services and related activities. The Committee also has
continued language providing funds for the Tax Counseling for
the Elderly program.
TAX LAW ENFORCEMENT
The Committee has continued language that provides funds
for the purchase and hire of vehicles, and services authorized
by 5 U.S.C. 3109. The Committee has modified the language
concerning the intent of the funds to include reference to
post-filing services and related activities. The Committee
continues language providing that funds provided for research
shall be available for two fiscal years.
EARNED INCOME TAX CREDIT COMPLIANCE INITIATIVE
The Committee has continued language providing that funds
for earned income tax credit compliance and error reduction
initiatives may be used to reimburse the Social Security
Administration.
INFORMATION SYSTEMS
The Committee has continued language that provides funds
for information systems and telecommunications support and
funds for the hire of motor vehicles.
BUSINESS SYSTEMS MODERNIZATION
The Committee has continued language that provides for the
capital asset acquisition of information technology, including
management and related contractual costs of said acquisitions,
including contractual costs associated with operation
authorized by 5 U.S.C. 3109. The Committee has renamed the
account, previously called the Information Technology
Investment account, and continued restrictions on the use of
the funds.
ADMINISTRATIVE PROVISIONS--INTERNAL REVENUE SERVICE
Section 101. The Committee continues the provision that
allows the transfer of 5 percent of any appropriation, made
available to the IRS to any other IRS appropriation, subject to
prior Congressional approval.
Section 102. The Committee continues the provision that
requires the IRS to maintain a training program in taxpayer's
rights, dealing courteously with taxpayers, and cross cultural
relations.
Section 103. The Committee continues the provision that
requires the IRS to institute policies and procedures, which
will safeguard the confidentiality of taxpayer information.
Section 104. The Committee continues the provision that
requires the IRS to maintain and improve a 1-800 help line
service for taxpayers.
United States Secret Service
The Committee has continued language that provides funds
for the hire of aircraft, training and assistance requested by
State and local governments, services of expert witnesses,
rental of certain buildings, improvements to buildings as may
be necessary for protective functions, per diem and subsistence
allowance, the conduct of firearms matches, presentation of
awards, travel of employees on protective missions, for
repairs, alterations, and minor construction, making grants to
conduct behavioral research, uniforms, research reimbursement
for protection as authorized by law, reception and
representation expenses, assistance to foreign law enforcement
for counterfeit investigations. The Committee continues
language permitting some funding for protective travel to
remain available for two years. The Committee continues
language making funds available as a grant for activities
related to the investigations of exploited children. The
Committee continues and modifies language regarding the
purchase of vehicles.
ACQUISITION, CONSTRUCTION, IMPROVEMENT, AND RELATED EXPENSES
The Committee has continued language providing funds for
the acquisition, construction, improvement, and related
expenses of Secret Service facilities.
General Provisions--Department of the Treasury
Section 110. The Committee continues the provision that
requires the Secretary of the Treasury to comply with certain
reprogramming guidelines when obligating or expending funds for
law enforcement activities.
Section 111. The Committee continues the provision that
allows the Department of the Treasury to purchase uniforms,
insurance, and motor vehicles without regard to the general
purchase price limitation, and enter in to contracts with the
State Department for health and medical services for Treasury
employees in overseas locations.
Section 112. The Committee continues the provision that
requires expenditures of funds so as not to diminish efforts
under the Federal Alcohol Administration Act.
Section 113. The Committee continues the provision that
authorizes transfers, up to 2 percent, between law enforcement
appropriations under certain circumstances.
Section 114. The Committee continues the provision that
authorizes transfers, up to 2 percent, between Departmental
Offices, Office of the Inspector General, Financial Management
Service, and the Bureau of the Public Debt appropriations under
certain circumstances.
Section 115. The Committee continues the provision that
authorizes transfer, up to 2 percent, between the Internal
Revenue Service and the Treasury Inspector General for Tax
Administration under certain circumstances.
Section 116. The Committee continues the provision that
provides that no funds may be obligated for the purchase of law
enforcement vehicles until the Secretary of the Treasury
certifies that the purchase is consistent with Departmental
vehicle management principles.
Section 117. The Committee continues the provision that
prohibits the Department of the Treasury from undertaking a
redesign of the $1 Federal Reserve note.
Section 118. The Committee continues the provision that
provides for transfers from and reimbursements to the Salaries
and Expenses appropriation of the Financial Management Service
for the purposes of debt collection.
Section 119. The Committee includes a new provision that
authorizes intelligence and intelligence-based activities of
the Department of Treasury.
Section 120. The Committee includes a new provision that
extends the pilot project for designated critical occupations
for one additional year.
Section 121. The Committee includes a new provision that
requires authorization for the construction and operation of a
museum by the United States Mint.
TITLE II--POSTAL SERVICE
Payment to the Postal Service Fund
The Committee has continued language that prohibits funds
made available to the Postal Service from being used to close
or consolidate certain post offices, from charging employees of
local and child support agencies a fee for information,
provides funds for free mail for the blind, and for six day
mail delivery and rural delivery of mail at existing levels.
The Committee continues language regarding the availability of
funds.
TITLE III--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO
THE PRESIDENT
Compensation of the President and the White House Office
The Committee has continued language that mandates that
unused amounts of the President's expense allowance will revert
to the Treasury and not be taxable to the President and which
provides funds for service authorized by 5 U.S.C. 3109,
subsistence expenses, hire of vehicles, newspapers,
periodicals, teletype news service, travel, and official
entertainment expenses. The Committee has continued language
making funds available for reimbursement to the White House
Communications Agency.
Executive Residence at the White House
The Committee has continued language that provides funds
for operation and maintenance of the White House for official
entertainment expenses; language specifying the authorized use
of funds; language specifying that reimbursable expenses are
the exclusive authority of the Executive Residence to incur
obligations and receive offsetting collections; language
requiring the sponsors of political events to make advance
payments; language requiring the national committee of the
political party of the President to maintain $25,000 on
deposit; language requiring the Executive Residence to ensure
that amounts owed are billed within 60 days of a reimbursable
event and collected within 30 days of the bill notice; language
authorizing the Executive Residence to charge and assess
interest and penalties on late payments; language authorizing
all reimbursements to be deposited into the Treasury as a
miscellaneous receipt; language requiring a report to the
Committee on the reimbursable expenses within 90 days of the
end of the fiscal year; language requiring the Executive
Residence to maintain a system for tracking and classifying
reimbursable events; and language specifying that the Executive
Residence is not exempt from the requirements of subchapter I
or II of chapter 37 of title 31, United States Code.
White House Repairs and Restoration
The Committee has continued language that provides funds
for the repair, alteration, and improvement of the Executive
Residence at the White House and includes new language that
allows the funds to be used for preventative maintenance in
conjunction with the General Services Administration, the
Secret Service, the Office of the President, and other agencies
charged with the administration and care of the White House.
Special Assistance to the President and Official Residence of the Vice
President
The Committee has continued language that provides funds
for operation and maintenance of the official residence of the
Vice President, the hire of vehicles, official entertainment
expenses and provides for the transfer of funds as necessary.
The Committee has continued language that enables the Vice
President to provide assistance to the President, services
authorized by 5 U.S.C. 3109, subsistence, and the hire for
vehicles.
Council of Economic Advisers
The Committee has continued language that provides funds
for the expenses of the Council of Economic Advisers.
Office of Policy Development
The Committee has continued language that provides funds
for expenses of the Office of Policy Development.
National Security Council
The Committee has continued language that provides funds
for expenses of the National Security Council.
Office of Administration
The Committee has continued language that provides funds
for expenses of the Office and the hire of vehicles and funds
for a capital investment plan that provides for the continued
modernization of the information technology infrastructure. The
Committee has included new language prohibiting the use of
certain Information Technology funds until the Office of
Administration submits a report that (a) includes an Enterprise
Architecture, as defined in OMB Circular A-130 and federal
Chief Information Officer guidance; (b) presents and
Information Technology (IT) Human Capital Plan, to include an
inventory of current IT workforce knowledge and skills, a
definition of needed IT knowledge and skills, a gap analysis of
any shortfalls, and a plan for addressing any shortfalls; (c)
presents a capital investment plan for implementing the
Enterprise Architecture; (d) includes a description of the IT
capital planning and investment control process; and (e) is
reviewed and approved by OMB, is reviewed by the General
Accounting Office, and is approved by the Committee on
Appropriations.
Office of Management and Budget
The Committee has continued language that provides funds
for expenses, the hire of vehicles, carrying out provisions of
chapter 35 of 44 U.S.C., directs that funds shall be applied
only to items for which appropriations were made, prohibits the
review of agricultural marketing orders and the alteration of
certain testimony. The Committee has included new language: (1)
establishing a representational allowance; (2) prohibiting the
use of funds for the purpose of OMB calculating, preparing, or
approving any tabular or other material that proposes the sub-
allocation of budget authority or outlays by the Committees on
Appropriations; (3) prohibiting the obligation of certain funds
for the Office of Information and Regulatory Affairs until the
Office of Management and Budget submits a report to the House
Committee on Appropriations that provides an assessment of the
total costs of implementing Executive Order 13166; and (4)
requiring the Housing, Treasury and Finance Division, in
consultation with the Small Business Administration, to develop
subsidy cost estimates for certain loans and to report on the
progress of these estimates prior to the submission of the
President's fiscal year 2003 budget.
Office of National Drug Control Policy
The Committee has continued language that provides funds
for expenses, research, official reception and representation
expenses, participation in joint projects, and allows for the
acceptance of gifts. The Committee has continued language
providing funds for model state drug law conferences and policy
research and evaluation and making these funds available until
expended.
Counterdrug Technology Assessment Center
The Committee has continued language that provides funds
for counternarcotics research and development and the
technology transfer program.
Federal Drug Control Programs
HIGH INTENSITY DRUG TRAFFICKING AREAS PROGRAM
The Committee has continued language that provides a
certain level of funding for drug control activities for State,
local and Federal drug control efforts, and requires obligation
of funds within a specified period of time. The Committee
continues language regarding the availability of funds.
SPECIAL FORFEITURE FUND
The Committee has continued and modified language that
provides a certain level of funding for the Drug-Free Media
Campaign Act, for the Drug-Free Communities Act, and to provide
a grant to the National Drug Court Institute, and for the
Counterdrug Intelligence Executive Secretariat. The Committee
also modifies language relating to funding anti-doping efforts
through the U.S. Anti-Doping Agency.
TITLE IV--INDEPENDENT AGENCIES
Committee for Purchase From People Who Are Blind or Severely Disabled
The Committee has continued language that provides funds
for expenses of the Committee.
Federal Election Commission
The Committee has continued language that provides funds
for expenses of the Commission and specifying a level of
funding for internal automated data processing systems and
reception and representation expenses.
Federal Labor Relations Authority
The Committee has continued language that provides funds
for the expenses of the authority, including authorized
services, hire of experts and consultants, hire of passenger
motor vehicles, and rental of conference rooms in the District
of Columbia. The Committee has also continued provisions on
compensation for public members of the Federal Service Impasse
Panel and of the use of fees charged to participants at labor-
management relations conferences.
General Services Administration
FEDERAL BUILDINGS FUND
The Committee has continued language dealing with the
conditions under which funds made available to the Federal
Buildings Fund can be used and has designated certain projects
that can be undertaken. Many technical provisions have been
included regarding use of funds in the Federal Buildings Fund
that are not specifically authorized by law.
The Committee has continued language to limit funds
available for construction and repair and alteration of
building projects not authorized by law. A more detailed
analysis of the Federal Buildings Funds can be found in the
General Services Administration chapter of this report.
POLICY AND OPERATIONS
The Committee continues language which provides funds for
government-wide policy and oversight activities, the Board of
Contract Appeals, accounting records management and other
services incident to adjudication of Indian Tribal Claims,
services authorized by 5 U.S.C. 3109, and official reception
and representation expenses. The Committee continues language
which provides that a portion of the funds appropriated will
remain available until expended.
OFFICE OF INSPECTOR GENERAL
The Committee has continued language that provides funds
for services authorized by 5 U.S.C. 3109 and expenses for the
Office, payment for information and detection of fraud, and
awards.
ELECTRONIC GOVERNMENT FUND
The Committee includes new language that provides funds for
necessary expenses in support of interagency projects that
enable the Federal Government to expand its ability to conduct
activities electronically through the development and
implementation of innovative used of the Internet and other
electronic methods. The Committee includes new language that
allows funds to be transferred, upon condition, and to be
available until expended.
ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS
The Committee has continued language that provides funds
for compliance with Public Law 95-138.
GENERAL PROVISIONS--GENERAL SERVICES ADMINISTRATION
Section 401. The Committee continues the provision that
provides that costs included in rent received from government
corporations for operation, protection, maintenance, upkeep,
repair and improvement shall be credited to the Federal
Buildings Fund.
Section 402. The Committee continues the provision
providing authority for the use of funds for the hire of motor
vehicles.
Section 403. The Committee continues the provision
providing that funds made available for activities of the
Federal Buildings Fund may be transferred between
appropriations with advance approval of the Congress.
Section 404. The Committee continues the provision
prohibiting the use of funds for developing courthouse
construction requests that do not meet GSA standards and the
priorities of the Judicial Conference.
Section 405. The Committee continues the provision
providing that no funds may be used to increase the amount of
occupiable square feet, provide cleaning services, security
enhancements, or any other service usually provided, to any
agency which does not pay the requested rent.
Section 406. The Committee continues the provision
providing for Information Technology Fund repayment from
sponsored projects that realize program savings.
Section 407. The Committee continues the provision that
permits GSA to pay small claims (up to $250,000) made against
the government.
Section 408. The Committee provides a new provision
requiring the General Services Administration to increase its
fiscal year 2002 expenditures for purchasing alternative fuel
vehicles by $5,000,000 above its fiscal year 2001 expenditures.
Merit Systems Protection Board
The Committee has continued language that provides funds
for the Board.
Morris K. Udall Scholarship and Excellence in National Environmental
Policy Foundation
MORRIS K. UDALL SCHOLARSHIP AND EXCELLENCE IN NATIONAL ENVIRONMENTAL
POLICY TRUST FUND
The Committee includes new language that provides funds for
the Morris K. Udall Scholarship and Excellence in National
Environmental Policy Trust Fund, allows a portion of the funds
to be transferred by the Morris K. Udall Scholarship and
Excellence in National Environmental Policy Foundation to
support the Native Nations Institute, and requires a report on
the funding transfer.
National Archives and Records Administration
OPERATING EXPENSES
The Committee has continued language that provides funds
for the review and declassification of documents, the hire of
passenger vehicles, and language that authorizes the Archivist
to use excess funds available from the amount borrowed for
construction of the National Archives facility for expenses
necessary to provide storage for holdings. The Committee
provides new language specifying funds for the electronic
records archive and making a portion of these funds available
until September 30, 2004.
REPAIRS AND RESTORATION
The Committee has continued language that provides funds
for the repair, alteration, and improvement of archives
facilities and presidential libraries.
Office of Government Ethics
The Committee has continued language that provides funds
for the Office.
Office of Personnel Management
The Committee has continued language that provides for
expenses of the Office, services authorized by 5 U.S.C. 3109,
medical examinations under certain conditions, rental of
conference rooms, hire of vehicles, official reception and
representation expenses, advances for reimbursement per diem
and/or subsistence allowances for employees affected by Voting
Rights Act activities, transfers to appropriate trust funds,
prohibition of funds for the Legal Examining Unit, authority to
accept donations for the White House Fellows program, and
making funds available until expended for automating retirement
record keeping. The Committee includes new language making
funding available until expended for a government-wide human
resources data network.
Office of Inspector General
The Committee has continued language that provides funds
for expenses of the Office, audit of the retirement and
insurance programs, and the rental of conference rooms.
GOVERNMENT PAYMENT FOR ANNUITANTS, EMPLOYEES HEALTH BENEFITS
The Committee has continued language that provides funds
for the payment of government contributions.
GOVERNMENT PAYMENT FOR ANNUITANTS, EMPLOYEE LIFE INSURANCE
The Committee has continued language that provides funds
for the payment of government contributions.
PAYMENT TO CIVIL SERVICE RETIREMENT AND DISABILITY FUND
The Committee has continued language that provides funds
for the payment of government contributions.
Office of Special Counsel
The Committee has continued language that provides funds
for the Office, including the payment of fees and expenses for
witnesses, rental of conference rooms, and the hire of
passenger motor vehicles.
United States Tax Court
The Committee has continued language that provides funds
for services authorized by 5 U.S.C. 3109 and language which
provides that travel expenses of the judges shall be paid upon
written certification of the judge.
TITLE V--GENERAL PROVISIONS
This Act
Section 501. The Committee continues the provision limiting
the expenditure of funds to the current year unless expressly
provided in this Act.
Section 502. The Committee continues the provision limiting
the expenditure of funds for consulting services under certain
conditions.
Section 503. The Committee continues the provision
prohibiting the use of funds to engage in activities that would
prohibit the enforcement of section 307 of the 1930 Tariff Act.
Section 504. The Committee continues the provision
prohibiting the transfer of control over the Federal Law
Enforcement Training Center out of the Department of the
Treasury.
Section 505. The Committee continues the provision
concerning employment rights of Federal employees who return to
their civilian jobs after assignment with the Armed Forces.
Section 506. The Committee continues the provision
concerning compliance with the Buy American Act.
Section 507. The Committee continues the provision
regarding the purchase of American made equipment and products.
Section 508. The Committee continues the provision
prohibiting contract eligibility where fraudulent intent has
been proven in affixing ``Made in America'' labels.
Section 509. The Committee continues the provision
prohibiting the expenditure of funds for abortions under the
FEHBP.
Section 510. The Committee continues the provision that
would authorize the expenditure of funds for abortions under
the FEHBP if the life of the mother is in danger or the
pregnancy is a result of an act of rape or incest.
Section 511. The Committee continues the provision
providing that fifty percent of unobligated balances may remain
available for certain purposes.
Section 512. The Committee continues the provision
restricting the use of funds for the White House to request
official background reports without the written consent of the
individual who is the subject of the report.
Section 513. The Committee continues the provision that
cost accounting standards under the Federal Procurement Policy
Act shall not apply to the FEHBP.
Section 514. The Committee continues a provision regarding
non-foreign area cost of living allowances.
Section 515. The Committee includes a new provision
regarding apportionment for International Food Assistance
Programs.
TITLE VI--GOVERNMENT WIDE GENERAL PROVISIONS
Departments, Agencies, and Corporations
Section 601. The Committee continues the provision
authorizing agencies to pay costs of travel to the United
States for the immediate families of Federal employees assigned
to foreign duty in the event of a death or a life threatening
illness of the employee.
Section 602. The Committee continues the provision
requiring agencies to administer a policy designed to ensure
that all of its workplaces are free from the illegal use of
controlled substances.
Section 603. The Committee continues the provision
regarding price limitations on vehicles to be purchased by the
Federal Government.
Section 604. The Committee continues the provision allowing
funds made available to agencies for travel, to also be used
for quarters allowances and cost-of-living allowances.
Section 605. The Committee continues the provision
prohibiting the government, with certain specified exceptions,
from employing non-U.S. citizens whose posts of duty would be
in the continental U.S.
Section 606. The Committee continues the provision ensuring
that agencies will have authority to pay GSA bills for space
renovation and other services.
Section 607. The Committee continues the provision allowing
agencies to finance the costs of recycling and waste prevention
programs with proceeds from the sale of materials recovered
through such programs.
Section 608. The Committee continues the provision
providing that funds may be used to pay rent and other service
costs in the District of Columbia.
Section 609. The Committee continues the provision
precluding the financing of groups by more than one Federal
agency absent prior and specific statutory approval.
Section 610. The Committee continues the provision
authorizing the Postal Service to employ guards and give them
the same special police powers as GSA guards.
Section 611. The Committee continues the provision
prohibiting the use of funds for enforcing regulations
disapproved in accordance with the applicable law of the U.S.
Section 612. The Committee continues the provision limiting
the pay increases of certain prevailing rate employees.
Section 613. The Committee continues the provision limiting
the amount of funds that can be used for redecoration of
offices under certain circumstances.
Section 614. The Committee continues the provision
prohibiting the expenditure of funds for the acquisition of
additional law enforcement training facilities.
Section 615. The Committee continues the provision to allow
for interagency funding of national security and emergency
telecommunications initiatives.
Section 616. The Committee continues the provision
requiring agencies to certify that a Schedule C appointment was
not created solely or primarily to detail the employee to the
White House.
Section 617. The Committee continues the provision
requiring agencies to administer a policy designed to ensure
that all workplaces are free from discrimination and sexual
harassment.
Section 618. The Committee continues the provision
prohibiting the importation of any goods manufactured by forced
or indentured child labor.
Section 619. The Committee continues the provision
prohibiting the payment of any employee who prohibits,
threatens or prevents another employee from communicating with
Congress.
Section 620. The Committee continues the provision
prohibiting Federal training not directly related to the
performance of official duties.
Section 621. The Committee continues the provision
prohibiting the expenditure of funds for implementation of
agreements in nondisclosure policies unless certain provisions
are included.
Section 622. The Committee continues the provision
prohibiting propaganda, publicity and lobbying by executive
agency personnel in support or defeat of legislative
initiatives.
Section 623. The Committee continues the provision
prohibiting any Federal agency from disclosing an employee's
home address to any labor organization, absent employee
authorization or court order.
Section 624. The Committee continues the provision
prohibiting funds to be used to provide non-public information
such as mailing or telephone lists to any person or
organization outside the government without the approval of the
Committees on Appropriations.
Section 625. The Committee continues the provision
prohibiting the use of funds for propaganda and publicity
purposes not authorized by Congress.
Section 626. The Committee continues the provision
directing agency employees to use official time in an honest
effort to perform official duties.
Section 627. The Committee continues the provision
authorizing the use of funds to finance an appropriate share of
the Joint Financial Management Improvement Program.
Section 628. The Committee continues and modifies the
provision authorizing agencies to transfer funds to the Policy
and Operations account of GSA to finance an appropriate share
of the Joint Financial Management Improvement Program.
Section 629. The Committee continues a provision, with
technical modifications, authorizing an Executive agency to use
certain funds to improve the affordability of child care for
lower income Federal employees.
Section 630. The Committee continues the provision that
permits breast feeding in a Federal building or on Federal
property if the woman and child are authorized to be there.
Section 631. The Committee continues the provision that
permits interagency funding of the National Science and
Technology Council and provides for a report on the budget and
resources of the National Science and Technology Council. The
report should include the entire budget of the National Science
and Technology Council.
Section 632. The Committee continues the provision
requiring that any request for proposals, solicitation, grant
application, form, notification, press release, or other
publications involving the distribution of Federal funds shall
indicate the agency providing the funds and the amount
provided. This provision shall apply to direct payments,
formula funds, and grants received by a State receiving Federal
funds.
Section 633. The Committee includes a new provision to
extend the authorization for franchise fund pilots for one year
in order to allow the Administration to evaluate their results
and make a decision regarding permanent authority.
Section 634. The Committee includes a new provision to
clarify that the Department of the Navy will provide and pay
for utilities for the official residence of the Vice President
without reimbursement.
Section 635. The Committee includes a new provision
authorizing the Secretary of the Navy to accept gifts of
consumable items, or funds for them, to be accepted for use at
official functions at the Vice President's residence, including
the hosting of foreign dignitaries.
Section 636. The Committee includes a new provision
clarifying that certain Title 5 authorities are available with
respect to civilian personnel of the White House Office, the
Executive Residence at the White House, the Office of the Vice
President, the Domestic Policy Council, and the Office of
Administration.
Section 637. The Committee includes a new provision
requiring the Office of Personnel Management to submit a report
regarding telecommuting centers.
Section 638. The Committee continues and modifies a
provision prohibiting the use of funds to monitor personal
information relating to the use of Federal internet sites.
Applies provision government-wide.
Section 639. The Committee includes a new provision
amending Title 5 to clarify retirement benefits for air traffic
controllers.
Section 640. The Committee includes a new provision
amending 5 U.S.C. 4507 to make Federal employees in senior
technical positions eligible for Presidential rank awards.
Section 641. The Committee includes a new general provision
extending authority for the Federal Election Commission to
assess administrative fines for straightforward violations of
reporting deadlines from December 31, 2001 to December 31,
2003.
Section 642. The Committee continues, with a technical
modification, the provision addressing contraceptive coverage
in health plans participating in the FEHBP. The technical
modification deletes the name of a provider no longer
participating in the program.
Section 643. The Committee includes a new provision
concerning pay parity for federal civilian employees.
detailed explanations in report
It should be emphasized again that a more detailed
statement describing the effect of the above provisions
inserted or continued this year by the Committee which directly
or indirectly change the application of existing law may be
found at the appropriate place in this report.
APPROPRIATIONS NOT AUTHORIZED BY LAW
Pursuant to clause 3(f)(1) of rule XIII of the House of
Representatives, the following table lists the appropriations
in the accompanying bill that are not authorized by law:
APPROPRIATIONS NOT AUTHORIZED BY LAW
----------------------------------------------------------------------------------------------------------------
Appropriations in
Last year of Authorization last year of Appropriations in
authorization level authorization this bill
----------------------------------------------------------------------------------------------------------------
Department Wide Systems and N/A............... N/A............... N/A.............. $67,828,000
Capital Investments Program.
Treasury Building and Annex N/A............... N/A............... N/A.............. $32,932,000
Repair and Restoration.
Expanded Access to Financial N/A............... N/A............... N/A.............. $10,000,000
Services.
Financial Crimes Enforcement N/A \1\........... N/A............... N/A.............. $45,760,000
Network.
Counterterrorism Fund.......... N/A............... N/A............... N/A.............. $44,879,000
Federal Law Enforcement N/A \2\........... N/A............... N/A.............. $124,603,000
Training Center, Salaries and
Expenses and Acquisition,
Construction, Improvements and
Related Expenses.
Interagency Crime and Drug N/A............... N/A............... N/A.............. $106,965,000
Enforcement.
Bureau of Alcohol, Tobacco and N/A \3\........... N/A............... N/A.............. $824,199,000
Firearms, except those
activities related to the
enforcement of tobacco
smuggling and regulation of
explosives.
US Customs Service (except 1992.............. Such sums......... $1,484,084,000... $2,672,531,000
Harbor Maintenance Fee).
Office of Management and 2001.............. $8,000,000........ $6,157,000....... $6,331,000
Budget, Office of Information
and Regulatory Affairs.
Counter Technology Assessment .................. .................. ................. $22,236,000
Center, Technology Transfer.
Federal Election Commission.... 1981.............. $9,400,000........ $9,662,000....... $43,223,000
General Services N/A............... N/A............... N/A.............. $5,000,000
Administration, Electronic
Government Fund.
Office of Government Ethics.... 1999.............. Such sums......... $8,492,000....... $10,060,000
----------------------------------------------------------------------------------------------------------------
N/A: No specific authorization available.
\1\ Established pursuant to Treasury Order 105-08.
\2\ Established pursuant to Treasury Order 140-01.
\3\ Established pursuant to Treasury Order 120-01, 120-02, and 120-03.
Full Committee Votes
Pursuant to the provisions of clause 3(b) of rule XIII of
the House of Representatives, the results of each rollcall vote
on an amendment or on the motion to report, together with the
names of those voting for and those voting against, are printed
below:
Rollcall No. 1
Date: July 17, 2001.
Measure: Treasury, Postal Service, and General Government
Appropriations Bill, FY 2002.
Motion by: Mr. Istook.
Description of motion: To consolidate appropriations for 13
separate accounts within the Executive Office of the President
into one appropriation account.
Results: Rejected 31 yeas to 31 nays.
Members Voting Yea Members Voting Nay
Mr. Aderholt Mr. Boyd
Mr. Bonilla Mr. Clyburn
Mr. Callahan Mr. Cramer
Mr. Cunningham Ms. DeLauro
Mr. DeLay Mr. Dicks
Mr. Doolittle Mr. Edwards
Mrs. Emerson Mr. Farr
Mr. Frelinghuysen Mr. Fattah
Mr. Goode Mr. Hinchey
Ms. Granger Mr. Hoyer
Mr. Hobson Mr. Jackson
Mr. Istook Ms. Kaptur
Mr. Kingston Mr. Kennedy
Mr. Knollenberg Ms. Kilpatrick
Mr. Kolbe Mrs. Lowey
Mr. Latham Mrs. Meek
Mr. Lewis Mr. Mollohan
Mr. Miller Mr. Moran
Mr. Nethercutt Mr. Murtha
Mrs. Northup Mr. Obey
Mr. Peterson Mr. Olver
Mr. Regula Mr. Pastor
Mr. Rogers Ms. Pelosi
Mr. Sherwood Mr. Price
Mr. Skeen Mr. Rothman
Mr. Sweeney Ms. Roybal-Allard
Mr. Tiahrt Mr. Sabo
Mr. Walsh Mr. Serrano
Mr. Wamp Mr. Sununu
Mr. Wicker Mr. Visclosky
Mr. Young Mr. Wolf
Full Committee Votes
Pursuant to the provisions of clause 3(b) of rule XIII of
the House of Representatives, the results of eachroll call vote
on an amendment or on the motion to report, together with the
names of those voting for and those voting against, are printed
below:
Rollcall No. 2
Date: July 17, 2001.
Measure: Treasury, Postal Service, and General Accounting
Appropriations Bill, FY 2002.
Motion by: Mr. Obey.
Description of motion: To strike language authorizing the
Secretary of the Navy to pay for utilities for the official
residence of the Vice President; to strike language authorizing
the Secretary of Navy to accept certain gifts or funds for use
at official functions at the Vice President's residence; and to
insert a new provision regarding recess appointments.
Results: Rejected 29 yeas to 33 nays.
Members Voting Yea Members Voting Nay
Mr. Boyd Mr. Aderholt
Mr. Clyburn Mr. Bonilla
Mr. Cramer Mr. Callahan
Ms. DeLauro Mr. Cunningham
Mr. Dicks Mr. Doolittle
Mr. Edwards Mrs. Emerson
Mr. Farr Mr. Frelinghuysen
Mr. Fattah Mr. Goode
Mr. Hinchey Ms. Granger
Mr. Hoyer Mr. Hobson
Mr. Jackson Mr. Istook
Ms. Kaptur Mr. Kingston
Mr. Kennedy Mr. Knollenberg
Ms. Kilpatrick Mr. LaHood
Mrs. Lowey Mr. Latham
Mrs. Meek Mr. Lewis
Mr. Mollohan Mr. Miller
Mr. Moran Mr. Nethercutt
Mr. Murtha Mrs. Northup
Mr. Obey Mr. Peterson
Mr. Olver Mr. Regula
Mr. Pastor Mr. Rogers
Ms. Pelosi Mr. Sherwood
Mr. Price Mr. Skeen
Mr. Rothman Mr. Sununu
Ms. Roybal-Allard Mr. Sweeney
Mr. Sabo Mr. Taylor
Mr. Serrano Mr. Tiahrt
Mr. Visclosky Mr. Walsh
Mr. Wamp
Mr. Wicker
Mr. Wolf
Mr. Young
Full Committee Votes
Pursuant to the provisions of clause 3(b) of rule XIII of
the House of Representatives, the results of each rollcall vote
on an amendment or on the motion to report, together with the
names of those voting for and those voting against, are printed
below:
Rollcall No. 3
Date: July 17, 2001.
Measure: Treasury, Postal Service, and General Accounting
Appropriations Bill, FY 2002.
Motion by: Mrs. Lowey.
Description of motion: To require that any FEHBP health
care plan that provides prescription drug coverage also provide
contraceptive coverage, with exceptions for two named religious
plans or plans that object to coverage on the basis of
religious beliefs.
Results: Adopted 40 yeas to 21 nays.
Members Voting Yea Members Voting Nay
Mr. Boyd Mr. Aderholt
Mr. Cramer Mr. Bonilla
Ms. DeLauro Mr. Cunningham
Mr. Dicks Mr. Doolittle
Mr. Edwards Mr. Goode
Mrs. Emerson Mr. Istook
Mr. Farr Mr. Kingston
Mr. Fattah Mr. Knollenberg
Mr. Frelinghuysen Mr. LaHood
Ms. Granger Mr. Lewis
Mr. Hinchey Mr. Mollohan
Mr. Hobson Mr. Peterson
Mr. Hoyer Mr. Rogers
Mr. Jackson Mr. Skeen
Ms. Kaptur Mr. Sununu
Mr. Kennedy Mr. Taylor
Ms. Kilpatrick Mr. Tiahrt
Mr. Kolbe Mr. Walsh
Mr. Latham Mr. Wamp
Mrs. Lowey Mr. Wicker
Mrs. Meek Mr. Wolf
Mr. Miller
Mr. Moran
Mr. Murtha
Mr. Nethercutt
Mrs. Northup
Mr. Obey
Mr. Olver
Mr. Pastor
Ms. Pelosi
Mr. Price
Mr. Regula
Mr. Rothman
Ms. Roybal-Allard
Mr. Sabo
Mr. Serrano
Mr. Sherwood
Mr. Sweeney
Mr. Visclosky
Mr. Young
Full Committee Votes
Pursuant to the provisions of clause 3(b) of rule XIII of
the House of Representatives, the results of each rollcall vote
on an amendment or on the motion to report, together with the
names of those voting for and those voting against, are printed
below:
Rollcall No. 4
Date: July 17, 2001.
Measure: Treasury, Postal Service, and General Government
Appropriations Bill, FY 2002.
Motion by: Mrs. DeLauro.
Description of motion: To strike the prohibition on the use
of funds to pay for an abortion under the FEHBP.
Results: Rejected 26 yeas to 33 nays.
Members Voting Yea Members Voting Nay
Mr. Boyd Mr. Aderholt
Mr. Cramer Mr. Callahan
Ms. DeLauro Mr. Cunningham
Mr. Dicks Mr. DeLay
Mr. Farr Mr. Doolittle
Mr. Fattah Mr. Edwards
Mr. Frelinghuysen Mrs. Emerson
Mr. Hinchey Mr. Goode
Mr. Hoyer Ms. Granger
Ms. Kaptur Mr. Hobson
Mr. Kennedy Mr. Istook
Ms. Kilpatrick Mr. Kingston
Mr. Kolbe Mr. LaHood
Mr. Lowey Mr. Latham
Mrs. Meek Mr. Lewis
Mr. Moran Mr. Miller
Mr. Obey Mr. Mollohan
Mr. Olver Mr. Murtha
Mr. Pastor Mr. Nethercutt
Ms. Pelosi Mrs. Northup
Mr. Price Mr. Peterson
Mr. Rothman Mr. Regula
Ms. Roybal-Allard Mr. Rogers
Mr. Sabo Mr. Sherwood
Mr. Serrano Mr. Skeen
Mr. Visclosky Mr. Sununu
Mr. Taylor
Mr. Tiahrt
Mr. Walsh
Mr. Wamp
Mr. Wicker
Mr. Wolf
Mr. Young
MINORITY VIEWS OF THE HONORABLE STENY HOYER, THE HONORABLE CARRIE MEEK,
THE HONORABLE DAVID PRICE, THE HONORABLE STEVEN ROTHMAN, AND THE
HONORABLE DAVID OBEY
We would like to commend the Chairman for his efforts.
While we do not agree with every recommendation, our views have
been reflected in many aspects of this bill.
The TPO bill to be considered by the House is a significant
improvement over the president's request. The Committee has
provided $17.0 billion in discretionary budget authority for
this bill, $1.1 billion higher than FY 2001 and $340 million
more than the president's request. These levels are much more
consistent with the levels that we argued were necessary during
the budget and tax negotiations. This additional funding helps
to make up for the shortfall in the President's request.
For example, the President's request did not provide
sufficient resources to maintain current programs, withholding
$150 million of necessary ``non-pay'' inflationary increases to
cover the increased costs of things like rent, energy, fuel,
and travel. This bill provides these funds. The budget also
failed to request any funding for Treasury law enforcement
agencies in support of the 2002 Winter Olympics. This is
despite the fact that in August of 1999, the Winter Olympics
were designated a National Special Security Event, meaning that
the Secret Service would be the lead Federal agency for
designing, planning, and implementing security. This bill also
provides for these costs.
The President's budget also requested insufficient funds
for the Automated Commercial Environment, or ``ACE.'' This
essential initiative is key to modernizing how the Customs
Service assesses and collects taxes and fees totaling over $20
billion annually at over 300 ports. Intended to be a four-year,
$1.3 billion effort, this Committee provided the first
installment of $130 million for ACE in FY 2001 with the
expectation that additional funding would be requested in the
future. However, the Administration requested only $130 million
in FY 2002 and failed to request the required additional
funding, thereby threatening to increase the total costs of
developing the system and putting the legacy system in a
position to crash and immobilize trade in this country. The
Committee has acknowledged this problem and provided $170
million over the President's request to continue this important
modernization activity.
The bill also attempts to ensure that the Treasury law
enforcement agencies have sufficient funds to combat terrorism,
protect our borders, protect our Nation's leaders and
dignitaries, prevent drug smuggling, and provide training for
law enforcement. In the past, we have noted the discrepancy in
funding for Treasury law enforcement agencies in comparison to
Justice law enforcement agencies, despite the fact that the
Treasury law enforcement function makes up nearly 40 percent of
all Federal law enforcement. The President's budget request
continued this trend of neglect. However, this bill provides
several significant increases over the President's budget
request for Treasury law enforcement, including $45 million for
the Secret Service to hire additional agents to reduce
staggering overtime levels, $15 million to hire additional
Customs inspectors, $33 million to improve Customs inspection
technology, $14million for Customs air program improvements,
and $25 million for High Intensity Drug Trafficking Areas.
We are proud to have been able to make significant
improvements to the bill during Committee consideration. For
example, we were able to secure $10 million to continue the
First Accounts program. This program seeks to establish
affordable banking accounts for low-income families, increase
the availability of automatic teller machines in low-income
neighborhoods, and educate low-income Americans about bank
accounts. We also were able to ensure that Federal civilian
employees would receive at least a 4.6 percent pay raise and
that Federal employees participating in the Federal employees
health program would continue to have contraceptive coverage.
Despite these improvements, and the additional funding
provided above the President's request, we have a number of
concerns that we look forward to working on in the future. We
continue to be concerned with understaffing at the Customs
Service. The Resource Allocation Model projects a need for
almost 15,000 more staff, mostly Inspectors and Special Agents.
None of the Customs locations show a decline in workload or
staff coverages, so reallocation of staff does not appear to be
a realistic option. The Customs Service is our first line of
defense. We need to ensure that they have the resources they
need to do their job effectively.
We also continue to be concerned about the decline in
compliance activities at the IRS. In-person audits have
decreased from 2 million in 1976 to 247,000 in 2000, a decline
of 88 percent. Since 1997, there has been a significant
decrease in audit coverage for large corporations (-60
percent), partnerships (-40 percent), and individuals (-62
percent). Most importantly, however, it appears that audit
coverage may disproportionately impact lower-income taxpayers.
The increased use of ``document matching'' to ensure compliance
(which focuses on ``verifiable'' wage, salary, and non-
investment income sources) excludes many higher-income
taxpayers who often have income sources and deductions that are
easily checked through document matching. Compounding the
problem is the fact that the audit rate for individuals making
$100,000 or more has declined by 65 percent from FY 1997 to FY
2000. While we are pleased that this bill contains an
additional $86 million to complete the hiring of over 3,800
employees to help improve compliance and customer service at
the IRS, we believe that this Committee needs to take a larger
role in ensuring the appropriate level of compliance in order
to have an equitable tax system.
We are also concerned about the funding provided for new
Courthouse construction. Despite providing additional funds
above the President's request, the Committee bill falls well
short of the Judiciary's request. Since FY 1996, when the
Judiciary began approving prioritized, 5 year Courthouse
project plans, only half of the Judiciary's infrastructure
request has been enacted. This is not an issue of luxury for
the Judiciary. The Courthouse request represents an effort to
keep up with the skyrocketing judicial workload while ensuring
a safe environment for employees, detainees, and the public.
The longer we underfund the Court request, the more pressing
the need becomes.
We have always been sensitive to the important separation
between the Executive and the Legislative branches. This
sensitivity is particularly important as Congress reviews the
budget request for the Executive Office of the President. The
President of the United States deserves the appropriate respect
and deference. However, it is also important that Congress not
relinquish its oversight responsibilities. We are very
concerned that certain provisions included in this bill may
have this effect.
On balance, we believe this legislation is a significant
improvement from the President's request. We look forward to
working with the Majority to continue to make improvements to
the bill as it moves through the Congress.
David Obey.
Steny H. Hoyer.
Steven R. Rothman.
David Price.
Carrie P. Meek.