[Budget of the United States Government]
[V. Investing in the Common Good: Program Performance in Federal Functions]
[12. International Affairs]
[From the U.S. Government Publishing Office, www.gpo.gov]


[[Page 177]]

 
                       12.  INTERNATIONAL AFFAIRS

  ----------------------------------------------------------------------

                       Table 12-1.  Federal Resources in Support of International Affairs
                                            (In millions of dollars)
----------------------------------------------------------------------------------------------------------------
                                                                               Estimate
               Function 150                   1999   -----------------------------------------------------------
                                             Actual     2000      2001      2002      2003      2004      2005
----------------------------------------------------------------------------------------------------------------
Spending:
  Discretionary Budget Authority..........    41,509    23,910    22,755    23,193    23,500    24,076    24,569
  Mandatory Outlays:
    Existing law..........................    -4,276    -4,769    -4,089    -3,735    -3,735    -3,689    -3,709
Credit Activity:
  Direct loan disbursements...............     2,781     1,813     1,419       N/A       N/A       N/A       N/A
  Guaranteed loans........................     9,513    12,754    12,467       N/A       N/A       N/A       N/A
Tax Expenditures:
  Existing law............................    14,415    15,595    16,685    17,015    17,615    18,790    20,065
  Proposed legislation....................  ........        80       168       102        46       -10       -27
----------------------------------------------------------------------------------------------------------------
N/A = Not available.

  ----------------------------------------------------------------------
   The Administration proposes $22.8 billion for International Affairs 
programs in 2001. By fully funding these programs, the United States can 
continue to provide critical international leadership to accomplish key 
strategic goals, such as enhancing national security, fostering world-
wide economic growth, supporting the establishment and consolidation of 
democracy, improving the global environment and addressing other key 
global issues such as dealing with AIDS.
   In many cases, the performance goals that follow are from agency 
performance plans. In addition to the goals identified below, agencies 
have established other performance goals for themselves to ensure that 
they fulfill their legislative mandates in ways that also contribute to 
U.S. national interests.

National Security

   U.S. security depends on active diplomacy, steps to resolve 
destabilizing regional conflicts, and vigorous efforts to reduce the 
continuing threat of weapons of mass destruction. A strong, active 
United Nations enhances U.S. diplomatic efforts, and the budget proposes 
to fund assessed contributions to this and other international 
organizations, as well as annual assessed and voluntary peacekeeping 
contributions.
   Economic and reconstruction assistance and police training are 
critical to our effort to support a new, democratic society in Kosovo 
and funding under the FREEDOM Support Act helps foster the transition to 
market democracies in the former Soviet Union.
   The State Department will implement a broad program of security 
enhancements in response to continued threats of terrorist bombings and 
related violence directed at U.S. diplomatic and consular facilities 
overseas in 2001. Achieving global upgrades and maintaining that 
readiness at the Department's overseas posts poses a significant 
management challenge. The budget also includes significant investments 
in overseas facilities to ensure continued protection of U.S. Government 
employees. Long-range capital planning, including a review of how the 
U.S. Government staffs and manages overseas facilities, will ensure that 
these investments meet cost, schedule, and performance goals of the 
program.
   Relevant agencies will meet the following goals in 2001:

[[Page 178]]

   The State Department will avert or defuse regional conflicts 
          where critical national interests are at stake through 
          bilateral U.S. assistance and UN peacekeeping activities.
   The State and Defense Departments will ensure that the armed 
          forces of NATO's ``candidate countries'' can operate in a 
          fully integrated manner with other NATO forces upon their 
          planned entry into NATO.
   The State Department will achieve full compliance with, and 
          verification of, treaties regarding weapons of mass 
          destruction and, if necessary, combat suspected development 
          programs.

Economic Prosperity

   International affairs activities increase U.S. economic prosperity in 
several ways. First, the U.S. Trade Representative (USTR), supported by 
the State Department and other agencies, works to reduce barriers to 
trade in U.S. goods, services, and investments by negotiating new trade 
liberalizing agreements and strictly enforcing existing agreements.
   Second, the Export-Import Bank and the Trade and Development Agency 
(TDA) provide grant and credit financing to correct market distortions 
that can put U.S. exports at a competitive disadvantage. The Overseas 
Private Investment Corporation (OPIC) provides investment insurance and 
financing for development projects in support of U.S. business large and 
small.
   Third, development assistance from the Multilateral Development Banks 
(MDBs) and USAID, along with debt reduction, help increase economic 
growth, openness, and market orientation in developing and transitioning 
countries. This creates new markets for U.S. goods and services and 
reducing the economic cause of instability in these regions.
   Relevant agencies will meet the following performance goals in 2001:
   USTR will work with parties to the World Treaty Organization 
          (WTO) to launch an inclusive new negotiating round that covers 
          trade in agriculture and services, achieves further effective 
          market access liberalization, and strengthens and extends WTO 
          rules; negotiate cuts in specific identified barriers to U.S. 
          and global trade; and effectively enforce international trade 
          agreements.
   The Export-Import Bank will develop new mechanisms to expand 
          the availability of financing for U.S. exports by pioneering 
          joint ventures with the private sector, as well as innovative 
          financing programs that will increase the Bank's support for 
          small and medium-sized exporters.
   OPIC will increase, from 1999 levels, the amount of private 
          U.S. investment that supports American, foreign policy and 
          development goals and benefits the U.S. economy.
   TDA will increase, from 2000 levels, the ratio of TDA-
          supported exports to TDA expenditures and the percentage of 
          TDA projects that ultimately yield U.S. exports.
   U.S. Agency for International Development (USAID), through 
          bilateral assistance, and the Treasury Department, through its 
          contributions to the MDBs, will provide assistance that helps 
          to increase the real annual per capita GDP growth rate from 
          1999 levels in developing countries.

American Citizens and U.S. Borders

   The State Department, through the U.S. passport office and the 
network of embassies and consulates overseas, helps and protects 
Americans who travel and reside abroad-most directly through various 
consular services, including citizenship documentation and help in 
emergencies. The Department also helps to control how immigrants and 
foreign visitors enter and remain in the United States by effectively 
and fairly administering U.S. immigration laws overseas and screening 
applicants, in order to deter illegal immigration and prevent 
terrorists, narcotics traffickers and other criminals from entering the 
United States.
   The State Department will meet the following performance goal in 
2001:

[[Page 179]]

   Improve U.S. passport security by issuing all passports 
          produced in the United States with a digitized passport photo.

Law Enforcement

   The expansion and rising sophistication of transnational crime, 
international drug trafficking and terrorism represent direct threats to 
our national security. The State Department has broad responsibility for 
Federal law enforcement policy and program coordination in the foreign 
arena. The budget funds the State Department's diplomatic efforts to 
convince other countries to work cooperatively to address international 
criminal threats; it also funds add distance and training that helps 
other countries combat corruption, terrorism, and illegal narcotics, and 
provides the developing countries with economic alternatives to 
narcotics cultivation and export.
   The State Department, working with the Departments of Justice, the 
Treasury, and Defense, will meet the following performance goals in 
2001:
   Increase, from 1999 levels, the number of foreign governments 
          that enact and enforce legislation to combat corruption, money 
          laundering, and other transnational criminal activities.
   Reduce from 1999 levels, the hectares of coca and opium 
          poppies being cultivated in producing countries.
   Increase, from 1999, levels, criminal justice section 
          training, providing equipment, and technical assistance to 
          local and federal law enforcement organizations.

Democracy

   Advancing U.S. interest in the post-Cold War world often requires 
efforts to support democratic transitions, address human rights 
violations, and promote U.S. democratic values. The budget funds the 
State Department efforts that are intended to discourage other nations' 
interference with basic democratic activities, that helps countries 
develop the institutions and legal structures for the transition to 
democracy. Finally, the budget funds exchange and training programs of 
the State Department, as well as international broadcasting programs 
that seek to the world and ensure that Americans understand and value 
the peoples and cultures of other nations.
   Relevant agencies will meet the following performance goals for 2001:
   USAID, State Department public diplomacy programs, and 
          international broadcasting programs will provide assistance 
          that lead to the improvement of Freedom House ratings of 
          countries in which the United States is assisting the 
          transition to democracy.
   As a result of State Department diplomacy and direct 
          assistance, the instances of human rights abuses as reported 
          by the State Department in the annual U.S. Report on Human 
          Rights will be reduced from 1999 levels.
   Public diplomacy activities will increase, from 1999 levels, 
          the support for democracy, democratic institutions, and human 
          rights in selected countries that participate in the programs, 
          as measured through polling.

Humanitarian Response

   U.S. values demand that we help alleviate human suffering from 
foreign crisis whether man-made or natural, even in cases with no direct 
threat to U.S. security interests. The budget provides the necessary 
funds to address and, where possible, try to prevent, humanitarian 
crises through USAID's Foreign Disaster Assistance and Transition 
Initiatives programs, the State Department's Migration and Refugee 
Assistance program, and food aid provided under Public Law 480 
authorities. The budget also funds U.S. bilateral demining efforts to 
address the growing humanitarian crisis caused by land mines in areas of 
former conflict.
   Relevant agencies will meet the following performance goals for 2001:
   USAID, in conjunction with other public and private donors, 
          will provide humanitarian assistance that will maintain the 
          nutritional status of children aged five or under living in 
          regions affected by humanitarian emergencies.

[[Page 180]]

   The State Department will reduce refugee populations, from 
          1999 levels, through U.S.-sponsored integration, repatriation, 
          and resettlement activities.
   The State Department will increase, from 1999 levels, the 
          amount of land returned to productive economic activity by 
          clearing mines and other unexploded ordnance. Over time, this 
          will also result in a reduction of innocent casualties.

Global Issues

   The global problems of environmental degradation, population growth, 
and the spread of communicable diseases directly affect future U.S. 
security and prosperity. Increased funding for international family 
planning efforts, prevention of the global spread of HIV/AIDS, and 
protection of the world's dwindling tropical forests, represent new or 
expanded initiatives to address the causes of these problems. In 
addition, continued funding of bilateral efforts to address global 
climate change in developing countries, as well as funding of current 
commitments and arrears to the Global Environment Facility, remain 
critical to the effort to reduce global environmental degradation.
   Finally, the volunteer programs of the Peace Corps serve U.S. 
national interests by promoting mutual understanding between Americans 
and the people of developing nations and providing technical assistance 
to interested countries.
  Relevant agencies will meet the following performance goals in 2001:
   USAID, working with the Departments of Health and Human 
          Services, Defense and Labor, and with other donors and 
          national governments, will provide assistance that will 
          reduce, from 1999 levels, HIV transmission and impact of the 
          HIV/AIDS pandemic in the developing countries in which the 
          Administration's global HIV/AIDS initiative is implemented, as 
          measured by the incidence of HIV among 15 to 24 year-olds.
   USAID will provide assistance, in conjunction with other 
          donors, that will reduce unintended and mistimed pregnancies, 
          as measured by a reduction in the Total Fertility Rate from 
          1999 levels in countries in which USAID provides family 
          planning assistance.
   USAID, working with the Department of the Treasury and other 
          agencies and donors, will provide assistance that improves 
          conservation of biologically significant habitat as measured 
          by an increase in nationally protected areas over 1999 levels.
   USAID, working with the Department of State and other 
          agencies and donors, will provide assistance that will reduce 
          the threat of global climate change, as measured by reduced 
          carbon dioxide industrial emissions compared to 1999 levels.
   The Peace Corps will provide opportunities for 4,200 
          Americans in 2001 to enter service as new volunteers, 
          assisting countries with their development needs and 
          increasing cultural awareness.