Analytical Perspectives - 3. Homeland Security Funding Analysis

[Analytical Perspectives]
[Crosscutting Programs]
[3. Homeland Security Funding Analysis]
[From the U.S. Government Printing Office, www.gpo.gov]

[[Page 25]]

3. HOMELAND SECURITY FUNDING ANALYSIS

Since the terrorist attacks of September 11, 2001, America has engaged
in a broad, determined effort to thwart terrorism. The Administration
has worked with the Congress to enact landmark legislation to reorganize
the Federal Government, improve intelligence capabilities, acquire
countermeasures to biological weapons, enhance security at our airports,
seaports, land borders and local communities, and strengthen America's
preparedness and response capabilities. Every level of government, the
private sector, and individual citizens contribute to homeland
security--the concerted national effort to prevent terrorist attacks
within the United States, reduce America's vulnerability to terrorism,
and minimize the damage from attacks that may occur. Since September
11th, homeland security has become a major policy focus for all levels
of government, and one of the President's highest priorities.
To examine homeland security as a crosscutting Government-wide
function, section 889 of the Homeland Security Act of 2002 requires a
homeland security funding analysis to be incorporated in the President's
Budget. This analysis addresses that legal requirement. It covers the
homeland security funding and activities of all Federal agencies, not
only those carried out by the Department of Homeland Security (DHS), and
discusses State, local, and private sector expenditures. In addition,
not all activities carried out by DHS constitute homeland security
funding (e.g., Coast Guard search and rescue activities), so DHS
estimates in this section do not represent the entire DHS budget.

Federal Expenditures

The Federal spending estimates in this analysis utilize funding and
programmatic information collected on the Executive Branch's homeland
security efforts \1\. Throughout the budget formulation process, the
Office of Management and Budget (OMB) collects three-year funding
estimates and associated programmatic information from all Federal
agencies with homeland security responsibilities. These estimates do not
include programs or funding within the Legislative or Judicial branches.
Information in this chapter is augmented by a detailed appendix of
account-level funding estimates, which is available on the Analytical
Perspectives CD ROM.
---------------------------------------------------------------------------
\1\ All data in the Federal expenditures section are based on the
President's policy for the 2005 Budget. Additional policy and baseline
data is presented in the ``Additional Tables'' section and on the
Analytical Perspectives CD ROM. Data in this section may not add to
totals in other Budget volumes due to rounding.
---------------------------------------------------------------------------
To compile these data, agencies report information using standardized
definitions for homeland security. The data provided by the agencies are
developed at the ``activity level,'' which is a set of like programs or
projects that make up a coherent effort, at a level of detail sufficient
to analyze governmental spending on homeland security. Agencies further
categorize their funding data based on the critical mission areas
defined in the National Strategy for Homeland Security: intelligence and
warning, border and transportation security, domestic counterterrorism,
protecting critical infrastructures and key assets, defending against
catastrophic threats, and emergency preparedness and response. In all
tables, classified funding for the Intelligence Community is combined
with the Department of Defense and titled ``Department of Defense.''
To the extent possible, this analysis maintains programmatic and
funding consistency with previous estimates. Some discrepancies from
data reported in earlier years arise due to agencies' improved ability
to extract terrorism-related activities from host programs and refine
their characterizations. In addition, the Administration may refine
definitions or mission area estimates over time based on additional
analysis or changes in the way specific activities are characterized,
aggregated, or disaggregated. Activities in many of the mission areas
are closely related. For example, information gleaned from activities in
the intelligence and warning category may be utilized to inform law
enforcement activities in the domestic counterterrorism category.
Augmentation of pharmaceutical stockpiles, categorized as emergency
preparedness and response, may address agents that represent
catastrophic threats.

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Table 3-1. HOMELAND SECURITY FUNDING BY AGENCY
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Agriculture.................................. 299.9 110.0 326.6 651.1
Department of Commerce..................................... 111.6 ............ 131.2 150.1
Department of Defense...................................... 8,442.0 ............ 7,024.0 8,023.1
Department of Education.................................... 5.7 ............ 8.0 7.7
Department of Energy....................................... 1,246.9 161.3 1,362.5 1,496.9
Department of Health and Human Services.................... 4,002.4 142.0 4,109.0 4,276.1
Department of Homeland Security............................ 18,652.4 4,411.0 \1\ 23,492. 27,214.5
3
Department of Housing and Urban Development................ 1.6 ............ 1.8 1.8
Department of the Interior................................. 47.4 7.3 67.2 49.3
Department of Justice...................................... 1,892.5 456.9 \1\ 2,165.8 2,581.1
Department of Labor........................................ 69.4 ............ 52.4 68.6
Department of State........................................ 632.7 1.4 701.3 954.8
Department of Transportation............................... 382.8 ............ 283.5 242.6
Department of the Treasury................................. 80.0 ............ 90.4 87.1
Department of Veterans Affairs............................. 154.3 ............ 271.3 297.0
Corps of Engineers......................................... 36.0 39.0 103.4 84.0
Environmental Protection Agency............................ 132.9 ............ 123.3 97.4
Executive Office of the President.......................... 41.0 ............ 35.0 35.0
General Services Administration............................ 67.1 ............ 78.9 79.5
National Aeronautics and Space Administration.............. 205.0 ............ 191.0 207.0
National Science Foundation................................ 284.6 ............ 327.9 343.6
Office of Personnel Management............................. 3.0 ............ 3.0 3.0
Social Security Administration............................. 132.0 ............ 143.4 155.0
District of Columbia....................................... 25.0 ............ 19.0 15.0
Federal Communications Commission.......................... 1.0 ............ 1.0 ...........
Intelligence Community Management Account.................. ........... ............ 1.0 72.4
National Archives and Records Administration............... 10.1 ............ 12.0 14.6
Nuclear Regulatory Commission.............................. 47.0 ............ 66.8 57.0
Securities and Exchange Commission......................... 5.0 ............ 5.0 5.0
Smithsonian Institution.................................... 82.8 ............ 78.3 76.0
United States Holocaust Memorial Museum.................... 8.0 ............ 8.0 8.0
Corporation for National and Community Service............. 16.3 ............ 22.8 31.6
----------------------------------------------------
Total, Homeland Security Budget Authority.................. 37,118.2 5,329.0 41,307.1 47,385.7

Less Department of Defense............................... -8,442.0 ............ -7,024.0 -8,023.1
Less BioShield........................................... ........... ............ -885.0 -2,528.0
----------------------------------------------------
Non-Def. Homeland Security BA excluding BioShield.......... 28,676.2 5,329.0 33,398.1 36,834.6

Less Fee-Funded Homeland Security Programs............... -3,414.4 705.0 -3,655.1 -4,080.5
Less Mandatory Homeland Security Programs................ -1,759.4 ............ -1,948.0 -2,261.4

----------------------------------------------------
Net Non-Def. Disc. Homeland Security BA excluding BioShield 23,502.4 6,034.0 27,795.0 30,492.7
----------------------------------------------------
Obligation Limitations
Department of Transportation Obligation Limitation....... 567.0 ............ 139.6 92.9
----------------------------------------------------------------------------------------------------------------
\1\ 2004 Enacted does not include $91 million for Coast Guard and $16 million for FBI enacted as part of the FY
2004 Iraq supplemental.

Total funding for homeland security has grown significantly since the
attacks of September 11, 2001. For 2005, the President's Budget includes
$47.4 billion for homeland security activities, a $6.1 billion (15
percent) increase over the 2004 level. This is $26.8 billion, or 130
percent, over the government's funding level for 2002. Excluding
mandatory and fee funding, DOD, and DHS' Project Bioshield, the 2005
Budget provides an increase of $2.7 billion (9.7 percent) over the 2004
level. A total of 32 Federal agencies include homeland security funding.
Of those, five agencies--the Departments of Homeland Security (DHS),
Defense (DOD), Health and Human Services (HHS), Justice (DOJ) and Energy
(DOE)--account for approximately 92 percent of total Government-wide
homeland security funding in 2005.
The growth in Federal homeland security funding is indicative of the
robust efforts that have been initiated to secure our Nation. However,
it should be recognized that fully developing the strategic capacity to
protect America into the future is a complex effort. There is a wide
range of potential threats and risks to the Nation. To optimize the use
of limited resources and minimize the potential social costs to our free
and open society, homeland security activities should be prioritized
based on the highest threats and risks. Homeland security represents a
partnership among the Federal Government, State and local governments,
the private sector, and individual citizens.
The National Strategy for Homeland Security provides a framework for
addressing these challenges. It

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guides the highest priority requirements for securing the Nation. As
demonstrated below, the Federal Government has used the National
Strategy to guide its homeland security efforts. However, the National
Strategy is not static; it represents a dynamic effort to measure
progress. In some cases, progress may be easily measured. In others,
Federal agencies, along with State and local governments and the private
sector, are working together to develop measurable goals. Finally, in
some areas, Federal agencies and partners must work to develop a better
understanding of risks and threats--the biological agents most likely to
be used by a terrorist group, the highest-risk and consequence critical
infrastructure targets--in order to develop benchmarks. The following
table summarizes funding levels by the National Strategy's mission
areas; more detailed analysis is provided in subsequent mission-specific
sections.

Table 3-2. HOMELAND SECURITY FUNDING BY NATIONAL STRATEGY MISSION AREA
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Intelligence and Warning................................... 125.1 86.0 268.7 474.1
Border and Transportation Security......................... 15,170.8 1,859.0 15,322.5 17,074.6
Domestic Counterterrorism.................................. 2,509.2 522.6 2,994.1 3,419.8
Protecting Critical Infrastructure and Key Assets.......... 12,893.1 388.3 12,571.0 14,060.0
Defending Against Catastrophic Threats..................... 2,428.4 201.1 2,827.2 3,358.2
Emergency Preparedness and Response........................ 3,873.2 2,272.0 7,132.5 8,802.4
Other...................................................... 118.3 ............ 191.1 196.5
----------------------------------------------------
Total, Homeland Security Budget Authority................ 37,118.2 5,329.0 41,307.1 47,385.7
----------------------------------------------------------------------------------------------------------------

National Strategy Mission Area: Intelligence and Warning

Table 3-3. INTELLIGENCE AND WARNING FUNDING
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Agriculture.................................. 0.8 ............ 0.8 19.8
Department of Homeland Security............................ 86.3 ............ 239.9 290.3
Department of Justice...................................... 35.7 86.0 24.5 91.1
Department of the Treasury................................. 2.3 ............ 2.5 0.6
Intelligence Community Management Account.................. ........... ............ 1.0 72.4
----------------------------------------------------
Total, Intelligence and Warning.......................... 125.1 86.0 268.7 474.1
----------------------------------------------------------------------------------------------------------------

The intelligence and warning mission area covers activities to detect
terrorist threats and disseminate terrorist-threat information. The
category includes intelligence collection, risk analysis, and threat-
vulnerability integration activities for preventing terrorist attacks.
It also includes information sharing activities among Federal, State,
and local governments, relevant private sector entities (particularly
custodians of critical infrastructure), and the public at large. It does
not include most foreign intelligence collection, although this
intelligence may inform homeland security activities. In 2005, the bulk
of the funding for intelligence and warning is in DHS (61 percent in
2005), primarily in the Information Analysis and Infrastructure
Protection (IAIP) Directorate and the Secret Service. Other large
contributors are DOJ (19 percent in 2005), primarily in the Federal
Bureau of Investigation (FBI), and the Intelligence Community (15
percent in 2005), for the Terrorist Threat Integration Center (TTIC).
The major requirements addressed in the intelligence and warning
mission area include:
Unifying and enhancing the Government's intelligence and
analytical capabilities to ensure officials have the
information they need to preempt attacks.
Implementing the Homeland Security Advisory System to allow
Federal, State, local, and private authorities to take action
to prevent attacks and protect potential targets.
The Administration is addressing these homeland security requirements
through a variety of efforts. Over the past year, significant steps have
been taken to enhance coordination of information collection and
analysis. The multi-agency TTIC, the Terrorist Screening Center (TSC),
and DHS' IAIP Directorate were established. These new units are
improving information sharing among agencies and reducing potential gaps

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in intelligence. They were explicitly established as ``hubs'' to receive
and share threat information with multiple Federal agencies and other
entities. A further example of intelligence coordination is the
Memorandum of Agreement signed by the Secretary of Homeland Security,
the Attorney General, and the Director of Central Intelligence to
improve the flow of homeland security information between their
agencies.
Announced by the President in the 2003 State of the Union, the multi-
agency TTIC commenced operations on May 1st, 2003. TTIC's interagency
staff fully integrates terrorist threat-related information and
analysis, and seeks to break down information ``stovepipes'' that have
hindered intelligence efforts in the past. TTIC is co-located with
counterterrorism elements from the Central Intelligence Agency and FBI
to further improve communication and analysis.
To complement the TTIC, the Administration initiated the TSC, which
began operations in December 2003. The TSC was formed to consolidate
Government watch lists and provide operational support for thousands of
Federal screeners across the country and around the world by making this
consolidated information accessible to Federal, State and local
agencies. Information provided by TSC will allow Government
investigators, screeners and agents to act quickly when a suspected
terrorist is screened or stopped. The TSC works closely with the TTIC to
ensure that the single, consolidated list of terrorist suspects is
accurate and regularly updated.
Enhancing the FBI's analytical capability has been a major priority to
improve the Government's overall ability to deter, detect, and prevent
terrorist attacks. The FBI has created an Office of Intelligence to
establish intelligence requirements and coordinate information
collection and sharing. The President's Budget requests $29 million for
this new office.
IAIP was established as part of DHS to fill a new and unique role:
mapping threat information against our nation's vulnerabilities, and
working with the Federal, State, and local government officials and
private sector custodians of critical infrastructure to mitigate those
vulnerabilities. Over the past year, the IAIP has made considerable
strides by working with its partners within the intelligence community
to become a focal point for integrating and disseminating operational
and situational awareness information. For example, IAIP is partnering
with homeland security directors of States and territories to establish
joint regional information exchange systems using DHS' Homeland Security
Operations Center. IAIP is working to not only eliminate barriers to
information sharing but also create avenues to share information to its
partners on specific threats, vulnerabilities, and responses to the
threat.
In addition, IAIP is responsible for operating the Homeland Security
Advisory System (HSAS), which communicates threat alerts to the general
public and government entities. IAIP is working to refine the warning
system. For 2005, the President requests $10 million for the HSAS. The
Federal Government is working to link other agency warning systems to
the HSAS and to other public and private sector alert networks. DHS has
been leading efforts to harmonize Federal systems, such as the National
Oceanic and Atmospheric Administration's all-hazards and weather radio
system in the Department of Commerce, and has been working with State,
local, and private sector entities to link systems, speed notification
processes, and allow for more targeted warnings

National Strategy Mission Area: Border and Transportation Security

Table 3-4. BORDER AND TRANSPORTATION SECURITY FUNDING
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Agriculture.................................. 143.2 ............ 163.1 169.2
Department of Homeland Security............................ 14,169.2 1,859.0 14,403.2 15,943.4
Department of Justice...................................... 25.4 ............ 20.1 24.4
Department of State........................................ 591.8 ............ 668.9 919.0
Department of Transportation............................... 241.3 ............ 67.2 18.6
----------------------------------------------------
Total, Border and Transportation Security................ 15,170.8 1,859.0 15,322.5 17,074.6
----------------------------------------------------------------------------------------------------------------

This mission area covers activities to protect border and
transportation systems, such as screening airport passengers, detecting
dangerous materials at ports overseas and at U.S. ports-of-entry, and
patrolling our coasts and the land between ports-of-entry. The majority
of funding in this mission area ($15.9 billion, or 93 percent, in 2005)
is in DHS, largely for the U.S. Customs and Border Protection (CBP), the
Transportation Security Administration (TSA), and the Coast Guard. Other
DHS bureaus and other Departments, such as State and Agriculture, also
play significant roles as well. The President's 2005 request would
increase funding for border and transportation security activities by 11
percent over the 2004 level.
Securing our borders and transportation systems is a complex task. The
Administration's ``Smart Border'' initiative targets resources toward
the highest risks and threats while facilitating the legitimate flow of
commerce. This is cornerstone of an effective border and transportation
security strategy. The creation of DHS, which unified the Federal
Government's major border and transportation security resources,
facilitates the integration of risk targeting systems and ensures
greater accountability in border and transportation security.

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Rather than having separate systems for managing the flow of goods,
people, and agricultural products, one agency is now accountable for
ensuring there is one cohesive border management system.
In the area of aviation security, the Federal Government has
implemented the Aviation and Transportation Security Act of 2001. While
intelligence suggests that aviation remains a preferred instrument of
terrorism, Federal actions have bolstered the Nation's defenses. The
Federal Government funded the installation of reinforced, blast-
resistant cockpit doors on all large commercial passenger aircraft. More
than 7,000 screening devices have been installed in all 429 commercial
airports. Screeners have been replaced or retrained at all airport
checkpoints and all passengers on U.S. aircraft are pre-screened against
terrorism watch lists. Aircraft and airport access controls have been
tightened for all U.S. airports, and the Government is working with
other nations to improve aviation security. DHS also recently
implemented new air cargo security requirements so that high risk cargo
may not be carried on passenger aircraft. The 2005 Budget supports
substantial new investments in aviation security, including an increase
of nearly $900 million increase over 2004 for TSA. This funding will
help ensure strong screening system performance through more training,
improved technology, and explosive detection system replacement at high
volume airports. In addition, $60 million is provided to DHS to continue
accelerated development of improved technologies to counter the threat
of portable anti-aircraft missiles. The Budget also supports a
regulatory enforcement program in CBP and TSA to ensure that the air
cargo industry is complying with the higher security standards, and
invests in research and development for better cargo screening
technologies.
The security of our seaports is no less critical, since terrorists may
seek to use them to enter the country or introduce weapons or other
dangerous materials. With 95 percent of all U.S. cargo passing through
the Nation's 361 ports, a terrorist attack on a seaport could be
economically devastating. The Maritime Transportation Security Act
(MTSA) and its implementing regulations, issued by DHS in October 2003,
require certain ports, vessels, and facilities to conduct security
assessments. DHS will establish security standards for certain vessels
and facilities, and require them to adopt security plans based on their
assessments.
The 2005 Budget provides nearly $2 billion for port security,
including $1.7 billion for Coast Guard activities such as Maritime
Safety and Security Teams and Sea Marshals and nearly $50 million for
port security grants. This includes over $100 million in new funding for
the Coast Guard to develop and approve security plans, ensure foreign
vessels arriving in the U.S. are in compliance with the new
international port security standards, and enhance its intelligence and
surveillance capabilities.
CBP is responsible for inspecting travelers at ports of entry for
immigration, customs, and agriculture compliance, as well as
interdicting illegal crossers between ports of entry. DHS streamlined
border operations by merging inspection forces formerly maintained by
the Departments of the Treasury, Justice, and Agriculture. CBP also
includes the Border Patrol, formerly maintained by the Department of
Justice. The merging of the agencies responsible for ensuring that all
goods and persons entering and exiting the United States do so legally
has improved accountability by leveraging all of our border security
assets; creating a clear chain of command; and allowing for a
comprehensive, cohesive border security strategy.
To secure our borders while also maintaining openness to travel and
trade, CBP utilizes a risk-based, layered security approach. Overall
funding for CBP homeland security activities in 2005 would increase by
almost $200 million over the 2004 enacted level, with enhancements
supporting additional inspectors at ports-of-entry, additional Border
Patrol agents, inspection equipment, enhancements to tracking and
targeting databases, and information technology upgrades. Further,
through its Container Security Initiative (CSI), CBP has addressed an
area of identified risk--the security of international shipping
containers. CSI aims to push our borders outward by screening cargo
containers at foreign ports before the containers are placed on ships
bound for the United States. The 2005 Budget provides $25 million in new
funding for CSI. Another focus for CBP is new and improved inspection
equipment. Nearly $300 million has been directed for this endeavor since
September 11th. The new equipment affords inspectors the ability to
examine a larger percentage of containers more easily than in the past.
The 2005 Budget provides over $100 million to CBP for such equipment,
including $50 million in funding to defend against radiological and
nuclear threats by deploying next-generation radiation detection
technologies. Additionally, CBP will continue deployments of current
Non-Intrusive Inspection technologies to expand radiation detection
capability across our borders.
Another important element of a smart border strategy is managing the
pre-entry, entry, stay, and departure of visitors. To do so, the 2005
Budget requests $340 million in DHS' Border and Transportation Security
Directorate to continue implementation of U.S. VISIT, an entry-exit
control system to record the arrivals and departures of travelers. This
program will provide specific information about who is entering the
country and who is staying past their period of authorized admission.
To ensure effective detention and removal of illegal aliens present in
the U.S., the 2005 Budget also supports a nearly $100-million increase
for the Detention and Removal Program. This includes funding to expand
the program to apprehend alien fugitives and to increase efforts to
ensure that aliens convicted of crimes in the U.S. are deported directly
from correctional institutions after their time is served.

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National Strategy Mission Area: Domestic Counterterrorism

Table 3-5. DOMESTIC COUNTERRORISM FUNDING
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Homeland Security............................ 1,012.6 171.7 1,246.2 1,410.1
Department of Justice...................................... 1,455.0 350.8 1,677.7 1,938.3
Department of Transportation............................... 1.0 ............ 21.0 21.0
Department of the Treasury................................. 40.6 ............ 45.2 46.0
Social Security Administration............................. ........... ............ 4.0 4.4
----------------------------------------------------
Total, Domestic Counterterrorism......................... 2,509.2 522.6 2,994.1 3,419.8
----------------------------------------------------------------------------------------------------------------

Funding in the domestic counterterrorism mission area covers Federal
and Federally-supported efforts to identify, thwart, and prosecute
terrorists in the United States. The Department of Justice (largely for
the FBI) and DHS (largely for U.S. Immigration and Customs Enforcement,
or ICE) are the largest contributors to the domestic counterterrorism
mission, accounting for $1.9 billion (57 percent) and $1.4 billion (41
percent) in funding for 2005, respectively. The President's 2005 request
would increase funding for domestic counterterrorism activities by 14
percent over the 2004 level.
Since the attacks of September 11th, preventing and interdicting
terrorist activity within the United States has become a priority for
law enforcement at all levels of government. The major requirements
addressed in the intelligence and warning mission area include:
Developing a proactive law enforcement capability to prevent
terrorist attacks.
Apprehending potential terrorists.
Improving law enforcement cooperation and information
sharing to enhance domestic counterterrorism efforts across
all levels of government.
The FBI has transformed its focus into to one dedicated to preventing
terrorist attacks. In a series of measures to support this
transformation, resources have been shifted from lower priority
programs; analytical capability has been enhanced; additional field
investigators have been hired; and headquarters oversight and management
of terrorism cases has been strengthened. Overall, FBI resources in the
domestic counterterrorism category have increased from $0.9 billion in
2003 to $1.3 billion in 2005, with the 2005 Budget providing an increase
of approximately $300 million over the 2004 level. This increase will
support a range of activities, such as counterterorism investigations
and countering cyber crime.
By merging existing immigration and customs enforcement functions into
ICE, the Department of Homeland Security created one of America's most
robust law enforcement agencies. The Nation is better prepared to
apprehend potential terrorists because the information and resources to
identify and investigate illegal activities, such as smuggling, identity
theft, money laundering, and trafficking in dangerous materials are
combined. The 2005 Budget provides an increase of $160 million over the
2004 level for these enforcement activities.
Cooperation among law enforcement agencies assumes its most tangible
operational form in the Joint Terrorism Task Forces (JTTFs) that are
currently established in 66 cities. These task forces are devised to
prevent and investigate terrorism. They combine the national and
international investigative resources of the FBI and other Federal
agencies with the street-level expertise of local law enforcement
agencies. This ``cop-to-cop'' cooperation has proved successful in
disrupting terrorist activity. The 2005 Budget provides funding to
support 18 additional JTTFs.

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National Strategy Mission Area: Protecting Critical Infrastructure and
Key Assets

Table 3-6. PROTECTING CRITICAL INFRASTRUCTURE AND KEY ASSETS FUNDING
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Agriculture.................................. 60.5 ............ 86.5 166.0
Department of Defense...................................... 8,124.0 ............ 6,543.8 7,550.7
Department of Energy....................................... 1,126.0 77.3 1,254.9 1,397.7
Department of Health and Human Services.................... 182.3 ............ 164.6 173.8
Department of Homeland Security............................ 1,739.7 250.3 2,413.1 2,558.2
Department of Justice...................................... 341.8 13.0 413.4 484.0
Department of Transportation............................... 128.0 ............ 180.1 189.0
National Aeronautics and Space Administration.............. 205.0 ............ 191.0 207.0
National Science Foundation................................ 257.6 ............ 300.9 316.6
Social Security Administration............................. 132.0 ............ 139.4 150.6
Other Agencies............................................. 596.3 47.7 883.4 866.4
----------------------------------------------------
Total, Protecting Critical Infrastructure and Key Assets. 12,893.1 388.3 12,571.0 14,060.0
----------------------------------------------------------------------------------------------------------------

Funding in the protecting critical infrastructure and key assets
mission area captures the efforts of the U.S. Government to secure the
Nation's infrastructure, including information infrastructure, from
terrorist attacks. Protecting the Nation's key assets is a complex
challenge because more than 85 percent are not Federally-owned. DOD
reports the largest share of funding in this category for 2005 ($7.6
billion, or 54 percent, in 2005), and includes programs focusing on
physical security and improving the military's ability to prevent or
mitigate the consequences of attacks against soldiers and bases. DHS has
overall responsibility for prioritizing and executing infrastructure
protection activities at a national level and accounts for $2.6 billion
(18 percent) of 2005 funding. A total of 26 other agencies report
funding to protect their own assets and to work with States, localities,
and the private sector to reduce vulnerabilities in their areas of
expertise. The President's 2005 request increases funding for activities
to protect critical infrastructure and key assets by $1.5 billion (12
percent) over the 2004 level, of which $1 billion is for DOD.
Securing America's critical infrastructure and key assets is a
complicated task. The major requirements include:
Unifying disparate efforts to protect critical
infrastructure across the Federal Government, and with State,
local, and private stakeholders.
Building and maintaining a complete and accurate assessment
of America's critical infrastructure and key assets and
prioritizing protective action based on risk.
Enabling effective partnerships to protect critical
infrastructure.
Reducing threats and vulnerabilities in cyberspace.
The IAIP Directorate, as part of DHS, is responsible for prioritizing
and addressing these requirements at a national level. One of the first
tasks undertaken by IAIP involved cataloguing critical infrastructure
and key assets of national-level importance. IAIP leverages tactical
intelligence with a risk-based strategy that identifies critical
infrastructures in the targeted areas that might be affected by a
terrorist incident, works to understand the vulnerabilities of that
infrastructure, and recommends protective measures. In addition, IAIP
trains State and local officials to improve security in the areas
surrounding up to 1,000 key infrastructures sites per year. The FY 2005
Budget provides $287 million for the broad range of IAIP's
infrastructure protection activities.
Cyberspace security is a key element of infrastructure protection
because the internet and other computer systems link many infrastructure
sectors. The consequences of a cyber attack could cascade across the
economy, imperiling public safety and national security. In response,
DHS has established the National Cyber Security Division (NCSD) to
identify, analyze and reduce cyber threats and vulnerabilities,
coordinate incident response, and provide technical assistance. Since
its formal establishment in 2003, NCSD has worked with the private
sector to improve security of the Nation's information infrastructure.
For example, it coordinated the response and mitigation of the Blaster
worm and SoBig virus. $80 million is requested for the NCSD in 2005.
Even with the creation of IAIP, the Government continues to utilize
the infrastructure protection efforts of other Federal agencies to
ensure the delivery of essential goods and services and maintain public
safety and security. A number of agencies rely on specialized expertise
and long-standing relationships with industry to assist them.
Sector-specific agencies outside of DHS are pursuing infrastructure
protection efforts. The Department of Energy is coordinating protection
activities within the energy sector as any prolonged interruption of
energy supply--be it electricity, natural gas, or oil products--could be
devastating to the Nation. The Department of Trans

[[Page 32]]

portation is working with local transit agencies to test and deploy
integrated intrusion detection technologies in tunnels and open track
areas in cities with major transit systems. The Department of
Agriculture (USDA) is protecting agricultural resources, a source of
essential commodities, through research and testing programs.
To maintain public safety and security, the Environmental Protection
Agency (EPA) and DHS are working with the chemical industry to enhance
measures in place to ensure the safety of facilities and to prevent
accidental releases. Companies representing more than 90 percent of
chemical production have adopted a comprehensive security code that
includes mandatory inspections. EPA has also provided grants and
technical support to help drinking water systems complete vulnerability
assessments. To protect Federal facilities that could be exploited by
terrorists, the Army Corps of Engineers is addressing identified
vulnerabilities at its highest-priority dams. To protect the Nation's
nuclear weapons complex, as well as nuclear weapons and their components
while in transit between facilities, the Department of Energy has
revised its assumptions of threats and requirements. The 2005 Budget
includes a $166-million increase to address additional security.
A major component of ensuring public safety and security is protecting
Federal employees and Federally-owned, leased, or occupied buildings
from terrorist attack. The largest share of funding in this area is for
DOD ($7.6 billion for 2005). This includes programs focusing on physical
security and improving the military's ability to prevent or mitigate the
consequences of attacks against soldiers and bases.

National Strategy Mission Area: Defending Against Catastrophic Threats

Table 3-7. DEFENDING CATASTROPHIC THREATS FUNDING
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Agriculture.................................. 44.6 110.0 20.8 227.0
Department of Commerce..................................... 63.9 ............ 60.0 69.5
Department of Defense...................................... 105.0 ............ 146.8 161.3
Department of Energy....................................... ........... 84.0 ........... ...........
Department of Health and Human Services.................... 1,664.4 ............ 1,754.5 1,930.3
Department of Homeland Security............................ 491.0 ............ 774.0 886.0
Department of Justice...................................... 23.6 7.1 27.9 41.0
National Science Foundation................................ 27.0 ............ 27.0 27.0
Nuclear Regulatory Commission.............................. 8.9 ............ 16.2 16.1
----------------------------------------------------
Total, Defending Against Catastrophic Threats............ 2,428.4 201.1 2,827.2 3,358.2
----------------------------------------------------------------------------------------------------------------

The defending against catastrophic threats mission area covers
activities to research, develop, and deploy technologies, systems, and
medical measures to detect and counter the threat of chemical,
biological, radiological, and nuclear (CBRN) weapons. The agencies with
the most significant resources in this category are HHS ($1.9 billion,
or 57 percent, of the 2005 total), largely for research in the National
Institutes of Health, and in DHS' Directorate of Science and Technology
(S&T) ($0.9 billion, or 26 percent, of the 2005 total), to help develop
and field technologies to counter CBRN threats. The President's 2005
request would increase funding for activities defending against
catastrophic threats by 19 percent over the 2004 level.
The major requirements addressed in this mission area include:
Developing countermeasures, including broad spectrum
vaccines, antimicrobials, and antidotes.
Preventing terrorist use of CBRN weapons through detection
systems and procedures.
A key element in addressing these requirements as a whole is
developing and maintaining adequate countermeasures for a CBRN attack.
This not only means stockpiling those countermeasures that are currently
available, but developing new countermeasures for agents that currently
have none, and next-generation countermeasures that are safer and more
effective than those that presently exist. Also, unlike an attack with
conventional weapons, an attack with many CBRN weapons may not be
immediately apparent. Working to ensure earlier detection and
characterization of an attack is another way to protect and save lives.
The Federal Government is addressing these requirements. Primarily
through the National Institutes of Health, HHS has conducted a research
and development to develop next-generation diagnostics, vaccines and
therapeutics to identify, prevent and treat the diseases caused by
biological agents of terror. The 2005 Budget continues this effort by
investing $1.7 billion, an increase of $128 million over 2004 and $1.4
billion over level prior to September 11th, including funding for a new
program to focus on countermeasures against the threat of radiological
and nuclear weapons. These investments have yielded results. For
example, in November of 2003, NIH began the first human trial of vaccine
designed to prevent Ebola infection. When proven effective, this vaccine
will provide a life-saving advance in countries where the disease occurs
naturally, and a medical tool to discourage and counteract the use of
Ebola virus as an agent of bioterrorism. DHS' Project BioShield,
categorized as emergency prepared

[[Page 33]]

ness and response because it will be utilized to augment pharmaceutical
stockpiles, will also spur the development new biological
countermeasures.
In order to decrease the gap in time between a bioterrorist attack and
the implementation of Federal, State, and local response protocols, the
2005 Budget includes a $274-million biosurveillance initiative. The
initiative will help to build a comprehensive detection architecture by
augmenting and integrating existing surveillance in the areas of human
health, food supply, agriculture, and environmental monitoring, and then
integrating those elements with each other and with other terrorist-
threat information in real time. Improvements to these surveillance
capabilities will be supported by investing an additional $130 million
for HHS' Centers for Disease Control and Prevention, an additional $15
million for HHS' Food and Drug Administration and the Department of
Agriculture, and a total of $118 million for DHS S&T in 2005. The Budget
also provides $11 million for the IAIP Directorate to integrate this
information.
As part of the Biosurveillance Initiative, the BioWatch program in
DHS' S&T Directorate will be expanded. BioWatch continuously monitors
the air for biological agents that might be released by terrorists. The
2005 Budget provides an additional $47 million to expand the program by
adding scores of detectors in the top high-threat cities and at high-
value targets such as stadiums and transit systems. To facilitate
enhancements in the system, the budget provides $31 million in new
funding for DHS to develop the next-generation of biological sensors,
new detection systems at critical food nodes, and a model to enable
better synthesis of biological incident data when assessing the extent
of an actual attack.
USDA, HHS, and DHS will also work together to improve the inputs into
the biosurveillance system and protect the safety of the Nation's food
and agriculture systems from terrorist attacks. This effort spans across
mission area categories, including efforts to detect catastrophic
agents, improve warning systems, better protect the food and agriculture
sectors from these threats on a regular basis, and, when necessary,
implement response protocols. The 2005 Budget includes an increase of
$357 million to expand laboratory capacity, conduct research, and
improve surveillance of the food and agriculture supply. This funding
will support the complete renovation and modernization of the national
animal disease and diagnostic facility at Ames, Iowa. In addition, $15
million from the Biosurveillance initiative is specifically dedicated to
improving food and agriculture surveillance.

National Strategy Mission Area: Emergency Preparedness and Response

Table 3-8. EMERGENCY PREPAREDNESS AND RESPONSE FUNDING
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Energy....................................... 120.9 ............ 107.6 99.2
Department of Health and Human Services.................... 2,155.7 142.0 2,189.8 2,172.0
Department of Homeland Security............................ 1,126.0 2,130.0 4,268.0 5,965.5
Other Agencies............................................. 470.6 ............ 567.0 565.8
----------------------------------------------------
Total, Emergency Preparedness and Response............... 3,873.2 2,272.0 7,132.5 8,802.4

Less BioShield........................................... ........... ............ -885.0 -2,528.0
----------------------------------------------------
Total, Emergency Preparedness and Response excluding 3,873.2 2,272.0 6,247.5 6,274.4
BioShield...............................................
----------------------------------------------------------------------------------------------------------------

The Emergency Preparedness and Response mission area covers agency
efforts to prepare for and minimize the damage from major incidents and
disasters, particularly terrorist attacks that would endanger lives and
property or disrupt government operations. The mission area encompasses
a broad range of agency incident management activities, as well as
grants and other assistance to States and localities for similar
purposes. DHS maintains the largest share of funding in this category
($5.9 billion, or 68 percent, for 2005), mostly for preparedness grant
assistance to State and local first responders and Project BioShield.
HHS, the second largest contributor ($2.2 billion, or 25 percent, in
2005), also assists to States and localities to upgrade their public
health capacity. A total of 18 other agencies include emergency
preparedness and response funding. A number maintain specialized
response assets that may be called upon in select circumstances. In the
President's 2005 Budget, funding for emergency preparedness and response
activities would increase by $1.7 billion (23 percent) over the 2004
level.
Major requirements addressed in the emergency preparedness and
response mission area include:
Integrating separate Federal response plans into a single
all-discipline incident management plan.
Establishing measurable goals for national preparedness and
ensuring that federal funding supports these goals
Ensuring that Federal programs to train and equip States and
localities are coordinated and complementary.

[[Page 34]]

Encouraging standardization and interoperability of first
responder equipment, especially for communications.
Building a national training, exercise, evaluation system.
Creating a national incident management system.
Preparing health care providers for catastrophic terrorism.
Augmenting America's pharmaceutical and vaccine stockpiles.
Many of the key elements of the national emergency response system are
already in place. However, we must ensure that the investments made
since September 11th to enhance Federal, State and local preparedness
capabilities have actually resulted in a higher level of preparedness.
Key elements in doing so are identifying capability gaps, establishing
national preparedness goals, and improving response and recovery efforts
at all levels of government. A related challenge is ensuring that
investments in State and local preparedness are focused on new response
capabilities for major events, and not supplanting normal operating
expenses. DHS is leading an interagency effort to better match federal
resources with achieving national preparedness goals.
From 2001 through 2004, the Federal Government has allocated $13.4
billion in State and local terrorism preparedness grant funding from the
Departments of Homeland Security, Health and Human Services, and
Justice, increasing spending from an annual level of approximately $300
million in 2001 to $5.0 billion in the 2005 request. The funding growth
has been directed to Federal assistance for State and local preparedness
and response activities, including equipping and training first
responders and preparing the public health infrastructure for a range of
terrorist threats. The Federal Government has also taken steps to
rationalize and simplify the distribution of State and local assistance.
For example, DHS now maintains a website that contains information on
homeland security and public safety grant opportunities offered by DHS
and other agencies across the Federal Government. In addition, DHS'
Project SAFECOM has established consistent technical criteria for
Federally-funded communications equipment, and is developing a strategic
plan to encourage progress on standardizing equipment and protocols.
In 2004, DHS will complete a National Response Plan and begin to
implement a comprehensive National Incident Management System. By the
end of 2004, over 500,000 first responders will have received terrorism
preparedness and response training through the Departments of Justice
and Homeland Security. Over 480 terrorism preparedness exercises will
have been conducted, including the largest preparedness exercise in
American history (TOPOFF II). The 2005 Budget continues to provide
coordinated terrorism preparedness training and equipment for State and
local responders across the various responder agencies. The 2005 request
includes $3.6 billion for terrorism preparedness grants, training, and
exercises administered by the Office for Domestic Preparedness within
DHS. DHS will also administer a new, $20 million program for planning
and exercises associated with medical surge capabilities. Of this
amount, $5 million is for planning and $15 million is for two pilot
projects to evaluate fixed and mobile medical surge facilities
capabilities.
In addition, the Budget includes $2.5 billion, $1.6 billion over the
2004 level, for Project BioShield. BioShield is designed to stimulate
the development of the next generation of countermeasures by allowing
the Federal Government to buy critically needed vaccines and medications
for biodefense as soon as experts agree they are safe and effective
enough to be added to the Strategic National Stockpile. This program
provides an incentive to manufacture these countermeasures. BioShield is
a shared responsibility, joining the intelligence capabilities of DHS
with the medical expertise of HHS.
To take full advantage of that medical expertise, the Budget proposes
to transfer funding for the Stockpile to HHS. The Budget includes $400
million to maintain and augment this supply of vaccines and other
countermeasures that can be made available within 12 hours in the event
of a terrorist attack or other public health emergency. The Budget also
includes flexible authority to increase funding to augment the supply of
antibiotics to protect the public against exposure to anthrax. HHS has
the lead role in preparing public health providers for catastrophic
terrorism. For 2005, HHS will provide $476 million to continue
improvements for hospital infrastructure and mutual aid through the
Health Resources and Services Administration (HRSA), and $829 million
for States through the Centers for Disease Control and Prevention (CDC)
for upgrades to State and local public health capacity. This investment
will bring the total assistance provided by HHS to States, local
governments and health care providers since 2001 to $5.8 billion.

Non-Federal Expenditures

Since September 11th, State and local governments and the private
sector have also devoted extensive resources to the task of defending
against terrorist threats. Some spending represents one-time costs;
other spending is likely to be ongoing. In their roles as first
responders, States and localities have hired more personnel, increased
overtime for police, firefighters, and other emergency personnel,
purchased new security equipment, activated and upgraded emergency
operations centers, and invested in security-focused training.
In the private sector, firms have devoted more resources to enhance
security and ensure the continuity of operations in the event of an
attack. Private sector spending has focused on strengthening information
systems, reinforcing security and protection, improving surveillance,
and establishing and improving backup systems and inventory management
so that activities can be maintained in the event of a major disruption
of normal operations.

[[Page 35]]

In order to estimate expenditures for homeland security activities by
State and local governments and the private sector for the prior fiscal
year and the current fiscal year, a number of methodological issues need
to be addressed. Unlike the Federal Government, many State and local
governments and private sector firms do not have budget systems that
uniformly separate homeland security spending from other spending. Even
when homeland security spending is tracked at the level of individual
governmental units or firms, there is no organized data collection
system for aggregating spending and for estimating spending for entities
that do not collect homeland security data. This leads to a number of
concerns with State, local, and private sector estimates that have been
developed for, or are related to, homeland security:
Entities that have reported estimates may not have used a
uniform definition of homeland security activities. For
example, private firms have difficulty separating expenditures
primarily motivated by the threat of terrorism from other
security expenses, and State and local governments may not
have separated general public safety costs from activities
more clearly motivated by the threat of terrorism, such as
purchases of bullet proof vests versus specialized training
for incidents involving weapons of mass destruction.
Furthermore, the large number of Federal, State, local, and
private entities that perform homeland security activities
makes it difficult to collect estimates and ensure uniformity.

Funding estimates may not have been categorized in a uniform
way. For example, it is unclear whether certain estimates have
reflected amounts budgeted versus amounts expended, or that
certain estimates have been normalized to conform to a uniform
fiscal year.

Expenditures for homeland security may be double-counted.
For example, the ramp-up in State and local expenditures since
September 11th may be attributed to the increase in Federal
grant funding for homeland security activities (see discussion
below). The same applies to funding transfers among States and
counties or cities. Although some estimates have attempted to
control for this, uniform estimates that differentiate between
where funding originated versus where it is ultimately
expended are not available at this time. The possibility that
fiscal substitution may have occurred--that one governmental
entity lowered what it planned to spend based on anticipated
funds from another source--is also a problem.

Many of the homeland security spending estimates generated
since September 11th focus exclusively on increases, without
accounting for pre-existing activities. A valid comparison
must capture these historical costs in a logical way. For
example, while public safety spending related to terrorism may
have increased, it is problematic to assert that there were no
homeland security activities at the State and local level
before September 11th. Conversely, not all State and local and
local public safety spending since that date may be attributed
to homeland security. Furthermore, because some homeland
security expenditures may be one-time costs or costs that
occur infrequently (e.g., purchasing additional security
cameras), some of the expenditures that occurred in the wake
of September 11th may be one-time or infrequent costs.

Given these issues, it is not surprising that there is a wide range of
plausible estimates of non-Federal homeland security spending.
Two private consulting firms have published estimates based on
responses to surveys they conducted of a sample of States, localities,
and private-sector firms. The estimates are shown in the table below.
The wide range between the low and high estimates developed by Deloitte
Consulting, and the wider range between those estimates and the
estimates developed by International Horizons Unlimited attests to the
difficulty of accurately estimating non-Federal homeland security
spending.

[[Page 36]]

The estimates by International Horizons Unlimited are on a Federal
fiscal year basis. The Deloitte Consulting estimates are on a fiscal
year basis appropriate to the reporting entity. For States and
localities, the fiscal year most often, but not always, begins July 1;
for corporations, there are several common starting dates for fiscal
years, including July 1, October 1, and January 1. For State and local
spending, both sets of estimates attempted, as best as possible, to
remove spending that was funded by Federal grants to avoid any double
counting of spending that was reported by the Federal Government.
Federal grants to States and localities for homeland security activities
totaled $5.2 billion in FY 2003 and are estimated to be $5.5 billion in
2004.
The Administration will work closely with other public and private
entities in the coming year to improve estimates of homeland security
spending for inclusion in the 2006 Budget.

Table 3-9. ESTIMATES OF NON-FEDERAL HOMELAND SECURITY EXPENDITURES
(funding estimates, in billions of dollars)
------------------------------------------------------------------------
2003 2004
------------------------------------------------------------------------
States and localities
International Horizons Unlimited.............. 6.5 7.5
Deloitte Consulting........................... 14.6 to around 15
29.2

Private Sector
International Horizons Unlimited.............. 4.5 4.8
Deloitte Consulting........................... 45.9 to around 46
76.5

------------------------------------------------------------------------
Sources: ``The Homeland Security Market,'' Aviation Week/Deloitte
Consulting, June 2002

Additional Tables

The tables in the Federal expenditures section above present data
based on the President's policy for the 2005 Budget. The tables below
present additional policy and baseline data, as directed by the Homeland
Security Act of 2002.

Estimates by Agency

Table 3-10. DISCRETIONARY FEE-FUNDED HOMELAND SECURITY ACTIVITIES BY AGENCY
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Energy....................................... 1.2 ............ 1.2 1.2
Department of Homeland Security............................ 2,571.0 -705.0 2,701.0 2,875.0
Department of Labor........................................ 4.0 ............ 14.9 16.1
Department of State........................................ 591.8 ............ 649.0 898.0
General Services Administration............................ 61.5 ............ 72.8 73.2
Social Security Administration............................. 132.0 ............ 143.4 155.0
Federal Communications Commission.......................... 1.0 ............ 1.0 ...........
Nuclear Regulatory Commission.............................. 47.0 ............ 66.8 57.0
Securities and Exchange Commission......................... 5.0 ............ 5.0 5.0
----------------------------------------------------
Total, Discretionary Homeland Security Fee-Funded 3,414.4 -705.0 3,655.1 4,080.5
Activities..............................................
----------------------------------------------------------------------------------------------------------------

[[Page 37]]

Table 3-11. MANDATORY HOMELAND SECURITY FUNDING BY AGENCY
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2003 2004 2005
Agency Enacted Supplemental Enacted Request
----------------------------------------------------------------------------------------------------------------
Department of Agriculture.................................. 119.0 ............ 133.0 140.0
Department of Commerce..................................... 9.5 ............ 9.5 10.8
Department of Energy....................................... 10.0 ............ 11.0 11.0
Department of Health and Human Services.................... 13.6 ............ 13.7 14.6
Department of Homeland Security............................ 1,603.6 ............ 1,777.6 2,082.4
Department of Labor........................................ 3.7 ............ 3.2 2.6
----------------------------------------------------
Total, Homeland Security Mandatory Programs.............. 1,759.4 ............ 1,948.0 2,261.4
----------------------------------------------------------------------------------------------------------------

Table 3-12. BASELINE ESTIMATES--TOTAL HOMELAND SECURITY FUNDING BY AGENCY
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
Baseline
Agency 2004 ------------------------------------------------------
Enacted \1\ 2005 2006 2007 2008 2009
----------------------------------------------------------------------------------------------------------------
Department of Agriculture................... 326 336 315 324 334 345
Department of Commerce...................... 131 135 141 142 149 152
Department of Defense....................... 7,025 7,221 7,425 7,646 7,883 8,131
Department of Education..................... 8 8 8 8 8 9
Department of Energy........................ 1,362 1,380 1,388 1,411 1,439 1,468
Department of Health and Human Services..... 4,108 4,169 4,241 4,320 4,409 4,503
Department of Homeland Security \2\......... 23,492 25,946 23,892 24,449 25,059 27,878
Department of Housing and Urban Development. 2 2 2 2 2 3
Department of the Interior.................. 66 66 69 70 74 74
Department of Justice....................... 2,166 2,229 2,296 2,368 2,444 2,527
Department of Labor......................... 53 53 50 52 53 55
Department of State......................... 702 710 722 734 748 763
Department of Transportation................ 285 292 302 311 320 331
Department of the Treasury.................. 91 93 95 100 104 106
Department of Veterans Affairs.............. 271 275 280 285 290 297
Corps of Engineers.......................... 103 104 106 108 110 112
Environmental Protection Agency............. 123 124 125 130 133 135
Executive Office of the President........... 35 35 36 37 37 38
General Services Administration............. 79 79 82 82 83 86
National Aeronautics and Space 191 193 196 199 204 208
Administration.............................
National Science Foundation................. 327 331 336 342 348 355
Office of Personnel Management.............. 3 3 3 3 3 3
Social Security Administration.............. 139 141 143 145 148 151
District of Columbia........................ 19 19 19 20 21 21
Federal Communications Commission........... 2 2 2 2 2 2
Intelligence Community Management Account... 1 1 1 1 1 1
National Archives and Records Administration 12 12 12 13 13 13
Nuclear Regulatory Commission............... 67 69 71 74 75 78
Securities and Exchange Commission.......... 5 5 5 5 5 5
Smithsonian Institution..................... 78 81 85 89 91 96
United States Holocaust Memorial Museum..... 8 8 8 8 8 9
Corporation for National and Community 23 23 23 24 25 25
Service....................................
-------------------------------------------------------------------
Total, Homeland Security Budget Authority. 41,307 44,145 42,479 43,504 44,623 47,980

Less Department of Defense................ -7,025 -7,221 -7,425 -7,646 -7,883 -8,131
Less BioShield............................ -885 -2,528 ......... ......... ......... -2,175

-------------------------------------------------------------------
Non-Def. Homeland Security BA excluding 33,398 34,396 35,054 35,858 36,740 37,674
BioShield..................................

Obligations Limitations
Department of Transportation Obligations 133 135 137 139 143 145
Limitation...............................
----------------------------------------------------------------------------------------------------------------
\1\ Details may not add to totals due to rounding differences.

\2\ DHS baseline estimates include BioShield funding in 2004 ($885M), 2005 ($2,528M), and 2009 ($2,175M).

[[Page 38]]

Estimates by Budget Function

Table 3-13. HOMELAND SECURITY FUNDING BY BUDGET FUNCTION
(budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2004 2005
Enacted \1\ Enacted Request
----------------------------------------------------------------------------------------------------------------
National Defense............................................................. 10,461 9,098 10,368
International Affairs........................................................ 634 702 955
General Science Space and Technology......................................... 533 555 608
Energy....................................................................... 91 109 99
Natural Resources and the Environment........................................ 274 319 258
Agriculture.................................................................. 402 313 614
Commerce and Housing Credit.................................................. 106 110 126
Transportation............................................................... 9,481 7,997 9,206
Community and Regional Development........................................... 3,601 2,974 3,147
Education, Training, Employment and Social Services.......................... 166 151 174
Health....................................................................... 4,231 5,082 6,864
Medicare..................................................................... 10 13 14
Income Security.............................................................. 7 6 7
Social Security.............................................................. 132 143 155
Veterans Benefits and Services............................................... 154 271 297
Administration of Justice.................................................... 11,543 12,829 13,800
General Government........................................................... 623 634 690
----------------------------------
Total, Homeland Security Budget Authority.................................... 42,447 41,307 47,386
Less DoD (National Defense)................................................ -8,442 -7,025 -8,022
Less BioShield............................................................. ........... -885 -2,528
----------------------------------
Total non-Defense Homeland Security BA excluding BioShield................... 34,005 33,398 36,836
Less Fee-Funded Homeland Security Programs................................. -2,709 -3,655 -4,080
Less Mandatory Homeland Security Programs.................................. -1,760 -1,948 -2,262
----------------------------------
Net Non-Defense Disc. Homeland Security BA excluding BioShield............... 29,536 27,795 30,493
----------------------------------------------------------------------------------------------------------------
\1\ FY 2003 Enacted includes supplemental funding; details may not add to totals due to rounding differences.

Table 3-14. BASELINE ESTIMATES--HOMELAND SECURITY FUNDING BY BUDGET FUNCTION
(Budget authority, in millions of dollars)
----------------------------------------------------------------------------------------------------------------
Baseline
Budget Authority 2004 ------------------------------------------------------
Enacted \1\ 2005 2006 2007 2008 2009
----------------------------------------------------------------------------------------------------------------
National Defense............................ 9,098 9,321 9,556 9,812 10,091 10,385
International Affairs....................... 702 710 722 734 748 763
General Science Space and Technology........ 555 562 570 580 591 603
Energy...................................... 109 111 103 106 108 111
Natural Resources and the Environment....... 319 321 328 336 346 351
Agriculture................................. 313 323 302 310 320 331
Commerce and Housing Credit................. 111 115 120 121 127 129
Transportation.............................. 7,997 8,440 8,604 8,798 9,009 9,236
Community and Regional Development.......... 2,974 3,013 3,060 3,111 3,171 3,235
Education, Training, Employment and Social 151 154 158 165 169 177
Services...................................
Health \2\.................................. 5,082 6,788 4,332 4,414 4,504 6,775
Medicare.................................... 13 13 14 14 15 15
Income Security............................. 6 6 3 3 3 4
Social Security............................. 139 141 143 145 148 151
Veterans Benefits and Services.............. 271 275 280 285 290 297
Administration of Justice................... 12,829 13,211 13,532 13,906 14,305 14,724
General Government.......................... 634 641 652 664 678 693
-------------------------------------------------------------------
Total, Homeland Security Budget Authority... 41,307 44,145 42,479 43,504 44,623 47,980
Less DoD (National Defense)............... -7,025 -7,221 -7,425 -7,646 -7,883 -8,131
Less BioShield............................ -885 -2,528 ......... ......... ......... -2,175
-------------------------------------------------------------------
Total non-Defense Homeland Security BA, 33,398 34,396 35,054 35,858 36,740 37,674
excluding BioShield........................

Less Fee-Funded Homeland Security Programs -3,651 -3,688 -3,744 -3,810 -3,885 -3,963
Less Mandatory Homeland Security Programs. -1,948 -2,262 -2,204 -2,222 -2,243 -2,264
-------------------------------------------------------------------
Net non-Def. Disc. Homeland Security BA 27,795 28,446 29,106 29,826 30,612 31,447
excluding BioShield........................
----------------------------------------------------------------------------------------------------------------
\1\ Details may not add to totals due to rounding differences.
\2\ Health function baseline estimates include BioShield funding in 2004 ($885M), 2005 ($2,528M), and 2009
($2,175M).

[[Page 39]]

Detailed Estimates by Budget Account

An appendix of account-level funding estimates, organized by National
Strategy mission area, is available on the Analytical Perspectives CD
ROM.