[House Document 105-220]
[From the U.S. Government Publishing Office]




105th Congress, 2d Session - - - - - - - - - - - House Document 105-220


 
                    MAKING AVAILABLE APPROPRIATIONS

                               __________

                             COMMUNICATION

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

HIS REQUESTS FOR FY 1998 SUPPLEMENTAL APPROPRIATIONS AND FY 1999 BUDGET 
  AMENDMENTS TO ADDRESS EMERGENCY FUNDING NEEDS RELATED TO THE SITUATION 
  IN BOSNIA AND IN SOUTHWEST ASIA AS WELL AS TO NATURAL DISASTERS IN THE 
  UNITED STATES; AND TO DESIGNATE THESE REQUESTS AS EMERGENCY 
  REQUIREMENTS PURSUANT TO SECTION 251(b)(2)(D)(i) OF THE BALANCED BUDGET 
  AND EMERGENCY DEFICIT CONTROL ACT OF 1985, AS AMENDED, PURSUANT TO 31 
  U.S.C. 1107




    March 4, 1998.--Referred to the Committee on Appropriations and     
                         ordered to be printed

                               --------                                 

                    U.S. GOVERNMENT PRINTING OFFICE                     
59-012                     WASHINGTON : 1998


                                           The White House,
                                         Washington, March 3, 1998.

The Speaker of the House of Representatives.

    Sir: I ask Congress to consider the enclosed requests for 
emergency FY 1998 supplemental appropriations and FY 1999 
budget amendments to address emergency funding needs related to 
the situation in Bosnia and in Southwest Asia as well as to 
natural disasters in the United States. These requests, 
including requests for contingent appropriations, total $2,490 
million for FY 1998 and $1,859 million for FY 1999 and affect 
the Department of Defense, the Department of Agriculture, the 
Department of the Interior, the Department of Transportation, 
and the Corps of Engineers.
    I ask that Congress consider the FY 1998 emergency 
supplemental requests transmitted herein as part of a 
comprehensive package together with requests for supplemental 
appropriations included in the FY 1999 Budget, including 
additional funding for veterans compensation and pensions; 
requests transmitted on February 2, 1998, for the Department of 
State in order to pay U.S. arrears to the United Nations and 
other international organizations and for the International 
Monetary Fund; and, requests for other important needs that 
were transmitted on February 20, 1998.
    Section 8132 of P.L. 105-56, the FY 1998 Department of 
Defense Appropriations Act, requires the President to certify 
to Congress that the continued presence of U.S. forces in 
Bosnia beyond June 30, 1998, is required to meet the security 
interests of the United States. Along with the certification, 
the President must submit ``a supplemental appropriations 
request for such amounts as are necessary for any continued 
deployment beyond June 30, 1998.'' The supplemental request 
required by P.L. 105-56 is enclosed and described below; the 
required certification is being transmitted to the Congress 
concurrently.
    My intention to extend the U.S. military mission in Bosnia 
past June 30, 1998, and the recent build-up of U.S. forces in 
Southwest Asia require that the Department of Defense receive 
additional funding for FY 1998. The additional funds will be 
used to cover the costs of these unanticipated military 
operations so that funding previously allocated to maintain our 
military's force readiness will not be reduced. I ask the 
Congress to consider expeditiously the enclosed FY 1998 
supplemental appropriations request in support of these 
efforts. Also enclosed is an FY 1999 budget amendment that will 
fund continued U.S. presence in Bosnia through FY 1999. In 
total, these requests seek $486.9 million for Bosnia and 
$1,361.4 million for Southwest Asia in FY 1998, and $1,858.6 
million for Bosnia in FY 1999.
    America has major national interests in peace in Bosnia. We 
have learned from hard experience in the twentieth century that 
America's security and Europe's stability are intimately 
linked. The United States and its allies have made much 
progress in forging a lasting peace, but much more work remains 
to be done. That work requires American leadership and American 
military presence. I ask the Congress to support the extension 
of our military mission in Bosnia and to provide sufficient 
funds for this purpose.
    In Southwest Asia, once again we have taken a stand against 
those who would threaten the U.S. and the world with weapons of 
mass destruction and deliberately flaunt the will of the 
international community. Iraq's refusal to allow weapons 
inspections sanctioned by the United Nations prompted a build-
up of U.S. forces in Southwest Asia to make it plain that we 
would not tolerate Iraqi intransigence. At the present time, 
these forces must remain in the region to safeguard U.S. 
interests and to remind Iraq of the penalties of non-
compliance.
    In making these requests, however, I wish to note the 
following factors that could affect the proposed funding 
levels. First, NATO has not completed the detailed planning for 
a Follow-on Force in Bosnia. Thus, the proposed FY 1998 
supplemental request and FY 1999 budget amendment assume a 
draw-down of U.S. military personnel that we believe to be 
consistent with the most likely NATO plan. In Southwest Asia, 
while Iraq has made an agreement on paper, we cannot know if 
Iraq will live up to its promise. U.S. military action still 
may be required; accordingly, our additional forces will remain 
in Southwest Asia for the foreseeable future. For purposes of 
the FY 1998 supplemental, we are requesting funds to cover the 
costs that would be associated with sustaining the current 
force levels and operations in the region for the remainder of 
the fiscal year.
    In addition, $386.8 million is requested for emergency 
requirements resulting from recent natural disasters, including 
recent flooding, ice storms, El Nino, and other natural 
disasters.
    I hereby designate the amounts requested for the following 
accounts for FY 1998 and FY 1999 as emergency requirements 
pursuant to section 251(b)(2)(D)(i) of the Balanced Budget and 
Emergency Deficit Control Act of 1985, as amended.
    For FY 1998, for Bosnia and Southwest Asia:

Department of Defense:
           Overseas Contingency Operations Transfer 
        Fund: $1,621,900,000
           Military Personnel, Army: $184,000,000
           Military Personnel, Navy: $22,300,000
           Military Personnel, Marine Corps: $5,100,000
           Military Personnel, Air Force: $10,900,000
           Reserve Personnel, Navy: $4,100,000

    For FY 1998, for natural disasters:

Department of Agriculture:
           Farm Services Agency
                  Agricultural Credit Insurance Fund Program 
                Account: $6,000,000
                  Commodity Credit Corporation: Dairy and 
                Livestock Disaster Assistance Program: 
                $4,000,000
                  Natural Resources Conservation Service, 
                Watershed and Flood Prevention Operations: 
                $5,000,000
           Forest Service
                  National Forest System: $5,000,000
                  State and Private Forestry: $20,000,000
Department of Defense:
           Operations & Maintenance, Army: $1,886,000
           Operations & Maintenance, Navy: $48,100,000
           Operations & Maintenance, Air Force: 
        $27,400,000
           Operations & Maintenance, Defense Agencies: 
        $1,390,000
           Operations & Maintenance, Army Reserve: 
        $650,000
           Operations & Maintenance, Air Force Reserve: 
        $229,000
           Operations & Maintenance, Army National 
        Guard: $175,000
           Family Housing, Navy: $15,600,000
           Family Housing, Air Force: $1,500,000
           Defense Working Capital Fund: $24,017,000
           Defense Health Program, Operations & 
        Maintenance: $1,900,000
Department of Transportation:
           Federal Highway Administration, Federal-aid 
        Highways: $224,000,000

    For FY 1999:

Department of Defense:
           Overseas Contingency Operations Transfer 
        Fund: $1,512,400,000
           Military Personnel, Army: $297,700,000
           Military Personnel, Navy: $9,700,000
           Military Personnel, Marine Corps: $2,700,000
           Military Personnel, Air Force: $33,900,000
           Reserve Personnel, Navy: $2,200,000

    In addition to the above mentioned emergency funding, 
$254.8 million in contingent emergency funding is requested in 
response to natural disasters. This funding is contingent upon 
the further assessment of need by the Departments of 
Agriculture, Defense, the Interior, Transportation, and the 
Corps of Engineers.
    The details of these requests are set forth in the enclosed 
letter from the Director of the Office of Management and 
Budget. I concur with his comments and observations.
            Sincerely,
                                                William J. Clinton.
    Enclosure.
              [Estimate No. 3, 105th Congress, 2d Session]

                 Executive Office of the President,
                           Office of Management and Budget,
                                     Washington, DC, March 3, 1998.
The President,
The White House.
    Submitted for your consideration are requests for emergency 
FY 1998 supplemental appropriations that would provide funds to 
extend the U.S. presence in Bosnia through the end of FY 1998 
and cover the costs associated with recently deploying 
additional U.S. forces to Southwest Asia. Also included in this 
package are FY 1999 budget amendments to cover the costs of 
retaining U.S. forces in Bosnia throughout FY 1999. The 
requested amounts, totaling $1,848.3 million in FY 1998 and 
$1,858.6 million in FY 1999, fund the following activities:
Bosnia:
    FY 1998. A total of $486.9 million in supplemental 
appropriations is requested to fund the deployment of U.S. 
forces to Bosnia past the previously scheduled withdrawal date 
of June 30, 1998. Of the total requested, $103.8 million is for 
Military Personnel accounts for special pay and allowances for 
personnel deployed to the region, and $383.1 million is for the 
Overseas Contingency Operations Transfer Fund for unit 
operations, transportation, logistics, supplies, fuel, and 
spare parts.
    FY 1999. An additional $1,858.6 million above your pending 
FY 1999 request is required to fund the full-year cost of 
maintaining U.S. forces in Bosnia. Of the total increase, 
$346.2 million is for Military Personnel accounts for special 
pay and allowances, and $1,512.4 million is for the Overseas 
Contingency Operations Transfer Fund for unit operations, 
transportation, logistics, supplies, fuel, and spare parts.
Southwest Asia
    FY 1998. A total of $1,361.4 million in supplemental 
appropriations is sufficient to fund additional U.S. 
deployments to Southwest Asia through the end of the fiscal 
year. Of the total requested, $122.6 million is for Military 
Personnel accounts to cover special pay of personnel deployed 
to the region, and $1,238.8 million in the Overseas Contingency 
Operations Transfer Fund is required to cover increased 
operational, transportation, logistics, supplies, fuel, and 
spare parts costs, as well as the use of draw-down authority.
    The proposed FY 1998 supplemental requests and the FY 1999 
budget amendments are priced to reflect the following:
     NATO has not finalized its follow-on force 
deployment plans, so the precise composition and basing of U.S. 
forces after June 1998 is not known at this time. We anticipate 
that while the total NATO force in Bosnia will likely remain 
the same, U.S. troop commitments will decrease from 8,500 to 
6,900 personnel.
     It is possible that U.S. forces in Southwest Asia 
will remain at their current levels for some time. For purposes 
of the supplemental request, we have estimated what it would 
cost were we to retain this force in the region for the 
remainder of FY 1998. If these higher-than-budgeted force 
levels remain in the region into the next fiscal year, then 
costs will increase above the amounts requested in the FY 1999 
Budget. Should the need arise, we will consider appropriate 
measures for seeking additional FY 1999 funds for Southwest 
Asia operations at a later time.
     U.S. forces could remain at current high 
operations levels for some time. Therefore, for purposes of the 
supplemental, we have estimated what it would cost were our 
forces to remain at their higher operational rate for the 
remainder of FY 1998. If our forces reduce their operations 
rate sooner, costs could decrease.
    In addition to the Department of Defense emergency funds 
requested for Bosnia and Southwest Asia, $641.6 million is 
requested for FY 1998 emergency requirements resulting from 
recent flooding, ice storms, El Nino, and other natural 
disasters. As described in the enclosures, the following 
emergency supplementals are requested to address needs related 
to recent natural disasters:
     $224.0 million for the Federal Highway 
Administration (FHWA) to repair highway damage resulting from 
the floods in California and the Northeastern United States and 
other disasters nation-wide.
    An additional $35.0 million is being requested for FHWA, to 
be made available contingent upon your submission of a later 
budget request to the Congress designating the entire amount 
requested as an emergency requirement.
     $122.8 million for the Department of Defense. The 
request includes $120.7 million for damage in Guam resulting 
from Typhoon Paka and $2 million for damage in the United 
States resulting from ice storms.
    An additional $50 million is being requested for the 
Department of Defense, to be made available contingent upon 
your submission of a later budget request to the Congress 
designating the entire amount requested as an emergency 
requirement.
     $143.0 million for the Department of Agriculture. 
The requested funds include: $10 million for the Farm Service 
Agency, of which $6 million in subsidy budget authority would 
support $25 million in emergency loans to assist family 
farmers; $5 million for watershed and flood prevention 
operations such as opening dangerously restricted channels and 
waterways; and, $25 million for the Forest Service to repair 
damage caused by recent ice storms.
    Of this amount, $103.0 million is being requested for the 
Department of Agriculture, to be made available contingent upon 
your submission of a later budget request to the Congress 
designating the entire amount requested as an emergency 
requirement.
     $36.8 million for the Department of the Interior, 
to be made available contingent upon your submission of a later 
budget request to the Congress designating the entire amount 
requested as an emergency requirement. These contingent funds 
include: $25 million for the Fish and Wildlife Service to 
repair damage to national wildlife refuge property and 
structures; $8.5 million for the National Park Service to 
repair and replace facilities; $2.3 million for the Bureau of 
Reclamation to repair flood control levees and dikes; and, $1.0 
million for the U.S. Geological Service to repair damage to its 
facilities and monitoring equipment.
     $30 million for the U.S. Army Corps of Engineers, 
to be made available contingent upon your submission of a later 
budget request to the Congress designating the entire amount 
requested as an emergency requirement. These funds would be 
requested to complete repairs of damage to navigation channels 
and harbors, flood control channels, and reservoir facilities 
due to El Nino in California, the Pacific Northwest, and 
Florida.
    These emergency requests related to natural disasters in 
the United States largely address needs related to debris 
removal and the repair of infrastructure. The needs of 
individuals affected by natural disasters are currently being 
met with existing Federal resources administered through 
programs such as FEMA Disaster Relief and the SBA Disaster Loan 
Program.
    I recommend that you designate the $1,848.3 million 
requested for FY 1998 and the $1,858.6 million requested for FY 
1999 for needs associated with Bosnia and Southwest Asia, and 
$386.8 million requested for FY 1998 disaster requirements as 
emergency funding in accordance with section 251(b)(2)(D)(i) of 
the Balanced Budget and Emergency Deficit Control Act of 1985, 
as amended.
    For the Department of Health and Human Services, $16 
million is requested for implementation of the Health Insurance 
Portability and Access Act, specifically for the development of 
national standards to simplify claims processing for both 
Federal and private health care providers, and for Federal 
oversight and enforcement of health insurance portability and 
access provisions. Also included are technical language changes 
for the Executive Residence.
    I have carefully reviewed these proposals and am satisfied 
that they are necessary at this time. Accordingly, I join the 
Secretary of Defense and heads of other affected Departments 
and agencies in recommending that you transmit these proposals 
to the Congress. We will continue to monitor the evolving 
situations in Bosnia and Iraq to determine what, if any, 
additional resources are required.
            Sincerely,
                                      Franklin D. Raines, Director.
    Enclosures.


    
    

