[House Document 106-230]
[From the U.S. Government Publishing Office]





106th Congress, 2d Session - - - - - - - - - - - House Document 106-230
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             EMERGENCY SUPPLEMENTAL APPROPRIATIONS REQUEST

                               __________

                             COMMUNICATION

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              Transmitting

A REQUEST FOR EMERGENCY FISCAL YEAR 2000 SUPPLEMENTAL APPROPRIATIONS TO 
          ASSIST IN RECONSTRUCTION EXPENSES IN SOUTHERN AFRICA




 May 2, 2000.--Referred to the Committee on Appropriations and ordered 
                             to be printed.

                                -------                                

                    U.S. GOVERNMENT PRINTING OFFICE
79-012                     WASHINGTON : 2000       





                                           The White House,
                                        Washington, April 21, 2000.
The Speaker of the House of Representatives.
    Sir: I ask the Congress to consider expeditiously the 
enclosed requests for emergency FY 2000 supplemental 
appropriations. The requests provide for emergency 
rehabilitation and reconstruction assistance expenses in 
Southern Africa, particularly Mozambique, arising from cyclones 
Gloria, Eline, and Hudah and the associated flooding, which 
caused significant damage, and are in addition to approximately 
$82 million of humanitarian assistance and reprogrammed funds 
that is being, or will be, provided for Mozambique and the 
other affected countries in Southern Africa. I urge the 
Congress to consider and enact this proposal quickly so that 
these countries can get back on the path of development.
    I hereby designate the following requests for relief to 
Southern Africa as emergency requirements pursuant to section 
251(b)(2)(A) of the Balanced Budget and Emergency Deficit 
Control Act of 1985, as amended.

                   International Assistance Programs

     International Security Assistance, Economic 
Support Fund: $183,000,000.
     Agency for International Development, 
International Disaster Assistance: $10,000,0000.
     Agency for International Development, Operating 
Expenses of the Agency for International Development: 
$7,000,000.
    In addition to these emergency appropriations, I am 
requesting that the Congress approve a one-time restoration, 
for the remainder of FY 2000, of the special authority provided 
to me by section 506(a)(2)(B) of the Foreign Assistance Act of 
1961, as amended to draw down up to $75 million of the 
inventory and resources of the Department of Defense for the 
purposes described in section 506(a)(2)(A) of the Foreign 
Assistance Act. Half of the existing authority was used in 
response to the flooding in Southern Africa.
    I also ask the Congress to consider the enclosed request 
for an FY 2001 budget amendment that would allow for the early 
disbursement of Foreign Military Financing Program funds for 
Egypt. This proposal would enhance military cooperation between 
Egypt and the United States and strengthen ties with a valuable 
coalition partner and strategic ally who plays a positive and 
indispensable role in the Middle East peace process. This 
request would not affect the totals proposed in my FY 2001 
Budget.
    This transmittal also contains an FY 2001 budget amendment 
for the Legislative Branch. As required by law, budget requests 
for the Legislative Branch are transmitted without change.
    The details of these requests are set forth in the enclosed 
letter from the Deputy Director of the Office of Management and 
Budget. I concur with her comments and observations.
            Sincerely,
                                                William J. Clinton.
    Enclosure.


             [Estimate No. 11, 106th Congress, 2d Session]

                 Executive Office of the President,
                           Office of Management and Budget,
                                    Washington, DC, April 21, 2000.
The President,
The White House.
    Submitted for your consideration are requests for FY 2000 
emergency supplemental appropriations for International 
Assistance Programs. A total of $200.0 million in new budget 
authority is requested to address emergency needs in Southern 
Africa arising from cyclones Gloria, Eline, and Hudah and the 
associated flooding. These devastating floods, which occurred 
after the enactment of P.L. 106-113, the Consolidated 
Appropriations Act for FY 2000, caused significant damage to 
the African nations of Mozambique, Madagascar, South Africa, 
Zimbabwe, Zambia, and Botswana.
    These proposals for emergency funding follow a review of 
the best available information on humanitarian assistance and 
reconstruction needs created by the flooding, of the assistance 
commitments of other donors, and of the comparative advantage 
that the United States has or does not have in providing 
certain types of assistance. The proposed $200 million in 
supplemental funds is in addition to approximately $82 million 
in humanitarian assistance and reprogrammed funds that is 
being, or will be, provided for Mozambique and the other 
affected countries in Southern Africa. It is our expectation 
that other donors will provide the vast majority of funding 
required for the reconstruction effort at the upcoming donors 
conference in early-May. Other donors already account for the 
vast majority of the emergency assistance to Southern Africa 
that has been provided on pledged to date. Additional U.S. 
assistance will help leverage substantial contributions from 
other countries.
    Without the requested emergency funding, the United States 
will not be able to continue the necessary relief and 
reconstruction efforts that we have begun, and will not have 
adequate resources to continue critical reconstruction 
activities or to respond appropriately to other foreign 
disasters this year.
    As described in the enclosures, the following emergency 
supplementals are requested to address needs related to the 
floods in Southern Africa:
          $183.0 million for the Economic Support Fund to 
        address reconstruction and disaster mitigation needs in 
        the region. The funds will be used for such activities 
        as:
                  Rehabilitation and rebuilding of 80 
                kilometers of the north-south national highway, 
                over 1,000 kilometers of feeder roads, and the 
                Limpopo rail line in Mozambique. Many of these 
                infrastructure repairs are necessary for 
                efficient relief and resettlement efforts, as 
                well as economic recovery.
                  Provision of necessary equipment and other 
                items destroyed by the floods that are needed 
                to resume agricultural production for 300,000 
                families and 1,500 enterprises in Mozambique.
                  Support for child health, water, and 
                sanitation activities to improve or repair 
                water systems and reduce flood-related health 
                risks.
                  Repair or rebuilding of up to 950 schools in 
                South Africa, of which two-thirds have suffered 
                major damage.
                  Provision of credit to support reconstruction 
                for at least 4,000 small farmers and 
                entrepreneurs in rural South Africa.
                  Technical support for the Southern Africa 
                Development Community (SADC) to improve policy 
                and program development to reduce flood 
                vulnerability and improve coordination for 
                flood response, preparedness, and planning.
                  Repair of salvageable homes in villages in 
                the hardest hit rural areas of Botswana.
          $7.0 million for United States Agency for 
        International Development (USAID) operating expenses to 
        cover a portion of the additional operating costs that 
        will be incurred in the implementation of emergency 
        reconstruction assistance, including the cost of 
        auditing this assistance.
          $10.0 million for USAID for international disaster 
        assistance. USAID has spent a total of $9.8 million in 
        response to this disaster and will spend an additional 
        $10.0 million for a variety of water and sanitation 
        projects, seeds and tools packages, and small-scale 
        infrastructure repair activities in Mozambique, 
        Madagascar, and Botswana. The supplemental funding will 
        help to ensure that sufficient resources are available 
        to respond to ongoing and unforeseen foreign disasters 
        for the remainder of the fiscal year.
    USAID is committed to the rapid implementation of this 
emergency response program, and plans to obligate funds for 
virtually all reconstruction activities within 12 months of the 
availability for funding from the Congress, and to fully 
implement most activities within 24months. In order to 
implement the program as quickly and effectively as possible, USAID 
will develop a detailed implementation plan, which will include 
milestones against which progress can be measured.
    Also included for your consideration is a provision that 
would restore, for the remainder of FY 2000, the authority to 
drawdown the inventory and resources of the Department of 
Defense (DOD) for humanitarian assistance and other purposes. 
Half of this authority, which is provided in section 
506(a)(2)(B) of the Foreign Assistance Act of 1961, and which 
is limited to $75.0 million per year for DOD, was used in 
response to the floods in Southern Africa. The proposed 
restoration would ensure that DOD can continue to use this 
authority to respond to ongoing and unforeseen foreign 
disasters for the remainder of the fiscal year.
    An additional proposal for your consideration is an FY 2001 
appropriation language amendment that would allow for the early 
disbursement of Foreign Military Financing (FMF) Program funds 
for Egypt in FY 2001. The funds would be disbursed into an 
interest-bearing account held by Egypt at the Federal Reserve 
and would result in approximately $25.0 to $30.0 million in 
interest being earned. The balances and accrued interest in the 
account would be used to pay for Egypt's commitments under the 
approved FMF program as they come due. The amount of funds 
eligible for early disbursement would be limited to the amount 
projected to be outlayed in FY 2001 so that there would be no 
net increase in outlays. This proposal would enhance military 
cooperation between Egypt and the United States and strengthen 
ties with a valuable coalition partner and strategic ally who 
plays a positive and indispensable role in the Middle East 
peace process.
    I have carefully reviewed these proposals and am satisfied 
that they are necessary at this time. Therefore, I join the 
heads of the affected agencies in recommending that you 
transmit the proposals to the Congress.
    Furthermore, I recommend that you designate the amounts 
requested in the emergency proposals for relief to Southern 
Africa as emergency funding requirements pursuant to section 
251(b)(2)(A) of the Balanced Budget and Emergency Deficit 
Control Act of 1985, as amended.
    This transmittal also contains an FY 2001 budget amendment 
for the Legislative Branch. As required by law, budget requests 
for the Legislative Branch are transmitted without charge.
            Sincerely,
                                         Sylvia M. Mathews,
                                                   Deputy Director.
    Enclosures.


                      FY 2000 Supplemental Request

                   INTERNATIONAL ASSISTANCE PROGRAMS

                   INTERNATIONAL SECURITY ASSISTANCE

                         economic support fund

    For an additional amount for ``Economic Support Fund'' to 
address the effects of flooding in Southern Africa, 
$183,000,000, to remain available until September 30, 2001: 
Provided, That such assistance may be made available 
notwithstanding such provisions of law regulating the making, 
performance, amendment, or modification of contracts as the 
Administrator of the United States Agency for International 
Development may specify: Provided further, That the entire 
amount is designated by the Congress as an emergency 
requirement pursuant to section 251(b)(2)(A) of the Balanced 
Budget and Emergency Deficit Control Act of 1985, as amended.
    This supplemental request for $183.0 million for the 
Economic Support Fund would provide for reconstruction and 
disaster mitigation assistance to Southern Africa, in response 
to the damage caused by cyclones Gloria, Eline, and Hudah. 
Mozambique sustained the greatest losses from cyclones and 
associated floods, while Madagascar, South Africa, Zambia, 
Botswana, and Zimbabwe were also affected. This request 
supports activities in the areas of child and public health, 
water and sanitation, economic revitalization, infrastructure 
repair and reconstruction, agricultural rehabilitation, 
disaster preparedness, and, flood control.
    Language included in this request would allow the U.S. 
Agency for International Development (USAID) to contract for 
assistance, notwithstanding provisions of law regarding the 
making, amending, and modification of contracts that could 
unnecessarily slow the procurement process and restrict the 
ability to provide time-sensitive assistance. The State 
Department and USAID will still be responsible for meeting the 
notification and reporting requirements of sections 634A and 
653 of the Foreign Assistance Act of 1961.
    The entire amount requested has been designated by the 
President as an emergency requirement pursuant to the Balanced 
Budget and Emergency Deficit Control Act of 1985, as amended.
                                ------                                


                      FY 2000 Supplemental Request


                   INTERNATIONAL ASSISTANCE PROGRAMS


                  AGENCY FOR INTERNATIONAL DEVELOPMENT


                   international disaster assistance

    For an additional amount for ``International Disaster 
Assistance,'' $10,000,000, to remain available until expended: 
Provided, That the entire amount is designated by the Congress 
as an emergency requirement pursuant to section 251(b)(2)(A) of 
the Balanced Budget and Emergency Deficit Control Act of 1985, 
as amended.
    This supplemental request would provide $10.0 million for 
USAID's International Disaster Assistance account. USAID has 
already expended about $9.8 million from this account on the 
flood and cyclones in Southern Africa, and will spend another 
$10.0 million on a variety of water and sanitation projects, 
seeds and tools packages, and small-scale infrastructure repair 
activities in Mozambique, Madagascar, and Botswana. The total 
requirement is nearly double what USAID typically spends on a 
foreign natural disaster, and without a partial replenishment, 
the account may not have sufficient resources to respond to 
unforeseen disasters for the remainder of the fiscal year. Just 
as with the regular FY 2000 appropriation for International 
Disaster Assistance, the funds requested by this supplemental 
could be used notwithstanding any other provision of law.
    The entire amount requested has been designated by the 
President as an emergency requirement pursuant to the Balanced 
Budget and Emergency Deficit Control Act of 1985, as amended.
                                ------                                


                      FY 2000 Supplemental Request


                   INTERNATIONAL ASSISTANCE PROGRAMS


                  AGENCY FOR INTERNATIONAL DEVELOPMENT


     operating expenses of the agency for international development

    For an additional amount for ``Operating Expenses of the 
Agency for International Development,'' including costs 
incurred prior to the date of enactment of this paragraph and 
costs associated with auditing the expenditure of funds, 
$7,000,000, to remain available until September 30, 2001: 
Provided, That up to $1,000,000, notwithstanding any other 
provision of law, may be used to contract directly for the 
personal services of individuals in the United States: Provided 
further, That the provisions of section 635(h) of the Foreign 
Assistance Act of 1961 shall be applicable to funds 
appropriated by this paragraph: Provided further, that the 
entire amount is designated by the Congress as an emergency 
requirement pursuant to section 251(b)(2)(A) of the Balanced 
Budget and Emergency Deficit Control Act of 1985, as amended.
    This supplemental request would provide USAID with $7.0 
million for administrative expenses--an administrative-to-
program ratio of three and a half percent. Of this total, up to 
$1.0 million could be used to employ personnel service 
contractors in Washington. This will allow USAID to manage to 
manage the emergency assistance program adequately without 
permanently increasing its staff. The language would also allow 
a portion of the funds available for administrative expenses to 
be used for auditing the use of all the funds requested in this 
package for assistance to Southern Africa.
    The entire amount requested has been designated by the 
President as an emergency requirement pursuant to the Balanced 
Budget and Emergency Deficit Control Act of 1985, as amended.
                                ------                                


                      FY 2000 Supplemental Request


                         DEPARTMENT OF DEFENSE


                           GENERAL PROVISION

    The value of articles, services, and military education and 
training authorized as of March 2, 2000, to be drawn down by 
the President under the authority of section 506(a)(2) of the 
Foreign Assistance Act of 1961, as amended, shall not be 
counted against the ceiling limitation of that section.
    A one-time increase in drawdown authority for the 
Department of Defense (DOD) is requested for use should 
circumstances warrant before the end of FY 2000. The Department 
has already drawn down $37.6 million in response to the floods 
in Mozambique. In addition, the Department drew down $20.0 
million earlier this year in response to floods in Venezuela. 
Therefore, only $17.4 million of DOD's $75.0 million authority 
remains, while there is almost six months remaining in the 
fiscal year. This proposal would provide DOD an additional 
$37.6 million in authority to permit the Department to respond 
to unforeseen disasters over the remainder of the year.
                                ------                                


                        FY 2001 Budget Amendment

    Agency: International Assistance Programs.
    Bureau: International Security Assistance.
    Heading: Foreign Military Financing Program.
    FY 2001 Budget Appendix Page: 988.
    FY 2001 Pending Request: $3,538,200,000.
    Proposed Amendment: Language.
    Revised Request: $3,538,200,000.
    (In the appropriations language under the above heading, 
insert the following after the first proviso in the first 
paragraph.)
    Provided further, That Foreign Military Financing Program 
funds estimated to be outlayed for Egypt during fiscal year 
2001 shall be disbursed within 30 days of enactment of this Act 
or by October 31, 2000, whichever is later:
    This proposal would provide for early disbursement of 
funding forecasted in the FY 2001 Budget to be outlayed in FY 
2001 from the Egyptian Foreign Military Financing (FMF) program 
into an interest-bearing account held by Egypt at the Federal 
Reserve. The funds provided to this new account and accrued 
interest would be drawn upon to procure defense articles and 
services and design and construction services, in accordance 
with section 23 of the Arms Export Control Act, as amended, and 
other applicable authorities. The amount of interest earned 
would vary depending on the average balances in the account 
throughout the year. Initial estimates range from $25 to $30 
million.
    This amendment would not affect the proposed budget totals.
                                ------                                


                        FY 2001 Budget Amendment

    Agency: Legislative Branch.
    Bureau: Joint Items.
    Heading: Capitol Police Board, Capitol Police, Salaries.
    FY 2001 Budget Appendix Page: 20.
    FY 2001 Pending Request: $101,292,000.
    Proposed Amendment: -$394,000.
    Revised Request: $100,898,000.
    (In the appropriations language under the above heading, 
delete ``$101,292,000'' and substitute $100,898,000; and, 
delete ``$51,926,000'' and substitute $51,532,000.)
    This amendment would decrease the pending request for the 
Capitol Police Board by $394,000. FY 2001 outlays would 
decrease by the same amount.

                                

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