[House Document 106-313]
[From the U.S. Government Publishing Office]
106th Congress, 2d Session - - - - - - - - - - - House Document 106-313
REQUEST FOR EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR FY 2001
__________
COMMUNICATION
from
THE PRESIDENT OF THE UNITED STATES
transmitting
HIS REQUESTS FOR EMERGENCY FY 2001 SUPPLEMENTAL APPROPRIATIONS TOTALING
$750 MILLION IN TOTAL GRANT ASSISTANCE TO THE GOVERNMENTS IN ISRAEL,
EGYPT, AND JORDAN PURSUANT TO SECTION 251(b)(2)(A) OF THE BALANCED
BUDGET AND EMERGENCY DEFICIT CONTROL ACT OF 1985, AS AMENDED
November 14, 2000.--Referred to the Committee on Appropriations and
ordered to be printed
__________
U.S. GOVERNMENT PRINTING OFFICE
89-012 WASHINGTON : 2000
The White House,
Washington, November 14, 2000.
The Speaker of the House of Representatives
Sir: I ask the Congress to consider expeditiously the
enclosed requests for emergency FY 2001 supplemental
appropriations. These requests will advance United States
interests in the Middle East by providing assistance to the
Governments in Israel, Egypt, and Jordan.
I request $750 million in total grant assistance to the
Middle East. For Israel, I request $450 million, which will be
used to offer support for Israel's withdrawal from Lebanon and
strengthen Israel's long-term strategic missile defenses. For
Egypt, I request $225 million in military assistance to support
measures to enhance its defense capabilities. For Jordan, I
request $25 million in military assistance and $50 million in
economic assistance to help the Government of Jordan protect
its borders and promote economic progress. I urge the Congress
to consider and enact these proposals quickly.
I hereby designate the following requests 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, Northern Israel
Security Fund: $250,000,000
International Security Assistance, Foreign
Military Financing Program: $450,000,000
International Security Assistance, Economic
Support Fund: $50,000,000
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. 25, 106th Congress, 2nd Session
Executive Office of the President,
Office of Management and Budget,
Washington, DC, November 14, 2000.
The President,
The White House.
Submitted for your consideration are requests for FY 2001
emergency supplemental appropriations for International
Assistance Programs. A total of $750 million in new budget
authority is requested to address emergency needs in the Middle
East. These proposals follow considerable review by your senior
advisers on the best means by which the United States can
advance our interests in the Middle East.
As described below, the following emergency supplemental
appropriations are requested to address U.S. interests in the
region:
$450 million for Israel, of which $250 million is
for the Northern Israel Security Fund and $200 million is for
grant Foreign Military Financing.
To protect its northern border from attack, Israel had
occupied parts of southern Lebanon since 1982. In June, the
Government of Israel withdrew from Lebanon in full accordance
with the United Nations Security Council Resolution 425. The
Government of Israel has estimated its costs of withdrawal at
about $950 million, including amounts necessary to destroy
former military positions inside Lebanon and to remove land
mines and construct new fortified, defense positions in
northern Israel. Israel requires special, one-time assistance
to defray these costs.
Your senior advisers recommend $250 million in a special
budget account, the Northern Israel Security Fund, which would
be available for immediate disbursement as a cash grant to the
Government of Israel.
To protect Israel more effectively from strategic threats
from unfriendly regimes in the region, your senior advisers
also recommend $200 million in Foreign Military Financing (FMF)
for Israel. These funds could be used to help fund theater
missile defense weapons systems. The use of these funds would
be determined through discussion with the Government of Israel.
The amount available for procurement in Israel of defense
articles and services (off-shore procurement) would be $52.6
million, the same percentage (26.3 percent) that is available
to Israel through its normal FMF program.
$225 million for the Government of Egypt in the
grant Foreign Military Financing program.
Your senior advisers recognize the important role of all
parties interested in peace. The Government of Egypt, under the
leadership of President Mubarak, has played a critical role in
promoting peace at the Sharm el Sheikh summit and elsewhere.
Given the increased levels of violence and tension in the
region, your senior advisers recommend increased amounts of
Foreign Military Financing that would enhance Egypt's port and
naval security through the provision of equipment and
assistance to support an integrated coastal water defense
system.
$50 million for the Government of Jordan in
Economic Support Fund (ESF) assistance and $25 million in the
grant Foreign Military Financing (FMF) program.
As with the Government of Egypt, your senior advisers
recommend assistance to the Government of Jordan, which under
the leadership of King Abdullah has also played a critical role
in promoting peace. The ESF assistance would be a cash grant to
the Government to meet Jordan's most pressing needs. Jordan is
facing major economic problems due to a shortfall in revenue
from tourism and the increased cost of oil. This assistance
will help promote employment and prosperity.
The $25 million in FMF assistance will be used to promote
Jordan's border security and advance its five-year
modernization plan. The funds would be used to upgrade armored
personnel carriers as well as air defense radar and other
weapons systems.
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.
We believe that this proposal can be funded within the new
statutory caps established in P.L. 106-429, the FY 2001 Foreign
Operations Act. However, I believe this request is an emergency
under the terms of the Budget Enforcement Act, and I therefore
recommend that you designate the amounts requested as emergency
funding requirements pursuant to section 251(b)(2)(A) of the
Balanced Budget and Emergency Deficit Control Act of 1985, as
amended.
In addition to this FY 2001 supplemental package, your
senior advisers believe that there should be a follow-on FY
2002 funding component for Israel, Egypt, Jordan, and the
Palestinians. For Israel, they recommend $350 million, while
for Egypt, Jordan, and the Palestinians, they recommend a total
of $150 million. Your senior advisers recommend consideration
of additional funding for the Palestinian people next year in
the event that the current violence has abated, because they
believe that the Palestinian people must share tangible
benefits from the peace process in the form of additional
employment and economic opportunities. Your senior advisers,
however, do not recommend asking for congressional action on FY
2002 recommendations in this session of Congress.
Sincerely,
Jacob J. Lew,
Director.
Enclosures.
International Assistance Programs
International Security Assistance
northern israel security fund
For necessary expenses to address the withdrawal of forces
from Lebanon, $250,000,000 for Israel: Provided, That such
funds may be made available under any of the provisions of Part
II of the Foreign Assistance Act of 1961, as amended, including
chapter 4 thereof: Provided further, That such funds shall be
available for Israel on a grant basis as a cash transfer and
shall be disbursed within 30 days of the enactment of this Act:
Provided further, That such funds be available notwithstanding
section 10 of Public Law 91-672 and section 15 of the State
Department Basic Authorities Act of 1956: 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 $250 million would provide
Israel with assistance for the costs of withdrawing its forces
from Lebanon in June 2000, in full accordance with United
Nations Security Council Resolution 425, as confirmed by the
U.N. Secretary-General on June 16, 2000. Special assistance to
help Israel with defense expenditures related to its withdrawal
from Lebanon will mitigate the risks Israel has taken for peace
in the context of its northern borders and will help maintain
security on the Israel-Lebanon border.
To implement its decision to withdraw from Southern
Lebanon, the Israeli Ministry of Defense relocated a number of
military positions and facilities from inside Lebanon to
northern Israel. In the process, Israel destroyed former
military positions inside Lebanon, removed land mines, and is
constructing several new, fortified defense positions in
northern Israel and installing an electronic security fence
along the Israel-Lebanon border. The Government of Israel
states the construction, logistical, and other technical costs
related to the withdrawal will cost about $950 million. To help
defray these costs, Israel requires special, one-time
assistance of $250 million.
The rapid nature of Israel's withdrawal required the
Government of Israel to divert resources for these immediate
defense requirements, which precludes the possibility of
funding some of these expenses through normal U.S. Foreign
Military Financing. For that reason, the Administration
requests consideration of this request in a new budget account,
which will use the authorities provided under the provisions of
Part II of the Foreign Assistance Act of 1961, as amended.
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.
Military Assistance
Foreign Military Financing Program
For an additional amount for ``Foreign Military Financing
Program'' to enable the President to carry out section 23 of
the Arms Export Control Act, as amended, $450,000,000, to
remain available until September 30, 2003, of which
$200,000,000 shall be for grants only for Israel, $225,000,000
shall be for grants only for Egypt and $25,000,000 shall be for
grants only for Jordan: Provided, That the funds appropriated
herein for Israel shall be disbursed within 30 days of the
enactment of this Act: Provided further, That funds
appropriated herein shall be available notwithstanding section
10 of Public Law 91-672 and section 15 of the State Department
Basic Authorities Act of 1956: Provided further, That funds
appropriated herein shall be nonrepayable notwithstanding any
requirement in section 23 of the Arms Export Control Act, as
amended: Provided further, That to the extent that the
Government of Israel requests that funds be used for such
purposes, grants made available for Israel herein shall, as
agreed by Israel and the United States, be available for
advanced weapons systems, of which not to exceed $52,600,000
shall be for the procurement in Israel of defense articles and
defense services, including research and development: 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 $450 million for the Foreign
Military Financing (FMF) grant program would provide $200
million for the Government of Israel to address long-range
strategic threats that Israel faces from unfriendly countries
in the region. This financing could be used for such items as
theater missile defense and could be available for a number of
weapons systems, such as the Arrow II anti-tactical missile
system, boost phase launch intercept, radar aircraft and other
items. The amount available for procurement in Israel of
defense articles and services (offshore procurement) for the
FMF program will be the same as in the current FMF FY 2001
appropriation at 26.3 percent, or $52.6 million.
For the Government of Egypt, the supplemental request of
$225 million would enhance port and naval security through the
provision of equipment and assistance to support an integrated
coastal water defense system. For the Government of Jordan, the
supplemental request of $25 million would be used to promote
Jordan's border security and advance Jordan's five-year
procurement plant for modernization. It would be used to fund
the upgrade of various weapons systems, such as armored
personnel carriers, air defense radar, and other weapons
systems. These amounts are necessary to demonstrate American
support for those countries in the region that have signed
peace treaties with Israel and whose support is critical to
preserve the peace process.
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.
International Assistance Programs
International Security Assistance
economic support fund
For an additional amount for ``Economic Support Fund'' for
assistance for Jordan, $50,000,000, to remain available until
September 30, 2003: Provided, That funds appropriated herein
shall be available notwithstanding section 10 of Public Law 91-
672 and section 15 of the State Department Basic Authorities
Act of 1956: 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.
The supplemental request for $50 million for the Economic
Support Fund (ESF) would provide immediate assistance for
Jordan's most pressing economic needs. Jordan is facing
economic problems due to a shortfall in revenue from tourism
and the increased cost of oil. The $50 million would be
provided as a cash grant to the Government of Jordan. In each
of the last two fiscal years, the United States has provided
cash grants as part of its ESF program in Jordan.
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.