[House Document 106-70]
[From the U.S. Government Publishing Office]




106th Congress, 1st Session - - - - - - - - - - - House Document 106-70
_______________________________________________________________________

 
TRANSFERS FROM THE INFORMATION TECHNOLOGY SYSTEMS AND RELATED EXPENSES 
                                ACCOUNT

                             COMMUNICATION

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

  A REQUEST OF TRANSFERS FROM THE INFORMATION TECHNOLOGY SYSTEMS AND 
                        RELATED EXPENSES ACCOUNT




May 25, 1999.--Referred to the Committee on Appropriations and ordered 
                             to be printed

                               __________

                    U.S. GOVERNMENT PRINTING OFFICE
69-012                     WASHINGTON : 1999

                                           The White House,
                                          Washington, May 24, 1999.
The Speaker of the House of Representatives.
    Sir: In accordance with provisions of Public Law 105-277, 
the Omnibus Consolidated and Emergency Supplemental 
Appropriations Act, 1999, I hereby request the following 
transfers from the Information Technology Systems and Related 
Expenses account:
    General Services Administration--General Activities, Policy 
and Operations: $7,108,000.
    Federal Trade Commission--Salaries and Expenses: 
$2,049,000.
    Funding provided to the General Services Administration 
will be used to support the efforts of the Year 2000 Conversion 
Council. Funding provided to the Federal Trade Commission will 
be used for remediation and testing of information technology 
systems.
    I hereby designate the above requests as emergency 
requirements pursuant to section 251(b)(2)(A) of the Balanced 
Budget and Emergency Deficit Control Act of 1985, as amended.
    The details of these actions 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. 16, 106th Congress, 1st Session]

                 Executive Office of the President,
                           Office of Management and Budget,
                                      Washington, DC, May 24, 1999.
The President,
                                                   The White House.
    Submitted for your consideration are requests to transfer 
$9 million from the Information Technology Systems and Related 
Expenses Account for year 2000 (Y2K) compliance to the General 
Services Administration (GSA) and the Federal Trade Commission 
(FTC). This is the sixth release of contingent emergency 
funding for Y2K from funds appropriated in Public Law 105-277, 
the Omnibus Consolidated and Emergency Supplemental 
Appropriations Act, 1999. On November 6, 1998, you allocated 
$891 million; on December 8, 1998, you allocated $338 million; 
on February 3, 1999, you allocated $240 million; on March 5, 
1999 you allocated $62 million; and on April 2, 1999, you 
allocated $199 million. In addition, $30 million in emergency 
funding was released to the Legislative and Judicial Branches 
when you signed Public Law.
    The contingent emergency funding provided in Public Law 
105-277--$1.1 billion for defense-related activities and $2.25 
billion for non-defense activities--has enabled Federal 
agencies to respond effectively to unanticipated Y2K-related 
issues, helping to accelerate the pace towards compliance 
Government-wide. With this release of funds, a total of $496 
million remains in the contingent emergency reserve for non-
defense activities. This total includes $14 million that was 
allocated to the Department of Energy on February 3rd but was 
not transferred because the House Appropriations Committee did 
not consider the Department's planned activities an appropriate 
use of emergency funding. The Department has withdrawn its 
request and is working with the Committee to seek other sources 
of funding for these activities. Of the $1.1 billion provided 
for the Department of Defense, $935 million was allocated on 
February 16, 1999. The remainder $135 million, continues to be 
held in reserve for unanticipated requirements.
    The funding released for the GSA will support the Y2K 
Conversion Council's efforts to communicate important 
information about the Federal Government's Y2K readiness, as 
well as readiness in key infrastructure areas and within State 
and local governments, to communities across the Nation. The 
Council will facilitate, endorse, and support a series of ``Y2K 
Community Conversations'' designed to address public concern by 
engaging public and private sector leaders in a dialogue that 
will provide an accurate picture of Y2K readiness from the 
community to the national level. Funding provided to the FTC 
will be used for remediation and testing of information 
technology systems, as well as to upgrade a non-compliant 
security system.
    As noted in the March 1999 Quarterly Report on Y2K 
Conversion, Federal agencies are making good progress in 
addressing he Y2K problem and are working to ensure that there 
is a smooth transition in the delivery of important services. 
OMB continues its oversight and is working to ensure that 
agencies have sufficient FY 1999 resources to address Y2K-
related issues, that those resources are being utilized 
efficiently, and that flexible contingent emergency funding 
remains available to address unanticipated needs as the 
transition into the year 2000 approaches.
    Pursuant to the requirements of Public Law 105-277, OMB 
will prepare and submit reports to Congress on the proposed 
allocation and plan for each affected agency to achieve Y2K 
compliance for technology information systems before funds can 
be released to the agency. The report for agencies represented 
in this sixth release of Y2K contingent emergency funds will be 
transmitted tot he congressional committees specified in P.L. 
105-277 concurrent with this request for release of the funds. 
In addition, OMB has directed each affected agency to provide 
detailed justification materials in support of its plan and 
allocation to the relevant appropriations subcommittees.
    I recommend that you designate the amounts listed on the 
enclosure as emergency requirements in accordance with section 
251(b)(2)(A) of the Balanced Budget and Emergency Deficit 
Control Act of 1985, as amended. No further congressional 
action will be required. Pursuant to P.L. 105-277, funds will 
be made available to agencies 15 days after this designation is 
forwarded to Congress.
    I have carefully reviewed these proposals and am satisfied 
that they are necessary at this time. Therefore, I join the GSA 
Administrator and the FTC Chairman in recommending that you 
make the requested funds available by signing the enclosed 
letter to the Speaker of the House of Representatives.
                                Sincerely,
                                                      Jacob J. Lew,
                                                          Director.
    Enclosure.

    Emergency Appropriations: Amounts Previously Appropriated Made 
                       Available by the President



                       Year 2000 (Y2K) Conversion


General Services Administration--General Activities, 
    Policy and Operations...............................      $7,108,000
Federal Trade Commission--Salaries and Expenses.........       2,049,000

    The funding released for the GSA will support the Y2K 
Conversion Council's efforts to communicate important 
information about the Federal Government's Y2K readiness, as 
well as readiness in key infrastructure areas and within State 
and local governments, to communities across the Nation. 
Funding provided to the FTC will be used for remediation and 
testing of information technology systems, as well as to 
upgrade a non-complaint security system.

                                  
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