[House Report 108-280]
[From the U.S. Government Publishing Office]



108th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    108-280
======================================================================
 
 MAKING APPROPRIATIONS FOR THE DEPARTMENT OF HOMELAND SECURITY FOR THE 
     FISCAL YEAR ENDING SEPTEMBER 30, 2004, AND FOR OTHER PURPOSES

                                _______
                                

               September 23, 2003.--Ordered to be printed

                                _______
                                

Mr. Rogers of Kentucky, from the committee of conference, submitted the 
                               following

                           CONFERENCE REPORT

                        [To accompany H.R. 2555]

      The committee of conference on the disagreeing votes of 
the two Houses on the amendment of the Senate to the bill (H.R. 
2555) ``making appropriations for the Department of Homeland 
Security for the fiscal year ending September 30, 2004, and for 
other purposes'', having met, after full and free conference, 
have agreed to recommend and do recommend to their respective 
Houses as follows:
      That the House recede from its disagreement to the 
amendment of the Senate, and agree to the same with an 
amendment, as follows:
      In lieu of the matter stricken and inserted by said 
amendment, insert:

That the following sums are appropriated, out of any money in 
the Treasury not otherwise appropriated, for the Department of 
Homeland Security for the fiscal year ending September 30, 
2004, and for other purposes, namely:

            TITLE I--DEPARTMENTAL MANAGEMENT AND OPERATIONS

            Office of the Secretary and Executive Management

    For necessary expenses of the Office of the Secretary of 
Homeland Security, as authorized by section 102 of the Homeland 
Security Act of 2002 (6 U.S.C. 112), and executive management 
of the Department of Homeland Security, as authorized by law, 
$80,794,000: Provided, That not to exceed $40,000 shall be for 
allocation within the Department for official reception and 
representation expenses as the Secretary may determine.

              Office of the Under Secretary for Management

    For necessary expenses of the Office of the Under Secretary 
for Management and Administration, as authorized by sections 
701-705 of the Homeland Security Act of 2002 (6 U.S.C. 341-
345), $130,983,000: Provided, That of the total amount 
provided, $20,000,000 shall remain available until expended 
solely for the alteration and improvement of facilities and for 
relocation costs necessary for the interim housing of the 
Department's headquarters' operations and organizations 
collocated therewith.

                 Department-Wide Technology Investments

    For development and acquisition of information technology 
equipment, software, services, and related activities for the 
Department of Homeland Security, and for the costs of 
conversion to narrowband communications, including the cost for 
operation of the land mobile radio legacy systems, 
$185,000,000, to remain available until expended: Provided, 
That none of the funds appropriated shall be used to support or 
supplement the appropriations provided for the United States 
Visitor and Immigrant Status Indicator Technology project or 
the Automated Commercial Environment.

                      Office of Inspector General

    For necessary expenses of the Office of Inspector General 
in carrying out the provisions of the Inspector General Act of 
1978 (5 U.S.C. App.), $58,664,000, of which not to exceed 
$100,000 may be used for certain confidential operational 
expenses, including the payment of informants, to be expended 
at the direction of the Inspector General.

          TITLE II--SECURITY, ENFORCEMENT, AND INVESTIGATIONS

  Office of the Under Secretary for Border and Transportation Security

                         SALARIES AND EXPENSES

    For necessary expenses of the Office of the Under Secretary 
for Border and Transportation Security, as authorized by 
subtitle A, title IV, of the Homeland Security Act of 2002 (6 
U.S.C. 201 et seq.), $8,106,000.

    UNITED STATES VISITOR AND IMMIGRANT STATUS INDICATOR TECHNOLOGY

    For necessary expenses for the development of the United 
States Visitor and Immigrant Status Indicator Technology 
project, as authorized by section 110 of the Illegal 
Immigration Reform and Immigration Responsibility Act of 1996 
(8 U.S.C. 1221 note), $330,000,000, to remain available until 
expended: Provided, That none of the funds appropriated under 
this heading may be obligated for the United States Visitor and 
Immigrant Status Indicator Technology project until the 
Committees on Appropriations of the Senate and the House of 
Representatives receive and approve a plan for expenditure 
prepared by the Secretary of Homeland Security that: (1) meets 
the capital planning and investment control review requirements 
established by the Office of Management and Budget, including 
Circular A-11, part 3; (2) complies with the Department of 
Homeland Security enterprise information systems architecture; 
(3) complies with the acquisition rules, requirements, 
guidelines, and systems acquisition management practices of the 
Federal Government; (4) is reviewed and approved by the 
Department of Homeland Security and the Office of Management 
and Budget; and (5) is reviewed by the General Accounting 
Office.

                     Customs and Border Protection

                         SALARIES AND EXPENSES

    For necessary expenses for enforcement of laws relating to 
border security, immigration, customs, and agricultural 
inspections and regulatory activities related to plant and 
animal imports; acquisition, lease, maintenance and operation 
of aircraft; purchase and lease of up to 4,500 (3,935 for 
replacement only) police-type vehicles; and contracting with 
individuals for personal services abroad; $4,396,350,000; of 
which $3,000,000 shall be derived from the Harbor Maintenance 
Trust Fund for administrative expenses related to the 
collection of the Harbor Maintenance Fee pursuant to Public Law 
103-182 and notwithstanding section 1511(e)(1) of Public Law 
107-296; of which not to exceed $40,000 shall be for official 
reception and representation expenses; of which not to exceed 
$100,800,000 shall remain available until September 30, 2005, 
for inspection technology; of which such sums as become 
available in the Customs User Fee Account, except sums subject 
to section 13031(f)(3) of the Consolidated Omnibus Budget 
Reconciliation Act of 1985 (19 U.S.C. 58c(f)(3)), shall be 
derived from that account; of which not to exceed $150,000 
shall be available for payment for rental space in connection 
with preclearance operations; of which not to exceed $1,000,000 
shall be for awards of compensation to informants, to be 
accounted for solely under the certificate of the Under 
Secretary for Border and Transportation Security; and of which 
not to exceed $5,000,000 shall be available for payments or 
advances arising out of contractual or reimbursable agreements 
with State and local law enforcement agencies while engaged in 
cooperative activities related to immigration: Provided, That 
none of the funds appropriated shall be available to compensate 
any employee for overtime in an annual amount in excess of 
$30,000, except that the Under Secretary for Border and 
Transportation Security may exceed that amount as necessary for 
national security purposes and in cases of immigration 
emergencies: Provided further, That of the total amount 
provided, $12,725,000 shall be for activities to enforce laws 
against forced child labor in fiscal year 2004, of which not to 
exceed $4,000,000 shall remain available until expended: 
Provided further, That no funds shall be available for the site 
acquisition, design, or construction of any Border Patrol 
checkpoint in the Tucson sector: Provided further, That the 
Border Patrol shall relocate its checkpoints in the Tucson 
sector at least once every 7 days in a manner designed to 
prevent persons subject to inspection from predicting the 
location of any such checkpoint.

                        AUTOMATION MODERNIZATION

    For expenses for customs and border protection automated 
systems, $441,122,000, to remain available until expended, of 
which not less than $318,690,000 shall be for the development 
of the Automated Commercial Environment: Provided, That none of 
the funds appropriated under this heading may be obligated for 
the Automated Commercial Environment until the Committees on 
Appropriations of the Senate and the House of Representatives 
receive and approve a plan for expenditure prepared by the 
Under Secretary for Border and Transportation Security that: 
(1) meets the capital planning and investment control review 
requirements established by the Office of Management and 
Budget, including Circular A-11, part 3; (2) complies with the 
Bureau of Customs and Border Protection's enterprise 
information systems architecture; (3) complies with the 
acquisition rules, requirements, guidelines, and systems 
acquisition management practices of the Federal Government; (4) 
is reviewed and approved by the Bureau of Customs and Border 
Protection Investment Review Board, the Department of Homeland 
Security, and the Office of Management and Budget; and (5) is 
reviewed by the General Accounting Office.

                              CONSTRUCTION

    For necessary expenses to plan, construct, renovate, equip, 
and maintain buildings and facilities necessary for the 
administration and enforcement of laws relating to customs and 
immigration, $90,363,000, to remain available until expended.

                  Immigration and Customs Enforcement

                         SALARIES AND EXPENSES

                    (INCLUDING RESCISSION OF FUNDS)

    For necessary expenses for enforcement of immigration and 
customs laws, detention and removals, and investigations; and 
purchase and lease of up to 1,600 (1,450 for replacement only) 
police-type vehicles; $2,151,050,000, of which not to exceed 
$5,000,000 shall be available until expended for conducting 
special operations pursuant to section 3131 of the Customs 
Enforcement Act of 1986 (19 U.S.C. 2081); of which not to 
exceed $15,000 shall be for official reception and 
representation expenses; of which not to exceed $1,000,000 
shall be for awards of compensation to informants, to be 
accounted for solely under the certificate of the Under 
Secretary for Border and Transportation Security; of which not 
less than $100,000 shall be for promotion of public awareness 
of the child pornography tipline; of which not less than 
$200,000 shall be for Project Alert; and of which not to exceed 
$5,000,000 shall be available to fund or reimburse other 
Federal agencies for the costs associated with the care, 
maintenance, and repatriation of smuggled illegal aliens: 
Provided, That none of the funds appropriated shall be 
available to compensate anyemployee for overtime in an annual 
amount in excess of $30,000, except that the Under Secretary for Border 
and Transportation Security may waive that amount as necessary for 
national security purposes and in cases of immigration emergencies: 
Provided further, That of the total amount provided, $3,000,000 shall 
be for activities to enforce laws against forced child labor in fiscal 
year 2004, of which not to exceed $1,000,000 shall remain available 
until expended.
    In addition, of the funds appropriated under this heading 
in chapter 6 of title I of Public Law 108-11 (117 Stat. 583), 
$54,000,000 are rescinded.

                          FEDERAL AIR MARSHALS

    For necessary expenses of the Federal air marshals, 
$626,400,000, to remain available until expended.

                       FEDERAL PROTECTIVE SERVICE

                          (TRANSFER OF FUNDS)

    For necessary expenses for the operations of the Federal 
Protective Service, $424,211,000 shall be transferred from the 
revenues and collections in the General Services 
Administration, Federal Buildings Fund.

                        AUTOMATION MODERNIZATION

    For expenses of immigration and customs enforcement 
automated systems, $40,000,000, to remain available until 
expended: Provided, That none of the funds appropriated under 
this heading may be obligated for Atlas until the Committees on 
Appropriations of the Senate and the House of Representatives 
receive and approve a plan for expenditure prepared by the 
Under Secretary for Border and Transportation Security that: 
(1) meets the capital planning and investment control review 
requirements established by the Office of Management and 
Budget, including Circular A-11, part 3; (2) complies with the 
Bureau of Immigration and Customs enforcement enterprise 
information systems architecture; (3) complies with the 
acquisition rules, requirements, guidelines, and systems 
acquisition management practices of the Federal Government; (4) 
is reviewed and approved by the Bureau of Immigration and 
Customs Enforcement Investment Review Board, the Department of 
Homeland Security, and the Office of Management and Budget; and 
(5) is reviewed by the General Accounting Office.

                AIR AND MARINE INTERDICTION, OPERATIONS,

                      MAINTENANCE, AND PROCUREMENT

    For necessary expenses for the operations, maintenance, and 
procurement of marine vessels, aircraft, and other related 
equipment of the air and marine program, including operational 
training and mission-related travel, and rental payments for 
facilities occupied by the air or marine interdiction and 
demand reduction programs, the operations of which include the 
following: the interdiction of narcotics and other goods; the 
provision of support to Federal, State, and local agencies in 
the enforcement or administration of laws enforced by the 
Bureau of Immigration and Customs Enforcement; and at the 
discretion of the Under Secretary for Border and Transportation 
Security, the provision of assistance to Federal, State, and 
local agencies in other law enforcement and emergency 
humanitarian efforts, $210,200,000, to remain available until 
expended: Provided, That no aircraft or other related 
equipment, with the exception of aircraft that are one of a 
kind and have been identified as excess to Bureau of 
Immigration and Customs Enforcement requirements and aircraft 
that have been damaged beyond repair, shall be transferred to 
any other Federal agency, department, or office outside of the 
Department of Homeland Security during fiscal year 2004 without 
the prior approval of the Committees on Appropriations of the 
Senate and the House of Representatives.

                              CONSTRUCTION

    For necessary expenses to plan, construct, renovate, equip, 
and maintain buildings and facilities necessary for the 
administration and enforcement of the laws relating to customs 
and immigration, $26,775,000, to remain available until 
expended.

                 Transportation Security Administration

                           AVIATION SECURITY

    For necessary expenses of the Transportation Security 
Administration related to providing civil aviation security 
services pursuant to the Aviation and Transportation Security 
Act (Public Law 107-71; 115 Stat. 597), $3,732,700,000, to 
remain available until expended, of which not to exceed $3,000 
shall be for official reception and representation expenses: 
Provided, That of the total amount provided under this heading, 
not to exceed $1,805,700,000 shall be for passenger screening 
activities; not to exceed $1,318,700,000 shall be for baggage 
screening activities; and not to exceed $703,300,000 shall be 
for airport security direction and enforcement presence: 
Provided further, That security service fees authorized under 
section 44940 of title 49, United States Code, shall be 
credited to this appropriation as offsetting collections: 
Provided further, That none of the funds appropriated or 
otherwise made available by this or any other Act may be 
obligated or expended to carry out provisions of section 
44923(h) of title 49 United States Code: Provided further, That 
the sum herein appropriated from the General Fund shall be 
reduced on a dollar-for-dollar basis as such offsetting 
collections are received during fiscal year 2004, so as to 
result in a final fiscal year appropriation from the General 
Fund estimated at not more than $1,662,700,000: Provided 
further, That any security service fees collected pursuant to 
section 118 of Public Law 107-71 in excess of the amount 
appropriated under this heading shall be treated as offsetting 
collections in fiscal year 2005: Provided further, That none of 
the funds in this Act shall be used to recruit or hire 
personnel into the Transportation Security Administration which 
would cause the agency to exceed a staffing level of 45,000 
full-time equivalent screeners: Provided further, That of the 
total amount provided under this heading, $250,000,000 shall be 
available only for physical modification of commercial service 
airports for the purpose of installing checked baggage 
explosive detection systems and $150,000,000 shall be available 
only for procurement of checked baggage explosive detection 
systems.

                       MARITIME AND LAND SECURITY

    For necessary expenses of the Transportation Security 
Administration related to maritime and land transportation 
security grants and services pursuant to the Aviation and 
Transportation Security Act (49 U.S.C. 40101 note), 
$263,000,000, to remain available until September 30, 2005: 
Provided, That of the total amount provided under this heading, 
$125,000,000 shall be available for port security grants, which 
shall be distributed under the same terms and conditions as 
provided for under Public Law 107-117; and $17,000,000 shall be 
available to execute grants, contracts, and interagency 
agreements for the purpose of deploying Operation Safe 
Commerce.

                              INTELLIGENCE

    For necessary expenses for intelligence activities pursuant 
to the Aviation and Transportation Security Act (115 Stat. 
597), $13,600,000.

                        RESEARCH AND DEVELOPMENT

    For necessary expenses for research and development related 
to transportation security, $155,200,000, to remain available 
until expended: Provided, That of the total amount provided 
under this heading, $45,000,000 shall be available for the 
research and development of explosive detection devices.

                             ADMINISTRATION

    For necessary administrative expenses of the Transportation 
Security Administration to carry out the Aviation and 
Transportation Security Act (115 Stat. 597), $427,200,000, to 
remain available until September 30, 2005.

                       United States Coast Guard

                           OPERATING EXPENSES

                    (INCLUDING RESCISSION OF FUNDS)

    For necessary expenses for the operation and maintenance of 
the Coast Guard not otherwise provided for; purchase or lease 
of not to exceed twenty-five passenger motor vehicles for 
replacement only; payments pursuant to section 156 of Public 
Law 97-377 (42 U.S.C. 402 note); section 229(b) of the Social 
Security Act (42 U.S.C. 429(b)); and recreation and welfare; 
$4,713,055,000, of which $340,000,000 shall be for defense-
related activities; of which $25,000,000 shall be derived from 
the Oil Spill Liability Trust Fund; and of which not to exceed 
$3,000 shall be for official reception and representation 
expenses: Provided, That none of the funds appropriated by this 
or any other Act shall be available for administrative expenses 
in connection with shipping commissioners in the United States: 
Provided further, That none of the funds provided by this Act 
shall be available for expenses incurred for yacht 
documentation under section 12109 of title 46, United States 
Code, except to the extent fees are collected from yacht owners 
and credited to this appropriation: Provided further, That 
notwithstanding section 1116(c) of title 10, United States 
Code, amounts made available under this heading may be used to 
make payments into the Department of Defense Medicare-Eligible 
Retiree Health Care Fund for fiscal year 2004 under section 
1116(a) of such title.
    In addition, of the funds appropriated under this heading 
in chapter 6 of title I of Public Law 108-11 (117 Stat. 583), 
$71,000,000 are rescinded.

                ENVIRONMENTAL COMPLIANCE AND RESTORATION

    For necessary expenses to carry out the Coast Guard's 
environmental compliance and restoration functions under 
chapter 19 of title 14, United States Code, $17,000,000, to 
remain available until expended.

                            RESERVE TRAINING

    For necessary expenses of the Coast Guard Reserve, as 
authorized by law; maintenance and operation of facilities; and 
supplies, equipment, and services; $95,000,000.

              ACQUISITION, CONSTRUCTION, AND IMPROVEMENTS

    For necessary expenses of acquisition, construction, 
renovation, and improvement of aids to navigation, shore 
facilities, vessels, and aircraft, including equipment related 
thereto; and maintenance, rehabilitation, lease and operation 
of facilities and equipment, as authorized by law; 
$967,200,000, of which $23,500,000 shall be derived from the 
Oil Spill Liability Trust Fund; of which $66,500,000 shall be 
available until September 30, 2008, to acquire, repair, 
renovate, or improve vessels, small boats, and related 
equipment; of which $162,500,000 shall be available until 
September 30, 2006, for other equipment, including $3,500,000 
for defense message system implementation and $1,000,000 for 
oil spill prevention efforts under the Ports and Waterways 
Safety Systems program; of which $70,000,000 shall be available 
for personnel compensation and benefits and related costs; of 
which $668,200,000 shall be available until September 30, 2008, 
for the Integrated Deepwater Systems program: Provided, That 
the Commandant of the Coast Guard is authorized to dispose of 
surplus real property, by sale or lease, and the proceeds shall 
be credited to this appropriation as offsetting collections and 
shall be available until September 30, 2006, only for Rescue 
21: Provided further, That upon initial submission to the 
Congress of the fiscal year 2005 President's budget, the 
Secretary of Homeland Security shall transmit to the Congress a 
comprehensive capital investment plan for the United States 
Coast Guard that includes funding for each budget line item for 
fiscal years 2005 through 2009, with total funding for each 
year of the plan constrained to the funding targets for those 
years as estimated and approved by the Office of Management and 
Budget.

                         ALTERATION OF BRIDGES

    For necessary expenses for alteration or removal of 
obstructive bridges, $19,250,000, to remain available until 
expended: Provided, That in fiscal year 2004 and thereafter, 
funds for bridge alteration projects conducted pursuant to the 
Act of June 21, 1940 (33 U.S.C. 511 et seq.) shall be available 
for such projects only to the extent that the steel, iron, and 
manufactured products used in such projects are produced in the 
United States, unless contrary to law or international 
agreement, or unless the Commandant of the Coast Guard 
determines such action to be inconsistent with the public 
interest or the cost unreasonable.

              RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

    For necessary expenses for applied scientific research, 
development, test, and evaluation, and for maintenance, 
rehabilitation, lease and operation of facilities and 
equipment, as authorized by law; $15,000,000, to remain 
available until expended, of which $3,500,000 shall be derived 
from the Oil Spill Liability Trust Fund: Provided, That there 
may be credited to and used for the purposes of this 
appropriation funds received from State and local governments, 
other public authorities, private sources, and foreign 
countries, for expenses incurred for research, development, 
testing, and evaluation.

                              RETIRED PAY

    For retired pay, including the payment of obligations 
otherwise chargeable to lapsed appropriations for this purpose, 
payments under the Retired Serviceman's Family Protection and 
Survivor Benefits Plans, payment for career status bonuses 
under the National Defense Authorization Act, and payments for 
medical care of retired personnel and their dependents under 
chapter 55 of title 10, United States Code, $1,020,000,000.

                      United States Secret Service

                         SALARIES AND EXPENSES

    For necessary expenses of the United States Secret Service, 
including purchase of not to exceed 730 vehicles for police-
type use, of which 610 shall be for replacement only, and hire 
of passenger motor vehicles; purchase of American-made sidecar 
compatible motorcycles; hire of aircraft; services of expert 
witnesses at such rates as may be determined by the Director; 
rental of buildings in the District of Columbia, and fencing, 
lighting, guard booths, and other facilities on private or 
other property not in Government ownership or control, as may 
be necessary to perform protective functions; payment of per 
diem or subsistence allowances to employees where a protective 
assignment during the actual day or days of the visit of a 
protectee require an employee to work 16 hours per day or to 
remain overnight at his or her post of duty; conduct of and 
participation in firearms matches; presentation of awards; 
travel of Secret Service employees on protective missions 
without regard to the limitations on such expenditures in this 
or any other Act if approval is obtained in advance from the 
Committees on Appropriations of the Senate and the House of 
Representatives; research and development; grants to conduct 
behavioral research in support of protective research and 
operations; and payment in advance for commercial 
accommodations as may be necessary to perform protective 
functions; $1,137,280,000, of which not to exceed $25,000 shall 
be for official reception and representation expenses; of which 
not to exceed $100,000 shall be to provide technical assistance 
and equipment to foreign law enforcement organizations in 
counterfeit investigations; of which $2,100,000 shall be for 
forensic and related support of investigations of missing and 
exploited children; and of which $5,000,000 shall be a grant 
for activities related to the investigations of exploited 
children and shall remain available until expended: Provided, 
That up to $18,000,000 provided for protective travel shall 
remain available until September 30, 2005: Provided further, 
That in fiscal year 2004 and thereafter, subject to the 
reimbursement of actual costs to this account, funds 
appropriated in this account shall be available, at the 
discretion of the Director, for the following: training United 
States Postal Service law enforcement personnel and Postal 
police officers, training Federal law enforcement officers, 
training State and local government law enforcement officers on 
a space-available basis, and training private sector security 
officials on a space-available basis: Provided further, That 
the United States Secret Service is authorized to obligate 
funds in anticipation of reimbursements from agencies and 
entities, as defined in section 105 of title 5, United States 
Code, receiving training sponsored by the James J. Rowley 
Training Center, except that total obligations at the end of 
the fiscal year shall not exceed total budgetary resources 
available under this heading at the end of the fiscal year: 
Provided further, That in fiscal year 2004 and thereafter, the 
James J. Rowley Training Center is authorized to provide short-
term medical services for students undergoing training at the 
Center.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

    For necessary expenses for acquisition, construction, 
repair, alteration, and improvement of facilities, $3,579,000, 
to remain available until expended.

                  TITLE III--PREPAREDNESS AND RECOVERY

                    Office for Domestic Preparedness

                        STATE AND LOCAL PROGRAMS

    For grants, contracts, cooperative agreements, and other 
activities, including grants to State and local governments for 
terrorism prevention activities, notwithstanding any other 
provision of law, $3,287,000,000, which shall be allocated as 
follows:
            (1) $1,700,000,000 for formula-based grants and 
        $500,000,000 for law enforcement terrorism prevention 
        grants pursuant to section 1014 of the USA PATRIOT Act 
        of 2001 (42 U.S.C. 3714): Provided, That no funds shall 
        be made available to any State priorto the submission 
of an updated State plan to the Office for Domestic Preparedness: 
Provided further, That the application for grants shall be made 
available to States within 30 days after enactment of this Act; that 
States shall submit applications within 30 days after the grant 
announcement; and that the Office for Domestic Preparedness shall act 
within 15 days after receipt of an application or receipt of an updated 
State plan, whichever is later: Provided further, That each State shall 
obligate not less than 80 percent of the total amount of the grant to 
local governments within 60 days after the grant award; and
            (2) $725,000,000 for discretionary grants for use 
        in high-threat, high-density urban areas, as determined 
        by the Secretary of Homeland Security: Provided, That 
        no less than 80 percent of any grant to a State shall 
        be made available by the State to local governments 
        within 60 days after the receipt of the funds: Provided 
        further, That section 1014(c)(3) of the USA PATRIOT Act 
        of 2001 (42 U.S.C. 3714(c)(3)) shall not apply to these 
        grants:
Provided, That none of the funds appropriated under this 
heading shall be used for the construction or renovation of 
facilities: Provided further, That funds appropriated for law 
enforcement terrorism prevention grants under paragraph (1) and 
discretionary grants under paragraph (2) of this heading shall 
be available for operational costs, to include personnel 
overtime and overtime associated with Office for Domestic 
Preparedness certified training, as needed.

                     FIREFIGHTER ASSISTANCE GRANTS

    For necessary expenses for programs authorized by section 
33 of the Federal Fire Prevention and Control Act of 1974 (15 
U.S.C. 2229), $750,000,000, to remain available until September 
30, 2005: Provided, That not to exceed 5 percent of this amount 
shall be available for program administration.

                         Counterterrorism Fund

    For necessary expenses, as determined by the Secretary of 
Homeland Security, to reimburse any Federal agency for the 
costs of providing support to counter, investigate, or 
prosecute unexpected threats or acts of terrorism, including 
payment of rewards in connection with these activities, 
$10,000,000, to remain available until expended: Provided, That 
the Secretary shall notify the Committees on Appropriations of 
the Senate and the House of Representatives 15 days prior to 
the obligation of any amount of these funds in accordance with 
section 503 of this Act.

                  Emergency Preparedness and Response

 OFFICE OF THE UNDER SECRETARY FOR EMERGENCY PREPAREDNESS AND RESPONSE

    For necessary expenses for the Office of the Under 
Secretary for Emergency Preparedness and Response, as 
authorized by section 502 of the Homeland Security Act of 2002 
(6 U.S.C. 312), $3,450,000.

            PREPAREDNESS, MITIGATION, RESPONSE, AND RECOVERY

    For necessary expenses for preparedness, mitigation, 
response, and recovery activities of the Emergency Preparedness 
and Response Directorate, $225,000,000, including activities 
authorized by the National Flood Insurance Act of 1968 (42 
U.S.C. 4011 et seq.), the Flood Disaster Protection Act of 1973 
(42 U.S.C. 4001 et seq.), the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.), 
the Earthquake Hazards Reduction Act of 1977 (42 U.S.C. 7701 et 
seq.), the Federal Fire Prevention and Control Act of 1974 (15 
U.S.C. 2201 et seq.), the Defense Production Act of 1950 (50 
U.S.C. App. 2061 et seq.), sections 107 and 303 of the National 
Security Act of 1947 (50 U.S.C. 404, 405), Reorganization Plan 
No. 3 of 1978 (5 U.S.C. App.), and the Homeland Security Act of 
2002 (6 U.S.C. 101 et seq.): Provided, That of the total amount 
appropriated, $60,000,000 shall be for Urban Search and Rescue 
Teams, of which not to exceed 3 percent may be made available 
for administrative costs.

                 ADMINISTRATIVE AND REGIONAL OPERATIONS

    For necessary expenses for administrative and regional 
operations of the Emergency Preparedness and Response 
Directorate, $167,000,000, including activities authorized by 
the National Flood Insurance Act of 1968 (42 U.S.C. 4011 et 
seq.), the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4001 et seq.), the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5121 et seq.), the 
Earthquake Hazards Reduction Act of 1977 (42 U.S.C. 7701 et 
seq.), the Federal Fire Prevention and Control Act of 1974 (15 
U.S.C. 2201 et seq.), the Defense Production Act of 1950 (50 
U.S.C. App. 2061 et seq.), sections 107 and 303 of the National 
Security Act of 1947 (50 U.S.C. 404, 405), Reorganization Plan 
No. 3 of 1978 (5 U.S.C. App.), and the Homeland Security Act of 
2002 (6 U.S.C. 101 et seq.): Provided, That not to exceed 
$3,000 shall be for official reception and representation 
expenses.

                           OPERATING EXPENSES

                         (RESCISSION OF FUNDS)

    Of the funds appropriated under this heading by chapter 6 
of title I of Public Law 108-11 (117 Stat. 583), $3,000,000 are 
rescinded.

                         PUBLIC HEALTH PROGRAMS

    For necessary expenses for countering potential biological, 
disease, and chemical threats to civilian populations, 
$484,000,000, including $400,000,000, to remain available until 
expended, for the Strategic National Stockpile.

                       BIODEFENSE COUNTERMEASURES

    For necessary expenses for securing medical countermeasures 
against biological terror attacks, $5,593,000,000, to remain 
available until September 30, 2013: Provided, That not to 
exceed $3,418,000,000 may be obligated during fiscal years 2004 
through 2008, of which not to exceed $890,000,000 may be 
obligated during fiscal year 2004.

              RADIOLOGICAL EMERGENCY PREPAREDNESS PROGRAM

    The aggregate charges assessed during fiscal year 2004, as 
authorized by the Energy and Water Development Appropriations 
Act, 2001 (Public Law 106-377; 114 Stat. 1441A-59 et seq.), 
shall not be less than 100 percent of the amounts anticipated 
by the Department of Homeland Security necessary for its 
radiological emergency preparedness program for the next fiscal 
year: Provided, That the methodology for assessment and 
collection of fees shall be fair and equitable; and shall 
reflect costs of providing such services, including 
administrative costs of collecting such fees: Provided further, 
That fees received under this heading shall be deposited in 
this account as offsetting collections and will become 
available for authorized purposes on October 1, 2004, and 
remain available until expended.

                            DISASTER RELIEF

                     (INCLUDING TRANSFER OF FUNDS)

    For necessary expenses in carrying out the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5121 et seq.), $1,800,000,000, to remain available until 
expended; of which not to exceed $22,000,000 shall be 
transferred to and merged with the appropriation for ``Office 
of Inspector General'' for audits and investigations.

            DISASTER ASSISTANCE DIRECT LOAN PROGRAM ACCOUNT

    For administrative expenses to carry out the direct loan 
program, as authorized by section 319 of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5162), 
$560,000: Provided, That gross obligations for the principal 
amount of direct loans shall not exceed $25,000,000: Provided 
further, That the cost of modifying such loans shall be as 
defined in section 502 of the Congressional Budget Act of 1974 
(2 U.S.C. 661a).

                 NATIONAL PRE-DISASTER MITIGATION FUND

    For a pre-disaster mitigation grant program pursuant to 
title II of the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5131 et seq.), 
$150,000,000, to remain available until expended: Provided, 
That grants made for pre-disaster mitigation shall be awarded 
on a competitive basis subject to the criteria in section 
203(g) of the Robert T. Stafford Disaster Relief and Emergency 
Assistance Act (42 U.S.C. 5133(g)): Provided further, That, 
notwithstanding section 203(f) of that Act (42 U.S.C. 5133(f)), 
grant awards shall be made without reference to State 
allocations, quotas, or other formula-based allocation of 
funds: Provided further, That total administrative costs shall 
not exceed 3 percent of the total appropriation.

                      FLOOD MAP MODERNIZATION FUND

    For necessary expenses pursuant to section 1360 of the 
National Flood Insurance Act of 1968 (42 U.S.C. 4101), 
$200,000,000, and such additional sums as may be provided by 
State and local governments or other political subdivisions for 
cost-shared mapping activities under section 1360(f)(2) of such 
Act, to remain available until expended: Provided, That total 
administrative costs shall not exceed 3 percent of the total 
appropriation.

                     NATIONAL FLOOD INSURANCE FUND

                     (INCLUDING TRANSFER OF FUNDS)

    For activities under the National Flood Insurance Act of 
1968 (42 U.S.C. 4011 et seq.) and the Flood Disaster Protection 
Act of 1973 (42 U.S.C. 4001 et seq.), not to exceed $32,663,000 
for salaries and expenses associated with flood mitigation and 
flood insurance operations; and not to exceed $77,809,000 for 
flood hazard mitigation, to remain available until September 
30, 2005, including up to $20,000,000 for expenses under 
section 1366 of the National Flood Insurance Act of 1968 (42 
U.S.C. 4104c), which amount shall be available for transfer to 
the National Flood Mitigation Fund until September 30, 2005, 
and which amount shall be derived from offsetting collections 
assessed and collected pursuant to section 1307 of that Act (42 
U.S.C. 4014), and shall be retained and used for necessary 
expenses under this heading: Provided, That in fiscal year 
2004, no funds in excess of: (1) $55,000,000 for operating 
expenses; (2) $565,897,000 for agents' commissions and taxes; 
and (3) $40,000,000 for interest on Treasury borrowings shall 
be available from the National Flood Insurance Fund.

                     NATIONAL FLOOD MITIGATION FUND

                     (INCLUDING TRANSFER OF FUNDS)

    Notwithstanding subparagraphs (B) and (C) of subsection 
(b)(3), and subsection (f) of section 1366 of the National 
Flood Insurance Act of 1968 (42 U.S.C. 4104c), $20,000,000, to 
remain available until September 30, 2005, for activities 
designed to reduce the risk of flood damage to structures 
pursuant to such Act, of which $20,000,000 shall be derived 
from the National Flood Insurance Fund.

                EMERGENCY MANAGEMENT PERFORMANCE GRANTS

    For necessary expenses for emergency management performance 
grants, as authorized by the National Flood Insurance Act of 
1968 and the Flood Disaster Protection Act of 1973 (42 U.S.C. 
4001 et seq.), the Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5121 et seq.), the 
Earthquake Hazards Reductions Act of 1977 (42 U.S.C. 7701 et 
seq.), and Reorganization Plan No. 3 of 1978 (5 U.S.C. App.), 
$180,000,000: Provided, That total administrative costs shall 
not exceed 3 percent of the total appropriation.

                       EMERGENCY FOOD AND SHELTER

    To carry out an emergency food and shelter program pursuant 
to title III of the Stewart B. McKinney Homeless Assistance Act 
(42 U.S.C. 11331 et seq.), $153,000,000, to remain available 
until expended: Provided, That total administrative costs shall 
not exceed 3.5 percent of the total appropriation.

                        CERRO GRANDE FIRE CLAIMS

    For payment of claims under the Cerro Grande Fire 
Assistance Act (Public Law 106-246; 114 Stat. 583), 
$38,062,000, to remain available until expended: Provided, That 
not to exceed 5 percent may be made available for 
administrative costs.

TITLE IV--RESEARCH AND DEVELOPMENT, TRAINING, ASSESSMENTS, AND SERVICES

                  Citizenship and Immigration Services

    For necessary expenses for citizenship and immigration 
services, including international services, $236,126,000, of 
which not to exceed $5,000 shall be for official reception and 
representation expenses.

                Federal Law Enforcement Training Center

                         SALARIES AND EXPENSES

    For necessary expenses of the Federal Law Enforcement 
Training Center, including materials and support costs of 
Federal law enforcement basic training; purchase of not to 
exceed 117 vehicles for police-type use and hire of passenger 
motor vehicles; expenses for student athletic and related 
activities; the conduct of and participation in firearms 
matches and presentation of awards; public awareness and 
enhancement of community support of law enforcement training; 
room and board for student interns; a flat monthly 
reimbursement to employees authorized to use personal cell 
phones for official duties; and services as authorized by 
section 3109 of title 5, United States Code; $155,423,000, of 
which up to $36,174,000 for materials and support costs of 
Federal law enforcement basic training shall remain available 
until September 30, 2005; and of which not to exceed $12,000 
shall be for official reception and representation expenses: 
Provided, That in fiscal year 2004 and thereafter, the Center 
is authorized to accept and use gifts of property, both real 
and personal, and to accept services, for authorized purposes: 
Provided further, That in fiscal year 2004 and thereafter, the 
Center is authorized to accept detailees from other Federal 
agencies, on a non-reimbursable basis, to staff the 
accreditation function: Provided further, That in fiscal year 
2004 and thereafter, students attending training at any Center 
site shall reside in on-Center or Center-provided housing, 
insofar as available and in accordance with Center policy: 
Provided further, That in fiscal year 2004 and thereafter, 
funds appropriated in this account shall be available, at the 
discretion of the Director, for the following: training United 
States Postal Service law enforcement personnel and Postal 
police officers; State and local government law enforcement 
training on a space-available basis; training of foreign law 
enforcement officials on a space-available basis with 
reimbursement of actual costs to this appropriation, except 
that reimbursement may be waived by the Secretary for law 
enforcement training activities in foreign countries undertaken 
under section 801 of the Antiterrorism and Effective Death 
Penalty Act of 1996 (28 U.S.C. 509 note); training of private 
sector security officials on a space-available basis with 
reimbursement of actual costs to this appropriation; and travel 
expenses of non-Federal personnel to attend course development 
meetings and training sponsored by the Center: Provided 
further, That the Center is authorized to obligate funds in 
anticipation of reimbursements from agencies receiving training 
sponsored by the Center, except that total obligations at the 
end of the fiscal year shall not exceed total budgetary 
resources available at the end of the fiscal year: Provided 
further, That in fiscal year 2004 and thereafter, the Center is 
authorized to provide short-term medical services for students 
undergoing training at the Center.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

    For acquisition of necessary additional real property and 
facilities, construction, and ongoing maintenance, facility 
improvements, and related expenses of the Federal Law 
Enforcement Training Center, $37,357,000, to remain available 
until expended: Provided, That the Center is authorized to 
accept reimbursement to this appropriation from government 
agencies requesting the construction of special use facilities.

           Information Analysis and Infrastructure Protection

                     MANAGEMENT AND ADMINISTRATION

    For salaries and expenses of the immediate Office of the 
Under Secretary for Information Analysis and Infrastructure 
Protection and for management and administration of programs 
and activities, as authorized by title II of the Homeland 
Security Act of 2002 (6 U.S.C. 121 et seq.), $125,000,000.

                      ASSESSMENTS AND EVALUATIONS

    For expenses for information analysis and infrastructure 
protection as authorized by title II of the Homeland Security 
Act of 2002 (6 U.S.C. 121 et seq.), $714,300,000, to remain 
available until September 30, 2005.

                         Science and Technology

                     MANAGEMENT AND ADMINISTRATION

    For salaries and expenses of the immediate Office of the 
Under Secretary for Science and Technology and for management 
and administration of programs and activities, as authorized by 
title III of the Homeland Security Act of 2002 (6 U.S.C. 181 et 
seq.), $44,168,000.

           RESEARCH, DEVELOPMENT, ACQUISITION, AND OPERATIONS

    For expenses of science and technology research, including 
advanced research projects; development; test and evaluation; 
acquisition; and operations, as authorized by title III of the 
Homeland Security Act of 2002 (6 U.S.C. 181 et seq.), 
$874,000,000, to remain available until expended.

                      TITLE V--GENERAL PROVISIONS

                     (INCLUDING TRANSFERS OF FUNDS)

    Sec. 501. No part of any appropriation contained in this 
Act shall remain available for obligation beyond the current 
fiscal year unless expressly so provided herein.
    Sec. 502. Subject to the requirements of section 503 of 
this Act, the unexpended balances of prior appropriations 
provided for activities in this Act may be transferred to 
appropriation accounts for such activities established pursuant 
to this Act: Provided, That balances so transferred may be 
merged with funds in the applicable established accounts and 
thereafter may be accounted for as one fund for the same time 
period as originally enacted.
    Sec. 503. (a) None of the funds provided by this Act, 
provided by previous appropriation Acts to the agencies in or 
transferred to the Department of Homeland Security that remain 
available for obligation or expenditure in fiscal year 2004, or 
provided from any accounts in the Treasury of the United States 
derived by the collection of fees available to the agencies 
funded by this Act, shall be available for obligation or 
expenditure through a reprogramming of funds that: (1) creates 
a new program; (2) eliminates a program, project, or activity; 
(3) increases funds for any program, project, or activity for 
which funds have been denied or restricted by the Congress; or 
(4) proposes to use funds directed for a specific activity by 
either the House or Senate Committees on Appropriations for a 
different purpose, unless both Committees on Appropriations of 
the Senate and the House of Representatives are notified 15 
days in advance of such reprogramming of funds.
    (b) None of the funds provided by this Act, provided by 
previous appropriation Acts to the agencies in or transferred 
to the Department of Homeland Security that remain available 
for obligation or expenditure in fiscal year2004, or provided 
from any accounts in the Treasury of the United States derived by the 
collection of fees available to the agencies funded by this Act, shall 
be available for obligation or expenditure for programs, projects, or 
activities through a reprogramming of funds in excess of $5,000,000 or 
10 percent, whichever is less, that: (1) augments existing programs, 
projects, or activities; (2) reduces by 10 percent funding for any 
existing program, project, or activity, or numbers of personnel by 10 
percent as approved by the Congress; or (3) results from any general 
savings from a reduction in personnel that would result in a change in 
existing programs, projects, or activities as approved by the Congress; 
unless the Committees on Appropriations of the Senate and the House of 
Representatives are notified 15 days in advance of such reprogramming 
of funds.
    (c) Not to exceed 5 percent of any appropriation made 
available for the current fiscal year for the Department of 
Homeland Security by this Act or provided by previous 
appropriation Acts may be transferred between such 
appropriations, but no such appropriation, except as otherwise 
specifically provided, shall be increased by more than 10 
percent by such transfers: Provided, That any transfer under 
this section shall be treated as a reprogramming of funds under 
subsection (b) of this section and shall not be available for 
obligation unless the Committees on Appropriations of the 
Senate and the House of Representatives are notified 15 days in 
advance of such transfer.
    Sec. 504. Except as otherwise specifically provided by law, 
not to exceed 50 percent of unobligated balances remaining 
available at the end of fiscal year 2004 from appropriations 
for salaries and expenses for fiscal year 2004 in this Act 
shall remain available through September 30, 2005, in the 
account and for the purposes for which the appropriations were 
provided: Provided, That prior to the obligation of such funds, 
a request shall be submitted to the Committees on 
Appropriations of the Senate and the House of Representatives 
for approval in accordance with section 503 of this Act.
    Sec. 505. In fiscal year 2004 and thereafter, unless 
otherwise provided, funds may be used for purchase of uniforms 
without regard to the general purchase price limitation for the 
current fiscal year; purchase of insurance for official motor 
vehicles operated in foreign countries; entering into contracts 
with the Department of State to furnish health and medical 
services to employees and their dependents serving in foreign 
countries; services authorized by section 3109 of title 5, 
United States Code; and the hire and purchase of motor 
vehicles, as authorized by section 1343 of title 31, United 
States Code: Provided, That purchase for police-type use of 
passenger vehicles may be made without regard to the general 
purchase price limitation for the current fiscal year.
    Sec. 506. The Federal Emergency Management Agency ``Working 
Capital Fund'' shall be available to the Department of Homeland 
Security, as authorized by sections 503 and 1517 of the 
Homeland Security Act of 2002 (6 U.S.C. 313, 557), for expenses 
and equipment necessary for maintenance and operations of such 
administrative services as the Secretary of Homeland Security 
determines may be performed more advantageously as central 
services: Provided, That such fund shall hereafter be known as 
the ``Department of Homeland Security Working Capital Fund''.
    Sec. 507. The Federal Emergency Management Agency 
``Bequests and Gifts'' account shall be available to the 
Department of Homeland Security, as authorized by sections 503 
and 1517 of the Homeland Security Act of 2002 (6 U.S.C. 313, 
557), for the Secretary of Homeland Security to accept, hold, 
administer and utilize gifts and bequests, including property, 
to facilitate the work of the Department of Homeland Security: 
Provided, That such fund shall hereafter be known as 
``Department of Homeland Security, Gifts and Donations'': 
Provided further, That any gift or bequest shall be used in 
accordance with the terms of that gift or bequest to the 
greatest extent practicable.
    Sec. 508. Funds made available by this Act for intelligence 
activities are deemed to be specifically authorized by the 
Congress for purposes of section 504 of the National Security 
Act of 1947 (50 U.S.C. 414) during fiscal year 2004 until the 
enactment of an Act authorizing intelligence activities for 
fiscal year 2004.
    Sec. 509. The Federal Law Enforcement Training Center shall 
establish an accrediting body, to include representatives from 
the Federal law enforcement community and non-Federal 
accreditation experts involved in law enforcement training, to 
establish standards for measuring and assessing the quality and 
effectiveness of Federal law enforcement training programs, 
facilities, and instructors.
    Sec. 510. None of the funds in this Act may be used to make 
a grant unless the Secretary of Homeland Security notifies the 
Committees on Appropriations of the Senate and the House of 
Representatives not less than 3 full business days before any 
grant allocation, discretionary grant award, or letter of 
intent totaling $1,000,000 or more is announced by the 
Department or its directorates from: (1) any discretionary or 
formula-based grant program of the Office for Domestic 
Preparedness; (2) any letter of intent from the Transportation 
Security Administration; or (3) any port security grant: 
Provided, That no notification shall involve funds that are not 
available for obligation.
    Sec. 511. Notwithstanding any other provision of law, no 
agency shall purchase, construct, and/or lease any additional 
facilities, except within or contiguous to existing locations, 
to be used for the purpose of conducting Federal law 
enforcement training without the advance approval of the 
Committees on Appropriations of the Senate and the House of 
Representatives, except that the Federal Law Enforcement 
Training Center is authorized to obtain the temporary use of 
additional facilities by lease, contract, or other agreement 
for training which cannot be accommodated in existing Center 
facilities.
    Sec. 512. The Director of the Federal Law Enforcement 
Training Center shall ensure that all training facilities under 
the control of the Center are operated at optimal capacity 
throughout the fiscal year.
    Sec. 513. For fiscal year 2004 and thereafter, none of the 
funds appropriated or otherwise made available to the 
Department of Homeland Security may be used for the production 
of customs declarations that do not inquire whether the 
passenger had been in the proximity of livestock.
    Sec. 514. For fiscal year 2004 and thereafter, none of the 
funds appropriated or otherwise made available to the 
Department of Homeland Security shall be available for any 
activity or for paying the salary of any Government employee 
where funding an activity or paying a salary to a Government 
employee would result in a determination, regulation, or policy 
that would prohibit the enforcement of section 307 of the 
Tariff Act of 1930 (19 U.S.C. 1307).
    Sec. 515. For fiscal year 2004 and thereafter, none of the 
funds appropriated or otherwise made available to the 
Department of Homeland Security may be used to allow--
            (1) the importation into the United States of any 
        good, ware, article, or merchandise mined, produced, or 
        manufactured by forced or indentured child labor, as 
        determined under section 307 of the Tariff Act of 1930 
        (19 U.S.C. 1307); or
            (2) the release into the United States of any good, 
        ware, article, or merchandise on which there is in 
        effect a detention order under such section 307 on the 
        basis that the good, ware, article, or merchandise may 
        have been mined, produced, or manufactured by forced or 
        indentured child labor.
    Sec. 516. None of the funds appropriated or otherwise made 
available by this Act may be used for expenses of any 
construction, repair, alteration, and acquisition project for 
which a prospectus, if required by the Public Buildings Act of 
1959, has not been approved, except that necessary funds may be 
expended for each project for required expenses for the 
development of a proposed prospectus.
    Sec. 517. None of the funds appropriated or otherwise made 
available by this Act shall be used to pursue or adopt 
guidelines or regulations requiring airport sponsors to provide 
to the Transportation Security Administration without cost 
building construction, maintenance, utilities and expenses, or 
space in airport sponsor-owned buildings for services relating 
to aviation security: Provided, That the prohibition of funds 
in this section does not apply to--
            (1) negotiations between the agency and airport 
        sponsors to achieve agreement on ``below-market'' rates 
        for these items, or
            (2) space for necessary security checkpoints.
    Sec. 518. None of the funds in this Act may be used in 
contravention of the applicable provisions of the Buy American 
Act (41 U.S.C. 10a et seq.).
    Sec. 519. (a) None of the funds provided by this or 
previous appropriations Acts may be obligated for deployment or 
implementation, on other than a test basis, of the Computer 
Assisted Passenger Prescreening System (CAPPS II) that the 
Transportation Security Administration (TSA) plans to utilize 
to screen aviation passengers, until the General Accounting 
Office has reported to the Committees on Appropriations of the 
Senate and the House of Representatives that--
            (1) a system of due process exists whereby aviation 
        passengers determined to pose a threat and either 
        delayed or prohibited from boarding their scheduled 
        flights by the TSA may appeal such decision and correct 
        erroneous information contained in CAPPS II;
            (2) the underlying error rate of the government and 
        private data bases that will be used both to establish 
        identity and assign a risk level to a passenger will 
        not produce a large number of false positives that will 
        result in a significant number of passengers being 
        treated mistakenly or security resources being 
        diverted;
            (3) the TSA has stress-tested and demonstrated the 
        efficacy and accuracy of all search tools in CAPPS II 
        and has demonstrated that CAPPS II can make an accurate 
        predictive assessment of those passengers who may 
        constitute a threat to aviation;
            (4) the Secretary of Homeland Security has 
        established an internal oversight board to monitor the 
        manner in which CAPPS II is being developed and 
        prepared;
            (5) the TSA has built in sufficient operational 
        safeguards to reduce the opportunities for abuse;
            (6) substantial security measures are in place to 
        protect CAPPS II from unauthorized access by hackers or 
        other intruders;
            (7) the TSA has adopted policies establishing 
        effective oversight of the use and operation of the 
        system; and
            (8) there are no specific privacy concerns with the 
        technological architecture of the system.
    (b) During the testing phase permitted by paragraph (a) of 
this section, no information gathered from passengers, foreign 
or domestic air carriers, or reservation systems may be used to 
screen aviation passengers, or delay or deny boarding to such 
passengers.
    (c) The General Accounting Office shall submit the report 
required under paragraph (a) of this section no later than 
February 15, 2004.
    Sec. 520. For fiscal year 2004 and thereafter, the 
Secretary of Homeland Security shall charge reasonable fees for 
providing credentialing and background investigations in the 
field of transportation: Provided, That the establishment and 
collection of fees shall be subject to the following 
requirements:
            (1) such fees, in the aggregate, shall not exceed 
        the costs incurred by the Department of Homeland 
        Security associated with providing the credential or 
        performing the background record checks;
            (2) the Secretary shall charge fees in amounts that 
        are reasonably related to the costs of providing 
        services in connection with the activity or item for 
        which the fee is charged;
            (3) a fee may not be collected except to the extent 
        such fee will be expended to pay for the costs of 
        conducting or obtaining a criminal history record check 
        and a review of available law enforcement databases and 
        commercial databases and records of other governmental 
        and international agencies; reviewing and adjudicating 
        requests for waiver and appeals of agency decisions 
        with respect to providing the credential, performing 
        the background record check, and denying requests for 
        waiver and appeals; and any other costs related to 
        providing the credential or performing the background 
        record check; and
            (4) any fee collected shall be available for 
        expenditure only to pay the costs incurred in 
providingservices in connection with the activity or item for which the 
fee is charged and shall remain available until expended.
    Sec. 521. The Secretary of Homeland Security is directed to 
research, develop, and procure certified systems to inspect and 
screen air cargo on passenger aircraft at the earliest date 
possible: Provided, That until such technology is procured and 
installed, the Secretary shall take all possible actions to 
enhance the known shipper program to prohibit high-risk cargo 
from being transported on passenger aircraft.
    This Act may be cited as the ``Department of Homeland 
Security Appropriations Act, 2004''.
    And the Senate agree to the same.

                                   Harold Rogers,
                                   C. W. Bill Young,
                                   Frank R. Wolf,
                                   Zach Wamp,
                                   Tom Latham,
                                   Jo Ann Emerson,
                                   Kay Granger,
                                   John E. Sweeney,
                                   Don Sherwood,
                                   Martin Olav Sabo,
                                   David E. Price,
                                   Jose E. Serrano,
                                   Lucille Roybal-Allard,
                                   Marion Berry,
                                   Alan B. Mollohan,
                                 Managers on the Part of the House.

                                   Thad Cochran,
                                   Ted Stevens,
                                   Arlen Specter,
                                   Pete V. Domenici,
                                   Mitch McConnell,
                                   Richard C. Shelby,
                                   Judd Gregg,
                                   Ben Nighthorse Campbell,
                                   Larry Craig,
                                   Robert C. Byrd,
                                   Daniel K. Inouye,
                                   Ernest F. Hollings,
                                   Patrick J. Leahy,
                                   Tom Harkin,
                                   Barbara A. Mikulski,
                                   Herb Kohl,
                                   Patty Murray,
                                Managers on the Part of the Senate.
                      JOINT EXPLANATORY STATEMENT

      The managers on the part of the House and the Senate at 
the conference on the disagreeing votes of the two Houses on 
the amendment of the Senate to the bill (H.R. 2555), making 
appropriations for the Department of Homeland Security for the 
fiscal year ending September 30, 2004, and for other purposes, 
submit the following joint statement to the House and the 
Senate in explanation of the effects of the action agreed upon 
by the managers and recommended in the accompanying conference 
report.
      Senate Amendment: The Senate deleted the entire House 
bill after the enacting clause and inserted the Senate bill. 
The conference agreement includes a revised bill.
      Throughout the accompanying explanatory statement, the 
managers refer to the Committee and the Committees on 
Appropriations. Unless otherwise noted, in both instances, the 
managers are referring to the House Subcommittee on Homeland 
Security and the Senate Subcommittee on Homeland Security.
      The language and allocations contained in House Report 
108-169 and Senate Report 108-86 should be complied with unless 
specifically addressed to the contrary in the conference report 
and statement of managers. The statement of managers, while 
repeating some report language for emphasis, does not intend to 
negate the language referred to above unless expressly provided 
herein. In cases where both the House and Senate reports 
address a particular issue not specifically addressed in the 
conference report or joint statement of managers, the conferees 
have determined that the House report and Senate report are not 
inconsistent and are to be interpreted accordingly.
      In cases where the House or Senate report directs the 
submission of a report, such report is to be submitted to both 
the House and Senate Committees on Appropriations. Further, in 
a number of instances, House Report 108-169 and Senate Report 
108-86 direct agencies to report to the Committees by specific 
dates that have now passed. In those instances, and unless 
alternative dates are provided in the accompanying explanatory 
statement, agencies are directed to provide these reports to 
the House and Senate Committees on Appropriations no later than 
November 14, 2003.

            TITLE I--DEPARTMENTAL MANAGEMENT AND OPERATIONS

            Office of the Secretary and Executive Management

      The conferees agree to provide $80,794,000 instead of 
$78,975,000 as proposed by the House and $83,653,000 as 
proposed by the Senate. Within the funds provided for the 
Office of the Secretary and Executive Management, travel 
expenses may not exceed $2,575,000. The conferees agree to 
provide an additional $490,000 to partially offset the costs of 
the fiscal year 2004 4.1 percent pay adjustment. Funding shall 
be allocated as follows:

Immediate Office of the Secretary.......................      $2,139,000
Immediate Office of the Deputy Secretary................       1,116,000
Office of Security......................................      19,899,000
Chief of Staff..........................................       5,047,000
Executive Secretary.....................................       5,239,000
Special Assistant to the Secretary/Private Sector.......       3,995,000
Office of National Capital Region (NCR) Coordinator.....         560,000
Office of State and Local Government Coordination.......       3,095,000
Office of International Affairs.........................       1,165,000
Office of Public Affairs................................       8,168,000
Office of Legislative Affairs...........................       5,907,000
Office of General Counsel...............................       8,696,000
Office of Civil Rights and Liberties....................      13,027,000
Citizenship and Immigration Services Ombudsman..........       1,243,000
Homeland Security Advisory Committee....................         726,000
Privacy Officer.........................................         772,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total.............................................      80,794,000

                 RECEPTION AND REPRESENTATION EXPENSES

      The conferees have provided $40,000 for reception and 
representation expenses for the Office of the Secretary and 
Executive Management, as proposed by the House, instead of 
$100,000 as proposed by the Senate in a general provision. 
Separate reception and representation allowances have been 
provided directly to other departmental agencies.
      The conferees have not included bill language, proposed 
by the House, permitting the Secretary to use up to $2,000,000 
for unforeseen emergencies.

                         BUDGET JUSTIFICATIONS

      The conferees direct the Department to submit its fiscal 
year 2005 budget justifications on the first Monday in 
February, concurrent with official submission of the 
President's budget to the Congress. These justifications should 
include detailed data and explanatory statements in support of 
the appropriations requests, including tables that detail each 
agency's programs, projects, and activities for fiscal years 
2004 and 2005. The budget justifications should also include a 
table identifying the last year that authorizing legislation 
was provided by Congress for each program, project, or 
activity; the amount of the authorization; and the 
appropriation in the last year of the authorization.

                     MONTHLY REPORTING REQUIREMENTS

      The conferees agree with House report language directing 
the Department to submit to the Committees on Appropriations a 
monthly budget execution report showing the status of 
obligations and costs for all components of the Department.

                               DETAILEES

      The conferees direct the Department to report for fiscal 
year 2003 and for the first quarter of fiscal year 2004 to the 
Committees on Appropriations by January 1, 2004, by agency on 
the number of detailees in the Department as well as those 
detailed to other executive and legislative agencies; 
originating agency; salary; length of detail (including 
beginning and end dates); and purpose of the detail.

                  PROTECTION OF CLASSIFIED INFORMATION

      The conferees agree with House report language regarding 
proper storage and security of classified information and 
materials, and, within available funds for the Office of 
Security, up to $3,000,000 shall be made available for initial 
purchase and installation of locks meeting or exceeding federal 
specification FF-L-2740-A. Consistent with House report 
language, the conferees expect a complete assessment of needs 
to be delivered to the Committees on Appropriations no later 
than December 15, 2003.

            COUNTERMEASURES AGAINST SHOULDER-FIRED MISSILES

      The Secretary shall report to the Committees on 
Appropriations no later than March 1, 2004, in classified form, 
on the progress made to develop countermeasures for commercial 
aircraft against shoulder-fired missile systems, including cost 
and time schedules for developing and deploying such 
countermeasures, a vulnerability assessment of category X and 
category 1 airports from the threat of shoulder-fired missile 
systems, and the interim measures being taken to address the 
threat.

                         ASSET FORFEITURE FUNDS

      The conferees note that asset forfeiture funds have 
played a vital role in support of law enforcement and homeland 
security operations. The conferees also are aware that new 
legal and/or administrative structures are under consideration 
for the operation of the current Treasury and Justice 
Department forfeiture funds. Because a number of the 
Department's law enforcement agencies rely on the use of assets 
from these funds for on-going investigations and other 
operations, the conferees direct the Department to notify the 
Committees on Appropriations prior to any changes in the 
existing structure of these funds or changes to the 
distribution of the assets from these funds.

              Office of the Under Secretary for Management

      The conferees agree to provide $130,983,000 instead of 
$116,139,000 as proposed by the House and $167,521,000 as 
proposed by the Senate. Within the funds provided for the 
Office of the Under Secretary for Management, travel expenses 
may not exceed $602,000. Due to lack of details, the conferees 
have not provided funding for Strategic Initiatives. The 
conferees agree to provide an additional $333,000 to partially 
offset the costs of the fiscal year 2004 4.1 percent pay 
adjustment. Funding shall be allocated as follows:

Under Secretary for Management..........................      $1,278,000
Office of Chief Financial Officer.......................      10,592,000
Office of Procurement...................................       6,171,000
Office of Human Resources...............................       6,743,000
Office of Chief Information Officer.....................      60,496,000
Office of Administration................................      25,703,000
Headquarters............................................      20,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total.............................................     130,983,000

                       STANDARDIZATION OF SYSTEMS

      The conferees expect that standardization and savings 
will be realized through consolidation of support operations, 
personnel, and systems within the Department of Homeland 
Security. The conferees direct the Department to undertake 
these consolidation efforts in such areas as administration, 
finance and accounting, and procurement.

                             command center

      The conferees have fully funded the command center under 
the Information Analysis and Infrastructure Protection 
management and administration account. No funding is included 
for this center under the Chief Information Officer, as 
proposed by both the House and Senate.

                            DHS HEADQUARTERS

      The conferees agree to provide $20,000,000 for necessary 
renovations at the Nebraska Avenue Complex instead of 
$30,000,000 as proposed by the Senate and no funding as 
proposed by the House. The conferees include a new general 
provision (Section 516) prohibiting the expenditure of funds 
absent an approved prospectus, if required by the Public 
Buildings Act of 1959. Funding is provided for evaluations and 
planning; security upgrades; renovations and improvements of 
buildings 1, 4, 5, 18, 19, and 100; SCIF construction in 
building 5; and Navy relocation costs.

                 Department-Wide Technology Investments

      The conferees agree to provide $185,000,000 as proposed 
by the Senate instead of $206,000,000 as proposed by the House. 
Funds are available until expended. Statutory language proposed 
by the House has been included prohibiting the use of funds to 
support or supplement the appropriations provided for the 
United States Visitor and Immigrant Status Indicator Technology 
project or the Automated Commercial Environment system.
      The conference agreement includes $72,506,000 for 
information technology services; $31,000,000 for security 
activities; $100,000,000 for wireless programs; and $2,494,000 
for federal salaries and expenses. The conference agreement 
also includes the Senate proposal to use $21,000,000 
transferred to the Department of Homeland Security from the 
Department of Justice Working Capital Fund for enterprise 
architecture and the information and evaluation program. Full 
funding has been provided for consolidation of the Department's 
watch lists.
      The Department is to report to the Committees on 
Appropriations by December 15, 2003, on how the federal 
wireless program will operate with the state and local 
communications systems that are being implemented concurrently, 
and to identify the level of funding provided to all 
Departmental components for mobile radios.
      The Department is to report to the Committees on 
Appropriations by December 15, 2003, on the status of the 
Department's efforts to: complete an inventory of the 
Department's entire information technology structure; devise 
and deploy a comprehensive enterprise architecture that 
promotes interoperability of homeland security information 
systems, including communications systems, for agencies within 
and outside the Department; consolidate multiple overlapping 
and inconsistent terrorist watch lists; and align common 
information technology investments within the Department and 
between the Department and other federal, state, and local 
agencies responsible for homeland security to minimize 
inconsistent and duplicative acquisitions and expenditures.

                      Office of Inspector General

      The conferees agree to provide $58,664,000 instead of 
$58,118,000 as proposed by both the House and the Senate; and 
$22,000,000 is transferred from the Emergency Preparedness and 
Response Disaster Relief Fund for a total of $80,664,000 for 
the Office of Inspector General. The conferees agree to provide 
an additional $546,000 to partially offset the costs of the 
fiscal year 2004 4.1 percent pay adjustment.
      Bill language is included to allow the Inspector General 
to use not to exceed $100,000 for unforeseen emergencies, 
including the payment of informants, as proposed by the Senate 
instead of $1,000,000 as proposed by the House.
      The conferees direct the Inspector General to provide all 
audit reports requested by the Committees on Appropriations to 
the Committees no less than 15 days prior to public 
distribution of such reports.

          TITLE II--SECURITY, ENFORCEMENT, AND INVESTIGATIONS

  Office of the Under Secretary for Border and Transportation Security

                         SALARIES AND EXPENSES

      The conferees agree to provide $8,106,000 as proposed by 
the House instead of $8,842,000 as proposed by the Senate. 
Within the Office of the Under Secretary for Border and 
Transportation Security, travel may not exceed $418,000.

           ADMINISTRATIVE SUPPORT AND INTERAGENCY COOPERATION

      The conferees recognize that there will continue to be 
significant requirements for support between agencies within 
the Directorate of Border and Transportation Security, as well 
as other Departmental agencies, notably the Bureau of 
Citizenship and Immigration Services, as transition continues. 
This may include shared services, modernizing and supporting 
shared automated systems, shared infrastructure, access to 
databases, and other forms of support. The conferees direct 
that the Under Secretary and all bureaus collaborate to ensure 
that the needs of frontline employees are being met, regardless 
of which bureau is providing legacy system support or 
administrative infrastructure.

  United States Visitor and Immigrant Status Indicator Technology (US 
                                 VISIT)

      The conferees agree to provide $330,000,000 instead of 
$350,000,000 as proposed by the House and $380,000,000 as 
proposed by the Senate. Funds are available until expended.

        US VISIT PLANNING, EXPENDITURE AND OVERSIGHT INFORMATION

      The conferees are concerned about the progress in 
planning and deploying the US VISIT system. Given the priority 
of US VISIT, the conferees expect that some expenditure plans 
would be completed and submitted to the Committees on 
Appropriations shortly after appropriations become available, 
and not held up until late in the fiscal year as has been true 
in the past.
      The conferees expect to be provided additional 
information about overall program characteristics, as well as 
greater details in specific expenditure plans. Overall, 
information needs to be provided showing the context in which 
US VISIT is being developed, to include, but not be limited to: 
an estimate of overall costs; a comprehensive explanation of 
the exit control business process on which planning is based; 
staffing plans being developed for entrance and exit control 
activity; and explanations of how US VISIT information will be 
made available to the Bureau of Immigration and Customs 
Enforcement and other law enforcement and homeland security 
agencies. In addition, expenditure plans shall provide a 
greater level of detail, including: annual cost, schedule, and 
performance milestones; outyear costs; and related impacts on 
staffing, infrastructure, and communications costs.
      The conferees further direct DHS to submit its privacy 
policy to protect information held by US VISIT to the 
Committees on Appropriations not later than 45 days after 
enactment of the Act.
      To assist the Committees in their oversight of US VISIT, 
the conferees direct DHS to submit detailed monthly reports on 
the planned and actual deployment of US VISIT entry and exit 
systems and equipment at airports and seaports. The first 
report shall be submitted not later than October 15, 2003, and 
shall include information on deployment through September 2003, 
as well as for the remainder of fiscal year 2004.

                          US VISIT BIOMETRICS

      The conferees believe that the success of US VISIT 
depends on the effective integration of biometrics into its 
systems and operations. The biometric infrastructure being 
built must be a viable long-term solution fully interoperable 
with the FBI Integrated Automated Fingerprint Identification 
System that meets biometric standards of the National Institute 
of Standards and Technology. As stated in Public Law 108-7, 
procurement decisions for the overall US VISIT program should 
ensure full and open competition.
      An example of a technology with great capacity for 
storing biometric information is optical memory, now used by 
the Department for permanent resident cards and by the State 
Department for border crossing cards. The conferees encourage 
the Department to ensure that all technologies are considered 
as it proceeds with US VISIT development and as the State 
Department moves forward with the next generation of travel 
documents and credentials. The conferees further encourage the 
Department to ensure that it coordinates with other federal 
agencies engaged in such technology development and that such 
technologies are developed to comply with current and planned 
international civil aviation standards.

                     Customs and Border Protection

                         SALARIES AND EXPENSES

      The conferees agree to provide $4,396,350,000 for the 
Bureau of Customs and Border Protection (CBP) instead of 
$4,587,600,000 as proposed by the House and $4,369,000,000 as 
proposed by the Senate. This includes: $18,000,000 to cover the 
costs of 2003 pay increases and partially restore unspecified 
administrative reductions taken to establish the Department; 
$4,750,000 for textile transshipment enforcement, as authorized 
in the Trade Act of 2002; $12,725,000 to enforce laws relating 
to forced or indentured child labor, of which $4,000,000 is 
available until expended; $63,800,000 for non-intrusive 
inspection technology; $6,700,000 for additional staffing 
needed to support new inspection technology and implement 
wireless personal data assistant database access; $41,000,000 
for an additional 570 Border Patrol Agents; $9,000,000 
foradditional inspectors; a reduction to correct for $18,000,000 that 
had been double-counted in the budget request; and an additional 
$23,200,000 to partially offset the costs of the fiscal year 2004 4.1 
percent pay adjustment. The appropriation also reflects reductions that 
correspond to realignment of construction funding into separate 
appropriations, and $128,000,000 for administrative support for 
investigations and air and marine operations into the Bureau of 
Immigration and Customs Enforcement appropriation. Funding requested 
for Plum Island is provided in the Science and Technology biological 
countermeasures program. Further details on the allocation of funds can 
be found in the conference funding tables included in this report.
      The conferees are aware that the Department is conducting 
a comprehensive review of administrative and other mission 
responsibilities, particularly as they affect CBP and other 
agencies that have inherited multiple legacy missions. While 
funding provided by this conference agreement is based on the 
best possible information available, the conferees understand 
there may be a need to adjust funding to conform to the 
decisions resulting from the review.

                            BORDER STAFFING

      The conferees support adequate staffing to secure the 
nation's ports and borders, and have included a total of 
$76,300,000 for increased deployment of inspection technology, 
the Customs-Trade Partnership Against Terrorism, canine 
enforcement officers, CBP inspectors and Border Patrol Agents.
      The conferees recognize the effort required to integrate 
these increases while continuing to adjust the structure and 
organization of a new, consolidated bureau. In order to assess 
the status of current and projected staffing, the conferees 
direct CBP to submit to the Committees on Appropriations not 
later than December 1, 2003, a detailed staffing plan 
including: actual on-board personnel for fiscal year 2003; 
projected staffing for fiscal year 2004; positions authorized 
but vacant; full-time, part-time, and temporary positions 
funded through direct appropriations; full-time, part-time and 
temporary fee-funded positions; and staffing at each port of 
entry and border area. The report shall also identify the new 
positions funded by this Act. The conferees expect this 
staffing plan to be coordinated and consistent with the 
staffing assumptions included in the CBP construction master 
plan.

      NON-INTRUSIVE INSPECTION AND RADIATION DETECTION TECHNOLOGY

      The conferees are aware of several instances where 
improvements can be made in evaluating new technology for cargo 
screening and radiation detection. For example, completion of 
the demonstration project for pulsed fast neutron analysis at 
the Ysleta border crossing has been significantly delayed. The 
conferees direct CBP to accelerate its efforts to complete this 
test and report its findings to the Committees on 
Appropriations not later than August 1, 2004. In another 
example, the conferees note that $3,000,000 was provided to CBP 
in the fiscal year 2003 appropriation to evaluate and prototype 
next generation technology to screen and detect contraband, 
explosives, radioactive materials, and potential chemical and 
biological weapons. However, it appears that a significant 
share of this funding is instead being used to test 
modifications to existing detection technology.
      The conferees strongly support Departmental coordination 
of efforts by CBP and other DHS agencies to test and invest in 
technology for inspection, detection and monitoring for weapons 
of mass destruction, and integrate such technology in all 
operations. The conferees direct both CBP and DHS to ensure 
that all potential candidate technologies are permitted to 
compete and be fairly evaluated as part of any acquisition 
decisions for inspection and radiation detection technology.

                        ANTI-DUMPING ENFORCEMENT

      The conferees have ensured that this account includes 
sufficient funds to enforce the anti-dumping authority 
contained in section 764 of the Tariff Act of 1930 (19 U.S.C. 
1675c). Additionally, the conferees are aware of the Department 
of the Treasury Office of Inspector General audit report 
(OIG003-085), ``Customs Needs to Improve Compliance with CDSOA 
(Continued Dumping and Subsidy Offset Act of 2000)'' and expect 
the CBP to fully comply with the recommendations made in that 
report.

                  STEEL IMPORTS TRADE LAW ENFORCEMENT

      The conferees fully support the language on enforcement 
of U.S. trade laws regarding steel imports contained in House 
Report 108-169. The conferees note that the report submitted 
May 30, 2003, on this issue did not contain the requested data 
on the types and value of illegal imports seized and penalties 
imposed. The conferees direct the CBP to submit a revised 
report by April 20, 2004, that includes all of the information 
requested.

                       OFFSETTING FEE COLLECTIONS

      The conferees are concerned about the financial health of 
the Immigration Inspection User Fee, COBRA passenger inspection 
fees, and the Land Border Inspection Fee, all of which have 
been affected by declining travel volume. The conferees direct 
the Department and CBP to manage programs within the levels of 
actual receipts, and to adjust Land Border Inspection fees 
quickly to ensure adequate revenue. The conferees direct CBP to 
ensure that fee revenues are used first to fully fund base 
operations and adjustments, as supported in justification 
materials provided to Congress, before undertaking any new 
initiatives.

                        AUTOMATION MODERNIZATION

      The conferees agree to provide $441,122,000, as proposed 
by the Senate, instead of $493,727,000 as proposed by the 
House. Funds are available until expended. This includes 
funding as requested for the Automated Commercial Environment, 
the Integrated Trade Data System, and the costs of the legacy 
Automated Commercial System.

                              CONSTRUCTION

      The conferees agree to provide $90,363,000 as proposed by 
the Senate, instead of $95,552,000 funded within the CBP 
Salaries and Expenses appropriation as proposed by the House. 
Funds are available until expended. The conferees direct CBP to 
review its nationwide priority list for construction funding 
for the Border Patrol, and provide a detailed plan of its 
intended use of this funding within 45 days of enactment of 
this Act. In addition, the conferees direct CBP to submit an 
updated construction master plan to the Committees on 
Appropriations not later than July 1, 2004.

                       CONFERENCE FUNDING LEVELS

                                                                  Amount
Customs and Border Protection:
    Salaries and Expenses...............................  $4,396,350,000
    Automation Modernization............................     441,122,000
    Construction (Border Patrol)........................      90,363,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, Direct Appropriations...................   4,927,835,000
                    ========================================================
                    ____________________________________________________
    Offsetting Fee Collections:
        Immigration user fee............................   (509,000,000)
        Immigration examinations fund...................             (0)
        Immigration enforcement fines...................     (6,000,000)
        Land border inspection fund.....................    (28,000,000)
        COBRA...........................................   (302,000,000)
                    --------------------------------------------------------
                    ____________________________________________________
            Subtotal, Offsetting Fee Collections........   (845,000,000)
                    ========================================================
                    ____________________________________________________
            Total, Customs and Border Protection........ (5,772,835,000)

                  Immigration and Customs Enforcement

                         SALARIES AND EXPENSES

                    (INCLUDING RESCISSION OF FUNDS)

      The conferees agree to provide $2,151,050,000 for the 
Bureau of Immigration and Customs Enforcement (ICE) instead of 
$2,030,000,000 as proposed by the House and $2,180,000,000 as 
proposed by the Senate. This includes: $7,500,000 to cover the 
costs of annualizing 2003 pay increases and to partially 
restore unspecified administrative reductions taken to 
establish the Department; $4,750,000 for textile transshipment 
enforcement, as authorized in the Trade Act of 2002; $3,000,000 
to enforce laws relating to forced or indentured child labor, 
of which $1,000,000 is available until expended; $6,700,000 in 
new funding for additional investigators, particularly for 
compliance monitoring; $5,400,000 for personnel costs 
associated with establishing a Northern Border airwing; and 
$6,400,000 for the Intellectual Property Rights Center.
      The funding level reflects realignment of funding for 
construction into a separate construction appropriation, and 
realignment of $128,000,000 for administrative support for 
investigations and air and marine operations into ICE. The 
conferees agree to provide an additional $15,000,000 to 
partially offset the costs of the fiscal year 2004 4.1 percent 
pay adjustment. The conferees continue to support alternatives 
to detention and to providing legal orientation to persons in 
detention prior to their first hearing before an immigration 
judge, and expect that these programs will be funded at the 
same level as the previous fiscal year. Further details on 
funding allocations can be found in the conference funding 
tables included in this report.
      The conferees are aware that the Department is conducting 
a comprehensive review of administrative and other mission 
responsibilities, particularly as they affect ICE and other 
agencies that have inherited multiple legacy missions. While 
funding provided by this conference agreement is based on the 
best possible information available, the conferees understand 
there may be a need to adjust funding to conform to the 
decisions resulting from the review.

            STUDENT AND EXCHANGE VISITOR INFORMATION SYSTEM

      The conferees direct the General Accounting Office to 
report on the implementation of the Student and Exchange 
Visitor Information System (SEVIS). The report should include 
an assessment of the technical problems faced by institutions 
of higher education using the system, the need for the detailed 
information collected, and an analysis of corrective action 
being taken by DHS to resolve problems in SEVIS. This report 
should be provided to the Committees on Appropriations not 
later than 180 days after enactment of the Act.

                      INTELLECTUAL PROPERTY RIGHTS

      The conferees direct the Under Secretary for Border and 
Transportation Security to report, not later than January 15, 
2004, on the number of Immigration and Customs Enforcement open 
cases, closed cases, arrests, convictions, and prosecutions 
that result in dismissals or civil actions related to 
intellectual property rights enforcement for each of fiscal 
years 2001 through 2003. The conferees strongly encourage the 
Department to establish a government/industry anti-counterfeit 
working group in order to facilitate investigations, 
interdictions and prosecutions.

                       OFFSETTING FEE COLLECTIONS

      The conferees are concerned about the accuracy of 
estimates for fees supporting ICE operations. There have been 
significant downward adjustmentsin the estimates of funding 
available from breached bond/detention and removal collections that 
have forced the detention building program to be delayed as long as two 
years, and similarly, overestimates have been made for the Immigration 
Inspection User Fee Account. The conferees direct ICE to ensure that 
fee revenues are used first to fully fund base operations and 
adjustments, as supported in justification materials provided to 
Congress, before undertaking any new initiatives. The conferees also 
direct DHS and ICE to inform the Committees on Appropriations in a 
timely manner of potential short-term operational or programmatic 
impacts from reduced fee collections.

                          RESCISSION OF FUNDS

      The conferees have rescinded $54,000,000 from funds made 
available in chapter 6 of title I of Public Law 108-11. These 
funds were originally appropriated for expenses related to 
Operation Liberty Shield, but are no longer required for such 
purposes.

                          FEDERAL AIR MARSHALS

      The conferees agree to provide $626,400,000 for the 
Federal Air Marshals program within the Bureau of Immigration 
and Customs Enforcement rather than the Transportation Security 
Administration (TSA), pursuant to the Administration's 
reorganization notification submitted to the Congress on 
September 2, 2003. The House bill proposed $634,100,000 for the 
Federal Air Marshals program as a separate account within TSA's 
budget. The Senate bill provided $610,000,000 as a separate 
line item within TSA's aviation security appropriation. Within 
the funds provided, the conferees agree to provide an 
additional $2,300,000 to partially offset the costs of the 
fiscal year 2004 4.1 percent pay adjustment. Funding shall be 
allocated as follows:

Federal Air Marshals....................................    $602,300,000
Explosive unit..........................................       4,100,000
Scheduling and information technology...................      10,000,000
Air-to-ground communications............................      10,000,000
                    --------------------------------------------------------
                    ____________________________________________________
  Total, Federal air marshals...........................     626,400,000

                       FEDERAL PROTECTIVE SERVICE

                          (TRANSFER OF FUNDS)

      The conferees agree to provide $424,211,000, as proposed 
by the House and as included by the Senate in the Salaries and 
Expenses appropriation for ICE.

                        AUTOMATION MODERNIZATION

      The conferees agree to provide $40,000,000, instead of 
$367,605,000 as proposed by the House. Funds are available 
until expended. The Senate included funding for this purpose 
within the ICE appropriation. This new account will fund major 
information technology investment projects for ICE, including 
Atlas/Chimera data modernization and connectivity. The 
conferees include a new provision prohibiting the obligation of 
funds until the Committees receive and approve an expenditure 
plan.

 AIR AND MARINE INTERDICTION, OPERATIONS, MAINTENANCE, AND PROCUREMENT

      The conferees agree to provide $210,200,000, instead of 
$175,000,000 as proposed by the House and $257,291,000 as 
proposed by the Senate. Funds are available until expended. 
This includes $35,200,000 to establish a Northern Border 
airwing, of which $12,800,000 is available for aircraft 
procurement.

      AIR AND MARINE INTERDICTION (AMI) PROGRAM MODERNIZATION PLAN

      The roles and missions of AMI are being redefined as it 
becomes integrated as a core component of the Department, and 
as a result of expanded airspace security missions following 
the September 11, 2001, attacks and during the recent Liberty 
Shield operation. The heightened need to coordinate air and 
marine operations, as well as to continue aggressive 
counterdrug efforts, make it essential that AMI modernize. As 
part of a comprehensive review of AMI missions, structures, 
operations and resources, a number of security shortfalls were 
identified by the Department. These include the need to 
establish Northern Border operations and to provide airspace 
security for the National Capital Region. Other priorities 
include replacing AMI's aging air and marine assets, and 
continuing counterdrug interdiction in the source and transit 
zones. The conferees were informed that, based on the review, a 
modernization plan including a five-year recapitalization plan 
will soon be completed.
      The conferees are committed to seeing AMI succeed, and 
need to know more about the ultimate plan for AMI development, 
modernization and deployment, including its relationship to the 
Border Patrol and to the U.S. Coast Guard. The conferees 
therefore direct the Under Secretary for Border and 
Transportation Security to report to the Committees on 
Appropriations no later than November 14, 2003, on the five-
year plan for AMI missions, structure, operations, and 
resources, including deployment and command and control 
requirements, such as the need to increase the number of 
servers at the Air and Marine Operations Center to eliminate 
significant surveillance gaps affecting the Northern Border and 
the western United States. In addition, the report should 
address: (1) the status of any air traffic control 
communications with recommendations on how to fill any voids; 
(2) the current and future role played by tethered aerostat 
radars (TARs) in airspace interdiction and homeland security, 
describing any gaps in TARs coverage, such as those that may 
exist in the central Gulf of Mexico; (3) the basing of air 
assets, in particular the P-3 aircraft, many of which now 
occupy temporary or inadequate hangar space such as that at 
Jacksonville, Florida; and (4) detailed plans for using the 
$35,800,000 included in the Act for continued support of the 
Western Hemisphere Drug Elimination Act.

                       AMI STAFFING AND PERSONNEL

      The conferees direct the Under Secretary to report, no 
later than November 14, 2003, on AMI staffing needs and 
personnel policies affecting the use and assignment of 
personnel, including staffing grades, maintenance and 
operational issues. The report, covering the next five years, 
should display the numbers and types of authorized positions 
needed to fulfill the mission of AMI; personnel and benefits 
costs; current on-board staffing levels; and projections for 
filling vacant positions.

                              CONSTRUCTION

      The conferees agree to provide $26,775,000 as proposed by 
the Senate and as included by the House in the Salaries and 
Expenses appropriation for ICE. Funds are available until 
expended. The conferees direct ICE to review its nationwide 
priority list for construction project funding and submit a 
detailed plan for use of this funding within 45 days of 
enactment of this Act. The conferees further direct ICE to 
submit an updated construction master plan to the Committees on 
Appropriations not later than July 1, 2004.

                       CONFERENCE FUNDING LEVELS

                                                                  Amount
Immigration and Customs Enforcement:
    Salaries and Expenses...............................  $2,151,050,000
    Federal Air Marshals................................     626,400,000
    Federal Protective Service..........................     424,211,000
    Automation and Modernization........................      40,000,000
    Air and Marine Interdiction.........................     210,200,000
    Construction........................................      26,775,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, Direct Appropriations...................   3,478,636,000
                    ========================================================
                    ____________________________________________________
    Offsetting Fee Collections:
        Immigration user fee............................   (107,000,000)
        Immigration examinations fund...................    (25,000,000)
        Breached bond/Detention fund....................   (116,000,000)
        SEVIS fund......................................    (25,000,000)
        COBRA...........................................             (0)
            Subtotal, Offsetting Fee Collections........   (273,000,000)
                    ========================================================
                    ____________________________________________________
            Total, Immigration and Customs Enforcement.. (3,751,636,000)

                 Transportation Security Administration

                           AVIATION SECURITY

      The conferees agree to provide $3,732,700,000 instead of 
$3,659,200,000 as proposed by the House and $4,523,900,000 as 
proposed by the Senate. Within this amount, not to exceed 
$3,000 is available for official reception and representation 
expenses as proposed by the House. The conference agreement 
includes the use of $95,000,000 of prior year balances carried 
over from fiscal year 2003. Bill language is also included that 
reflects the collection of $2,070,000,000 from aviation user 
fees, as authorized. The following table specifies funding 
levels by budget activity:

Aviation Security:
    Passenger screening:
        Screening pilots................................    $119,000,000
        Passenger screeners--PC&B.......................   1,319,600,000
        Passenger screeners--training and other.........     114,100,000
        HR services.....................................     151,000,000
        Checkpoint support..............................      62,000,000
        CAPPS II........................................      35,000,000
        Registered traveler.............................       5,000,000
                    --------------------------------------------------------
                    ____________________________________________________
            Subtotal, passenger screening...............   1,805,700,000
                    ========================================================
                    ____________________________________________________
    Baggage screening:
        Baggage screeners--PC&B.........................     774,200,000
        Baggage screeners-training and other............      69,500,000
        EDS Purchase....................................     150,000,000
        EDS Installation................................     250,000,000
        EDS/ETD maintenance.............................      75,000,000
                    --------------------------------------------------------
                    ____________________________________________________
            Subtotal, baggage screening.................   1,318,700,000
                    ========================================================
                    ____________________________________________________
    Security direction and enforcement:
        Aviation regulation and other enforcement.......     275,400,000
        Airport management and staff....................     233,800,000
        Airport information technology and other support     139,100,000
        Federal flight deck officer program.............      25,000,000
        Air cargo.......................................      30,000,000
                    --------------------------------------------------------
                    ____________________________________________________
            Subtotal, security direction and enforcement     703,300,000
                    ========================================================
                    ____________________________________________________
            Subtotal, aviation security.................   3,827,700,000
            Use of prior year balances..................
                                                             -95,000,000
                    --------------------------------------------------------
                    ____________________________________________________
            Total, Aviation Security....................   3,732,700,000

                              SCREENER CAP

      The conferees include bill language that caps full-time 
equivalent screener staff to 45,000, as proposed by the House. 
The conferees expect the Transportation Security Administration 
(TSA) to have no more than 45,000 full-time equivalent 
screeners on its rolls at the end of fiscal year 2004. In order 
to meet this requirement, the conferees urge TSA to hire more 
part-time and seasonal screeners. However, the conferees 
recognize that there are still staffing imbalances in many 
airports around the country and that TSA continues to lose 
screeners through attrition. Consequently, TSA may need to 
reduce staffing in some locations to comply with this provision 
while recruiting and hiring additional or replacement screeners 
at other airports. The prohibition on the number of full-time 
equivalents is not intended to prohibit TSA from hiring 
screeners during fiscal year 2004 at those airports where 
additional or replacement screeners are required to maintain 
aviation security and customer service.

                               WAIT TIMES

      The conferees do not agree with language contained in the 
Senate report that requires TSA to ensure a 10-minute passenger 
screening standard is consistently met.

                               AIR CARGO

      The conferees provide a total of $30,000,000 within 
aviation security to strengthen the agency's oversight of air 
cargo security. Additional funding of $55,000,000 is provided 
within the Research and Development account.
      Currently, to secure 100-percent of cargo transported 
aboard passenger aircraft, TSA prohibits any cargo from 
``unknown or high-risk'' shippers from being placed aboard 
these aircraft. TSA ensures that any shipper wishing to 
transport cargo on passenger aircraft achieve ``known'' status 
through participating in the agency's ``known shipper 
program''. Passenger carriers, all-cargo carriers, and freight 
forwarders that interline cargo to passenger carriers are 
responsible for validating the known shippers. Shippers that 
cannot be validated are not allowed to transport cargo via 
passenger carriers.
      Within this funding, the conferees direct TSA to improve 
its oversight of the known shipper program, using a risk-
weighted freight screening system that will identify pieces of 
cargo that require closer scrutiny before being loaded on 
passenger aircraft. An additional 100 TSA staff are provided to 
perform more in-depth audits of shipper compliance with the 
known shipper requirement. An improved automated system should 
include the automated known shipper verification system, the 
automated indirect air carrier certification and 
recertification program, and automated cargo profiling systems. 
In addition, funding has also been provided for TSA to conduct 
background checks on those employees who handle cargo, have 
access to secure areas or ramps in which cargo is loaded onto 
passenger airplanes, or have direct access to air cargo being 
shipped. Finally, TSA should consider testing the expansion of 
the Customs-Trade Partnership Against Terrorism (C-TPAT) to the 
domestic air cargo supply chain.

                          FEDERAL AIR MARSHALS

      The conferees agree to provide $626,400,000 for the 
Federal Air Marshals program within the Bureau of Immigration 
and Customs Enforcement (ICE) rather than TSA, pursuant to the 
Administration's reorganization notification submitted to the 
Congress on September 2, 2003.

                       MARITIME AND LAND SECURITY

      The conferees agree to provide $263,000,000 instead of 
$231,700,000 as proposed by the House and $295,000,000 as 
proposed by the Senate. Funding is available until September 
30, 2005, as proposed by the Senate instead of until expended 
as proposed by the House. The following table specifies funding 
levels by budget activity:

Maritime and Land Security:
    Port security grants................................    $125,000,000
    Credentialing/transportation worker identification 
      card..............................................      50,000,000
    Intercity bus security..............................      10,000,000
    Operation Safe Commerce.............................      17,000,000
    Trucking industry security program (Highway Watch)..      22,000,000
    Hazardous materials security and truck tracking 
      program...........................................       7,000,000
    Nuclear detection and monitoring....................       4,000,000
    Staffing and operations.............................      28,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Maritime and Land Security.................     263,000,000

               TRANSPORTATION WORKER IDENTIFICATION CARD

      The conferees agree to provide $50,000,000 for the 
transportation worker identification card (TWIC) instead of 
$55,000,000 as proposed by the House and $35,000,000 as 
proposed by the Senate. The conferees are concerned with the 
status of implementing TWIC and the lack of progress in the 
test and evaluation phase as well as the development of 
guidelines, technology, applications, and enrollment for 
personalization and issuance of a universal card that are to be 
developed by fiscal year 2004.
      The conferees encourage TSA to evaluate all technologies 
for these cards, including those currently in use in other 
federal agencies, to ensure that the most secure and cost 
efficient identification card is developed. Further, the 
conferees agree with language contained in the House report 
that TSA develop a personalization system that is centralized 
and uses an existing government card production facility for 
these activities. While providing funds for this program, the 
conferees direct TSA not to obligate funds for the next phase 
until a spend plan has been developed, the Committees on 
Appropriations are briefed on the results of the technical 
evaluation and prototype phases, and agree that the program 
should move forward.

                              INTELLIGENCE

      The conferees agree to provide $13,600,000, as proposed 
by the Senate instead of $13,700,000 as proposed by the House. 
Funding is available until September 30, 2004, as proposed by 
the Senate instead of available until expended as proposed by 
the House.

                        RESEARCH AND DEVELOPMENT

      The conferees agree to provide $155,200,000 instead of 
$125,700,000 as proposed by the House and $130,200,000 as 
proposed by the Senate. The following table specifies funding 
levels by budget activity:

Research and Development:
    Research and development (Tech Center)..............     $55,200,000
    Next generation EDS/ETD.............................      45,000,000
    Air cargo...........................................      55,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Research and Development...................     155,200,000

                               AIR CARGO

      The conferees agree to provide $55,000,000 for air cargo 
security research and development activities. This funding 
should be used by TSA to pursue a variety of technological 
solutions that would allow for the most efficient and targeted 
inspections of cargo being carried on passenger aircraft. TSA 
is directed to issue a request for proposals at the earliest 
date possible for these technologies and report back to the 
Committees on Appropriations by April 1, 2004, on the options 
to inspect air cargo, the associated costs, and timetable. 
Furthermore, TSA should immediately launch a pilot program to 
use explosive detection machines in select locations to screen 
high-risk cargo. Consideration should be made for those air 
carriers or routes that carry a high percentage of cargo on 
passenger aircraft. TSA should also consider expanding the 
canine screening teams for additional cargo screening 
applications. Funding should also be made available to test 
additional air cargo screening tools, based on recommendations 
from the industry, or to initiate a public-private partnership 
to design, develop and test air cargo facility security 
applications at high-cargo airports in the United States.

                             ADMINISTRATION

      The conferees agree to provide $427,200,000 instead of 
$487,100,000 as proposed by the House and $433,200,000 as 
proposed by the Senate. Funding is available until September 
30, 2005, as proposed by the House. The following table 
specifies funding levels by budget activity:

Administration:
    Headquarters support................................    $173,700,000
    Mission support centers.............................      40,000,000
    Information technology applications.................     198,100,000
    Corporate training..................................      15,400,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Administration.............................     427,200,000

                       BACKGROUND INVESTIGATIONS

      Within the funding provided under Administration the 
conferees agree to provide $6,000,000 to conduct background 
investigations on TSA employees, including security screeners, 
instead of $12,000,000 as proposed by the Senate. The House 
included no similar provision. In addition, a general provision 
has been included that provides TSA broader authority to 
collect fees for background investigations and credentialing 
necessary for all modes of transportation.

                       United States Coast Guard

                           OPERATING EXPENSES

                    (INCLUDING RESCISSION OF FUNDS)

      The conferees agree to provide a total appropriation of 
$4,713,055,000 instead of $4,719,000,000 as proposed by the 
Senate and $4,703,530,000 as proposed by the House. Within this 
total, $340,000,000 shall be available fordefense-related 
activities, as proposed by the Senate instead of $1,300,000,000 as 
proposed by the House. In addition, the conferees have rescinded 
$71,000,000 from funds made available in chapter 6 of title I of Public 
Law 108-11 as proposed by the Senate. The House bill contained no 
similar provision.
      Funding for operating expenses shall be allocated as 
follows:

Military Pay and allowances:
    Military pay and allowances.........................  $1,993,713,000
    Military health care................................     464,890,000
    Permanent change of stations........................     105,184,000
    FECA/UCX............................................       4,420,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, military pay and allowances.............   2,568,207,000
                    ========================================================
                    ____________________________________________________
Civilian pay and benefits:
    Civilian pay and benefits...........................     381,246,000
    Pay parity for civilians............................       4,247,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, civilian pay and benefits...............     385,493,000
                    ========================================================
                    ____________________________________________________
Training and Recruiting:
    Training and education..............................     106,638,000
    Recruiting..........................................      20,702,000
    Area and district training and education............       4,000,000
    Command training and education......................      35,100,000
    DHS administrative service..........................      -2,200,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, training and recruiting.................     164,240,000
                    ========================================================
                    ____________________________________________________
Operating funds and unit level maintenance:
    Atlantic command....................................     145,714,000
    Pacific command.....................................     161,540,000
    1st District........................................      38,708,000
    7th District........................................      54,498,000
    8th District........................................      39,150,000
    9th District........................................      20,860,000
    13th District.......................................      16,050,000
    14th District.......................................      11,522,000
    17th District.......................................      28,852,000
    Headquarters offices................................     415,913,000
    Headquarters managed units..........................     111,310,000
    Other activities....................................       2,290,000
    Portable radiation search tools.....................       1,500,000
    Travel..............................................      -4,000,000
    DHS administrative services.........................     -11,200,000
    Centrally-managed accounts (rent, ammo, postal).....    -131,100,000
    Command training and education......................     -35,100,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, operating funds and unit level 
      maintenance.......................................     866,507,000
                    ========================================================
                    ____________________________________________________
Centrally-managed accounts:
    Centrally-managed operating expenses................     131,100,000
    DHS administrative services.........................      -1,700,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, centrally-managed accounts..............     129,400,000
                    ========================================================
                    ____________________________________________________
Intermediate and depot level maintenance:
    Aircraft maintenance................................     218,771,000
    Electronic maintenance..............................      89,889,000
    Ocean engineering and shore facilities maintenance..     152,048,000
    Vessel maintenance..................................     146,400,000
    DHS administrative services.........................      -7,900,000
                    --------------------------------------------------------
                    ____________________________________________________
      Subtotal, immediate and depot level maintenance...     599,208,000
                    ========================================================
                    ____________________________________________________
Subtotal, operating expenses............................   4,713,055,000
Rescission..............................................     -71,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Operating Expenses.........................   4,642,055,000

      For the fiscal year 2005 budget justification and for 
reprogramming purposes in fiscal year 2004, the Coast Guard 
shall use the six new budget categories listed above (military 
pay and allowances, civilian pay and benefits, training and 
recruiting, operating funds and unit level maintenance, 
centrally-managed accounts, and intermediate and depot level 
maintenance). However, the conferees expect sufficient detail 
on each program, project, or activity in the fiscal year 2005 
budget justifications to make informed decisions about the 
appropriate level of funding in each program line item within 
these six budget categories.
      The conference agreement contains bill language to permit 
operating expenses to be used to make payments into the 
Department of Defense Medicare-Eligible Retiree Health Care 
Fund, as proposed by the Senate. The conference agreement also 
limits the number of passenger vehicles that the Coast Guard 
may purchase or lease in fiscal year 2004 to 25, instead of 5 
as proposed by the Senate. The House bill contained no similar 
provisions. Finally, the conference agreement includes bill 
language to permit the Coast Guard to use not to exceed $3,000 
for official reception and representation activities, as 
proposed by the House. The Senate bill contained no similar 
provision.

                              ICE BREAKING

      The conferees direct the Coast Guard to renegotiate the 
memorandum of agreement relating to ice breaking activities 
with the National Science Foundation (NSF), as discussed in 
House Report 108-169. A reduction of $2,500,000 has been made 
to the budget request to reflect additional payments from NSF 
in fiscal year 2004 for ice breaking activities in the 
Antarctic region.

                   MARITIME SAFETY AND SECURITY TEAMS

      A total of $71,800,000 has been provided for Maritime 
Safety and Security Teams (MSSTs) instead of $64,000,000 as 
proposed by the House and $76,000,000 as proposed by the 
Senate. At this level, the conferees assume that seven MSSTs 
will be funded in fiscal year 2004 for a minimum of two 
quarters each, including one MSST in the 17th District.

                ENVIRONMENTAL COMPLIANCE AND RESTORATION

      The conferees agree to provide $17,000,000 as proposed by 
the Senate and the House.

                            RESERVE TRAINING

      The conferees agree to provide $95,000,000 as proposed by 
the Senate instead of $94,051,000 as proposed by the House.

              ACQUISITION, CONSTRUCTION, AND IMPROVEMENTS

      The conferees agree to provide $967,200,000 instead of 
$805,000,000 as proposed by the House and $1,035,000,000 as 
proposed by the Senate. Consistent with prior practice, bill 
language is included to distribute the total appropriation by 
separate obligation availabilities to prevent long-term 
unobligated balances and ensure fiscal discipline. The 
following table summarizes the recommended level by program, 
project, and activity:

Vessels.................................................     $66,500,000
    Great Lakes Icebreaker (GLIB) replacement...........     (2,000,000)
    41 foot UTB and NSB replacement project.............    (12,000,000)
    9 additional coastal patrol boats to enforce 
      security zones....................................    (52,500,000)
Integrated Deepwater Systems............................     668,200,000
    Aircraft............................................   (142,700,000)
    Surface ships.......................................   (302,600,000)
    C4ISR...............................................   (101,400,000)
    Logistics...........................................    (45,400,000)
    Systems engineering and integration.................    (42,100,000)
    Government program management.......................    (34,000,000)
Other equipment.........................................     162,500,000
    Defense messaging system (DMS) implementation.......     (3,500,000)
    National distress & response system modernization 
      project (Rescue 21)...............................   (134,000,000)
    Oil spill prevention efforts under ports and 
      waterways safety systems..........................     (1,000,000)
    Automatic Identification System.....................    (24,000,000)
Personnel and related support...........................      70,000,000
    Core acquisition costs..............................    (69,500,000)
    Direct personnel cost...............................       (500,000)
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Acquisition, Construction, and Improvements    $967,200,000

                      INTEGRATED DEEPWATER SYSTEMS

      The conferees agree to provide $668,200,000 instead of 
$702,000,000 as proposed by the Senate and $530,000,000 as 
proposed by the House. The following table summarizes the 
recommended level by program, project, and activity:

Aircraft:
    Maritime Patrol Aircraft............................      25,000,000
    Unmanned Air Vehicles...............................      50,000,000
    Other contracts/legacy sustainment..................      67,700,000
Surface:
    National Security Cutter............................     208,000,000
    OPC conceptual and contract design..................      20,000,000
    Fast Response Cutter/110-123 ft. patrol boat 
      conversion........................................      66,000,000
    Short Range Prosecutor..............................       1,600,000
    Other contracts/legacy sustainment..................       7,000,000
C4ISR:
    Command and Control System for Common Operating 
      Picture...........................................      58,000,000
    Cutter upgrades--C4ISR..............................       7,100,000
    Shore sites.........................................      22,100,000
    Other contracts/legacy sustainment..................      14,200,000
Logistics:
    Integrated logistics support........................      19,200,000
    Facilities design required for future deployments...       5,500,000
Shore Facilities........................................      20,700,000
Systems Engineering and Integration.....................      42,100,000
Government Program Management...........................      34,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Integrated Deepwater Systems...............    $668,200,000

                        CAPITAL INVESTMENT PLAN

      Bill language is included to require the Coast Guard to 
submit a five-year capital investment plan with initial 
submission of the President's budget request, as proposed by 
the House. The Senate bill contained no similar provision.

                       DISPOSAL OF REAL PROPERTY

      Bill language is included to credit to the Acquisition, 
Construction, and Improvements appropriation any proceeds from 
the sale or lease of the Coast Guard's surplus real property 
and to provide that such receipts are available for obligation 
only for the Rescue 21 project until September 30, 2006, as 
proposed by the House. The Senate bill contained similar 
language, but made these funds available until expended.

                         ALTERATION OF BRIDGES

      The conferees agree to provide $19,250,000 instead of 
$19,500,000 as proposed by the House. The Senate funded 
alteration of bridges under acquisition, construction, and 
improvements. Within this total, the funds shall be allocated 
as follows:

Fourteen Mile bridge in Mobile, Alabama.................      $5,250,000
Burlington Northern Santa Fe bridge in Burlington, Iowa.       2,000,000
Canadian Pacific Railroad bridge in LaCrosse, Wisconsin.       1,000,000
Chelsea Street bridge in Chelsea, Massachusetts.........       2,250,000
Florida Avenue bridge in New Orleans, Louisiana.........       6,750,000
EJ&E Railroad bridge in Morris, Illinois................       1,000,000
John F. Limehouse bridge in Charleston, South Carolina..       1,000,000

      In addition the conferees include a proviso in the bill 
that funds be available only to the extent that steel, iron and 
manufactured products used in such projects are produced in the 
United States with certain exceptions, as proposed by the 
Senate. The House bill contained no similar provision.

              RESEARCH, DEVELOPMENT, TEST, AND EVALUATION

      The conferees agree to provide $15,000,000 instead of 
$22,000,000 as proposed by the House. The Senate provided 
$15,000,000 under the Science and Technology Directorate for 
Coast Guard's research, development, test, and evaluation 
program.
      The conferees are aware that the development of new 
technologies is necessary if the Coast Guard is to keep pace 
with its expanding mission. The conferees therefore direct the 
Commandant to conduct an independent study on research and 
development priorities, as outlined in the Senate bill under 
the operating expenses account, and submit the findings of this 
study to the Committees on Appropriations by June 1, 2004.

                              RETIRED PAY

      The conferees agree to provide $1,020,000,000 as proposed 
by both the Senate and the House.

                      United States Secret Service

                         SALARIES AND EXPENSES

      The conferees agree to provide $1,137,280,000 instead of 
$1,148,700,000 as proposed by the House and $1,114,737,000 as 
proposed by the Senate. This includes $16,365,000 for White 
House mail screening; $6,824,000 to annualize fiscal year 2003 
pay base funding not captured in the fiscal year 2004 budget; 
$6,475,000 to fully fund the 2003 pay raise; $3,336,000 to 
fully annualize prior year staff increases; and $5,450,000 to 
partially offset the costs of the fiscal year 2004 4.1 percent 
pay adjustment. Funding also includes $2,100,000 for forensic 
support to the National Center for Missing and Exploited 
Children (NCMEC) as well as a $5,000,000 grant to NCMEC.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

      The conferees agree to provide $3,579,000 as proposed by 
the House and the Senate. Funds are available until expended. 
The conferees include bill language under the Salaries and 
Expenses Account, as proposed by the House, to permit the James 
J. Rowley Training Center (JJRTC) to provide protective 
training on a reimbursable basis. The conferees note that the 
JJRTC is currently operating at full capacity simply to meet 
training requirements of the Secret Service and is presently 
unable to accommodate training outside students. The current 
facilities would need to be expanded to permit increases in 
training capacity. No additional funding for such expansion has 
been requested or provided in this Act. The conferees include 
bill language based on the expectation that it would only be 
utilized in emergency situations, subject to prior notification 
to the Committees on Appropriations.

                  TITLE III--PREPAREDNESS AND RECOVERY

                    Office for Domestic Preparedness

      The conferees view state and local jurisdictions' ability 
to detect, prevent and respond to a terrorist attack as a high 
priority. State and local responders are first to arrive on 
scene when a terrorist attack occurs and must be prepared to 
protect life and property. This function is inherently non-
federal, although federal resources and expertise are needed to 
manage the crisis, and provide support to state and local 
assets when an attack overwhelms their resources. For purposes 
of eligibility for funds under this heading, any county, city, 
village, town, district, borough, port authority, transit 
authority, water district, regional planning commission, 
council of government, Indian tribe, authorized tribal 
organization, Alaska Native village, or other political 
subdivision of any state shall constitute a ``local unit of 
government.''

                        STATE AND LOCAL PROGRAMS

      The conferees agree to provide $3,287,000,000 instead of 
$2,888,000,000 as proposed by the Senate and $3,513,000,000 as 
proposed by the House for the Office for Domestic Preparedness 
(ODP). Funding is available until September 30, 2004, as 
proposed by the Senate, instead of until expended as proposed 
by the House. None of these funds may be used for construction 
or renovation of facilities.

        State and local programs                                  Amount
Formula-Based Grants....................................  $1,700,000,000
Law Enforcement Terrorism Prevention Grants.............     500,000,000
High-Threat, High-Density Urban Areas Grants............     725,000,000
Citizen Corps...........................................      40,000,000
National Domestic Preparedness Consortium...............     135,000,000
Technical Assistance....................................      30,000,000
National Exercise Program...............................      50,000,000
Competitive Training Grants.............................      60,000,000
Equipment and Testing...................................      17,000,000
Management and Administration...........................      30,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total.............................................   3,287,000,000

                          FORMULA-BASED GRANTS

      The conferees agree to provide $1,700,000,000, instead of 
$1,900,000,000 as proposed by the House and $1,200,000,000 as 
proposed by the Senate. These funds are available to all states 
for purposes of training, procuring equipment (such as 
interoperable communications equipment), and conducting 
exercises, based on the state's approved, updated homeland 
security strategies. The conferees expect that these funds will 
be made available to states within 30 days after enactment of 
this Act; that states will have 30 days to apply after the 
grant is announced; and that ODP will act within 15 days of 
receipt of an application or receipt of an updated state plan, 
whichever is later. The conferees also agree that no less than 
80 percent of these funds shall be obligated by the state to 
local units of government within 60 days of the state receiving 
funds.
      The conferees are aware of the need for overtime funding 
to backfill those first responders attending ODP certified 
training classes. The conferees understand that ODP anticipates 
continuing this overtime as an allowable expense of the 
formula-based grant program. The conferees support this effort 
with the understanding that only overtime directly related to 
backfilling first responders attending ODP certified training 
classes is eligible.
      The Secretary may provide a waiver for the use of state 
grant funds by a local jurisdiction to purchase aviation 
equipment, where such equipment will be utilized primarily for 
homeland security objectives and permissible programactivities 
and provided that the local jurisdiction certifies that it has an 
operating aviation unit and that the costs for operation and 
maintenance of such equipment will be paid from non-grant funds.

              LAW ENFORCEMENT TERRORISM PREVENTION GRANTS

      The conferees agree to provide $500,000,000, as proposed 
by the Senate, instead of $510,000,000 as proposed by the 
House. These funds are made available to all states for 
purposes as described in Senate Report 108-86. The conferees 
expect that these funds will be made available to states within 
30 days after enactment of this Act; that states will have 30 
days to apply after the grant is announced; and that ODP will 
act within 15 days of receipt of an application or receipt of 
an updated state plan, whichever is later. The conferees also 
agree that no less than 80 percent of these funds shall be 
obligated by the state to local units of government within 60 
days of the state receiving funds.
      Law enforcement terrorism prevention activities that 
involve compensation of overtime shall be limited to those 
specifically related to homeland security, such as providing 
expanded investigative and intelligence efforts. Funding may 
not be used to supplant ongoing, routine public safety 
activities of state and local law enforcement. State 
applications must certify that all requests for overtime 
funding comply with this requirement.

              HIGH-THREAT, HIGH-DENSITY URBAN AREAS GRANTS

      The conferees agree to provide $725,000,000, instead of 
$500,000,000 as proposed by the House and $750,000,000 as 
proposed by the Senate. The conferees do not agree to provide 
$200,000,000 in a separate account for the protection of 
critical infrastructure, as proposed by the House. These funds 
are made available to the Secretary for discretionary grants to 
high-threat, high-density urban areas. The Secretary shall take 
into consideration credible threat, presence of critical 
infrastructure, population, vulnerability, cooperation of 
multiple jurisdictions in preparing domestic preparedness 
plans, and the identified needs of public agencies when 
determining the allocation of these funds. The conferees expect 
that these funds will be obligated no later than 60 days after 
enactment of this Act. The conferees also agree that no less 
than 80 percent of these funds shall be obligated by the state 
to local units of government within 60 days of the state 
receiving funds. Grants may be made to single or multiple 
jurisdictions in the same urban area.
      The conferees are concerned with the limited information 
provided to the Committees on Appropriations regarding the 
manner in which the Department is distributing these grants. 
The conferees direct the Department to fully brief the 
Committees on Appropriations on the methodology for the 
proposed distribution of the funds appropriated for these 
grants before the distribution is announced.

                          CITIZEN CORPS GRANTS

      The conferees agree to provide $40,000,000, instead of 
$45,000,000 as proposed by the House and $50,000,000 as 
proposed by the Senate.

               NATIONAL DOMESTIC PREPAREDNESS CONSORTIUM

      The conferees agree to provide $135,000,000, instead of 
$125,000,000 as proposed by the House and $140,000,000 as 
proposed by the Senate. Of the funds provided, $55,000,000 
shall be for the Center for Domestic Preparedness.

                          TECHNICAL ASSISTANCE

      The conferees agree to provide $30,000,000 for direct 
technical assistance to states, as proposed by the Senate, 
instead of $67,000,000 as proposed by the House. The conferees 
do not provide an additional technical assistance account as 
proposed by the Senate for $10,000,000 and by the House for 
$32,000,000 under Grant Administration and Planning.

                       NATIONAL EXERCISE PROGRAM

      The conferees agree to provide $50,000,000, as proposed 
by both the House and Senate. The conferees fully support the 
Department's initiative to establish a performance-based 
national exercise program that centers on the Top Officials 
(TOPOFF) exercise series.

                      COMPETITIVE TRAINING GRANTS

      The conferees agree to provide $60,000,000, instead of 
$35,000,000 as proposed by the House under Centers for 
Emergency Preparedness. The Senate proposed $28,000,000 for the 
continuation of core training and $60,000,000 for emerging 
training in separate accounts. The conferees expect ODP to 
fully honor all current training commitments.

                         EQUIPMENT AND TESTING

      The conferees agree to provide $17,000,000, instead of 
$40,000,000 as proposed by the Senate. The House provided 
$5,000,000 for equipment and $12,000,000 for testing in 
separate accounts. The conferees agree that funding of 
$15,000,000 for standards development be moved to Science and 
Technology to consolidate department-wide research and 
development efforts. The conferees further direct Science and 
Technology to continue the program established by ODP in 
coordination with the National Institute of Standards and 
Technology (NIST), consistent with the fiscal year 2003 budget 
directive and the 5-year plan for development with NIST.

                     MANAGEMENT AND ADMINISTRATION

      The conferees agree to provide $30,000,000, as proposed 
by the Senate. The House provided $21,000,000 for management 
and administration and $11,000,000 for contractor support in 
separate accounts. Of the funds provided, up to $11,000,000 
shall be available for contractor support.

                    EMERGENCY MEDICAL SERVICES (EMS)

      The conferees agree with the language in both House 
Report 108-169 and Senate Report 108-86 regarding EMS 
providers. Further, the conferees direct the Department to 
submit the EMS grants report directed in Senate Report 108-86 
no later than March 1, 2004.

                             BEST PRACTICES

      The conferees request a report from the Department, no 
later than January 15, 2004, detailing efforts to assess and 
disseminate best practices to emergency responders. This report 
shall address, at a minimum, efforts to coordinate and share 
information with state and local officials and emergency 
preparedness organizations, and steps the Department proposes 
to improve the coordination and sharing of such information.

                   PREPAREDNESS GRANTS CONSOLIDATION

      The conferees are disappointed in the inability of the 
Department to provide a comprehensive plan on the ``one-stop 
shop'' proposal. The conferees fully expect to receive this 
plan as soon as it is available and direct ODP to submit all 
legislative proposals required to achieve this initiative as 
part of the fiscal year 2005 budget request.

                     FIREFIGHTER ASSISTANCE GRANTS

      The conferees agree to provide $750,000,000, as proposed 
by the Senate. The House proposed $760,000,000 under the 
Emergency Preparedness and Response Directorate. Not to exceed 
5 percent may be used for administrative expenses. Funds are 
available until September 30, 2005.
      The conferees agree to provide Firefighter Assistance 
Grants as a separate appropriation within the Office for 
Domestic Preparedness. The conferees agree that the Department 
shall continue current administrative practices in a manner 
identical to the current fiscal year, including a peer review 
process of applications, granting funds directly to local fire 
departments, and the inclusion of the United States Fire 
Administration during grant administration.
      The conferees believe that, when establishing priorities 
for firefighting vehicles within this grant program, the 
Department should take into consideration the unique 
geographical needs of individual fire departments.

                         Counterterrorism Fund

      The conferees agree to provide $10,000,000, instead of 
$20,000,000 as proposed by the House and the Senate. Funds are 
available until expended. The Secretary shall notify the 
Committees on Appropriations 15 days prior to obligation of 
these funds.

                  Emergency Preparedness and Response

 OFFICE OF THE UNDER SECRETARY FOR EMERGENCY PREPAREDNESS AND RESPONSE

      The conferees agree to provide $3,450,000, instead of 
$3,615,000 as proposed by the Senate. The House provided 
$3,293,000 for the Office of the Under Secretary in Title I, 
under Departmental Operations.

            PREPAREDNESS, MITIGATION, RESPONSE, AND RECOVERY

      The conferees agree to provide $225,000,000, instead of 
$363,339,000 as proposed by the House. The Senate provided 
$163,000,000 for Preparedness, Mitigation, Response, and 
Recovery under Operating Expenses. Funding is available until 
September 30, 2004, as proposed by the House, instead of until 
expended as proposed by the Senate. The conferees agree 
toprovide an additional $2,000,000 to partially offset the costs of the 
fiscal year 2004 4.1 percent pay adjustment.
      The conferees do not provide $25,000,000 for an emergency 
operations center competitive grant program, as proposed by the 
House.

                     URBAN SEARCH AND RESCUE TEAMS

      Of the funds provided for Preparedness, Mitigation, 
Response, and Recovery, the conferees agree to provide 
$60,000,000 for Urban Search and Rescue Teams, instead of 
$64,587,000 as proposed by the Senate under Operating Expenses. 
The House bill contained no similar provision. Not to exceed 3 
percent may be used for administrative expenses, instead of 5 
percent as proposed by the Senate.

                          WEB-BASED TECHNOLOGY

      In concurring with language in House Report 108-169, the 
conferees direct the Emergency Preparedness and Response 
Directorate to continue the Disaster Management Initiative, 
commonly referred to as DisasterHelp.gov. The conferees further 
direct the Emergency Preparedness and Response Directorate to 
collect the appropriate sums as necessary from the following 
contributing agencies: the Department of Justice, the 
Department of Commerce, the National Oceanic and Atmospheric 
Administration, the U.S. Army, the Department of 
Transportation, the Department of the Interior, the Department 
of Health and Human Services, the Department of Agriculture, 
and the Environmental Protection Agency.

                 ADMINISTRATIVE AND REGIONAL OPERATIONS

      The conferees agree to provide $167,000,000, instead of 
$168,589,000 as proposed by the House. The Senate provided 
$165,214,000 for Administrative and Regional Operations under 
Operating Expenses. Funding is available until September 30, 
2004, as proposed by the House, instead of until expended as 
proposed by the Senate. The conferees agree to provide an 
additional $1,733,000 to partially offset the costs of the 
fiscal year 2004 4.1 percent pay adjustment. Funding of not to 
exceed $3,000 is provided for official reception and 
representation expenses.

                           OPERATING EXPENSES

                         (RESCISSION OF FUNDS)

      The conferees rescind $3,000,000 of the funds provided by 
Public Law 108-11, as proposed by the Senate. The House bill 
included no similar provision.

                         PUBLIC HEALTH PROGRAMS

      The conferees agree to provide $484,000,000, as proposed 
by the House. The Senate provided $434,000,000 under Operating 
Expenses. Of the funds provided, $400,000,000 shall be 
available for the Strategic National Stockpile, to remain 
available until expended; $34,000,000 for the National Disaster 
Medical System; and $50,000,000 for the Metropolitan Medical 
Response System.

                       BIODEFENSE COUNTERMEASURES

      The conferees agree to provide $5,593,000,000 for fiscal 
years 2004 through 2013 as proposed by the House. Not to exceed 
$890,000,000 is available for obligation in fiscal year 2004, 
and not to exceed $3,418,000,000 is available for obligation in 
fiscal years 2004-2008 as proposed by the House. The Senate 
included no similar provision.

              RADIOLOGICAL EMERGENCY PREPAREDNESS PROGRAM

      The conferees agree to retain the Radiological Emergency 
Preparedness Program as a separate appropriation, as proposed 
by the Senate. The House proposed the Radiological Emergency 
Preparedness Program be funded under Preparedness, Mitigation, 
Response, and Recovery.

                            DISASTER RELIEF

                     (INCLUDING TRANSFER OF FUNDS)

      The conferees agree to provide $1,800,000,000, as 
proposed by the House, instead of $1,956,000,000 as proposed by 
the Senate. Of the funds provided, not to exceed $22,000,000 
shall be transferred to the Office of Inspector General. Funds 
are available until expended. The conferees direct the 
continuation of the Section 404 post-disaster hazard mitigation 
grants program as part of a comprehensive mitigation strategy.

            DISASTER ASSISTANCE DIRECT LOAN PROGRAM ACCOUNT

      The conferees agree to provide $560,000 for 
administrative expenses, instead of $558,000 as proposed by the 
House and $557,000 as proposed by the Senate. The conferees 
agree to provide an additional $3,000 to partially offset the 
costs of the fiscal year 2004 4.1 percent pay adjustment. Gross 
obligations for the principal amount of direct loans shall not 
exceed $25,000,000, as proposed by both the House and Senate.

                 NATIONAL PRE-DISASTER MITIGATION FUND

      The conferees agree to provide $150,000,000, as proposed 
by the Senate. The House proposed $180,000,000 for pre-disaster 
mitigation underGrant Programs. Not to exceed 3 percent may be 
used for administrative expenses. Funds are available until expended. 
The conferees do not provide $250,000 to each state for planning 
purposes, as proposed by the House.

                      FLOOD MAP MODERNIZATION FUND

      The conferees agree to provide $200,000,000, as proposed 
by both the House and the Senate. Not to exceed 3 percent may 
be used for administrative expenses. Funds are available until 
expended.
      To correct a misprint on page 54 of House Report 108-169, 
the conferees agree, in the first line of the first paragraph 
after the heading ``Flood Mapping Projects'', to insert 
``Perry,'' after ``of''.

                     NATIONAL FLOOD INSURANCE FUND

                     (INCLUDING TRANSFER OF FUNDS)

      The conferees agree to provide up to $32,663,000 for 
salaries and expenses as proposed by the Senate, instead of 
$32,761,000 as proposed by the House. The conferees further 
agree to provide up to $77,809,000 for flood mitigation 
activities and limitations of $55,000,000 for operating 
expenses, $565,897,000 for agents' commissions and taxes, and 
$40,000,000 for interest on Treasury borrowings as proposed by 
both the House and the Senate.

                     NATIONAL FLOOD MITIGATION FUND

                     (INCLUDING TRANSFER OF FUNDS)

      The conferees agree to provide $20,000,000 by transfer 
from the National Flood Insurance Fund, as proposed by the 
Senate. The House proposed $20,000,000 for flood mitigation by 
transfer under Grant Programs. Funds are available until 
September 30, 2005.

             EMERGENCY MANAGEMENT PERFORMANCE GRANTS (EMPG)

      The conferees agree to provide $180,000,000, instead of 
$165,000,000 as proposed by the Senate. The House provided 
$168,000,000 for EMPGs under Preparedness, Mitigation, 
Response, and Recovery. Not to exceed 3 percent may be used for 
administrative expenses. The conferees agree that EMPGs shall 
remain in the Emergency Preparedness and Response Directorate 
where the focus is an all-hazards approach to emergency 
management. In addition, the conferees direct the continuation 
of funding personnel expenses, as stated in both the House and 
Senate reports.

                       EMERGENCY FOOD AND SHELTER

      The conferees agree to provide $153,000,000, as proposed 
by both the House and the Senate. Not to exceed 3.5 percent may 
be used for administrative expenses. Funds are available until 
expended.

                        CERRO GRANDE FIRE CLAIMS

      The conferees agree to provide $38,062,000, as proposed 
by the Senate. The House included no similar provision. Not to 
exceed 5 percent may be used for administrative expenses. Funds 
are available until expended. This funding will fully cover all 
remaining Cerro Grande fire claims.

TITLE IV--RESEARCH AND DEVELOPMENT, TRAINING, ASSESSMENTS, AND SERVICES

                  Citizenship and Immigration Services

      The conferees agree to provide $236,126,000 for the 
Bureau of Citizenship and Immigration Services (BCIS), instead 
of $248,500,000 as proposed by the House and $229,377,000 as 
proposed by the Senate. This includes: $3,836,000 for physical 
security and staffing; $5,600,000 to cover the costs of 2003 
pay increases and unspecified administrative reductions; and 
$1,125,500 to partially offset the costs of the fiscal year 
2004 4.1 percent pay adjustment. The conferees do not provide 
additional funding requested for information technology and for 
a program evaluation unit, but strongly support establishment 
of a program evaluation unit if funded through fee collections. 
Within the funds provided, not to exceed $5,000 is provided for 
official reception and representation expenses.

            TAMPER-PROOF TRAVEL AND IDENTIFICATION DOCUMENTS

      The conferees are concerned that certain documents issued 
by the Department of Homeland Security and the State Department 
represent a significant security risk, being vulnerable to 
fraud, misuse, and counterfeiting to permit illegal entry into 
the United States or false identification. These include travel 
documents such as Refugee Travel Documents, Re-Entry Permits, 
Seamen Booklets, and Advance Parole Documents, as well as old 
identification cards issued to Mexican citizens. The conferees 
are aware of efforts to improve security of such documents, but 
believe that far more must be done.
      The conferees direct the Department, in cooperation with 
the Department of State, to: (1) develop and implement a plan 
to replace old Mexican identification cards by September 30, 
2004; and (2) initiate a pilot program to develop tamper-proof 
documents. That program should take into account all relevant 
current and planned International Civil Aviation Organization 
standards, and incorporate security features such as biometrics 
(including fingerprint and photograph templates) as well as 
embedded contactless programmable chips. In addition, such a 
program should be carried out in consultation with the Forensic 
Development Laboratory of the Bureau of Immigration and Customs 
Enforcement.

                          CONTRACT MANAGEMENT

      The conferees are troubled by a July 2003 General 
Accounting Office (GAO) report that outlined significant 
contracting weakness within legacy INS agencies, including 
functions transferred to BCIS. Among other problems, the GAO 
found that agencies lacked basic infrastructure for contract 
management and oversight, and documented a lack of procurement 
coordination. The contract for records management services at 
the regional support centers in California, Vermont, Texas, and 
Nebraska is an example of a critical activity dependent on 
competent oversight. The GAO recommended that the Department 
undertake a number of significant steps to ensure adequate 
oversight, management, and staffing for procurement, to include 
use of cross-functional acquisition teams, procurement 
performance measures, and upgrading procurement and financial 
information systems. As the Department has agreed to proceed in 
accordance with the GAO recommendations, the conferees direct 
that the Department submit a report to the Committees on 
Appropriations not later than April 1, 2004, on its specific 
plans and timetable for implementing these recommendations.

                       OFFSETTING FEE COLLECTIONS

      Current estimates of examination fee collections, which 
constitute the majority of BCIS offsetting resources, are 
$1,564,000,000. These support the adjudication of applications 
for immigration benefits and would be derived from fees 
collected from persons applying for immigration benefits. 
Operations areheavily dependent on a variety of fees to offset 
operations, particularly the Immigration Examination Fee. The 
fluctuation of these fees can adversely affect operations if allowances 
are not made for prioritizing spending. The conferees direct BCIS to 
ensure that it fully funds current, ongoing base operations that are 
fee-supported before undertaking new initiatives. The conferees also 
agree to correct page 57 of House Report 108-169 to delete the 
reference to the Microfilm Rescue Project.
      The following table displays how the conferees expect 
these fees will be applied:

Citizenship and Immigration Services, Offsetting 
    Collections:
    Backlog Elimination Initiative......................     $20,000,000
    Telephone Customer Service Center Operations........      43,000,000
    Digitization Projects...............................      20,400,000
    Other Immigration Staffing and Operations...........   1,480,600,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Citizenship and Immigration Services, 
      Offsetting Collections............................   1,564,000,000

                Federal Law Enforcement Training Center

                         SALARIES AND EXPENSES

      The conferees agree to provide $155,423,000, instead of 
$136,629,000 as proposed by the House and $172,736,000 as 
proposed by the Senate. The additional $33,044,000 provided 
above the budget request is to be used for expenses related to 
the anticipated growth in student weeks of basic training 
($32,120,000), including retention of 130 instructors first 
provided in fiscal year 2003, and to offset a portion of the 
costs of the fiscal year 2004 4.1 percent pay parity 
($924,000). Within this total, $36,174,000 is for materials and 
support and not to exceed $12,000 may be used for official 
reception and representation expenses. The conferees also 
include bill language authorizing reimbursement for the use of 
personal cellular phones for official duties, as proposed by 
the House. Funds in this account are available until September 
30, 2005, as proposed by the Senate, instead of September 30, 
2006, as proposed by the House.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

      The conferees agree to provide $37,357,000, instead of 
$32,323,000 as proposed by the House and $28,708,000 as 
proposed by the Senate. Funds above the budget request 
(+$13,678,000) are for priorities at the Center's facilities in 
Cheltenham, Maryland, and Artesia, New Mexico. The conference 
agreement includes bill language that authorizes the Center to 
accept reimbursements from government agencies requesting 
construction of special use facilities operated by the Federal 
Law Enforcement Training Center, as proposed by the House. The 
Senate bill contained no similar provision.

           Information Analysis and Infrastructure Protection

                     MANAGEMENT AND ADMINISTRATION

      The conferees agree to provide $125,000,000 for 
management and administration. The Senate proposed $10,460,000 
for the Office of the Under Secretary for Information Analysis 
and Infrastructure Protection (IAIP) and the House proposed 
this funding under Title I. The funding recommendation includes 
$4,800,000 for the Office of the Under Secretary; $100,200,000 
for other salaries and expenses for federal employees in the 
IAIP directorate; and $20,000,000 for the Department's command 
center. The House and Senate provided funding for the command 
center in two separate accounts, as requested. The conference 
agreement consolidates this funding within the IAIP management 
and administration program. Within the funds provided for the 
Office of the Under Secretary, travel expenses may not exceed 
$231,000.
      The conferees want to ensure that personnel requirements 
for critical intelligence positions are met and direct the 
Department to submit a report byDecember 15, 2003, on plans to 
meet the personnel requirements of the IAIP directorate, improve 
communications and disseminate information between the directorate and 
the intelligence community, and improve coordination between the 
directorate and state and local public safety entities. This report 
should include the specific manpower details requested in the House 
report.

                      ASSESSMENTS AND EVALUATIONS

      The conferees agree to provide $714,300,000 for 
assessments and evaluations instead of $776,000,000 as proposed 
by the House and $823,700,000 as proposed by the Senate. All 
funding for federal salaries and expenses has been moved from 
the individual programs, as proposed by the House, and is 
provided in the management and administration account. Funds in 
this account are available until September 30, 2005.

                  THREAT DETERMINATION AND ASSESSMENT

      The conferees agree to provide $28,400,000 as proposed by 
the House.

                   INFORMATION AND WARNING ADVISORIES

      The conferees agree to provide $52,300,000, of which 
$32,800,000 is for cybersecurity, as proposed by the Senate.
      The conference agreement includes the use of $10,000,000 
within information and warning advisories funding to better 
develop a national alert system to notify the general public in 
the event of a terrorist attack. Redundancy in the 
dissemination of warnings is essential. The conferees are aware 
of the capabilities of the National Oceanic and Atmospheric 
Administration (NOAA) nationwide radio network and direct the 
Under Secretary to report to the Committees on Appropriations 
by December 15, 2003, on the immediate use of the NOAA radio 
network as a key component of the warning systems, measures to 
expand consumer access to the warning systems, and efforts to 
educate and inform the public about the existence of this 
warning system.
      The Under Secretary should consult with the Chairman of 
the Federal Communications Commission to develop the best way 
to communicate with the general public during threat alerts by 
using a full range of communication devices, such as wireline 
and cellular telephones, e-mail and instant messaging systems, 
radio and television broadcasts, and personal digital 
assistants. To the extent possible, the Department should 
incorporate existing federal, state, and local alert systems 
and consult with state and local public safety and emergency 
preparedness agencies.
      The conferees direct the Under Secretary to report to the 
Committees on Appropriations by December 15, 2003, on proposed 
improvements to the Homeland Security Advisory System including 
an assessment of how the system is fulfilling its intended 
missions, and an evaluation of progress being made to tailor 
the system so that alerts are raised on a regional rather than 
national basis.

            INFRASTRUCTURE VULNERABILITY AND RISK ASSESSMENT

      The conferees agree to provide $84,200,000 as proposed by 
the House.

                   REMEDIATION AND PROTECTIVE ACTIONS

      The conferees agree to provide $345,100,000. Funding of 
$3,900,000 is provided for the critical infrastructure 
information management office to establish a program to enable 
and manage the sharing of critical infrastructure information 
among federal, state, local, and private sector homeland 
security officials. The office is to develop and deploy 
information management tools and techniques to provide quick, 
complete access to information relevant to the protection of 
physical and cyber critical infrastructure.
      The conference agreement provides $172,700,000 for 
vulnerability field assessments. In scheduling and performing 
vulnerability assessments of criticalinfrastructure and key 
assets, the conferees expect the Department to ensure that public 
assembly facilities are also addressed.
      Funding of $65,700,000 is provided for cybersecurity, as 
proposed by the Senate, and $8,000,000 is provided for 
protection standards and performance metrics.
      The conferees are aware that the Department of Energy and 
the Nuclear Regulatory Commission are reviewing and analyzing 
the safety and security of spent nuclear fuel storage at 
commercial nuclear power plants. The Under Secretary is 
directed to perform an independent review and analyses of this 
information as it becomes available.

                     NATIONAL COMMUNICATIONS SYSTEM

      The conferees agree to provide $141,000,000 as proposed 
by the House.

                      ADMINISTRATION AND OUTREACH

      For administration and outreach programs, the conferees 
agree to provide $18,900,000 for competitive analysis and 
evaluation, $3,500,000 for national plans and strategies, and 
$40,900,000 for outreach and partnerships, as proposed by the 
House.

                       CONFERENCE FUNDING LEVELS

        Program                                                   Amount
Threat determination and assessment.....................     $28,400,000
Information and warning advisories......................      52,300,000
Infrastructure vulnerability and risk assessment........      84,200,000
Remediation and protective actions......................     345,100,000
National communications system..........................     141,000,000
Competitive analysis and evaluation.....................      18,900,000
National plans and strategies...........................       3,500,000
Outreach and partnerships...............................      40,900,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Assessments and Evaluations................     714,300,000

                         Science and Technology

                     MANAGEMENT AND ADMINISTRATION

      The conferees agree to provide $44,168,000 for management 
and administration instead of $5,400,000 as proposed by the 
Senate solely for the Office of the Under Secretary for Science 
and Technology. The House provided funding for this office 
under title I. The funding recommendation includes $5,168,000 
for the immediate Office of the Under Secretary and $39,000,000 
for other salaries and expenses for federal employees in the 
Science and Technology directorate. Within the funds provided 
for the Office of the Under Secretary, travel expenses may not 
exceed $250,000.

           RESEARCH, DEVELOPMENT, ACQUISITION, AND OPERATIONS

      The conferees agree to provide $874,000,000 for research, 
development, acquisition, and operations instead of 
$900,360,000 as proposed by the House and $866,000,000 as 
proposed by the Senate. The recommendation includes the use of 
$68,000,000 of prior year unobligated funds that will remain 
available for use in fiscal year 2004. All funding for federal 
salaries and expenses has been moved from the individual 
programs, as proposed by the House, and is provided in the 
management and administration account. Funds in this account 
are available until expended, as proposed by the Senate.
      The conferees are concerned that research and development 
is being conducted independently by each of the Department's 
legacy components leading to duplicative research activities, 
wasted funds, and lack of appropriate management oversight. The 
Department is directed to consolidate all Departmental research 
and development funding within the science and technology 
programs in the fiscal year 2005 budget request.

                       BIOLOGICAL COUNTERMEASURES

      The conference agreement includes $198,500,000 and the 
use of $68,000,000 of prior year unobligated funds that will 
remain available for use in fiscal year 2004. This funding 
level supports the budget request for the individual programs 
within biological countermeasures with the following 
exceptions: $18,500,000 is transferred to management and 
administration for federal salaries and expenses; an additional 
$15,000,000 is provided for the urban monitoring program; 
signatures and bioassays is reduced by $5,000,000; and 
$88,000,000 for construction of the National Biodefense 
Analysis and Countermeasures Center is funded as a separate 
program.

                NUCLEAR AND RADIOLOGICAL COUNTERMEASURES

      The conference agreement includes $127,000,000. This 
supports the budget request with the following exceptions: 
$7,000,000 is transferred to management and administration for 
federal salaries and expenses, and sensor research and 
development is reduced by $3,000,000.

              CHEMICAL AND HIGH EXPLOSIVES COUNTERMEASURES

      The conference agreement includes $52,000,000 for 
chemical countermeasures and $9,500,000 for high explosives 
countermeasures, as proposed by the House.

            THREAT AND VULNERABILITY, TESTING AND ASSESSMENT

      The conference agreement includes $93,500,000. This 
supports the budget request with the following exceptions: 
$4,500,000 is transferred to management and administration for 
federal salaries and expenses; cybersecurity is increased by 
$11,000,000; and the remaining programs are reduced by a total 
of $3,000,000.

                CONVENTIONAL MISSIONS IN SUPPORT OF DHS

      The conference agreement includes $34,000,000, allocated 
as follows: $25,000,000 for border and transportation security; 
$2,000,000 for the Secret Service; and $10,000,000 for 
emergency preparedness and response. Funding of $3,000,000 is 
transferred to management and administration for federal 
salaries and expenses.

       RAPID PROTOTYPING PROGRAM/TECHNICAL SUPPORT WORKING GROUP

      The conference agreement includes $75,000,000, an 
increase of $45,000,000 over the budget request of $30,000,000. 
The conferees encourage Science and Technology to evaluate 
information sharing proposals between the law enforcement and 
intelligence communities.

                   STANDARDS/STATE AND LOCAL PROGRAM

      The conference agreement includes $39,000,000, as 
proposed by the House, which transfers $15,000,000 for 
development of standards from the Office for Domestic 
Preparedness (ODP). The conferees expect all standards 
development in the Department to be done by Science and 
Technology. Working with the public and private sectors, 
Science and Technology will develop a network of security 
certification laboratories to provide a consistent level of 
assurance in the effectiveness of homeland security 
technologies, systems, and equipment, and allow state and local 
governments to make better informed decisions on equipment 
needs. The conferees direct Science and Technology to continue 
the standards program established by ODP in coordination with 
the National Institute of Standards and Technology (NIST), 
consistent with the fiscal year 2003 budget directive and the 
5-year plan for development with NIST.
      The conferees support House language regarding search and 
rescue robotics certification and expect the Department to 
develop standards and criteria for search and robotics 
certification.
      In preparing the report requested by the House on 
narrowbanding, Science and Technology is directed to consult 
with the Department of Commerce, the National 
Telecommunications and Information Administration, the 
Department of Justice, the Department of Treasury, and major 
organizations that support state and local public safety 
agencies.
      The conferees support incorporation by SAFECOM of Project 
25 technical standards where applicable, and encourage 
continued involvement of the user community in development and 
implementation of standards such as those being developed by 
Project 25 which allow for backward compatibility with existing 
digital and analog systems and provide for interoperability in 
future systems.

                            EMERGING THREATS

      The conferees agree to provide $21,000,000 as proposed by 
the House.

                   CRITICAL INFRASTRUCTURE PROTECTION

      The conferees agree to provide $66,500,000, of which 
$60,000,000 is provided for research, development, testing, and 
evaluation of an anti-missile device for commercial aircraft. 
Funding of $500,000 is transferred to management and 
administration for federal salaries and expenses.

        UNIVERSITY PROGRAM/HOMELAND SECURITY FELLOWSHIP PROGRAMS

      The conferees agree to provide $70,000,000, an increase 
of $60,000,000 over the budget request of $10,000,000, to 
establish a university-based system to enhance the nation's 
homeland security efforts. The conferees encourage the 
Department to consider all colleges and universities that meet 
the requirements of 6 U.S.C. 188 in the selection of 
university-based centers, including historically black colleges 
and universities, tribal colleges, Hispanic-serving 
institutions, and Alaskan Native-serving institutions.

        NATIONAL BIODEFENSE ANALYSIS AND COUNTERMEASURES CENTER

      The conferees agree to provide $88,000,000 to initiate 
construction of a National Biodefense Analysis and 
Countermeasures Center that is to be the principal Department 
of Homeland Security component of the Fort Detrick Interagency 
Biodefense Campus in Maryland.

                       CONFERENCE FUNDING LEVELS

        Program                                                   Amount
Biological countermeasures..............................    $198,500,000
Nuclear and radiological countermeasures................     127,000,000
Chemical countermeasures................................      52,000,000
High explosives countermeasures.........................       9,500,000
Threat and vulnerability, testing and assessment........      93,500,000
Conventional missions in support of DHS.................      34,000,000
Rapid prototyping/Technical support working group.......      75,000,000
Standards/State and local program.......................      39,000,000
Emerging threats........................................      21,000,000
Critical infrastructure protection......................      66,500,000
University programs/homeland security fellowships.......      70,000,000
National Biodefense Analysis and Countermeasures Center.      88,000,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total, Assessments and Evaluations................     874,000,000

                      TITLE V--GENERAL PROVISIONS

                     (INCLUDING TRANSFERS OF FUNDS)

      Section 501. The conferees agree to a provision that no 
part of any appropriation shall remain available for obligation 
beyond the current year unless expressly provided.
      Section 502. The conferees agree to a provision that 
unexpended balances of prior appropriations may be merged with 
new appropriation accounts and used for the same purpose, 
subject to reprogramming guidelines.
      Section 503. The conferees agree to a provision that 
provides reprogramming authority for funds within an account 
and not to exceed 5 percent transfer authority between 
appropriation accounts with the requirement for a 15-day 
advance Congressional notification. A detailed funding table 
identifying each Congressional control level for reprogramming 
purposes is included at the end of the statement of the 
managers. These reprogramming guidelines shall be complied with 
by all agencies funded by the Department of Homeland Security 
Appropriations Act, 2004.
      The conferees expect the Department to submit 
reprogramming requests on a timely basis and not wait until the 
end of the fiscal year in an attempt to use funds that would 
otherwise expire. Any reprogramming that is submitted within 45 
days of the end of the fiscal year must be due to exceptional 
or emergency circumstances. Additionally, the conferees are 
concerned that reprogramming requests submitted to date by the 
Department have not been sufficiently documented. 
Justifications have been incomplete and explanations of funding 
offsets have been inadequate requiring time consuming follow-up 
questions and briefings. The conferees expect the Department to 
review its internal reprogramming process to correct these 
deficiencies in fiscal year 2004.
      Section 504. The conferees agree to a provision that not 
to exceed 50 percent of unobligated balances remaining at the 
end of fiscal year 2004 from appropriations made for salaries 
and expenses shall remain available through fiscal year 2005 
subject to reprogramming guidelines.
      Section 505. The conferees agree to a provision that 
allows the use of funds for: purchase of uniforms without 
regard to the general purchase price limitation, purchase of 
insurance for official vehicles in foreign countries, entering 
into contracts with the State Department for furnishing health 
and medical services to employees serving in foreign countries, 
hire and purchase of motor vehicles, and purchase of police-
type passenger vehicles without regard to the general purchase 
price limitation, and make this provision permanent.
      Section 506. The conferees agree to a provision that 
converts the Federal Emergency Management Agency ``Working 
Capital Fund'' to the ``Department of Homeland Security Working 
Capital Fund''.
      Section 507. The conferees agree to a provision that 
converts the Federal Emergency Management Agency ``Bequests and 
Gifts'' account to the ``Department of Homeland Security, Gifts 
and Donations'' account.
      Section 508. The conferees agree to a provision that 
provides that funds for intelligence activities are deemed to 
be specifically authorized during fiscal year 2004 until the 
enactment of an Act authorizing intelligence activities for 
fiscal year 2004.
      Section 509. The conferees agree to a provision that 
directs the Federal Law Enforcement Training Center to 
establish an accrediting body to establish standards for 
assessing federal law enforcement training programs, 
facilities, and instructors.
      Section 510. The conferees agree to a provision that 
requires notification of the Committees on Appropriations 3 
days before any grant allocation, discretionary grant award, or 
letter of intent totaling $1,000,000 or more is announced by 
the Department.
      Section 511. The conferees agree to a provision that no 
agency shall purchase, construct, or lease additional 
facilities for federal law enforcement training without advance 
approval of the Committees on Appropriations.
      Section 512. The conferees agree to a provision that 
requires the Director of the Federal Law Enforcement Training 
Center to ensure that all training facilities are operated at 
optimal capacity throughout the fiscal year.
      Section 513. The conferees agree to a provision that none 
of the funds may be used to produce customs declarations that 
do not inquire whether a passenger has been in proximity to 
livestock, and make this provision permanent.
      Section 514. The conferees agree to a provision that none 
of the funds may be used for any activity or to pay the salary 
of any government employee if that would result in a 
determination, regulation, or policy that would prohibit 
enforcement of section 307 of the Tariff Act of 1930, and make 
this provision permanent.
      Section 515. The conferees agree to a provision that none 
of the funds may be used to import goods that have been 
produced by forced or indentured child labor, and make this 
provision permanent.
      Section 516. The conferees agree to a provision that none 
of the funds may be used for any construction, repair, 
alteration, and acquisition project for which a prospectus, if 
required by the Public Buildings Act of 1959, has not been 
approved.
      Section 517. The conferees agree to a provision that none 
of the funds may be used to require airport sponsors to provide 
building modifications, utilities and expenses, or space to the 
Transportation Security Administration without cost for 
services related to aviation security.
      Section 518. The conferees agree to a provision that none 
of the funds may be used in contravention of the Buy American 
Act.
      Section 519. The conferees modify a provision related to 
the Computer Assisted Passenger Prescreening System (CAPPS II). 
The provision prohibits the use of funds for deployment or 
implementation of CAPPS II until certain conditions are met.
      Section 520. The conferees agree to a provision that the 
Secretary of Homeland Security shall charge reasonable fees for 
providing credentialing and background investigations for 
transportation purposes, and may credit the fees to the 
appropriation available for that purpose, and make this 
provision permanent.
      Section 521. The conferees modify a provision regarding 
the inspection of air cargo.

                         PROVISIONS NOT ADOPTED

      The conference agreement deletes section 604 of the 
Senate bill providing that no Departmental employee may be 
detailed to another component without compensation. This 
requirement is addressed in the statement of managers.
      The conference agreement deletes section 606 of the 
Senate bill providing a single official reception and 
representation expenses account. These funds have been provided 
in separate accounts.
      The conference agreement deletes section 616 of the 
Senate bill requiring a report on countermeasures against 
shoulder-fired missile systems. This requirement is addressed 
in the statement of managers.
      The conference agreement deletes section 617 of the 
Senate bill requiring a report on security costs incurred by 
state and local law enforcement offices for visits by foreign 
and domestic officials.
      The conference agreement deletes section 619 of the 
Senate bill requiring a report on the Homeland Security 
Advisory System. This requirement is addressed in the statement 
of managers.
      The conference agreement deletes section 620 of the 
Senate bill expressing the sense of the Senate that tourist 
populations should be factored into grant allocations.
      The conference agreement deletes section 621 of the 
Senate bill requesting a review of damage claims from the 
University of North Dakota.
      The conference agreement deletes section 622 of the 
Senate bill requiring a report on state and local law 
enforcement access to the ``Tipoff'' database.
      The conference agreement deletes section 623 of the 
Senate bill requiring a report on information technology 
infrastructure. This requirement is addressed in the statement 
of managers.
      The conference agreement deletes section 624 of the 
Senate bill prohibiting use of funds for companies that 
incorporate overseas.
      The conference agreement deletes section 625 of the 
Senate bill requiring the department to ensure active minority 
institution participation in the university research program. 
This requirement is addressed in the statement of managers.
      The conference agreement deletes section 626 of the 
Senate bill requiring a report on enhancing operations of the 
Information Analysis and Infrastructure Protection program. 
This requirement is addressed in the statement of managers.
      The conference agreement deletes section 627 of the 
Senate bill requiring a report on all data-mining programs.
      The conference agreement deletes section 628 of the 
Senate bill directing the Secretary to consider unique 
geographical needs when establishing priorities for 
firefighting vehicles. This requirement is addressed in the 
statement of managers.
      The conference agreement deletes section 629 of the 
Senate bill requiring a report on the status of air traffic 
control communications. This requirement is addressed in the 
statement of managers.

                       Conference Recommendations

      The conference agreement's detailed funding 
recommendations for programs in this bill are contained in the 
following table:


                                   Harold Rogers,
                                   C. W. Bill Young,
                                   Frank R. Wolf,
                                   Zach Wamp,
                                   Tom Latham,
                                   Jo Ann Emerson,
                                   Kay Granger,
                                   John E. Sweeney,
                                   Don Sherwood,
                                   Martin Olav Sabo,
                                   David E. Price,
                                   Jose E. Serrano,
                                   Lucille Roybal-Allard,
                                   Marion Berry,
                                   Alan B. Mollohan,
                                 Managers on the Part of the House.

                                   Thad Cochran,
                                   Ted Stevens,
                                   Arlen Specter,
                                   Pete V. Domenici,
                                   Mitch McConnell,
                                   Richard C. Shelby,
                                   Judd Gregg,
                                   Ben Nighthorse Campbell,
                                   Larry Craig,
                                   Robert C. Byrd,
                                   Daniel K. Inouye,
                                   Ernest F. Hollings,
                                   Patrick J. Leahy,
                                   Tom Harkin,
                                   Barbara A. Mikulski,
                                   Herb Kohl,
                                   Patty Murray,
                                Managers on the Part of the Senate.
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