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



                                                       Calendar No. 583
108th Congress                                                   Report
                                 SENATE
 2d Session                                                     108-280

======================================================================



 
       DEPARTMENT OF HOMELAND SECURITY APPROPRIATIONS BILL, 2005
                                _______
                                

                 June 17, 2004.--Ordered to be printed

                                _______
                                

          Mr. Cochran, from the Committee on Appropriations, 
                        submitted the following

                              R E P O R T

                    [To accompany S. 2537]

    The Committee on Appropriations, to which was referred the 
bill (H.R. 0000) making appropriations for the Department of 
Homeland Security for the fiscal year ending September 30, 
2005, and for other purposes, reports the same to the Senate 
with an amendment and recommends that the bill as amended do 
pass. deg.
    The Committee on Appropriations reports the bill (S. 2537) 
making appropriations for the Department of Homeland Security 
for the fiscal year ending September 30, 2005, and for other 
purposes, reports favorably thereon and recommends that the 
bill do pass.



Total obligational authority, fiscal year 2005

Amount of bill as reported to the Senate \2\............ $33,085,460,000
Amount of 2004 appropriations acts to date \1\..........  35,048,446,000
Amount of estimates, 2005 \2\...........................  32,189,925,000
The bill as recommended to the Senate:
    Under the appropriations provided in 2004...........   1,962,986,000
    Over the estimates for 2005.........................     895,535,000

\1\ Includes a 0.59 percent rescission pursuant to Public Law 108-106; 
$298,183,000 in emergency supplemental appropriations; and 
$4,703,000,000 in advance appropriations for subsequent fiscal years.
\2\ Includes $2,528,000,000 for biodefense countermeasures, and excludes 
$400,000,000 for the Strategic National Stockpile transferred to the 
Department of Health and Human Services.


                            C O N T E N T S

                              ----------                              

                    DEPARTMENT OF HOMELAND SECURITY

                                                                   Page
Overview and Summary of the Bill.................................     4
Title I--Departmental Management and Operations:
    Office of the Secretary and Executive Management.............     6
    Office of the Under Secretary for Management.................     8
    Department-Wide Technology Investments.......................    10
    Office of Inspector General..................................    11
Title II--Security, Enforcement, and Investigations:
    Border and Transportation Security:
        Office of the Under Secretary for Border and 
          Transportation Security:
            Salaries and Expenses................................    13
            United States Visitor and Immigrant Status Indicator 
              Technology.........................................    14
        Customs and Border Protection:
            Salaries and Expenses................................    16
            Automation Modernization.............................    21
            Construction.........................................    22
            Immigration and Customs Enforcement:
                Salaries and Expenses............................    23
                Federal Air Marshals.............................    26
                Federal Protective Service.......................    27
                Automation Modernization.........................    28
                Air and Marine Interdiction, Operations, 
                  Maintenance, and Procurement...................    28
                Construction.....................................    29
            Transportation Security Administration:
                Aviation Security................................    31
                Maritime and Land Security.......................    36
                Intelligence.....................................    38
                Research and Development.........................    38
                Administration...................................    40
        United States Coast Guard:
            Operating Expenses...................................    41
            Environmental Compliance and Restoration.............    45
            Reserve Training.....................................    46
            Acquisition, Construction, and Improvements..........    46
            Alteration of Bridges................................    49
            Research, Development, Test and Evaluation...........    50
            Retired Pay..........................................    50
        United States Secret Service:
            Salaries and Expenses................................    51
            Acquisition, Construction, Improvements, and Related 
              Ex- 
              penses.............................................    52
Title III--Preparedness and Recovery:
    Office of State and Local Government Coordination and 
      Preparedness:
        Management and Administration............................    55
        State and Local Programs.................................    55
        Firefighter Assistance Grants............................    59
        Emergency Management Performance Grants..................    60
    Counterterrorism Fund........................................    61
    Emergency Preparedness and Response:
        Office of the Under Secretary for Emergency Preparedness 
          and Re- 
          sponse.................................................    63
        Preparedness, Mitigation, Response, and Recovery.........    63
        Administrative and Regional Operations...................    64
        Public Health Programs...................................    65
        Biodefense Countermeasures...............................    65
        Radiological Emergency Preparedness Program..............    65
        Disaster Relief..........................................    66
        Disaster Assistance Direct Loan Program Account..........    66
        National Pre-Disaster Mitigation Fund....................    67
        Flood Map Modernization Fund.............................    67
        National Flood Insurance Fund............................    68
        National Flood Mitigation Fund...........................    68
        Mitigation Grants........................................    69
        Emergency Management Performance Grants..................    69
        Emergency Food and Shelter...............................    69
        Cerro Grande Fire Claims.................................    70
Title IV--Research and Development, Training, Assessments, and 
  Services:
    Citizenship and Immigration Services.........................    71
    Federal Law Enforcement Training Center:
        Salaries and Expenses....................................    72
        Acquisition, Construction, Improvements, and Related 
          Expenses...............................................    73
    Information Analysis and Infrastructure Protection:
        Management and Administration............................    74
        Assessments and Evaluations..............................    75
    Science and Technology:
        Management and Administration............................    81
        Research, Development, Acquisition and Operations........    82
Title V--General Provisions......................................    89
Program, Project, and Activity...................................    91
Compliance With Paragraph 7, Rule XVI of the Standing Rules of 
  the Sen- 
  ate............................................................    92
Compliance With Paragraph 7(C), Rule XXVI of the Standing Rules 
  of the Senate..................................................    92
Compliance With Paragraph 12, Rule XXVI of the Standing Rules of 
  the Senate.....................................................    93

                    OVERVIEW AND SUMMARY OF THE BILL

    The amounts of obligational authority, by title of the 
bill, are shown on the following table. A detailed tabulation, 
showing comparisons, appears at the end of this report. 
Recommendations for individual appropriations for 
organizations, programs, projects, and activities are carried 
in this bill under the appropriate account headings.

------------------------------------------------------------------------
                                                        Fiscal year 2005
                                     Fiscal year 2005      Committee
                                         request         recommendation
------------------------------------------------------------------------
Title I--Departmental Management         $713,604,000       $632,102,000
 and Operations...................
Title II--Security, Enforcement,       20,029,618,000     20,735,931,000
 and Investigations...............
Title III--Preparedness and             9,206,471,000      9,408,297,000
 Recovery.........................
Title IV--Research and                  2,240,232,000      2,309,130,000
 Development, Training,
 Assessments, and Sevices.........
                                   -------------------------------------
      Total, new budget                32,189,925,000     33,085,460,000
       (obligational authority)...
------------------------------------------------------------------------

    The Committee recommends total new appropriations of 
$33,085,460,000 for the Department of Homeland Security for 
fiscal year 2005, $895,535,000 more than the budget request. Of 
this amount, $32,000,000,000 is for discretionary programs.
    The Committee recommends total appropriations of 
$8,767,108,000 for the defense of the Nation's borders, and 
investigation and enforcement of immigration and customs laws. 
For the Bureau of Customs and Border Protection, the Committee 
provides a total of $5,008,587,000, including $449,909,000 for 
automation modernization. For the Bureau of Immigration and 
Customs Enforcement, the Committee provides a total of 
$3,409,657,000, including $662,900,000 for the Federal Air 
Marshals and $267,535,000 for the Air and Marine Interdiction 
program. In addition, the Committee recommends $340,000,000 for 
the US Visitor and Immigrant Status Indicator Technology 
project. The Committee also recommends total appropriations of 
$140,000,000 for the Bureau of Citizenship and Immigration 
Services.
    The Committee recommends total appropriations of 
$5,226,935,000 for the Transportation Security Administration, 
further providing a commitment to secure all modes of 
transportation by providing funding for the following: 
$161,060,000 for reconfiguration of passenger checkpoints; 
$210,000,000 for the procurement of explosive detection 
systems; $292,890,000 for airport information technology and 
support; $15,000,000 for rail security; $43,000,000 for air 
cargo security; $57,000,000 for research and development of 
next generation explosive detection systems; and $75,000,000 
for research and development to detect air cargo threats.
    The Committee recommends a total of $7,469,130,000 for the 
United States Coast Guard, including $1,090,000,000 for 
defense-related activities. The Committee recommends 
$776,000,000 for the Integrated Deepwater Systems program, a 
$112,000,000 increase from the fiscal year 2004 level.
    The Committee recommends a total of $5,648,216,000 for the 
Emergency Preparedness and Response Directorate, including: 
$2,151,000,000 for disaster relief; $231,499,000 for 
preparedness, mitigation, response, and recovery; $200,000,000 
for the flood map modernization activities; $150,000,000 for 
mitigation grants; and $153,000,000 for the emergency food and 
shelter program. In addition, $2,528,000,000 in previously 
appropriated funds will be available for fiscal year 2005 for 
biodefense countermeasures.
    The Committee provides total appropriations of $875,576,000 
for information analysis and infrastructure protection with the 
following recommendations: $91,592,000 for critical 
infrastructure information coordination between the Federal and 
private sector; $193,673,000 for protective actions to continue 
the Buffer Zone Protection Plan; $11,000,000 for the 
biosurveillance initiative; $67,380,000 for cyber security 
infrastructure monitoring and coordination; and $140,754,000 
for national security and emergency preparedness 
telecommunications.
    For science and technology, the Committee recommends total 
appropriations of $1,069,197,000, with the following 
recommendations: $118,000,000 for the biosurveillance 
initiative; $33,590,000 for high explosives countermeasures, 
including $23,890,000 for rail security; $75,120,000 for rapid 
prototyping; $69,048,000 for university programs; $61,000,000 
for the Counter-MANPADS program; $17,800,000 for cyber 
security; and $11,000,000 for communications interoperability 
programs.
    To further strengthen the capacity of the Nation's first 
responders to prepare for and respond to possible terrorist 
threats and other emergencies, the Committee provides a total 
of $3,750,081,000 for the Office of State and Local Government 
Coordination and Preparedness, including: $1,370,000,000 for 
the State and local basic formula grants, of which $400,000,000 
is for State and local law enforcement terrorism prevention 
grants; $1,200,000,000 for urban area security initiative 
discretionary grants, of which $150,000,000 is for port 
security grants and $150,000,000 is for rail and transit 
security grants. The Committee also provides $700,000,000 for 
firefighter assistance grants and $180,000,000 for emergency 
management performance grants, to remain as stand-alone 
programs.

                    DEPARTMENT OF HOMELAND SECURITY

            TITLE I--DEPARTMENTAL MANAGEMENT AND OPERATIONS

            Office of the Secretary and Executive Management

Appropriations, 2004 \1\................................     $80,317,000
Budget estimate, 2005 \2\...............................     102,623,000
Committee recommendation................................      82,206,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Included in $405,287,500 consolidated ``Departmental Operations'' 
account in lieu of separate ``Office of the Secretary and Executive 
Management'' and ``Office of the Under Secretary for Management'' 
accounts.

    The Office of the Secretary and Executive Management 
directs and leads the Department and provides policy guidance 
to operating bureaus within the organization. The specific 
activities funded by this account include: the Immediate Office 
of the Secretary of Homeland Security, the Immediate Office of 
the Deputy Secretary, the Office of Security, the Chief of 
Staff, the Executive Secretary, the Special Assistant to the 
Secretary/Private Sector, the Office for National Capital 
Region Coordination, the Office for State and Local Government 
Coordination, the Office of International Affairs, the Office 
of Public Affairs, the Office of Legislative Affairs, the 
Office of General Counsel, the Office for Civil Rights and 
Civil Liberties, the Citizenship and Immigration Services 
Ombudsman, the Homeland Security Advisory Committee, and the 
Privacy Officer.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $82,206,000 for the Office of the 
Secretary and Executive Management.
    The specific levels recommended by the Committee as 
compared to the fiscal year 2004 and budget request level are 
as follows:

                                OFFICE OF THE SECRETARY AND EXECUTIVE MANAGEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Immediate Office of the Secretary.........................             2,126             2,388             2,388
Immediate Office of the Deputy Secretary..................             1,109             1,112             1,112
Office of Security........................................            19,782            21,044            21,044
Chief of Staff............................................             5,017             5,240             5,240
Executive Secretary.......................................             5,208             5,190             5,190
Special Assistant to the Secretary/Private Sector.........             3,971             3,781             3,781
Office for National Capital Region Coordination...........               557             1,323               688
Office for State and Local Government Coordination........             3,077             3,546           ( \2\ )
Office of International Affairs...........................             1,158             1,318             1,318
Office of Public Affairs..................................             8,120            10,669             8,120
Office of Legislative Affairs.............................             5,872             6,627             5,872
Office of General Counsel.................................             8,645            10,821            10,821
Office for Civil Rights and Civil Liberties...............            12,950            15,025            15,025
Citizenship and Immigration Services Ombudsman............             1,236             5,858             3,546
Homeland Security Advisory Committee......................               722             1,414             1,287
Privacy Officer...........................................               767             3,774             3,774
Regions...................................................  ................             3,493  ................
Unspecified reduction.....................................  ................  ................            -7,000
                                                           -----------------------------------------------------
      Total, Office of the Secretary and Executive                    80,317           102,623            82,206
       Management.........................................
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Funded under the Office of State and Local Government Coordination and Preparedness ``Management and
  Administration'' account.

    Consolidation and Co-location of Offices.--Section 706 of 
the Homeland Security Act of 2002 requires that not later than 
1 year after the date of enactment of that Act, the Secretary 
develop and submit to the Congress a plan for consolidating and 
co-locating the regional or field offices of agencies 
transferred to the Department. Because of the strong interest 
in this process, the Committee expects to receive regular 
updates from the Department on the status of this office 
consolidation/co-location plan and to be notified at least 10 
days prior to any public announcement of changes in the 
location of these offices.
    The Department shall submit a report to the Committee no 
later than February 1, 2005, regarding the feasibility of 
establishing a separate Homeland Security Pacific Region for 
the administration of homeland security activities conducted by 
the Department. The report should assess the particular 
challenges in the noncontiguous United States, including 
remoteness, difficulty in providing services caused by the 
unique geography of these areas, and cultural barriers 
preventing the successful response to incidents.
    Information Technology Systems.--The Committee requests, 
within 60 days after the date of enactment of this Act, and 
every 3 months thereafter, the Secretary of Homeland Security, 
in collaboration with the Director of the Office of Management 
and Budget, shall submit a report to the Committees on 
Appropriations of the House and Senate, the Committee on 
Governmental Affairs of the Senate, the Committee on Government 
Reform of the House of Representatives, and the Select 
Committee on Homeland Security of the House of Representatives 
on the status of the Department's efforts to:
      (1) complete an inventory of the Department's entire 
        information technology infrastructure;
      (2) devise and deploy a secure comprehensive enterprise 
        architecture that: (a) promotes interoperability of 
        homeland security information systems, including 
        communications systems, for agencies within and outside 
        the Department; (b) avoids unnecessary duplication; and 
        (c) aids rapid and appropriate information exchange, 
        retrieval, and collaboration at all levels of 
        government;
      (3) consolidate multiple overlapping and inconsistent 
        terrorist watch lists, reconcile different policies and 
        procedures governing whether and how terrorist watch 
        list data are shared with other agencies and 
        organizations, and resolve fundamental differences in 
        the design of the systems that house the watch lists so 
        as to achieve consistency and expeditious access to 
        accurate, complete, and current information;
      (4) ensure that the Department's enterprise architecture 
        and the information systems leveraged, developed, 
        managed, and acquired under such enterprise 
        architecture are capable of rapid deployment, limit 
        data access only to authorized users in a highly secure 
        environment, and are capable of continuous system 
        upgrades to benefit from advances in technology while 
        preserving the integrity of stored data; and
      (5) 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 
        duplicate acquisitions and expenditures.

              Office of the Under Secretary for Management

Appropriations, 2004 \1\................................    $130,210,000
Budget estimate, 2005 \2\...............................     302,664,000
Committee recommendation................................     245,579,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Included in $405,287,500 consolidated ``Departmental Operations'' 
account in lieu of separate ``Office of the Secretary and Executive 
Management'' and ``Office of the Under Secretary for Management'' 
accounts.

    The Under Secretary for Management oversees management and 
operations of the Department, including financial planning and 
execution, information systems management, human capital 
planning and policies, building management, and oversight of 
standard-setting and all departmental immigration statistical 
information. The specific activities funded by this account 
include: the Immediate Office of the Under Secretary for 
Management, the Office of the Chief Financial Officer, the 
Office of Procurement, the Office of Human Resources, the Chief 
Information Officer, and the Office of Administration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $245,579,000 for the Office of the 
Under Secretary for Management.
    The specific levels recommended by the Committee as 
compared to the fiscal year 2004 and budget levels are as 
follows:

                                  OFFICE OF THE UNDER SECRETARY FOR MANAGEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Immediate Office of the Under Secretary...................             1,270             1,434             1,434
    Business Transformation Office........................  ................             1,832             1,099
    Immigration Statistics................................  ................             5,898             5,898
Office of the Chief Financial Officer.....................            10,530            12,275            14,670
Office of Procurement.....................................             6,135             7,024             7,024
Office of Human Resources.................................             6,703             7,706             7,706
Office of the Chief Information Officer...................            60,139            68,396            68,396
    Secure Communications for the Secretary...............  ................               747  ................
Office of Administration..................................            25,551            27,271            27,271
Headquarters, renovations and relocation costs............            19,882            65,081            65,081
Human Resources System....................................  ................           102,500            70,000
Investment Review Board...................................  ................             2,500  ................
Unspecified reduction.....................................  ................  ................           -23,000
                                                           -----------------------------------------------------
      Total, Office of the Under Secretary for Management.           130,210           302,664           245,579
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    DHS Consolidated Headquarters.--The Committee provides 
$65,081,000, as requested, to enable the Department to continue 
to consolidate and integrate its headquarters operations and 
specific program components at the Nebraska Avenue Complex 
[NAC] in Washington, D.C. This is an increase of $45,199,000 
from the fiscal year 2004 level and includes $19,199,000 to 
fund physical modifications to existing NAC buildings, 
communications and security upgrades, and relocation costs to 
meet the Department's housing requirements; and $26,000,000 for 
the relocation of U.S. Navy operations from the NAC to leased 
facilities, contingent on the enactment into law, as proposed 
in the budget, of legislation transferring the NAC property 
from the Department of the Navy to the General Services 
Administration [GSA].
    The Committee is concerned over reports that essential 
Departmental components, such as the Information Analysis and 
Infrastructure Protection Directorate, are unable to hire 
needed personnel due to a lack of available housing. The 
Department is directed to remedy this situation by providing 
interim space at the NAC, or by working with the GSA to acquire 
leased or other space, either on an interim or permanent basis, 
to enable it to hire the personnel required to fully meet its 
funded full-time equivalent position levels. The Department is 
expected to correct this situation expeditiously and to provide 
regular updates, at least monthly, on the actions being taken 
by the Department in this regard.
    The Committee also expects to be updated on a regular basis 
on the Department's physical consolidation and on the planned 
expenditure of the funds made available for the NAC, as well as 
its plans for a permanent headquarters.
    Human Resources System.--The Committee includes in its 
recommendation $70,000,000 to support the design, detailed 
program development, and deployment of the new DHS human 
resources management system. Included in this amount is: (1) 
$27,000,000 for detailed systems design and implementation 
support to ensure that DHS designs a program that appropriately 
links pay, competencies, and performance; (2) $28,000,000 for 
training and communication to ensure that all DHS executives, 
managers, and supervisors are adequately trained on aspects of 
the new system and their responsibilities, along with awareness 
and change management activities to ensure all DHS employees 
understand system changes; and (3) $15,000,000 for program 
management, oversight, and evaluation.

                 Department-Wide Technology Investments

Appropriations, 2004 \1\................................    $183,784,000
Budget estimate, 2005...................................     226,000,000
Committee recommendation................................     222,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199 and 
excludes $21,000,000 transferred from the Working Capital Fund.

    The Department-wide Technology Investments account is for 
the development and acquisition of information technology 
equipment, software, services, and the costs of conversion to 
narrowband communications.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $222,000,000, to be available 
until expended, for Department-wide technology investments. 
This includes an increase of $4,215,000 for pay and other 
inflationary adjustments.
    Information Technology Services.--Included in the amount 
recommended by the Committee is $91,000,000 for information 
technology investments to support infrastructure consolidation, 
collaboration capabilities, web services, physical security 
access, and management system integration. This reflects a 
$4,000,000 reduction from the budget request.
    The following table summarizes the Committee's 
recommendations as compared to the budget request levels:

                     INFORMATION TECHNOLOGY SERVICES
                        [In thousands of dollars]
------------------------------------------------------------------------
                                      Fiscal year 2005      Committee
                                           budget        recommendations
------------------------------------------------------------------------
Human resources information                     21,000            21,000
 technology development.............
Financial management system, eMERGE             56,000            52,000
 development........................
Information technology support--                18,000            18,000
 enterprise architecture,
 consolidation, and geospatial
 initiatives........................
                                     -----------------------------------
      Total, Information Technology             95,000            91,000
       Services.....................
------------------------------------------------------------------------

    Security Activities.--Included in the amount recommended by 
the Committee is $31,000,000 for continued security activities 
and the homeland security information technology evaluation 
program.
    The following table summarizes the Committee's 
recommendations as compared to the budget request levels:

                           SECURITY ACTIVITIES
                        [In thousands of dollars]
------------------------------------------------------------------------
                                      Fiscal year 2005      Committee
                                           budget        recommendations
------------------------------------------------------------------------
Homeland security information                   21,000            21,000
 technology evaluation program......
Other security activities...........            10,000            10,000
                                     -----------------------------------
      Total, security activities....            31,000            31,000
------------------------------------------------------------------------

    Wireless Activities.--Included in the amount recommended by 
the Committee is $100,000,000 for expanding and enhancing 
wireless communications capabilities within the border 
environment, and for continuing support of the Wireless Public 
SAFEty Interoperability COMmunications [SAFECOM] program.
    The following table summarizes the Committee's 
recommendations as compared to the budget request levels:

                           WIRELESS ACTIVITIES
                        [In thousands of dollars]
------------------------------------------------------------------------
                                      Fiscal year 2005      Committee
                                           budget        recommendations
------------------------------------------------------------------------
Integrated wireless network                     69,000            69,000
 initiative.........................
Operations and maintenance for                  17,000            17,000
 legacy systems.....................
Technical operations................             3,000             3,000
SAFECOM.............................            11,000            11,000
                                     -----------------------------------
      Total, wireless activities....           100,000           100,000
------------------------------------------------------------------------

    Program and Project Plans.--The Committee requests the 
Department to revise its report of April 20, 2004, on program 
and project plans to include a detailed program plan describing 
the scope; total estimated cost; cost by year; and the schedule 
for completion, including significant milestones, for each 
individual project funded for fiscal year 2004 in the 
information technology services, security activities, and 
wireless programs. The initial submission of this report did 
not include the total estimated costs, or costs by year, for 
any project; additionally, no discussion of the targeted 
completion date was provided for most of the projects. This 
information is important for the Committee to understand the 
full scope of projects receiving funding. The report should be 
submitted to the Committee no later than September 1, 2004.
    The Committee further directs the Department to submit to 
the Committee by December 1, 2004, a detailed program plan 
describing the scope; total estimated cost; cost by year; and 
the schedule for completion, including significant milestones, 
for each individual project funded for fiscal year 2005 for 
information technology services, security activities, and 
wireless programs.

                      Office of Inspector General

Appropriations, 2004 \1\................................     $58,318,000
Budget estimate, 2005...................................      82,317,000
Committee recommendation................................      82,317,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199 and 
excludes $22,000,000 transfer from Disaster Relief appropriation.

    The Homeland Security Act established an Office of 
Inspector General [OIG] in the Department of Homeland Security 
by amendment to the Inspector General Act of 1978. This account 
finances the OIG's cost of conducting audits inspections, 
investigations and other reviews of programs and operations of 
the Department of Homeland Security to promote economy, 
efficiency, and effectiveness and to prevent and detect fraud, 
waste, and abuse.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $82,317,000 for the Office of 
Inspector General for fiscal year 2005. This is $23,999,000 
more than the fiscal year 2004 level and the same as the budget 
request, including $83,000 in cost savings and an increase of 
$2,082,000 for pay and other inflationary adjustments.

          TITLE II--SECURITY, ENFORCEMENT, AND INVESTIGATIONS

                   BORDER AND TRANSPORTATION SECURITY

  Office of the Under Secretary for Border and Transportation Security

                         SALARIES AND EXPENSES

Appropriations, 2004 \1\................................      $8,058,000
Budget estimate, 2005...................................      10,371,000
Committee recommendation................................       8,864,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    This account provides the funds for the salaries and 
expenses of the Office of the Under Secretary for Border and 
Transportation Security which oversees the Bureau of Customs 
and Border Protection, the Bureau of Immigration and Customs 
Enforcement, the Transportation Security Administration, and 
the Federal Law Enforcement Training Center.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $8,864,000 for the activities of 
the Office of the Under Secretary of Border and Transportation 
Security [BTS] salaries and expenses account, including an 
increase of $806,000 for pay and other inflationary 
adjustments. This funding level does not include an increase in 
the authorized staffing level for this office.
    Cargo Container Security.--Over the past 3 years, Congress 
has provided in excess of $200,000,000 in funding for a variety 
of innovative programs designed to ensure the safe and secure 
shipment of containerized goods from their initial point of 
loading to their final place of delivery in the United States. 
The Department is learning many important lessons from these 
programs, which include Operation Safe Commerce [OSC], the 
Container Security Initiative [CSI], and Customs-Trade 
Partnership Against Terrorism [C-TPAT]. The Committee directs 
the Under Secretary to submit a report to the Congress no later 
than February 8, 2005, which identifies: (1) the steps the 
Department has taken to date to enhance shipping container 
security, (2) the resources that have been devoted to shipping 
container security in prior fiscal years and the proposed 
resources to continue this security, (3) the results of on-
going projects, such as OSC, CSI, C-TPAT and others, (4) which 
departmental entity has primary responsibility for implementing 
the needed changes, and (5) the steps the entity with primary 
responsibility will take to implement these changes, including 
a specific schedule for the development and issuance of 
standards, policies, procedures, or regulations.
    Air Marine Assets Review.--In reviewing the budgets and 
functions of the agencies within BTS, the Committee notes that 
there are potential redundancies in the areas of air and marine 
interdiction, investigation, and protection activities. Except 
for the United States Coast Guard [USCG], which was transferred 
intact to the Department, the Department has created two 
separate air and marine operations within the Bureaus of 
Customs and Border Protection [CBP] and Immigration and Customs 
Enforcement [ICE]. The Border Patrol has its own fleet of 
helicopters, fixed wing-aircraft, and maritime patrol boats, 
while at the same time ICE has inherited the legacy Customs 
Service air and marine operations activities. Both bureaus are 
involved in tests of unmanned aerial vehicles for border 
protection and surveillance. ICE will assume responsibility for 
a portion of the costs of operating the former Federal Aviation 
Administration long-range radar.
    The Committee is aware that the Department has initiated a 
process by which to review and possibly make recommendations on 
the streamlining of the air and marine activities of the USCG, 
CBP, and ICE. The departmental review has started slowly and 
has caused a delay in the necessary planning to replace the 
aging Vietnam-era aircraft currently in use. The Committee 
expects the Department to submit a report to the Committee no 
later than February 15, 2005, on its review of these 
activities. The report should include a cost/benefit analysis 
of retrofitting the existing P-3 fleet with new wings and tail 
to reduce future maintenance costs to extend the life of the 
aircraft versus procurement of new aircraft. If the review 
reaches a conclusion about possible consolidation of these 
assets or missions, the Department should consider using its 
reorganization authority under the Homeland Security Act of 
2002 to re-align resources.
    Visas Mantis Process.--The Committee requests the 
Department, in coordination with the Department of State and 
the FBI, to develop a plan to improve the Visas Mantis process. 
The plan should include, but not be limited to, actions to: 
reduce backlogs and the length of the processing time; 
establish interoperability of information systems; establish a 
system for priority processing of appropriate applications, 
such as those for individuals visiting at U.S. Government 
invitation; and target dates for critical actions to be taken. 
The plan should be submitted to the Committee within 60 days of 
enactment of this Act.
    Forced Child Labor.--The Committee provides funds to CBP 
and ICE to enforce Section 307 of the Tariff Act of 1930 to 
prohibit the importation of goods made with forced and 
indentured child labor. The Committee requests BTS to submit a 
report by December 15, 2004, on the number of investigations, 
prosecutions, and other enforcement actions that have resulted 
from the dedicated funding provided.

    UNITED STATES VISITOR AND IMMIGRANT STATUS INDICATOR TECHNOLOGY

Appropriations, 2004 \1\................................    $328,053,000
Budget estimate, 2005...................................     340,000,000
Committee recommendation................................     340,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The United States Visitor and Immigrant Status Indicator 
Technology account funds the development of a system to 
collect, maintain, and share appropriate information through an 
integrated information technology system which determines the 
eligibility of aliens for admissions and benefits.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $340,000,000, to be available 
until expended, as requested, for the United States Visitor and 
Immigrant Status Indicator Technology [US VISIT]. This 
appropriation represents full funding of the base request for 
the technology needs of the project. The US VISIT program 
office has been given lead responsibility within the Department 
of Homeland Security to work with the Federal Bureau of 
Investigation [FBI] on the further integration of the IDENT 
system and the FBI's Integrated Automated Fingerprint 
Identification System [IAFIS]. The Committee expects the 
resources for the IDENT/IAFIS integration project to be funded 
from this account.
    Biometric Integration.--As the Department moves forward 
with constructing a new visa tracking system and enrolling 
thousands of visitors to the United States into a new biometric 
database, it is crucial that the Department of Homeland 
Security take concomitant steps with the Department of Justice 
[DOJ] to ensure that the growing US VISIT database is able to 
retrieve, in real time, the existing biometric information 
contained in the IAFIS database. Further, it is equally 
essential for the FBI, and State and local law enforcement to 
have the ability to retrieve the proper level of information 
out of the IDENT/US VISIT database. The Committee directs the 
Department of Homeland Security to submit a plan to the 
Committee no later than February 8, 2005, that details the 
specific steps it will take to fully integrate into the US 
VISIT program the FBI's IAFIS database. The plan should 
identify the sources and funds needed for the integration, as 
well as a timetable for full integration.
    A report issued March 2004 by the DOJ Inspector General 
provides extensive and compelling details on the critical need 
to integrate existing biometric databases. The Committee also 
expects the Department to implement the recommendations of the 
report and continues to encourage the Department to work 
closely with the FBI on this effort.

                     CUSTOMS AND BORDER PROTECTION

                                SUMMARY

    The Bureau of Customs and Border Protection [CBP] was 
established by the Secretary of Homeland Security on January 
30, 2003, under the statutory authority for reorganization 
contained in the Homeland Security Act of 2002. CBP is 
responsible for the enforcing of the laws regarding admission 
of foreign-born persons into the United States and ensuring 
that all goods and persons entering and exiting the United 
States do so legally.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total resources of $6,082,587,000, 
including direct appropriations of $5,008,587,000, and 
estimated offsetting collections of $1,074,000,000.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                 CUSTOMS AND BORDER PROTECTION--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Appropriations:
    Salaries and expenses.................................         4,370,430         4,580,491         4,466,960
    Automation modernization..............................           438,520           449,909           449,909
    Construction..........................................            89,830            91,718            91,718
                                                           -----------------------------------------------------
      Total, Appropriations...............................         4,898,780         5,122,118         5,008,587
                                                           -----------------------------------------------------
Estimated fee collections:
    Immigration inspection user fees......................           509,000           429,000           429,000
    Enforcement fines.....................................             6,000             6,000             6,000
    Land border inspection fees...........................            28,000            28,000            28,000
    COBRA fees............................................           302,000           318,000           318,000
    APHIS inspection fees.................................           194,000           204,000           204,000
    Puerto Rico Trust Fund................................            87,200            89,000            89,000
                                                           -----------------------------------------------------
      Estimated fee collections, total....................         1,126,200         1,074,000         1,074,000
                                                           -----------------------------------------------------
      Total, Available Funding............................         6,024,980         6,196,118         6,082,587
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

                         SALARIES AND EXPENSES

Appropriations, 2004 \1\................................  $4,370,430,000
Budget estimate, 2005...................................   4,580,491,000
Committee recommendation................................   4,466,960,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Bureau of Customs and Border Protection [CBP] Salaries 
and Expenses appropriation provides funds for border security, 
immigration, customs, and agricultural inspections. In addition 
to directly appropriated resources, offsetting collections are 
available for the operations of CBP from the following sources:
    Immigration Inspection User Fees.--CBP collects user fees 
to fund the costs of international inspections activities at 
airports and seaports, as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356).
    Enforcement Fines.--CBP collects fines from owners of 
transportation lines and persons for unauthorized landing of 
aliens, as authorized by the Immigration and Nationality Act (8 
U.S.C. 1356).
    Land Border Inspections Fees.--CBP collects fees for 
processing applications for the Dedicated Commuter Lanes 
program, the Automated Permit Ports program, the Canadian 
Border Boat Landing program, and both Canadian and Mexican Non-
Resident Alien Border Crossing Cards, as authorized by the 
Immigration and Nationality Act (8 U.S.C. 1356).
    Consolidated Omnibus Budget Reconciliation Act [COBRA] 
Fees.--CBP collects fees for inspection services involving 
customs related functions. The COBRA user fee statutory 
authority (19 U.S.C. 58c) specifies the types of expenses that 
are to be reimbursed and the order in which these expenses are 
to be reimbursed.
    Animal and Plant Health Inspection Service [APHIS] 
Inspection Fees.--CBP receives as a transfer a distribution of 
agriculture inspection fees collected by the United States 
Department of Agriculture. The user fees, as authorized by the 
Food, Agriculture, Conservation, and Trade Act of 1990, are 
charged to offset costs for the services related to the 
importation, entry, or exportation of animals and animal 
products.
    Puerto Rico Trust Fund.--Customs duties, taxes, and fees 
collected in Puerto Rico by CBP are deposited in the Puerto 
Rico Trust Fund. After providing for the expenses of 
administering CBP activities in Puerto Rico, the remaining 
amounts are transferred to the Treasurers of Puerto Rico 
pursuant to 48 U.S.C. sections 740 and 795.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $4,466,960,000 for salaries and 
expenses of the Bureau of Customs and Border Protection [CBP] 
for fiscal year 2005, including $3,000,000 from the Harbor 
Maintenance Trust Fund. This includes a decrease of $859,000, 
as requested in the budget. The Committee includes language in 
the bill making available up to $150,000 for space for 
preclearance operations; up to $5,000,000 available for 
cooperative agreements with States and local governments; and 
$1,000,000 for payments to informants. The Committee also 
includes language in the bill placing a $30,000 annual limit on 
overtime paid to any employee; placing a cap of not to exceed 
$12,725,000 for activities to enforce laws against forced child 
labor, of which $4,000,000 shall remain available until 
expended. In addition, the Committee recommendation includes a 
$23,000,000 reduction, reflecting the transfer of base funding 
for operations of the Charleston training facility to the 
Federal Law Enforcement Training Center; as well as a reduction 
of $85,532,000, reflecting the redistribution of base resources 
to the Bureau of Immigration and Customs Enforcement.
    Customs-Trade Partnership Against Terrorism.--Included in 
the amount recommended by the Committee is $37,828,000, an 
increase of $15,215,000, as requested, for expansion of the 
Customs-Trade Partnership Against Terrorism.
    Container Security Initiative.--Included in the amount 
recommended by the Committee is $126,096,000, an increase of 
$25,000,000, as requested, for expansion of the Container 
Security Initiative.
    Systems for Targeting.--Included in the amount recommended 
by the Committee is $37,493,000, an increase of $20,623,000 and 
18 positions, as requested, for systems technology acquisition, 
to be distributed as follows: automated targeting system/
passenger, $9,592,000; National Targeting Center, $3,132,000; 
automated targeting system-inbound, $2,845,000; automated 
targeting system-land border, $1,435,000; automated targeting 
system-passenger/reservations monitoring, $2,450,000; and the 
trend analysis and analytical selectivity program, $1,169,000.
    Non-Intrusive Inspection Equipment/Radiation Detection.--
Included in the amount recommended is $115,159,000, a total 
increase of $50,000,000 above the enacted level, as requested 
in the budget, to purchase and deploy radiation detection 
equipment. The Committee expects CBP to purchase equipment that 
meets the standards set by the Science and Technology [S&T] 
Directorate and take advantage of the findings of detector 
testbeds funded by S&T.
    Integrated Surveillance Information System.--The Committee 
recommends $64,162,000, as requested, to expand and upgrade the 
technology used in the Integrated Surveillance Information 
System [ISIS]. The Committee supports the ISIS program--which 
includes intelligent computer assisted detection, remote video 
surveillance, and ground sensors--and the incorporation of the 
latest technology into ISIS.
    The Committee expects the Department to submit by December 
15, 2004, a master plan for the nationwide deployment of the 
ISIS program, to include a breakout by sector and installation 
type, plans for redundancies and digital records, a timeline 
for implementation, and a total cost estimate. In addition, an 
analysis of the proper number of Law Enforcement Communication 
Assistant positions should be included. After submission of the 
master plan, semi-annual updates should be provided to the 
Committee.
    Unmanned Aerial Vehicles.--The Committee recommendation 
does not include the requested increase for unmanned aerial 
vehicles within CBP. This funding is provided within the amount 
recommended for ``Air and Marine Interdiction, Operation, 
Maintenance, and Procurement'' account.
    Advanced Training Center.--Included in the amount 
recommended by the Committee is an increase of $5,000,000 from 
the fiscal year 2004 level to operate and equip the advanced 
training center. The budget requests funding for the operation 
of this center in the Federal Law Enforcement Training Center 
``Salaries and Expenses'' account. The Committee expects this 
to continue to be a CBP facility and that the Department not 
use its reorganization authority to effectuate its transfer 
elsewhere.
    Pursuant to Public Law 106-246, the training to be 
conducted at the facility shall be configured in a manner so 
that it does not duplicate or displace any Federal law 
enforcement program of the Federal Law Enforcement Training 
Center. Training currently being conducted at a Federal Law 
Enforcement Training Center shall not be moved to the new 
training facility.
    Anti-Dumping Enforcement.--The Committee has ensured that 
within the amounts provided for this account, sufficient funds 
are available to enforce the anti-dumping authority contained 
in section 754 of the Tariff Act of 1930 (19 U.S.C. 1675c).
    The Committee directs CBP to submit a report to the 
Committee by October 1, 2004, on the status of its 
implementation of recommendations contained in the U.S. 
Treasury Department Office of Inspector General report on 
implementation of the Continued Dumping and Subsidy Offset Act 
[CDSOA]. The report should address: (1) the proper 
establishment of special accounts; (2) the need to pay 
claimants within 60 days after the end of the fiscal year 
(including the need to prepare and send checks in a timely 
fashion, and to make certain that the addresses to which they 
are sent are correct); (3) the need to address CBP's failure to 
collect millions of dollars in unliquidated entries (including 
the need for CBP to conduct timely liquidations upon receipt of 
liquidation instructions from the Department of Commerce, and 
for CBP not to liquidate in situations involving tardy notice 
of suspension of liquidation); (4) the need to address CBP's 
failure to collect millions of dollars in open (unpaid) duty 
bills and interest (including a determination of whether 
required posting of cash deposits rather than bonds would 
result in increased collections); (5) the need to establish 
standard operating procedures and adequate internal controls 
for the proper management of the CDSOA program; and (6) the 
progress and achievements of the CDSOA working group in 
addressing systemic issues identified in the report, along with 
any others relevant to proper administration of CDSOA.
    In addition, the Committee is aware that CBP intends to 
transfer administrative responsibility for the CDSOA program to 
its Office of Finance. The Committee expects CBP to establish 
an organization that is accessible and responsive and directs 
CBP to include in the report a detailed description of which 
offices have responsibility for external relations, litigation, 
denials, verifications, and payments.
    Further, the Committee directs CBP to work with the 
Departments of Commerce and Treasury, and the Office of the 
United States Trade Representative (and all other relevant 
agencies) to complete a joint report to the Committee by 
February 8, 2005, that provides a coordinated plan, including 
legislative or regulatory changes proposed by CBP, if 
necessary, to increase anti-dumping and countervailing duty 
collections, particularly related to cases involving unfairly 
traded Asian imports. The CBP Annual Report for fiscal year 
2003 shows a failure to collect $130,402,706 in assessed 
duties. The Committee directs CBP to break out the non-
collected amounts for each of fiscal years 2001, 2002, and 
2003, by order and claimant, along with a description of each 
of the specific reasons for the non-collection with respect to 
each order.
    Counterdrug Support Program.--The Committee notes that 
National Guard personnel have provided critical intelligence, 
reconnaissance, and inspection support to CBP as part of the 
Counterdrug Support Program. The Department of Defense has 
determined that National Guard personnel shall no longer 
perform mail and cargo inspection duties under this program. 
The Committee directs CBP to report no later than March 1, 
2005, on the actions taken to make up for the loss of this 
National Guard support, including the redeployment of 
inspection personnel along the Nation's borders.
    Vehicle Fleet Management.--The Committee is aware that CBP 
is conducting a comprehensive review of its vehicle management 
plan. The Committee strongly supports efforts to incorporate 
the Border Patrol vehicle fleet into the CBP fleet management 
plan. The Committee is concerned that the Border Patrol may be 
facing a vehicle procurement and management crisis in the long 
term and believes that properly equipping Border Patrol agents 
and other CBP personnel is essential to protect our borders. In 
order to assess the status of current vehicle management, the 
Committee expects CBP to submit a detailed vehicle management 
plan no later than February 8, 2005.
    Agricultural Pests.--The Committee notes that Hawaii's 
globally significant natural environment, as well as the 
State's important diversified agricultural industry, are 
uniquely vulnerable to the introduction of invasive weeds, 
animals, insects, and diseases. The Committee expects the 
Department to work with the U.S. Department of Agriculture and 
the Hawaii Department of Agriculture in sharing information and 
expertise to ensure their respective inspection and quarantine 
activities provide coordinated and collaborative bio-security 
protection for the State.
    Included in the amount recommended by the Committee is 
continued funding at the fiscal year 2004 level for part-time 
and temporary positions in the Honolulu, Hawaii, Customs 
District.
    The Committee requests CBP to study the feasibility of 
allowing the National Guard to conduct inspections on behalf of 
CBP (including agricultural) for all aircraft chartered by the 
U.S. Armed Forces or the Department of Defense [DOD] with 
respect to individuals who are members of the U.S. Armed 
Forces, space-available passengers, retired members of the U.S. 
Armed Forces, DOD personnel, employees of the U.S. Government, 
or foreign military passengers, and to submit the findings to 
the Committee by December 1, 2004.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                              CUSTOMS AND BORDER PROTECTION--SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                   Fiscal year
                                                                  2004 enacted     Fiscal year      Committee
                                                                       \1\         2005 budget   recommendations
----------------------------------------------------------------------------------------------------------------
Salaries and expenses:
    Headquarters management and administration.................       1,364,975       1,347,346        1,261,815
    Border security inspections and trade facilitation at ports
     of entry:
        Inspections, trade & travel facilitation at ports of          1,240,223       1,255,900        1,255,900
         entry.................................................
        Harbor maintenance fee collection (trust fund).........           2,823           3,000            3,000
        Container security initiative..........................          61,390         126,096          126,096
        Other international programs...........................          56,000          58,300           58,300
        Customs-trade partnership against terrorism/free and             17,894          41,705           41,705
         secure trade..........................................
        Inspection & detection technology investments..........         140,225         115,159          115,159
        Systems for targeting..................................          12,300          29,791           29,791
        National targeting center..............................          16,000          19,132           19,132
        Training...............................................          18,100          18,300           23,300
                                                                ------------------------------------------------
          Subtotal, border security inspections and trade             1,564,955       1,667,383        1,672,383
           facilitation at ports of entry......................
                                                                ------------------------------------------------
    Border security and control between ports of entry:
        Border security and control between ports of entry.....       1,339,400       1,413,800        1,413,800
        Air program operations and maintenance.................          36,700          37,300           37,300
        Unmanned aerial vehicles...............................  ..............          10,000  ...............
        Integrated surveillance and intelligence system........          23,900          64,162           64,162
        Training...............................................          40,500          40,500           17,500
                                                                ------------------------------------------------
          Subtotal, border security and control between ports         1,440,500       1,565,762        1,532,762
           of entry............................................
                                                                ------------------------------------------------
          Total, Salaries and expenses.........................       4,370,430       4,580,491        4,466,960
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

                        AUTOMATION MODERNIZATION

Appropriations, 2004 \1\................................    $438,520,000
Budget estimate, 2005...................................     449,909,000
Committee recommendation................................     449,909,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The automation modernization account includes funds for 
major information technology systems and services for the 
Bureau of Customs and Border Protection, including the 
Automated Commercial Environment and the International Trade 
and Data System projects, and connectivity of and integration 
of existing systems.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $449,909,000, to be available 
until expended, as requested, for automation modernization. 
This amount includes an increase of $6,390,000 for inflationary 
adjustments.
    International Trade Data Systems.--Included in the amount 
recommended is $16,900,000, an increase of $5,000,000, as 
requested, for the international trade data systems. The 
Committee supports CBP's strategy to implement an integrated, 
government-wide system for the electronic collection, use, and 
dissemination of the international trade transaction data 
required by the various trade-related Federal agencies.
    Expenditure Plan.--Of the funds recommended, not less than 
$321,690,000 is available for the development of the Automated 
Commercial Environment [ACE]. As requested, this funding is 
available for ACE only upon the submission of a comprehensive 
plan from the Secretary of Homeland Security for the ACE 
program that: (1) meets the capital planning and investment 
control review requirements established by the Office of 
Management and Budget [OMB], including OMB Circular A-11, part 
3; (2) complies with acquisition rules, requirements, 
guidelines, and systems acquisition management practices; (3) 
is reviewed by the General Accounting Office; and (4) has been 
approved by the Committees on Appropriations of the Senate and 
the House of Representatives.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                            AUTOMATION MODERNIZATION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Automated Commercial Environment..........................           316,810           321,690           321,690
Legacy information technology/automated commercial systems           121,710           128,219           128,219
                                                           -----------------------------------------------------
      Total, Automation modernization.....................           438,520           449,909           449,909
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

                              CONSTRUCTION

Appropriations, 2004 \1\................................     $89,830,000
Budget estimate, 2005...................................      91,718,000
Committee recommendation................................      91,718,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    This appropriation provides funding to plan, construct, 
renovate, equip, and maintain buildings and facilities 
necessary for the administration and enforcement of the laws 
relating to immigration, customs, and alien registration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $91,718,000 for construction 
activities of the Bureau of Customs and Border Protection, to 
be available until expended, as requested. This includes an 
increase of $1,888,000 for inflationary adjustments.
    The Committee directs the Department to submit a detailed 
spending plan for the fiscal year 2005 construction account 
which includes, but should not be limited to, the following 
information for each project: explanation of the purpose of 
work, total estimated project cost, amount of funding provided 
by fiscal year, and a detailed cost breakout for construction, 
design, planning, project management; and date each phase of 
the project began or is scheduled to begin and is to be 
completed.
    The Committee expects the Department to continue to work 
with the General Services Administration on its nationwide 
strategy to prioritize and address the infrastructure needs at 
the land border ports-of-entry and to comply with the 
requirements of the Public Buildings Act of 1959 to seek 
necessary funding.

                  IMMIGRATION AND CUSTOMS ENFORCEMENT

                                SUMMARY

    The Bureau of Immigration and Customs Enforcement [ICE] was 
established by the Secretary of Homeland Security on January 
30, 2003, under the statutory authority for reorganization 
contained in the Homeland Security Act of 2002.
    ICE is responsible for enforcing immigration and customs 
laws, detaining and removing deportable or inadmissible aliens, 
protecting the air transportation system against attack, and 
providing security of Federal buildings and property.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total resources of $3,660,032,000, 
including direct appropriations of $3,409,657,000 and estimated 
offsetting collections of $250,375,000.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                IMMIGRATION AND CUSTOMS SERVICE--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2004   Fiscal year 2005      Committee
                                                             enacted \1\          budget        recommendations
----------------------------------------------------------------------------------------------------------------
Appropriations:
    Salaries and expenses...............................         2,084,358     \2\ 2,370,906      \3\ 2,413,438
    Federal Air Marshals................................           622,704       \4\ 612,900        \4\ 662,900
    Federal Protective Service..........................           424,211      \5\ (478,000)      \5\ (478,000)
    Automation modernization............................            39,764            39,605             39,605
    Air and Marine Interdiction, operation, maintenance            208,960           257,535            267,535
     and procurement....................................
    Construction........................................            26,617            26,179             26,179
                                                         -------------------------------------------------------
      Total, Appropriations.............................         3,460,614         3,307,125          3,409,657
                                                         -------------------------------------------------------
Estimated Fee Collections:
    Immigration inspection user fees....................           107,000            90,000             90,000
    Immigration examinations fees.......................            25,000  .................            25,000
    Student and exchange visitor program fees...........            25,000            65,375             65,375
    Immigration breached bond/detention fund............           116,000            70,000             70,000
                                                         -------------------------------------------------------
        Total, Estimated fee collections................           273,000           225,375            250,375
                                                         =======================================================
        Total, available funding........................         3,679,614         3,532,500          3,660,032
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Includes $5,000,000 for the proposed transfer from the U.S. Secret Service of grant funding for the National
  Center for Missing and Exploited Children to become part of Operation Predator.
\3\ Includes $5,000,000 grant to the National Center for Missing and Exploited Children.
\4\ Reflects a $10,000,000 transfer to the Science and Technology Directorate of research and development funds.
\5\ The Federal Protective Service is fully funded through offsetting collections paid by General Services
  Administration tenants and directly credited to this appropriation.

                         SALARIES AND EXPENSES

Appropriations, 2004 \1\................................  $2,084,358,000
Budget estimate, 2005 \2\...............................   2,370,906,000
Committee recommendation \3\............................   2,413,438,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Includes $5,000,000 for the proposed transfer from the U.S. Secret 
Service of grant funding for the National Center for Missing and 
Exploited Children to become part of Operation Predator.
\3\ Includes $5,000,000 grant to the National Center for Missing and 
Exploited Children.

    The Bureau of Immigration and Customs Enforcement [ICE] 
Salaries and Expenses account provides funds for the 
enforcement of immigration and customs laws, intelligence, 
detention and removals, and the air and marine interdiction 
program. In addition to directly appropriated resources, 
funding is derived from the following offsetting collections:
    Immigration Inspection User Fees.--ICE derives funds from 
user fees to support the costs of detention and removals in 
connection with international inspections activities at 
airports and seaports, as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356).
    Immigration Examinations Fees.--ICE derives funds from fees 
paid by persons applying for immigration benefits to support 
the cost of investigative and intelligence activities in 
connection with adjudication of applications, as authorized by 
the Immigration and Nationality Act (8 U.S.C. 1356).
    Student Exchange Visitor Program Fees.--ICE collects fees 
from foreign students, exchange visitors, and schools and 
universities to certify and monitor participating schools, and 
to conduct compliance audits.
    Immigration Breached Bond/Detention Fund.--ICE derives 
funds from the recovery of breached cash and surety bonds in 
excess of $8,000,000, as authorized by the Immigration and 
Nationality Act (8 U.S.C. 1356); and from a portion of fees 
charged under section 245(i) of the Immigration and Nationality 
Act to support the cost of the detention of aliens.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $2,413,438,000, for salaries and 
expenses of the Bureau of Immigration and Customs Enforcement 
[ICE] for fiscal year 2005. This includes an increase of 
$41,331,000 for pay and other inflationary adjustments. The 
Committee expects that not less than $102,000 of the total 
appropriations recommended will be for promotion of public 
awareness of the child pornography tipline, and not less than 
$203,000 shall be for Project Alert.
    The Committee includes language in the bill placing a 
$30,000 limit on overtime paid to any employee; making up to 
$5,000,000 available for special operations; making up to 
$1,000,000 available for the payment of informants; making up 
to $11,216,000 available to reimburse other Federal agencies 
for the costs associated with the care, maintenance, and 
repatriation of smuggled illegal aliens; and making available 
until expended up to $2,000,000 of the funds provided for 
activities to enforce laws against forced child labor.
    The Committee also includes bill language making available 
$5,000,000 for a grant to the National Center for Missing and 
Exploited Children. This grant was funded in fiscal year 2004 
under the United States Secret Service ``Salaries and 
Expenses'' account.
    In addition, the Committee's recommendation includes an 
increase of $85,532,000 to reflect a higher level of 
administrative expenses within ICE as a result of the 
realignment of base resources between the Bureau of Customs and 
Border Protection and ICE. A reduction of $5,000,000 has been 
applied to ICE to reflect a transfer of funds to the Under 
Secretary of Management for the collection of immigration 
statistics.
    Compliance Teams.--Included in the amount recommended by 
the Committee is $26,500,000, an increase of $16,000,000 and 65 
positions, as requested, to expand the compliance enforcement 
program. This program is responsible for overseeing immigration 
enforcement efforts under the Student Exchange and Visitor 
Program and US VISIT.
    Benefit Fraud Investigations.--The Committee does not 
recommend the requested appropriations to shift benefit fraud 
investigations from a fee-funded activity. The Committee 
believes that this function is properly funded from within the 
Immigration Examinations Fee account.
    Guest Worker/Worksite Enforcement.--The Committee does not 
recommend the requested funding increase for the worksite 
enforcement initiative. This request is premature until the 
required authorizing legislation is passed by the Congress and 
signed into law and the program is actively being developed.
    International Affairs.--Included in the amount recommended 
by the Committee is $14,000,000 and 90 positions, as requested, 
for the visa security units.
    Guantanamo Migrant Operations Center.--The Committee 
recommends $6,216,000, as requested, to allow ICE to take over 
the operations of the Guantanamo Migrant Operations Center from 
the U.S. Navy.
    Detention Beds in Support of Other Programs.--Included in 
the amount recommended by the Committee is $487,721,000, an 
increase of $10,000,000 and 14 positions, to expand the number 
of detention beds available to support the other programs of 
ICE and the Department.
    Alternatives to Detention.--Included in the amount 
recommended by the Committee is $14,202,000, an increase of 
$11,000,000 and 30 positions, as requested, to expand the 
alternatives to detention program.
    Institutional Removal Program.--Included in the amount 
recommended by the Committee is $33,413,000, an increase of 
$30,000,000 and 140 positions, as requested, to provide for the 
transfer of the responsibility of the Institutional Removal 
Program from the Investigations Program to the Detention and 
Removals Program.
    Fugitive Operations.--Included in the amount recommended by 
the Committee is an increase of $50,000,000 and 118 positions, 
as requested, to expand the number of fugitive operations 
teams, to be distributed as follows: personnel, $24,800,000; 
bed space, $14,700,000; and removals, $10,500,000.
    Immigration Legal Workload.--Included in the amount 
recommended by the Committee is $32,718,000, an increase of 
$6,000,000 and 40 positions, as requested, to enhance legal 
staffing to address the growing immigration workload.
    Cyber Crime Center.--The Committee provides $5,000,000 to 
establish a new regional Cyber Crime Center to keep pace with 
workload increases. This center is to be located in an existing 
DHS/ICE office.
    Detention and Removals Reporting.--The Committee is 
concerned that an inadequate level of information has been 
provided to judge the results of increased spending within the 
Detention and Removals program. The Committee requests ICE to 
submit a quarterly report to the Committee which compares the 
number of deportation, exclusion, and removal orders sought and 
obtained by ICE. The report should be broken down by district 
in which the removal order was issued; by type of order 
(deportation, exclusion, removal, expedited removal, and 
others); by agency issuing the order; by the number of cases in 
each category in which ICE has successfully removed the alien; 
and by the number of cases in each category in which ICE has 
not removed the alien.
    New Orleans District Staffing.--The Committee is concerned 
about reports of inadequate staffing for detention and removals 
within the New Orleans District and requests ICE to review the 
staffing needs of this District and to advise the Committee of 
its findings.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                           IMMIGRATION AND CUSTOMS ENFORCEMENT--SALARIES AND EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Headquarters management and administration:
    Personnel compensation and benefits, other services...            31,395            45,676            46,676
    Information technology................................           118,224           120,119           129,119
Investigations:
    Operations............................................           849,955           947,347           963,879
    Training programs.....................................            10,536            15,671            15,671
Intelligence:
    Headquarters reporting center.........................             4,810             4,882             4,882
    Operations............................................            50,374            51,130            55,130
Detention and removals operations:
    Custody management....................................           456,056           482,721           487,721
    Case management.......................................           182,052           192,269           192,269
    Fugitive operations...................................            16,869            35,242            35,242
    Institutional removal program.........................             6,561            33,719            33,719
    Alternatives to detention.............................             3,000            14,202            14,202
    Transportation removal program........................           294,694           311,492           311,492
Air and Marine Operations.................................           113,832           116,436           123,436
Rescission................................................           -54,000  ................  ................
                                                           -----------------------------------------------------
      Total, Salaries and Expenses........................         2,084,358         2,370,906         2,413,438
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Immigration Examinations Fee.--The Committee includes an 
estimate of $25,000,000 within ICE to fund the investigations 
and intelligence needs for Bureau of Citizenship and 
Immigration Services [CIS]. The Committee does not support the 
budget request to provide ICE with appropriated dollars for 
benefit fraud investigations. Investigative and intelligence 
activities directly in support of CIS responsibilities are an 
appropriate expense of the examinations fee account. However, 
the Committee believes that ICE does not adequately provide a 
detailed accounting of its examinations fee account spending to 
CIS. It is reasonable for CIS, as the client, to expect that 
ICE will put into place an adequate system to track 
investigative time spent on CIS-related cases, and provide that 
information to CIS in support of the annual bill for services 
rendered.

                          FEDERAL AIR MARSHALS

Appropriations, 2004 \1\................................    $622,704,000
Budget estimate, 2005 \2\...............................     612,900,000
Committee recommendation \2\............................     662,900,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Transfers $10,000,000 to the Science and Technology Directorate 
``Research, Development, Acquisition and Operations'' account.

    The Federal Air Marshals [FAMs] were transferred to the 
Bureau of Immigration and Customs Enforcement on November 2, 
2003, under the statutory authority for reorganization 
contained in the Homeland Security Act of 2002. The FAMs are 
responsible for protecting the air transportation system 
against terrorist threats, sabotage, and other acts of 
violence. The FAMs account provides funds for the salaries, 
benefits, travel, training, and other expenses of the program.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $662,900,000, for salaries and 
expenses of the Federal Air Marshals for fiscal year 2005.
    The Committee has provided an increase of $50,000,000 from 
the level requested for pay and other inflationary adjustments. 
The Committee transfers $10,000,000 to the Science and 
Technology Directorate for air-to-ground communications 
research and development, as proposed in the budget.
    The Committee believes that, to the greatest extent 
practicable, FAMs should be able to remain inconspicuous to 
fellow air passengers in order to perform their mission. In 
order to expedite the solution to this problem, the FAMs are 
authorized to enter the secured areas of airports to gain 
access to aircraft in the performance of their official duties. 
The credential and badge approved by the Secretary of Homeland 
Security that are issued to the FAMs for identification 
purposes shall be recognized by the Federal Aviation 
Administration, the Transportation Security Administration, and 
the controlling airport authority for entering secured areas of 
airports and for accessing aircraft.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                              FEDERAL AIR MARSHALS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Management and administration.............................           545,204           545,500           595,500
Travel and training.......................................            67,500            67,400            67,400
Air-to-ground communications..............................            10,000           ( \2\ )           ( \2\ )
                                                           -----------------------------------------------------
      Total, Federal Air Marshals.........................           622,704           612,900           662,900
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Transfers $10,000,000 to the Science and Technology Directorate ``Research, Development, Acquisition and
  Operations'' account.

                       FEDERAL PROTECTIVE SERVICE

Appropriations, 2004 \1\................................    $424,211,000
Budget estimate, 2005 \2\...............................     478,000,000
Committee recommendation \2\............................     478,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Fully funded by offsetting collections paid by General Services 
Administration tenants and credited directly to this appropriation.

    The Federal Protective Service [FPS] was established by 
administrative order on January 11, 1971. Pursuant to the 
Homeland Security Act of 2002, FPS was transferred to the 
Department of Homeland Security on March 3, 2003, and 
incorporated into the Bureau of Immigration and Customs 
Enforcement. FPS is responsible for the security and protection 
of Federal property under the control of the General Services 
Administration [GSA]; and for the enforcement of laws for the 
protection of persons and property, the prevention of breaches 
of peace, and enforcement of any rules and regulations made and 
promulgated by the GSA Administrator. The FPS authority can 
also be extended by agreement to any area with a significant 
Federal interest. The FPS account provides funds for the 
salaries, benefits, travel, training, and other expenses of the 
program.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $478,000,000 for salaries and 
expenses of the Federal Protective Service for fiscal year 
2005; this amount is fully offset by collections. This is the 
same as the budget request and includes an increase of 
$53,789,000 for pay and other inflationary adjustments.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                           FEDERAL PROTECTIVE SERVICE
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                         Fiscal year 2004  Fiscal year 2005       Committee
                                                            enacted \1\       budget \2\     recommendations \2\
----------------------------------------------------------------------------------------------------------------
Basic security.........................................            89,057           106,362             106,362
Building specific security.............................           335,154           371,638             371,638
                                                        --------------------------------------------------------
      Total, Federal Protective Service................           424,211           478,000             478,000
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Fully funded by offsetting collections paid by General Services Administration tenants and credited directly
  to this appropriation.

                        AUTOMATION MODERNIZATION

Appropriations, 2004 \1\................................     $39,764,000
Budget estimate, 2005...................................      39,605,000
Committee recommendation................................      39,605,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Automation Modernization account provides funds for 
major information technology projects for the Bureau of 
Immigration and Customs Enforcement.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $39,605,000 for the Automation 
Modernization account for fiscal year 2005, to be available 
until expended, as requested in the budget.

 AIR AND MARINE INTERDICTION, OPERATIONS, MAINTENANCE, AND PROCUREMENT

Appropriations, 2004 \1\................................    $208,960,000
Budget estimate, 2005...................................     257,535,000
Committee recommendation................................     267,535,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Bureau of Immigration and Customs Enforcement [ICE] Air 
and Marine Operations [AMO] identifies, deters, interdicts, and 
investigates acts of terrorism and smuggling arising from 
unlawful movement of people and goods into and out of the 
United States. AMO conducts missions along the southern borders 
of the United States, Mexico, South America and the Caribbean. 
Since September 11, 2001, AMO has established a presence along 
the northern border and the National Capitol Region of 
Washington, DC. This account funds the capital procurement and 
total operations and maintenance costs of the ICE air and 
marine program and provides support to other Federal, State, 
and local agencies.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $267,535,000 for air and marine 
interdiction, operations, maintenance, and procurement, to be 
available until expended. Included in this amount is $8,075,000 
for inflationary adjustments.
    Long-Range Radar.--The Committee provides $12,500,000, as 
requested, to enable the Air and Marine Operations [AMO] 
program to fund its portion of the cost of the long-range radar 
program operated by the Federal Aviation Administration.
    P-3 Flight Hours.--Included in the amount recommended by 
the Committee is $69,400,000, an increase of $28,000,000, as 
requested, to increase the number of flight hours of P-3 
aircraft.
    Unmanned Aerial Vehicles.--The Committee provides 
$10,000,000 to initiate development, procurement, deployment, 
and operation of a system of unmanned aerial vehicles to 
support ICE and other components of the Department. This 
funding was requested in the budget under the Bureau of Customs 
and Border Protection [CBP] ``Salaries and Expenses'' account. 
AMO, as the lead agency, should work closely with CBP and the 
United States Coast Guard on the development of this program.
    Northern Border Resources.--Included in the amount 
recommended by the Committee is $48,000,000, for the Northern 
border air resources. The Committee directs that $12,800,000, 
reflecting one-time costs funded for fiscal year 2004 recurred 
in the base, be made available for the acquisition of 
additional aircraft to enhance Northern border air coverage.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                      AIR AND MARINE INTERDICTION, OPERATIONS, MAINTENANCE, AND PROCUREMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Operations and maintenance................................           158,760           196,535           199,535
Procurement...............................................            50,200            61,000            68,000
                                                           -----------------------------------------------------
      Total, Air and Marine Operations....................           208,960           257,535           267,535
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

                              CONSTRUCTION

Appropriations, 2004 \1\................................     $26,617,000
Budget estimate, 2005...................................      26,179,000
Committee recommendation................................      26,179,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    This appropriation provides funding to plan, construct, 
renovate, equip, and maintain buildings and facilities 
necessary for the administration and enforcement of the laws 
relating to immigration, detention, and alien registration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $26,179,000, to be available until 
expended, for activities of the Bureau of Immigration and 
Customs Enforcement construction account. This is the full 
amount requested in the budget, including $438,000 in cost 
savings.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:


                                                  CONSTRUCTION
                                             [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                   Fiscal year
                                                                  2004 enacted     Fiscal year      Committee
                                                                       \1\         2005 budget   recommendations
----------------------------------------------------------------------------------------------------------------
Krome, FL, Service Processing Center...........................           2,500  ..............  ...............
Aquadilla, PR, Service Processing Center.......................           4,700  ..............  ...............
El Centro, CA, Service Processing Center.......................           6,150  ..............  ...............
Guantanamo Migrant Operations Center...........................           6,000  ..............  ...............
Port Isabel, TX, 200-bed secure dorm...........................           1,650           6,600            6,600
Batavia, NY, 200-bed secure dorm...............................  ..............          15,000           15,000
Facility repair and alterations................................           5,617           4,579            4,579
                                                                ------------------------------------------------
      Total, Construction......................................          26,617          26,179           26,179
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

                 Transportation Security Administration

    The Transportation Security Administration [TSA] was 
established within the Department of Transportation [DOT] on 
November 19, 2001, with the enactment of Public Law 107-71, the 
Aviation and Transportation Security Act [ATSA]. ATSA 
identified a series of objectives and authorities under which 
TSA would improve security across all modes of transportation 
for the American public, and for the first time, made overall 
aviation security a direct Federal responsibility. Public Law 
107-296, the Homeland Security Act of 2002, transferred TSA 
from DOT to the Department of Homeland Security. TSA is charged 
with ensuring security across U.S. transportation systems, 
including aviation, railways, highways, pipelines, and 
waterways, and safeguarding the freedom of movement of people 
and commerce. Separate appropriations are provided for the 
following activities within TSA: aviation security; maritime 
and land security; intelligence; research and development; and 
administration.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total appropriations of 
$5,226,935,000 for activities of the Transportation Security 
Administration for fiscal year 2005.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                             TRANSPORTATION SECURITY ADMINISTRATION--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Aviation Security.........................................         3,724,112         4,238,164         4,386,083
Maritime and Land \2\.....................................           261,449            29,000           111,000
Intelligence..............................................            13,520            14,000            14,000
Research and Development..................................           154,285           154,000           181,000
Administration............................................           424,679           539,852           534,852
                                                           -----------------------------------------------------
      Total, Appropriations...............................         4,578,045         4,975,016         5,226,935
                                                           =====================================================
Offsetting collections....................................         2,070,000         2,223,000         1,890,000
                                                           -----------------------------------------------------
      Total, Transportation Security Administration.......         2,508,045         2,752,016         3,336,935
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Excludes funds for grant programs transferred to the Office of State and Local Government Preparedness and
  Coordination under the reorganization proposal submitted pursuant to Section 872 of Public Law 107-296.

                           AVIATION SECURITY

Appropriations, 2004 \1\................................  $3,724,112,000
Budget estimate, 2005...................................   4,238,164,000
Committee recommendation................................   4,386,083,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Transportation Security Administration aviation 
security account provides for Federal aviation security by 
employing the most efficient screening of all passengers and 
baggage, deployment of on-site law enforcement, continuation of 
a uniform set of background requirements for airport and 
airline personnel, deployment of the most current explosive 
detection technology, and creation of a model workplace.
    The aviation security activities include funding for 
Federal and private contract passenger and baggage screeners, 
including personnel compensation and benefits, training, and 
human resource services; passenger checkpoint support; air 
cargo security; procurement and maintenance of explosive 
detection systems; and checkpoint support.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $4,386,083,000 for aviation 
security. The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                                AVIATION SECURITY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Passenger screening.......................................         1,801,764         2,026,814         2,076,733
Baggage screening.........................................         1,315,666         1,377,460         1,437,460
Airport security direction and enforcement................           701,682           833,890           871,890
Use of prior year balances................................           -95,000  ................  ................
                                                           -----------------------------------------------------
      Total, Aviation Security............................         3,724,112         4,238,164         4,386,083
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Pursuant to Section 118 of Public Law 107-71, the Aviation 
and Transportation Security Act, fees are collected by TSA for 
security previously incurred by the air carriers and now 
conducted by the Federal Government. The President's budget for 
fiscal year 2005 assumes that TSA will collect $750,000,000 in 
air carrier fees which will be available to directly offset TSA 
appropriations requirements. The budget includes a legislative 
proposal to ensure collection of this amount, given the current 
$400,000,000 gap between fee estimates and actual fee 
collections. The Committee has included language in the bill 
requiring the General Accounting Office to conduct audits of 
air carriers' actual security costs for passenger and property 
screening incurred in calendar year 2000. The air carriers have 
expressed to the Committee their willingness to fully comply 
and cooperate with audit activities to resolve this issue. If 
the audits conclude that additional fees are owed to TSA by the 
air carriers, the Secretary shall undertake all available steps 
to collect these amounts. The Committee makes any additional 
fee collections available for security modifications, including 
Letters of Intent [LOIs], at commercial airports.

                          PASSENGER SCREENING

    The Committee recommends $2,076,733,000 for passenger 
screening activities. The following table summarizes the 
Committee's recommendations as compared to the fiscal year 2004 
and budget request levels:

                                               PASSENGER SCREENING
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Contract screening airports...............................           118,726           129,654           129,654
Passenger screeners.......................................         1,316,564         1,445,486         1,445,486
Passenger screeners, training, and other..................           113,838           140,614           140,614
Human resource services...................................           150,871           150,000           150,000
Checkpoint support........................................            61,857            86,060           161,060
Computer Assisted Passenger Pre-screening System (CAPPS               34,919            60,000            34,919
 II)......................................................
Registered traveler.......................................             4,989            15,000            15,000
                                                           -----------------------------------------------------
      Total, Passenger Screening..........................         1,801,764         2,026,814         2,076,733
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Contract Screening Airports.--The Committee recommends 
$129,654,000 for contract screening airports for fiscal year 
2005. This amount is $10,928,000 more than the fiscal year 2004 
level and the same as the budget request.
    The budget request and recommendation for funding is based 
on an estimate of resources necessary to maintain the current 
five pilot airports and does not take into account airports 
that may opt for private contract screening in lieu of Federal 
screening. The Committee encourages TSA to expedite the 
application, review, and award process for airports applying to 
opt out of using Federal screeners. In the event that 
additional airports beyond the five pilot airports currently 
budgeted for are awarded the ability to utilize a private 
screener workforce, the Committee expects TSA to adhere to the 
requirements for the reprogramming of funds pursuant to section 
502 of this Act.
    Passenger Screeners.--The Committee recommends 
$1,445,486,000 for passenger screener workforce personnel 
compensation and benefits. This amount is $128,922,000 more 
than the fiscal year 2004 level and the same as the budget 
request.
    Checkpoint Support.--The Committee recommends $161,060,000, 
$99,203,000 more than the fiscal year 2004 level and 
$75,000,000 more than the budget request, for passenger 
checkpoint support for reconfiguration; purchase, installation, 
and maintenance of checkpoint equipment; and electronic 
surveillance of checkpoints. The increase provided above the 
budget request is made available for the procurement of new 
checkpoint technologies currently being tested to detect 
explosives and chemical weapons in the screening of passengers.
    The Committee is aware of TSA's efforts to screen 
passengers' checked baggage by means of explosive detection 
systems, explosive trace detection, and canine units; however, 
current deficiencies of screening passengers and their carry-on 
baggage for explosives continues to warrant concern. No later 
than July 1, 2005, a detailed report shall be provided to the 
Committee on TSA's current pilot program to screen passengers 
and carry-on baggage for explosives, including implementation 
costs and schedules for purchase, installation, and maintenance 
of new technologies.
    The Committee is concerned that passenger security wait 
times at airport checkpoints have continued to increase as TSA 
attempts to maintain adequate staffing of screener personnel as 
passenger traffic increases. To inform the public of wait times 
at airports, the Committee encourages TSA to publish monthly 
high, low and average wait times for the Nation's major 
airports on its web site beginning in November 2004, and to 
inform the Committee if this information will not be available 
by this time.
    Computer Assisted Passenger Pre-screening System.--The 
Committee recommends $34,919,000 for the second generation 
Computer Assisted Passenger Pre-screening System [CAPPS II]. 
This amount is the same as the fiscal year 2004 level and 
$25,081,000 less than the budget request. The Committee is 
supportive of the development of CAPPS II to provide an 
additional layer of aviation security as directed by Public Law 
107-71, the Aviation and Transportation Security Act. However, 
delays in obtaining Passenger Name Record data from air 
carriers needed for testing have postponed the initial 
operating capability of the system and, as a consequence, 
delayed the obligation and expenditure of available funds. The 
amount recommended by the Committee, together with available 
carryover balances, will be sufficient to meet fiscal year 2005 
program funding requirements. The Committee encourages TSA to 
commence rulemaking proceedings, and, if needed, issue a 
security directive at the earliest possible date to require air 
carriers to release Passenger Name Record data for testing.

                           BAGGAGE SCREENING

    The Committee recommends $1,437,460,000 for baggage 
screening activities. The following table summarizes the 
Committee's recommendations as compared to the fiscal year 2004 
and budget request levels:

                                                BAGGAGE SCREENING
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Baggage screeners.........................................           772,419           848,860           848,860
Baggage screener training.................................            69,340           203,660           203,660
Explosive detection system [EDS]/explosive trace detection           149,655           150,000           210,000
 [ETD] procurement........................................
EDS/ETD installation/airport security modifications,                 249,425           ( \2\ )           ( \2\ )
 Letters of Intent [LOIs].................................
EDS/ETD maintenance.......................................            74,827           174,940           174,940
                                                           -----------------------------------------------------
      Total, Baggage Screening............................         1,315,666         1,377,460         1,437,460
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ The budget assumes $250,000,000 in direct funding fee collections pursuant to Section 605 of Public Law 108-
  176.

    Baggage Screeners.--The Committee recommends $848,860,000 
for baggage screener workforce personnel compensation and 
benefits. This amount is $76,441,000 more than the fiscal year 
2004 level and the same as the budget request.
    Explosive Detection Systems [EDS]/Explosive Trace Detection 
[ETD] Procurement.--The Committee recommends $210,000,000, 
$60,345,000 more than the fiscal year 2004 level and 
$60,000,000 more than the budget request, for the procurement 
of explosive detection systems and explosive trace detection 
machines. The increase will provide for the procurement of next 
generation in-line explosive detection system technologies made 
available for deployment that are currently being tested, 
certified, and piloted.
    Airport Security Modifications.--The Aviation Security 
Capital Fund authorized by Public Law 108-176, the Vision 100-
Century of Aviation Reauthorization Act, makes $250,000,000 
available for fiscal year 2005 from fee collections to enter 
into Letters of Intent [LOIs] with airports for the 
installation of explosive detection systems.
    The Committee believes that a strong commitment to LOIs to 
install explosive detection systems in an in-line system is an 
important component in improving passenger security. Security 
improvements will maximize the efficiency of operations to help 
minimize lobby congestion, decrease passenger-processing time, 
and allow for reduced screening personnel.

               AIRPORT SECURITY DIRECTION AND ENFORCEMENT

    The Committee recommends $871,890,000 for airport security 
direction and enforcement. The following table summarizes the 
Committee's recommendations as compared to the fiscal year 2004 
and budget request levels:

                                   AIRPORT SECURITY DIRECTION AND ENFORCEMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2004   Fiscal year 2005      Committee
                                                             enacted \1\          budget        recommendations
----------------------------------------------------------------------------------------------------------------
Aviation regulation and other enforcement...............           274,766           227,000            227,000
Airport mangagement & staff.............................           233,262           284,000            284,000
Airport information technology and other support........           138,780           267,890            292,890
Federal Flight Deck Officer program.....................            24,943            25,000             25,000
Air cargo security......................................            29,931            30,000             43,000
Flight school background checks \2\.....................  ................        \3\ (4,600)        \3\ (4,600)
                                                         -------------------------------------------------------
      Total, Airport Security Direction and Enforcement.           701,682           833,890            871,890
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Transferred from the Department of Justice to the Department of Homeland Security pursuant to Section 612 of
  Public Law 108-176.
\3\ Fully funded by offsetting fee collections.

    Aviation Regulation and Other Enforcement.--The Committee 
recommends $227,000,000 for State and local reimbursement 
agreements for local law enforcement officers. The 
recommendation reflects flexibility provided for law 
enforcement personnel in airports by Public Law 108-7.
    Airport Information Technology and Support.--The Committee 
recommends $292,890,000, $154,110,000 more than the fiscal year 
2004 level and $25,000,000 more than the budget request, to 
establish adequate information technology connectivity with all 
airports across the Nation, including Federal Security Director 
offices and passenger and baggage screener checkpoints, to 
increase screener performance and enhanced security.
    Federal Flight Deck Officer Program.--The Committee 
recommends $25,000,000, $57,000 more than the fiscal year 2004 
level and the same as the budget request, to support 
continuation of Federal Flight Deck Officer training of 
passenger and air cargo pilots to act as the last line of 
defense against a terrorist attack on an aircraft.
    The Committee is encouraged by TSA's efforts to increase 
the number of volunteer pilots that are trained as Federal 
Flight Deck Officers [FFDO]. The Committee understands that TSA 
has implemented a highly effective training program, in 
conjunction with the Federal Law Enforcement Training Center 
[FLETC], and has also taken steps to provide for 
requalification training at FLETC and at local facilities 
throughout the country. The Committee encourages TSA to 
continue to use FLETC facilities, when available, to conduct 
this training. The Committee directs TSA to assess the 
cooperation by the air carriers and pilots, in scheduling 
training for new FFDO candidates so that all pilots who wish to 
be trained, and qualify, can do so easily.
    Air Cargo Security.--The Committee recommends $43,000,000, 
$13,069,000 more than the fiscal year 2004 level and 
$13,000,000 more than the budget request, for air cargo 
security activities. Additional funding is provided for 
developing technologies to secure air cargo in the ``Research 
and Development'' account.
    The Committee is aware of the commitment of TSA to secure 
cargo transported on passenger and cargo planes. TSA will work 
with industry and other Federal agencies to ensure the 
inspection of 100 percent of high-risk air cargo. The Committee 
recommends continued funding for the maintenance of the 
automated ``known shipper'' database currently being deployed 
to centralize data submitted by indirect air carriers [IACs] 
and shippers to provide the ability to immediately verify the 
status of a specific shipper and to enhance the ability to 
determine high-risk air cargo deemed necessary for screening.
    With the funds made available, TSA is encouraged to 
continue coordination of the Bureau of Customs and Border 
Protection [CBP] Customs-Trade Partnership Against Terrorism 
with the ``known shipper'' program to develop a domestic air 
cargo targeting capability that will promote supply chain 
security.
    The Committee is encouraged by TSA's initiative to develop 
a cargo prescreening system in coordination with CBP and 
industry that will utilize the ``known shipper'' database, IAC 
databases, and terrorist watch lists. Until the cargo 
prescreening system is operational, the Committee encourages 
increased random screening inspections of air cargo transported 
on passenger and all-cargo air carriers.
    Of the increase provided in fiscal year 2005 for air cargo 
security, $10,000,000 is provided for the hiring of 100 
regulatory inspectors to ensure industry compliance with 
current and future air cargo security requirements. This will 
complement the 100 regulatory inspectors hired in fiscal year 
2004 as part of the first phase of a multi-year plan to provide 
increased inspection and enforcement regulatory oversight. The 
Committee provides an increase of $3,000,000 from the budget 
request for the expansion of the explosives detection canine 
teams to assist in screening air cargo on passenger and all-
cargo aircraft.
    The Committee also encourages TSA to expedite the Notice of 
Proposed Rulemaking to strengthen security requirements for 
indirect air carriers and to enhance TSA's ability to take 
enforcement actions against non-compliant IAC.
    Flight School Background Checks.--The Alien Pilot Security 
Assessment Program was transferred to the Department of 
Homeland Security from the Department of Justice pursuant to 
Section 612 of Public Law 108-176 and provides authority to 
assess a fee to conduct background checks on aliens and other 
individuals determined by the Secretary to present a risk to 
aviation or national security. The budget assumes $4,600,000 in 
fee collections for fiscal year 2005.
    General Aviation.--The Committee expects TSA to continue 
funding of the toll-free number 1-866-GA-Secure to reinforce 
security at the Nation's 5,400 public use general aviation 
airports.

                       MARITIME AND LAND SECURITY

Appropriations, 2004 \1\................................    $261,449,000
Budget estimate, 2005 \2\...............................      29,000,000
Committee recommendation................................      44,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Excludes funds for grant programs transferred to the Office of State 
and Local Government Preparedness and Coordination under the 
reorganization proposal submitted pursuant to Section 872 of Public Law 
107-296.

    Maritime and land security provides oversight of non-
aviation transportation modes, including rail, highway, mass 
transit, cruise ship and ferries, by issuing regulations and 
executing security standards established through collaborative 
efforts between TSA and other relevant Federal, State and local 
transportation agencies.
    The maritime and land security account provides funding for 
personnel and operational resources to assess the risk of a 
terrorist attack on non-aviation modes and the need for 
standards and procedures to address those risks, and to ensure 
compliance with established regulations and policies.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $44,000,000 for maritime and land 
security. The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                           MARITIME AND LAND SECURITY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Port security grants......................................           124,263           ( \2\ )           ( \2\ )
Transportation worker identification credentialing [TWIC].            49,705            55,000            55,000
Intercity bus security grants.............................             9,941           ( \2\ )           ( \2\ )
Operation Safe Commerce...................................            16,900           ( \2\ )           ( \2\ )
Trucking industry security grants.........................            21,870           ( \2\ )           ( \2\ )
Rail security.............................................  ................  ................            15,000
Hazardous materials driver license endorsement program....             6,959            17,000            17,000
Nuclear detection and monitoring..........................             3,976  ................  ................
Staffing..................................................            27,835            24,000            24,000
Credentialing fee activities..............................  ................           -67,000           -67,000
                                                           -----------------------------------------------------
      Total, Maritime and Land Security...................           261,449            29,000            44,000
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Included under the Office of State and Local Government Coordination and Preparedness.

    Grant Program Consolidation.--The Secretary provided 
congressional notification on January 26, 2004, pursuant to 
Section 872 of Public Law 107-296, of a reorganization to 
consolidate organizational units within the Department of 
Homeland Security, including select grant award functions of 
TSA to be consolidated within the Office of State and Local 
Government Coordination and Preparedness [SLGCP]. The 
reorganization of TSA maritime and land security programs from 
TSA to SLGCP includes port security grants, intercity bus 
security grants, Operation Safe Commerce, and trucking industry 
security grants. Despite this consolidation of selected grant 
award functions, TSA will retain operational subject matter 
expertise and be fully engaged in the administration of these 
programs in cooperation with the SLGCP.
    Rail Security.--The Committee recommends $15,000,000 for 
the safety and security of the Nation's railways.
    Of the total amount provided, $10,000,000 is for the 
deployment of 100 Federal compliance inspectors for mass 
transit and passenger rail to conduct on-site inspections of 
transit and passenger rail systems to ensure compliance with 
minimum standards and recently issued security directives and 
to identify coverage gaps. The Committee expects TSA Federal 
compliance inspectors to leverage existing TSA, Federal 
Railroad Administration, and Federal Transit Authority 
resources. The Committee also provides $5,000,000 for the 
deployment of canine explosives detection teams. Additional 
funding for rail security is provided under SLGCP, the Science 
and Technology Directorate, and the Information Analysis and 
Infrastructure Protection Directorate.
    Transportation Worker Identification Credential.--The 
Committee recommends $55,000,000 for the Transportation Worker 
Identification Credential [TWIC], as requested in the budget. 
The funds provided for fiscal year 2005 are provided to make 
the necessary infrastructure investment and implement the TWIC 
for targeted high-risk populations of transportation workers 
based on the evaluation of five card-based technologies carried 
out in fiscal year 2003 and the prototype conducted in fiscal 
year 2004.
    Fee Authority.--Public Law 108-90 (6 U.S.C. 469) authorizes 
the Secretary to charge reasonable fees for providing 
credentialing and background investigations of transportation 
workers. Of the $55,000,000 provided for TWIC, $50,000,000 will 
be generated through fee collections in order for TSA to 
distribute an estimated 1 million credentials over fiscal years 
2005 and 2006 to transportation workers who require access to 
high-risk areas of the transportation system.
    The budget request also assumes the collection of 
$17,000,000 in fees for the hazardous materials driver license 
endorsement program to conduct name and criminal background 
checks on an estimated 3.5 million commercial drivers currently 
licensed to carry hazardous materials.

                              INTELLIGENCE

Appropriations, 2004 \1\................................     $13,520,000
Budget estimate, 2005...................................      14,000,000
Committee recommendation................................      14,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Transportation Security Administration is the primary 
liaison for transportation security with the intelligence and 
law enforcement communities to provide current and strategic 
warnings regarding threats to the Nation's transportation modes 
and the identification of trends and changes in assessments of 
any threats to the safety of transportation.
    This account provides funding for the Transportation 
Security Intelligence Service to analyze and disseminate 
intelligence information affecting the transportation industry 
to provide intelligence to transportation security personnel 
nationwide.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $14,000,000 for intelligence 
operations, as requested in the budget.

                        RESEARCH AND DEVELOPMENT

Appropriations, 2004 \1\................................    $154,285,000
Budget estimate, 2005...................................     154,000,000
Committee recommendation................................     181,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Research and development activities of the Transportation 
Security Administration focus on the prevention of terrorist-
committed criminal civil aviation and non-aviation security 
incidents by developing technologies and standards to counter 
traditional and non-traditional threats.
    The research and development account activities include 
funding for staff and administration at the Transportation 
Security Laboratory and applied research projects and grants to 
develop advanced security technology equipment and systems, 
including next generation explosive detection systems and air 
cargo security technology research.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $181,000,000 for research and 
development. The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                            RESEARCH AND DEVELOPMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Research & development/Transportation Security Laboratory.            54,874            49,000            49,000
Next generation EDS.......................................            44,735            50,000            57,000
Air cargo.................................................            54,676            55,000            75,000
                                                           -----------------------------------------------------
      Total, Research and Development.....................           154,285           154,000           181,000
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Next Generation Explosive Detection Systems.--The Committee 
recommends $57,000,000 to accelerate research and development 
of next generation Explosive Detection Systems [EDS]. This is 
$12,265,000 more than the fiscal year 2004 level and $7,000,000 
more than the budget request. The Committee is encouraged by 
the progress made by the Transportation Security Laboratory in 
development of explosive detection equipment that will increase 
baggage throughput, lower false positive alarm rates, and 
reduce the size of the equipment installed in airports. With 
limited funding available for airport security modifications, 
the Committee believes the evolution of smaller, less expensive 
systems are essential for airports' installation of in-line 
solutions without forcing the costly, large-scale redesign and 
construction of baggage conveyor systems.
    Air Cargo.--The Committee recommends $75,000,000, 
$20,324,000 more than the fiscal year 2004 level and 
$20,000,000 more than the budget request for research and 
development to investigate technologies to provide more 
effective and efficient methods of detecting air cargo threats. 
Additional funding for air cargo security is provided to TSA in 
the aviation security direction and enforcement activity.
    The Committee encourages TSA to continue its efforts on the 
Air Cargo Inspection Technology Improvement program to pursue 
new technological solutions for inspecting cargo carried on 
passenger aircraft. The Committee recognizes the screening 
capability restrictions due to equipment size limitations and 
provides $5,000,000 of the increase for air cargo research and 
development to accelerate the development of technology to 
detect explosives in containerized air cargo bound for 
passenger and all-cargo aircraft.
    In the interim, the Committee provides $15,000,000 for TSA 
to continue operational testing and evaluation of commercial 
off-the-shelf explosives detection systems and technologies 
that will detect materialized container-specific cargo threats 
as part of the Air Cargo Inspection pilot program. This will 
allow for the expansion of the pilot to airports experiencing 
extreme environmental conditions to ensure equipment 
durability.

                             ADMINISTRATION

Appropriations, 2004 \1\................................    $424,679,000
Budget estimate, 2005...................................     539,852,000
Committee recommendation................................     534,852,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Administration of the Transportation Security 
Administration provides for financial, human resources, and 
information technology support; policy development and 
oversight; performance management and implementation of e-
government initiatives; communications, public information and 
legislative affairs functions; training and quality 
performance; internal conduct and audit; legal counsel; and the 
overall administration of TSA headquarters operations.
    The administration account provides funding for personnel 
compensation and benefits; general operating expenses for 
headquarters and field locations; staff training; and 
information technology applications.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $534,852,000 for TSA 
administration, $5,000,000 less than the amount requested in 
the budget. The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                                 ADMINISTRATION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Headquarters support......................................           172,675           277,382           277,382
Mission Support Centers...................................            39,764            14,000             9,000
Information technology applications.......................           196,931           240,470           240,470
Corporate training........................................            15,309             8,000             8,000
                                                           -----------------------------------------------------
      Total, Administration...............................           424,679           539,852           534,852
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Headquarters Support.--The Committee recommends 
$277,382,000 for personnel compensation and benefits and 
general operating expenses of headquarters administration 
personnel and programs supporting operations at TSA 
headquarters.
    Mission Support Centers.--The Committee recommends 
$9,000,000 to provide field personnel with immediate 
operational and technical support. The Committee recommendation 
reflects the impact of fewer employees assigned to the Mission 
Support Centers than first envisioned and more current budget 
assumptions.
    Injury and Illness Rates.--The Committee is concerned with 
the January 2004 Occupational Safety and Health Administration 
report indicating that TSA has a higher personnel injury rate 
than any other Federal agency. The Committee requests TSA to 
provide a report to the Committee by March 31, 2005, describing 
efforts to reduce injuries of TSA personnel. The report should 
outline the corrective measures and improvements to equipment 
made to reduce the number of injury and illness among 
screeners.

                       United States Coast Guard


                                SUMMARY

    The United States Coast Guard's primary responsibilities 
are the enforcement of all applicable Federal laws on the high 
seas and waters subject to the jurisdiction of the United 
States; promotion of safety of life and property at sea; 
assistance to navigation; protection of the marine environment; 
and maintenance of a state of readiness to function as a 
specialized service in the Navy in time of war, as authorized 
by sections 1 and 2 of title 14, United States Code.
    On March 1, 2003, the United States Coast Guard was 
transferred in its entirety from the Department of 
Transportation to the Department of Homeland Security in 
accordance with the Homeland Security Act of 2002 (Public Law 
107-296). The Commandant of the Coast Guard reports directly to 
the Secretary of the Department of Homeland Security.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a total program level of 
$7,469,130,000 for the activities of the Coast Guard for fiscal 
year 2005. The following table summarizes the Committee's 
recommendations, as compared to the fiscal year 2004 and budget 
request levels:

                                   UNITED STATES COAST GUARD--FUNDING SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                                 enacted           budget        recommendations
----------------------------------------------------------------------------------------------------------------
Operating Expenses........................................  \1\ \2\ 4,637,43         5,173,220         5,153,220
                                                                           3
Environmental Compliance and Restoration..................        \2\ 16,900            17,000            17,000
Reserve Training..........................................        \2\ 94,440           117,000           117,000
Acquisition, Construction, and Improvements...............       \2\ 961,492           942,550         1,062,550
Alteration of Bridges.....................................        \2\ 19,136  ................            15,400
Research, Development, Test and Evaluation................        \2\ 14,912           ( \3\ )            18,500
Retired Pay (mandatory)...................................         1,020,000         1,085,460         1,085,460
                                                           -----------------------------------------------------
      Total, United States Coast Guard....................         6,764,313         7,335,230         7,469,130
----------------------------------------------------------------------------------------------------------------
\1\ Includes $71,000,000 rescission pursuant to Public Law 108-90 and $23,183,000 in emergency supplemental
  appropriations for costs related to Hurricane Isabel damage purusant to Public Law 108-106.
\2\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\3\ Proposed to be funded under the Science and Technology ``Research, Development, Acquisition and Technology''
  account.

                           OPERATING EXPENSES

Appropriations, 2004 \1\................................  $4,637,433,000
Budget estimate, 2005...................................   5,173,220,000
Committee recommendation................................   5,153,220,000

\1\ Includes $71,000,000 rescission pursuant to Public Law 108-90 and 
$23,183,000 in emergency supplemental appropriations for costs related 
to Hurricane Isabel damage pursuant to Public Law 108-106. Also includes 
0.59 percent rescission pursuant to Public Law 108-199.

    The Operating Expenses appropriation provides funds for the 
operation and maintenance of multipurpose vessels, aircraft, 
and shore units strategically located along the coasts and 
inland waterways of the United States and in selected areas 
overseas. The program activities of this appropriation fall 
into the following categories:
    Search and Rescue.--As one of its earliest and most 
traditional missions, the Coast Guard maintains a nationwide 
system of boats, aircraft, cutters, and rescue coordination 
centers on 24-hour alert.
    Aids to Navigation.--To help mariners determine their 
location and avoid accidents, the Coast Guard maintains a 
network of manned and unmanned aids to navigation along the 
Nation's coasts and on its inland waterways, and operates radio 
stations in the United States and abroad to serve the needs of 
the armed services and marine and air commerce.
    Marine Safety.--The Coast Guard ensures compliance with 
Federal statutes and regulations designed to improve safety in 
the merchant marine industry and operates a recreational 
boating safety program.
    Marine Environmental Protection.--The primary objectives of 
the marine environmental protection program are to minimize the 
dangers of marine pollution and to assure the safety of ports 
and waterways.
    Enforcement of Laws and Treaties.--The Coast Guard is the 
principal maritime enforcement agency with regard to Federal 
laws on the navigable waters of the United States and the high 
seas, including fisheries, drug smuggling, illegal immigration, 
and hijacking of vessels.
    Ice Operations.--In the Arctic and Antarctic, Coast Guard 
icebreakers escort supply ships, support research activities 
and Department of Defense operations, survey uncharted waters, 
and collect scientific data. The Coast Guard also assists 
commercial vessels through ice-covered waters.
    Defense Readiness.--During peacetime, the Coast Guard 
maintains an effective state of military preparedness to 
operate as a service in the Navy in time of war or national 
emergency at the direction of the President. As such, the Coast 
Guard has primary responsibility for the security of ports, 
waterways, and navigable waters up to 200 miles offshore.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $5,153,220,000 for Coast Guard 
Operating Expenses, including $24,500,000 from the Oil Spill 
Liability Trust Fund, and $1,090,000,000 for the Coast Guard's 
defense-related activities including drug interdiction. The 
Committee recommendation does not include $10,000,000 requested 
in the budget for a pay and performance demonstration project. 
The Department has informed the Committee that the new pay 
system will be piloted by another agency within the Department.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                               OPERATING EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Military pay and related costs:
    Military pay and allowances...........................        $1,981,950    \2\ $2,161,114        $2,161,114
    Military health care..................................           462,147           544,785           544,785
    Permanent change of stations..........................           104,564           106,928           106,928
    Federal Employee Compensation Act [FECA]/Unemployment              4,394           ( \3\ )           ( \3\ )
     Compensation for ex-Coast Guard Military Members
     [UCX]................................................
                                                           -----------------------------------------------------
        Subtotal, Military pay and related costs..........         2,553,055         2,812,827         2,812,827
                                                           =====================================================
Civilian pay and benefits:
    Civilian pay and benefits.............................           378,997       \4\ 466,110           466,110
    Pay parity for civilians..............................             4,222  ................  ................
                                                           -----------------------------------------------------
      Subtotal, Civilian pay and benefits.................           383,219           466,110           466,110
                                                           =====================================================
Training and recruiting:
    Training and education................................           106,009            81,407            81,407
    Recruiting............................................            20,580            85,034            80,034
    Area and district training and education..............             3,976  ................  ................
    Command training and education........................            34,893  ................  ................
    DHS administration services...........................            -2,187  ................  ................
                                                           -----------------------------------------------------
      Subtotal, Training and recruiting...................           163,271           166,441           161,441
                                                           =====================================================
Operating funds and unit level maintenance:
    Atlantic area command.................................           144,854           153,427           153,427
    Pacific area command..................................           160,587           175,377           175,377
    1st district..........................................            38,480            43,367            43,367
    7th district..........................................            54,177            52,004            52,004
    8th district..........................................            38,919            36,302            36,302
    9th district..........................................            20,737            23,265            23,265
    13th district.........................................            15,955            18,050            18,050
    14th district.........................................            11,454            12,512            12,512
    17th district.........................................            28,682            22,557            22,557
    Headquarters offices..................................           413,459           317,322           302,322
    Headquarters managed units............................           110,653            74,175            74,175
    Other activities......................................             2,277               767               767
    Portable radiation search tools.......................             1,491  ................  ................
    Travel................................................            -3,976  ................  ................
    Department of Homeland Security administrative serv-             -11,134  ................  ................
     ices.................................................
    Centrally-managed account.............................          -130,327  ................  ................
    Command training and education........................           -34,893  ................  ................
                                                           -----------------------------------------------------
      Subtotal, Operating funds and unit level maintenance           861,395           929,125           914,125
                                                           =====================================================
    Centrally-managed accounts:
        Centrally-managed operating expenses..............           130,327           175,438           175,438
        DHS administrative services.......................            -1,690  ................  ................
                                                           -----------------------------------------------------
          Subtotal, Centrally-managed accounts............           128,637           175,438           175,438
                                                           =====================================================
Intermediate and depot level maintenance:
    Aircraft maintenance..................................           217,480           222,384           222,384
    Electronic maintenance................................            89,359            95,460            95,460
    Ocean engineering and shore facility maintenance......           151,151           151,035           151,034
    Vessel maintenance....................................           145,536           154,400           154,400
    DHS administrative services...........................            -7,853  ................  ................
                                                           -----------------------------------------------------
      Subtotal, Intermediate and depot level maintenance..           595,673           623,279           623,279
                                                           =====================================================
      Subtotal, Operating expenses........................         4,685,250         5,173,220         5,153,220
Rescission................................................           -71,000  ................  ................
Emergency appropriations..................................            23,183  ................  ................
                                                           -----------------------------------------------------
      Total, Operating expenses...........................         4,637,433         5,173,220         5,153,220
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Includes Federal Employee Compensation Act [FECA].
\3\ Included in Military pay and allowances and Civilian pay and benefits.
\4\ Includes Unemployment Compensation for ex-Coast Guard Military Members [UCX].

    Reprogramming.--The specific detail in the above table 
shall serve as the controls for purposes of any reprogramming 
of funds pursuant to Section 502 of this Act.
    Ballast Water Management Program.--The Committee continues 
funding at the fiscal year 2004 and budget request level of 
$4,000,000 for ballast water management activities to assist 
the Coast Guard in transitioning the ballast water management 
program from a voluntary to a mandatory enforcement of 
guidelines for the prevention of the introduction of aquatic 
nuisance species into waters of the United States through the 
ballast water of ships.
    Coast Guard Yard.--The Committee recognizes that the Coast 
Guard Yard at Curtis Bay, Maryland, is a critical component of 
the Coast Guard's core logistics capability that directly 
supports fleet readiness. The Committee further recognizes that 
the Yard has been a vital part of the Coast Guard's readiness 
and infrastructure for more than 100 years and believes that 
sufficient industrial work should be assigned to the Yard to 
maintain this capability.
    Sector Command Center-Joint [SCC-J].--The Committee is 
encouraged by the close working relationship that has emerged 
between the U.S. Navy and the Coast Guard to develop SCC-J 
Command Centers around key joint use Navy-Civil ports. As the 
Coast Guard develops its Maritime Domain Awareness 
architecture, it is important to leverage existing Department 
of Defense intelligence, surveillance, and reconnaissance 
capabilities, such as the Navy's Littoral Surveillance System 
[LSS], to maximize coordination and to eliminate or avoid 
redundancies.
    Search and Rescue Training.--The Committee recognizes that 
the ability to properly and adequately train personnel in the 
Rescue Swimmer program is vitally important to the Coast 
Guard's Search and Rescue mission. The Committee is encouraged 
that the Coast Guard is planning to replace the existing 
Aquatics Training and Fitness facilities at the Aviation 
Technical Training Center in Elizabeth City, North Carolina, to 
sufficiently maintain this capability.
    Marine Fire and Safety Association.--The Committee remains 
supportive of efforts by the Marine Fire and Safety Association 
[MFSA] to provide specialized firefighting training and 
maintain an oil spill response contingency plan for the 
Columbia River. The Committee encourages the Secretary to 
provide funding for MFSA consistent with the authorization.
    Wood Composites for Waterfront Facilities.--The Committee 
remains supportive of the ongoing test and evaluation of wood 
composite materials. Prior-year funding remains available for 
completion of this project. The Coast Guard is encouraged to 
consider the results of this research when selecting the most 
effective materials for maritime construction efforts.
    Quarterly Acquisition and Mission Emphasis Reports.--The 
Commandant is directed to continue to submit the quarterly 
acquisition and mission emphasis reports to the Committee 
consistent with the deadlines articulated under Section 360 of 
Division I of Public Law 108-7.
    Performance Goals Report.--Based on the Coast Guard's most 
recent quarterly report to the Committee on mission hours, 
Coast Guard hours dedicated to traditional, non-homeland 
security missions, remain significantly below levels prior to 
September 11, 2001. However, in most cases, the Coast Guard 
continues to meet or exceed performance goals in those areas. 
The Committee is concerned with a recent General Accounting 
Office assessment that the Coast Guard has not developed an 
approach to link resources and performance results and that 
without such an approach, the Coast Guard may not be using 
funds in the most efficient manner to maximize productivity. 
The Commandant is expected to submit a report to the Committee, 
within 90 days of enactment of this Act, on plans to develop a 
system that will provide an accurate representation of the 
costs necessary to meet performance goals. The report shall 
include the concept of the system; a timeline for 
implementation, including milestones and completion dates; and 
how this system will enable the Coast Guard to tie funding 
levels to performance results.
    Marine Vessel and Cold Water Safety Education.--The 
Committee encourages the Coast Guard to continue existing 
cooperative agreements and partnerships with organizations that 
provide marine vessel safety training and cold water immersion 
education and outreach programs for fishermen and children.
    Maritime Safety and Security Teams.--The Coast Guard has 
indicated that the next Maritime Safety and Security Team 
[MSST] shall be located at the Port of Huntington, West 
Virginia. The Committee expects funding for this MSST to be 
included in the President's fiscal year 2006 budget submission.

                ENVIRONMENTAL COMPLIANCE AND RESTORATION

Appropriations, 2004 \1\................................     $16,900,000
Budget estimate, 2005...................................      17,000,000
Committee recommendation................................      17,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Environmental Compliance and Restoration account 
provides funds to address environmental problems at former and 
current Coast Guard units as required by applicable Federal, 
State, and local environmental laws and regulations. Planned 
expenditures for these funds include major upgrades to 
petroleum and regulated-substance storage tanks, restoration of 
contaminated ground water and soils, remediation efforts at 
hazardous substance disposal sites, and initial site surveys 
and actions necessary to bring Coast Guard shore facilities and 
vessels into compliance with environmental laws and 
regulations.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $17,000,000 for environmental 
compliance and restoration, as requested in the budget.

                            RESERVE TRAINING

Appropriations, 2004 \1\................................     $94,440,000
Budget estimate, 2005...................................     117,000,000
Committee recommendation................................     117,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Secretary of the Department of Homeland Security is 
required to adequately support the development and training of 
a Reserve force to ensure that the Coast Guard will be 
sufficiently organized, manned, and equipped to fully perform 
its wartime missions. The purpose of the Reserve training 
program is to provide trained units and qualified persons for 
active duty in the Coast Guard in time of war or national 
emergency, or at such other times as the national security 
requires. Coast Guard reservists must also train for 
mobilization assignments that are unique to the Coast Guard in 
times of war, such as port security operations associated with 
the Coast Guard's Maritime Defense Zone mission, including 
deployable port security units.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $117,000,000 for Reserve training, 
as requested in the budget.

              ACQUISITION, CONSTRUCTION, AND IMPROVEMENTS

Appropriations, 2004 \1\................................    $961,492,000
Budget estimate, 2005...................................     942,550,000
Committee recommendation................................   1,062,550,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Funding in this account supports the Coast Guard's 
continuing plans for fleet expansion and improvement. This 
funding provides for the acquisition, construction, and 
improvement of vessels, aircraft, information management 
resources, shore facilities, and aids to navigation required to 
execute the Coast Guard's missions and achieve its performance 
goals.
    Vessels.--The Coast Guard continues to acquire multi-
mission platforms that use advanced technology to reduce life-
cycle operating costs. The Great Lakes icebreaking replacement 
project will continue.
    Integrated Deepwater Systems Programs (Deepwater).--The 
Deepwater capability replacement project is a multi-year, 
performance-based acquisition that will replace or modernize 
the major Coast Guard cutters, offshore patrol boats, fixed 
wing aircraft, multi-missioned helicopters and the 
communications equipment, sensors, and logistics systems 
required to maintain and operate them.
    Other Equipment.--The Coast Guard invests in numerous 
management information and decision support systems that will 
result in increased efficiencies, including Rescue 21, formerly 
the National Distress and Response System Modernization 
Project.
    Shore Facilities.--The Coast Guard invests in modern 
structures that are more energy-efficient, comply with 
regulatory codes, minimize follow-on maintenance requirements 
and replace existing dilapidated structures.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,062,550,000 for acquisitions, 
construction, and improvements, including $20,000,000 from the 
Oil Spill Liability Trust Fund. The following table summarizes 
the Committee's recommendations as compared to the fiscal year 
2004 and budget request levels:

                                   ACQUISITION, CONSTRUCTION AND IMPROVEMENTS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2004   Fiscal year 2005      Committee
                                                             enacted \1\          budget        recommendations
----------------------------------------------------------------------------------------------------------------
Vessels:
    Great Lakes Icebreaker [GLIB] replacement...........             1,988             7,750              7,750
    41 foot utility boat replacement....................            11,929            12,000             12,000
    Coastal patrol boats................................            52,190  .................  .................
                                                         -------------------------------------------------------
      Subtotal, Vessels.................................            66,107            19,750             19,750
                                                         =======================================================
Aircraft: Armed helicopter equipment, phase I...........  ................             1,800              3,800
                                                         =======================================================
Other equipment:
    Automatic Identification System.....................            23,858             4,000             24,000
    Defense message system implementation...............             3,479  .................  .................
    Ports and waterway safety system....................               994  .................  .................
    Rescue 21 (National Distress and Response System               133,209           161,000            161,000
     modernization).....................................
                                                         -------------------------------------------------------
        Subtotal, Other equipment.......................           161,540           165,000            185,000
                                                         =======================================================
Personnel compensation and benefits:
    Core acquisition costs..............................               497               500                500
    Direct personnel costs..............................            69,090            72,500             72,500
                                                         -------------------------------------------------------
      Subtotal, Personnel and related support...........            69,587            73,000             73,000
                                                         =======================================================
Integrated Deepwater System:
    Aircraft:
        Maritime patrol aircraft........................            24,852             5,250             15,250
        Unmanned aerial vehicles........................            49,705            43,000             43,000
        Legacy aircraft sustainment.....................            67,301            99,000            139,000
            HH-65 reengining............................  ................           (75,000)          (115,000)
            HH-60 avionics..............................  ................           (15,000)           (15,000)
            HC-130 radar................................  ................            (9,000)            (9,000)
                                                         -------------------------------------------------------
              Subtotal, Aircraft........................           141,858           147,250            197,250
                                                         =======================================================
    Surface ships:
        National Security Cutter program................           206,773           274,500            274,500
        Offshore Patrol Cutter program..................            19,881             5,000             55,000
        Fast Response Cutter program/110-123 foot patrol            65,611            60,000             60,000
         boat conversion project........................
        Short Range Prosecutor program..................             1,591             2,290              2,290
        Medium Endurance Cutter program.................  ................            12,500             12,500
        Legacy surface ship sustainment.................             6,959  .................  .................
                                                         -------------------------------------------------------
          Subtotal, Surface ships.......................           300,815           354,290            404,290
                                                         =======================================================
    Command, Control, Communications, Computers,
     Intelligence, Surveillance and Reconnaissance
     [C4ISR]:
        Command & Control System for Common Operating               57,658            31,010             31,010
         Picture [COP]..................................
        Cutter upgrade..................................             7,058            15,020             15,020
        Shore sites.....................................            21,970             5,950              5,950
        Other contracts/legacy sustainment..............            14,116             1,610              1,610
                                                         -------------------------------------------------------
          Subtotal, Command, Control, Communications,              100,802            53,590             53,590
           Computers, Intelligence, Surveillance and
           Reconnaissance [C4ISR].......................
                                                         =======================================================
    Logistics...........................................            45,132            39,870             39,870
        Integrated logistics support....................            19,087            15,140             15,140
        Facilities design required for future asset                  5,467            23,100             23,100
         deployments....................................
        Shore facilities................................            20,578             1,630              1,630
    System engineering and integration..................            41,852            45,000             43,000
    Government program management.......................            33,799            38,000             38,000
                                                         -------------------------------------------------------
      Subtotal, Integrated Deepwater System.............           664,258           678,000            776,000
                                                         =======================================================
Shore facilities and aids to navigation:
    Survey and design...................................  ................             1,000              1,000
    Minor AC&I shore construction projects..............  ................             1,600              1,600
    Small arms range at ISC Honolulu, HI................  ................             1,600              1,600
    Waterways aids to navigation infrastructure.........  ................               800                800
                                                         -------------------------------------------------------
      Subtotal, Shore facilities and aids to navigation.  ................             5,000              5,000
                                                         =======================================================
      Total, Acquisitions, Construction and Improvements           961,492           942,550          1,062,550
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Automatic Identification System.--Included in the Committee 
recommendation is $24,000,000 for the Automatic Identification 
System [AIS], as requested in the budget. The Maritime 
Transportation Security Act required vessels entering U.S. 
ports to have an AIS on board by the end of 2004 that will 
identify the ship, the size of the ship, and the type of cargo 
on the ship when entering U.S. ports.
    Capital Investment Plan.--The Committee has not continued 
statutory language contained in the fiscal year 2004 
Appropriations Act regarding the capital investment plan. A 
comprehensive capital investment plan for the Coast Guard that 
included funding for each budget line item for fiscal years 
2005 through 2009 was submitted in conjunction with the 
President's fiscal year 2005 budget. The Committee expects the 
Coast Guard to continue to submit a comprehensive capital 
investment plan on an annual basis at the time the President's 
budget is submitted to the Congress.
    Fisheries Enforcement.--The Committee was advised in the 
Coast Guard's March 3, 2004, report to the Committee that ``due 
to the limited support facilities available at Shemya, Galena, 
Cold Bay, and other western Aleutian Islands, aircraft 
deployments cannot be maintained throughout the North Pacific 
Maritime Boundary Line high threat season.'' Therefore, the 
Committee directs the Coast Guard to include in its 2006 budget 
submission the funds needed to provide long-term and short-term 
capabilities to these necessary support facilities.
    Icebreakers.--The Committee expects the Commandant to enter 
into an arrangement with the National Academy of Sciences to 
conduct a comprehensive study of the role of Coast Guard 
icebreakers in supporting United States operations in the 
Antarctic and the Arctic. The study should include different 
scenarios for continuing those operations including service 
life extension or replacement of existing Coast Guard 
icebreakers and alternative methods that do not use Coast Guard 
icebreakers. The study should also address changes in the roles 
and missions of Coast Guard icebreakers in support of future 
marine operations in the Arctic that may develop due to 
environmental change, including the amount and kind of 
icebreaking support that may be required in the future to 
support marine operations in the Northern Sea Route and the 
Northwest Passage; the suitability of the Polar Class 
icebreakers for these new roles; and appropriate changes in 
existing laws governing Coast Guard icebreaking operations and 
the potential for new operating regimes. The study should be 
submitted to the Committee no later than September 30, 2005.
    Legacy Assets and Replacement Assets.--The Committee is 
concerned about the condition of the Coast Guard's legacy 
assets. The General Accounting Office notes in its April, 2004, 
report [GAO-04-636T] that since September 11, 2001, Coast Guard 
assets are being used 40 percent more resulting in 
deterioration at a much faster pace than originally anticipated 
when the Deepwater program was conceived. Hull breaches, engine 
failures and lost operational days for cutters make it more 
difficult for the Coast Guard to conduct its normal missions. 
The Coast Guard is, therefore, expending more Deepwater funding 
to sustain legacy assets and less on replacement assets. The 
Committee directs the Coast Guard to submit a report to the 
Committee by March 1, 2005, on the increased operational 
requirements since September 11, 2001, and the impact they are 
having on the legacy asset inventory. The report should be 
based on fiscal year 2005 funding and shall include the costs 
associated with sustaining each legacy asset, a timetable for 
introducing each Deepwater replacement asset, and future 
funding requests planned by the Coast Guard.

                         ALTERATION OF BRIDGES

Appropriations, 2004 \1\................................     $19,136,000
Budget estimate, 2005...................................................
Committee recommendation................................      15,400,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Under the provisions of the Truman-Hobbs Act of June 21, 
1940 (33 U.S.C. 511 et seq.), the Coast Guard, as the Federal 
Government's agent, is required to share with owners the cost 
of altering railroad and publicly-owned highway bridges which 
obstruct the free movement of navigation on navigable waters of 
the United States in accordance with the formula established in 
33 U.S.C. 516. Alteration of obstructive highway bridges is 
eligible for funding from the Federal-Aid Highways program.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides $15,400,000 for the alteration of 
bridges, of which $4,400,000 is for the Florida Avenue Bridge, 
New Orleans, LA; $3,000,000 for the EJ&E Railroad Bridge, 
Morris, IL; $5,000,000 for the Fourteen Mile CSX Railroad 
Bridge, Mobile, AL; and $3,000,000 for the Burlington Northern 
Santa Fe Bridge, Burlington, IA.

               RESEARCH, DEVELOPMENT, TEST AND EVALUATION

Appropriations, 2004 \1\................................     $14,912,000
Budget estimate, 2005...................................         ( \2\ )
Committee recommendation................................      18,500,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Proposed to be funded under the Science and Technology ``Research, 
Development, Acquisition and Technology'' account.

    The Coast Guard's Research and Development program develops 
techniques, methods, hardware, and systems which directly 
contribute to increasing the productivity and effectiveness of 
the Coast Guard's operating missions. This account provides 
funds to operate and maintain the Coast Guard Research and 
Development Center.

                       COMMITTEE RECOMMENDATIONS

    The Committee defers approval of the President's budget 
proposal to fund the Coast Guard's research and development 
activities within the Science and Technology Directorate 
pending receipt of the findings of the independent study of the 
Coast Guard's research and development priorities and receipt 
of the Coast Guard's review of these findings.
    The Committee recommends $18,500,000 for the Coast Guard's 
research, development, test and evaluation activities. The 
Committee provides an additional $5,000,000 above the 
President's budget request. This additional amount is to be 
used to augment research activities in support of traditional 
Coast Guard mission programs, such as marine environmental 
protection, living marine resources, search and rescue, aids to 
navigation, marine safety, and fisheries enforcement. The 
Committee expects the Commandant of the Coast Guard to continue 
to coordinate research and development activities with the 
Under Secretary for Science and Technology.

                              RETIRED PAY

Appropriations, 2004....................................  $1,020,000,000
Budget estimate, 2005...................................   1,085,460,000
Committee recommendation................................   1,085,460,000

    This account provides for the retired pay of military 
personnel of the Coast Guard and Coast Guard Reserve, members 
of the former Lighthouse Service, and for annuities payable to 
beneficiaries of retired military personnel under the retired 
serviceman's family protection plan (10 U.S.C. 1431-1446) and 
survivor benefit plan (10 U.S.C. 1447-1455); payments for 
career status bonuses under the National Defense Authorization 
Act; and for payments for medical care of retired personnel and 
their dependents under the Dependents Medical Care Act (10 
U.S.C., ch. 55).

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,085,460,000 for retired pay, as 
requested in the budget.

                      United States Secret Service


                         SALARIES AND EXPENSES

Appropriations, 2004 \1\................................  $1,130,570,000
Budget estimate, 2005 \2\...............................   1,159,125,000
Committee recommendation \3\............................   1,159,125,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Includes proposed transfer of $5,000,000 in grant funding for the 
National Center for Missing and Exploited Children to the Bureau of 
Immigration and Customs Enforcement.
\3\ Transfers $5,000,000 grant for the National Center for Missing and 
Exploited Children to the Bureau of Immigration and Customs Enforcement.

    On March 1, 2003, the United States Secret Service 
transferred in its entirety from the Department of the Treasury 
to the Department of Homeland Security in accordance with the 
Homeland Security Act of 2002 (Public Law 107-296). The 
Director of the Secret Service reports directly to the 
Secretary of Homeland Security.
    The United States Secret Service is mandated by statute and 
Executive order to carry out two significant missions: 
protection and criminal investigations. This account provides 
funds for the protection of the President, the Vice President, 
and other dignitaries and designated individuals; enforcement 
of laws relating to obligations and securities of the United 
States and financial crimes, such as financial institutions and 
other fraud; planning and implementation of operational 
security plans for a designated National Special Security Event 
[NSSE]; and protection of the White House and other buildings 
within the Washington, D.C., metropolitan area.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $1,159,125,000 for salaries and 
expenses for fiscal year 2005. This is the same as the budget 
request, including $58,625,000 for pay annualizations and 
inflationary adjustments; $31,726,000 in program savings; and 
$16,365,000 for White House mail screening and processing.
    The Committee provides $2,100,000 for the Service's 
forensic support costs associated with the National Center for 
Missing and Exploited Children. The Committee transfers 
$5,000,000 in grant funding for the National Center for Missing 
and Exploited Children to the Bureau of Immigration and Customs 
Enforcement.
    National Special Security Events [NSSEs].--The Committee is 
concerned that the Department is not appropriately budgeting 
for anticipated NSSEs within the Services' base budget. The 
Committee directs the Service to continue planning for 
foreseeable NSSEs within its base budget and to rely upon the 
Department's Counterterrorism Fund for costs of unanticipated 
NSSEs.
    Electronic Crimes Special Agents Program.--The Committee 
commends the Service's efforts to protect economic institutions 
through the Electronic Crimes Special Agents Program [ECSAP]. 
The Committee believes that the ECSAP will assist the Service 
in preventing financial, identity, and electronic crimes. The 
Committee notes that the Inspector General's report of January 
2004 recommends that the Service examine computer 
vulnerabilities to critical infrastructure at NSSEs by 
assigning or detailing ECSAP agents on a permanent basis to its 
Major Events Division. The Committee encourages the Department 
of Homeland Security to work with the Service to expand and 
improve the capabilities of this program to keep pace with 
workload increases. The Committee encourages the Department to 
use any savings from the Service's lapsed salaries to fund 
additional ECSAP agents for fiscal year 2005.
    Foreign Offices.--The Committee commends the Service for 
using its foreign offices to aggressively investigate and shut 
down international counterfeiting operations. The Committee 
encourages the Department of Homeland Security to work with the 
Service to develop a strategy to further enhance the 
capabilities of these offices.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

Appropriations, 2004 \1\................................      $3,558,000
Budget estimate, 2005...................................       3,633,000
Committee recommendation................................       3,633,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    This appropriation provides funding for security upgrades 
of existing facilities; to continue development of the current 
Master Plan; to maintain and renovate existing facilities, 
including the James J. Rowley Training Center; and to ensure 
efficient and full utilization of the Center.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $3,633,000 for 
acquisition, construction, improvements, repair and facilities' 
improvement expenses of the Secret Service for fiscal year 
2005, as requested in the budget.

                  TITLE III--PREPAREDNESS AND RECOVERY

   Office of State and Local Government Coordination and Preparedness

                                SUMMARY

    The Office of the State and Local Government Coordination 
and Preparedness, created by the Secretary of Homeland Security 
under the statutory authority for reorganization contained in 
the Homeland Security Act of 2002, is responsible for 
information flow between the Department and State and local 
governments, for State and local grant award functions, and for 
building and sustaining the terrorism preparedness of the first 
responder community.
    On March 26, 2004, pursuant to section 872 of Public Law 
107-296, the Homeland Security Act of 2002, the Secretary of 
the Department of Homeland Security consolidated grantmaking 
authority across the Department in the new Office of State and 
Local Government Coordination and Preparedness [SLGCP]. The 
SLGCP will report directly to the Secretary.
    Administration and oversight of the following programs were 
moved to SLGCP from the:
    Emergency Preparedness and Response Directorate.--
Metropolitan medical response system, first responder counter-
terrorism training assistance; emergency management performance 
grants, State and local all-hazards emergency operations 
planning, Citizens Corps/Community Emergency Response Teams, 
and interoperable communications equipment.
    Office for Domestic Preparedness.--State domestic 
preparedness equipment support program; law enforcement 
terrorism prevention program; New York equipment replacement 
program; national exercise program [TOPOFF] grants; multi-state 
anti-terrorism information exchange project; terrorism early 
alert and strategic planning system; State Homeland Security 
Grant Program; and the Urban Area Security Initiative [UASI] 
Grant Program including UASI port security grants, UASI mass 
transit security grants, UASI radiological defense systems, and 
the Firefighter Assistance Grant Program.
    Transportation Security Administration.--Port Security 
Grant Program, Intercity Bus Security Grant Program, Operation 
Safe Commerce, and the Trucking Industry Security Grant 
Program.
    The following chart illustrates the level of funding 
provided to each of these programs in fiscal year 2004 and the 
requested level in fiscal year 2005, without respect to the 
original funding account:

    STATE AND LOCAL GOVERNMENT COORDINATION AND PREPAREDNESS PROGRAM
                              CONSOLIDATION
                        [In thousands of dollars]
------------------------------------------------------------------------
                                          Fiscal year
                                          2004 enacted     Fiscal year
                                              \1\          2005 budget
------------------------------------------------------------------------
Emergency Preparedness and Response
 Directorate:
    Metropolitan Medical Response                50,000  ...............
     System...........................
    First responder counter-terrorism           ( \2\ )  ...............
     training assistance..............
    Emergency Management Performance            178,938          170,000
     Grants...........................
    State and local all hazards                 ( \2\ )  ...............
     emergency operations planning....
    Citizens Corps/Community Emergency           39,764           50,000
     Response Teams...................
    Interoperable communications                ( \2\ )  ...............
     equipment........................
Office for Domestic Preparedness:
    State domestic preparedness                 ( \2\ )  ...............
     equipment support program........
    Law Enforcement Terrorism                   497,100          500,000
     Prevention Program...............
    New York equipment replacement              ( \2\ )  ...............
     program..........................
    National exercise program [TOPOFF]           49,705           52,000
     grants...........................
    Multi-state anti-terrorism                  ( \2\ )  ...............
     information exchange project.....
    Terrorism early alert and                   ( \2\ )  ...............
     strategic planning system........
    State Homeland Security Grant             1,689,970          700,000
     Program..........................
    Urban Area Security initiative              671,018        1,400,000
     [UASI] Grant Program.............
    UASI port security grants.........  ...............           46,000
    UASI mass transit security grants.           49,705  ...............
    UASI radiological defense systems.          ( \2\ )  ...............
    Firefighter assistance grants.....          745,575          500,000
Transportation Security
 Administration:
    Port security grants..............          125,000  ...............
    Intercity bus security grants.....           10,000  ...............
    Operation Safe Commerce...........           17,000  ...............
    Trucking industry security grants.           22,000  ...............
------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Reflects the transfer of programmatic oversight; no new funds were
  provided in fiscal year 2004.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends total resources of $3,750,081,000. 
The following table summarizes the Committee's recommendations 
as compared to the fiscal year 2004 and budget request levels:

                                OFFICE OF STATE AND LOCAL GOVERNMENT PREPAREDNESS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                 Fiscal year
                                                                 2004 enacted     Fiscal year       Committee
                                                                     \1\          2005 budget    recommendations
----------------------------------------------------------------------------------------------------------------
Management and Administration................................          ( \2\ )          ( \3\ )           25,000
State and Local Programs.....................................    \4\ 3,267,608        3,061,255        2,845,081
Firefighter Assistance Grants................................          745,575          500,000          700,000
Emergency Management Performance Grants......................          ( \5\ )          ( \6\ )          180,000
                                                              --------------------------------------------------
      Total..................................................        4,013,183        3,561,255        3,750,081
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Funding of $3,077,000 was provided for the Office of State and Local Government Coordination for fiscal year
  2004 under the ``Office of the Secretary and Executive Management'' account. Funding of $29,823,000 was
  provided under the ``State and Local Programs'' account.
\3\ Funding of $3,546,000 is requested for the Office of State and Local Government Coordination for fiscal year
  2005 under the ``Departmental Operations'' account, and $38,355,000 is included in the request for the ``State
  and Local Programs'' account.
\4\ Total funding for fiscal year 2004 of $174,000,000 was provided for transportation grant programs under the
  Transportation Security Administration ``Maritime and Land Security'' account.
\5\ Total funding for fiscal year 2004 of $178,938,000 was provided under the Emergency Preparedness and
  Response Directorate ``Emergency Management Performance Grants'' account.
\6\ Total funding for fiscal year 2005 of $170,000,000 included in the request for the ``State and Local
  Programs'' account.

                     MANAGEMENT AND ADMINISTRATION

Appropriations, 2004....................................         ( \1\ )
Budget estimate, 2005...................................         ( \2\ )
Committee recommendation................................     $25,000,000

\1\ Funding of $3,077,000 was provided for the Office of State and Local 
Government Coordination for fiscal year 2004 under the ``Office of the 
Secretary and Executive Management'' account. Funding of $29,823,000 was 
provided under the ``State and Local Programs'' account.
\2\ Funding of $3,546,000 is requested for the Office of State and Local 
Government Coordination for fiscal year 2005 under the ``Departmental 
Operations'' account. Funding of $38,355,000 is requested under the 
``State and Local Programs'' account.

    The Management and Administration account provides the 
funds for salaries and expenses of the Office of State and 
Local Government Coordination and Preparedness.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $25,000,000 for management and 
administrative expenses of the Office of the State and Local 
Government Coordination and Preparedness for fiscal year 2005. 
This account includes the salaries and expenses for the former 
Office of State and Local Government Coordinator, previously 
appropriated to the Office of the Secretary and Executive 
Management account, and the administration and management 
funds, previously appropriated to the Office for Domestic 
Preparedness.

                        STATE AND LOCAL PROGRAMS

Appropriations, 2004 \1\................................  $3,267,608,000
Budget estimate, 2005...................................   3,061,255,000
Committee recommendation................................   2,845,081,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    State and local programs provide grants for training, 
equipment (including interoperable communications equipment), 
exercises, and technical assistance to improve readiness for 
potential terrorism incidents. This assistance is for 
strengthening ``first responders''--police, fire, rescue, 
emergency and other personnel who are first on scene in the 
event of a terrorist attack. For the purpose of eligibility for 
funds under this heading, a ``local government'' will continue 
to include any county, city, village, borough, parish, town, 
district, or other political subdivision of any State, and any 
Indian tribe, with jurisdiction over Indian country. 
Furthermore, any port authority, transit authority, water 
district, regional planning commission, or council of 
government may be considered a local government.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $2,845,081,000 for State and Local 
Programs. The funds provided for State and local grants are to 
be used for purposes consistent with each State's homeland 
security strategy, including training and exercises; equipment, 
including interoperable communications equipment; and technical 
assistance; and may not be used for construction activities.
    Summary.--The Committee provides $1,370,000,000 for a 
formula grant program to be allocated on a per capita basis to 
the States subject to section 1014 of Public Law 107-56. Not 
less than 80 percent of funding provided to each State shall be 
obligated to local governments within 60 days after the States' 
receipt of the funds. Of the amount provided for State and 
local programs, $30,000,000 is available for Citizen Corps, and 
$400,000,000 is for State and local law enforcement terrorism 
prevention grants.
    Urban Areas Security Initiative Grants.--The Committee 
provides $1,200,000,000 for discretionary grants to high-threat 
urban areas. No less than 80 percent of discretionary grants 
provided to any State shall be obligated to local governments 
within 60 days of the States' receipt of funds. In making 
grants to State and local governments, the Secretary of 
Homeland Security shall take into consideration credible 
threat, vulnerability, population, cooperation of multiple 
jurisdictions in preparing domestic preparedness plans, and 
identified needs of public agencies. Grants may be made to 
single or multiple jurisdictions in the same urban area.
    The Committee is concerned with the administration of the 
funds available to assist those communities most in danger in 
the United States. The continued expansion of the cities 
eligible for this funding has the impact of diluting the 
resources that have been made available, and shortchanging 
those communities with the most serious quantifiable threat. 
The Committee believes the Department achieved a more optimal 
use of funds in fiscal year 2003.
    Further, the Committee believes the Department's practice 
over the past two fiscal years to allocate the full amount 
appropriated for the program at one time near the beginning of 
the year leaves the Department with little ability to respond 
to new or updated intelligence or recent terrorist threats. 
Consequently, the Committee recommends that at least 10 percent 
of the funds appropriated for the program be reserved to meet 
any needs over the course of the fiscal year warranted by more 
current threat information and intelligence. Any reserve funds 
remaining at the beginning of the last quarter of the fiscal 
year shall be released to fiscal year 2005 grant recipients, as 
determined by the Secretary.
    Of the total provided by the Committee for urban area 
security initiative grants, $150,000,000 is for port security 
grants; $150,000,000 is for rail and transit security grants; 
$10,000,000 is for intercity bus security grants for the 
improvement of ticket identification, the installation of 
driver shields, the enhancement of emergency communications, 
and further implementation of passenger screening; and 
$15,000,000 is for trucking industry security grants to 
continue the Highway Watch Grant program, of which $2,350,000 
is made available for emergency planning and exercises.
    Use of grant funds for construction is prohibited. However, 
for those projects that specifically address enhanced security 
at critical infrastructure facilities (such as improved 
perimeter security, minor construction or renovation for 
necessary guard facilities, fencing, and related efforts) 
project construction or renovation not exceeding $1,000,000 is 
allowable, as deemed necessary by the Secretary. Such 
construction shall be limited. Despite the consolidation of 
selected grant award functions within the SLGCP, the 
Transportation Security Administration will retain operational 
subject matter expertise and will be fully engaged in the 
administration of transportation related grant programs.
    National Programs.--Included in the amount recommended is 
$275,081,000 for national programs. Included in this amount is: 
$30,000,000 for technical assistance; $135,000,000 for the 
existing members of the National Domestic Preparedness 
Consortium including $55,000,000 for the Center for Domestic 
Preparedness; $55,000,000 for competitive grants for emerging 
training; $52,000,000 for exercises; and $3,081,000 for 
evaluations and assessments.
    The Committee provides $30,000,000 for direct technical 
assistance to State and local governments. Of this amount, 
$20,000,000 is for the Interoperable Communication Technical 
Assistance program to enhance interoperability of public safety 
communications. The Committee encourages the Department to 
consider designating SLGCP the lead organization within the 
Department of Homeland Security in providing technical 
assistance for interoperable communications.
    The Committee does not agree with the President's proposal 
to reduce funding to the National Domestic Preparedness 
Consortium.
    The Committee believes that the SLGCP needs to look more 
broadly to find innovative emerging training capabilities, and 
recommends that demonstration and pilot projects be included in 
consideration for grants from the competitive training grant 
program. Further, the Committee wishes to make clear the intent 
of the competitive training grants program; that is, that all 
of the funds appropriated to this program are to be distributed 
through a competitive peer reviewed process. The allowance 
included for fiscal year 2004 by House Report 108-280 continued 
funding for previous training commitments, providing the 
necessary one-time transition to this new program. The 
Committee recognizes the critical role of multi-disciplinary 
all-hazards training and emergency operations activities and 
directs the Department to review training activities with the 
relevant States on the west coast and report back to the 
Committee by March 31, 2005.
    Eligibility.--The Committee included clarifying language in 
House Report 108-280 accompanying the Department of Homeland 
Security Appropriations Act, 2004, but continues to hear 
anecdotal reports that port authorities and tribal authorities 
are not being considered as proper grant recipients or their 
unique jurisdictional boundaries are not being taken into 
consideration. The Committee urges the Department to work with 
State and local governments to ensure that regional 
authorities, such as port, transit, or tribal authorities, are 
given due consideration in the distribution of State formula 
grants. Further, the Committee wishes to clarify that the funds 
available to State and local governments may be used to support 
security efforts, including security upgrades and increased 
protection, of non-profit, community, cultural, and religious 
facilities identified as a priority in the State or local 
application or the State Homeland Security Plan.
    Emergency Medical Services.--The Committee is concerned 
that, according to a recent bulletin issued by SLCGP, emergency 
medical service [EMS] systems have received less than 4 percent 
of the funding provided for State and local first responder 
grant programs in fiscal years 2002 and 2003. In conjunction 
with police and fire, EMS is the primary first responder for 
medical assistance in the event of a terrorist attack. The 
Committee encourages SLGCP to work with national EMS 
organizations to establish guidelines and requirements for EMS 
preparedness and support under SLGCP grant programs. Further, 
no later than February 1, 2005, the Department is to report to 
the Committee on the use of State and local, urban area 
security initiative, and firefighter assistance grant funds for 
EMS.
    Best Practices.--The Committee recognizes the need to 
create a central collection and dissemination point for lessons 
learned and best practices that would allow States and 
localities to gain knowledge, expertise, and experience from 
the efforts of other States and localities. The Committee 
supports the SLGCP's effort to continue the development of the 
Lessons Learned Information System and the Homeland Security 
Best Practices program to assist response professionals to 
communicate and share information effectively and securely.
    TOPOFF Participation.--State participation in the TOPOFF 
exercises is critical to gaining experience and developing 
protocols for crisis response among the various levels of top 
Government officials. The Committee directs the SLGCP to 
prepare a report recommending ways to provide incentives to 
State and local jurisdictions to participate in the TOPOFF 
exercises.
    Use of Funds.--The Department is to submit a report to the 
Committee by March 31, 2005, detailing what State and local 
governments have purchased with fiscal year 2002-2004 homeland 
security formula grants and urban area security initiative 
grants; whether these expenditures have complied with State 
homeland security plans; and how homeland security has been 
enhanced by such expenditures. The Committee also expects the 
SLGCP to comply with the Inspector General's recommendation in 
``An Audit of Distributing and Spending `First Responder' Grant 
Funds'' to accelerate the development of Federal guidelines for 
first responder capabilities, equipment, training, and 
exercises and for its March 31, 2005, report to the Committee 
to include a report on the progress it has made in establishing 
these standards and a schedule for implementing them in the 
report.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                                            STATE AND LOCAL PROGRAMS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                 Fiscal year
                                                                 2004 enacted     Fiscal year       Committee
                                                                     \1\          2005 budget    recommendations
----------------------------------------------------------------------------------------------------------------
State and local grants:
    State and local grants...................................        1,689,970          700,000          940,000
    Law enforcement terrorism prevention grants..............          497,050          500,000          400,000
    Citizen Corps............................................           39,764           50,000           30,000
    Emergency management performance grants..................  ...............          170,000  ...............
                                                              --------------------------------------------------
      Subtotal, State and local grants.......................        2,226,784        1,420,000        1,370,000
                                                              ==================================================
Urban area security initiative grants:.......................
    High-threat, high density urban area grants..............          671,018        1,446,000          875,000
    Port security grants.....................................          ( \2\ )  ...............          150,000
    Rail and transit security grants.........................           49,705  ...............          150,000
    Inter-city bus security grants...........................          ( \2\ )  ...............           10,000
    Trucking industry security grants........................          ( \2\ )  ...............           15,000
                                                              --------------------------------------------------
      Subtotal, Urban area security initiative grants........          720,723        1,446,000        1,200,000
                                                              ==================================================
National programs:
    Technical assistance.....................................           29,823            7,600           30,000
    Center for Domestic Preparedness.........................           54,204           50,000           55,000
    National Domestic Preparedness Consortium................           80,000           30,000           80,000
    Competitive training grants..............................           59,646            3,000           55,000
    National exercise program................................           49,705           52,000           52,000
    Equipment and testing....................................           16,900  ...............  ...............
    Evaluation and assessments...............................  ...............           14,300            3,081
    Management and administration............................           29,823           38,355          ( \3\ )
                                                              --------------------------------------------------
      Subtotal, National programs............................          320,101          195,255          275,081
                                                              ==================================================
      Total, State and local programs........................        3,267,608        3,061,255        2,845,081
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Total funding for fiscal year 2004 of $174,000,000 for transportation related grants was provided under the
  Transportation Security Administration ``Maritime and Land Security'' account.
\3\ Funded under separate ``Management and Administration'' account.

                     FIREFIGHTER ASSISTANCE GRANTS

Appropriations, 2004 \1\................................    $745,575,000
Budget estimate, 2005...................................     500,000,000
Committee recommendation................................     700,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The firefighter assistance grants, as authorized by section 
33 of the Federal Fire Prevention and Control Act of 1974 (15 
U.S.C. 2229), provide assistance to local fire fighting 
departments for the purpose of protecting the health and safety 
of the public and fire fighting personnel, including volunteers 
and emergency medical service personnel, against fire and fire-
related hazards.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $700,000,000 for firefighter 
assistance grants, to remain available until September 30, 
2006.
    The Committee has not included bill language requested in 
the budget to prioritize applications within the Firefighter 
Assistance Grant program based on ``enhancing terrorism 
preparedness.'' The Committee directs the Department to 
continue the present practice of funding applications according 
to local priorities and those established by the United States 
Fire Administration; to reinstate firefighter safety and health 
as a funding area; and to make $3,000,000 available for 
implementation of section 205(c) of Public Law 108-169, the 
United States Fire Administration Reauthorization Act of 2003. 
The Committee further expects the Department to continue direct 
funding to fire departments, the peer review process for 
determining funding awards, and the practice of allowing the 
Alaska Village Initiatives to apply for grants on behalf of 
Alaskan communities.
    The Committee is concerned that data from the National Fire 
Protection Association and the Emergency Preparedness and 
Response Directorate shows that many of our smaller firehouses 
have an urgent, critical need for additional firefighting 
equipment, personal protection equipment and other emergency 
apparatus. The Committee also notes that older and damaged 
surplus equipment that is no longer in use resides in many 
larger departments. This equipment, if repaired or refurbished, 
could be of great assistance to departments in other 
jurisdictions that have significant needs. The Committee 
encourages the Department to explore the possibility of 
refurbishing and redirecting surplus fire equipment.

                EMERGENCY MANAGEMENT PERFORMANCE GRANTS

Appropriations, 2004....................................         ( \1\ )
Budget estimate, 2005...................................         ( \2\ )
Committee recommendation................................    $180,000,000

\1\ Funding of $178,000,000 appropriated under the Emergency 
Preparedness and Response ``Emergency Management Performance Grants'' 
account transferred to the Office of State and Local Government 
Coordination and Preparedness on March 26, 2004, pursuant to Section 872 
of Public Law 107-296.
\2\ Total funding for fiscal year 2005 of $170,000,000 included in the 
request for the ``State and Local Programs'' account.

    Funding requested in this account provides support to the 
Nation's all-hazards emergency management system and helps to 
build State and local emergency management capability.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $180,000,000 for emergency 
management performance grants [EMPG].
    EMPG remains a vital source of funding for State and local 
emergency management. EMPG is one of the few remaining programs 
at the Department with an all-hazards mission; as such, it is a 
fundamental tool to local emergency management. EMPG is an 
essential source of funds to help State emergency managers 
reduce the threat of floods, assist victims of floods when they 
occur and to prepare for potential chemical spills. The all-
hazards approach to emergency management is a critical tool for 
State officials. Last fiscal year, there were 56 major disaster 
declarations, 19 emergency declarations, and 46 fire 
suppression declarations. State and local governments currently 
have productive relationships with Emergency Preparedness and 
Response Directorate regional emergency managers that are 
critical to maintain an all-hazards response capability. The 
Committee expects these relationships to continue. Despite the 
consolidation of selected grant award functions within the 
SLGCP, the Emergency Preparedness and Response Directorate will 
retain operational subject matter expertise and will be fully 
engaged in the administration of this program.
    EMPG is a well regarded and effective program. The 
Committee believes that this should remain a separate grant 
program within the Department of Homeland Security, and not be 
combined with any other grant program. The Committee directs 
the Department to continue the practice of funding personnel 
costs, and does not agree with the administration's proposal to 
cap these costs at 25 percent. In addition, not to exceed 3 
percent may be used for administrative expenses.

                         COUNTERTERRORISM FUND

Appropriations, 2004....................................      $9,941,000
Budget estimate, 2005...................................      20,000,000
Committee recommendation................................      10,000,000

    The Counterterrorism Fund provides a means to cover 
unbudgeted and unanticipated critical costs associated with 
providing support to counter, investigate, or pursue domestic 
or international terrorism, including payment of rewards in 
connection with these activities; and to re-establish the 
operational capability of an office, facility, or other 
property damaged or destroyed as a result of any domestic or 
international terrorist incident. The Fund enables operating 
entities of the Department of Homeland Security and other 
Federal agency participants to be reimbursed for unforeseen 
expenses arising from the prevention of or response to 
terrorist attacks over and above normal operations. The Fund 
also is available to provide reimbursement to the U.S. Secret 
Service and other Federal agencies for unbudgeted expenses 
related to a National Special Security Event [NSSE] designated 
by the Secretary of Homeland Security in accordance with 
Presidential Directive [PDD] 62.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends an appropriation of $10,000,000 
for the Counterterrorism Fund. These funds are provided for 
responding to unforeseen emergencies not budgeted for in the 
regular process. These funds are to be made available at the 
direction of the Secretary of Homeland Security with advance 
written notification provided to the Committee.
    The Committee also expects the Secretary to provide written 
notification to the Committee upon the designation of a NSSE. 
The written notification shall include the following 
information: location and date of the event, Federal agencies 
involved in the protection and planning of the event, the 
estimated costs of the event, and the source of funding to 
cover the anticipated expenditures.

                  EMERGENCY PREPAREDNESS AND RESPONSE

                                SUMMARY

    The Emergency Preparedness and Response [EP&R] Directorate 
was created on March 1, 2003, when the Federal Emergency 
Management Agency was transferred to the Department of Homeland 
Security. The mission of EP&R is to lead the Nation to prepare 
for, mitigate the effects of, respond to, and recover from 
major domestic disasters, both natural and man-made, including 
incidents of terrorism.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends a total program level of 
$5,648,216,000 for the activities of the Emergency Preparedness 
and Response Directorate for fiscal year 2005. The following 
table summarizes the Committee's recommendations as compared to 
the fiscal year 2004 and budget request levels:

                                  EMERGENCY PREPAREDNESS AND RESPONSE--SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                          Fiscal year 2004   Fiscal year 2005      Committee
                                                             enacted \1\          budget        recommendations
----------------------------------------------------------------------------------------------------------------
Office of the Under Secretary for Emergency Preparedness             3,430             4,211              4,211
 and Response...........................................
                                                         =======================================================
Preparedness, Mitigation, Response and Recovery [PMRR]:
    Operating Activities................................           164,027           201,499            201,499
    Urban Search and Rescue Teams.......................            59,646             7,000             30,000
                                                         -------------------------------------------------------
      Subtotal, Preparedness, Mitigation, Response and             223,673           208,499            231,499
       Recovery.........................................
                                                         =======================================================
Administrative and Regional Operations..................           166,015           196,939            196,939
Public Health Programs:
    Strategic National Stockpile........................           397,640              ( 2 )              ( 2 )
    National Disaster Medical System....................            33,799            34,000             34,000
    Metropolitan Medical Response System................            49,705  .................  .................
                                                         -------------------------------------------------------
      Subtotal, Public Health Programs..................           481,144        \2\ 34,000         \3\ 34,000
                                                         =======================================================
Biodefense Countermeasures..............................     \4\ 5,587,749     \5\ 2,528,000      \5\ 2,528,000
Radiological Emergency Preparedness.....................           ( \6\ )        \7\ -1,000         \7\ -1,000
Disaster Relief.........................................     \8\ 2,042,380         2,151,000          2,151,000
Disaster Assistance Direct Loan Program Account.........               557               567                567
National Pre-Disaster Mitigation Fund...................           149,115            ( \9\ )           ( \10\ )
Flood Map Modernization Fund............................           198,820           200,000            200,000
National Flood Insurance Fund...........................           110,472     \11\ (112,593)     \11\ (112,593)
National Flood Mitigation Fund..........................       \12\ 20,000           ( \13\ )           ( \14\ )
Mitigation Grants.......................................          ( \15\ )      \16\ 150,000       \16\ 150,000
Emergency Management Performance Grants.................           178,938           ( \17\ )           ( \18\ )
Emergency Food and Shelter..............................           152,097      \19\ 153,000            153,000
Cerro Grande Fire Claims................................            37,837  .................  .................
                                                         -------------------------------------------------------
      Total, Emergency Preparedness and Response........    \20\ 9,351,227         5,625,216          5,648,216
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ $400,000,000 for the Strategic National Stockpile proposed for transfer to Department of Health and Human
  Services.
\3\ Excludes funding for the Strategic National Stockpile.
\4\ Limitation on fiscal year 2004 obligations pursuant to Public Law 108-90, including 0.59 percent rescission
  pursuant to Public Law 108-199.
\5\ Public Law 108-90 appropriates $5,593,000,000 (reduced to $5,587,749,000 by 0.59 percent rescission pursuant
  to Public Law 108-90), to remain available until September 30, 2013, of which not to exceed $3,418,000,000 is
  available for obligation during fiscal years 2004 through 2008. This is the estimate of advance appropriations
  pursuant to Public Law 108-90 available for obligation for fiscal year 2005.
\6\ Costs estimated to equal fee collections.
\7\ Fee collections are estimated to exceed costs.
\8\ Includes 0.59 percent rescission pursuant to Public Law 108-199 and $22,000 transfer to the Office of
  Inspector General. Excludes $500,000,000 emergency supplemental appropriations pursuant to Public Law 108-106
  and $225,000,000 rescission of these funds pursuant to Public Law 108-199.
\9\ Budget proposes combining this program with the National Flood Mitigation Fund into a new ``Mitigation
  Grants'' account.
\10\ Funded under ``Mitigation Grants'' account.
\11\ Fully offset by fee collections.
\12\ By transfer from the National Flood Insurance Fund.
\13\ Proposed to be funded under the new ``Mitigation Grants'' account by transfer from the National Flood
  Insurance Fund.
\14\ Funded under ``Mitigation Grants'' account.
\15\ Funded under ``National Pre-Disaster Mitigation Fund'' and ``National Flood Mitigation Fund'' accounts.
\16\ Excludes $20,000,000 transfer from National Flood Insurance Fund.
\17\ Transferred to the Office of State and Local Government Coordination and Preparedness on March 26, 2004
  pursuant to Section 872 of Public Law 107-296.
\18\ Funded under the Office of State and Local Government Coordination and Preparedness.
\19\ Budget proposes legislation to transfer this program to the Department of Housing and Urban Development.
\20\ Total may not add due to rounding.

 Office of the Under Secretary for Emergency Preparedness and Response

Appropriations, 2004 \1\................................      $3,430,000
Budget estimate, 2005...................................       4,211,000
Committee recommendation................................       4,211,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Office of the Under Secretary for Emergency 
Preparedness and Response is responsible for providing the 
Federal Government's response to terrorist attacks, major 
disasters, and other emergencies and aiding in the recovery 
from such incidents; helping to ensure the effectiveness of 
emergency response providers to terrorist attacks, major 
disasters, and other emergencies; and building a comprehensive 
national incident management system to respond to such attacks, 
disasters and emergencies with Federal, State, and local 
government personnel, agencies and authorities.

                       COMMITTEE RECOMMENDATIONS

    For the Office of the Under Secretary for Emergency 
Preparedness and Response, the Committee recommends $4,211,000, 
as requested in the budget.

            PREPAREDNESS, MITIGATION, RESPONSE, AND RECOVERY

Appropriations, 2004 \1\................................    $223,673,000
Budget estimate, 2005...................................     208,499,000
Committee recommendation................................     231,499,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    This appropriation funds the operating expenses to prepare 
for, mitigate against, respond to and recover from emergencies 
and disasters.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides $231,499,000 to support activities 
related to preparedness, mitigation, response and recovery, as 
requested in the budget. Included in the Committee 
recommendation is $30,000,000, an increase of $23,000,000 from 
the budget request, to support the 28 existing Urban Search and 
Rescue [USAR] teams, of which no more than $2,566,000 shall be 
used to administer, support and train task forces.
    The Committee appreciates the commitment the USAR teams 
have made as first responders to both natural disasters and 
acts of terrorism. The Committee is concerned with the pace at 
which the Department is making funds available to the USAR 
teams, especially for the purchase of a second equipment cache 
for each of the 28 USAR teams. The Committee believes that 
second equipment caches are an essential component of an 
effective USAR response. The Committee directs the Department 
to obligate funds provided in fiscal years 2003 and 2004 for 
the second equipment caches by September 1, 2004, and December 
1, 2004, respectively. Further, the Department is directed to 
report by March 1, 2005, on all obligations, planned and 
completed, for the USAR teams for fiscal years 2003, 2004 and 
2005. The report should include the progress made to complete 
second caches at the 28 sites; an accounting of what the 
primary and secondary equipment caches currently contain; an 
accounting of what the caches will contain after fiscal year 
2005 funds are expended; and how this complies with what has 
been recommended by the USAR advisory board.
    The Committee understands the importance of the National 
Dam Safety Program in reducing risks to life and property from 
dam failure in the United States. The Committee strongly 
encourages the Emergency Preparedness and Response Directorate 
to continue funding the National Dam Safety Program at the 
fiscal year 2004 level of $5,500,000.

                 ADMINISTRATIVE AND REGIONAL OPERATIONS

Appropriations, 2004 \1\................................    $166,015,000
Budget estimate, 2005...................................     196,939,000
Committee recommendation................................     196,939,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Administrative and Regional Operations coordinates between 
headquarters and regional offices all policy, managerial, 
resource, and administrative actions; maintains programs to 
address public information issues; and builds partnerships 
among State and local governments, non-governmental 
organizations, business and industry.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides $196,939,000 for administrative and 
regional operations, as requested in the budget.

                         PUBLIC HEALTH PROGRAMS

Appropriations, 2004 \1\................................    $481,144,000
Budget estimate, 2005 \2\...............................      34,000,000
Committee recommendation \3\............................      34,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ $400,000,000 for the Strategic National Stockpile proposed for 
transfer to Department of Health and Human Services.
\3\ Excludes funding for the Strategic National Stockpile.
---------------------------------------------------------------------------

                       COMMITTEE RECOMMENDATIONS

    Public Health Programs provide medical and support 
capability for State and local personnel to provide emergency 
medical care during a disaster.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides $34,000,000 for public health 
programs to fund Disaster Medical Assistance Teams, as 
requested in the budget. The Committee agrees with the 
President's budget request to transfer the Strategic National 
Stockpile to the Department of Health and Human Services.

                       BIODEFENSE COUNTERMEASURES

Appropriations, 2004 \1\................................    $884,749,000
Budget estimate, 2005 \2\...............................   2,528,000,000
Committee recommendation \2\............................   2,528,000,000

\1\ Limitation on fiscal year 2004 obligations pursuant to Public Law 
108-90, including 0.59 percent rescission pursuant to Public Law 108-
199.
\2\ Public Law 108-90 appropriates $5,593,000,000 (reduced to 
$5,587,749,000 by 0.59 percent rescission pursuant to Public Law 108-
90), to remain available until September 30, 2013, of which not to 
exceed $3,418,000,000 is available for obligation during fiscal years 
2004 through 2008. This is the estimate of advance appropriations 
pursuant to Public Law 108-90 available for obligation for fiscal year 
2005.

    This program supports the government's efforts to secure 
protections and countermeasures to strengthen the Nation's 
preparedness against chemical, radiological, or nuclear agents 
that may be used in a terrorist attack against the United 
States by pre-purchasing critically needed vaccines and other 
countermeasures for biodefense.

                       COMMITTEE RECOMMENDATIONS

    Advance appropriations for biodefense countermeasures were 
provided by the Department of Homeland Security Appropriations 
Act, 2004 (Public Law 108-90), to remain available until 
September 20, 2013. The budget estimates that $2,528,000,000 of 
this amount will be made available for obligation for fiscal 
year 2005.

              RADIOLOGICAL EMERGENCY PREPAREDNESS PROGRAM

Appropriations, 2004....................................         ( \1\ )
Budget estimate, 2005 \2\...............................     -$1,000,000
Committee recommendation \2\............................      -1,000,000

\1\ Costs estimated to equal fee collections.
\2\ Fee collections are estimated to exceed costs.

    The Radiological Emergency Preparedness [REP] program 
assists State and local governments in the development of 
offsite radiological emergency preparedness plans within the 
emergency planning zones of commercial nuclear power facilities 
licensed by the Nuclear Regulatory Commission [NRC]. The fund 
is financed from fees assessed and collected from the NRC 
licensees to recover the amounts anticipated by the EP&R to be 
obligated in the next fiscal year for expenses related to REP 
program activities.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides for the receipt and expenditure of 
fees collected, as authorized by Public Law 105-276. The budget 
estimates fee collections to exceed expenditures by $1,000,000 
in fiscal year 2005.

                            DISASTER RELIEF

Appropriations, 2004 \1\................................  $1,789,380,000
Budget estimate, 2005...................................   2,151,000,000
Committee recommendation................................   2,151,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199 and 
$22,000 transfer to the Office of Inspector General. Excludes 
$500,000,000 emergency supplemental appropriations pursuant to Public 
Law 108-106 and $225,000,000 rescission of these funds pursuant to 
Public Law 108-199.

    Through the Disaster Relief Fund [DRF], the Department of 
Homeland Security provides a significant portion of the total 
Federal response to victims in Presidentially-declared major 
disasters and emergencies. Major disasters are declared when a 
State requests Federal assistance and proves that a given 
disaster is beyond the State's capacity to respond. Under the 
DRF, EP&R will continue to operate the primary assistance 
programs: Federal assistance to individuals and households; and 
public assistance, which includes the repair and reconstruction 
of State, local, and non-profit infrastructure. The post-
disaster hazard mitigation set-aside that is provided to States 
will continue as part of the Disaster Relief Fund, working as a 
companion piece to the National Pre-Disaster Mitigation Fund.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $2,151,000,000 for disaster 
relief, as requested in the budget.

            DISASTER ASSISTANCE DIRECT LOAN PROGRAM ACCOUNT

Appropriations, 2004 \1\................................        $557,000
Budget estimate, 2005...................................         567,000
Committee recommendation................................         567,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Disaster assistance loans authorized by the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5162) are loans to States for the non-Federal portion of 
cost sharing funds, and community disaster loans to local 
governments incurring substantial loss of tax and other 
revenues as a result of a major disaster. The funds requested 
for this program include direct loans and a subsidy based on 
criteria including loan amount and interest charged. As 
required by the Federal Credit Reform Act of 1990 (2 U.S.C. 661 
et seq.), this account records, for this program, the subsidy 
costs associated with the direct loans obligated in 1992 and 
beyond (including modifications of direct loans), as well as 
administrative expenses of the program. The subsidy amounts are 
estimated on a present value basis; the administrative expenses 
are estimated on a cash basis.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $567,000 for the disaster 
assistance direct loan program account, as requested in the 
budget.

                 NATIONAL PRE-DISASTER MITIGATION FUND

Appropriations, 2004 \1\................................    $149,115,000
Budget estimate, 2005...................................         ( \2\ )
Committee recommendation................................         ( \3\ )

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ President's budget request proposes combining this program with the 
National Flood Mitigation Fund into a new ``Mitigation Grants'' account.
\3\ Funded under ``Mitigation Grants'' account.

    The national pre-disaster mitigation fund is dedicated to 
competitive pre-disaster mitigation activities to reduce the 
risk of flood damage to structures.

                       COMMITTEE RECOMMENDATIONS

    The Committee agrees with the budget request to combine 
this program with the National Flood Mitigation Fund into a new 
``Mitigation Grants'' account.

                      FLOOD MAP MODERNIZATION FUND

Appropriations, 2004 \1\................................    $198,820,000
Budget estimate, 2005...................................     200,000,000
Committee recommendation................................     200,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    Funding in this account will support the functions 
necessary to modernize and digitize flood maps. The flood maps 
are used to determine appropriate risk-based premium rates for 
the National Flood Insurance Program, complete flood hazard 
determinations required of the Nation's lending institutions, 
and to develop appropriate disaster response plans for Federal, 
State, and local emergency management personnel.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $200,000,000 for the Flood Map 
Modernization Fund, as requested in the budget, and includes 
bill language which makes up to 3 percent of the funds 
available for administrative purposes.
    The Committee encourages FEMA to continue its practice of 
providing funds to communities, States and regions with a 
demonstrated commitment to digitizing and improving the 
accuracy of area flood maps. Flood map modernization funds 
should be provided through the most efficient approach to 
updating the Nation's flood maps, and projects identified as 
``high risk'' by States should be funded, when possible, 
without adversely impacting the overall goal of completing the 
flood map modernization project within 5 years.
    The Committee urges the Emergency Preparedness and Response 
Directorate to consider utilizing available high resolution 
elevation models to develop flood hazard data to support flood 
map modernization for counties that have experienced flooding 
disasters.
    The National Service Provider [NSP] and its subcontractors 
shall avoid any conflicts of interest relating to the Multi-
Hazard Flood Map Modernization program or other FEMA contracts. 
To assure this goal, neither the prime contractor nor any 
subcontractor of the NSP team shall pursue contracts for flood 
mapping work with FEMA Regional Offices under the Multi-Hazard 
Flood Map Modernization program, if they are involved in any 
activity as a member of the NSP team that creates an unfair 
advantage for that firm.

                     NATIONAL FLOOD INSURANCE FUND

Appropriations, 2004....................................    $110,472,000
Budget estimate, 2005 \1\...............................     112,593,000
Committee recommendation \1\............................     112,593,000

\1\ Fully offset by fee collections.

    The National Flood Insurance Act of 1968 (42 U.S.C. 4011 et 
seq.) authorizes the Federal Government to provide flood 
insurance on a national basis. Flood insurance may be sold or 
continued in force only in communities which enact and enforce 
appropriate floodplain management measures. Communities must 
participate in the program within 1 year of the time they are 
identified as flood-prone in order to be eligible for flood 
insurance and some forms of Federal financial assistance for 
acquisition or construction purposes. In addition, federally-
regulated funding institutions can not provide loans to non-
participating communities with an identified flood hazard.
    Under the emergency program, structures in identified 
flood-prone areas are eligible for limited amounts of coverage 
at subsidized insurance rates. Under the regular program, 
studies must be made of different flood risks in flood-prone 
areas to establish actuarial premium rates. These rates are 
charged for insurance on new construction. Coverage is 
available on virtually all types of buildings and their 
contents in amounts up to $350,000 for residential and 
$1,000,000 for other types.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $112,593,000 for the National 
Flood Insurance Fund, and provides that up to $20,000,000 may 
be transferred to the National Flood Mitigation Fund for 
expenses under section 1366 of the National Flood Insurance Act 
(42 U.S.C. 4104c), as requested in the budget.

                     NATIONAL FLOOD MITIGATION FUND

Appropriations, 2004 \1\................................     $20,000,000
Budget estimate, 2005...................................         ( \2\ )
Committee recommendation................................         ( \3\ )

\1\ By transfer from the National Flood Insurance Fund.
\2\ Proposed to be funded under the new ``Mitigation Grants'' account by 
transfer from the National Flood Insurance Fund.
\3\ Funded under ``Mitigation Grants'' account.

    A portion of the fees generated from collections by the 
National Flood Insurance Fund are transferred into the National 
Flood Mitigation Fund and then transferred into the National 
Pre-Disaster Mitigation Fund for pre-disaster mitigation 
activities to reduce the risk of flood damage to structures.

                       COMMITTEE RECOMMENDATIONS

    The Committee provides for the transfer of up to 
$20,000,000 from the National Flood Insurance Fund to the new 
``Mitigation Grants'' account, as requested in the budget.

                           MITIGATION GRANTS

Appropriations, 2004....................................         ( \1\ )
Budget estimate, 2005 \2\...............................    $150,000,000
Committee recommendation \2\............................     150,000,000

\1\ Funded under ``National Pre-Disaster Mitigation Fund'' and 
``National Flood Mitigation Fund'' accounts.
\2\ Excludes $20,000,000 transfer from National Flood Insurance Fund.

    This new account consolidates funding previously provided 
through the National Pre-Disaster Mitigation Fund and the 
National Flood Mitigation Fund. These funds are used for pre-
disaster mitigation activities to reduce the risk of flood 
damage to structures and are awarded on a competitive basis, 
based on the criteria in section 203(g) of the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5133(g)). Post disaster mitigation grants are funded 
through the Disaster Relief Fund.

                       COMMITTEE RECOMMENDATIONS

    The Committee combines the National Pre-Disaster Mitigation 
Fund with the National Flood Mitigation Fund into a new 
``Mitigations Grants'' account and recommends $150,000,000, as 
requested in the budget. Language is included in the bill to 
make up to 3 percent of the funds available for administrative 
purposes.

                EMERGENCY MANAGEMENT PERFORMANCE GRANTS

Appropriations, 2004....................................    $178,938,000
Budget estimate, 2005...................................         ( \1\ )
Committee recommendation................................         ( \2\ )

\1\ Transferred to the Office of State and Local Government Coordination 
and Preparedness on March 26, 2004 pursuant to Section 872 of Public Law 
107-296.
\2\ Funded under the Office of State and Local Government Coordination 
and Preparedness.

    Funding in this account provides support to the Nation's 
all-hazards emergency management system, and helps to build 
State and local emergency management capability.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends funding for this program as a 
separate account under the Office of State and Local Government 
Coordination and Preparedness.

                       EMERGENCY FOOD AND SHELTER

Appropriations, 2004 \1\................................    $152,097,000
Budget estimate, 2005 \2\...............................     153,000,000
Committee recommendation................................     153,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Budget proposes legislation to transfer this program to the 
Department of Housing and Urban Development.

    The Emergency Food and Shelter program provides grants to 
non-profit and faith-based organizations at the local level to 
supplement their programs for emergency food and shelter to 
provide for the immediate needs of the homeless.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $153,000,000 for the emergency 
food and shelter program. The Committee believes that the 
program is administered appropriately by EP&R and does not 
shift this program to the Department of Housing and Urban 
Development, as requested in the budget.

                        CERRO GRANDE FIRE CLAIMS

Appropriations, 2004....................................     $37,837,000
Budget estimate, 2005...................................................
Committee recommendation................................................

    The Office of Cerro Grande Fire Claims was established by 
Public Law 106-246 to provide expeditious consideration and 
settlement of claims arising from the Cerro Grande prescribed 
fire. Funds for administration of the compensation process and 
for the payment of claims are available until expended.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends no funding for this account. 
Funding provided in previous fiscal years is expected to 
satisfy all remaining Cerro Grande fire claims. The Committee 
notes that EP&R is working to complete the payment of claims 
under the Cerro Grande Fire Assistance Act of 2000, and 
requests a report on the status of the Cerro Grande Fire 
Assistance Act claims process within 60 days of enactment of 
this Act.

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

                  Citizenship and Immigration Services

Appropriations, 2004 \1\................................    $234,733,000
Budget estimate, 2005...................................     140,000,000
Committee recommendation................................     140,000,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Bureau of Citizenship and Immigration Services [CIS] 
was established by the Homeland Security Act of 2002 to deliver 
immigration services to the public in a timely, consistent, and 
fair manner. CIS is responsible for the administration of laws 
and providing services related to people seeking to enter, 
reside, work, and naturalize in the United States. In addition 
to directly appropriated resources, offsetting collections are 
available for the operations of CIS.
    Immigration Examinations Fees.--The Bureau collects fees 
from persons applying for immigration benefits to support the 
adjudication of applications, as authorized by the Immigration 
and Nationality Act (8 U.S.C. 1356).

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $140,000,000 for backlog reduction 
activities of the CIS for fiscal year 2005. This is the same as 
the budget request, and reflects a reduction of $154,733,000 
that realigns the activities of CIS between the directly 
appropriated resources and the fee-generated resources.
    Backlog Reduction.--Included in the amount recommended by 
the Committee is $140,000,000, an increase of $60,000,000, as 
requested, to support the plan to attain a 6-month processing 
time standard for all immigration benefit applications by 
fiscal year 2006.
    Immigration Examinations Fees.--The Committee understands 
that the estimated level of $1,546,000,000 in spending from the 
Immigration Examinations Fee includes $20,000,000 collected 
from premium processing fees to continue efforts to reduce the 
backlog of applications. CIS is expected to provide updates to 
the Committee regarding the progress being made in meeting the 
targets of its five-year backlog reduction plan. These reports 
should continue to be submitted while the backlog reduction 
plan is being updated. The Committee expects that of the fees 
collected, no less than $25,000,000 be made available to the 
Bureau of Immigration and Customs Enforcement to support the 
investigative and intelligence needs of CIS.
    The Committee expects CIS to review the staffing levels and 
location of offices in Maine to ensure the most efficient and 
practical delivery of services across the State.
    The following table, which includes appropriations and 
estimated fee collections, summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                              CITIZENSHIP AND IMMIGRATION SERVICES--PROGRAM SUMMARY
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Adjudication Services:
    Pay and benefits......................................           659,173           621,000           621,000
    Operating expenses:
        District operations...............................           255,000           244,000           224,000
        Service Center operations.........................           219,000           197,000           192,000
        Asylum, refugee and international operations......            72,000            73,000            73,000
        Records operations................................            72,000            65,000            65,000
                                                           -----------------------------------------------------
          Total, Adjudication Services....................         1,277,173         1,200,000         1,175,000
                                                           =====================================================
Backlog Reduction Initiatives:
    Contracting services..................................            80,000           120,000           120,000
    Other.................................................            20,000            20,000            20,000
                                                           -----------------------------------------------------
      Total, Backlog Reduction Initiatives................           100,000           140,000           140,000
                                                           =====================================================
Information and Customer Services:
    Pay and benefits......................................            91,000            78,000            78,000
    Operating expenses:
        National Customer Service Center..................            55,000            46,000            46,000
        Information services..............................            19,000            14,000            14,000
                                                           -----------------------------------------------------
          Total, Information and Customer Services........           165,000           138,000           138,000
                                                           =====================================================
Administration:
    Pay and benefits......................................            53,000            43,000            43,000
    Operating expenses....................................           203,000           190,000           190,000
                                                           -----------------------------------------------------
      Total, Administration...............................           256,000           233,000           233,000
                                                           =====================================================
      Total, Citizenship and Immigration Services.........         1,798,733         1,711,000         1,686,000
----------------------------------------------------------------------------------------------------------------

                Federal Law Enforcement Training Center


                         SALARIES AND EXPENSES

Appropriations, 2004 \1\................................    $154,506,000
Budget estimate, 2005 \2\...............................     158,440,000
Committee recommendation................................     181,440,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Includes proposed transfer of $2,000,000 for operations of the 
Advanced Training Center from the Bureau of Customs and Border 
Protection.

    The Federal Law Enforcement Training Center [FLETC] 
provides the necessary facilities, equipment, and support 
services for conducting recruit, advanced, specialized, and 
refresher training for Federal law enforcement personnel. FLETC 
personnel conduct the instructional programs for the basic 
recruit and some advanced training. This appropriation is for 
operating expenses of FLETC, for research in law enforcement 
training methods, and curriculum content. In addition, FLETC 
has a reimbursable program to accommodate the training 
requirements of various Federal agencies. As funds are 
available, law enforcement training is provided to certain 
State, local, and foreign law enforcement personnel on a space-
available basis.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $181,440,000 for salaries and 
expenses of the Federal Law Enforcement Training Center [FLETC] 
for fiscal year 2005. The Committee recommendation includes 
$2,313,000 in savings and an increase of $4,247,000 in 
annualizations and inflationary adjustments, as requested in 
the budget; and $2,000,000 for a pay for performance 
demonstration project to train supervisory personnel in 
administering a performance-based pay system.
    The Committee recommendation does not include a transfer of 
$2,000,000 to FLETC for operating costs at the Bureau of 
Customs and Border Protection [CBP's] Advanced Training Center, 
as proposed in the budget. The Committee continues to fund 
operations of the Advanced Training Center under CBP.
    The Committee provides an increase of $23,000,000 for the 
transfer of funding for operations of the Charleston, South 
Carolina, training facility from the CBP to FLETC. The 
Committee directs the FLETC to provide, no later than February 
1, 2005, a report regarding the feasibility of establishing a 
maritime and port security training program at the Charleston, 
South Carolina, training campus.
    The FLETC is the Federal Government's principal provider of 
interagency law enforcement training. The Committee expects the 
Director of FLETC to ensure that all training centers are 
operated at the highest capacity feasible throughout the fiscal 
year. The Committee also expects the Director of the FLETC to 
maintain training at or near capacity before entering into new 
leases with private contractors or establishing new leases with 
partner organizations.
    To assist the FLETC in meeting its State, local, and other 
training needs, the Committee encourages FLETC to continue 
existing institutional partnerships prior to initiating new 
partnerships.

     ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES

Appropriations, 2004 \1\................................     $37,137,000
Budget estimate, 2005...................................      37,917,000
Committee recommendation................................      42,917,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    This account provides for the acquisition and related costs 
for expansion and maintenance of facilities of the Federal Law 
Enforcement Training Center. This includes funding for the 
facilities' Master Plan, minor construction and maintenance, 
firearms environmental restoration and reconstruction, 
environmental compliance, and installation of fiber optics 
communications systems. The Master Plan provides a long-range 
blueprint for expansion of facilities to meet the training 
requirements of participating organizations. Minor construction 
and maintenance provides alterations and maintenance funding 
for buildings at four locations (Glynco, Georgia; Artesia, New 
Mexico; Cheltenham, Maryland; Charleston, South Carolina). The 
firearms environmental restoration and reconstruction funds the 
clean-up of existing outdoor ranges and reconstruction. The 
environmental compliance funds are to ensure compliance with 
Environmental Protection Agency and State environmental laws 
and regulations. The fiber optics funds allow replacement of 
the existing antiquated twisted copper wire telecommunications 
system with a state-of-the-art fiber optic telecommunications 
cable system.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $42,917,000 for acquisition, 
construction, improvements, and related expenses for expansion 
and maintenance of facilities of the Federal Law Enforcement 
Training Center [FLETC].
    The Committee notes that an updated facilities Master Plan 
that identifies unfunded training facility needs has not been 
submitted for the Committee's consideration for fiscal year 
2005. However, the Committee provides an increase of $5,000,000 
above the budget request to provide for identified perimeter 
security and firearms range needs at FLETC's Artesia, New 
Mexico, campus.

           Information Analysis and Infrastructure Protection


                     MANAGEMENT AND ADMINISTRATION

Appropriations, 2004 \1\................................    $124,263,000
Budget estimate, 2005...................................     162,064,000
Committee recommendation................................     157,064,000

\1\ Includes 0.59 percent rescission pursuant Public Law 108-199.

    The Office of the Under Secretary for Information Analysis 
and Infrastructure Protection is responsible for collecting and 
disseminating terrorist threat information; fusing and 
integrating data with foreign intelligence to produce a 
comprehensive picture of threats; and developing and 
implementing an action plan to mitigate terrorist threats and 
national vulnerabilities.

                       COMMITTEE RECOMMENDATIONS

    For salaries and expenses of the Office of the Under 
Secretary and for management and administration of programs and 
activities carried out by the Information Analysis and 
Infrastructure Protection [IAIP] Directorate, the Committee 
recommends $157,064,000, $5,000,000 less than the budget 
request.
    Of the amount provided, $5,864,000 is for the immediate 
Office of the Under Secretary and $116,200,000 is provided for 
the salaries and expenses for administering IAIP activities.
    The Committee recommends $35,000,000 for the Homeland 
Security Operations Center [HSOC] which serves as the focal 
point for sharing information across all levels of government 
and the private sector. Within the funds provided for the HSOC, 
the Committee provides funding for the Homeland Security 
Information Network to continue to provide for real-time, 
secure threat information to the State and local governmental 
entities at the sensitive-but-unclassified level.
    Funding is provided for fiscal year 2005 for the training, 
evaluation, and improvement of the Continuity of Operations 
Plan effort initiated in fiscal year 2004. Also included in the 
Committee's recommendation is $10,000,000 for renovations and 
upgrades of the current HSOC and $4,000,000 to allow for the 
consolidation of activities of the HSOC previously funded in 
evaluations and studies, as requested in the budget.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION--MANAGEMENT AND ADMINISTRATION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                                 enacted           budget        recommendations
----------------------------------------------------------------------------------------------------------------
Management and Administration:
    Office of the Under Secretary.........................             4,772             5,864             5,864
    Other salaries and expenses...........................            99,609           121,200           116,200
    Homeland Security Operations Center...................            19,882            35,000            35,000
                                                           -----------------------------------------------------
      Total, Management and Administration................           124,263           162,064           157,064
----------------------------------------------------------------------------------------------------------------

                      ASSESSMENTS AND EVALUATIONS

Appropriations, 2004....................................    $710,084,000
Budget estimate, 2005...................................     702,512,000
Committee recommendation................................     718,512,000

    The Directorate of Information Analysis and Infrastructure 
Protection was established by Public Law 107-296, the Homeland 
Security Act of 2002, to identify and assess current and future 
threats to the homeland, map threat information against current 
vulnerabilities, issue timely warnings, and take preventive and 
protective action. IAIP continues to work with Federal, State, 
local, and private stakeholders to develop and implement an 
integrated national plan for the physical and cyber protection 
of critical infrastructures and key assets.

                       COMMITTEE RECOMMENDATIONS

    The Committee recommends $718,512,000 for information 
analysis and infrastructure protection assessments and 
evaluations.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                 INFORMATION ANALYSIS AND INFRASTRUCTURE PROTECTION--ASSESSMENTS AND EVALUATIONS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                                 enacted           budget        recommendations
----------------------------------------------------------------------------------------------------------------
Assessments and Evaluations:
    Critical infrastructure outreach and partnerships.....            71,271            71,592            91,592
    Critical infrastructure identification and evaluation.            64,479            77,861            64,730
    National Infrastructure Simulation and Analysis Center            27,000            16,000            23,105
     [NISAC]..............................................
    Protective actions....................................           192,919           191,647           193,673
    Biosurveillance.......................................  ................            11,000            11,000
    Cyber security........................................            65,233            67,380            67,380
    National security and emergency preparedness                     140,168           140,754           140,754
     telecommunications...................................
    Competitive analysis and evaluation...................            18,788            18,868            18,868
    Threat determination and assessment...................            28,232            21,943            21,943
    Infrastructure vulnerability and risk assessment......            83,703            71,080            71,080
    Evaluations and studies...............................            18,291            14,387            14,387
                                                           -----------------------------------------------------
      Total, Assessments and Evaluations..................           710,084           702,512           718,512
----------------------------------------------------------------------------------------------------------------

    Critical Infrastructure Outreach and Partnerships.--The 
Committee recommends $91,592,000 for the Infrastructure 
Coordination Division to ensure reliable and timely 
communication in building the capacity to allow the Department 
to share data with infrastructure owners and operators, and to 
allow the owners and operators to provide updates to the 
Department on the status of their components of the Nation's 
critical infrastructure. The increase provided for critical 
infrastructure outreach and partnerships is provided for 
computer hosting of departmental applications, network 
connectivity, and critical data storage under the direction of 
the Department's Chief Information Officer.
    Funds are made available for critical infrastructure 
outreach and partnerships for development, implementation, and 
support of the Protected Critical Infrastructure Information 
program to facilitate the voluntary submission of 
infrastructure information by the private sector to the Federal 
Government to assist in reducing its vulnerability to terrorist 
attacks.
    Also, within funds made available for fiscal year 2005, the 
Committee supports development of the National Infrastructure 
Coordination Center to create a communications, tools-based and 
informational framework for the cross-sector identification and 
coordination of critical infrastructure information.
    The Committee provides continued funding for the Critical 
Infrastructure Warning Information Network to provide for the 
expansion of the number of network nodes to ensure connectivity 
across the government in the event of a major cyber attack.
    Critical Infrastructure Identification and Evaluation.--The 
Committee recommends $64,730,000 for infrastructure protection 
activities carried out by the Protective Security Division 
[PSD] to deploy a critical infrastructure database, to identify 
critical infrastructure and their vulnerabilities, to assess 
risks identified, and to reduce vulnerabilities.
    Continued funding is provided for the National Asset 
Database to collect and catalogue the Nation's critical 
infrastructure and key assets.
    The Committee expects PSD to conduct vulnerability field 
assessments of high-value targets and soft targets to determine 
site susceptibility to terrorist attacks in order to collect 
data on common industry-specific vulnerabilities; to collate 
and communicate this information to all affected stakeholders; 
and to assist individual owners and operators and local law 
enforcement officials in preparing plans that will improve 
security at, and in the vicinity of, their sites.
    The Committee also expects PSD to carry out identification 
of vulnerabilities at approximately 400 high-value targets in 
fiscal year 2005 in addition to the 150 expected to be 
completed in fiscal year 2004. The Committee is aware of 
specific high-threat cities scheduled for site visits for soft 
target vulnerability identification to be completed by the end 
of fiscal year 2004 and expects approximately 150 additional 
site visits to be completed in fiscal year 2005.
    Funding is continued for fiscal year 2005 for risk analysis 
activities to identify potential methods of attack, the 
probabilities of success, and the consequences of attack, 
including the second- and third-order cascade effects of supply 
chain failures due to market interdependencies.
    The Committee is encouraged by the initial interaction 
between the Office for Domestic Preparedness and the PSD and 
expects that coordination between the PSD and the newly-created 
Office of State and Local Government Coordination and 
Preparedness [SLGCP] will continue to improve. In particular, 
the Committee expects the PSD to be a full partner in the grant 
award process and in the determination of the Nation's high-
threat urban areas, and other terrorism prevention needs. The 
Committee expects the PSD to provide guidance for 
prioritization of protective measures, to develop and provide 
specific recommendations as part of the grant award process to 
minimize duplication of efforts and to review grant requests 
related to terrorism prevention.
    National Infrastructure Simulation and Analysis Center.--
The Committee recommends $23,105,000 to continue support for 
the National Infrastructure Simulation and Analysis Center 
[NISAC] to provide comprehensive modeling and simulation 
capabilities for the analysis of critical infrastructure, their 
interdependencies, complexities, and the consequences of 
disturbances. This is an increase of $3,105,000 above the base 
funding of $20,000,000 for fiscal year 2004. The fiscal year 
2004 funding level reflects the carryover of $7,000,000 in 
previously appropriated funds for the construction of the NISAC 
facility at Kirtland Air Force Base in Albuquerque, New Mexico. 
The Committee expects Sandia and Los Alamos National 
Laboratories to continue to develop NISAC and to be the lead 
entities in this initiative to secure the Nation's critical 
infrastructure.
    The Committee is aware that funding in the amount of 
$27,500,000 was made available by Public Law 108-7, the 
Consolidated Appropriations Resolution, 2003, for NISAC. The 
Committee expects PSD to obligate the funds provided and 
available for the construction of NISAC at Kirtland Air Force 
Base in Albuquerque, New Mexico, at the earliest date possible.
    Protective Actions.--The Committee recommends $193,673,000 
for protective actions activities carried out by PSD for 
developing and implementing protective programs for the 
Nation's critical infrastructures and to assist Federal, State, 
local, and private sector organizations to devise protection 
strategies, programs, and best practices.
    Within the funds provided for protective actions, the 
Committee expects the PSD to continue to carry out the Buffer 
Zone and Site Security Program to provide State homeland 
security officials, local law enforcement, and infrastructure 
owners and operators with a variety of services to implement 
protective measures across at-risk infrastructures, sectors, 
segments, and individual sites.
    The Committee is aware of the actions already taken to 
implement the Buffer Zone Protection Plan [BZPP] for chemical 
facilities, nuclear power plants, nuclear spent fuel storage 
facilities, petroleum refineries, liquefied natural gas storage 
facilities, water treatment facilities, railroad bridges, 
subways, and tunnels to share information with infrastructure/
asset owners in order to provide an understanding of the 
threat, capabilities, and tactics of terrorists to cause damage 
to critical infrastructures.
    The Committee recognizes the rapid stand-up of PSD and is 
encouraged by its efforts in fiscal year 2004 to ensure 
additional protective actions are implemented at 360 of the 
most hazardous chemical sites in accordance with the BZPP. With 
funds made available for fiscal year 2005, the Committee 
expects PSD to continue protective actions to include an 
additional 350 to 400 chemical sites per year that would have 
the effect of a weapon of mass destruction if the chemical site 
was targeted and attacked by terrorists. In addition to the 
implementation of the BZPP, the Committee expects PSD to assign 
responsibility to field personnel (Protective Security 
Advisors) to conduct annual site security verification visits 
at 4,000 of the most hazardous chemical sites identified by the 
Department.
    The Committee expects the Department to continue the BZPP 
efforts to increase security at all of the Nation's critical 
infrastructure and key resources at a rate of 2,000 sites per 
year with particular emphasis on (1) sites that, if attacked, 
would have the effect of a weapon of mass destruction; (2) soft 
targets and public gathering areas; and (3) public 
transportation systems.
    The Committee is aware of the PSD efforts to secure the 
Nation's railways from a terrorist attack by conducting 
simulations, site assist visits [SAVs], and vulnerability 
assessments of the most critical areas. The Committee expects 
the PSD to continue SAVs of rail stations, railroad bridges, 
railroad yards, tunnels, subways, and rail corridors and to 
prioritize vulnerabilities in order to implement protective 
measures. Additional funding for rail security is provided 
within the funding recommended for SLGCP, the Science and 
Technology [S&T] Directorate, and the Transportation Security 
Administration.
    Biosurveillance.--The Committee recommends $11,000,000, as 
requested in the budget, for the IAIP's role in the 
biosurveillance initiative to rapidly identify and characterize 
a potential bioterrorist attack.
    Under the biosurveillance initiative, the S&T will receive 
response guidance attack assessments from the National 
Biosurveillance Group to enhance S&T's BioWatch environmental 
biodetection program, the Department of Health and Human 
Services [HHS] proposed BioSense program, HHS and the United 
States Department of Agriculture [USDA] current joint separate 
food security surveillance efforts, and the USDA's agricultural 
surveillance efforts. Funds are provided for IAIP to be the 
lead agency in developing a national system to detect 
biological and chemical attacks and coordinate the real-time 
integration of biosurveillance data collected from HHS, USDA, 
and S&T. Additional funding is provided for the biosurveillance 
initiative within the S&T, ``Research, Development, Acquisition 
and Operations'' account.
    Cyber Security.--The Committee recommends $67,380,000 for 
cyber security program activities carried out by the National 
Cyber Security Division to support efforts to capitalize on 
existing capabilities of IAIP and to invest in new capabilities 
to monitor for, predict, and prevent cyber attacks and to 
minimize the damage from and efficiently recover from attacks.
    Funding is provided for fiscal year 2005 to continue 
support of the United States-Computer Emergency Readiness Team 
to serve as the U.S. Government coordination point for 
collaboration of public and private sector institutions to 
advance computer security preparedness and response to cyber 
attacks and incidents. The Committee expects the Department to 
continue to fund the Global Early Warning Information System 
for the measurement of traffic flow and activity on the 
Internet and the reporting of potential cyber attacks or 
disruptions to Government and industry. Funding is provided 
within the amount recommended for the cyber security program 
for the Combined Cyber Operations Center to track and analyze 
cyber incidents nationwide and to coordinate local and/or 
national response.
    Also included is $3,500,000 for ``live wire'' cyber 
exercises to build upon previous similar terrorist attacks on 
the Nation's cyber infrastructure to demonstrate the impact of 
a cyber-based attack on critical infrastructures and to 
highlight the interdependencies among critical infrastructures 
and underscore the requirement for enhanced cross-sector 
cooperation.
    The Committee expects the National Cyber Security Division, 
in consultation with nongovernmental organizations with 
assigned responsibilities under national preparedness and 
response incident management plans, to identify critical assets 
and interdependencies; to perform vulnerability assessments; 
and to identify necessary resources to implement protective 
measures to ensure continuity of operations, product 
protection, and redundancy of critical biomedical systems.
    National Security and Emergency Preparedness 
Telecommunications.--The Committee recommends $140,754,000 for 
National Security and Emergency Preparedness Telecommunications 
activities administered by the National Communications System. 
This includes funding for telecommunications priority services 
programs, including the Government Emergency Telecommunications 
Service, the Wireless Priority Service [WPS], the 
Telecommunications Service Priority program, and the Special 
Routing Arrangement Services.
    The Committee recommends $88,000,000 for development and 
deployment of nationwide WPS solutions for Global System for 
Mobile Communications [GSM] and Code Division Multiple Access 
[CDMA] wireless technology platforms to ensure national 
leadership can communicate during periods of extreme 
telecommunications network congestion and times of national 
crisis.
    Competitive Analysis and Evaluation.--The Committee 
recommends $18,868,000 for competitive risk assessment 
analysis, validation, evaluation, and exercises and 
methodologies.
    The Committee makes funds available for the establishment 
of physical and cyber target risk analysis teams using analytic 
``red cell'' and operational ``red team'' procedures to 
evaluate protective measures implemented by other components of 
IAIP in the protection of key assets and critical 
infrastructure. Funding for fiscal year 2005 is also provided 
for product and process evaluation, customer satisfaction, and 
a senior stakeholders panel. Within the amount made available 
for competitive analysis and evaluation, the Committee provides 
funding to coordinate and manage interagency and tabletop 
exercises to test policies, processes, procedures, 
capabilities, and areas of responsibilities of IAIP.
    Threat Determination and Assessment.--The Committee 
recommends $21,943,000 for information analysis activities for 
the detection and identification of terrorist threats, 
assessment of the nature and scope of terrorist threats, and to 
provide the ability to recognize terrorist threats with regard 
to actual and potential vulnerabilities within critical 
infrastructures and key assets.
    For fiscal year 2005, funding is provided to carry out 
current activities to constantly structure terrorist threat 
situational awareness, perform execution of intelligence 
activities, and focus on coordination of intelligence 
activities within the Department and the Intelligence 
Community, and with States and local municipalities and tribal 
entities.
    The Committee recommendation includes a reduction of 
$6,400,000, as requested in the budget, for programs previously 
funded in threat determination and assessments for the 
Terrorist Threat Integration Center [T-TIC] and the Terrorist 
Screening Center [TSC] to provide for the establishment of a 
joint center focused on integrating threat data with the 
Department of Justice [DOJ].
    Infrastructure Vulnerability and Risk Assessment.--The 
Committee recommends $71,080,000 for activities for the 
development of a comprehensive National infrastructure profile 
and risk analysis; development of analytic tools to evaluate 
critical infrastructure and key assets; and the coordination 
and development of a national threat vulnerability and asset 
database to access, integrate, correlate, and store 
information.
    Funding for fiscal year 2005 will allow IAIP to produce 
more timely, significant threat information, accompanied by 
protective measures and mitigation strategy recommendations to 
industry to enhance their value to the private sector, 
minimizing the issuance of ``general'' warnings. Funds are also 
provided for continued collaboration with S&T to acquire the 
most advanced technology for translating vast amounts of 
diverse data into common and usable information and to provide 
for the coordination, development, and maintenance of a single 
database of the Nation's critical infrastructures through a 
shared process involving all stakeholders.
    The Committee recommendation includes a reduction of 
$12,900,000, as requested in the budget, for programs 
previously funded in infrastructure vulnerability and risk 
assessment for the T-TIC and the TSC to provide for the 
establishment of a joint center focused on integrating threat 
data with the DOJ.
    Evaluations and Studies.--The Committee recommends 
$14,387,000 for information analysis activities for the 
management and administration of the Homeland Security Advisory 
System to provide continuous monitoring and alerts of potential 
terrorist threats or ongoing activities. The Committee 
recommends funding for submitting collection requests for 
threat information to the Intelligence Community and law 
enforcement organizations; disseminating guidance to other 
Departmental components; developing analyses on the nature and 
scope of the threat; identifying potential terrorist targets 
within the United States; and publishing threat advisories, 
bulletins, and warnings at different levels of classification 
prior to distribution to the relevant stakeholders.
    The Committee recommendation includes a reduction of 
$4,000,000, as requested in the budget, to allow for the 
consolidation of activities of the HSOC previously funded in 
the ``Evaluations and Studies'' account.
    The Committee is supportive of the Department's intent to 
use the National Weather Service [NWS] radio system as the 
foundation for the Homeland Security Advisory System. However, 
the Committee has been advised that only 15 percent of 
Americans have access to NWS radio broadcasts. Fiscal year 2004 
funding of $10,000,000 was provided for the distribution of NWS 
radios. The Committee provides this level of funding for fiscal 
year 2005 for further distribution of NWS radios to schools 
throughout the country on a priority basis.
    The Committee has been informed that the Department of 
Homeland Security must negotiate separately with each radio and 
television broadcaster and with other providers of 
telecommunications services, such as cable, cell phone, 
satellite, and e-mail transmissions, for national alerts to be 
carried by such entities. The Committee believes this is an 
extremely inefficient means of ensuring communications with the 
public, and directs the Secretary to work with the Chairman of 
the Federal Communications Commission to develop a legislative 
solution to this issue.

                         Science and Technology


                     MANAGEMENT AND ADMINISTRATION

Appropriations, 2004....................................     $43,908,000
Budget estimate, 2005...................................      52,550,000
Committee recommendation................................      52,550,000

    The Office of the Under Secretary for Science and 
Technology is responsible for ensuring the Nation's homeland 
security by developing a national policy and strategic plan to 
coordinate the Federal Government's civilian efforts for 
identifying priorities, goals, objectives and policies to 
develop countermeasures to chemical, biological, radiological, 
nuclear, and other emerging terrorist threats. The 
responsibilities of the Under Secretary also include oversight 
and coordination responsibilities; basic and applied research; 
and development, demonstration, testing, and evaluation 
activities relevant to any or all elements of the Department in 
collaboration and coordination with other appropriate executive 
agencies to reduce duplication and to identify unmet needs.

                       COMMITTEE RECOMMENDATIONS

    For salaries and expenses of the Office of the Under 
Secretary and for management and administration of programs and 
activities carried out by the Science and Technology 
Directorate [S&T], the Committee recommends $52,550,000, as 
requested in the budget. Of the amount provided, $6,315,000 is 
for the immediate Office of the Under Secretary and $46,235,000 
is provided for the salaries and expenses for managing and 
administering S&T activities.
    The following table summarizes the Committee's 
recommendations for the management and administration of 
science and technology activities as compared to the fiscal 
year 2004 and budget request levels:

                              SCIENCE AND TECHNOLOGY--MANAGEMENT AND ADMINISTRATION
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Management and Administration:
    Office of the Under Secretary.........................             5,138             6,315             6,315
    Other salaries and expenses...........................            38,770            46,235            46,235
                                                           -----------------------------------------------------
      Total, Management and Administration................            43,908            52,550            52,550
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

           Research, Development, Acquisition and Operations

Appropriations, 2004 \1\................................    $868,844,000
Budget estimate, 2005...................................     986,749,000
Committee recommendation................................   1,016,647,000

\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.

    The Science and Technology Directorate [S&T] was 
established by Congress by Public Law 107-296, the Homeland 
Security Act of 2002, to support the advance of homeland 
security through basic and applied research; fabrication of 
prototypes and full-scale preproduction hardware; and 
procurement of products, systems and other capital equipment 
necessary for the provision and upgrading of capabilities to 
detect, destroy, dispose, and mitigate the effects of weapons 
of mass destruction. The S&T also supports other directorates 
and activities of the Department in developing, acquiring and 
fielding equipment and procedures necessary for performing 
their missions.

                        COMMITTEE RECOMMENDATONS

    The Committee recommends $1,016,647,000 for research, 
development, acquisition and operations of the Science and 
Technology Directorate for fiscal year 2005.
    The following table summarizes the Committee's 
recommendations as compared to the fiscal year 2004 and budget 
request levels:

                    SCIENCE AND TECHNOLOGY--RESEARCH, DEVELOPMENT, ACQUISITION AND OPERATIONS
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                            Fiscal year 2004  Fiscal year 2005      Committee
                                                               enacted \1\         budget        recommendations
----------------------------------------------------------------------------------------------------------------
Biological countermeasures................................           197,329           407,000           346,310
National Biodefense Analysis and Countermeasures Center...            87,481  ................            35,000
Nuclear and radiological countermeasures..................           126,251           129,300           127,810
Chemical countermeasures..................................            51,693            53,000            52,400
High explosives countermeasures...........................             9,444             9,700            33,590
Threat and vulnerability, testing and assessment..........            92,948           101,900            68,100
Conventional missions in support of DHS...................            33,799            34,000            34,000
    Additional program consolidations.....................  ................        \2\ 24,150        \3\ 10,650
Rapid prototyping program.................................            74,558            76,000            75,120
Standards.................................................            38,770            39,699            39,239
Emerging threats..........................................            20,876            21,000            10,750
Critical infrastructure protection........................        \4\ 66,108  ................            14,830
University programs/homeland security fellowship programs.            69,587            30,000            69,048
Counter-MANPADS...........................................           ( \5\ )            61,000            61,000
SAFETY Act................................................  ................           ( \6\ )            10,000
Cyber security............................................           ( \7\ )           ( \7\ )            17,800
Interoperability and communications.......................  ................  ................            11,000
                                                           -----------------------------------------------------
      Total, Research, Development, Acquisition and                  868,844           986,749         1,016,647
       Operations.........................................
----------------------------------------------------------------------------------------------------------------
\1\ Includes 0.59 percent rescission pursuant to Public Law 108-199.
\2\ Includes proposed increase of $10,000,000 for Federal Air Marshals research and development; $650,000 for
  Emergency Preparedness and Response; and $13,500,000 for Coast Guard research and development.
\3\ Includes $10,000,000 for Federal Air Marshals research and development and $650,000 for Emergency
  Preparedness and Response.
\4\ Includes $60,640,000 for counter-MANPADS.
\5\ Funded in fiscal year 2004 under ``critical infrastructure protection'' subactivity.
\6\ Funding of $10,000,000 proposed through across-the-board assessment on all Science and Technology
  portfolios.
\7\ Funded and requested in ``threat and vulnerability, testing and assessment'' subactivity.

    Biological Countermeasures.--The Committee provides 
$346,310,000 for the deployment of effective measures to deter, 
detect, and mitigate acts of biological terrorism against the 
United States population, infrastructure, or agricultural 
system. Biological countermeasures are being developed to 
examine alternative architectures to provide for technology 
development and to assess the performance of prototypes and 
test systems for continued improvement as larger scale systems 
are deployed.
    Within the funds made available for biological 
countermeasures, the Committee provides $118,000,000, including 
an increase of $65,000,000 from the fiscal year 2004 level, for 
the integrated biosurveillance initiative. This amount includes 
funding to significantly expand the BioWatch program by 
increasing the number of sample collectors in the highest 
threat cities. The Committee is aware of the aerosolized 
biological surveillance currently in place in several major, 
high threat cities and expects S&T to expand surveillance in 
public transit systems, airports, stadiums, and other public 
areas in these cities that could be subject to a biological 
attack. Funds are also provided for biosurveillance for the 
pilot of a BioWarning and Incident Characterization System in 
two BioWatch cities to integrate BioWatch data with medical 
surveillance and intelligence data, and with hazard prediction 
tools to provide decision makers not only with the earliest 
possible warning of an attack but also to provide a situational 
awareness to guide initial response actions. The Committee also 
provides funding for advanced rapid detection systems in 
support of next generation BioWatch systems and research and 
development on detection systems for the monitoring of critical 
food nodes.
    The Committee includes $34,900,000, an increase of 
$14,900,000 from the fiscal year 2004 level, of which 
$12,900,000 is made available to correct physical security 
deficiencies at the Plum Island Animal Disease Center 
identified in the September 2003 General Accounting Office 
report.
    National Biodefense Analysis and Countermeasures Center.--
The Committee provides $35,000,000 for final year construction 
funding of the National Biodefense Analysis Countermeasures 
Center [NBACC] to provide coordination of applied technology 
programs through interagency partnering to avoid unnecessary 
duplication and maximize partner laboratory contributions. 
Funding in the amount of $86,804,000 was provided in fiscal 
year 2004 for construction of the NBACC and $5,000,000 was 
provided in fiscal year 2003 for construction planning. The 
NBACC hub will serve as the Department of Homeland Security 
component of the Fort Detrick, Maryland, biodefense campus, 
partnering with the Department of Defense, the Federal Bureau 
of Investigation, the Intelligence Community, the National 
Institutes of Health, and the United States Department of 
Agriculture.
    Nuclear and Radiological Countermeasures.--The Committee 
provides $127,810,000 to rapidly develop and transition 
enhanced capability to deployed detectors and systems and to 
rapidly incorporate recent advances in prototype technologies 
into the near commercial assistance of radiological and nuclear 
detectors and systems for use in operational environments.
    Existing technologies being deployed by agencies at ports-
of-entry, including the United States Coast Guard [USCG] and 
the Bureau of Customs and Border Protection, provide an 
effective nuclear countermeasure system. However, continued 
focused development can considerably extend these capabilities 
in order to develop technologies for application to specific 
locations, including those in the intermodal transportation 
system, in the maritime domain, at border ports-of-entry, and 
in the aviation industry. The Committee expects a significant 
expansion of the Countermeasures Test Bed being conducted with 
the Port Authority of New York and New Jersey in testing 
technologies to detect radiation/nuclear threats to include 
railway, general aviation facility monitoring, expanded 
roadways coverage, and an additional seaport.
    The Committee is aware of technology proposals developed 
with national laboratories to facilitate the inspection of 
containerized cargo for fissile materials as a part of the 
normal off-loading process at the Nation's seaports. The 
Committee understands this process would not increase normal 
cargo off-loading process time and would provide a detection 
capability not currently in place. The Committee encourages the 
Department to investigate the feasibility of such technology as 
a part of its efforts to secure our Nation's ports.
    Chemical Countermeasures.--The Committee provides 
$52,400,000 for the development and demonstration of 
technologies and systems necessary for defense of civilian 
populations from attacks with chemical warfare agents or toxic 
industrial chemicals. Funding is provided for the continuation 
of research and development on the numerous chemical threats 
and targets, development and testing of new detection and 
forensic technologies, and development of integrated protective 
systems for high-value facilities including airports, subways, 
and railways.
    The Committee expects S&T to build upon the significant 
amount of work already carried out by the Department of Defense 
on chemical protection and to incorporate next-generation 
detection technologies and lessons previously learned to 
advance and implement facilities protection architectures.
    The Committee is aware of S&T's intention to integrate 
chemical, biological, nuclear, and radiological [CBNR] 
countermeasure detection devices to counteract all CBNR threats 
within focused regional areas. The Committee encourages the 
Under Secretary for Science and Technology to build on current 
research and development efforts to support a pilot program for 
advanced weapons of mass destruction detection and a high-
speed, high-volume alert system at multiple regional locations 
in order to advance preparedness and response.
    High Explosives Countermeasures.--The Committee provides 
$33,590,000 to significantly increase the probability of 
interdicting an explosives attack on buildings, all modes of 
transportation, critical infrastructure, and the Nation's 
civilian population, an increase of $23,890,000 from the budget 
request. The additional amount provided for high explosives 
countermeasures is to develop and conduct simulated real-world 
exercises to validate a training program for the use of 
commercially-available equipment against suicide bombers in 
commuter and passenger rail environments. Funding is provided 
to disseminate this training package to local law enforcement 
to provide recommended equipment and operational procedures. 
Prototype detection systems are to be developed with the 
funding made available to significantly improve the ability of 
law enforcement to detect potential suicide bombers at a 
distance, and to disrupt their operations while minimizing risk 
to law enforcement and the general population. The Committee 
directs that initial test and evaluation of those systems to be 
conducted, and systems down selected for further development. 
In addition, the Committee expects commercially available 
systems for rail track surveillance and limited transgression 
detection capability to be operationally evaluated at 
particularly vulnerable locations.
    Threat and Vulnerability, Testing and Assessment.--The 
Committee provides $68,100,000 to evaluate extensive amounts of 
diverse threat information; detect and document terrorist 
intent; couple threat information with knowledge of complex, 
interdependent critical infrastructure vulnerabilities; conduct 
risk assessments; draw timely insights; and distribute warnings 
from the information.
    Funding of $17,800,000 for cyber security and $14,830,000 
for critical infrastructure protection requested in threat and 
vulnerability, testing and assessment are funded in separate 
subactivities of this account.
    Conventional Missions in Support of the Department of 
Homeland Security.--The Committee recommends $44,650,000 for 
coordination and integration of research, development, 
demonstration, testing, and evaluation activities to support 
conventional missions of the Department and to reduce the 
possibility of duplication and redundancy. This amount includes 
an increase of $10,650,000 for the further consolidation of 
research, development, testing, and evaluation activities 
conducted within the Department.
    The Committee recommends that the funding provided for 
support activities be distributed as follows: $9,000,000 for 
Emergency Preparedness and Response [EP&R]/State and Local 
research and development to strengthen the ability of first 
responders to rapidly deploy and mitigate any attack or natural 
disaster; $23,000,000 for Border and Transportation Security 
support/Immigration and Customs Enforcement [ICE] research and 
development to focus on preventing terrorists and terrorist 
weapons from entering the United States; $2,000,000 for 
research and development to support the United States Secret 
Service [USSS] to prevent attacks on protectees and high-
visibility venues; $10,000,000 to support ICE Federal Air 
Marshal Service [FAMS] Air-to-Ground Communication System 
prototype development to enhance aviation security and the FAMs 
ability to conduct operations while in the aircraft; and 
$650,000 to support EP&R's research, development, testing, and 
evaluation of United States Fire Administration activities.
    The Committee does not provide funding for the requested 
transfer of the USCG research and development activities to the 
S&T. Funding for the support of operations and maintenance and 
for salaries of assigned science staff for the USCG Research 
and Development Center is provided in the USCG ``Research, 
Development, Test, and Evaluation'' account. The Committee 
expects the Under Secretary of Science and Technology to 
continue to coordinate collaborative research and development 
activities with the Commandant of the United States Coast 
Guard.
    The Committee also expects the Under Secretary of Science 
and Technology to provide the USCG Research and Development 
Center with continued opportunities to compete for Science and 
Technology funding.
    Rapid Prototyping.--The Committee recommends $75,120,000 
for research, development, testing, evaluation and timely 
transition of homeland security capabilities to Federal, State, 
and local operational end-users. The Committee expects the 
rapid prototyping program to continue to provide a mechanism 
for accelerated development of technologies relevant to 
homeland security by accelerating the time to develop and 
commercialize relevant technologies in order to provide the 
operational end-user the ability to prevent terrorist attacks, 
reduce the Nation's vulnerability, and minimize the damage and 
assistance in recovery if attacks occur.
    Standards.--The Committee provides $39,239,000 for 
development of consistent and verifiable standards in terms of 
basic functionality, task appropriateness and adequacy, 
interoperability, efficiency, and sustainability to improve the 
quality and usefulness of homeland security systems and 
technologies by actively engaging the Federal, State, and local 
first responder.
    The Committee expects standards development and 
implementation projects for biological, chemical, high 
explosives, nuclear and radiological, terrorist intent, cyber 
security, and critical infrastructure protection to develop 
guidelines as a collaborative effort among vulnerability 
analysts, tool developers, users, and standards experts.
    Emerging Threats.--The Committee provides $10,750,000 to 
develop the capability to use innovative, crosscutting, out-of-
the-box approaches for identifying, anticipating, and 
responding to new and emerging threats. The Committee expects 
S&T to leverage activities implemented in fiscal year 2004 that 
established partnerships with the Intelligence Community and 
with the USSS in order to leverage ongoing activities in 
support of over-the-horizon assessment and continue to focus on 
developing the capability to use these approaches for 
anticipating and responding to new and emerging threats and to 
develop revolutionary technologies to combat them.
    Critical Infrastructure Protection.--The Committee provides 
$14,830,000 to significantly improve the capabilities of the 
Nation to physically protect its critical infrastructure and 
key assets and to develop design concepts for advanced 
infrastructure systems that are inherently more robust and 
resilient, self defending, and self correcting.
    The Committee consolidates funding for critical 
infrastructure protection previously provided in threat and 
vulnerability, testing and assessment.
    University Programs/Homeland Security Fellowship 
Programs.--The Committee provides $69,048,000, an increase of 
$39,048,000 from the budget request, to fund existing and 
future Homeland Security Centers of excellence and to continue 
the university fellows program. The Committee encourages 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, Native Hawaiian-serving institutions, and Alaskan 
Native-serving institutions.
    Counter Man-Portable Air Defense Systems.--The Committee 
provides $61,000,000, as requested in the budget, for systems 
development, aircraft integration analysis, and modeling and 
simulation performance assessment to protect the Nation's 
commercial aircraft against the threat of man-portable air 
defense systems [MANPADS]. Funding is made available to 
continue Phase II of the counter-MANPADS Program, to include 
development of prototype demonstrations using existing military 
or commercial technology which will be subjected to a rigorous 
test and evaluation process.
    The Committee expects the counter-MANPADS Special Program 
Office to continue coordination with the Department of Defense, 
Transportation Security Administration, Department of State, 
Department of Treasury, and the Federal Aviation Administration 
to support the Department's efforts to adapt existing military 
technology for use in commercial aviation.
    SAFETY Act.--The Committee provides $10,000,000 for the 
development of a comprehensive program to solicit, receive, 
track, evaluate, and maintain records associated with the 
Support Anti-terrorism by Fostering Effective Technologies 
[SAFETY] Act technology applications. The Department funded the 
SAFETY Act Office for fiscal year 2004 from funds made 
available from other S&T portfolios.
    Cyber Security.--The Committee provides $17,800,000 for 
research and development of the most appropriate technologies 
for next generation cyber threat characterization, cyber threat 
detection, and cyber threat origination.
    The Committee expects that cyber security efforts for 
critical infrastructure protection and homeland security needs 
will be coordinated with the National Cyber Security Division 
and the National Communications System, as well as with 
external stakeholders.
    Interoperability and Communications.--The Committee 
provides an increase of $11,000,000 from the fiscal year 2004 
and budget request levels, for public safety communications and 
interoperability.
    The Wireless Public SAFEty Interoperability COMmunications 
[SAFECOM] Program, is the umbrella initiative to coordinate all 
Federal, State, local, and tribal users to achieve national 
wireless communications interoperability.
    The lack of true interoperability within public safety 
communications remains a critical stumbling block to effective 
response in multi-discipline, multi-jurisdictional emergencies. 
Under the auspices of the Association of Public Safety 
Communications Officers, the public safety community has worked 
cooperatively with the private sector to develop open 
architecture standards for voice communications, known as 
Project 25.
    The timely completion of the Project 25 standards for all 
of the relevant communications systems equipment is essential 
to the public safety community. The Committee is concerned that 
the functional standards that specify key Project 25 system 
interfaces (such as the Inter-RF Subsystem Interface, Console 
Interface, and the Fixed Station Interface) have not been 
developed or approved, as well as the standards that define how 
the interfaces should be tested and evaluated.
    The Committee encourages the SAFECOM Program to work with 
the Office of Law Enforcement Standards of the National 
Institute of Standards and Technology and the Department of 
Justice to consider the issuance of interim standards that can 
be used to specify the required functionality and testing 
validation characteristics.

                      TITLE V--GENERAL PROVISIONS

    Section 501. The Committee includes a provision limiting 
the expenditure of funds to the current fiscal year unless 
expressly provided otherwise in the Act.
    Section 502. The Committee includes a provision providing 
authority to reprogram appropriations within an account and to 
transfer not to exceed 5 percent between appropriations 
accounts with 15-day advance notification of the Committees on 
Appropriations.
    The Committee expects the Department to submit 
reprogramming requests on a timely basis, and to provide 
complete explanations of the reallocations proposed, including 
detailed justifications of the increases and offsets, and any 
specific impact the proposed changes will have on the budget 
request for the following fiscal year and future-year 
appropriations requirements. Each request submitted to the 
Committee should include a detailed table showing the proposed 
revisions at the account, program, project, and activity level 
to the funding and staffing (full-time equivalent position) 
levels for the current fiscal year and to the levels requested 
in the President's budget for the following fiscal year.
    The Committee expects the Department to manage its programs 
and activities within the levels appropriated. The Committee is 
concerned with the number of reprogramming proposals submitted 
for consideration by the Department and reminds the Department 
that reprogramming or transfer requests should be submitted 
only in the case of an unforeseeable emergency, or situation 
that could not have been predicted when formulating the budget 
request for the current fiscal year. Further, the Committee 
notes that when the Department submits a reprogramming or 
transfer request to the Committees on Appropriations and does 
not receive identical responses from the House and Senate, it 
is the responsibility of the Department to reconcile the House 
and Senate differences before proceeding, and if reconciliation 
is not possible, to consider the reprogramming or transfer 
request unapproved.
    This Committee would also like to clarify that this section 
applies to the Department's Working Capital Fund and that no 
funds may be obligated from the Working Capital Fund to fund 
programs, projects or activities for which appropriations have 
been specifically rejected by the Congress, to initiate new 
programs or activities, or to augment the funds or personnel 
for any program, project, or activity above the levels 
appropriated by this Act.
    The Department is not to propose a reprogramming or 
transfer of funds within 45 days of the end of the fiscal year 
unless there are exceptional or emergency circumstances.
    Section 503. The Committee includes a provision making not 
to exceed 50 percent of unobligated balances remaining at the 
end of the fiscal year 2005 from appropriations for salaries 
and expenses available through fiscal year 2006 in the account 
and for the purpose for which the funds were provided, and the 
obligation of such funds subject to the statutory requirements 
for the reprogramming of funds.
    Section 504. The Committee includes a provision providing 
that funds made available by the Act for intelligence 
activities are deemed to be specifically authorized until the 
enactment of an Act authorizing intelligence activities for 
fiscal year 2005.
    Section 505. The Committee includes a provision directing 
the Federal Law Enforcement Training Center to establish an 
accrediting body to establish standards for measuring and 
assessing the quality and effectiveness of Federal law 
enforcement training programs, facilities, and instructors.
    Section 506. The Committee includes a provision requiring 
notification of the Committees on Appropriations at least three 
business days in advance of the Department announcement of any 
grant allocation, discretionary grant award, or letter of 
intent, or contract totaling in excess of $1,000,000.
    Section 507. The Committee includes a provision that, with 
certain specific exceptions, no agency shall purchase, 
construct, or lease additional facilities for the purpose of 
conducting Federal law enforcement training without the advance 
approval of the Committees on Appropriations.
    Section 508. The Committee includes a provision requiring 
the Director of the Federal Law Enforcement Training Center to 
ensure that all training facilities are operated at the highest 
capacity throughout the fiscal year.
    Section 509. The Committee includes a provision prohibiting 
the use of funds for any construction, repair, alteration, or 
acquisition project for which a prospectus, if required by the 
Public Buildings Act of 1959, has not been approved.
    Section 510. The Committee includes a provision prohibiting 
funds from being 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, unless an agreement has 
been reached on ``below-market'' rates, or the space is 
necessary for security checkpoints.
    Section 511. The Committee includes a provision prohibiting 
the use of funds in contravention of the Buy American Act.
    Section 512. The Committee includes a provision regarding 
the inspection of air cargo.
    Section 513. The Committee includes a provision requiring 
15 days advance notification prior to contracting out of a 
funded full-time equivalent position. The Department is to 
provide a report to the Committee by February 8, 2005, 
identifying any funded full-time equivalent positions of the 
Department which were filled by contractors during fiscal year 
2004.
    Section 514. The Committee includes a provision to prohibit 
the obligation of funds for the Computer Assisted Passenger 
Pre-screening System until a study by the General Accounting 
Office is submitted to the Committees on Appropriations.

                     PROGRAM, PROJECT, AND ACTIVITY

    The following information provides the definition of the 
term ``program, project, and activity'' for the directorates, 
bureaus, agencies, and other organizations of the Department of 
Homeland Security under the jurisdiction of the Homeland 
Security Subcommittee of the Committee on Appropriations. The 
term ``program, project, and activity'' shall include the most 
specific level of budget items identified in the Department of 
Homeland Security Appropriations Act, 2005, the House and 
Senate Committee reports, and the conference report and 
accompanying joint explanatory statement of the managers of the 
committee of conference.
    If a percentage reduction is necessary, in implementing 
that reduction, directorates, bureaus, agencies, and other 
organizations of the Department of Homeland Security shall 
apply any percentage reduction required for fiscal year 2005 to 
all items specified in the justifications submitted to the 
Committees on Appropriations of the House and Senate in support 
of the fiscal year 2005 budget estimates, as amended, for such 
organizations and directorates, as modified by congressional 
action.

  COMPLIANCE WITH PARAGRAPH 7, RULE XVI OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 7 of rule XVI requires that Committee reports 
accompanying general appropriations bills identify each 
recommended amendment which proposes an item of appropriation 
which is not made to carry out the provisions of an existing 
law, a treaty stipulation, or an act or resolution previously 
passed by the Senate during that session.
    The Committee recommends funding for the following programs 
or activities which currently lack authorization for fiscal 
year 2005:
    Department-Wide Technology Investments;
    Customs and Border Protection, Salaries and Expenses, 
Automation Modernization, Construction;
    Immigration and Customs Enforcement, Salaries and Expenses, 
Federal Air Marshals, Air and Marine Operations, Automation 
Modernization, Construction;
    United States Coast Guard, Operating Expenses; 
Environmental Compliance and Restoration; Reserve training; 
Acquisition, Construction, and Improvements; and Retired Pay;
    Counterterrorism Fund;
    Federal Law Enforcement Training Center, Salaries and 
Expenses; and Acquisitions, Construction, and Improvements;
    Office of State and Local Government Coordination and 
Preparedness, Management and Administration, State and Local 
Programs;
    Emergency Preparedness and Response, Preparedness, 
Mitigation, Response, and Recovery; Flood Map Modernization 
Fund; Mitigation Grants; Emergency Food and Shelter; and 
National Flood Insurance Fund;
    Citizenship and Immigration Services;
    Information Analysis and Infrastructure Protection, 
Management and Administration; Assessments and Evaluations; and
    Science and Technology, Management and Administration; 
Research, Development, Acquisition and Operations.

COMPLIANCE WITH PARAGRAPH 7(C), RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Pursuant to paragraph 7(c) of rule XXVI, on June 17, 2004, 
the Committee ordered reported S. 2537, an original bill making 
appropriations for the Department of Homeland Security for the 
fiscal year ending September 30, 2005, subject to amendment, by 
a recorded vote of 29-0, a quorum being present. The vote was 
as follows:
        Yeas                          Nays
Chairman Stevens
Mr. Cochran
Mr. Specter
Mr. Domenici
Mr. Bond
Mr. McConnell
Mr. Burns
Mr. Shelby
Mr. Gregg
Mr. Bennett
Mr. Campbell
Mr. Craig
Mrs. Hutchison
Mr. DeWine
Mr. Brownback
Mr. Byrd
Mr. Inouye
Mr. Hollings
Mr. Leahy
Mr. Harkin
Ms. Mikulski
Mr. Reid
Mr. Kohl
Mrs. Murray
Mr. Dorgan
Mrs. Feinstein
Mr. Durbin
Mr. Johnson
Ms. Landrieu

 COMPLIANCE WITH PARAGRAPH 12, RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 12 of rule XXVI requires that Committee reports 
on a bill or joint resolution repealing or amending any statute 
or part of any statute include ``(a) the text of the statute or 
part thereof which is proposed to be repealed; and (b) a 
comparative print of that part of the bill or joint resolution 
making the amendment and of the statute or part thereof 
proposed to be amended, showing by stricken-through type and 
italics, parallel columns, or other appropriate typographical 
devices the omissions and insertions which would be made by the 
bill or joint resolution if enacted in the form recommended by 
the committee.''
    In compliance with this rule, the following changes in 
existing law proposed to be made by the bill are shown as 
follows: existing law to be omitted is enclosed in black 
brackets; new matter is printed in italics; and existing law in 
which no change is proposed is shown in roman.
    With respect to this bill, no changes are required to be 
reported.

                                            BUDGETARY IMPACT OF BILL
  PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC. 308(a), PUBLIC LAW 93-344, AS
                                                     AMENDED
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                  Budget authority               Outlays
                                                             ---------------------------------------------------
                                                               Committee    Amount  of   Committee    Amount  of
                                                               allocation      bill      allocation      bill
----------------------------------------------------------------------------------------------------------------
Comparison of amounts in the bill with Committee allocations
 to its subcommittees of amounts in the Budget Resolution
 for 2005: Subcommittee on Homeland Security
    Discretionary...........................................           NA       32,000           NA       29,729
    Mandatory...............................................           NA          867           NA          863
Projection of outlays associated with the recommendation:
    2005....................................................  ...........  ...........  ...........       18,383
    2006....................................................  ...........  ...........  ...........        6,327
    2007....................................................  ...........  ...........  ...........        2,704
    2008....................................................  ...........  ...........  ...........        1,002
    2009 and future years...................................  ...........  ...........  ...........          628
Financial assistance to State and local governments for                NA        5,855           NA          771
 2005.......................................................
----------------------------------------------------------------------------------------------------------------
\1\ Includes outlays from prior-year budget authority.
\2\ Excludes outlays from prior-year budget authority.

NA: Not applicable.


  COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2004 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN THE BILL FOR FISCAL
                                                                        YEAR 2005
                                                                [In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                        Senate Committee recommendation
                                                                                                                       compared with budget estimate (+
                                                                      2004                              Committee                    or -)
                             Item                                 appropriation    Budget estimate   recommendation  -----------------------------------
                                                                                                                            2004
                                                                                                                        appropriation    Budget estimate
--------------------------------------------------------------------------------------------------------------------------------------------------------
                DEPARTMENT OF HOMELAND SECURITY

        TITLE I--DEPARTMENTAL MANAGEMENT AND OPERATIONS

                    Departmental Operations

Office of the Secretary and Executive Management..............           80,317           102,623            82,206            +1,889           -20,417
Office of the Under Secretary for Management..................          130,210           302,664           245,579          +115,369           -57,085
                                                               -----------------------------------------------------------------------------------------
      Total, Departmental operations..........................          210,527           405,287           327,785          +117,258           -77,502

Department-wide technology investments........................          183,784           226,000           222,000           +38,216            -4,000

                  Office of Inspector General

Operating expenses............................................           58,318            82,317            82,317           +23,999   ................
    (By transfer).............................................          (22,000)  ................  ................         (-22,000)  ................
                                                               -----------------------------------------------------------------------------------------
      Total, Office of Inspector General......................          (80,318)          (82,317)          (82,317)          (+1,999)  ................
                                                               =========================================================================================
      Total, title I, Departmental Management and Operations:
          New budget (obligational) authority.................          452,629           713,604           632,102          +179,473           -81,502
          (By transfer).......................................          (22,000)  ................  ................         (-22,000)  ................
                                                               =========================================================================================
      TITLE II--SECURITY, ENFORCEMENT, AND INVESTIGATIONS

Office of the Under Secretary for Border and Transportation               8,058            10,371             8,864              +806            -1,507
 Security.....................................................
U.S. Visitor and Immigrant Status Indicator Technology........          328,053           340,000           340,000           +11,947   ................

                 Customs and Border Protection

Salaries and expenses.........................................        4,367,430         4,577,491         4,463,960           +96,530          -113,531
    Harbor maintenance fee collection (trust fund)............            3,000             3,000             3,000   ................  ................
Automation modernization......................................          438,520           449,909           449,909           +11,389   ................
Construction (border patrol)..................................           89,830            91,718            91,718            +1,888   ................
                                                               -----------------------------------------------------------------------------------------
      Total, Direct appropriations............................        4,898,780         5,122,118         5,008,587          +109,807          -113,531

Fee accounts..................................................       (1,126,200)       (1,074,000)       (1,074,000)         (-52,200)  ................
                                                               -----------------------------------------------------------------------------------------
      Total, Customs and border protection....................       (6,024,980)       (6,196,118)       (6,082,587)         (+57,607)        (-113,531)

              Immigration and Customs Enforcement

Salaries and expenses.........................................        2,138,358         2,370,906         2,413,438          +275,080           +42,532
    Rescission................................................          -54,000   ................  ................          +54,000   ................
Federal air marshals..........................................          622,704           612,900           662,900           +40,196           +50,000
Federal protective service....................................          424,211           478,000           478,000           +53,789   ................
    Offsetting fee collections................................  ................         -478,000          -478,000          -478,000   ................
Automation modernization......................................           39,764            39,605            39,605              -159   ................
Air and marine interdiction, operations, maintenance, and               208,960           257,535           267,535           +58,575           +10,000
 procurement..................................................
Construction..................................................           26,617            26,179            26,179              -438   ................
                                                               -----------------------------------------------------------------------------------------
      Total, Direct appropriations............................        3,406,614         3,307,125         3,409,657            +3,043          +102,532

Fee accounts..................................................         (273,000)         (225,375)         (250,375)         (-22,625)         (+25,000)
                                                               -----------------------------------------------------------------------------------------
      Total, Immigration and customs enforcement..............       (3,679,614)       (3,532,500)       (3,660,032)         (-19,582)        (+127,532)

            Transportation Security Administration

Aviation security.............................................        3,724,112         4,238,164         4,386,083          +661,971          +147,919
Maritime and land security....................................          261,449            29,000            44,000          -217,449           +15,000
Credentialing activities......................................  ................           67,000            67,000           +67,000   ................
Intelligence..................................................           13,520            14,000            14,000              +480   ................
Research and development......................................          154,285           154,000           181,000           +26,715           +27,000
Administration................................................          424,679           539,852           534,852          +110,173            -5,000
Aviation security capital fund................................  ................         (250,000)         (250,000)        (+250,000)  ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Transportation Security Administration (gross)        4,578,045         5,042,016         5,226,935          +648,890          +184,919

Offsetting fee collections:
    Aviation security fees....................................       -2,070,000        -2,223,000        -1,823,000          +247,000          +400,000
    Credentialing fees........................................  ................          -67,000           -67,000           -67,000   ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, offsetting collections........................       -2,070,000        -2,290,000        -1,890,000          +180,000          +400,000
                                                               -----------------------------------------------------------------------------------------
      Total, Transportation Security Administration (net).....        2,508,045         2,752,016         3,336,935          +828,890          +584,919

                   United States Coast Guard

Operating expenses............................................        4,347,256         4,833,220         4,063,220          -284,036          -770,000
    Defense function..........................................          337,994           340,000         1,090,000          +752,006          +750,000
    (By transfer from the Defense Bill).......................  ................  ................  ................  ................  ................
    Emergency appropriations (Public Law 108-106).............           23,183   ................  ................          -23,183   ................
    Rescissions...............................................          -71,000   ................  ................          +71,000   ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Operating expenses............................        4,637,433         5,173,220         5,153,220          +515,787           -20,000

Environmental compliance and restoration......................           16,900            17,000            17,000              +100   ................
Reserve training..............................................           94,440           117,000           117,000           +22,560   ................
Acquisition, construction, and improvements...................          961,492           942,550         1,062,550          +101,058          +120,000
Alteration of bridges.........................................           19,136   ................           15,400            -3,736           +15,400
Research, development, test, and evaluation...................           14,912   ................           18,500            +3,588           +18,500
                                                               -----------------------------------------------------------------------------------------
      Subtotal, U.S. Coast Guard discretionary................        5,744,313         6,249,770         6,383,670          +639,357          +133,900

Retired pay (mandatory).......................................        1,020,000         1,085,460         1,085,460           +65,460   ................
                                                               -----------------------------------------------------------------------------------------
      Total, United States Coast Guard........................        6,764,313         7,335,230         7,469,130          +704,817          +133,900

                 United States Secret Service

Salaries and expenses.........................................        1,130,570         1,159,125         1,159,125           +28,555   ................
Acquisition, construction, improvements, and related expenses.            3,558             3,633             3,633               +75   ................
                                                               -----------------------------------------------------------------------------------------
      Total, United States Secret Service.....................        1,134,128         1,162,758         1,162,758           +28,630   ................
                                                               =========================================================================================
      Total, title II, Security, Enforcement, and
       Investigations:
          New budget (obligational) authority.................       19,047,991        20,029,618        20,735,931        +1,687,940          +706,313
              Appropriations..................................      (19,149,808)      (20,029,618)      (20,735,931)      (+1,586,123)        (+706,313)
              Emergency appropriations........................          (23,183)  ................  ................         (-23,183)  ................
              Rescissions.....................................        (-125,000)  ................  ................        (+125,000)  ................
                                                               =========================================================================================
             TITLE III--PREPAREDNESS AND RECOVERY

    Office for State and Local Government Coordination and
                         Preparedness

Salaries and expenses.........................................  ................  ................           25,000           +25,000           +25,000
State and local programs......................................        3,267,608         3,061,255         2,845,081          -422,527          -216,174
Firefighter assistance grants.................................          745,575           500,000           700,000           -45,575          +200,000
Emergency management planning grants..........................  ................  ................          180,000          +180,000          +180,000
                                                               -----------------------------------------------------------------------------------------
      Total, Office of State and Local Government Coordination        4,013,183         3,561,255         3,750,081          -263,102          +188,826
       and Preparedness.......................................

Counterterrorism fund.........................................            9,941            20,000            10,000               +59           -10,000

              Emergency Preparedness and Response

Office of the Under Secretary for Emergency Preparedness and              3,430             4,211             4,211              +781   ................
 Response.....................................................
Operating expenses (rescission)...............................           -3,000   ................  ................           +3,000   ................
Preparedness, mitigation, response, and recovery..............          223,673           208,499           231,499            +7,826           +23,000

Administrative and regional operations........................          166,015           146,939           146,939           -19,076   ................
    Defense function..........................................  ................           50,000            50,000           +50,000   ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Administrative and regional operations........          166,015           196,939           196,939           +30,924   ................

Public health programs........................................          481,144            34,000            34,000          -447,144   ................

Biodefense countermeasures....................................          884,749   ................  ................         -884,749   ................
    Advance appropriations....................................        4,703,000   ................  ................       -4,703,000   ................
    Advance appropriations, fiscal year 2005..................  ................        2,528,000         2,528,000        +2,528,000   ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Biodefense countermeasures....................        5,587,749         2,528,000         2,528,000        -3,059,749   ................

Disaster relief...............................................        1,789,380         2,151,000         2,151,000          +361,620   ................
    (Transfer to Office of the Inspector General).............         (-22,000)  ................  ................         (+22,000)  ................
    Emergency appropriations (Public Law 108-106).............          500,000   ................  ................         -500,000   ................
    Emergency rescission (Public Law 108-199).................         -225,000   ................  ................         +225,000   ................
Disaster assistance direct loan program account:
    (Limitation on direct loans)..............................          (25,000)          (25,000)          (25,000)  ................  ................
    Administrative expenses...................................              557               567               567               +10   ................

Flood map modernization fund..................................          198,820           200,000           200,000            +1,180   ................
Radiological emergency preparedness program...................  ................           -1,000            -1,000            -1,000   ................

National flood insurance fund:
    Salaries and expenses.....................................           32,663            33,336            33,336              +673   ................
    Flood mitigation..........................................           77,809            79,257            79,257            +1,448   ................
    Offsetting fee collections................................  ................         -112,593          -112,593          -112,593   ................
    (Transfer to Mitigation grants)...........................  ................         (-20,000)         (-20,000)         (-20,000)  ................
    (Transfer to National flood mitigation fund)..............         (-20,000)  ................  ................         (+20,000)  ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, National flood insurance fund.................          110,472   ................  ................         -110,472   ................

National flood mitigation fund (by transfer)..................          (20,000)  ................  ................         (-20,000)  ................
National pre-disaster mitigation fund.........................          149,115   ................  ................         -149,115   ................

Mitigation grants.............................................  ................          150,000           150,000          +150,000   ................
    (By transfer).............................................  ................          (20,000)          (20,000)         (+20,000)  ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Mitigation grants.............................  ................         (170,000)         (170,000)        (+170,000)  ................

Emergency management performance grants.......................          178,938   ................  ................         -178,938   ................
Emergency food and shelter....................................          152,097           153,000           153,000              +903   ................
Cerro Grande fire claims......................................           37,837   ................  ................          -37,837   ................
                                                               -----------------------------------------------------------------------------------------
      Total, Emergency Preparedness and Response..............        9,351,227         5,625,216         5,648,216        -3,703,011           +23,000
                                                               =========================================================================================
      Total, title III, Preparedness and Recovery:
          New budget (obligational) authority.................       13,374,351         9,206,471         9,408,297        -3,966,054          +201,826
              Appropriations..................................       (8,399,351)       (6,678,471)       (6,880,297)      (-1,519,054)        (+201,826)
              Emergency appropriations........................         (500,000)  ................  ................        (-500,000)  ................
              Advance appropriations..........................       (4,703,000)       (2,528,000)       (2,528,000)      (-2,175,000)  ................
              Rescissions.....................................          (-3,000)  ................  ................          (+3,000)  ................
              Emergency rescissions...........................        (-225,000)  ................  ................        (+225,000)  ................
          (Limitation on direct loans)........................          (25,000)          (25,000)          (25,000)  ................  ................
          (Transfer out)......................................         (-42,000)         (-20,000)         (-20,000)         (+22,000)  ................
          (By transfer).......................................          (20,000)          (20,000)          (20,000)  ................  ................
                                                               =========================================================================================
TITLE IV--RESEARCH AND DEVELOPMENT, TRAINING, ASSESSMENTS, AND
                           SERVICES

             Citizenship and Immigration Services

Operating expenses............................................          234,733           140,000           140,000           -94,733   ................
    Fee accounts..............................................       (1,564,000)       (1,571,000)       (1,546,000)         (-18,000)         (-25,000)
                                                               -----------------------------------------------------------------------------------------
      Total, Citizenship and immigration services.............       (1,798,733)       (1,711,000)       (1,686,000)        (-112,733)         (-25,000)

            Federal Law Enforcement Training Center

Salaries and expenses.........................................          154,506           158,440           181,440           +26,934           +23,000
Acquisition, construction, improvements, and related expenses.           37,137            37,917            42,917            +5,780            +5,000
                                                               -----------------------------------------------------------------------------------------
      Total, Federal Law Enforcement Training Center..........          191,643           196,357           224,357           +32,714           +28,000

      Information Analysis and Infrastructure Protection

Management and administration.................................          124,263           162,064           157,064           +32,801            -5,000

Assessments and evaluations...................................          710,084           561,758           577,758          -132,326           +16,000
    Defense function..........................................  ................          140,754           140,754          +140,754   ................
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Assessments and evaluations...................          710,084           702,512           718,512            +8,428           +16,000
                                                               -----------------------------------------------------------------------------------------
      Total, Information Analysis and Infrastructure                    834,347           864,576           875,576           +41,229           +11,000
       Protection.............................................

                    Science and Technology

Management and administration.................................           43,908            52,550            52,550            +8,642   ................

Research, development, acquisition, and operations............          868,844           579,749           630,647          -238,197           +50,898
    Defense function..........................................  ................          407,000           386,000          +386,000           -21,000
                                                               -----------------------------------------------------------------------------------------
      Subtotal, Research, development, acquisition, and                 868,844           986,749         1,016,647          +147,803           +29,898
       operations.............................................
                                                               -----------------------------------------------------------------------------------------
      Total, Science and Technology...........................          912,752         1,039,299         1,069,197          +156,445           +29,898
                                                               =========================================================================================
      Total, title IV, Research and Development, Training,
       Assessments, and Services:
          New budget (obligational) authority.................        2,173,475         2,240,232         2,309,130          +135,655           +68,898
                                                               =========================================================================================
      Grand total, Department of Homeland Security:
          New budget (obligational) authority.................       35,048,446        32,189,925        33,085,460        -1,962,986          +895,535
              Appropriations..................................      (30,175,263)      (29,661,925)      (30,557,460)        (+382,197)        (+895,535)
              Emergency appropriations........................         (523,183)  ................  ................        (-523,183)  ................
              Advance appropriations..........................       (4,703,000)       (2,528,000)       (2,528,000)      (-2,175,000)  ................
              Rescissions.....................................        (-128,000)  ................  ................        (+128,000)  ................
              Emergency rescissions...........................        (-225,000)  ................  ................        (+225,000)  ................
          (Limitation on direct loans)........................          (25,000)          (25,000)          (25,000)  ................  ................
          (Transfer out)......................................         (-42,000)         (-20,000)         (-20,000)         (+22,000)  ................
          (By transfer).......................................          (42,000)          (20,000)          (20,000)         (-22,000)  ................
--------------------------------------------------------------------------------------------------------------------------------------------------------


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