    Combating Terrorism: Determining and Reporting Federal Funding
    Data (17-JAN-06, GAO-06-161).

    The President's annual budget reports on federal funding
    dedicated to combating terrorism activities. Identification of
    such funding is inherently difficult because a significant
    portion of combating terrorism funding is embedded within
    appropriation accounts that include funding for other activities
    as well. In 2002, GAO reported on the difficulties that the
    executive branch faced in reporting funding for combating
    terrorism to Congress (see GAO-03-170). This report updates the
    information contained in the 2002 report by providing information
    on (1) the methods agencies use to determine the portion of their
    annual appropriations related to combating terrorism, and (2) the
    status of recommendations from GAO's 2002 report.
    -------------------------Indexing Terms-------------------------
    REPORTNUM:   GAO-06-161
        ACCNO:   A44917
      TITLE:     Combating Terrorism: Determining and Reporting Federal
    Funding Data
         DATE:   01/17/2006
      SUBJECT:   Budget activities
    	     Counterterrorism
    	     Data collection
    	     Federal funds
    	     Funds management
    	     Homeland security
    	     Performance measures
    	     Regulatory agencies
    	     Reporting requirements

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    GAO-06-161

         * Results in Brief
         * Background
         * Seven Agencies Use Different Methodologies to Estimate How Much of the
           Budget Supports Combating Terrorism Activities
         * Implementation of Three Recommendations Could Provide Additional
           Information for Budget Decisions and Understanding of Performance
         * Conclusions
         * Matter for Congressional Consideration
         * Agency Comments
              * Homeland Security
              * Trends in the Six Critical Mission Areas of Homeland Security
              * Overseas Combating Terrorism
              * Order by Mail or Phone

    Report to Congressional Requesters

    United States Government Accountability Office

    GAO

    January 2006

    COMBATING TERRORISM

    Determining and Reporting Federal Funding Data

    Combating TerrorismCombating TerrorismCombating TerrorismCombating
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    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating Terrorism

    GAO-06-161

    Contents

    Letter 1

    Results in Brief 5
    Background 9
    Seven Agencies Use Different Methodologies to Estimate How Much of the
    Budget Supports Combating Terrorism Activities 10
    Implementation of Three Recommendations Could Provide Additional
    Information for Budget Decisions and Understanding of Performance 20
    Conclusions 26
    Matter for Congressional Consideration 26
    Agency Comments 26
    Appendix I Patterns and Trends in Funding for Homeland Security and
    Overseas Combating Terrorism Activities 29
    Appendix II The National Strategy for Homeland Security's Critical Mission
    Areas 67
    Appendix III Reporting Changes as a Result of the Homeland Security Act of
    2002 and Challenges OMB Reports Continuing to Face 68
    Appendix IV A Summary of Selected Accounts with Combating Terrorism
    Activities 72
    Appendix V Scope and Methodology 88
    Appendix VI Guidance Agencies Most Commonly Report Using to Identify
    Activities as Combating Terrorism 92
    Appendix VII Status of 2002 Recommendations Related to Duplication of
    Effort and Timely Reporting of Funding Data 94
    Appendix VIII Comments from the Office of Management and Budget 96
    Appendix IX Comments from the General Services Administration 97
    Appendix X GAO Contact and Staff Acknowledgments 98
    Related GAO Products 99

    Tables

    Table 1: Gross Budget Authority for Homeland Security-by Summarized Agency
    32
    Table 2: Gross Budget Authority for Homeland Security-by Agency 36
    Table 3: Gross Budget Authority for Homeland Security-by Agency, Bureau,
    and Account 40
    Table 4: Gross Budget Authority by Homeland Security Mission Area 55
    Table 5: Gross Budget Authority by Agency and Homeland Security Mission
    Area 56
    Table 6: Gross Budget Authority for Overseas Combating Terrorism-by
    Summarized Agency 64
    Table 7: Gross Budget Authority for Overseas Combating Terrorism-by Agency
    66

    Figures

    Figure 1: GSA's Methodology for Estimating the Portion of Budget Authority
    Associated with Real Property Activities That Relate to Homeland Security
    12
    Figure 2: U.S. Secret Service Methodology for Estimating the Portion of
    Budget Authority Associated with Operating Expenses That Relate to
    Homeland Security 14
    Figure 3: Questions APHIS Considers in Determining whether an Activity
    Relates to Homeland Security 16

    Abbreviations

    APHIS Animal and Plant Health Inspection Service

    ARS Agricultural Research Service

    ATF Bureau of Alcohol, Tobacco, Firearms and Explosives

    CBP Customs and Border Protection

    DHS Department of Homeland Security

    DOD Department of Defense

    DOE Department of Energy

    DOJ Department of Justice

    FBI Federal Bureau of Investigation

    GPRA Government Performance and Results Act

    GSA General Services Administration

    IAIP Information Analysis and Infrastructure Protection ICE Immigration
    and Customs Enforcement

    NDAA National Defense Authorization Act

    NSC National Security Council

    OCT Overseas Combating Terrorism

    OMB Office of Management and Budget

    PART Program Assessment Rating Tool

    SLGCP Office of State and Local Government Coordination and Preparedness

    TSA Transportation Security Administration

    USACE U.S. Army Corps of Engineers

    USCG U.S. Coast Guard

    USDA U.S. Department of Agriculture

    USSS United States Secret Service

    This is a work of the U.S. government and is not subject to copyright
    protection in the United States. It may be reproduced and distributed in
    its entirety without further permission from GAO. However, because this
    work may contain copyrighted images or other material, permission from the
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    separately.

    United States Government Accountability Office

    Washington, DC 20548

    January 17, 2006

    The Honorable Jon Kyl Chairman

    The Honorable Dianne Feinstein Ranking Minority Member

    Subcommittee on Terrorism, Technology and Homeland Security Committee on
    the Judiciary United States Senate

    The Honorable F. James Sensenbrenner, Jr. Chairman

    The Honorable John Conyers, Jr. Ranking Minority Member Committee on the
    Judiciary House of Representatives

    The Honorable Richard C. Shelby United States Senate

    Since the terrorist attacks of September 11, 2001, the Administration and
    Congress have increased funding in support of combating terrorism both at
    home and abroad. According to the Office of Management and Budget (OMB),
    combating terrorism includes efforts to secure the homeland (that is,
    homeland security activities to detect, deter, protect against, and, if
    needed, respond to terrorist attacks occurring within the United States)
    and those to combat terrorism overseas (those activities occurring outside
    the United States and its territories), excluding direct military action.
    1 Between fiscal years 2002 and 2005, funding attributed to homeland
    security activities increased 39 percent, from $33 billion in fiscal year
    2002 to $46 billion for fiscal year 2005. For fiscal year 2006, the
    President requested nearly $50 billion for activities associated with
    homeland security. In addition, Congress appropriated funding that
    agencies also attributed to overseas combating terrorism activities.
    However, OMB is no longer required to report on overseas combating
    terrorism funding data. 2

    1Since combating terrorism activities exclude direct military action, this
    report does not include those activities associated with the Global War on
    Terrorism. The Global War on Terrorism includes (1) Operation Noble
    Eagle-military operations to defend the United States from terrorist
    attacks, (2) Operation Enduring Freedom-overseas military operations to
    defend the United States from terrorist attacks that have principally
    taken place in Afghanistan, and (3) Operation Iraqi Freedom-military
    operations to change the government in Iraq. For work GAO recently
    completed on costs associated with the Global War on Terrorism, see GAO,
    Global War on Terrorism: DOD Needs to Improve the Reliability of Cost Data
    and Provide Additional Guidance to Control Costs, GAO-05-882 (Washington,
    D.C.: Sept. 21, 2005), and Global War on Terrorism: DOD Should Consider
    All Funds Requested for the War when Determining Needs and Covering
    Expenses, GAO-05-767 (Washington, D.C.: Sept. 28, 2005).

    2In fiscal years 2002 and 2003, OMB reviewed and reported on what agencies
    estimated to be the portion of their budget authority that related to both
    homeland security-$33 billion and $43 billion, respectively-and overseas
    combating terrorism funding-$11.5 billion and $12 billion, respectively.
    While OMB continued to collect data on both homeland security and overseas
    combating terrorism activities since fiscal year 2003, OMB staff said that
    they have not reviewed funding data on overseas combating terrorism since
    OMB is no longer required to report this information. Thus, they said that
    data on overseas combating terrorism funding are not subject to the same
    level of scrutiny as funding data on homeland security and may not be as
    reliable as homeland security funding data. However, we have included the
    overseas combating terrorism data that agencies continue to report to OMB
    in appendix I.

    3Homeland Security Act of 2002, Pub. L. 107-296, section 889, 116 Stat.
    2135, 2251 (2002). Section 889 of the Homeland Security Act of 2002
    applies only to homeland security activities, not overseas activities
    related to combating terrorism. In this report, the generic term
    "combating terrorism" includes both homeland security and overseas
    combating terrorism activities. Our definitions comport with OMB's
    definitions in Circular No. A-11, which agencies use in classifying their
    funding data. See Circular No. A-11: Preparation, Submission, and
    Execution of the Budget, Executive Office of the President, Office of
    Management and Budget (Washington, D.C.: June 21, 2005). For additional
    information on budget functions, see GAO, A Glossary of Terms Used in the
    Federal Budget Process, GAO-05-734SP (Washington, D.C.: September 2005).

    4The President issued the National Strategy for Homeland Security in July
    2002. The strategy sets forth overall objectives to prevent terrorist
    attacks within the United States, reduce vulnerability to terrorism, and
    minimize the damage and assist in the recovery from attacks that may
    occur.

    5In general, the Analytical Perspectives contains information that
    highlights specific subject areas, such as funding data on homeland
    security, or provides other significant context and perspective for the
    budget.

    6See GAO, Combating Terrorism: Funding Data Reported to Congress Should Be
    Improved, GAO-03-170 (Washington, D.C.: Nov. 26, 2002). At the time of
    this report, which we issued the day after the President signed the
    Homeland Security Act of 2002, OMB's required report to Congress included
    both homeland security and overseas combating terrorism activities.

    7We define "performance objective" as a performance goal that sets a
    target level of performance over time expressed as a tangible, measurable
    goal, against which actual achievement can be compared, including a goal
    expressed as a quantitative standard, value, or rate. It is composed of a
    performance measure with targets and time frames. Performance measures are
    a means to quantify an agency's progress toward achieving its objectives.

    8See GAO-03-170 .

    9Accounts are separate financial reporting units used for budget,
    management, or accounting purposes. Budget accounts are used to record all
    budgetary transactions. See GAO-05-734SP .

    10Gross budget authority represents budgetary totals from which offsetting
    collections have not been deducted. Offsetting collections are collections
    by government accounts from other government accounts and any collections
    from the public that are of a business type or market-oriented nature.

    11See GAO-03-170 .

    12See appendix VII for a detailed discussion of how the Homeland Security
    Act of 2002 superseded two of the recommendations made in our prior
    report.

    13Obligations are amounts of orders placed, contracts awarded, services
    received, and similar transactions during a given period that will require
    payments during the same or a future period.

    14PART is a diagnostic tool developed by OMB that is used to rate the
    effectiveness of federal programs with a particular focus on program
    results. OMB's goal is to review all federal programs over a 5-year period
    beginning in fiscal year 2002 using the PART tool.

    15To satisfy this requirement, OMB provided a classified annex to its
    unclassified report. The unclassified report provided unclassified
    information, where possible, on funding for the national security
    community (i.e., the Department of Defense and the Intelligence
    Community), while the classified annex provided additional, classified
    funding details for the national security community.

    16The National Defense Authorization Act for Fiscal Year 1998 (NDAA for FY
    1998), Pub. L. 105-85, 111 Stat. 1629, 1889 (Nov. 18, 1997) as amended by
    the Strom Thurmond National Defense Authorization Act for Fiscal Year 1999
    (NDAA for FY 1999), Pub. L. 105-261, 112 Stat. 1920, 2168 (Oct. 17, 1998).

    17Prior to 2002, OMB used different classifications to report combating
    terrorism funding, such as antiterrorism (defensive measures to combat
    terrorism) and counterterrorism (offensive measures to combat terrorism).

    18After OMB approves agency funding levels to be included in the
    President's budget request, agencies then determine the portion of their
    funding levels that are related to combating terrorism activities and
    report those amounts to OMB.

    19DOD staff said that they do not report funding levels associated with
    combating terrorism activities to OMB.

    20GSA is not responsible for overseas combating terrorism activities. Real
    property activities related to homeland security at GSA include actions
    taken to enhance building security. The Federal Buildings Fund finances
    GSA's Public Buildings Service, which provides space and services for
    federal agencies in a relationship similar to that of landlord and tenant.
    The Federal Protective Service-authorized, among other things, to enforce
    laws and regulations aimed at protecting federal property and persons on
    such property-was originally located within GSA's Public Building Service
    and a portion of the Federal Protective Service's budget authority was
    associated with homeland security issues. The Federal Protective Service
    was moved to the Department of Homeland Security effective March 1, 2003.
    Therefore, GSA's fiscal year 2006 budget authority for the portion of Real
    Property Activities within its Federal Buildings Fund that relate to
    homeland security activities does not include funding levels associated
    with the Federal Protective Service. For additional information on GSA's
    real property activities, see appendix IV.

    21USSS does not conduct overseas combating terrorism activities.

    22Protective Services provide for the protection of individuals including
    the President of the United States, immediate family members, the
    President-elect, the Vice President, or other officer next in order of
    succession to the Office of the President, and the Vice President-elect
    and the members of their immediate families, the protection of a visiting
    head of state and accompanying spouse, or a foreign state or foreign
    government. Investigative Services provide for investigation of
    counterfeiting of currency and securities; forgery and altering of
    government checks and bonds; thefts and frauds relating to Treasury
    electronic funds transfers; financial access device fraud,
    telecommunications fraud, computer and telemarketing fraud; fraud relative
    to federally insured financial institutions; and other criminal and
    noncriminal cases.

    23The Animal and Plant Health Inspection Service does not conduct overseas
    combating terrorism activities.

    24According to USACE officials, they do not align their homeland security
    activities with the critical mission areas when entering their homeland
    security data into OMB's Homeland Security and Overseas Combating
    Terrorism database.

    25Since there is no longer a requirement to report on overseas combating
    terrorism funding data, OMB staff said that they have not kept the
    definition of overseas combating terrorism activities in OMB Circular No.
    A-11 updated.

    26OMB staff stated that the change in the overseas combating terrorism
    reporting requirement was not sought by the Administration and OMB was not
    aware of legislative history explaining Congress's reasons for the change.
    We were unable to find legislative history explaining why section 889
    excluded overseas combating terrorism reporting requirements.

    27Before fiscal year 2005, OMB staff said they conducted informal
    discussions with agency officials regarding potential changes.

    28See GAO-03-170 .

    29See GAO-03-170 .

    30See GAO-03-170 .

    31In an alternative scenario, GAO assumed that the share of unobligated
    balances was equal to the share of budget authority coded as homeland
    security. That is, if an account is labeled 80 percent homeland security,
    then 80 percent of the available balances are also assumed to be related
    to homeland security. This analysis produced the following results: fiscal
    year 2002 ($3.4 billion), fiscal year 2003 ($5.4 billion), fiscal year
    2004 ($4.6 billion). Our analysis indicated that many of the unobligated
    balances were in accounts with mainly grant activities or in accounts
    where the mission was accomplished through contracts.

    32Under the Government Performance and Results Act of 1993 (GPRA), OMB is
    required to prepare an annual governmentwide performance plan and to
    submit it to Congress with the President's budget beginning in fiscal year
    1999: 31 U.S. C. 1105(a)(28). Congress enacted GPRA to promote a
    government focus on managing by results. Finding that waste and
    inefficiency in federal programs were undermining confidence in
    government, Congress sought to hold federal agencies accountable for the
    results of federal spending through regular and systematic performance
    planning measurement and reporting. With the implementation of GPRA,
    federal agencies are required to set goals, measure performance, and
    report on their accomplishments. The act requires that federal agencies
    establish long-term goals, as well as annual goals. Agencies must then
    measure their performance against the goals they set and report publicly
    on how well they are doing. For a fuller discussion of the framework, see
    GAO, Managing for Results: The Statutory Framework for Performance-Based
    Management and Accountability, GAO/GGD/AIMD-98-52 (Washington, D.C.: Jan.
    28, 1998).

    33While governmentwide performance measures have not been developed for
    combating terrorism, DHS is working to develop such measures for homeland
    security activities related to critical infrastructure. According to DHS's
    Interim National Infrastructure Protection Plan, IAIP officials have
    identified a set of basic metrics that can be used to evaluate performance
    across the 13 critical infrastructure sectors-agriculture, banking and
    finance, chemical, defense industrial base, emergency services, energy,
    food, government, information and telecommunications, postal and shipping,
    public health, transportation, and water sectors. IAIP is working with
    agencies responsible for these sectors to develop a supplemental set of
    measures for each sector. The intent of this process is to provide DHS and
    the sector-specific agencies with feedback on where and how they should
    focus their resources to be most effective. According to IAIP officials,
    IAIP and the sector-specific agencies have not completed the performance
    measures but some have developed target dates for their completion.

    34Established by Section 5 of Executive Order 13228 (Oct. 8, 2001), the
    Homeland Security Council is composed of more than 20 members who are
    responsible for advising and assisting the President with respect to all
    aspects of homeland security. The council serves as the mechanism for
    ensuring coordination of homeland security-related activities of executive
    departments and agencies and effective development and implementation of
    homeland security policies.

    35For purposes of this report, we are defining existing strategies as the
    National Strategy for Homeland Security, the National Security Strategy of
    the United States, and the National Strategy for Combating Terrorism. The
    President issued the National Security Strategy of the United States in
    September 2002. It provides a broad framework for strengthening U.S.
    security in the future and identifies the national security goals of the
    United States, describes the foreign policy and military capabilities
    necessary to achieve those goals, evaluates the current status of these
    capabilities, and explains how national power will be structured to
    utilize these capabilities. The President issued the National Strategy for
    Combating Terrorism in February 2003 elaborating on the terrorism aspects
    of the national security strategy by expounding on the need to destroy
    terrorist organizations, win the "war of ideas," and strengthen security
    at home and abroad, focusing on identifying and defusing threats before
    they reach the borders of the United States.

    36See GAO, Performance Budgeting: Observations on the Use of OMB's Program
    Assessment Rating Tool for the Fiscal Year 2004 Budget, GAO-04-174
    (Washington, D.C.: Jan. 30, 2004).

    37GSA officials told us that they do not have performance goals or
    measures related to homeland security within the Public Buildings Service
    section of GSA's 2002 Strategic Plan because they believe the level of
    homeland security activities the agency conducts does not warrant the
    development of separate performance goals or measures.

    38According to DOD, the antiterrorism program is a collective, proactive
    effort to deter, detect, prevent, defend against, respond to, defeat, and
    mitigate terrorist attacks aimed at DOD personnel and their families,
    selected DOD contractors, installations, infrastructure, and key assets
    essential to mission accomplishment. Furthermore, it mitigates the effects
    of terrorism to sustain essential military operations.

    39See GAO, Combating Terrorism: Action Needed to Improve DOD Antiterrorism
    Program Implementation and Management, GAO-01-909 (Washington, D.C.: Sept.
    19, 2001).

    1September 11 coincided with departments' and agencies' submissions to OMB
    for fiscal year 2003 and occurred 3 weeks before the start of fiscal year
    2002. Supplemental funds enacted in fiscal year 2001 (P.L 107-38) were for
    the most part not available for agency obligations until fiscal year 2002.
    In addition, a second supplemental appropriations bill was signed into law
    on August 2, 2002 (P.L. 107-206).

    2OMB uses its MAX database to prepare the President's annual budget, and
    it is the source of data for this appendix.

    3"Bureau" is defined as the principal subordinate organizational unit of
    an agency, such as the Transportation Security Administration in DHS or
    the Agricultural Research Service in the Department of Agriculture.

    4Although the Department of Homeland Security did not exist in fiscal year
    2002, the amounts shown include activities and funding that were
    subsequently transferred into DHS in fiscal year 2003. The amounts shown
    under the department were constructed after the fact for data
    comparability.

    5Homeland Security Act of 2002, Pub. L. 107-296, section 889, 116 Stat.
    2135, 2251 (2002).

    1Pub. L. 107-296, 116 Stat. 2135 (2002).

    2Under the Homeland Security Act of 2002, the Department of Homeland
    Security was established. When the Department of Homeland Security became
    operational in March 2003, the activities of 22 entities were consolidated
    and approximately 60 percent of homeland security funding was merged under
    one department.

    3There are 17 budget functions for the U.S. government-National Defense;
    International Affairs; General Science Space and Technology; Energy;
    Natural Resources and Environment; Agriculture; Commerce and Housing
    Credit; Transportation; Community and Regional Development; Education,
    Training, Employment, and Social Services; Health; Medicare; Income
    Security; Social Security, Veterans Benefits and Services; Administration
    of Justice; and General Government.

    4According to OMB staff responsible for preparing this analysis on behalf
    of the President, OMB has determined the initiative areas to be the six
    critical mission areas captured in the National Strategy for Homeland
    Security-Intelligence and Warning, Border and Transportation Security,
    Domestic Counterterrorism, Protecting Critical Infrastructure and Key
    Assets, Defending against Catastrophic Threats, and Emergency Preparedness
    and Response. (See app. II for a detailed description of each critical
    mission area.)

    5Circular No. A-11: Preparation, Submission, and Execution of the Budget,
    Executive Office of the President, Office of Management and Budget
    (Washington, D.C.: June 21, 2005).

    6OMB staff stated that the change in the overseas combating terrorism
    reporting requirement was not sought by the Administration and OMB was not
    aware of legislative history explaining Congress's reasons for the change.
    We were unable to find legislative history explaining why section 889
    excluded overseas combating terrorism reporting requirements.

    7Assessing risks for specific assets is defined by two conditions: (1)
    probability-the likelihood, quantitative or qualitative, that an adverse
    event would occur; and (2) consequences-the damage resulting from the
    event, should it occur. Thus, the most severe risks are those that have
    both the greatest probability of occurring and would cause the greatest
    damage. Actual risk reflects the combination of the two factors. Risks may
    be managed by reducing the probability, the consequence, or, where
    possible, both.

    831 U.S.C. 1105 (a).

    9See GAO-03-170 .

    10According to OMB's Program Assessment Rating Tool (PART) guidance, a
    crosscut review is a review that looks at programs across multiple
    agencies and can identify exemplary goals and practices, common measures
    of performance, possible trade-offs in management and budget decisions,
    and opportunities for better coordination among programs. The results of
    crosscutting analyses can summarize common strengths and opportunities for
    improvement.

    1An account with combating terrorism activities may include funding
    associated with more than one critical mission area. For example, as part
    of its fiscal year 2006 budget request, DHS's Information Analysis and
    Infrastructure Protection Assessment and Evaluation Account (024-90-0911)
    has funding associated with the following critical mission areas:
    Intelligence and Warning, Protecting Critical Infrastructure and Key
    Assets, and Emergency Preparedness and Response.

    2Circular No. A-11: Preparation, Submission, and Execution of the Budget,
    Executive Office of the President, Office of Management and Budget
    (Washington, D.C.: June 21, 2005).

    1Gross budget authority is budgetary totals from which offsetting
    collections have not been deducted. Offsetting collections are collections
    by government accounts from other government accounts and any collections
    from the public that are of a business type or a market-oriented nature.

    2Results from nonprobability samples cannot be used to make inferences
    about a population, because in a nonprobability sample some elements of
    the population being studied have no chance or an unknown chance of being
    selected as part of the sample.

    3In the fiscal year 2005 Analytical Perspective, 9 agencies and the
    District of Columbia use less than 0.1 percent of homeland security
    dollars and, together, make up 0.26 percent of total homeland security
    funding (about $121 million of the $46 billion homeland security dollars).
    These 9 agencies included the Executive Office of the President,
    Corporation for National and Community Service, National Archives and
    Records Administration, United States Holocaust Memorial Museum,
    Department of Education, Securities and Exchange Commission, Office of
    Personnel Management, Department of Housing and Urban Development, and the
    Federal Communications Commission.

    4National Security Council officials declined to meet with us or to
    confirm that the Administration had not yet issued any updates or
    revisions to the National Strategy for Homeland Security, the National
    Strategy for Combating Terrorism, and the National Security Strategy of
    the United States. In addition, National Security Council officials
    declined to provide us with information on the status of any future plans
    for issuing updates to these strategies.

    5See GAO-03-170 .

    6Pub. L. No. 105-85, 111 Stat. 1638, 1889(1997) as amended by Pub. L.
    105-261, 112 Stat. 1930, 2168(1998).

    1Officials at the Department of Defense reported that OMB determines how
    much of DOD's funding relates to combating terrorism.

    2Pub. L. 107-296, 116 Stat. 2135 (2002).

    3Circular No. A-11: Preparation, Submission, and Execution of the Budget,
    Executive Office of the President, Office of Management and Budget
    (Washington, D.C.: June 21, 2005).

    4OMB staff said that while the current methodology for computing USCG
    homeland security funding includes the five missions from section 888 of
    the Homeland Security Act of 2002, they do not recognize section 888 as
    the basis for making that determination.

    1See GAO-03-170 .

    2Pub. L. No. 105-85, 111 Stat. 1629, 1889 (1997).

    3Pub. L. No. 107-296, 116 Stat. 2135 (2002).

    431 U.S.C. 1005(a).

    In response to the September 11 attacks and the resulting emphasis placed
    on combating terrorism, Congress took legislative action to revise
    reporting requirements related to federal funding for combating terrorism
    activities. Under section 889 of the Homeland Security Act of 2002, the
    President's annual budget is required to include an analysis of homeland
    security funding. 3 This analysis is to be organized by budget function
    (i.e., functions that cover 17 areas of the government such as agriculture
    and health), agency, and initiative area. According to OMB staff
    responsible for preparing this analysis on behalf of the President, OMB
    adopted the six critical mission areas captured in the National Strategy
    for Homeland Security-Intelligence and Warning, Border and Transportation
    Security, Domestic Counterterrorism, Protecting Critical Infrastructure
    and Key Assets, Defending against Catastrophic Threats, and Emergency
    Preparedness and Response-to represent initiative areas in its analysis.
    (See app. II for a detailed description of each critical mission area). 4
    This funding analysis appears in the Analytical Perspectives, which
    accompanies the President's budget and provides information on requested
    funding levels related to homeland security. 5 Much of the funding for
    combating terrorism activities is embedded within appropriation accounts
    that finance programs that are not primarily homeland security or overseas
    combating terrorism related. This makes it difficult to identify
    activities and track funding without such an analysis. For example, the
    U.S. Coast Guard (USCG) receives the majority of its appropriations
    through its Operating Expenses Account. This funding supports the USCG's
    operations both for combating terrorism activities such as securing ports,
    waterways, and the coast and for non-combating terrorism activities such
    as ice-breaking operations to facilitate navigation through waterways.
    Because combating terrorism funding is embedded within appropriation
    accounts, agencies provide OMB with information on the portion of funding
    that is attributable to combating terrorism activities-both homeland
    security and overseas combating terrorism. OMB then uses this information
    to report funding information on homeland security activities in the
    Analytical Perspectives.

    In November 2002, we reported on the difficulty the executive branch faced
    in identifying and tracking combating terrorism funding and other
    challenges associated with reporting such data to Congress. 6 Among these
    other challenges was the difficulty the executive branch faced in
    measuring the effective use of funds for combating terrorism since clearly
    defined federal and national performance objectives and measures for
    assessing programs' progress had not been established. 7 This report
    updates the information contained in our 2002 report by responding to the
    following questions:

               1. How do agencies determine what portion of their annual
               appropriations relates to combating terrorism?
               2. What is the status of the recommendations from our 2002 report?
               8

    In addition, we also identified patterns and trends in funding for
    combating terrorism activities for fiscal years 2002 through 2005 as well
    as the President's budget request for fiscal year 2006. This information
    is discussed in appendix I. Further, we examined how section 889 of the
    Homeland Security Act of 2002 affected the reporting of funding data and
    the challenges OMB continues to face in tracking activities-specific lines
    of work-related to combating terrorism and ensuring the transparency of
    related funding data. The impact of section 889 on the reporting of
    funding data and the challenges OMB continues to face in tracking
    activities is discussed in appendix III. Finally, we reviewed combating
    terrorism activities that were funded through 34 budgetary accounts to
    determine whether the activities were consistent with OMB's definitions of
    homeland security and overseas combating terrorism as defined in OMB
    Circular No. A-11. 9 The information on combating terrorism activities
    funded through these 34 accounts is included in appendix IV.

    To address our objectives, we met with staff from OMB and with officials
    from 7 agencies that conduct a range of combating terrorism activities-the
    Departments of Agriculture (USDA), Defense (DOD), Energy (DOE), Homeland
    Security (DHS), and Justice (DOJ), and the U.S. Army Corps of Engineers
    (USACE) and the General Services Administration (GSA). To reflect a range
    of funding levels, we selected these agencies from 33 agencies and the
    District of Columbia that reported receiving funding related to combating
    terrorism activities to OMB. The 7 agencies we selected account for about
    90 percent of the total fiscal year 2006 budget request that the 33
    agencies and the District of Columbia estimate relate to combating
    terrorism. Because we obtained information from a nonprobability sample of
    7 agencies and their directorates and offices with combating terrorism
    responsibilities, the information we obtained cannot be generalized to all
    agencies with combating terrorism responsibilities. We reviewed activities
    in 34 budgetary accounts for the agencies in our review to determine
    whether the activities were consistent with OMB's definitions of homeland
    security and overseas combating terrorism as defined in OMB Circular No.
    A-11. We selected accounts with the most funding for combating terrorism
    at each agency as well as some accounts with smaller amounts. By reviewing
    the activities in these 34 accounts, we reviewed at least 70 percent of
    each agency's estimated gross budget authority related to combating
    terrorism activities as reported in the President's fiscal year 2006
    budget request. 10 Although we initially selected budgetary accounts to
    review at DOD, we did not review these accounts because neither DOD nor
    OMB maintains information on activities conducted by DOD to combat
    terrorism at the account level. For illustrative purposes, we have
    included a description of some of these accounts as well as the activities
    funded through each account and the related budget authority in appendix
    IV. We also analyzed combating terrorism data from the database used to
    prepare the Budget of the United States for fiscal years 2002 through
    2006. To ensure that the database we received was consistent with
    published sources, we conducted electronic data testing and determined
    that the data were sufficiently reliable for our purposes.

    We conducted our work from January 2005 through November 2005 in
    accordance with generally accepted government auditing standards. Appendix
    V contains more detailed information on our scope and methodology.

    Results in Brief

    The seven agencies we contacted developed different methodologies to
    estimate their portion of the federal budget that relates to combating
    terrorism activities. These methods all involve some level of professional
    judgment, which is inherent in any estimation process. Although OMB
    provides guidance to agencies to help them determine the portion of their
    budget authority that relates to combating terrorism activities, it does
    not prescribe how agencies should make these determinations. Officials at
    one agency-DOD-reported that OMB determines how much of DOD's funding
    relates to combating terrorism. Officials at five of the other six
    agencies we contacted that make their own determinations reported being
    challenged in making such determinations because either (1) their
    activities have multiple purposes that require them to use their judgment
    in determining how much of an activity should be attributed to homeland
    security, overseas combating terrorism, or non-combating terrorism or (2)
    they must interpret OMB's combating terrorism definition to identify which
    of their activities relate to combating terrorism. For example, GSA
    officials said that they conduct upgrades to GSA-managed buildings' fire
    alarm enhancement systems that could be used to alert employees to a
    fire-a non-combating terrorism activity-and also to alert employees to
    stay in the building in the event of a terrorist attack-a combating
    terrorism activity. Consequently, GSA is challenged in categorizing
    upgrades to GSA-managed fire alarm enhancement systems as a homeland
    security activity because the application of these upgrades is not
    exclusively related to homeland security. Agencies also reported having to
    use professional judgment when interpreting accepted definitions of
    combating terrorism to identify which of their activities relate to
    combating terrorism. A DOE official told us that it can be problematic to
    categorize activities that are associated with the Defense Nuclear
    Nonproliferation Program. For example, one activity under this program is
    to assist the Russians in converting surplus plutonium into fuel for
    commercial reactors. After its conversion, this material is no longer
    suitable for use in a nuclear weapon. The amount spent in Russia for the
    conversion to fuel of already well protected materials is not reported as
    combating terrorism, although the argument could be made that the
    program's eventual effect may be to take potential ammunition away from
    future terrorists. DOE cites this as one example of the fact that the
    decision of whether an activity is considered combating terrorism or
    non-combating terrorism is a judgment call based on interpretation of the
    definition. Agencies report that they manage the process of estimating
    combating terrorism funding levels through OMB oversight and supervisory
    review. However, under section 889 of the Homeland Security Act of 2002,
    OMB is no longer required to report on overseas combating terrorism
    funding data. As a result, OMB staff said that they do not review or
    validate estimates of overseas combating terrorism funding that they
    continue to collect from federal agencies. Therefore, Congress receives
    OMB-reviewed data on only the homeland security portion of combating
    terrorism funding rather than on both homeland security and overseas
    combating terrorism funding. Reporting on both would provide more
    information to the Congress about the full range of combating terrorism
    funding as currently defined.

    Three recommendations from our 2002 report related to providing additional
    information on spending and performance results have not been implemented.
    11 We made two other recommendations in our prior report based on
    reporting requirements that were subsequently repealed by the Homeland
    Security Act of 2002, thus rendering these two recommendations moot. 12 In
    our 2002 report, we recommended that OMB include agencies' obligation data
    in its annual report on combating terrorism. 13 Without this information,
    it is difficult for congressional decision makers to know how much funding
    provided in prior years may be available to help reduce new spending
    requests; whether agencies are delivering their programs as expected, that
    is, at the rate of spending that they have claimed in earlier budget
    requests; or what the level of effort is for a particular year. Although
    OMB staff continue to be concerned about the effort required to report
    these data, they said they might consider reporting obligation information
    for a targeted set of accounts that receive multiyear funding and carry
    balances for homeland security programs from year to year. We continue to
    believe that our prior recommendation on this issue is relevant and should
    be implemented. In our 2002 report, we also recommended that OMB direct
    relevant departments to develop or enhance combating terrorism performance
    goals and measures and include such measures in the governmentwide plan to
    assist in determining whether funding increases have improved performance
    results. Three of the seven agencies in our review told us that OMB had
    not directed them to develop performance measures or enhance combating
    terrorism performance goals and measures specifically for combating
    terrorism activities. However, four of the seven agencies in our review
    have developed performance measures for combating terrorism activities.
    OMB staff said that they are working with agencies through initiatives
    such as the Performance Assessment Rating Tool (PART) to improve
    performance measurement of government programs, including those that
    relate to homeland security. 14 However, OMB has not yet completed all
    PART reviews for programs that relate to these activities or done either a
    crosscutting combating terrorism or homeland security PART review that
    could address the appropriateness of performance measures in this larger
    context. Our 2002 report also recommended that national-level as well as
    federal governmentwide performance measures be included in supplements to
    existing strategies and in future revisions to strategies for homeland
    security and the combating of terrorism overseas. OMB staff said that
    governmentwide performance goals and measures have not been developed
    because they are focusing their efforts on the development of combating
    terrorism performance measures at the agency level, primarily with DHS.
    Thus, supplements or updates to the national strategies that include
    governmentwide or national level performance measures (i.e., goals and
    measures to track progress of the numerous efforts by the federal, state,
    and local governments and private sector to combat terrorism) have not
    been issued. Without governmentwide goals and measures, the Administration
    has no effective means of articulating to Congress or the American people
    the federal government's progress, as a whole, related to combating
    terrorism. Therefore, we continue to believe that our prior
    recommendations on this issue have merit and should be implemented.

    We provided a draft of this report to OMB, USDA, DOD, DOE, DHS, DOJ,
    USACE, GSA, and the National Security Council for review and comment.

    OMB objected to GAO including information on overseas combating terrorism
    funding data because it has not been reviewed by OMB since fiscal year
    2003. In addition, GSA provided formal written comments on a draft of this
    report and concurred with its contents. Copies of OMB's letter and GSA's
    letter are presented in appendix VIII and appendix IX, respectively. USDA,
    DOD, DOE, and USACE had no comments on the report. OMB, DHS, and DOJ
    provided technical comments that we incorporated as appropriate and the
    National Security Council did not provide comments.

    Background

    The National Defense Authorization Act for Fiscal Year 1998 (NDAA for FY
    1998), as amended by the National Defense Authorization Act for Fiscal
    Year 1999 (NDAA for FY 1999) required OMB to issue both a classified and
    an unclassified report 15 on funding to combat terrorism. 16 Under the
    NDAA reporting requirements, OMB's annual report addressed funding for
    combating terrorism without differentiating between homeland security and
    overseas activities. 17 However, in its 2002 unclassified report, OMB, for
    the first time, explicitly distinguished between overseas combating
    terrorism activities coordinated by the National Security Council and
    homeland security activities coordinated by the President's Office of
    Homeland Security.

    Section 889 of the Homeland Security Act of 2002 repealed the NDAA
    reporting requirements in favor of new reporting requirements. In
    particular, section 889 required the President's budget to include an
    analysis of "homeland security funding," which it defined by reference to
    OMB's 2002 report as activities to detect, deter, protect against, and if
    needed, respond to terrorist attacks occurring within the United States.
    OMB's definition of homeland security activities included activities that
    the agency had not previously treated as combating terrorism.

    The 2003 annual report on combating terrorism was the last combating
    terrorism report issued under the NDAA reporting requirements. OMB's next
    report to Congress was published as part of the President's fiscal year
    2005 budget, which was issued in February 2004 and reflected the changes
    called for in that act for the first time. In its final 2003 unclassified
    annual report on combating terrorism, OMB categorized the government's
    homeland security activities into the six critical mission areas discussed
    in the National Strategy for Homeland Security.

    Seven Agencies Use Different Methodologies to Estimate How Much of the
    Budget Supports Combating Terrorism Activities

    The seven agencies we contacted use different methods to estimate the
    portion of their authorized funding that supports combating terrorism
    activities. 18 Although OMB provides guidance to agencies, it does not
    prescribe a specific methodology for how agencies should determine the
    portion of their budget authority that relates to combating terrorism
    activities. One agency we contacted-DOD-reported that OMB determines how
    much of DOD's funding relates to combating terrorism. While OMB staff said
    that they expect most executive agencies to provide them with funding data
    related to combating terrorism activities, they said that they make these
    determinations for DOD. DOD officials said that they enter budget data
    into OMB's central database and then OMB staff review the data and extract
    information that they find consistent with OMB's definition of combating
    terrorism.

    Six of the other seven agencies we reviewed developed their own
    methodologies using guidance, such as OMB Circular No. A-11, which
    includes definitions for combating terrorism activities and instructions
    for submitting information on funding data related to combating terrorism
    activities to OMB. 19 Because these methodologies involve estimations,
    some level of professional judgment is inherent throughout the process. To
    implement these methodologies, agencies first identify their combating
    terrorism activities and then estimate their related funding levels. (See
    app. VI for guidance agencies most commonly use to identify combating
    terrorism activities.)

    Officials from two of these six agencies-GSA and DHS-reported that they
    used methods involving formulas to determine their funding levels that are
    related to combating terrorism. Officials from GSA told us that they use a
    formula-driven methodology for estimating its budget authority for the
    portion of Real Property Activities within its Federal Buildings Fund that
    relate to homeland security activities. 20 To derive this methodology, GSA
    officials from its Office of Budget said GSA consulted with OMB and
    reviewed all activities conducted under the Federal Buildings Fund, looked
    at historical trends related to homeland security activities associated
    with the fund, and applied their professional judgment. Figure 1
    illustrates GSA's methodology and demonstrates how the agency applied its
    methodology in estimating its fiscal year 2006 budget authority for the
    portion of Real Property Activities within its Federal Buildings Fund that
    relate to homeland security activities.

    Figure 1: GSA's Methodology for Estimating the Portion of Budget Authority
    Associated with Real Property Activities That Relate to Homeland Security

    aNew construction costs includes costs associated with GSA's efforts to
    implement security measures, such as installing perimeter protection
    measures (such as cameras or fences) to newly constructed buildings.

    bAccording to GSA officials, GSA makes budgetary requests for repayments
    to the Department of the Treasury's (Treasury) Judgment Fund for money
    that Treasury disbursed on behalf of GSA when a contractor made a claim
    against GSA and successfully sued the government. Treasury will notify GSA
    when such a payment took place, and GSA will request budget authority
    within the next fiscal year to reimburse Treasury's Judgment Fund. Thus,
    all such requests are included as adjustments to the total new
    construction costs.

    cAccording to GSA officials, GSA determined that 5 percent of its new
    construction costs was a reasonable estimate related to homeland security
    activities when they initially developed their methodology. They reported
    reviewing all activities conducted under the Federal Buildings Fund,
    looking at historical trends related to homeland security activities
    associated with the fund, and applying their professional judgment to
    derive this percentage.

    dMajor repairs and alterations costs include costs GSA incurs in
    implementing security enhancements to modify federal buildings where the
    total project is estimated to cost more than $2.41 million in fiscal year
    2006. The $2.41 million is based on GSA's budget request and may change
    once Congress appropriates funds to GSA.

    eAccording to GSA officials, GSA determined that 1 percent of its major
    repair and alterative costs was a reasonable estimate related to homeland
    security activities when they initially developed their methodology. They
    reported reviewing all activities conducted under the Federal Buildings
    Fund, looking at historical trends related to homeland security activities
    associated with the fund, and applying their professional judgment to
    derive this percentage.

    fGlass fragmentation costs are costs GSA incurs in installing window
    systems in federal buildings designed to mitigate the hazardous effects of
    flying glass following an explosive event.

    gMinor repairs and alterations are costs GSA incurs in implementing
    security enhancements to modify federal buildings where the total project
    is estimated to cost less than $2.41 million per project in fiscal year
    2006. The $2.41 million is based on GSA's budget request and may change
    once Congress appropriates funds to GSA.

    hBuilding operations costs associated with homeland security activities
    are those costs GSA incurs to conduct progressive collapse studies. These
    studies help determine an appropriate structural design that will mitigate
    the effects of progressive collapse. For instance, if a terrorist bomb
    were to cause the local failure of one column and a major collapse within
    one structural bay, a design mitigating progressive collapse would
    preclude the additional loss of primary structural members beyond the
    localized damage zone.

    iThe $79.2 million does not include an estimate of security costs
    associated with GSA's leased facilities. In fiscal year 2006, GSA
    requested $4 billion for leasing facilities. GSA officials acknowledged
    that they have not estimated the portion of their leased costs that relate
    to homeland security efforts, but plan to discuss with OMB the possibility
    of doing so in future years.

    Officials from DHS's component offices with whom we met-Customs and Border
    Protection, Immigration and Customs Enforcement, the Information Analysis
    and Infrastructure Protection Directorate, the Office of State and Local
    Government Coordination and Preparedness (SLGCP), the Transportation
    Security Administration, USCG, the United States Secret Service (USSS),
    and the Science and Technology Directorate-told us that they also derived
    formula-driven methodologies for determining their homeland security
    funding levels. For example, officials from USSS said that they derived a
    quantitative methodology for determining the portion of their
    appropriation for Operating Expenses that relates to homeland security. 21
    They said that to develop this methodology, USSS reviewed all of its
    programs, activities, and related staff hours conducted under its two
    missions-Protective Services and Investigative Services-to determine those
    activities that related to homeland security. 22 See figure 2 for the USSS
    methodology.

    Figure 2: U.S. Secret Service Methodology for Estimating the Portion of
    Budget Authority Associated with Operating Expenses That Relate to
    Homeland Security

    aAccording to USSS officials, USSS determined that 100 percent of its
    protective services and 75 percent of its investigative services were
    related to homeland security activities when they initially developed
    their methodology. They reported reviewing all of USSS's programs,
    activities, and related staff hours conducted under their two
    missions-Protective Services and Investigative Services-to determine those
    activities that related to homeland security and calculated related
    percentages.

    USSS officials told us that they discussed their methodology with OMB and
    received OMB's approval to implement it. USSS officials told us that they
    have been using this methodology to estimate the portion of their
    operating expenses budget authority related to homeland security since
    2003.

    The other four agencies-DOE, USDA, USACE, and DOJ-reported having
    methodologies in place to determine their funding levels for combating
    terrorism activities that are less formula driven. For example, using the
    definitions contained in OMB Circular No. A-11, a DOE official told us
    that DOE personnel review the agency's programs and activities to
    determine which are related to homeland security or overseas combating
    terrorism. Then, a DOE official consults with OMB to determine whether OMB
    would like the agency to make any revisions to the activities it has
    designated as combating terrorism. Once DOE finalizes its determination
    that an activity is categorized as a combating terrorism activity, 100
    percent of that activity's budget authority is attributed to combating
    terrorism. Additionally, officials from the component offices in USDA we
    met with-the Animal and Plant Health Inspection Service (APHIS) and the
    Agricultural Research Service (ARS)-told us that they used qualitative
    methods for determining their homeland security funding levels. For
    example, APHIS officials said that they developed a set of six questions
    to determine whether their activities relate to homeland security. 23 In
    reviewing these activities, APHIS officials told us that if any of the
    questions in figure 3 apply, they will consider the activity related to
    homeland security, and then 100 percent of that activity's budget
    authority will be attributed to homeland security.

    Figure 3: Questions APHIS Considers in Determining whether an Activity
    Relates to Homeland Security

    In addition to estimating funding levels for combating terrorism
    activities, OMB also requires agencies to align their homeland security
    activities with the critical mission areas in the National Strategy for
    Homeland Security. Officials at four of the six agencies we visited that
    estimate their combating terrorism funding levels said that they used
    their professional judgment to determine which critical mission area best
    aligns with their homeland security activities by comparing those
    activities with the definitions of the national strategy's critical
    mission areas. 24

    As previously discussed, to estimate funding levels, agencies first
    identify their combating terrorism activities. Officials at two of the six
    agencies we contacted said that activities with multiple or dual purposes
    pose a particular challenge to them when determining their combating
    terrorism activities because they must apply professional judgment to
    determine which purpose to emphasize. As a result, determining funding
    levels for combating terrorism activities and aligning homeland security
    activities to critical mission areas cannot be precise. For example, as
    previously noted, GSA officials told us that they conduct upgrades to
    buildings' fire alarm enhancement systems that could be used to alert
    employees to a fire. However, these officials also said the same system
    could also be used to alert employees to stay in the building in the event
    of a terrorist attack. Consequently, GSA cannot definitively categorize
    its fire alarm enhancement systems as a homeland security activity because
    the efforts within this activity are not exclusively related to homeland
    security. DHS officials also reported facing similar challenges. For
    example, SLGCP has multi-use grants that could be used for both combating
    terrorism and other goals. SLGCP staff cited the fact that the chemical
    protection suits provided under the Firefighter Assistance Grant program
    could be used in the field for a fuel spill or for a terrorist incident
    such as a dirty bomb. Consequently, DHS believes the process of
    categorizing combating terrorism activities is an estimation exercise, for
    which the department's staff must apply their professional judgment.

    Furthermore, agency officials at three agencies we visited said that an
    additional challenge in determining whether an activity should be
    considered a combating terrorism activity involves interpreting OMB's
    combating terrorism definitions. For example, a DOE official told us that
    it can be problematic to categorize activities that are associated with
    the Defense Nuclear Nonproliferation Program such as efforts to assist the
    Russians in converting surplus plutonium into fuel for commercial
    reactors. After its conversion, this material is no longer suitable for
    use in a nuclear weapon. Although the argument could be made that the
    program's eventual effect may be to take potential ammunition away from
    future terrorists, the amount spent in Russia for the conversion to fuel
    of already well protected materials is not reported as combating
    terrorism. DOE cites this as one example of the fact that the decision of
    whether an activity is considered combating terrorism or non-combating
    terrorism is a judgment call based on interpretation of the definition.

    Agencies in our review manage the process of estimating funding levels for
    combating terrorism activities through OMB oversight and supervisory
    review. According to OMB, the responsibility of ensuring that homeland
    security activities are properly categorized is a joint effort made by OMB
    and the agencies involved. For their part, OMB staff perform reviews of
    activities determined to be related to homeland security to ensure that
    they are in accordance with the homeland security definition. OMB staff
    told us that there is no written guidance for such a review. Instead, OMB
    staff rely on the definition in OMB Circular No. A-11 and their judgment
    to decide if the activity has been reasonably categorized.

    OMB staff said that they currently do not review agency estimates of
    funding data for overseas combating terrorism activities because OMB is no
    longer required to report on overseas combating terrorism funding data. 25
    Section 889 of the Homeland Security Act of 2002 repealed the NDAA
    reporting requirements in favor of new reporting requirements. The section
    889 reporting requirement applies only to homeland security activities,
    not overseas activities related to combating terrorism. 26 Although OMB
    still collects overseas combating terrorism funding data, OMB staff said
    that they have not reviewed or validated this information since fiscal
    year 2003. As a result, the overseas combating terrorism data for fiscal
    years 2004-2006 has not received the same level of scrutiny as the
    homeland security data. Similarly, without any future legislative action,
    OMB does not plan to review or validate future funding estimates related
    to overseas combating terrorism activities. As a result, Congress does not
    receive reports on both the homeland security and overseas combating
    terrorism portions of combating terrorism funding.

    In addition to reviewing homeland security data, OMB also reports taking
    steps to ensure that agencies have properly aligned their homeland
    security activities with the six critical mission areas outlined in the
    National Strategy for Homeland Security. OMB staff told us that annually,
    they examine the activities agencies aligned with each critical mission
    area to ensure consistency across all federal agencies and determine if
    the activities have been properly aligned based on the definitions of the
    critical mission areas in the National Strategy for Homeland Security.
    Such alignments can help inform congressional decision makers about the
    amount of funding that has been allocated to any one critical mission
    area.

    In addition to undertaking the previously mentioned reviews, each year
    since 2002, OMB has provided agencies with an opportunity to make changes
    to the activities they report as homeland security. In fiscal year 2005,
    OMB formalized this process by asking agencies to complete a form
    outlining the agency's proposed changes prior to official submission of
    annual budget requests. OMB staff said that OMB's examiners use the
    definition for homeland security in its Circular No. A-11 to review each
    agency's request, and then the examiners discuss the agencies' request
    with staff from OMB's Homeland Security Branch, as well as the agency to
    decide if the activity has been reasonably categorized. 27

    Officials at all six of the agencies we contacted who make their own
    determinations of funding related to combating terrorism reported having
    controls in place to help ensure that the agency's combating terrorism
    activities are appropriately identified and categorized as either homeland
    security or overseas combating terrorism. For example, DHS officials said
    that DHS budget desk officers within the Chief Financial Officer's Budget
    Division review activities its components recommend as combating terrorism
    and check for activities that may have been categorized incorrectly. Then,
    another budget desk officer, within the same division, reviews the data
    for unusual fluctuations or trends. If necessary, the budget desk officer
    and component representatives are to contact OMB to resolve any potential
    disagreements. After agencies submit information to OMB, OMB program
    examiners review the data and approve the activities or request the
    agencies to make revisions according to their instruction.

    Implementation of Three Recommendations Could Provide Additional
    Information for Budget Decisions and Understanding of Performance

    OMB has not implemented three recommendations from our 2002 report that
    would have and still could provide OMB and Congress with additional
    information for making budget decisions and help them understand
    performance results. 28 In our 2002 report, we recommended that OMB
    require agencies to provide information on obligations in the database
    used by OMB to produce the President's annual budget request-and that OMB
    should include obligations as reported in this database in its annual
    report on combating terrorism. We made this recommendation to help
    Congress obtain information on spending that supports the President's
    annual budget request related to combating terrorism activities and to
    provide decision makers with insights as to whether programs are being run
    according to plans established by their budget projections. 29 Without
    including obligation data in the Analytical Perspectives, along with
    funding levels authorized by Congress for agencies' homeland security
    activities, it is difficult for decision makers to know (1) how much
    funding from prior years is still available to potentially reduce new
    spending requests, (2) whether the rate of spending for a program is
    slower than anticipated, or (3) what the level of effort (i.e., size of
    the program) is for a particular year as well as for a program over time.

    OMB staff told us that OMB has not substantially changed its position on
    this recommendation since we published our 2002 report. 30 OMB staff
    continue to cite the effort required to produce such data. While OMB staff
    acknowledged that OMB examiners use obligation data in assessing the
    appropriateness of agency budget requests overall, they have felt that
    budget authority data provide the most insight into combating terrorism
    programs and facilitate follow up on areas of concern. OMB staff also said
    that including obligation information in its funding analysis is not
    necessary because at the end of the fiscal year, most agencies with
    homeland security activities have already obligated the majority of their
    budget authority. However, OMB staff also said that they might consider
    reporting obligation information for a targeted set of accounts that
    receive multiyear funding and might carry balances for homeland security
    programs from year to year, unlike the majority of accounts that receive
    funding with only 1 year of availability. A conservative analysis suggests
    that unobligated balances associated with funding for homeland security
    activities for fiscal years 2002 through 2004 could be between $2 billion
    and $3.4 billion. Although it would be important to understand how
    agencies plan to use these balances, information on what funding is
    unobligated-and in which accounts-is potentially useful for congressional
    deliberations on the President's budget request. 31 We recognize that
    collecting these data would create an additional workload for both OMB and
    agency budget officials, but we continue to believe that such an effort is
    warranted for congressional oversight because of the high priority placed
    on combating terrorism. Therefore, we continue to believe that our prior
    recommendation on this issue from our 2002 report is relevant and should
    be implemented.

    Similarly, implementation of our 2002 recommendation that OMB direct
    relevant departments to develop or enhance combating terrorism performance
    goals and measures and include such measures in the governmentwide plan
    would assist in determining whether funding increases have improved
    performance results. 32

    Although three of the seven agencies in our review told us that OMB did
    not direct them to develop performance measures for combating terrorism,
    OMB staff said that they are working with agencies on the development of
    combating terrorism performance measures at the agency level, primarily
    with DHS. OMB staff also said that they have not yet taken any action to
    prepare measures on a governmentwide basis. 33 Additionally, OMB has not
    yet prepared a governmentwide plan that could include such measures
    related to combating terrorism. OMB staff said that the Homeland Security
    Council-which provides advice to the President on homeland security
    issues-DHS, and OMB are coordinating and planning for the future
    development of governmentwide performance measures related to combating
    terrorism. 34 However, OMB staff said that they have not yet established a
    timeline for developing such measures.

    Implementation of our 2002 recommendation to include national-level and
    federal governmentwide combating terrorism performance measures as a
    supplement to existing strategies and their future revisions would help to
    assess and improve preparedness at the federal and national levels. As
    previously discussed, federal governmentwide performance measures related
    to combating terrorism have not yet been developed. Moreover, there have
    been no supplements or revisions to the existing national strategies that
    include federal governmentwide or national-level combating terrorism
    performance goals and measures. 35 Without goals and measures from the
    federal and national levels, it is difficult to organize a coordinated and
    effective combating terrorism effort. Because numerous agencies are
    responsible for combating terrorism, federal governmentwide performance
    planning could better facilitate the integration of federal and national
    activities to achieve federal goals in that they could provide a cohesive
    perspective on the goals of the federal government. Furthermore, without
    governmentwide combating terrorism goals and measures, the Administration
    does not have an effective means of articulating to Congress or the
    American people the governmentwide accomplishments related to combating
    terrorism.

    While OMB has not yet developed governmentwide performance goals and
    measures, OMB established a formal assessment tool for the budget
    formulation process in fiscal year 2002-the Program Assessment Rating Tool
    to help measure program performance. However, OMB has not yet completed
    all PART reviews for programs that relate to combating terrorism
    activities, or done a crosscutting combating terrorism or homeland
    security PART review that could address the appropriateness of performance
    measures in the larger context. In our recommendation from an earlier
    report, we stated that targeting PART could help focus decision makers'
    attention on the most pressing policy and program issues. 36 Furthermore,
    we recommended that such an approach could facilitate the use of PART
    assessments to review the relative contributions of similar programs to
    common or crosscutting goals and outcomes.

    It is critical that the federal government, as the steward of the
    taxpayers' money, ensure that such funds are managed to maximize results.
    Governmentwide combating terrorism performance measures that support the
    national strategies would allow the Administration and Congress to more
    effectively assess the federal government's progress in combating
    terrorism initiatives, and better determine how effectively the government
    is using valuable resources. Furthermore, they would provide a more
    effective means of holding agencies accountable for achieving results.

    Notwithstanding a lack of progress in developing governmentwide
    performance measures, some agencies have performance goals and measures
    that reflect priorities for combating terrorism. Performance measures can
    provide information on many things, such as outputs, which provide the
    number of activities, and outcomes, which demonstrate achievement of
    intended results. Four of the seven agencies we contacted-DHS, DOE, USDA,
    and DOJ- developed performance measures for combating terrorism activities
    as part of their efforts under the Government Performance and Results Act
    of 1993 (GPRA). 37 An example of a DOE output performance measure,
    designed to help achieve its goal of protecting National Nuclear Security
    Administration personnel, facilities, and nuclear weapons is as follows:
    "Replace, upgrade, re-certify 15 percent of emergency response equipment
    by 2009."

    To help DHS evaluate its efforts related to preventing entry of
    unauthorized individuals and those that pose a threat to the nation, DHS
    created the following performance measure: "Determine the percentage of
    foreign nationals entering the United States who have biometric and
    biographic information on file prior to entry, including the foreign
    nationals who are referred for further inspection actions and with
    fraudulent documents identified." This is an output-related performance
    measure that provides information about the number of foreign nationals
    who enter the country requiring further inspection.

    Under GPRA, virtually every executive agency is required to develop
    strategic plans covering a period of at least 5 years forward from the
    fiscal year in which it is submitted and to update those plans at least
    every 3 years. Under this act, strategic plans are the starting point for
    agencies to set annual performance goals and to measure program
    performance in achieving those goals. Although GPRA does not specifically
    require executive agencies to develop strategic plans related to combating
    terrorism, DOD has initiated efforts to develop strategic plans that
    incorporate performance measures for combating terrorism. In response to
    our previous recommendation that DOD develop a framework for the
    antiterrorism program that would provide the department with a vehicle to
    guide resource allocations and measure the results of improvement efforts,
    38 DOD developed an Antiterrorism Strategic Plan. 39 This preliminary
    framework includes, among other things, a collective effort to defend
    against, respond to, and mitigate terrorist attacks aimed at DOD
    personnel. According to DOD officials, the strategic goals established in
    DOD's Antiterrorism Strategic Plan directly align with OMB's definitions
    of homeland security and overseas combating terrorism. One of DOD's
    strategic goals is to conduct effective antiterrorism training and execute
    realistic antiterrorism exercises. DOD officials reported that they intend
    to collect antiterrorism performance data from all DOD components and plan
    to issue the first performance report on antiterrorism in the second
    quarter of fiscal year 2006. While we have not yet fully evaluated the
    effectiveness of this framework or plan, such efforts represent important
    steps taken by an agency to develop performance measures and,
    consequently, a results-oriented management framework specifically related
    to combating terrorism activities.

    Currently, because governmentwide performance measures have not been
    developed, the executive branch does not have a means to effectively
    measure and link resources expended and performance achieved related to
    combating terrorism efforts on a governmentwide basis. Without a clear
    understanding of this linkage, the executive branch and Congress may be
    missing opportunities to increase productivity and efficiency to ensure
    the best use of taxpayer funds. Therefore, we continue to believe that our
    prior recommendations on this issue from our 2002 report are important and
    should be implemented.

    In our 2002 report, we also made recommendations to OMB concerning an
    analysis of duplication of effort related to combating terrorism
    activities and the timely reporting of information to support
    congressional budget deliberations. Our November 2002 report was issued
    concurrently with the enactment of the Homeland Security Act of 2002,
    which repealed OMB's prior reporting requirements, including the
    duplication analysis, and accelerated the timeline for OMB to report
    funding data on homeland security activities. The status of these
    recommendations is discussed further in appendix VII.

    Conclusions

    Given the recent emphasis on and significance of combating terrorism,
    Congress should have the best available funding information to assist in
    its oversight role. Since the enactment of the Homeland Security Act of
    2002, OMB has not been required to report on overseas combating terrorism
    data. Moreover, OMB staff said that funding data for overseas combating
    terrorism activities do not receive the same level of scrutiny as funding
    data for homeland security activities. Thus, the quality of the overseas
    combating terrorism data may degrade over time. Reporting such data along
    with homeland security funding would greatly improve the transparency of
    funding attributed to combating terrorism activities across the federal
    government. Although OMB's analysis of homeland security funding in the
    Analytical Perspectives of the President's budget satisfies the current
    legal requirements under the Homeland Security Act of 2002, it does not
    provide a complete accounting of all funds allocated to combating
    terrorism activities.

    Matter for Congressional Consideration

    If Congress is interested in receiving data on overseas combating
    terrorism funding as well as data on homeland security funding, then
    Congress should consider requiring OMB to report on overseas combating
    terrorism funding data in the Analytical Perspectives of the President's
    budget along with homeland security funding.

    Agency Comments

    We provided a draft of this report to OMB, USDA, DOD, DOE, DHS, DOJ,
    USACE, GSA, and the National Security Council for review and comment.

    OMB provided formal written comments on December 21, 2005, which are
    presented in appendix VIII. OMB said it appreciates the in-depth analyses
    in the report and the detailed review of the government's homeland
    security spending levels, but objected to GAO including information on
    overseas combating terrorism funding data. OMB questioned the reliability
    of this information because it has not reviewed agency submissions of
    overseas combating terrorism data since fiscal year 2003. We believe the
    overseas combating terrorism data are sufficient for the purposes of this
    report and therefore have included them in appendix I. As discussed in
    this report, agencies in our review that provide information on combating
    terrorism activities-including those with overseas combating terrorism
    responsibilities-use OMB criteria and their own internal monitoring and
    review processes to categorize funding by activities. These agencies
    reported that they have designed controls over the estimation process to
    help ensure the reliability of the data. However, we agree that OMB's
    review would provide an additional level of assurance, which is why we
    have made this a matter for congressional consideration.

    In addition to OMB's comments, GSA provided formal written comments on a
    draft of this report on December 2, 2005, which are presented in appendix
    IX. In commenting on the draft report, GSA noted that it concurred with
    the contents of the report that discussed GSA. USDA, DOD, DOE, and USACE
    had no comments on the report. OMB, DHS, and DOJ provided technical and
    clarifying comments that we incorporated as appropriate. The National
    Security Council did not provide comments.

    We are sending copies of this report to the Senate Committee on Homeland
    Security and Governmental Affairs; Senate Committee on the Judiciary,
    Subcommittee on Terrorism, Technology, and Homeland Security; the House
    Committee on Government Reform; the House Committee on the Judiciary; the
    Director of the Office of Management and Budget; the Commanding General
    and Chief of Engineers of the U.S. Army Corps of Engineers; the Secretary
    of the Department of Agriculture; the Secretary of the Department of
    Defense; the Secretary of the Department of Energy; the Attorney General;
    the Administrator of the General Services Administration; the Secretary of
    Homeland Security; and other interested parties. We will also make copies
    available to others on request.

    In addition, the report will be available on GAO's Web site at
    http://www.gao.gov . If you or your staff have any questions about this

    report, please contact me at (202) 512-8777 or by e-mail at
    jonespl@gao.gov . GAO contacts and staff acknowledgments are listed in
    appendix X.

    Paul L. Jones Director, Homeland Security and Justice Issues

    Appendix I: Patterns and Trends in Funding for Homeland Security and
    Overseas Combating Terrorism Activities Appendix I: Patterns and Trends in
    Funding for Homeland Security and Overseas Combating Terrorism Activities

    In this report, we use fiscal year 2002 as the base year for analyzing
    trends in funding for combating terrorism for a number of reasons.
    Although fiscal year 2001 may seem like the logical starting point, fiscal
    year 2002 was the first full year in which decision making was informed by
    the terrorist attacks in the United States. 1 Moreover, to make
    information comparable for the President's fiscal year 2004 budget
    request, the Office of Management and Budget (OMB) restructured fiscal
    years 2002 and 2003 budget data to reflect changes that occurred with the
    creation of the Department of Homeland Security (DHS) in 2003. This made
    fiscal year 2002 the earliest year that OMB's MAX database 2 captured
    funding for combating terrorism that is, for the most part, in the current
    agency, bureau, 3 and account structure. In addition, OMB for the first
    time required agencies to identify funding for homeland security and
    overseas combating terrorism separately from other funding in an account.
    Finally, fiscal year 2002 marked the earliest year in which OMB presented
    information organized according to the National Strategy for Homeland
    Security's six critical mission areas in its Annual Report to Congress on
    Combating Terrorism (September 2003).

    The information for homeland security and overseas combating terrorism
    (OCT) is shown separately in the following tables. Tables 1 to 3 provide
    information on homeland security at progressively finer levels of detail.
    However, none of these tables, or tables 4 and 5 include funding in fiscal
    years 2004 and 2005 for DHS' Project BioShield. OMB asserts that including
    this information can distort year-over-year comparisons. The Homeland
    Security Appropriations Act of 2004 provided $5.6 billion for this project
    to develop and procure tools to address public health consequences of
    terrorism. Pursuant to that act, specific amounts became available in
    fiscal year 2004 ($0.9 billion) and in fiscal year 2005 ($2.5 billion).
    Tables 4 and 5 display how OMB and agencies characterize funding according
    to the six critical mission areas for homeland security. Unlike the
    appropriations account structure, which is based in law, mission area
    categories and activities can be modified to meet changing needs. OMB has
    stated that "the Administration may refine definitions or mission area
    estimates over time based on additional analysis or changes in the way
    specific activities are characterized, aggregated, or disaggregated."
    Tables 6 and 7 provide unpublished OMB data on OCT. According to OMB
    officials, they continue to collect these data from agencies, but do not
    review agency information since OMB is no longer required to report on
    overseas combating terrorism funding or activities.

    All comparisons or trends are for fiscal years 2002 through 2005. We have
    included the President's fiscal year 2006 budget request because it
    contained the latest data available at the time of this review.

    Homeland Security

    Homeland security activities are funded in over 200 appropriations
    accounts in 32 agencies, and the District of Columbia. As shown in table
    1, the Departments of Homeland Security, Defense (DOD), Health and Human
    Services (HHS), Justice (DOJ), and Energy (DOE) account for over 90
    percent of governmentwide homeland security funding annually since fiscal
    year 2003.

    Table 1: Gross Budget Authority for Homeland Security-by Summarized Agency

    Dollars in millions
                            FY 2002          FY 2003            FY 2004a
    Agency         Grossbudget  Percent      Gross  Percent      Gross Percent
                        authority of total     budget of total     budget      of
                                            authority           authority   total
    Department of       17,380       53     23,063       54     22,925      56
    Homeland
    Securityb
    Department of        5,159       16      8,442       20      7,025      17
    Defense
    Department of        1,220        4      1,409        3      1,363       3
    Energy
    Department of        1,913        6      4,144       10      4,060      10
    Health and
    Human Services
    Department of        2,144        7      2,349        6      2,181       5
    Justice
    Other agencies       5,068       15      3,042        7      3,283       8
    Total              $32,884      100    $42,449      100    $40,837     100

         Estimated FY 2005a     Requested FY
                                    2006
    Gross budget Percent of  Gross budget Percent of     Average annual change
          authority      total     authority      total                 2002-2005
             24,887         54        27,331         55                     12.71
              8,566         19         9,513         19                     18.41
              1,562          3         1,664          3                      8.59
              4,229          9         4,407          9                     30.27
              2,679          6         3,104          6                      7.71
              4,092          9         3,923          8                     -6.88
            $46,015        100       $49,942        100

    Source: GAO analysis of OMB data.

    Notes: Gross budget authority includes offsetting collections from
    fee-funded activities.

    Percentages may not add to 100 percent because of rounding.

    aExcludes amounts in fiscal years 2004 ($0.9 billion) and 2005 ($2.5
    billion) for DHS's Project BioShield.

    bDHS was not established until fiscal year 2003. Fiscal year 2002 data
    shown for DHS represents funding for agency programs and activities that
    eventually were transferred to the new department.

    As shown in table 2, DHS has received the largest share of funding for
    homeland security activities. The department's average annual funding has
    been $22.1 billion, or about 54 percent of the total amount available
    annually from fiscal years 2002 through 2005. 4 For fiscal year 2006, the
    President proposed $27.3 billion for DHS's homeland security activities,
    or 55 percent of total spending.

    DOD also received a large share of homeland security funding averaging 18
    percent annually over the same period, with $9.5 billion requested for
    fiscal year 2006. Most of DOD's homeland security funding is for functions
    related to security at military installations domestically and for
    research and development of antiterrorism technologies. Homeland
    security-related funding for DOD is increasing at an annual rate of about
    18 percent, over 5 percent more than the rate of increase for DHS.

    HHS has had the largest percentage increase since fiscal year 2002, with
    an average annual rate of about 30 percent. Funding has been provided
    primarily to improve local response to catastrophic events and for
    research at the National Institutes of Health to find new ways to detect
    and combat biological agents.

    Table 2: Gross Budget Authority for Homeland Security-by Agency

    Dollars in millions
                                         FY 2002            FY 2003
    Agency                    Gross budget Percent of  Gross budget Percent of
                                    authority      total     authority      total
    Department of Homeland          17,380         53        23,063         54
    Securityb
    Department of Defense            5,159         16         8,442         20
    Department of Agriculture          552          2           411          1
    Department of Commerce             118          0           111          0
    Department of Education              0          0             6          0
    Department of Energy             1,220          4         1,409          3
    Department of Health and         1,913          6         4,144         10
    Human Services
    Department of Housing and            1          0             2          0
    Urban Development
    Department of Justice            2,144          7         2,349          6
    Department of Labor                 78          0            70          0
    Department of State                477          1           634          1
    Department of                    1,420          4           382          1
    Transportation
    Department of Veterans              49          0           154          0
    Affairs
    Department of the                  108          0            54          0
    Interior
    Department of the                  116          0            80          0
    Treasury
    Corporation for National            29          0            17          0
    and Community Service
    Corps of Engineers-Civil           139          0            75          0
    Works
    District of Columbia               213          1            25          0
    Environmental Protection           187          1           134          0
    Agency
    Executive Office of the            140          0            41          0
    President
    Federal Communications               0          0             1          0
    Commission
    General Services                    97          0            67          0
    Administration
    Intelligence Community               0          0             0          0
    Management Account
    National Aeronautics and           223          1           205          0
    Space Administration
    National Archives and               10          0            10          0
    Records Administration

               FY 2004a          Estimated           Requested
                                 FY 2005a             FY 2006
          Gross budget  Percent      Gross  Percent      Gross  Percent   Average
             authority of total     budget of total     budget of total    annual
                                 authority           authority             change
                                                                        2002-2005
                22,925       56     24,887       54     27,331       55     12.71
                 7,025       17      8,566       19      9,513       19     18.41
                   411        1        601        1        703        1      2.88
                   124        0        167        0        184        0     12.27
                     8        0         25        0         23        0         0
                 1,363        3      1,562        3      1,664        3      8.59
                 4,060       10      4,229        9      4,407        9     30.27
                     2        0          2        0          2        0     25.99
                 2,181        5      2,679        6      3,104        6      7.71
                    53        0         56        0         47        0    -10.46
                   697        2        824        2        938        2     19.99
                   285        1        182        0        192        0    -49.58
                   272        1        281        1        300        1     78.99
                    82        0         65        0         57        0    -15.57
                    91        0        102        0        111        0      -4.2
                    23        0         17        0         20        0    -16.31
                   102        0         89        0         72        0    -13.81
                    19        0         15        0         15        0     -58.7
                   131        0        107        0        185        0    -16.98
                    35        0         30        0         22        0    -40.16
                     1        0          2        0          4        0         0
                    79        0         65        0         80        0    -12.49
                     1        0         72        0         56        0         0
                   207        1        218        0        205        0     -0.75
                    16        0         17        0         20        0     19.35

    Dollars in millions
                                         FY 2002            FY 2003
                                 Gross budget Percent of  Gross budget Percent of
                                    authority      total     authority      total
    National Capital Planning            1          0             0          0
    Commission
    National Science                   259          1           285          1
    Foundation
    Nuclear Regulatory                  43          0            47          0
    Commission
    Office of Personnel                  2          0             3          0
    Management
    Postal Service                     587          2             0          0
    Securities and Exchange              0          0             5          0
    Commission
    Smithsonian Institution             91          0            83          0
    Social Security                    121          0           132          0
    Administration
    United States Holocaust              7          0             8          0
    Memorial Museum
    Total                          $32,884        100       $42,449        100

            FY 2004        Estimated           Requested
                            FY 2005             FY 2006
           Gross  Percent      Gross  Percent      Gross  Percent  Average annual
          budget of total     budget of total     budget of total          change
    authority           authority           authority                2002-2005
               0        0          0        0          0        0            -100
             340        1        342        1        344        1            9.71
              67        0         59        0         61        0           11.12
               3        0          3        0          4        0           14.47
               0        0        503        1          0        0           -5.02
               5        0          5        0          5        0               0
              78        0         75        0         87        0           -6.24
             143        0        160        0        177        0            9.76
               8        0          8        0          9        0            4.55
         $40,837      100    $46,015      100    $49,942      100

    Source: GAO analysis of OMB data.

    Notes: Gross budget authority includes offsetting collections from
    fee-funded activities.

    Percentages may not add to 100 percent because of rounding.

    aExcludes amounts in fiscal years 2004 ($0.9 billion) and 2005 ($2.5
    billion) for DHS's Project BioShield.

    bDHS was not established until fiscal year 2003. Fiscal year 2002 data
    shown for DHS represents funding for agency programs and activities that
    eventually were transferred to the new department.

    Table 3 provides homeland security data by agency, bureau, and account.

    Table 3: Gross Budget Authority for Homeland Security-by Agency, Bureau,
    and Account

    Dollars in millions
                                                          Gross budget
                                                            authority
    Agency          Bureau          Account                        FY 2002         FY 2003         FY 2004a   Estimated FY     Requested FY
                                                                                                                     2005a             2006
    Department of   Border and      Acquisition,                        28              25               25             25               27
    Homeland        Transportation  construction,
    Security b      Security        improvement and
                                    related expenses
                                    Air and marine                       0             122              140            173              196
                                    interdiction,
                                    operations,
                                    maintenance, and
                                    procurement
                                    Automation                           0             217              219            225              229
                                    modernization,
                                    Customs and Border
                                    Protection
                                    Automation                           0               0               40             40               40
                                    modernization,
                                    Immigration and
                                    Customs
                                    Enforcement
                                    Aviation security                    0               0            3,724          4,577            4,985
                                    Construction,                        0             235               89             92               93
                                    Customs and Border
                                    Protection
                                    Construction,                        0              27               27             26               27
                                    Immigration and
                                    Customs
                                    Enforcement
                                    Customs and border               5,180               0                0              0                0
                                    protection
                                    Federal Protective                   0             418              451            478              487
                                    Service
                                    Federal air                          0             466              622            663              689
                                    marshals
                                    Immigration and                  2,240               0                0              0                0
                                    Customs
                                    Enforcement
                                    Office for                         868               0                0              0                0
                                    Domestic
                                    Preparedness
                                    Refunds,                             0               0               85             89               98
                                    transfers, and
                                    expenses of
                                    operation, Puerto
                                    Rico
                                    Salaries and                        88              95              106             96              116
                                    expenses
                                    Salaries and                         0           4,928            4,569          4,728            4,940
                                    expenses, Customs
                                    and Border
                                    Protection
    Department of   Border and      Salaries and                         0           1,560            1,892          2,322            2,759
    Homeland        Transportation  expenses,
    Security b      Security        Immigration and
                                    Customs
                                    Enforcement
                                    Salaries and                         0               0                0              0              848
                                    expenses, Office
                                    of Screening,
                                    Coordination and
                                    Operations
                                    Surface                              0               0              261            115               32
                                    transportation
                                    security
                                    Transportation                   3,677           5,393                0              0                0
                                    Security
                                    Transportation                       0               0              593            712              545
                                    security support
                                    United States                        0             380              328            340                0
                                    visitor and
                                    immigrant status
                                    indicator
                                    technology
                    Citizenship and Citizenship and                     37               3                0              0                0
                    Immigration     Immigration
                    Services        Services
                    Departmental    Counterterrorism                    40             160               10              8               10
                    Management      Fund
                                    Department-wide                     69              47              131            156              213
                                    technology
                                    investments
                                    Departmental                        72              16              142            176              253
                                    Operations
                                    Firefighter                          0               0                0              0              500
                                    assistance grants
                                    State and local                      0           3,466            3,268          3,090            2,895
                                    programs
                    Emergency       Administrative and                   0               0               30             48               62
                    Preparedness    regional
                    and Response    operations
                                    Operating Expenses               1,257             218                0              0                0
                                    Preparedness,                        0               0                0             35               50
                                    mitigation,
                                    response, and
                                    recovery
                                    Public health                        0               0               84             34               34
                                    programs
                    Information     Operating Expenses                 153             185                0              0                0
                    Analysis and
                    Infrastructure
                    Protection
                                    Assessments and                      0               0              710            762              669
                                    evaluation
    Department of   Information     Management and                       0               0              124            132              204
    Homeland        Analysis and    administration
    Security b      Infrastructure
                    Protection
                    Science and     Research,                          152             521              874          1,047            1,296
                    Technology      development,
                                    acquisitions and
                                    operations
                    United States   Operating Expenses               1,878           2,568            2,230          2,460            2,625
                    Coast Guard
                                    Acquisition,                         0             443              544            555              734
                                    construction, and
                                    improvements
                                    Capital                            387               0                0              0                0
                                    Acquisitions
                                    Research,                            0               9                8              5                0
                                    development, test,
                                    and evaluation
                                    Reserve training                     0              48               44             54               56
                                    Retired Pay                        366             506              493            526              499
                    United States   Salaries and                       885           1,004            1,059          1,095            1,117
                    Secret Service  expenses
                                    Acquisition,                         3               3                3              3                3
                                    construction,
                                    improvements, and
                                    related expenses
    Department of   Military        Military                             0             170               31             16               40
    Defense         Construction    construction, Air
                                    Force
                                    Military                             0             185               23              0                0
                                    construction, Army
                                    Military                             0               0                3              0                0
                                    construction, Army
                                    National Guard
                                    Military                             1               6                8             15               31
                                    construction,
                                    Defense-wide
                                    Military                            54             363               63             58               76
                                    construction, Navy
                    Military        Military                           876           1,017            1,245          1,478            1,540
                    Personnel       personnel, Air
                                    Force
                                    Military                           558             525              568            637              659
                                    personnel, Army
                                    Military                           378             420              473            553              579
                                    personnel, Marine
                                    Corps
                                    Military                           238             494              506            514              556
                                    personnel, Navy
                                    National Guard                     135             135              143            101              105
                                    personnel, Air
                                    Force
    Department of   Military        National Guard                     105             100              526            592              624
    Defense         Personnel       personnel, Army
                                    Reserve personnel,                  75              76               42              5                5
                                    Air Force
                                    Reserve personnel,                 370             367              350            377              391
                                    Army
                                    Reserve personnel,                   4               4                3              4                4
                                    Marine Corps
                                    Reserve personnel,                  55              79               85             80               92
                                    Navy
                    Operation and   Defense health                      17              18               10             17               16
                    Maintenance     program
                                    Office of the                        4               4                4              6                6
                                    Inspector General
                                    Operation and                      278           1,064              324            168              151
                                    maintenance, Air
                                    Force
                                    Operation and                        0               1               38             51               50
                                    maintenance, Air
                                    Force Reserve
                                    Operation and                       45              55               48             49               51
                                    maintenance, Air
                                    National Guard
                                    Operation and                      444             502              575            551              697
                                    maintenance, Army
                                    Operation and                       28              48               83            108              168
                                    maintenance, Army
                                    National Guard
                                    Operation and                       31              43               42             41               61
                                    maintenance, Army
                                    Reserve
                                    Operation and                      118             118              131            634              762
                                    maintenance,
                                    Defense-wide
                                    Operation and                       59             259               68             78               77
                                    maintenance,
                                    Marine Corps
                                    Operation and                      425           1,001              728            745              797
                                    maintenance, Navy
                                    Operation and                        9              72               28             41               27
                                    maintenance, Navy
                                    Reserve
    Department of   Procurement     Aircraft                            72               0                0              0                0
    Defense                         procurement, Army
                                    Other procurement,                 231             202              121            395              415
                                    Air Force
                                    Other procurement,                 111             553              105            208              125
                                    Army
                                    Other procurement,                 124             217              191            334              481
                                    Navy
                                    Procurement of                       0              32               38             42               74
                                    ammunition, Navy
                                    and Marine Corps
                                    Procurement,                        10              62              105            168              247
                                    Defense-wide
                                    Procurement,                        32               9                5             11                8
                                    Marine Corps
                                    Weapons                              0              29               45            127              205
                                    procurement, Navy
                    Research,       Research,                           17               7                6             18               18
                    Development,    development, test,
                    Test, and       and evaluation,
                    Evaluation      Air Force
                                    Research,                            0              42               28              0                0
                                    development, test,
                                    and evaluation,
                                    Army
                                    Research,                          238             140              185            312              334
                                    development, test,
                                    and evaluation,
                                    Defense-wide
                                    Research,                           14              23               48             32               41
                                    development, test,
                                    and evaluation,
                                    Navy
                    Revolving and   National defense                     3               0                0              0                0
                    Management      stockpile
                    Funds           transaction fund
    Department of   Agricultural    Salaries and                        60     12Emergency           21 0.0          300.0            690.0
    Agriculture     Research        expenses                                  Preparedness
                    Service                                                   and Response
                    National
                    Archives and
                    Records
                    Administration
    1.1                             Buildings and            115Protecting         14310.0          10 10.1        12116.0           6217.1
                                    facilities                    Critical
                                                        Infrastructure and
                                                                Key Assets
                    Animal and      Salaries and                  256$10.0        197$10.1        303 $16.0       368$17.1         436$20.2
                    Plant Health    expenses Total
                    Inspection
                    Service
    National                        Buildings and             14Protecting            01.0            0 0.0           00.0             00.0
    Capital                         facilities                    Critical
    Planning                                            Infrastructure and
    Commission                                                  Key Assets
    Department of   Cooperative     Extension                        0$1.0           320.0           31 0.0          310.0            310.0
    Agriculture     State Research, activities Total
                    Education, and
                    Extension
                    Service
    National                        Integrated                 0Protecting          0250.6          8 257.5         9312.9          30315.3
    Science                         activities                    Critical
    Foundation                                          Infrastructure and
                                                                Key Assets
                                    Research and                      09.0           027.0           0 27.0          027.0            527.0
                                    education
                                    activities
                                    Defending Against
                                    Catastrophic
                                    Threats
                    Departmental    Agriculture                   6 $284.5         8$339.9         8 $342.3        8$344.2               14
                    Administration  buildings and
                    Total           facilities $259.6
                                    Departmental                      10.0            10.2            3 0.6           20.6             20.6
                                    administration
                                    Emergency
                                    Preparedness and
                                    Response
                    Economic        Economic Research                037.9           050.0           1 39.6          139.2                1
                    Research        Service 42.9
                    Service
                    Protecting
                    Critical
                    Infrastructure
                    and Key Assets
    Defending       Executive       Executive                        016.2           019.0           0 21.2              1                1
    Against         Operations 0.0  operations 8.9
    Catastrophic
    Threats
    $42.9           $47.0           Office of the                   4$59.2          9$61.0               13    11Office of               13
                                    Chief Information                                                            Personnel
                                    Officer $66.8                                                               Management
    Emergency       Food Safety and Salaries and                     152.5            92.5           13 3.3             19               39
    Preparedness    Inspection      expenses 0.0
    and Response    Service 0.8
    1.8             Office of the   Office of the                    810.5            00.5                0              0           0Total
                    Secretary 3.0   Secretary 0.5
    Department of   Departmental    Salaries and                     9$3.8              11 9 Postal Service             10               10
    Commerce $3.0   Management $3.0 expenses $3.0
                                    Office of the                        0               0      1 Emergency         1180.5             10.0
                                    Inspector General                                      Preparedness and
                                                                                                   Response
    0.0             0.0             Working capital                      8     9Protecting         10 406.5           80.0             90.0
                                    fund                                          Critical
                                                                            Infrastructure
                                                                            and Key Assets
    0.0             Bureau of       Operations and                 58Total        64$587.0           60 0.0          610.0         70$503.0
                    Industry and    administration
                    Security
                    International   Operations and                       1     0Protecting            0 0.0           05.0             05.0
                    Trade           administration                                Critical
                    Administration                                          Infrastructure
                    Securities and                                          and Key Assets
                    Exchange
                    Commission
    5.0             National        Scientific and                 21Total           160.0          17 $5.0         59$5.0           63$5.0
                    Institute of    technical research
                    Standards and   and services
                    Technology
                    National        Operations,                          9     9Protecting           6 90.4         1482.8           1978.3
                    Oceanic and     research, and                                 Critical
                    Atmospheric     facilities                              Infrastructure
                    Administration                                          and Key Assets
                    Smithsonian
                    Institution
    86.6                            Procurement,                   10Total          2$90.4         21 $82.8        14$78.3          12$75.0
                                    acquisition, and
                                    construction
    Department of   U.S. Patent and Salaries and                         2      0Emergency            0 0.0           00.0             00.3
    Commerce        Trademark       expenses                                  Preparedness
                    Office Social                                             and Response
                    Security
                    Administration
    Department of   Departmental    Office of the              0Protecting          0121.0          0 132.0         1142.1           1155.0
    Education 0.7   Management      Inspector General             Critical
                                                        Infrastructure and
                                                                Key Assets
                                    Office for Civil                  00.0            00.0            1 1.0           33.7             24.2
                                    Rights Domestic
                                    Counterterrorism
                    Total           Program                        0$132.0         6$143.4         6 $159.4       15$177.5               15
                                    administration
                                    $121.0
                    Student         Federal direct                    07.0            08.0            0 8.0           38.0             08.7
                    Financial       student loan
                    Assistance      program account
                                    Protecting
                                    Critical
                                    Infrastructure and
                                    Key Assets
                    Total           Student aid                      0$8.0           0$8.0           1 $8.0          3$8.7                5
                                    administration$7.0
    Department of   Departmental    Departmental                         0              31               26             26               35
    Energy          Administration  administration
    13,576.2        Energy Programs Energy supply                017,566.1       019,285.7                0             25      12Emergency
                    17,030.0        15,931.5                                                                               Preparedness and
                                                                                                                                   Response
    6,145.4         6,003.0         Federal Energy                26,121.9               1                1    1Protecting         19,944.1
                                    Regulatory                                                                    Critical
                                    Commission 5,765.6                                                      Infrastructure
                                                                                                            and Key Assets
    12,281.7        14,940.2        Science 15,632.5                    50              49      47 Domestic      673,557.8        693,031.8
                                                                                           Counterterrorism
    3,944.7         Environmental   Defense                            208    265Defending          0 570.7       02,629.5         02,974.9
                    and Other       environmental                                  Against
                    Defense         restoration and                           Catastrophic
                    Activities      waste management                               Threats
                    4,468.8
    3,898.3                         Defense site        54Intelligence and         55114.7        295 211.2       263242.3         287349.9
                                    acceleration                   Warning
                                    completion
                                    Other defense                 107258.6         93118.3          159 9.6       136 49.8         143104.5
                                    activities Other
                    National        Defense nuclear             0$42,447.9     84$40,834.7      0 $46,015.6     8$49,943.7               63
                    Nuclear         nonproliferation
                    Security        $32,882.8
                    Administration
                    Total
    Notes: Gross    Percentages may Weapons activities     789bDHS was not     819Overseas 820 Prior to the  1,020Table 6:  1,039Dollars in
    budget          not add to 100  aExcludes amounts    established until       Combating     September 11   Gross Budget         millions
    authority       percent because in fiscal years      fiscal year 2003.       Terrorism   attacks, OMB's  Authority for
    includes        of rounding.    2004 ($0.9            Fiscal year 2002                 annual report to       Overseas
    offsetting                      billion) and 2005   data shown for DHS                      Congress on      Combating
    collections                     ($2.5 billion) for  represents funding                        combating   Terrorism-by
    from fee-funded                 DHS's Project      for agency programs                   terrorism made     Summarized
    activities.                     BioShield.         and activities that                   no distinction         Agency
                                                           eventually were                 between domestic
                                                        transferred to the                     and overseas
                                                           new department.                        combating
                                                                                            terrorism. With
                                                                                            the development
                                                                                            of policies and
                                                                                             definitions to
                                                                                                support the
                                                                                           newer concept of
                                                                                                   homeland
                                                                                           security and the
                                                                                            creation of the
                                                                                              Department of
                                                                                                   Homeland
                                                                                                  Security,
                                                                                                  "overseas
                                                                                                  combating
                                                                                                 terrorism"
                                                                                            became the term
                                                                                           used to describe
                                                                                           those activities
                                                                                                 associated
                                                                                             primarily with
                                                                                              securing U.S.
                                                                                              embassies and
                                                                                                   military
                                                                                                 facilities
                                                                                               overseas and
                                                                                                       some
                                                                                               intelligence
                                                                                            efforts. Tables
                                                                                               6 and 7 show
                                                                                                funding for
                                                                                                   overseas
                                                                                                  combating
                                                                                                  terrorism
                                                                                            activities. For
                                                                                               fiscal years
                                                                                             2002 and 2003,
                                                                                              these amounts
                                                                                                    reflect
                                                                                               estimates of
                                                                                               gross budget
                                                                                             authority that
                                                                                                   agencies
                                                                                              attributed to
                                                                                                   overseas
                                                                                                  combating
                                                                                                  terrorism
                                                                                             activities and
                                                                                           reported to OMB.
                                                                                                   OMB then
                                                                                               reviewed and
                                                                                            validated these
                                                                                              amounts-along
                                                                                               with funding
                                                                                            associated with
                                                                                                   homeland
                                                                                                   security
                                                                                             activities-and
                                                                                             published them
                                                                                              in its annual
                                                                                                  report on
                                                                                                  combating
                                                                                                 terrorism.
                                                                                               However, the
                                                                                                   Homeland
                                                                                            Security Act of
                                                                                              2002 required
                                                                                                  that only
                                                                                            funding related
                                                                                                to homeland
                                                                                                   security
                                                                                              activities be
                                                                                           reported.5 Thus,
                                                                                                  while OMB
                                                                                               continues to
                                                                                                    collect
                                                                                             information on
                                                                                                    funding
                                                                                            associated with
                                                                                                   overseas
                                                                                                  combating
                                                                                                  terrorism
                                                                                             activities, it
                                                                                              reported that
                                                                                               the overseas
                                                                                                  combating
                                                                                             terrorism data
                                                                                           for fiscal years
                                                                                               2004 through
                                                                                              2006 have not
                                                                                           been reviewed or
                                                                                            validated. As a
                                                                                                result, the
                                                                                                   overseas
                                                                                                  combating
                                                                                             terrorism data
                                                                                           for fiscal years
                                                                                              2004-2006 did
                                                                                            not receive the
                                                                                              same level of
                                                                                            scrutiny as the
                                                                                                   homeland
                                                                                             security data.
                                                                                           Nevertheless, on
                                                                                               the basis of
                                                                                               funding data
                                                                                                   agencies
                                                                                              attributed to
                                                                                                   overseas
                                                                                                  combating
                                                                                            terrorism, most
                                                                                            of that funding
                                                                                            was provided to
                                                                                                       DOD.
                    Power Marketing Bonneville Power                     7              10               11      11FY 2002               11
                    Administration  Administration
                                    fund
                    FY 2004         Construction,                        3   2Gross budget     4 Percent of              5    4Gross budget
                                    rehabilitation,                              authority            total                       authority
                                    operation and
                                    maintenance,
                                    Western Area Power
                                    Administration
    Department of   Departmental    General                          1,515 2,287Department      2,114 9,012        2,17079            2,308
    Health and      Management      departmental                                of Defense
    Human Services  Gross budget    management Percent
                    authority       of total
    71              Administration  Children and                       171               1  1 Department of           1316               13
                    for Children    families services                                                Energy
                    and Families    programs 8,255
    Department of   Centers for     Disease control,                 16255             202               20        21Other          212,137
    Health and      Disease Control research, and                                                                 agencies
    Human Services  and Prevention  training
    253             2
                    Centers for     Federal hospital                    26         103,116            11 27              8           9Total
                    Medicare and    insurance trust
                    Medicaid        fund 27
                    Services 3,248
    100             Food and Drug   Salaries and                    164100             165      183 $11,626         223100              253
                    Administration  expenses $12,129
                    Health          Health resources                     1   1Estimated FY                1  1Requested FY                1
                    Resources and   and services                                      2005                            2006
                    Services
                    Administration
                    Indian Health   Indian Health                       15  13Gross budget    13 Percent of             17 17Average annual
                    Services Gross  Services Percent                             authority            total                percentagechange
                    budget          of total                                                                                      2002-2005
                    authority
    7,358           National        National                      1617,861         1,63367            1,703     1,774-6.54            1,781
                    Institutes of   Institutes of
                    Health 67       Health
    3               Program Support HHS service and                    143              14          14 1.46             14          163,375
                    Center          supply fund 373
    Department of   Management and  Salaries and                         1          216.45                2       2$11,063             2100
    Housing and     Administration  expenses 30
    Urban           3,511
    Development
    Department of   Bureau of       Salaries and                       365             359  352 Source: GAO      351Notes:   370Percentages
    Justice $11,745 Alcohol,        expenses                                                    analysis of   Gross budget   may not add to
                    Tobacco,                                                                 agency data as      authority      100 percent
                    Firearms and                                                                reported in       includes       because of
                    Explosives 100                                                                OMB's MAX     offsetting        rounding.
                                                                                                  database.    collections
                                                                                                                      from
                                                                                                                fee-funded
                                                                                                               activities.
    Table 7: Gross  Drug            Salaries and                        24       40FY 2002               22      22FY 2003               22
    Budget          Enforcement     expenses
    Authority for   Administration
    Overseas        Dollars in
    Combating       millions
    Terrorism-by
    Agency
                    Federal Bureau  Salaries and         1,158Requested FY           1,397            1,253          1,736       2,099Gross
                    of              expenses                          2006                                                 budget authority
                    Investigation
                    Estimated FY
                    2005
                    Gross budget    Construction                         0   0Gross budget     0 Percent of              3    4Gross budget
                    authority       Percent of total                             authority            total                       authority
                    Gross budget    Foreign terrorist      0Average annual              62 61 Department of         09,012              079
                    authority       tracking task        percentage change                          Defense
                                    force Percent of             2002-2005
                                    total
    8,628           Federal Prison  Salaries and                   328,255            3571               37        387,358             3967
                    System 71       expenses
    Department of   General         Salaries and                        18 20Department of           14 316            253               35
    Justice 7,861   Administration  expenses -6.54                                  Energy
                    67
    2                               Administrative                      52              13           15 330            153               16
                                    review and appeals
                                    255
    3               1.46            Counterterrorism        5Department of         211,547             0 13              0           01,560
                                    fund                             State
                    1,677           Justice                             18         251,728            24 16             25          842,078
                                    information
                                    sharing technology
                                    14
    Department of   General         Narrowband                         840             640              102            992             1290
    Justice 3.76    Administration  communications
                                    Executive Office
                                    of the President
    2               0               Office of                           02              40                3             30               30
                                    Inspector General
                    Legal           Salaries and                       190              35            35 56            380               42
                    Activities and  expenses, General
                    U.S. Marshals   Legal Activities
                    Intelligence    19
                    Community
                    Management
                    Account
    0                               Salaries and                       721              78            78 82            991          8667.94
                                    expenses, United
                                    States Attorneys
                                    90
    International   571             Salaries and                        44         721,630            64 13             74          851,419
    Assistance                      expenses, United
    Programs                        States Marshals
                                    Service 5
                    Office of       Community oriented                   3         781,351            88 12        9939.65                0
                    Justice         policing services
                    Programs 1,555  14
    $11,465         100             Justice assistance           46$12,129           46100               30      39$11,626            90100
    $11,063         100             State and local             251$11,745            0100                3             13     0Source: GAO
                                    law enforcement                                                                             analysis of
                                    assistance                                                                               agency data as
                                                                                                                                reported in
                                                                                                                                  OMB's MAX
                                                                                                                                  database.
    Department of   Departmental    Salaries and            45The National           27 o                13   15 o  Border               11
    Labor           Management      expenses Appendix         Strategy for    Intelligence                             and
    Percentages may                 II: The National     Homeland Security     and warning                  transportation
    not add to 100                  Strategy for        sets out a plan to    involves the                        security
    percent because                 Homeland             improve combating identification,                  emphasizes the
    of rounding.                    Security's                   terrorism     collection,                   efficient and
                                    Critical Mission          domestically   analysis, and                   reliable flow
                                    Areas Appendix II:         through the distribution of                      of people,
                                    The National           cooperation and    intelligence                      goods, and
                                    Strategy for             partnering of     information                        material
                                    Homeland               federal, state, appropriate for                  across borders
                                    Security's          local, and private   preempting or                           while
                                    Critical Mission                sector    preventing a                       deterring
                                    Areas              organizations on an       terrorist                       terrorist
                                                       array of functions.         attack.                       activity.
                                                              The strategy
                                                           organizes these
                                                        functions into six
                                                          critical mission
                                                                    areas:
                    o  Protecting   Office of the           1 o  Defending               0  0  o  Emergency              0                0
                    critical        Inspector General              against                 preparedness and
                    infrastructure                            catastrophic                         response
                    and key assets                      threats emphasizes                       highlights
                    stresses                                the detection,                           damage
                    securing the                           deterrence, and                 minimization and
                    nation's                                 mitigation of                    recovery from
                    interconnecting                       terrorist use of                        terrorist
                    sectors and                            weapons of mass                         attacks.
                    important                                 destruction.
                    facilities,
                    sites, and
                    structures.
    Appendix III:   As part of our  Working capital        0In response to 4Section 889 of  15 In addition,     18Finally,  14Despite these
    Reporting       work, we        fund Enacted on          section 889's    the Homeland      section 889 section 889 of     changes, OMB
    Changes as a    examined the    November 25, 2002,  changes, OMB began    Security Act    required that   the Homeland     staff report
    Result of the   statutory       the Homeland          showing homeland   also required   OMB include in   Security Act     still facing
    Homeland        changes in      Security Act of       security funding  OMB to include  the President's        of 2002    challenges in
    Security Act of requirements    2002 established    data by agency, by the most recent annual budget an    accelerated         tracking
    2002 and        for reporting   the Department of  budget function, by risk assessment  estimate of the   the timeline       activities
    Challenges OMB  combating       Homeland Security      account, and by  and summary of        user fees  for reporting       related to
    Reports         terrorism       and, among other       each of the six        homeland collected by the   funding data        combating
    Continuing to   activities that things, changed       critical mission  security needs          federal   by requiring        terrorism
    Face Appendix   occurred as the OMB's requirements   areas established         in each    government to  OMB to report funding data and
    III: Reporting  result of the   for reporting          in the National initiative area      help offset   funding data     ensuring the
    Changes as a    passage of the  funding data              Strategy for          in the expenses related         in the  transparency of
    Result of the   Homeland        related to           Homeland Security     President's      to homeland    President's  related funding
    Homeland        Security Act of combating            in the Analytical annual budget.7         security  budget, which  data. OMB staff
    Security Act of 2002.1 This     terrorism.2        Perspectives of the     OMB's prior activities, such        must be    said that the
    2002 and        appendix        Section 889 of the  President's fiscal       reporting           as the   submitted to  creation of DHS
    Challenges OMB  provides        Homeland Security    year 2005 budget.    requirements   Transportation    Congress by  helped minimize
    Reports         additional      Act of 2002          OMB also included   required that         Security      the first the difficulties
    Continuing to   background on   repealed the NDAA            narrative   OMB report on Administration's      Monday in     they face in
    Face            the act, as     reporting              descriptions of     the amounts        passenger     February.8     ensuring the
                    well as the     requirements in       major activities     expended by   security fees,      Under its  transparency of
                    challenges OMB  favor of new                   and the       executive  which are added       previous  related funding
                    continues to    reporting             administration's     agencies on       to airline      reporting         data and
                    face in         requirements. In    priorities in this       combating      passengers'   requirement,         tracking
                    tracking        particular,             section of the       terrorism ticket costs. To        OMB was       activities
                    combating       section 889                 Analytical  activities, as        meet this    required to       related to
                    terrorism       required the          Perspectives. To     well as the requirement, OMB        issue a        combating
                    activities and  President's budget     present funding        specific included a table       separate terrorism, since
                    ensuring the    to include an        data for homeland    programs and  for users' fees    stand-alone  the creation of
                    transparency of analysis of        security activities  activities for         by major      report on  DHS resulted in
                    related funding "homeland security by critical mission     which funds    cabinet-level      combating approximately 60
                    data.           funding," which it  area, OMB included  were expended,       department   terrorism to       percent of
                                    defined by            a table for each   while section   displaying the    Congress by         homeland
                                    reference to OMB's    critical mission  889 explicitly   related budget     March 1 of security funding
                                    2002 report as         area displaying mandates a risk authority in the each year. OMB     being merged
                                    activities to         budget authority  assessment and       Analytical  complied with into funding for
                                    detect, deter,      for 3 fiscal years      summary of     Perspectives        the new    one agency at
                                    protect against,          (prior year,  resource needs that accompanied   timeline for     the time DHS
                                    and if needed,       current year, and         in each  the President's     the fiscal           became
                                    respond to                 budget year      initiative     fiscal years years 2005 and     operational.
                                    terrorist attacks            request). area. According    2005 and 2006           2006  Although OMB is
                                    occurring within                         to OMB staff,         budgets.    President's        no longer
                                    the United States.                        OMB does not                         budget.      required to
                                    OMB's definition                              have the                                        report on
                                    of homeland                               expertise or                                     funding data
                                    security                                  the staff to                                       related to
                                    activities                                     conduct                                         overseas
                                    included                                 separate risk                                        combating
                                    activities that                           assessments,                                        terrorism
                                    the agency had not                       and it relies                                  activities, OMB
                                    previously treated                         on the risk                                  staff said that
                                    as combating                            assessments of                                      many of the
                                    terrorism. Under                       each individual                                     difficulties
                                    section 889, OMB                             agency to                                     cited in our
                                    is required to                         determine areas                                      2002 report
                                    report only on                         of high risk in                                  still apply and
                                    funding for                              order to meet                                   that they will
                                    homeland security                                 this                                      most likely
                                    by agency, budget                         requirement.                                      always face
                                    function (i.e.,                                                                                   these
                                    functions that                                                                         challenges.9 For
                                    cover 17 areas of                                                                          example, OMB
                                    the government                                                                           staff reported
                                    such as                                                                                   that they are
                                    agriculture and                                                                        still challenged
                                    health),3 and                                                                              by the large
                                    initiative areas.4                                                                            number of
                                    OMB staff said                                                                                 agencies
                                    that although they                                                                          involved in
                                    do not report on                                                                              combating
                                    funding related to                                                                            terrorism
                                    overseas combating                                                                       activities. To
                                    terrorism data,                                                                                  obtain
                                    they still collect                                                                          information
                                    it as part of the                                                                             needed to
                                    annual budget.                                                                              fulfill its
                                    Because there is                                                                              reporting
                                    no longer a                                                                                requirements
                                    requirement to                                                                               related to
                                    report on overseas                                                                        funding data,
                                    combating                                                                                    OMB has to
                                    terrorism funding                                                                      interact with 32
                                    data, OMB staff                                                                          other agencies
                                    said that they are                                                                     and the District
                                    not reviewing the                                                                      of Columbia that
                                    information that                                                                                   have
                                    agencies provide                                                                       responsibilities
                                    to them.5 In                                                                                  to combat
                                    addition, the                                                                              terrorism in
                                    definition of                                                                          addition to DHS.
                                    overseas combating                                                                       OMB staff also
                                    terrorism                                                                                  said that it
                                    activities in OMB                                                                           will always
                                    Circular No. A-11                                                                               require
                                    has not changed                                                                             significant
                                    since 2003. As a                                                                              effort to
                                    result, OMB staff                                                                      identify funding
                                    said that data on                                                                         for combating
                                    overseas combating                                                                            terrorism
                                    terrorism funding                                                                           activities,
                                    data are not                                                                                 since such
                                    necessarily valid                                                                      funding is often
                                    and could be                                                                                subsumed in
                                    misleading.6                                                                            budget accounts
                                                                                                                               that provide
                                                                                                                                funding for
                                                                                                                                      other
                                                                                                                             activities. In
                                                                                                                              addition, OMB
                                                                                                                                 staff also
                                                                                                                           stated that they
                                                                                                                            were challenged
                                                                                                                                in tracking
                                                                                                                            funding related
                                                                                                                               to combating
                                                                                                                           terrorism, given
                                                                                                                           the wide variety
                                                                                                                                of missions
                                                                                                                               represented,
                                                                                                                                  including
                                                                                                                              intelligence,
                                                                                                                           law enforcement,
                                                                                                                           health services,
                                                                                                                                        and
                                                                                                                              environmental
                                                                                                                             protection, as
                                                                                                                                well as the
                                                                                                                           global nature of
                                                                                                                               missions for
                                                                                                                                  combating
                                                                                                                                 terrorism.
                                                                                                                               However, OMB
                                                                                                                              staff told us
                                                                                                                             that they have
                                                                                                                                     worked
                                                                                                                              diligently to
                                                                                                                                   identify
                                                                                                                                   homeland
                                                                                                                                   security
                                                                                                                              activities by
                                                                                                                                 monitoring
                                                                                                                             agency reviews
                                                                                                                                of homeland
                                                                                                                                   security
                                                                                                                               spending and
                                                                                                                              developing an
                                                                                                                            annual crosscut
                                                                                                                              review, which
                                                                                                                                 identifies
                                                                                                                              projects with
                                                                                                                              common themes
                                                                                                                                     across
                                                                                                                                agencies.10
    Appendix IV: A  Bureau of Labor Salaries and                         7               9                8              9                9
    Summary of      Statistics      expenses The
    Selected        Hundreds of     activities
    Accounts with   budget accounts included in all 34
    Combating       include         of the accounts
    Terrorism       activities      that we reviewed
    Activities      related to      were consistent
    Appendix IV: A  combating       with OMB's
    Summary of      terrorism. The  definitions of
    Selected        following       homeland security
    Accounts with   summarizes 15   and overseas
    Combating       of the 34       combating
    Terrorism       accounts we     terrorism as
    Activities      reviewed. The   defined in OMB
                    funding levels  Circular No.
                    shown in these  A-11.2
                    accounts
                    represent the
                    portion of the
                    account that
                    supports
                    combating
                    terrorism
                    efforts by
                    critical
                    mission area as
                    reflected in
                    OMB's Homeland
                    Security and
                    Overseas
                    Combating
                    Terrorism
                    database that
                    supports the
                    President's
                    fiscal year
                    2006 budget
                    request.1 Our
                    summaries also
                    include
                    descriptions of
                    the combating
                    terrorism
                    activities
                    within these
                    accounts as
                    well as the
                    agencies'
                    estimates of
                    budget
                    authority that
                    relate to these
                    combating
                    terrorism
                    activities. For
                    purposes of
                    this appendix,
                    we selected one
                    account to
                    display for the
                    Department of
                    Energy, General
                    Services
                    Administration,
                    and the United
                    States Army
                    Corps of
                    Engineers. We
                    also selected
                    to display one
                    account for
                    each component
                    office that we
                    contacted at
                    the Departments
                    of Agriculture,
                    Homeland
                    Security, and
                    Justice-the
                    Animal and
                    Plant Health
                    Inspection
                    Service (APHIS)
                    and the
                    Agricultural
                    Research
                    Service (ARS)
                    within the
                    Department of
                    Agriculture
                    (USDA); Customs
                    and Border
                    Protection
                    (CBP),
                    Immigration and
                    Customs
                    Enforcement
                    (ICE), the
                    Information
                    Analysis and
                    Infrastructure
                    Protection
                    Directorate
                    (IAIP), the
                    Office of State
                    and Local
                    Government
                    Coordination
                    and
                    Preparedness
                    (SLGCP), the
                    Transportation
                    Security
                    Administration
                    (TSA), the
                    United States
                    Coast Guard
                    (USCG), the
                    United States
                    Secret Service
                    (USSS), and the
                    Science and
                    Technology
                    Directorate of
                    DHS; and the
                    Bureau of
                    Alcohol,
                    Tobacco,
                    Firearms and
                    Explosives
                    (ATF), and the
                    Federal Bureau
                    of
                    Investigation
                    (FBI) of the
                    Department of
                    Justice.
                    Employee        Salaries and                 Combating               1                1              0                0
                    benefits        expenses           Terrorism0Combating
                    security                            TerrorismCombating
                    administration                      TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                        TerrorismCombating
                                                                 Terrorism
                    Employment      Salaries and                         5               8                6              6                4
                    Standards       expenses
                    Administration
                    Employment and  Program                              8               3                0              2                2
                    Training        administration
                    Administration
                    Employment and  State unemployment                   0               8                0              0                0
                    Training        insurance and
                    Administration  employment service
                                    operations
                    Mine Safety and Salaries and                         3               2                2              1                1
                    Health          expenses
                    Administration
    Department of   Occupational    Salaries and                         4               4                5              2                2
    Labor           Safety and      expenses
                    Health
                    Administration
                    Pension Benefit Pension benefit                      5               4                3              3                4
                    Guaranty        guaranty
                    Corporation     corporation fund
    Department of   Administration  Capital investment                   0               0                0              0                3
    State           of Foreign      fund
                    Affairs
                                    Centralized                          0               0                0              3                0
                                    information
                                    technology
                                    modernization
                                    program
                                    Diplomatic and                     452             634              682            806              923
                                    consular programs
                                    Educational and                      0               0                0              0                2
                                    cultural exchange
                                    programs
                    Other           International                       25               0               15             15               10
                                    narcotics control
                                    and law
                                    enforcement
    Department of   Office of the   Salaries and                         2               7               13              9                9
    Transportation  Secretary       expenses
                    Federal         Facilities and                     393             236               86             60               63
                    Aviation        equipment (Airport
                    Administration  and airway trust
                                    fund)
                                    Grants-in-aid for                  175               0                0              0                0
                                    airports (Airport
                                    and airway trust
                                    fund)
                                    Operations                         463              94              145            111              118
                                    Research,                          103               0                0              0                0
                                    engineering, and
                                    development
                                    (airport and
                                    airway trust fund)
                                    Trust fund share                   200               0                0              0                0
                                    of FAA operations
                    Federal Motor   Border enforcement                  19               0                0              0                0
                    Carrier Safety  program
                    Administration
                    Federal         Safety and                           6               1                1              1                1
                    Railroad        operations
                    Administration
                    Federal Transit Administrative                       1               1                1              1                1
                    Administration  expenses
                                    Capital investment                   1               2                2              0                0
                                    grants
    Department of   Federal Transit Formula grants                      51              34               34              0                0
    Transportation  Administration
                                    Transit planning                     2               5                1              0                0
                                    and research
                    Pipeline and    Research and                         3               2                2              0                0
                    Hazardous       special programs
                    Materials
                    Safety
                    Administration
                    Saint Lawrence  Operations and                       1               0                0              0                0
                    Seaway          maintenance
                    Development
                    Corporation
    Department of   Departmental    General                              2               4                5              7                8
    Veterans        Administration  administration
    Affairs
                    Benefits        Burial                               0               1                1              1                1
                    Programs        administration
                                    Disability                           0               3                4              4                5
                                    compensation
                                    administration
                                    Disability                           1               0                0              0                0
                                    compensation
                                    benefits
                                    Education                            0               0                1              1                1
                                    administration
                                    Housing program                      0               1                1              2                2
                                    account
                                    Pensions                             0               1                1              1                1
                                    administration
                                    Vocational                           0               0                1              1                1
                                    rehabilitation and
                                    employment
                                    administration
                    Medical         Medical                              0               0              243            243              250
                    Programs        administration
                                    Medical facilities                   0               0                0              4               15
                                    Medical services                    46             144               15             17               16
    Department of   Departmental    Salaries and                         8               1                0              1                1
    the Interior    Management      expenses
                    Bureau of Land  Management of                        1               1                0              0                0
                    Management      lands and
                                    resources
                    Bureau of       Water and related                   33              25               23             26               18
                    Reclamation     resources
                    National Park   Construction and                    22               6               24              0                0
                    Service         major maintenance
                                    Operation of the                    14               7               13             14               14
                                    national park
                                    system
    Department of   National Park   United States Park                  27              13               20             21               22
    the Interior    Service         Police
                    United States   Resource                             1               0                0              0                0
                    Fish and        management
                    Wildlife
                    Service
                    United States   Surveys,                             2               1                2              3                2
                    Geological      investigations,
                    Survey          and research
    Department of   Departmental    Salaries and                        10              11               11             13               17
    the Treasury    Offices         expenses
                                    Departmentwide                       4               5                5              5                6
                                    systems and
                                    capital
                                    investments
                                    programs
                                    Treasury Inspector                   4               3                5              5                5
                                    General for Tax
                                    Administration
                    Financial       Salaries and                         4               6                9             15               17
                    Crimes          expenses
                    Enforcement
                    Network
                    Financial       Salaries and                         9               9               10             11               12
                    Management      expenses
                    Service
                    Internal        Information                         29               8                0              0                0
                    Revenue Service systems
                                    Processing,                         21              15                0              0                0
                                    assistance, and
                                    management
                                    Tax administration                  35              23               51             53               54
                                    and operations
    Corporation for Corporation for Domestic volunteer                  11               8               13              9                7
    National and    National and    service programs,
    Community       Community       operating expenses
    Service         Service
    Corporation for Corporation for National and                        18               9               10              8               13
    National and    National and    community service
    Community       Community       programs,
    Service         Service         operating expenses
    Corps of        Corps of        Flood control,                       0               1                0              0                0
    Engineers-Civil Engineers-Civil Mississippi River
    Works           Works           and tributaries,
                                    Arkansas,
                                    Illinois,
                                    Kentucky,
                                    Louisiana,
                                    Mississippi,
                                    Missouri, and
                                    Tennessee
    Corps of        Corps of        Operation and                      139              74              102             89               72
    Engineers-Civil Engineers-Civil maintenance
    Works           Works
    District of     District of     Federal payment                    213              15               11             15               15
    Columbia        Columbia        for emergency
                    General and     planning and
                    Special         security cost in
                    Payments        the District of
                                    Columbia
                                    Federal support                      0              10                8              0                0
                                    for economic
                                    development and
                                    management reforms
                                    in the District
    Environmental   Environmental   Buildings and                        0              11               11             11               12
    Protection      Protection      facilities
    Agency          Agency
                                    Environmental                       42               8               20             21               23
                                    programs and
                                    management
                                    Hazardous                           45              89               43             37               51
                                    substance
                                    superfund
                                    Science and                         95              21               52             33               94
                                    technology
                                    State and tribal                     5               5                5              5                5
                                    assistance grants
    Executive       Executive       Office of National                   0               0                0              0                1
    Office of the   Office of the   Drug Control
    President       President       Policy
                                    Office of Science                    0               0                1              1                0
                                    and Technology
                                    Policy
                                    The White House                    140              41               34             29               21
    Federal         Federal         Salaries and                         0               1                1              2                4
    Communications  Communications  expenses
    Commission      Commission
    General         General         Operating expenses                   4               2                2              2                3
    Services        Activities
    Administration
                                    Governmentwide                       0               4                4              4                4
                                    policy
                    Real Property   Federal buildings                   93              61               73             59               73
                    Activities      fund
    Intelligence    Intelligence    Intelligence                         0               0                1             72               56
    Community       Community       Community
    Management      Management      Management Account
    Account         Account
    National        National        Exploration                          0               0              119            130              113
    Aeronautics and Aeronautics and capabilities
    Space           Space
    Administration  Administration
                                    Human space flight                 150             122                0              0                0
                                    Science,                            73              83                0              0                0
                                    Aeronautics, and
                                    Technology
                                    Science,                             0               0               88             88               92
                                    aeronautics, and
                                    exploration
    National        National        Operating expenses                   9              10               16             17               20
    Archives and    Archives and
    Records         Records
    Administration  Administration
                                    Repairs and                          1               0                0              0                0
                                    restoration
    National        National        Salaries and                         1               0                0              0                0
    Capital         Capital         expenses
    Planning        Planning
    Commission      Commission
    National        National        Salaries and                         0               2                3              2                5
    Science         Science         expenses
    Foundation      Foundation
                                    Education and                       30              12               16             14               10
                                    human resources
                                    Research and                       229             271              321            326              329
                                    related activities
    Nuclear         Nuclear         Salaries and                        43              47               67             59               61
    Regulatory      Regulatory      expenses
    Commission      Commission
    Office of       Office of       Salaries and                         2               3                3              3                4
    Personnel       Personnel       expenses
    Management      Management
    Postal Service  Postal Service  Payment to Postal                  587               0                0            503                0
                                    Service fund
    Securities and  Securities and  Salaries and                         0               5                5              5                5
    Exchange        Exchange        expenses
    Commission      Commission
    Smithsonian     Smithsonian     Salaries and                        60              61               48             50               52
    Institution     Institution     expenses
                                    Construction, JFK                    5               1                5              1                0
                                    Center for the
                                    Performing Arts
                                    Facilities capital                   2               0                2              0               11
    Smithsonian     Smithsonian     Operations and                       7               3                4              4                4
    Institution     Institution     maintenance, JFK
                                    Center for the
                                    Performing Arts
                                    Salaries and                        17              18               19             20               20
                                    expenses, National
                                    Gallery of Art
    Social Security Social Security Office of the                        0               0                1              4                4
    Administration  Administration  Inspector General
                                    Limitation on                      121             132              142            156              173
                                    administrative
                                    expenses
    United States   United States   Holocaust Memorial                   7               8                8              8                9
    Holocaust       Holocaust       Museum
    Memorial Museum Memorial Museum
    Total                                                          $32,884         $42,449          $40,837        $46,015          $49,942

      Dollars        $22,923.4 $24,886.6 $27,332.3            Total              $23,063.5
           in
     millions
      Dollars
           in
     millions
      Dollars
           in
     millions
      Dollars
           in
     millions
      Dollars
           in
     millions
      Dollars
           in
     millions
      Dollars
           in
     millions
    $17,380.2
    Bureau    Account Account  FY 2002FY FY 2003FY FY 2004aFY   Estimated FY  Requested FY
    Bureau    Account Account     2002FY    2003FY    2004aFY 2005aEstimated 2006Requested
    Bureau    Account Account     2002FY    2003FY    2004aFY             FY            FY
    Bureau    Account             2002FY    2003FY    2004aFY 2005aEstimated 2006Requested
    Bureau    Emergency           2002FY    2003FY    2004aFY             FY            FY
    Bureau    Preparedness and    2002FY    2003FY    2004aFY 2005aEstimated 2006Requested
    Bureau    Response         2002242.0 2003213.0 2004a333.5             FY            FY
                                                              2005aEstimated 2006Requested
                                                                          FY            FY
                                                              2005aEstimated 2006Requested
                                                                          FY            FY
                                                              2005aEstimated 2006Requested
                                                               FY 2005a469.0  FY 2006651.4
    Department of Homeland Securityb
              Border and        11,770.0  16,028.2   15,032.4       16,576.4      18,207.2
              Transportation
              Security
              Emergency          2,099.4   3,256.0    3,049.0        2,655.8       2,725.8
              Preparedness and
              Response
              Protecting         1,163.7   1,990.0    2,128.3        2,585.9       2,820.0
              Critical
              Infrastructure
              and Key Assets
              Domestic           1,994.4   1,184.3    1,703.7        1,867.0       2,008.8
              Counterterrorism
              Defending            147.0     491.0      774.0          936.1       1,212.1
              Against
              Catastrophic
              Threats
              Intelligence and     102.7      86.4      236.0          226.4         262.4
              Warning
              Other                103.0      27.6        0.0           39.0          96.0
    Department of Defense
              Protecting         4,784.0   8,124.0    6,543.8        7,916.9       8,700.8
              Critical
              Infrastructure
              and Key Assets
              Defending            133.0     105.0      146.8          178.2         158.9
              Against
              Catastrophic
              Threats
              Other                  0.0       0.0        0.0            6.0           2.4
              Total             $5,159.0  $8,442.0   $7,024.1       $8,570.1      $9,513.5
    Department of Agriculture
              Border and            92.7     143.2      147.9          163.1         164.2
              Transportation
              Security
              Emergency             47.0      50.8       57.3           57.2          70.9
              Preparedness and
              Response
              Protecting           412.3      60.5       36.8          150.6         129.3
              Critical
              Infrastructure
              and Key Assets
              Defending              0.0     154.6      168.2          222.7         317.1
              Against
              Catastrophic
              Threats
              Intelligence and       0.6       0.8        0.8            6.3          22.3
              Warning
              Total               $552.6    $409.9     $411.0         $599.9        $703.8
    Department of Commerce
              Emergency             17.5      15.2       32.2           32.5          35.7
              Preparedness and
              Response
              Protecting            40.6      32.5       32.4           60.9          62.9
              Critical
              Infrastructure
              and Key Assets
              Defending             57.5      63.9       60.0           73.4          84.7
              Against
              Catastrophic
              Threats
              Total               $115.6    $111.6     $124.6         $166.8        $183.3
    Department of Education
              Emergency              0.0       0.7        0.3            0.3           0.6
              Preparedness and
              Response
              Protecting             0.0       5.0        7.7           23.4          22.2
              Critical
              Infrastructure
              and Key Assets
              Total                  0.0      $5.7       $8.0          $23.7         $22.8
    Department of Energy
              Emergency            116.3     120.9      107.6           98.4         122.1
              Preparedness and
              Response
              Protecting         1,088.9   1,203.4    1,256.3        1,456.1       1,481.0
              Critical
              Infrastructure
              and Key Assets
              Defending              0.0      84.0        0.0            7.5          62.8
              Against
              Catastrophic
              Threats
              Other                 15.0       0.0        0.0            0.0           0.0
              Total             $1,220.2  $1,408.3   $1,363.9       $1,562.0      $1,665.9
    Department of Health and Human Services
              Emergency          1,515.4   2,297.8    2,145.4        2,160.4       2,264.8
              Preparedness and
              Response
              Protecting           206.9     182.3      162.8          168.4         170.3
              Critical
              Infrastructure
              and Key Assets
              Defending            192.4   1,664.4    1,754.1        1,901.9       1,971.5
              Against
              Catastrophic
              Threats
              Total             $1,914.7  $4,144.5   $4,062.3       $4,230.7      $4,406.6
    Department of Housing and Urban Development
              Emergency              0.0       0.0        1.7            2.0           1.9
              Preparedness and
              Response
              Protecting             1.0       1.6        0.0            0.0           0.0
              Critical
              Infrastructure
              and Key Assets
              Total                 $1.0      $1.6       $1.7           $2.0          $1.9
    Department of Justice
              Border and            14.1      25.4       20.1           34.5          20.8
              Transportation
              Security
              Emergency            259.2      11.0       97.4          111.0          10.2
              Preparedness and
              Response
              Protecting           337.2     354.8      411.7          455.8         566.1
              Critical
              Infrastructure
              and Key Assets
              Domestic           1,507.4   1,805.9    1,620.8        1,999.1       2,372.8
              Counterterrorism
              Defending             16.1      30.7       28.6           33.5          43.0
              Against
              Catastrophic
              Threats
              Intelligence and       9.2     121.7        2.0           44.2          90.9
              Warning
              Total             $2,143.2  $2,349.5   $2,180.6       $2,678.1      $3,103.8
    Department of Labor
              Emergency              5.4       5.3        6.3            6.9           7.7
              Preparedness and
              Response
              Protecting            71.8      64.3       46.4           49.3          40.4
              Critical
              Infrastructure
              and Key Assets
              Total                $77.2     $69.6      $52.7          $56.2         $48.1
    Department of State
              Border and           451.0     591.8      663.9          778.2         878.4
              Transportation
              Security
              Emergency              1.0       8.0        1.0            6.8          19.6
              Preparedness and
              Response
              Protecting            13.8      34.3       31.6           39.2          40.2
              Critical
              Infrastructure
              and Key Assets
              Defending             11.0       0.0        0.0            0.0           0.0
              Against
              Catastrophic
              Threats
              Total               $476.8    $634.1     $696.5         $824.2        $938.2
    Department of Transportation
              Border and         1,240.4     241.4       67.2           13.9          15.1
              Transportation
              Security
              Emergency             18.7      12.4       15.2           10.8          13.2
              Preparedness and
              Response
              Protecting           136.3     128.1      180.1          137.0         141.2
              Critical
              Infrastructure
              and Key Assets
              Domestic              19.0       1.0       21.0           20.0          22.0
              Counterterrorism
              Defending              4.7       0.0        0.0            0.0           0.0
              Against
              Catastrophic
              Threats
              Total             $1,419.1    $382.9     $283.5         $181.7        $191.5
    Department of Veterans Affairs
              Emergency             19.2      54.3       32.1           37.6          36.6
              Preparedness and
              Response
              Protecting            29.8     100.0      239.2          242.8         262.3
              Critical
              Infrastructure
              and Key Assets
              Total                $49.0    $154.3     $271.3         $280.4        $298.9
    Department of the Interior
              Emergency              3.5       3.6        1.6            4.0           4.0
              Preparedness and
              Response
              Protecting           103.7      51.1       81.4           61.1          53.3
              Critical
              Infrastructure
              and Key Assets
              Total               $107.2     $54.7      $83.0          $65.1         $57.3
    Department of the Treasury
              Border and             8.0       0.0        0.0            0.0           0.0
              Transportation
              Security
              Emergency             36.4      15.1       30.7           34.5          37.3
              Preparedness and
              Response
              Protecting            33.1      21.9       12.0           11.5          11.7
              Critical
              Infrastructure
              and Key Assets
              Domestic              37.0      40.6       45.2           54.9          61.0
              Counterterrorism
              Intelligence and       2.2       2.3        2.5            0.6           0.6
              Warning
              Total               $116.7     $79.9      $90.4         $101.5        $110.6
    Corporation for National and Community Service
              Emergency             29.0      16.3       22.8           17.0          20.4
              Preparedness and
              Response
              Total                $29.0     $16.3      $22.8          $17.0         $20.4
    Corps of Engineers-Civil Works
              Emergency             39.0       0.0        0.0            1.0           1.0
              Preparedness and
              Response
              Protecting           100.0      75.0      101.5           88.0          71.0
              Critical
              Infrastructure
              and Key Assets
              Total               $139.0     $75.0     $101.5          $89.0         $72.0
    District of Columbia
              Emergency            187.0      25.0       19.0           15.0          15.0
              Preparedness and
              Response
              Protecting            26.0       0.0        0.0            0.0           0.0
              Critical
              Infrastructure
              and Key Assets
              Total               $213.0     $25.0      $19.0          $15.0         $15.0
    Environmental Protection Agency
              Emergency             42.5      38.0       41.5           35.6          68.7
              Preparedness and
              Response
              Protecting           144.3      45.3       89.0           70.0         114.0
              Critical
              Infrastructure
              and Key Assets
              Other                  0.6      49.7        0.6            1.3           1.7
              Total               $187.4    $133.0     $131.1         $106.9        $184.4
    Executive Office of the President
              Emergency              0.0       0.0        2.0            2.0           3.2
              Preparedness and
              Response
              Protecting             0.0       0.0       24.0           24.0          14.8
              Critical
              Infrastructure
              and Key Assets
              Other                140.0      41.0        9.0            3.5           4.4
              Total               $140.0     $41.0      $35.0          $29.5         $22.4
    Federal Communications Commission
              Emergency              0.0       0.0        1.0            1.6           3.5
              Preparedness and
              Response
              Protecting             0.0       1.0        0.0            0.0           0.0
              Critical
              Infrastructure
              and Key Assets
              Total                  0.0      $1.0       $1.0           $1.6          $3.5
    General Services Administration
              Emergency              0.9       1.8        2.0            2.4           2.6
              Preparedness and
              Response
              Protecting            96.5      65.3       76.9           62.8          77.1
              Critical
              Infrastructure
              and Key Assets
              Total                $97.4     $67.1      $78.9          $65.2         $79.7
    Intelligence Community Management Account
              Intelligence and       0.0       0.0        1.0           72.4          55.8
              Warning
              Total                  0.0       0.0       $1.0          $72.4         $55.8
    National Aeronautics and Space Administration
              Protecting           223.0     205.0      207.0          218.0         205.0
              Critical
              Infrastructure
              and Key Assets
              Total               $223.0    $205.0     $207.0         $218.0        $205.0
                                                 Gross budget authority
    Agency    Mission Area       FY 2002   FY 2003   FY 2004a   Estimated FY  Requested FY
                                                                       2005a          2006

    Gross budget authority Gross budget authority Gross budget authority Gross
             budget authority Gross budget authority Gross budget authority Gross
                                                                 budget authority

    Agency Agency Agency Agency Agency Agency Agency

    Source: GAO analysis of OMB data.

    Note: Gross budget authority includes offsetting collections from
    fee-funded activities.

    aExcludes amounts in fiscal years 2004 ($0.9 billion) and 2005 ($2.5
    billion) for DHS's Project BioShield.

    bDHS was not established until fiscal year 2003. Fiscal year 2002 data
    shown for DHS represents funding for agency programs and activities that
    eventually were transferred to the new department.

    Trends in the Six Critical Mission Areas of Homeland Security

    OMB first started reporting information by the six critical mission areas
    in its 2003 Report to Congress on Combating Terrorism. See appendix I for
    definitions of each of the critical mission areas laid out in the National
    Strategy for Homeland Security. As shown in table 4, the distribution of
    funding across the six critical mission areas has been fairly consistent
    during this period.

    Table 4: Gross Budget Authority by Homeland Security Mission Area

    Dollars in millions
                          FY 2002        FY 2003  FY 2004 Estimated FY 2005           Requested
                                                                                       FY 2006
                         Gross Percent      Gross Percent     Gross Percent     Gross   Percent      Gross Percent
                        budget             budget            budget            budget               budget
                     authority          authority         authority         authority            authority
    Border and        13,576.2      41   17,030.0      40  15,931.5      39  17,566.1        38   19,285.7      39
    Transportation
    Security
    Protecting         9,944.1      30   13,281.7      31  12,281.7      30  14,940.2        32   15,632.5      31
    Critical
    Infrastructure
    and Key Assets
    Emergency          4,860.7      15    6,145.4      15   6,003.0      15   5,765.6        13    6,121.9      12
    Preparedness and
    Response
    Domestic           3,557.8      11    3,031.8       7   3,391.7       8   3,944.7         9    4,468.8       9
    Counterterrorism
    Defending            570.7       2    2,629.5       6   2,974.9       7   3,399.3         7    3,898.3       8
    Against
    Catastrophic
    Threats
    Intelligence and     114.7       0      211.2       0     242.3       1     349.9         1      432.0       1
    Warning
    Other                258.6       1      118.3       0       9.6       0      49.8         0      104.5       0
    Total            $32,882.8     100  $42,447.9     100 $40,834.7     100 $46,015.6       100  $49,943.7     100

    Source: GAO analysis of OMB data.

    Notes: Gross budget authority includes offsetting collections from fee
    funded activities.

    Percentages may not add to 100 percent because of rounding.

    Table 5 shows which agencies are responsible for activities covered under
    the six mission areas. According to OMB data, the greatest share of
    funding between fiscal years 2002 and 2005 has been associated with border
    and transportation security, followed by funding for protecting critical
    infrastructure and key assets. According to OMB data shown in table 4,
    border and transportation security activities'-almost all of which are
    located in DHS-received between 38 and 41 percent annually of total
    funding. In fiscal year 2006, the President proposed funding totaling
    $19.3 billion for these activities, of which $18.2 billion is for
    activities in DHS. Nearly a third of all homeland security spending for
    this period has been labeled as protecting critical infrastructure and key
    assets. For fiscal years 2002 through 2005, DOD generally has received 50
    percent or more annually for activities in this critical mission area. DHS
    and HHS activities are the primary recipients of funding for activities
    associated with emergency preparedness and response.

    Table 5: Gross Budget Authority by Agency and Homeland Security Mission
    Area

                                                                              0.0

                                                                             19.1

                                                                              0.0

                                                                            317.2

                                                    Nuclear Regulatory Commission

                                                                            Total

                                Protecting Critical Infrastructure and Key Assets

                                                                             $2.6

                                                                              0.0

                                                                            503.0

                                                                              0.0

                                                                              5.0

                                                                             $5.0

                                                                             75.0

                                                                            $86.6

                                                                              0.7

                                                                            172.6

                                          United States Holocaust Memorial Museum

                                                                            Total

                                               Border and Transportation Security

                                                                          4,860.7

                                                                         13,281.7

                                                                          3,391.7

                                                                          3,399.3

                                                                            432.0

                                                Source: GAO analysis of OMB data.

                                                                          FY 2003

                                                                 Percent of total

                                                                            8,628

                                                                               19

                                                                          $11,465

                                                                              330

                                                                               31

           As shown in table 7, funding for the Administration's oversight of the
              nation's intelligence programs grew at an average annual rate of 68
          percent between fiscal years 2002 and 2005, according to agency data as
          reported in OMB's MAX database. The second fastest growing category was
        for international assistance programs, with an average annual growth rate
         of 40 percent for the period under review. The latter primarily supports
                foreign governments' efforts to combat terrorism and increase law
              enforcement capability. In contrast to the DOD funding increase for
                 homeland security activities shown in table 1, DOD's funding for
    activities defined as overseas combating terrorism has declined an average
                                 of 7 percent between fiscal years 2002 and 2005.

                                                                          FY 2004

                                                                 Percent of total

                                                                 Percent of total

                                                                              253

                                                                              373

                                                                               13

                                                                               18

                                                                                0

                                                                               18

                                                                               12

                                                                            Total

               Notes: Gross budget authority includes offsetting collections from
                                                           fee-funded activities.

               o  Domestic counterterrorism focuses on law enforcement efforts to
          identify, halt, prevent, and prosecute terrorists in the United States.

    Department of Homeland Security: Information Analysis and Infrastructure
    Protection
    Critical Mission Area: Intelligence and Warning
    Assessment and Evaluation Account (024-90-0911)
    The Assessment and Evaluation account provides  funding for threat
    analysis associated with collecting and fusing law enforcement,
    intelligence, and other information to evaluate terrorist threats to the
    homeland.
    Component activities:

          o  Infrastructure Vulnerability and Risk Assessment includes efforts to
          provide analytic tools to promote communication, coordination,
          collaboration, and cooperation to analyze intelligence information with
          the Intelligence Community; law enforcement agencies; state, local, and
          tribal authorities; the private sector; and other critical stakeholders
          regarding existing threats to the homeland.
          o  Homeland Security Operations Center (HSOC) serves as the nation's
          center for information sharing and domestic incident management. The
          HSOC collects and fuses intelligence information from a variety of
          sources every day to help deter, detect, and prevent terrorist acts.
          Operating 24 hours a day, 7 days a week, the HSOC is tasked with
          providing real-time situational awareness and monitoring of the
          homeland, and coordinates incidents and response activities.
          o  Analysis and Studies includes efforts by IAIP personnel to develop
          threat databases, participate in exercises and crisis simulations, and
          prepare products on threats. It also includes funding for an
          independent evaluation of IAIP's risk assessment methodology.
          o  Threat Determination and Assessment includes efforts by IAIP
          personnel to develop terrorist threat situational awareness, (i.e., the
          analytical capability required to develop and integrate timely,
          actionable, and valuable information based on analysis of terrorist
          threat intelligence information and infrastructure vulnerability
          assessments).
          o  Biosurveillance includes efforts by IAIP personnel to integrate
          biosurveillance data from other federal agencies such as the Centers
          for Disease Control with threat information. These activities are
          conducted to help IAIP become better positioned to provide information
          to decision makers and others to aid in the response to threats and
          incidents.
          o  Other Activities include fiscal year 2004 activities that were
          restructured for the fiscal years 2005 and 2006 budget request. For
          instance, in fiscal year 2004, activities to conduct risk assessments
          were included under the activity, risk assessment division; whereas,
          for the fiscal year 2006 budget request, these activities are now
          included in analysis and studies and threat determination and
          assessment as discussed above.
                      Gross budget authority (dollars in millions)
                                          FY 2004enacted      FY 2005     FY 2006
                                                             estimate     request
    IAIP Assessment and
    Evaluation (024-90-0911)
    Infrastructure Vulnerability                  0.0         71.1        74.4
    and Risk Assessment
    Homeland Security Operations                  0.0         35.0        52.1
    Center
    Analysis and Studies                          0.0         18.4        34.5
    Threat Determination and                      0.0         21.9        19.9
    Assessment
    Biosurveillance                               0.0         11.0        11.2
    Other Activities                            145.9          0.0         0.0
    Total                                      $145.9       $157.4      $192.1

    Combating TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating TerrorismCombating TerrorismCombating
    TerrorismCombating Terrorism

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Intelligence and Warning.

    Department of Homeland Security: Border and Transportation Security
    Critical Mission Area: Border and Transportation Security
    Customs and Border Protection, Salaries and Expenses Account (024-50-0530)
    The Salaries and Expenses account provides funding for Customs and Border
    Protection personnel efforts to enforce laws relating to border security,
    immigration, customs, and agricultural inspections and regulatory
    activities related to plant and animal imports; acquisition, lease,
    maintenance and operation of aircraft; purchase and lease of police-type
    vehicles; and contracting with individuals for personal services abroad.
    Component activities:

          o  Enforcement funds activities related to CBP personnel's efforts to
          identify, investigate, apprehend, and remove criminal aliens;  maintain
          and update systems to track criminal and illegal aliens on the border
          in areas with high apprehensions to deter illegal entry; repair,
          maintain, and construct border facilities; and collect fines levied
          against aliens for failure to depart the United States after being
          ordered to do so.
          o  Border Protection funds activities by CBP personnel to enforce
          various provisions of law that govern entry and presence in the United
          States, including detecting and preventing terrorists and terrorists'
          weapons from entering the United States, seizing illegal drugs and
          other contraband, determining the admissibility of people and goods,
          apprehending people who attempt to enter the country illegally,
          protecting our agricultural interests from harmful pests and diseases,
          collecting duties and fees, and regulating and facilitating
          international trade.
          o  Small Airport Facilities includes the collection of user fees by CBP
          personnel generated from inspection services that are provided to
          participating small airports, including the airports located at
          Lebanon, New Hampshire, Pontiac/Oakland, Michigan, and other small
          airports designated by the Department of Treasury based on the volume
          or value of business cleared through the airport from which commercial
          or private aircraft arrive from a place outside the United States.
                      Gross budget authority (dollars in millions)
                                FY2004enacted    FY 2005estimate   FY 2006request
    CBP Salaries and
    Expenses Account
    (024-50-0530)
    Enforcement                    2,179.0            2,283.0          2,377.0
    Border Protection              1,388.0            1,459.0          1,519.0
    Small Airports                     5.0                5.0              5.0
    Total                         $3,572.0           $3,747.0         $3,901.0

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the discretionary
    portion of the account that supports combating terrorism efforts for the
    critical mission area Border and Transportation Security. CBP determined
    that 67 percent of its discretionary funding relates to combating
    terrorism efforts.

    Department of Homeland Security: Transportation Security Administration
    Critical Mission Area: Border and Transportation Security
    Discretionary Fee Funded, Salaries and Expenses Account (024-50-0550)
    The Discretionary Fee Funded, Salaries and Expenses account provides
    funding for TSA personnel's efforts to provide security services for civil
    aviation. This account is funded through collections from passenger
    security and air carrier fees (see descriptions below). These fees offset
    TSA's appropriated funds as the fees are collected, thereby reducing the
    general fund contribution. TSA received authority to collect such fees
    under the Aviation and Transportation Security Act.
    Component activities:

          o  Aviation Security includes  collections from passenger security and
          air carrier fees. The passenger fee is added to each airline
          passenger's ticket purchase and the air carrier fee is paid directly by
          air carriers. TSA receives its full aviation security appropriation,
          and these fees offset the appropriated funds as the fees are collected,
          thereby reducing the general fund contribution for TSA personnel's
          efforts to provide security services for civil aviation such as
          passenger and baggage screening, and establishing Federal air marshals
          on various commercial flights.
          o  Aviation Security Fee Proposal: In the fiscal year 2006 budget
          request, the President proposed to increase the air passenger security
          fee by $3.00, raising the fee on a typical flight to $5.50. For
          passengers traveling multiple legs on a one-way trip, the President
          proposed a maximum fee of $8.00. The budget states that such fee
          increases will allow TSA to almost fully recover the costs of federal
          airport screening operations, a subset of aviation security activities.
                      Gross budget authority (dollars in millions)
                                 FY 2004enacted   FY 2005estimate  FY 2006request
    TSA Discretionary Fee
    Funded, Salaries and
    Expenses Account

    (024-50-0550)
    Aviation Security                1,884.0           2,330.0         2,410.0
    Aviation Security Fee                0.0               0.0         1,479.0
    Proposal
    Total                           $1,884.0          $2,330.0        $3,889.0

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Border and Transportation Security.

    Department of Homeland Security: United States Coast Guard
    Critical Mission Area: Border and Transportation Security
    Operating Expenses Account (024-60-0610)a
    The Operating Expenses account provides funding for USCG personnel to
    prevent terrorism by enforcing laws and securing U.S. borders while
    protecting the public from acts of terrorism.
    Component activities:

          o  Ports, Waterways, and Coastal Security includes efforts by USCG to
          conduct harbor patrols, vulnerabilities assessments, and intelligence
          gathering and analysis to prevent terrorist attacks and minimize the
          damage from any attacks that could occur. It also includes USCG's
          efforts to escort and conduct security boardings of any vessel that may
          pose a substantial security risk to U.S. ports because of the
          composition of its crew, passengers, or cargo.
          o  Drug Interdiction includes efforts by USCG personnel to interdict
          illegal drug shipments by apprehending smugglers at sea attempting to
          import illegal drugs into the United States and halting the destructive
          influence of drug consumption by disrupting the drug supply and
          preventing potential funding sources for terrorism.
          o  Migrant Interdiction includes efforts by USCG personnel to maintain
          a presence in migrant departure, and to prohibit or deter people who
          attempt to enter the United States illegally via maritime routes.
          o  Defense Readiness includes efforts by USCG personnel to deploy
          cutters and other boats in and around harbors to protect the Department
          of Defense during military operations and meet requirements within the
          national strategy for homeland security and the national security
          strategy.
          o  Other Law Enforcement protects U.S. fishing grounds, and therefore
          the nation's economic security, by keeping out those who mean to do
          harm and ensuring that foreign fisherman do not illegally harvest U.S.
          fish stocks.
                      Gross budget authority (dollars in millions)
                                  FY 2004enacted  FY 2005estimate  FY 2006request
    US Coast Guard Operating
    Expenses Account
    (024-60-0610)
    Ports, Waterways, and             1,264.9          1,495.6         1,576.2
    Coastal Security
    Drug Interdiction                   586.8            655.7           720.3
    Migrant Interdiction                145.7            168.7           181.0
    Defense Readiness                   166.1             93.6            99.1
    Other Law Enforcement                66.0             45.9            48.3
    Total                           $2,229.5b        $2,459.5c        $2,624.9

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Border and Transportation Security.

    bSum includes the USCG's fiscal year 2004 supplementals for these
    activities totaling $90.6 million.

    cSum includes the USCG's fiscal year 2005 supplementals for these
    activities totaling $15.8 million.

    Department of Homeland Security: Border and Transportation Security
    Critical Mission Area: Domestic Counterterrorism
    Immigration and Customs Enforcement, Salaries and Expenses Account
    (024-50-0540)
    The Salaries and Expenses account provides funding for Immigration and
    Customs Enforcement personnel to conduct investigations to ensure
    enforcement of immigration laws.
    Component activities:

          o  Investigations: Immigration and Customs Enforcement personnel
          conduct investigations to uncover and eliminate vulnerabilities that
          terrorists and other criminals exploit to harm our nation's citizens,
          national security, and the economy through an array of investigative
          processes in the area of smuggling, finance, and national security.
          Through these investigations, Immigration and Customs Enforcement
          personnel work to identify the people, materials, and funding essential
          to sustaining terrorist threats and criminal enterprises, and to
          disrupt and dismantle those operations.
                      Gross budget authority (dollars in millions)
                               FY 2004enacted    FY 2005estimate   FY 2006request
    ICE Salaries and
    Expenses Account
    (024-50-0540)
    Investigations                   868.0            1,146.0          1,236.0
    Total                           $868.0           $1,146.0         $1,236.0

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Domestic Counterterrorism.

    Department of Justice: Bureau of Alcohol, Tobacco, Firearms and Explosives
    Critical Mission Area: Domestic Counterterrorism
    Salaries and Expenses Account (011-14-0700)a
    The Salaries and Expenses account provides funding for the Bureau of
    Alcohol, Tobacco, Firearms and Explosives' personnel to deter and
    investigate violations of laws relating to firearms, explosives, arson,
    and alcohol and tobacco diversion.
    Component activities:

          o  Firearms includes efforts by ATF personnel to counter firearms
          violence, including acts of terrorism, through enforcement of the
          federal firearms laws, regulation of the firearms industry, and
          participation in outreach efforts to leverage partnerships with
          federal, state, local, and foreign law enforcement in the fight against
          terrorism.
          o  Arson and Explosives includes efforts by ATF personnel to enforce
          federal explosives and arson laws, as well as the regulation of the
          explosives industry and training through innovation to protect the
          public from terrorists' use of explosives and acts of arson.
          o  Alcohol and Tobacco includes ongoing efforts by ATF personnel to
          reduce the rising trend of illegal diversion of tobacco products that
          may provide financial support to the causes of terrorist groups.
          o  Reduce Violent Crime includes efforts by ATF personnel to deny
          terrorists access to firearms, explosives, and explosive materials,
          such as the participation of ATF agents in various terrorism task
          forces.
          o  Protect the Public includes efforts by ATF personnel to safeguard
          the public from arson and explosives incidents.
                      Gross budget authority (dollars in millions)
                                        FY 2004enacted       FY 2005      FY 2006
                                                            estimate      request
    ATF Salaries and Expenses
    (011-14-0700)
    Firearms                                    0.0         266.7        280.5
    Arson and Explosives                        0.0          72.7         76.5
    Alcohol and Tobacco                         0.0           6.9          7.3
    Reduce Violent Crime                      322.5           0.0          0.0
    Protect the Public                         28.5           0.0          0.0
    Total                                    $351.0        $346.3       $364.3

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Domestic Counterterrorism.

    Department of Justice: Federal Bureau of Investigation
    Critical Mission Area: Domestic Counterterrrorism
    Salaries and Expenses Account (011-10-0200)a
    The Salaries and Expenses account provides funding for efforts for FBI
    personnel to detect, investigate, and prosecute crimes by terrorists
    against the United States.
    Component activities:

          o  Counterterrorism Field Investigations includes efforts by the FBI to
          lead investigations in countering the threat of terrorism and
          preventing violent acts by terrorists.
          o  Equipment/Technology includes efforts by FBI personnel to provide
          engineering services, technical support, and equipment to FBI field
          offices; and to conduct research and development to adapt technology
          for use against criminals and terrorists.
          o  Counterterrorism Headquarters Coordination includes activities by
          FBI program managers in directing and guiding field investigators by
          managing investigations and providing training in the latest terrorism
          investigation techniques and methods.
          o  Terrorist Screening Center funds multi-agency efforts, including
          components of the Departments of Homeland Security, Justice, and State,
          to maintain a consolidated watch list of known or suspected terrorists.
          o  Miscellaneous Activities include a range of activities such as those
          provided under the Critical Incident Response Group (CIRG). CIRG
          responds to crimes which pose great dangers and require skills that are
          not routinely available in law enforcement agencies. For example, CIRG
          provides trained, experienced negotiators, crisis managers, and
          tactical and aviation personnel to assist law enforcement agencies. A
          portion of these activities are considered related to counterterrorism
          investigations.
                      Gross budget authority (dollars in millions)
                                          FY 2004enacted      FY 2005     FY 2006
                                                             estimate     request
    FBI Salaries and Expenses
    (011-10-0200)
    Counter Terrorism Field                     475.3        639.3       813.6
    Investigations
    Equipment/Technology                        159.7        186.2       185.6
    Counter Terrorism Headquarters              79.2b        153.6       162.9
    Coordination
    Terrorist Screening Center                    0.0         29.0       104.0
    Miscellaneous Activities                    288.2        389.9       471.9
    Total                                    $1,002.4     $1,398.0    $1,738.0

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Domestic Counterterrorism.

    bSum includes the FBI's fiscal year 2004 supplemental for these activities
    totaling $12.3 million.

    Department of Homeland Security: United States Secret Service
    Critical Mission Area: Protecting Critical Infrastructure and Key Assets
    Operating Expenses Account (024-40-0400)a
    The Operating Expenses account provides funding to support efforts of U.S.
    Secret Service personnel in providing protective services and conducting
    investigations. Protective Services provide for the protection of the
    President of the United States, immediate family members, the
    President-elect, the Vice President, or other officer next in order of
    succession to the Office of the President, and the Vice President-elect
    and the members of their immediate families, a visiting head of state and
    accompanying spouse, of a foreign state or foreign government.
    Investigative Services provide for investigation of counterfeiting of
    currency and securities; forgery and altering of government checks and
    bonds; thefts and frauds relating to Treasury electronic funds transfers;
    financial access device fraud, telecommunications fraud, computer and
    telemarketing fraud; fraud relative to federally insured financial
    institutions; and other criminal and noncriminal cases.
    Component activities:

          o  Domestic Protection of Persons includes activities  conducted by
          Secret Service officials  to  protect the President of the United
          States, the President-elect, the Vice President, or other officer next
          in order of succession to the Office of the President, and the Vice
          President-elect and the members of their immediate families, former
          Presidents, their spouses and children under the age of 16, visiting
          heads of foreign states or governments; and major presidential, vice
          presidential candidates and their spouses. It also includes efforts
          conducted by Secret Service officials to plan, coordinate, and
          implement security operations at National Special Security Events, such
          as Republican and Democratic National Conventions.
          o  Financial and Infrastructure Investigations includes activities by
          Secret Service officials to protect the nation's financial and monetary
          systems, and critical infrastructure that supports those systems, such
          as the development of tools to combat cyber terrorism.
          o  Domestic Protection of Government Buildings includes activities
          conducted by Secret Service officials to protect critical
          infrastructure and key assets by providing a security perimeter and
          building security at the White House/Treasury complex, the foreign
          diplomatic community located within the Washington metropolitan area,
          and at other Secret Service-secured sites.
                      Gross budget authority (dollars in millions)
                                      FY 2004enacted    FY 2005   FY 2006 request
                                                       estimate
    Operating Expenses Account
    (024-40-0400)
    Domestic Protection of                  773.0      792.0             797.2
    Persons
    Financial and                           215.3      232.5             248.0
    Infrastructure
    Investigations
    Domestic Protection of                    6.5        6.6               6.7
    Government Buildings
    Total                                  $994.8   $1,031.1          $1,051.9

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Protecting Critical Infrastructure and Key Assets.

    Department of Energy: National Nuclear Security Administration
    Critical Mission Area: Protecting Critical Infrastructure and Key Assets
    Weapons Activities Account (019-05-0240)a
    The Weapons Activities account provide for the maintenance and
    refurbishment of nuclear weapons to sustain confidence in their safety,
    reliability, and performance; expansion of scientific, engineering, and
    manufacturing capabilities to enable certification of the enduring nuclear
    weapons stockpile; and manufacture of nuclear weapon components under a
    comprehensive test ban. The weapons activities account also provides for
    continuous maintenance and investment in DOE's enterprise of nuclear
    stewardship, including maintaining the capability to return to the design
    and production of new weapons and to underground nuclear testing, if so
    directed by the President.
    Component activities:

          o  National Nuclear Security Administration (NNSA) Safeguards and
          Security ensures the protection of NNSA personnel, nuclear weapons,
          information, cyber infrastructure, and other materials at NNSA sites
          and facilities.
          o  NNSA Secure Transportation Asset provides for the transportation of
          nuclear weapons, special nuclear material, selected non-nuclear weapons
          components, limited-life components, and any other DOE materials to and
          from military locations, between nuclear weapons complex facilities,
          and to other government locations within the continental United States.
          o  NNSA Safety and Security Cybersecurity provides a foundation to
          facilitate detection of intrusions (hackers and other forms of
          attacks), and conduct vulnerability assessments and take corrective
          action at each NNSA site. It also includes actions to implement the
          Department of Energy's and NNSA's cybersecurity policies and practices,
          and continuously improve NNSA's network and computing systems. The
          costs of these activities also include personnel time and acquisition
          and maintenance of cybersecurity technology (hardware and software)
          needed to maintain NNSA's cybersecurity posture while addressing
          cybersecurity threats.
          o  National Nuclear Security Administration Safeguards and Security-HQ
          Research and Development aids in the efforts to enhance physical
          security at NNSA sites.
                      Gross budget authority (dollars in millions)
                                            FY 2004enacted     FY 2005    FY 2006
                                                              estimate    request
    National Nuclear Security
    Administration Weapons
    Activities (019-05-0240)
    NNSA Safeguards and Security                  472.5       615.5      628.7
    NNSA Secure Transportation                    159.8       199.7      212.1
    Asset
    NNSA Safety and Security                       80.0        99.3       77.8
    Cybersecurity
    NNSA Safeguards and                             0.0         7.2        2.0
    Security-HQ Research and
    Development
    Total                                        $712.3      $921.7     $920.6

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Protecting Critical Infrastructure and Key Assets.

    General Services Administration
    Critical Mission Area: Protecting Critical Infrastructure and Key Assets
    Federal Properties Activities/Fee Funded, Federal Buildings Fund Account
    (023-05-4542)a
    The Real Property Activities account provides funding for GSA personnel
    efforts to implement security measures at federal buildings.
    Component activities:

          o  New Construction includes efforts to implement security enhancements
          to newly constructed federal buildings such as implementing a
          structural design to ensure that support columns are sized, reinforced,
          and protected so that a terrorist event will not cause collapse;
          perimeter protection measures; and window systems design to mitigate
          the hazardous effects of flying glass following an explosive event.
          o  Major Repairs and Alterations includes efforts associated with major
          repairs and alteration projects (that is, requests for repairs and
          alterations greater than $2.41 million for fiscal year 2006, $2.36
          million in fiscal year 2005, and $2.3 million in fiscal year 2004) to
          implement security measures to modify federal buildings for security
          enhancements such as installing bollards.
          o  Building Operations includes studies conducted to determine the need
          for retrofitting federal facilities against threats that will cause
          building columns or structures to be critically damaged and collapse.
          o  Minor Repairs and Alterations includes efforts associated with minor
          repair and alteration projects (that is, those requests costing less
          than $2.41 million for fiscal year 2006, $2.36 million in fiscal year
          2005, and $2.3 million in fiscal year 2004) to implement security
          measures to modify federal buildings for security enhancements such as
          installing bollards.
                      Gross budget authority (dollars in millions)
                                          FY 2004enacted      FY 2005     FY 2006
                                                             estimate     request
    Federal Properties
    Activities/Fee Funded,

    Federal Buildings Fund
    (023-05-4542)
    New Construction                             27.0         30.6        26.8
    Major Repairs and                            21.1          4.8        20.9
    Alterations
    Building Operations                          19.2         19.2        19.2
    Minor Repairs and                             5.5          4.0         6.0
    Alterations
    Total                                       $72.8        $58.6       $72.9

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Protecting Critical Infrastructure and Key Assets.

    .

    United States Army Corps of Engineers Civil Works
    Critical Mission Area: Protecting Critical Infrastructure and Key Assets
    Operation and Maintenance Account (202-00-3132)a
    The Civil Works/Operation and Maintenance account provides funding for
    U.S. Army Corps of Engineer personnel to prepare for emergencies and
    secure infrastructure owned and operated by, or on behalf of, the United
    States Army Corps of Engineers, including administrative buildings,
    facilities, and labs.
    Component activities:

          o  Continuity of Operations funds USACE preparedness planning,
          including exercises related to USACE emergency relocation as a result
          of either a natural or a man-made disaster.
          o  Critical Project Security provides funds for physical security
          upgrades such as fences and cameras; guards hired to control access to
          critical project assets such as hydropower generators; and protection
          of administrative facilities and laboratories.
                      Gross budget authority (dollars in millions)
                                           FY 2004enacted      FY 2005    FY 2006
                                                              estimate    request
    Civil Works/Operation and
    Maintenance, General
    (202-00-3132)
    Continuity of Operations                       0.0          1.0        1.0
    Critical Project Security                    101.5 88.0         71.0
    Total                                       $101.5        $89.0      $72.0

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Protecting Critical Infrastructure and Key Assets.

    Department of Agriculture: Agricultural Research Service
    Critical Mission Area: Defending against Catastrophic Threats
    Salaries and Expenses Account (005-18-1400)a
    The Salaries and Expenses account provides funding for Agricultural
    Research Service personnel to conduct research that helps counter
    agricultural bioterrorism including research that minimizes the risk of
    agriculture to contamination (chemical, biological, or genetic), helps
    ensure the security of the food supply, and allows Agricultural Research
    Service personnel to provide scientific knowledge and expertise in
    agriculture to support a response to a bioterrorism attack.
    Component activities:

    Research includes research activities conducted by Agricultural Research
    Service personnel to help protect the nation's animal and plant resources
    by preventing bioterrorism attacks on crops and animal agriculture or
    providing rapid responses to thwart such attacks, and developing rapid and
    accurate techniques to monitor the safety of the food supply.
                      Gross budget authority (dollars in millions)
                                           FY 2004enacted      FY 2005    FY 2006
                                                              estimate    request
    Agricultural Research
    Service, Salaries and
    Expenses (005-18-1400)
    Research                                      20.8         30.2       65.6
    Total                                        $20.8        $30.2      $65.6

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Defending against Catastrophic Threats.

    Department of Agriculture: The Animal and Plant Health Inspection Service
    Critical Mission Area: Defending against Catastrophic Attacks
    Salaries and Expenses Account (005-32-1600)a
    The Salaries and Expenses account provides funds for APHIS staff to
    safeguard U.S. plant and animal resources against the introduction of
    foreign diseases and pests before they cause significant economic or
    environmental damage.
    Component activities:

          o  Pest Detection/Animal Health Monitoring supports efforts by APHIS
          staff to track plant and animal disease agents that could be used in
          acts of bioterrorism.
          o  Overseas Activities supports efforts by APHIS staff to collect
          information on and track foreign pests and animal diseases.
                      Gross budget authority (dollars in millions)
                                        FY 2004enacted       FY 2005      FY 2006
                                                            estimate      request
    Salaries and Expenses
    (005-32-1600)
    Pest Detection/Animal                     139.5        184.62        232.8
    Health Monitoring
    Overseas Activities                         7.9          7.88         18.8
    Total                                    $147.4        $192.5       $251.6

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Defending against Catastrophic Threats.

    Department of Homeland Security: Science and Technology
    Critical Mission Area: Defending against Catastrophic Attacks
    Research, Development, Operations, and Acquisitions Account (024-80-0800)a
    The Research, Development, Operations, and Acquisitions account provides
    funds for Science and Technology personnel to conduct and stimulate
    research, development, test, evaluation, and the timely transition of
    domestic combating terrorism capabilities to federal, state, and local
    agencies.
    Component activities:

          o  Biological Countermeasures includes  research activities on early
          biowarning systems and their future implementation, as well as analysis
          and countermeasures of biological threats.
          o  Radiological and Nuclear Countermeasures includes activities
          associated with radiological detection research and implementation,
          analysis, and countermeasures of nuclear and radiological threats, and
          the development of systems that will help to coordinate consequence
          management and recovery.
          o  Research and Development Support to Department of Homeland Security
          Agencies includes coordination and collaboration research and
          development activities with the other components of the department to
          assist and enhance their technical capabilities.
          o  Man-Portable Air Defense Systems Countermeasures Special Program
          includes activities associated with the development of countermeasures
          to mitigate threats posed by shoulder-fired missiles directed toward
          commercial aircraft.
          o  Chemical Countermeasures includes a range of activities to address
          chemical defense, such as studies to prioritize efforts for mitigating
          threats among chemical threats and targets, and the development of new
          chemical detection and forensic technologies.
          o  Miscellaneous Activities includes a range of activities such as
          enhancing explosive detection equipment for aviation security,
          providing funding to the academic community to provide support for
          qualified students and faculty to conduct research and development, and
          supporting studies and analysis to be conducted by the Homeland
          Security Institute.
                      Gross budget authority (dollars in millions)
                                           FY 2004enacted     FY 2005     FY 2006
                                                             estimate     request
    Science and Technology
    Research, Development,
    Operations, and Acquisitions
    Account (024-80-0800)
    Biological Countermeasures                   286.5       397.7       362.3
    Radiological and Nuclear                     127.0       122.6       246.4
    Countermeasures
    Research and Development                      34.0        54.7       220.1
    Support to DHS Agencies
    Man-Portable Air Defense                      60.0        61.0       110.0
    Systems Countermeasures Special
    Programs
    Chemical Countermeasures                      52.0        53.0       102.0
    Additional Activities with                   214.5       247.2       171.3
    Fiscal Year 2006 requests of
    less than $100 million
    Total                                       $774.0      $936.2    $1,212.1

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Defending against Catastrophic Threats.

    Department of Homeland Security: State and Local Government Coordination
    and Preparedness
    Critical Mission Area: Emergency Preparedness and Response
    State and Local Programs Account (024-10-0560)a
    The State and Local Programs account provides funding for grants,
    training, exercises, and technical assistance to enhance the terrorism
    preparedness of first responders, including police, fire, rescue, and
    emergency response.
    Component activities:

          o  State Homeland Security Grants provide funding to support grants to
          states for domestic combating terrorism activities such as training,
          exercises, support costs, and Citizen Corps. Citizen Corps was created
          to help coordinate volunteer activities that will make our communities
          safer, stronger, and better prepared to respond to any emergency
          situation.
          o  High Threat Urban Area Grants provide funding to  support grants to
          states and localities for terrorism preparedness and infrastructure
          protection in high threat urban areas.
          o  National Exercise Programs provide funding to support the Top
          Officials Weapons of Mass Destruction Exercise and other federally
          administered terrorism exercises.
          o  Center for Domestic Preparedness provides funds to train state and
          local first responders to operate within a live agent hazardous
          environment.
          o  Miscellaneous Activities includes funding for a range of activities
          such as the storage of emergency equipment located at certain National
          Guard facilities and for emergency preparedness training through the
          National Domestic Preparedness Consortium (terrorism preparedness
          training centers).
                      Gross budget authority (dollars in millions)
                                      FY 2004enacted    FY 2005   FY 2006 request
                                                       estimate
    State and Local Programs
    Account (024-10-0560)
    State Homeland Security               1,729.0    1,115.0             870.0
    Grants
    High Threat Urban Area                  721.0      885.0             820.0
    Grants
    National Exercise Programs               46.0       59.0              59.0
    Center for Domestic                      55.0       55.0              50.0
    Preparedness
    Miscellaneous Activities                220.0      261.0              96.0
    Total                                $2,771.0   $2,375.0          $1,895.0

    Source: OMB's Homeland Security and Overseas Combating Terrorism Database.

    aThe funding levels shown in this account represent the portion of the
    account that supports combating terrorism efforts for the critical mission
    area Emergency Preparedness and Response.

    Appendix V: Scope and Methodology Appendix V: Scope and Methodology

    To identify the methods agencies use to determine the portion of their
    annual appropriation that relates to combating terrorism, we met with OMB
    officials to review OMB's efforts to define, categorize, and track
    homeland security and overseas combating terrorism funding both prior to
    and after the enactment of the Homeland Security Act. In addition, we met
    with 7 agencies, including 12 directorates, offices, or bureaus at those
    agencies that reported receiving funding for combating terrorism
    activities. The seven agencies we contacted are the Department of Homeland
    Security, the Department of Defense, the United States Army Corps of
    Engineers, the Department of Justice, the Department of Energy, the
    General Services Administration, and the United Stated Department of
    Agriculture.

    To reflect a range of funding levels, we selected these agencies from 33
    agencies and the District of Columbia that reported receiving funding
    related to combating terrorism activities to OMB. We selected DHS and DOD
    because they account for 73 percent of the gross budget authority enacted
    for homeland security activities for fiscal year 2005, and DOD and DOE
    because they account for 69 percent of the gross budget authority enacted
    for overseas combating terrorism activities for fiscal year 2005. 1 We
    also selected four agencies: two agencies from a list of those with the
    most fiscal year 2005 budget dollars related to combating terrorism
    activities-USDA and DOJ-and two agencies from a list of those with the
    least enacted budget authority related to combating terrorism
    activities-GSA and USACE-to ensure we included agencies in our review that
    had a range of combating terrorism funding. Because the selection we used
    was a nonprobability sample, the information we obtained from these 7
    agencies is not generalizable to all agencies with similar funding for
    combating terrorism activities. 2

    We used a random sample number generator to select USDA, DOJ, GSA, and
    USACE from the two categories we established, that is, agencies that were
    moderately funded and those that were minimally funded. We excluded DOD,
    DHS, and DOE when performing the random number generation, since we had
    already included them in our selection. (We also excluded the Postal
    Service because it did not estimate receiving any funding to combat
    terrorism activities in fiscal year 2006 and 10 other agencies that each
    received less than 0.1 percent of combating terrorism dollars-to ensure
    that our analysis included the more significant of the minimally funded
    agencies). 3

    Within the seven agencies, we selected directorates or offices that
    received the most funding for combating terrorism activities. These
    included the Animal and Plant Health Inspection Service and the
    Agricultural Research Service, within USDA; Customs and Border Protection,
    Immigration and Customs Enforcement, the Information Analysis and
    Infrastructure Protection Directorate, the Office of State and Local
    Government Coordination and Preparedness, the Transportation Security
    Administration, the United States Coast Guard, the United States Secret
    Service, and the Science and Technology Directorate of DHS; the Bureau of
    Alcohol, Tobacco, Firearms and Explosives; and the Federal Bureau of
    Investigation of DOJ.

    We also reviewed the activities contained in 34 budgetary
    accounts-separate financial reporting units for which all transactions
    within the budget are recorded-for these agencies designated as related to
    combating terrorism. We selected accounts with the most combating
    terrorism funding at each agency as well as some accounts with smaller
    amounts to ensure we covered a range of funding. On the basis of our
    selection, we reviewed at least 70 percent of each agency's estimated
    gross budget authority related to combating terrorism activities as
    reported in the President's fiscal year 2006 budget request. While we
    initially selected an additional 23 budgetary accounts to review at DOD,
    we did not review these accounts because DOD does not enter its combating
    terrorism activities-specific lines of work-into OMB's Homeland Security
    and Overseas Combating Terrorism database. Although OMB computed the
    portion of budget authority DOD receives to combat terrorism and aligned
    DOD's budget authority related to homeland security with the six critical
    mission areas, OMB staff said that they did not enter information on
    activities conducted by DOD to combat terrorism. Thus, we did not have any
    activity level-information to review for DOD for the accounts we selected.

    We interviewed agency officials at the seven agencies included in our
    review and OMB to determine how they identified, categorized, and tracked
    homeland security and overseas combating terrorism activities and
    estimated the portion of their budget authority that relates to such
    activities. To supplement interviews with agency budget officials, we also
    reviewed relevant budget documentation from each agency and asked agency
    budget officials to describe procedures the agency had in place to ensure
    that their funding levels were developed in accordance with OMB's
    guidelines and definitions.

    To identify the status of recommendations from our November 2002 report,
    we met with OMB and attempted to meet with National Security Council (NSC)
    officials to document what actions have been taken to implement our
    recommendations and the reasons they did or did not implement them. 4
    Additionally, we reviewed the National Strategy for Combating Terrorism,
    the National Strategy for Homeland Security, and the National Security
    Strategy of the United States and conducted a literature search to
    determine if any updates or supplements had been written that included
    governmentwide performance goals and measures. We also interviewed agency
    officials at the seven agencies included in our review and reviewed their
    performance plans to determine whether these plans included performance
    goals and measures that reflected their combating terrorism activities. To
    determine the status of recommendations made in our 2002 report regarding
    an analysis of duplication of effort related to combating terrorism
    activities in annual reporting on funding data associated with such
    activities and to report this information in a timely manner to support
    congressional budget decisions, we met with OMB to determine what actions
    have been taken to implement our recommendations and the reasons it did or
    did not implement them. We also reviewed the Analytical Perspectives
    accompanying the President's fiscal years 2005 and 2006 budgets to
    determine whether or not OMB included funding data information on
    combating terrorism and whether this information was issued in a timely
    manner.

    In addition to pursuing our two main objectives, we also identified
    funding patterns and trends for overseas combating terrorism activities
    and for homeland security activities between fiscal year 2002 and what is
    proposed for fiscal year 2006. We extracted, summarized, and analyzed
    combating terrorism data from the database used to prepare the Budget of
    the United States for fiscal years 2002 through 2006. To ensure that the
    database we received was consistent with published sources, we conducted
    electronic data testing and determined that the data was sufficiently
    reliable for our purposes.

    We also analyzed the effects of the Homeland Security Act of 2002 on
    reporting requirements for funding data related to combating terrorism
    activities since our 2002 report 5 by reviewing the act and comparing it
    with prior reporting requirements under the National Defense Authorization
    Act for Fiscal Year 1998 as amended by the National Defense Authorization
    Act for Fiscal Year 1999. 6 To supplement this information, we also
    reviewed OMB's 2003 Report to Congress on Combating Terrorism and the
    Analytical Perspectives of the President's budget from fiscal years 2005
    and 2006.

    We conducted our work from January 2005 through November 2005 in
    accordance with generally accepted government auditing standards.

    Appendix VI: Guidance Agencies Most Commonly Report Using to Identify
    Activities as Combating Terrorism Appendix VI: Guidance Agencies Most
    Commonly Report Using to Identify Activities as Combating Terrorism

    Officials at five of the seven agencies 1 we contacted-Department of
    Homeland Security, the Department of Justice, the Department of Energy,
    the General Services Administration, and the United Stated Department of
    Agriculture-most commonly reported using guidance from OMB, the Homeland
    Security Act of 2002, 2 and agency-specific guidance to identify their
    combating terrorism activities. Officials at all five of these agencies
    said they use OMB Circular No. A-11, which includes definitions for
    homeland security and overseas combating terrorism activities, and
    instructions for submitting information on funding data related to
    homeland security and overseas combating terrorism to OMB. 3 In addition,
    officials from four of the seven agencies in our review reported that they
    consulted with OMB to determine which of their agency's activities are
    related to combating terrorism.

    Three of the seven agencies we contacted-DHS, USDA, and the United States
    Army Corps of Engineers-have developed additional guidance, which provides
    details specific to each agency to help determine combating terrorism
    activities. For example, to supplement OMB Circular A-11 guidance, DHS
    established an internal directive, Planning, Programming, Budgeting and
    Execution, which helps establish policy, procedures, and responsibilities
    relative to the planning, programming, budgeting, and execution process at
    DHS. The objective of the directive is to articulate DHS's goals,
    objectives, and priorities while guiding the development of the
    department's budget request and establishing parameters and guidelines for
    implementing and executing the current budget.

    Furthermore, officials in four of DHS's components told us that they refer
    to information included in the Homeland Security Act of 2002 to determine
    which of their activities relate to homeland security. For example,
    section 888 of the Homeland Security Act designated 5 of the U.S. Coast
    Guard's 11 missions as homeland security and the remaining 6 as
    non-homeland security. 4 Similarly, Information Analysis and
    Infrastructure Protection (IAIP) officials at DHS stated that they
    categorized all of their activities as related to homeland security, since
    section 201 of the Homeland Security Act of 2002 only authorized IAIP to
    conduct activities related to homeland security.

    Appendix VII: Status of 2002 Recommendations Related to DuplicationEffort
    and Timely Reporting of Funding D Appendix VII: Status of 2002
    Recommendations Related to Duplication of Effort and Timely Reporting of
    Funding Data

    This appendix discusses the status of recommendations made in our 2002
    report for the Office of Management and Budget to (1) include an analysis
    of duplication of effort related to combating terrorism activities in its
    annual reporting of funding data associated with such activities and (2)
    report this information in a timely manner to support congressional budget
    decisions. 1

    To improve the usefulness of OMB's Annual Report to Congress on Combating
    Terrorism, we recommended that OMB include, as required by the National
    Defense Authorization Act for Fiscal Year 1998, an analysis of areas where
    overlap in programs could result in unnecessary duplication of effort. 2
    We also recommended that OMB publish the report by the required annual
    March 1 deadline to provide information in time for congressional budget
    deliberations.

    Although OMB has not implemented our recommendation that it include an
    analysis of unnecessary duplication of effort in its annual combating
    terrorism report, this requirement no longer exists. Our November 2002
    report was issued concurrently with the enactment of the Homeland Security
    Act of 2002. 3 Section 889 of the Homeland Security Act of 2002 repealed
    OMB's prior reporting requirements, including the duplication analysis.

    OMB staff stated that they did not include an analysis of duplication in
    any of the agency's prior reports primarily because they perform an
    analysis of homeland security initiatives and related resource needs
    across all federal agencies as part of the annual budget preparation
    process, and that they take action to address duplication prior to the
    publication of the President's budget. Therefore, OMB staff said that they
    believe any issue of duplication is addressed in the President's budget,
    specifically through his recommendations related to funding needs.

    Our recommendation that OMB improve the usefulness of its Annual Report to
    Congress on Combating Terrorism by publishing the report by the
    then-required March 1 annual deadline was also superseded by section 889
    of the Homeland Security Act. This section requires that OMB report on
    funding data for homeland security activities in the President's budget.
    Because the President must submit his budget by the first Monday in
    February, 4 the Homeland Security Act of 2002 accelerated the timeline for
    reporting funding data on homeland security activities. OMB complied with
    this reporting requirement in fiscal years 2005 and 2006.

    Appendix VIII: Comments from the Office of Management and Budget Appendix
    VIII: Comments from the Office of Management and Budget

    Appendix IX: Comments from the General Services Administration Appendix
    IX: Comments from the General Services Administration

    Appendix X: GAO Contact and Staff Acknowledgments

    GAO Contact

    Paul L. Jones (202) 512-8777

    Acknowledgments

    In addition to the contact named above, Debra B. Sebastian, Assistant
    Director, Grace A. Coleman, Christine F. Davis, Gerard DeBie, Denise M.
    Fantone, Michele Fejfar, Jacob Hauskens, Laura R. Helm, Dawn Locke, Sara
    R. Margraf, and John W. Mingus, and made key contributions to this report.

    Related GAO Products Related GAO Products

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    Homeland Security: Title III of the Homeland Security Act of 2002.
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    Implementation and Management. GAO-01-909 . Washington, D.C.: Sept. 19,
    2001.

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    Implementation Will Be Uneven. GAO/GGD-97-109 . Washington, D.C.: June 2,
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    (440370)

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    Highlights of GAO-06-161 , a report to congressional requesters

    January 2006

    COMBATING TERRORISM

    Determining and Reporting Federal Funding Data

    The President's annual budget reports on federal funding dedicated to
    combating terrorism activities. Identification of such funding is
    inherently difficult because a significant portion of combating terrorism
    funding is embedded within appropriation accounts that include funding for
    other activities as well. In 2002, GAO reported on the difficulties that
    the executive branch faced in reporting funding for combating terrorism to
    Congress (see GAO-03-170). This report updates the information contained
    in the 2002 report by providing information on (1) the methods agencies
    use to determine the portion of their annual appropriations related to
    combating terrorism, and (2) the status of recommendations from GAO's 2002
    report.

    What GAO Recommends

    GAO continues to believe its prior recommendations are still valid and, if
    implemented, would provide OMB and Congress with additional insights for
    budget decisions and help them determine whether funding increases for
    combating terrorism have improved performance results. In commenting on a
    draft of the report, OMB objected to the use of overseas combating
    terrorism funding data because they do not review it. Congress should
    consider requiring OMB to report on overseas combating terrorism funding
    data. Other agencies commenting on the draft report had no comment,
    concurred, or provided technical comments.

    Seven of 34 agencies that reported receiving funding related to combating
    terrorism activities to OMB used different methodologies to estimate the
    portion of their authorized funding that supports such activities. These 7
    agencies account for about 90 percent of the total fiscal year 2006 budget
    request that the 34 agencies estimate relate to combating terrorism. All
    of these methods involve some level of professional judgment. Agencies
    stated this process is managed through OMB oversight and supervisory
    review. OMB staff said they do not review the overseas component of
    combating terrorism funding data since they are no longer required to
    report it. As a result, Congress does not receive OMB-reviewed data on the
    entirety of counterterrorism funding.

    Three recommendations from GAO's 2002 report have not been implemented.
    The first recommendation requests that OMB include agencies' obligation
    data in its annual reporting of funding data on combating terrorism. OMB
    staff continue to cite the effort required to produce such data but said
    they might consider reporting obligation information for a targeted set of
    accounts. Without obligation data, it is difficult for Congress to know
    (1) how much funding from prior years is still available to potentially
    reduce new spending requests, (2) whether the rate of spending for a
    program is slower than anticipated, or (3) what the size of the program is
    for a particular year and over time. The second recommendation was for OMB
    to direct relevant departments to develop or enhance combating terrorism
    performance goals and measures and include such measures in the
    governmentwide plan. Three of the seven agencies told us that OMB had not
    directed them to develop performance measures or enhance such measures for
    combating terrorism activities. However, four of the seven agencies had
    developed such measures. OMB staff said they are working with agencies to
    improve performance measurement of government programs related to
    combating terrorism. The development of such measures would assist
    Congress in determining whether funding increases have improved
    performance results. The third recommendation calls for the inclusion of
    national-level and federal governmentwide combating terrorism performance
    measures in supplements to existing strategies and their future revisions.
    There have been no supplements or revisions to the existing strategies
    that include governmentwide or national-level combating terrorism
    measures.
    *** End of document. ***