[House Report 106-125] [From the U.S. Government Publishing Office] 106th Congress Report HOUSE OF REPRESENTATIVES 1st Session 106-125 _______________________________________________________________________ MAKING EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR MILITARY OPERATIONS, REFUGEE RELIEF, AND HUMANITARIAN ASSISTANCE RELATING TO THE CONFLICT IN KOSOVO, AND FOR MILITARY OPERATIONS IN SOUTHWEST ASIA FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 1999, AND FOR OTHER PURPOSES _______ May 4, 1999.--Committed to the Committee of the Whole House on the State of the Union and ordered to be printed _______________________________________________________________________ Mr. Young of Florida, from the Committee on Appropriations, submitted the following R E P O R T together with DISSENTING VIEWS [To accompany H.R. 1664] The Committee on Appropriations submits the following report in explanation of the accompanying bill making emergency supplemental appropriations for military operations, refugee assistance, and humanitarian assistance relating to the conflict in Kosovo, and for military operations in Southwest Asia for the fiscal year ending September 30, 1999, and for other purposes. Bill Highlights The bill accompanying this report provides $12,947,495,000 to respond to the unfunded needs relating to the conflict in Kosovo and Operation Desert Fox as well as other urgent high priority military readiness matters. It provides $70,500,000 for emergency diplomatic operations and security; $566,000,000 for international economic, refugee, and disaster assistance; $9,401,569,000 for military personnel and equipment requirements; $1,838,426,000 for pay and retirement increases; and $1,071,000,000 for emergency military construction requirements. CHAPTER 1 DEPARTMENT OF STATE Administration of Foreign Affairs diplomatic and consular programs The Committee recommends $17,071,000, to remain available until expended, as an emergency appropriation. This amount provides for the costs of diplomatic efforts related to the Kosovo crisis, including the costs of shutting down embassy operations in Belgrade and enhancing security at posts in the region, as requested. security and maintenance of united states missions The Committee recommends a total of $50,500,000, to remain available until expended, as an emergency appropriation. Of this amount, $5,000,000 is for the costs of security upgrades for post and housing facilities in the region, as requested. An additional $45,500,000 is provided above the request, and release of any portion of this funding is contingent upon a Presidential emergency designation. Of this amount, $36,000,000 is for costs of site acquisition, design and construction of an additional secure embassy facility in Tirana, Albania. Embassy Tirana is a hub of U.S. Government operations in the region, and will serve an increasingly important role in supporting the military and diplomatic objectives of the U.S. Government and any subsequent peace process. The remaining $9,500,000 in this account is provided to make advance payment for the costs of repairing damage to post facilities resulting from civil unrest related to the Kosovo conflict. The Committee expects that host governments will be held accountable for such damages, and urges the Department to vigorously pursue full reimbursement. The Committee directs the Department to use these reimbursements and any remaining balance to fund a Marine Security Guard quarters in Tirana. emergencies in the diplomatic and consular service The Committee recommends $2,929,000, to remain available until expended, as an emergency appropriation. This amount provides for the costs of evacuating post personnel and dependents as a result of events related to the Kosovo conflict, as requested. Language is included, as requested, transferring $500,000 to the Peace Corps and $450,000 to the U.S. Information Agency for the costs of evacuating personnel and dependents of those agencies. CHAPTER 2 DEPARTMENT OF DEFENSE--MILITARY The President requested $5,458,069,000 in emergency supplemental appropriations for the Department of Defense (DoD) to finance the unbudgeted personnel, operations, and equipment replacement and drawdown costs associated with fiscal year 1999 operations in Southwest Asia (Operations Desert Thunder, Desert Fox, and Enhanced Northern and Southern Watch) and those operations concerning Kosovo (including Operations Allied Force and Allied Harbour, respectively NATO's ongoing military and humanitarian operations in the Balkans). Of this amount, $453,339,000 is for operations and the cost of munitions expended in Southwest Asia and $5,004,730,000 is for Kosovo operations and munitions replacement. The Committee notes that the Administration's estimates for Kosovo are premised on continued fiscal year 1999 operations at the current, planned level with the currently approved forces. The Committee recommends approving the full amount of the President's request (although it has realigned some funding to the proper appropriations accounts). The Committee also recommends an additional $461,800,000 for munitions, based on potential Operation Allied Force requirements identified by the military services, and $400,000,000 only for a new operational enhancements rapid response account, intended to support specific requests from U.S. regional commanders, for the rapid fielding and support of equipment needed for Operation Allied Force or to provide substitute capabilities in other theaters to replace assets diverted to this operation. Further, the Committee recommends an additional $3,081,700,000 to address existing and urgent shortfalls in key readiness categories (spare parts, depot maintenance of equipment, recruiting of military personnel, training and operational tempo support, and base operations). These represent unfunded requirements identified by the military services prior to the onset of Operation Allied Force, needs which will certainly be exacerbated by the operations against the Federal Republic of Yugoslavia. The Committee believes these demands must be addressed now, as they are directly related to the immediate capability of U.S. forces to meet their global commitments. The Committee notes there are many other unfunded requirements confronting the Department of Defense, not only affecting immediate and near-term preparedness but also long-term readiness (particularly in the weapons modernization accounts). The Committee expresses its determination to address these additional shortfalls as it develops its fiscal year 2000 appropriations bills. Finally, the Committee recommends $1,838,426,000 for the military personnel accounts, only for increases in military basic pay, targeted pay increases against certain grades, and for reform of the military retirement system. The obligation of these funds would be subject to the enactment of subsequent authorizing legislation and the designation of the funds as an emergency appropriation by the President. The following table summarizes the appropriations provided in this chapter of the bill. [In thousands of dollars] ------------------------------------------------------------------------ Supplemental Committee request recommendation ------------------------------------------------------------------------ Military Personnel: Army................................ 2,920 2,920 Navy................................ 7,660 7,660 Marine Corps........................ 1,586 1,586 Air Force........................... 4,303 4,303 ------------------------------- Total............................. 16,469 16,469 =============================== Overseas Contingency Operations Transfer Fund: Overseas Contingency Operations 4,591,600 3,907,300 Transfer Fund (Emergency).......... Readiness/Munitions (Contingent).... 850,000 1,311,800 ------------------------------- Total............................. 5,441,600 5,219,100 =============================== Procurement: Weapons Procurement, Navy........... -- 431,100 Aircraft Procurement, Air Force..... -- 40,000 Missile Procurement, Air Force...... -- 178,200 Procurement of Ammunition, Air Force -- 35,000 ------------------------------- Total............................. 684,300 =============================== Operational Rapid Response Transfer Fund -- 400,000 Sec. 207. (Spare Parts)................. -- 1,339,200 Sec. 208. (Depot Maintenance)........... -- 927,300 Sec. 209. (Recruiting).................. -- 156,400 Sec. 210. (Readiness Training/OPTEMPO).. -- 307,300 Sec. 211. (Base Operations)............. -- 351,500 Sec. 212. (Pay and Retirement).......... -- 1,838,426 =============================== Grand total....................... 5,458,069 11,239,995 ------------------------------------------------------------------------ Reporting Requirements The Committee recognizes that the specific budget estimates underlying the supplemental request for Kosovo operations may require adjustments due to the evolving nature of the air campaign, changes in deployment schedules and operational tempo, and other requirements associated with current operations and currently planned forces which were not identified at the time the supplemental request was developed. Accordingly, the Committee understands the need for some flexibility at this time and believes the funding and authorities provided in the Committee bill give the DoD the ability to make such adjustments as required. The Committee expects the Department to use these funds and authorities judiciously, with particular care given to ensure that other important, ongoing DoD activities, especially those relating to personnel, readiness, and important quality of life programs such as the Defense Health Program, are not adversely affected by the conduct of Operation Allied Force. The Committee directs the Secretary of Defense to submit a monthly report to the House and Senate Committees on Appropriations which provides a detailed description of Department of Defense obligations in support of operations in and around Kosovo and in Southwest Asia. This report shall indicate the cost of each operation for each affected appropriation account (including those accounts to which funds are transferred from the Overseas Contingency Operations Transfer Fund). For the acquisition accounts, the report should be provided at the R-1/P-1 level of detail. The first such report should be provided no later than May 31, 1999. In addition, language has been included under the Overseas Contingency Operations Transfer Fund which allows the transfer of funds to military construction. The Undersecretary of Defense (Comptroller) is directed to notify the Committee on Appropriations of any such transfers and the individual projects to be provided. Military Personnel The supplemental budget request includes $16,469,000 for special pays and allowances for military personnel deployed to Southwest Asia in support of Operations Desert Thunder, Desert Fox, and Enhanced Northern and Southern Watch. In addition, the request includes $439,400,000 for personnel costs related to operations in and around Kosovo. The Committee recommends the budget request. Funding relating to Kosovo is provided in the Overseas Contingency Operations Transfer Fund as requested by the President. Operation and Maintenance The supplemental budget request includes $259,900,000 for operations in and around Southwest Asia and $3,210,000,000 in support of NATO operations in Kosovo. All Operation and Maintenance funding for these operations is included in the Overseas Contingency Operations Transfer Fund. The Committee recommends the budget request. Overseas Contingency Operations Transfer Fund The President requested $5,441,600,000 for this account, along with authority to transfer funds as needed to a variety of appropriations accounts to meet estimated requirements. Included in this total is $684,300,000 of procurement funding requested to replace certain high value munitions expended during Operation Desert Fox and Operation Allied Force, to include air- and sea-launched cruise missiles, Joint Direct Attack Munitions, and decoys (there is also $13,600,000 in Operation and Maintenance funding requested to support these purchases). The request also includes a total of $850,000,000 of contingent emergency appropriations to meet expected munitions and readiness-related Kosovo expenses, funds which would only be available after the subsequent submission of a budget request by the President, with only those funds requested being made available. The Committee recommends a total of $5,219,100,000 for the Overseas Contingency Operations Transfer Fund. This reflects the following adjustments to the supplemental budget request: --a deletion of $684,300,000 for procurement of specific munitions as described above, which the Committee recommends funding in the traditional appropriations accounts as described elsewhere in this report; and --an addition of $461,800,000 of contingent emergency appropriations, based on potential Operation Allied Force munition requirements identified by the military services, premised on continued fiscal year 1999 operations at the current, planned level with the currently approved forces. Contingency Operation Munitions Requirements As discussed above, the supplemental budget request for the Overseas Contingency Operations Transfer Fund includes $850,000,000 in contingent emergency appropriations, including an estimate of $700,000,000 to replace munitions expended in Operation Allied Force and in Southwest Asia in order to maintain adequate inventories for future operations. The Committee recognizes that the request for contingent emergency appropriations reflects the reality that additional funding will be required to replace munitions, but that the exact weapons types, quantities, and cost remain unknown at this time as operations continue. Use of the contingent designation thus ensures that funds will only be made available following a specific determination of munitions needs, and only after submission of a subsequent budget request by the President. The Committee believes that given this degree of control, it is prudent to provide a larger amount for potential munitions replacement, and therefore recommends $1,161,800,000, an increase of $461,800,000. The Committee makes this recommendation based on requirements specifically identified by the military services which may be required to support continued fiscal year 1999 operations at the current planned level with the currently approved forces, as follows: Weapons Procurement, Navy: SLAM-ER............................................. $40,000,000 HARM Modifications.................................. 81,000,000 JSOW (baseline variant)............................. 11,000,000 Procurement of Ammunition, Navy and Marine Corps: Laser Guided Bombs.................................. 306,800,000 Expendables......................................... 16,300,000 Fuzes............................................... 10,000,000 Missile Procurement, Army: Army Tactical Missile System........................ 135,000,000 Missile Procurement, Air Force: AGM-130 Acceleration................................ 500,000 Maverick Modifications.............................. 28,100,000 HARM Modifications.................................. 147,300,000 Procurement of Ammunition, Air Force: GBU-15 Modifications................................ 26,500,000 Laser Guided Bombs.................................. 165,700,000 Combined Effect Munitions........................... 23,100,000 Fuzes............................................... 10,000,000 Training Munitions.................................. 146,800,000 General Purpose Bombs............................... 13,000,000 Flares and Chaff.................................... 700,000 The Committee restates its intent that, at this time, the DoD has the flexibility to reallocate these funds as needed to meet emergent warfighting needs. However, should it be determined that funds are required to support programs other than those listed above, the Undersecretary of Defense (Comptroller) shall notify the House and Senate Committees on Appropriations in writing of any expected change, and the reason why, prior to any obligation of funds. In addition, the provision of these funds does not obviate the requirement for the Department to notify the Congress in advance of proposed new start programs. Classified Programs The Committee's recommendations regarding classified programs are summarized in a classified annex accompanying this report. Procurement As discussed earlier in this report, the Committee bill recommends shifting $684,300,000 in procurement funding allocated in the supplemental request for Tomahawk Land-Attack Missile upgrades, Conventional Air-Launched Cruise Missiles (CALCM), Joint Direct Attack Munitions, and towed decoys from the Overseas Contingency Operations Transfer Fund, as proposed in the request, to specific appropriations accounts, as described below. Weapons Procurement, Navy The supplemental budget request includes $431,100,000 for Tomahawk upgrades. The Committee recommendation provides this amount. (The Committee also approves an additional $13,600,000 in operation and maintenance funding associated with Tomahawk recertification, but has provided this funding in the Overseas Contingency Operations Transfer Fund, as proposed in the supplemental budget request.) Aircraft Procurement, Air Force The supplemental budget request includes $40,000,000 for ALE-50 towed decoys. The Committee recommendation provides this amount. Missile Procurement, Air Force The supplemental budget request includes $178,200,000 associated with replacement of Conventional Air-Launched Cruise Missiles (CALCM). The Committee recommendation provides this amount. Procurement of Ammunition, Air Force The supplemental budget request includes $35,000,000 for additional Joint Direct Attack Munitions (JDAMs). The Committee recommendation provides this amount. Congressional Oversight of Weapons System Performance To conduct its oversight and funding responsibilities, the Committee must receive accurate and timely information on weapons system performance in military operations. The military services, the Office of the Secretary of Defense, and the Joint Staff are all reminded of their obligation to be responsive to Congress' responsibilities and prerogatives in this regard, and their responsibility to comply on a prompt basis to Committee inquiries regarding weapons system performance (including failures, battle damage assessment, and targeting errors). Operational Rapid Response Transfer Fund The Committee recommends including a new appropriations account (Operational Rapid Response Transfer Fund) to enable the accelerated fielding of needed capabilities to U.S. forces engaged in, or in support of, Operation Allied Force; as well as to provide a potential means to rapidly deploy substitute or replacement capabilities to other regional commands (such as U.S. Central Command or U.S. Pacific Command) who have had assets diverted from their theaters to support Operation Allied Force. During Operations Desert Shield/Desert Storm, the Department of Defense accelerated the planned fielding of several weapons systems to meet warfighting requirements identified by the regional commander-in-chief (CINC). Among these was the rapid fielding of the PAC-2 anti-tactical ballistic missile variant of the PATRIOT surface-to-air missile system (originally developed to engage aircraft, not ballistic missiles), which was still in advanced development at the time. Without this capability, U.S. and allied nations during the Gulf War would have had no defense against the Iraqi SCUD tactical ballistic missile. The Committee notes that other systems, including then-advanced precision-guided ``bunker busting'' munitions, were conceived, developed, and deployed ``from scratch'' during the timeframe of Operations Desert Shield/Desert Storm. At present, there are several broad, high-leverage operational categories which U.S. assets are in short supply or deficient, but which could be used to great effect if assets were made available in sufficient numbers for Operation Allied Force. These include (but are not limited to) tactical airborne electronic warfare and surveillance; tactical imagery and signals intelligence reconnaissance (particularly systems which can loiter over engagement areas such as unmanned aerial vehicles) and related communications datalinks which can rapidly disseminate information; and tactical communications systems in general. A related, but competing challenge is that, in order to meet the demands of Operation Allied Force, many U.S. military assets have been deployed to U.S. European Command. However, in many instances this has diverted forces and capabilities from other regional commands which have their own daunting set of operational requirements (for example, U.S. Central Command and Iraq, or U.S. Pacific Command and North Korea). In testimony before the Committee on April 21, 1999, the Chairman of the Joint Chiefs of Staff characterized Operation Allied Force as ``a third MTW (major theater of war) where aviation assets are concerned''. Clearly, carrying out Operation Allied Force with the current ``two MTW'' force structure poses many risks at many levels for U.S. planners and potentially for U.S. forces in the field. The Committee recognizes that the current campaign against the Federal Republic of Yugoslavia is of uncertain duration. Nevertheless, it believes a dedicated, ``quick response'' appropriation, expressly intended to accelerate the fielding of systems, subsystems, support equipment or capabilities needed to meet the many operational challenges confronting U.S. European Command and other regional CINCs, could prove to be a valuable resource in fielding badly needed capabilities in the immediate future. Therefore, the Committee recommends $400,000,000, designated as a contingent emergency appropriation, only for the Operational Rapid Response Transfer Fund. These funds will only be available if designated as an emergency by the President, and may be used only to rapidly develop, deploy or field equipment or systems in response to specific requests made by U.S. regional commands and only if the obligation of funds is specifically approved by the Secretary of Defense or his designee. The Committee does not intend that any of these funds be used for systems or efforts which cannot be fielded expeditiously, nor to procure items which can and should be more appropriately budgeted in annual appropriations requests. The Committee's sole intent is to ensure that the Department of Defense and our warfighting CINCs, during this time of strained resources, be able to respond in innovative and rapid fashion to the operational challenges posed by Operation Allied Force. Urgent Readiness Requirements Spare Parts Shortfalls.--The Committee recommends a general provision (Section 207) which appropriates $1,339,200,000, designated as contingent emergency appropriations, only for the provision of spare and repair parts and associated logistical support necessary to improve the operational status of Department of Defense weapons systems. For years the Committee has expressed its concern about the steady decline in mission capable rates of weapons systems, particularly Navy and Air Force aircraft. This has been driven largely in recent years by a combination of aging equipment, sustained high rates of operational tempo, and a shortage of spare parts. Despite having added hundreds of millions of dollars for spare parts in recent defense appropriations bills over the amounts requested in Administration budget submissions, the Committee is dismayed to observe that the services still suffer from large unfunded shortfalls in this area. These problems will clearly worsen as a result of Operation Allied Force as a result of the large number of aircraft deployed, at high rates of usage. Accordingly, the Committee provides this funding in order to preclude any additional degradation in readiness. Depot Maintenance.--The Committee recommends a general provision (Section 208) which provides $927,300,000, designated as contingent emergency appropriations, only for depot level maintenance and repair requirements of the Department of Defense. Similar to the problems discussed above in connection with spare parts, despite the Committee's having provided robust funding over proposed Administration budgets in recent years for depot maintenance, the services continue to identify substantial existing shortfalls in this area which will only be exacerbated by Operation Allied Force unless they are addressed in this bill. Recruiting and Advertising.--The Committee recommends a general provision (Section 209) which provides $156,400,000, designated as contingent emergency appropriations, only for Department of Defense recruiting programs based on shortfalls identified in the fiscal year 1999 program. With the exception of the Marine Corps, each of the services is currently experiencing recruiting difficulties which, combined with growing retention problems, have led to undermanning of units including deployed forces, as well as proposals to begin reducing quality standards for recruits. The appropriations provided in this section will fully fund an increased recruiting program, meeting shortfalls as defined by the military services in data provided the Committee. Readiness Training and Operations Tempo.--The Committee recommends a general provision (Section 210) which provides $307,300,000, designated as contingent emergency appropriations, only for readiness related training and operations tempo requirements of the Department of Defense. The Committee notes with concern that the level of current deployment activity coupled with the need to fund long-overdue infrastructure costs has resulted in shortfalls in the military services' training programs. The funding provided in this section is essential in order to alleviate pressure on the military services' readiness-related training programs and ensure that U.S. forces are trained to meet required readiness levels. Base Operations Support.--The Committee recommends a general provision (Section 211) which provides $351,500,000, designated as contingent emergency appropriations, only for base operations support requirements of the Department of Defense. The Committee notes that DoD has consistently underfunded base operations costs associated with facilities operations and maintenance, range operations and maintenance, utilities services, and a host of other critical infrastructure costs. This has created pressure on the training and other readiness related accounts, and has in recent years repeatedly resulted in the diversion of funds provided by the Congress from readiness accounts to these non-discretionary infrastructure costs. The appropriations in this section are needed to meet base operations shortfalls identified in service data provided to the Committee, which will not only support the Department's base infrastructure but also relieve pressure on the readiness accounts and ensure that readiness related activities are conducted at levels funded by the Congress. Military Pay and Retirement The Committee recommends a general provision (Section 212) which provides $1,838,426,000 for the military personnel accounts, designated as contingent emergency appropriations, only for increases in military basic pay, targeted pay increases against certain grades, and for reform of the military retirement system. In his fiscal year 2000 budget submission, the President has proposed a military benefits package which includes a proposed increase in basic pay, targeted pay increases against certain grades (so-called ``pay table reform''), and the repeal of the 1986 Military Retirement Reform Act (commonly referred to as ``REDUX''). The Committee notes that the Senate has already passed an authorization bill dealing with these issues (S. 4), and that the House Armed Services Committee will soon address them in its consideration of the National Defense Authorization Act. The Committee is confident that the Congress will enact a comprehensive military pay and retirement package, and therefore, has included $1,838,426,000 in contingent emergency appropriations for a fiscal year 2000 increase in the military personnel accounts resulting from increased levels of military base pay, pay table reform, and repeal of the REDUX retirement system. The Committee believes that doing so will send a positive signal to our service menand women, not only those engaged in Operation Allied Force but in difficult missions around the world, that Congress is committed to providing an increase in military compensation and reforming the military pay and retirement system, and as a sign of that commitment, is providing funding to support these objectives in this bill. However, since at this time the President and the Senate have proposed substantively different approaches to these issues, and the House Armed Services Committee has yet to make its recommendations to the House, release of these funds is conditioned upon the enactment of authorizing legislation as well as the funds being designated as emergency appropriations by the President. Nutrition and Food Needs The Committee recognizes that with the significant deployment of U.S. forces in the Balkan region, along with the increasing refugee camp population, nutrition and food needs are paramount international concerns. The Committee urges the Department of Defense to work with the Department of Agriculture to use all appropriate acquisition authorities to purchase food in ways that meet the humanitarian and military needs attendant to the Balkan engagement, and to do so in ways that also benefit U.S. farmers who are experiencing record low level prices for their products. GENERAL PROVISIONS--THIS CHAPTER The Committee bill includes section 201, as requested in the supplemental request, which provides for an increase in the fiscal year 1999 transfer authority available to the Department of Defense. The Committee bill includes section 202, as requested in the supplemental request, which provides that $10,000,000 of the funds in the Committee bill may be available to the common funded budgets of NATO. The Committee bill includes section 203, as requested in the supplemental request, which provides authorization for funds in the Committee bill, or funds made available by the transfer of funds in the Committee bill, for intelligence activities. The Committee bill includes section 204, as requested in the supplemental request, which extends until June 30, 1999 special authorities for contracts awarded or modified for the Joint Direct Attack Munition (JDAM) program. The Committee bill includes section 205, which requests the President to seek an equitable reimbursement from the North Atlantic Treaty Organization (NATO), member nations of NATO, and other appropriate organizations and nations for the costs incurred by the United States government in connection with Operation Allied Force. The Committee recognizes the valuable and important contributions made by our NATO allies, as well as other nations, in the conduct of Operation Allied Force and in humanitarian activities relating to Kosovo. However, in recognition of the disproportionate share of the military operations being currently carried out by U.S. forces, the Committee believes the President should seek an equitable burdensharing agreement with NATO members and other nations. For example, with respect to NATO members, in all likelihood the financial costs to the U.S. at present exceed the American contribution to NATO's common-funded budgets. Therefore, pursuant to section 205, the President is to seek a more equitable sharing of the financial costs of Operation Allied Force among NATO members and other countries. For purposes of this provision, the term ``costs incurred by the United States government in connection with Operation Allied Force'' shall also include the costs of refugee, humanitarian, and other assistance funded through non-military accounts, including assistance to the front line states. Further, this section requires the President to submit to Congress, not later than September 30, 1999, a report on all burdensharing measures taken by the President; the amount of reimbursement received to date from each organization and nation, including a description of any commitments made by any such organization or nation to provide reimbursement; and in the case of an organization or nation that has refused to provide, or to commit to provide, reimbursement, an explanation of the reasons therefor. The Committee bill includes section 206, which directs that within thirty days of enactment into law of the Committee bill, the President shall transmit to Congress a report, in both classified and unclassified format, on current United States government operations involving Kosovo, including: (1) A statement of the national security objectives involved in U.S. participation in Operation Allied Force; (2) An accounting of all current active duty personnel assigned to support Operation Allied Force and related humanitarian operations around Kosovo to include total number, service component and area of deployment (such accounting should also include total numbers of personnel from other NATO countries participating in the action); (3) Additional planned deployment of active duty units in the European Command area of operations to support Operation Allied Force, between the date of enactment of this Act and the end of fiscal year 1999; (4) Additional planned Reserve component mobilization, including specific units to be called up between the date of enactment of this Act and the end of fiscal year 1999, to support Operation Allied Force; (5) An accounting by the Joint Chiefs of Staff on the transfer of personnel and materiel from other regional commands to the United States European Command to support Operation Allied Force and related humanitarian operations around Kosovo, and an assessment by the Joint Chiefs of Staff of the impact any such loss of assets has had on the warfighting capabilities and deterrence value of these other commands; (6) Levels of humanitarian aid provided to the displaced Kosovar community from the United States, NATO member nations, and other nations (figures should be provided by country and the type of assistance provided whether financial or in-kind); and (7) Any significant revisions to the total cost estimate for the deployment of United States forces involved in Operation Allied Force through the end of fiscal year 1999. The Committee bill includes section 207, which appropriates $1,339,200,000, designated as contingent emergency appropriations, only for urgent shortfalls in Department of Defense spare and repair parts and associated logistical support, as described earlier in this report. The Committee bill includes section 208, which appropriates $927,300,000, designated as contingent emergency appropriations, only for urgent shortfalls in the depot level maintenance and repair requirements of the Department of Defense, as described earlier in this report. The Committee bill includes section 209, which appropriates $156,400,000, designated as contingent emergency appropriations, only for urgent shortfalls in Department of Defense recruiting programs, as described earlier in this report. The Committee bill includes section 210, which appropriates $307,300,000, designated as contingent emergency appropriations, only for urgent readiness related training and operations tempo requirements of the Department of Defense, as described earlier in this report. The Committee bill includes section 211, which appropriates $351,500,000, designated as contingent emergency appropriations, only for urgent base operations support requirements of the Department of Defense, as described earlier in this report. The Committee bill includes section 212, which appropriates $1,838,426,000, designated as contingent emergency appropriations, for the military personnel accounts, only for an increase in military basic pay, targeted pay increases against certain grades, and for reform of the military retirement system, as described earlier in this report. CHAPTER 3 Summary of Recommendation--This Chapter On April 19, 1999, the President transmitted to Congress an emergency supplemental funding request, which includes $566,000,000 for refugee, disaster, and economic assistance to respond to the humanitarian and economic crisis in the Balkans. The Committee recognizes that refugees fleeing Kosovo continue to burden neighboring nations. As of April 22, more than 359,000 refugees have fled to Albania, 132,000 have arrived in Macedonia, 68,000 have entered Montenegro, and 32,000 have come into Bosnia. The State Department estimates the number of refugees could grow to more than 900,000, and international aid groups estimate that this total could rise much higher in the coming months if the conflict in the Balkans continues. Given these projections, the Committee believes the President's request for disaster and refugee assistance is inadequate. Therefore, the Committee has provided higher funding levels than the Administration requested for supplemental disaster and refugee assistance. These increases should provide the resources necessary to meet emergency needs for the remainder of the current fiscal year. These increases have been offset with a reduction in the request for assistance through the account for Eastern Europe. None of the funds appropriated herein are to be used to implement a long-term, regional program of development or reconstruction in Southeastern Europe. That is not the purpose of this Emergency Supplemental Appropriations Act. As the President's budget request clearly states: ``the supplementals provide FY 1999 funding to plan the reconstruction efforts in a post-conflict Kosovo, but would not fund the U.S. portion of a long-term reconstruction effort.'' The refugee, SEED, and disaster assistance funds are appropriated for emergency support of refugees and displaced persons and the local communities directly affected by the influx of refugees. The Economic Support Funds are appropriated for short-term, emergency balance of payments support for the countries listed in the bill language. The Committee requests that the Administration keep it informed on a regular basis of refugee assistance and other funding commitments made by our NATO allies. BILATERAL ECONOMIC ASSISTANCE Funds Appropriated to the President Agency for International Development international disaster assistance The Committee is recommending $96,000,000 for an additional amount for International Disaster Assistance for fiscal year 1999. The President requested $71,000,000. The Committee understands that this funding will ensure that AID's Office of Foreign Disaster Assistance will have the necessary resources to meet its worldwide commitments in fiscal year 1999, and to deal with the projections of possible refugee flows in the Balkans. These funds are to remain available until expended. Other Bilateral Economic Assistance economic support fund The Committee is recommending $105,000,000 for an additional amount for the Economic Support Fund as requested by the President. The Administration requested $100,000,000 of these funds to provide direct assistance to Albania, Bosnia, Bulgaria, Romania, Macedonia and Montenegro--the so-called front line states. The Committee notes that these front line nations have borne the brunt of the 700,000 refugees fleeing Kosovo and, even under the best of circumstances, these countries will be expected to deal with these refugees for many months. The conflict in the Balkans and the resultant refugee crisis have already created significant disruptions to normal commerce in the region and have increased economic hardship in these front line nations. This assistance is designed to help these governments meet balance of payments shortfalls and to partially offset costs of refugee assistance. The Committee strongly supports additional resources to support the democratic government of Montenegro. The Committee expects that up to $5,000,000 of these funds will be used to document war crimes and atrocities committed in Kosovo. These funds are to remain available for obligation until September 30, 2000. In addition, the Committee recommendation includes bill language waiving other provisions of law except section 533 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1999, for the purpose of obligating these funds. However, the requirement for a notification prior to obligation has been reduced from 15 days to 5 days in order to provide the President with increased flexibility. assistance for eastern europe and the baltic states The Committee is recommending $75,000,000 for an additional amount for the account ``Assistance for Eastern Europe and the Baltic States''. The President requested $170,000,000 for this account. The Committee has provided up to $1,000,000 of these funds for administrative costs of AID. Funds appropriated under this account would be subject to the regular notification requirements of the Committees on Appropriations, and would remain available for obligation until September 30, 2000. The Committee has increased resources for other accounts in this bill to meet emergency needs in the Balkans. Therefore, the Committee is not in a position to provide the President's full request for this account due to the imperative to meet funding requirements for higher priority refugee and humanitarian assistance. In addition, the Committee is concerned that part of the request could be used to provide for long-term reconstruction programs in the Balkans. The Committee believes that the events in the region are changing so rapidly that it would be premature to consider additional long-term development programs at this time. Further, the Committee believes that European nations bear greater responsibility for the integration of these front line states into Europe's economy and for reconstruction programs in the region. Department of State migration and refugee assistance The Committee is recommending $195,000,000 for an additional amount for the Migration and Refugee Assistance account. The President requested $125,000,000. The Committee recommendation allows for not more than $500,000 from these supplemental funds for administrative expenses, and provides for the availability of funds through September 30, 2000. The Committee has been informed that funding for humanitarian assistance for refugees would face a significant shortfall if refugee levels continue to increase through the end of the fiscal year and into fiscal year 2000. As a result, the Committee has increased funding in this account and in the Disaster assistance account in order to ensure that adequate funds are available for refugee assistance--particularly if it becomes necessary to support large refugee populations through the winter. In order to fund these high priority activities, the Committee recommendation includes a reduction of $95,000,000 from the request for assistance for Eastern Europe. The massive outflow of refugees from Kosovo into surrounding territories has placed tremendous burdens on the surrounding governments. While these refugees have been generally well treated by host governments, the Committee is concerned about reports of the mistreatment of some Kosovar refugees. The continued and increased international funding for the care of these refugees will alleviate the burdens on host governments. The Committee urges that all governments respect the human rights of all refugees in this difficult situation. The Committee is deeply troubled by the use of a rape as a tool of war. There are widespread and credible reports that Serbian forces are targeting ethnic Albanian women for rape and using rape as a means of emptying communities. Many of the ethnic Albanian refugees have been the victims of rape, brutalization and other traumatic events. While the Committee understands that there are many pressing and immediate needs for shelter and food, it believes that psychological services for traumatized refugees, particularly women who have been raped, should not be neglected. The Committee urges the Administration to designate funds for those psychological services. In addition, the Committee believes the Administration needs to demonstrate leadership to ensure that rape is prosecuted as a war crime. united states emergency refugee and migration assistance fund The Committee is recommending $95,000,000 for an additional amount for the United States Emergency Refugee and Migration Assistance Fund, as requested by the President. These funds would be available until expended. GENERAL PROVISION--THIS CHAPTER The Committee is recommending bill language requested by the President to provide that the value of commodities and services authorized by the President through March 31, 1999, drawn down pursuant to section 552(c)(2) of the Foreign Assistance Act of 1961 to support international relief efforts relating to the Kosovo conflict shall not be counted against the ceiling limitation of that section. This provision also provides that such assistance shall be made available notwithstanding any other provision of law. CHAPTER 4 DEPARTMENT OF DEFENSE Military Construction North Atlantic Treaty Organization Security Investment Program The Committee recommends $240,000,000, contingent on the Presidential declaration of an emergency, for the continued support of the North Atlantic Treaty Organization Security Investment Program. Overseas Contingency Operations Transfer Fund Language has been included under the ``Overseas Contingency Operations Transfer Fund'' which allows the transfer of funds to military construction. The Under Secretary of Defense (Comptroller) is directed to notify the Subcommittee on Military Construction of any such transfers and the individual projects to be provided. military construction The Committee recommends a total of $831,000,000, contingent on the Presidential declaration of an emergency, for operations in Europe and Southwest Asia, for the following items: ------------------------------------------------------------------------ Location/Account/Installation Project title Cost ------------------------------------------------------------------------ Bahrain Island: Navy: Southwest Asia Admin BEQ (Security 24,550,000 Support Unit. Force). Southwest Asia Admin BEQ (Transient).... 23,770,000 Support Unit. Southwest Asia Admin Operations Control 34,770,000 Support Unit. Center. ------------------ Subtotal, Bahrain ................... 83,090,000 Island. ================== Diego Garcia: Navy: Diego Garcia Naval Aircraft 8,150,000 Support Facility. Intermediate Maintenance Facility. ------------------ Subtotal, Diego Garcia ................... 8,150,000 ================== ................... ................. Germany: Army: Ansbach, Barton Barracks Whole Barracks 21,000,000 Complex Renewal. Bamberg Air Field....... Whole Barracks 9,300,000 Complex Renewal. Bamberg Air Field....... Whole Barracks 8,200,000 Complex Renewal. Bamberg, Warner Barracks Whole Barracks 5,700,000 Complex Renewal. Baumholder.............. Vehicle Maintenance 10,000,000 Shop, Direct Support. Baumholder.............. Vehicle Maintenance 12,600,000 Shop, Organizational. Baumholder.............. Vehicle Maintenance 9,600,000 Shop, Organization. Baumholder.............. Vehicle Maintenance 10,400,000 Shop, Organizational Addition. Grafenwoehr............. Multipurpose Range 25,000,000 Complex 118. Grafenwoehr............. Multipurpose Range 23,000,000 Complex 211. Hohenfels............... Centralized Vehicle 7,600,000 Wash Facility. Hohenfels............... Objective 8,600,000 Instrumentation Building. Kaiserslautern.......... Vehicle Maintenance 9,000,000 Shop, Organizational. Mannhein................ Organizational 7,600,000 Vehicle Parking. Mannhein................ Vehicle Maintenance 9,300,000 Shop, Organizational. Mannheim................ Vehicle Maintenance 11,400,000 Shop, Organizational. Mannheim, Coleman Whole Barracks 4,500,000 Barracks. Complex Renewal. Schweinfurt............. Centralized Vehicle 1,600,000 Wash Facility. Schweinfurt............. Close Combat 11,200,000 Tactical Trainer. Schweinfurt............. Vehicle Maintenance 12,000,000 Shop, Direct Support. Schweinfurt............. Vehicle Maintenance 20,000,000 Shop, Organizational. Stuttgart............... Deployment Storage 4,100,000 Buildings. Stuttgart............... Indoor Firing Range 3,000,000 Stuttgart............... USEUCOM 10,800,000 Communications Command Center. Vilseck................. Non-Toe Maintenance 5,300,000 Facility. Air Force: Ramstein Air Base....... Aircraft Parts 3,800,000 Storage Facility. Ramstein Air Base....... CNS 3 Fire Stations 12,000,000 Ramstein Air Base....... Combat 12,000,000 Communications Squadron Complex. Ramstein Air Base....... Contingency 5,000,000 Response Group Complex. Ramstein Air Base....... C-130 Squadron 8,800,000 Operations/AMU, 37 AS. Ramstein Air Base....... Reachback 17,400,000 Operations Support Center. Ramstein Air Base....... Squadron Operations/ 8,800,000 AMU, 75 AS. Ramstein Air Base....... Vehicle Maintenance 6,500,000 Facility. Spangdahlem Air Base.... ACS Maintenance and 14,900,000 Support Facilities. Spangdahlem Air Base.... CE Pavement/ 9,800,000 Equipment Complex. Spangdahlem Air Base.... Mobility Processing 5,300,000 Center. Spangdahlem Air Base.... Refueler 2,600,000 Maintenance Facility. Spangdahlem Air Base.... Squad Operations/ 18,000,000 AMU, 22/23 Flight Squadron. ------------------ Subtotal, Germany..... ................... 385,700,000 ================== Greece: Navy: Souda Bay, Crete Naval Operational Support 6,380,000 Support Activity. Facilities. ------------------ Subtotal, Greece...... ................... 6,380,000 ================== Italy: Navy: Naples Naval Support Operational Support 26,750,000 Activity. Facilities. Sigonella Naval Air Base Level 3,100,000 Station. Communication Facility. Sigonella Naval Air Base Operations 35,000,000 Station. Support. Air Force: Aviano Air Base......... Air Control 3,900,000 Squadron Warehouse. Aviano Air Base......... Base Operations.... 2.900,000 Aviano Air Base......... CNS Contingency 14,000,000 Dorm (600 PNs). Aviano Air Base......... Dormitory (120 PNs) 8,150,000 Aviano Air Base......... Indoor Firing Range 2,900,000 Aviano Air Base......... Radar Approach 3,700,000 Control Facility. Aviano Air Base......... Southside Ramp..... 7,000,000 Aviano Air Base......... Upgrade Airfield 4,000,000 Lighting. ------------------ Subtotal, Italy....... ................... 111,400,000 ================== Portugal: Air Force: Lajes Field, Azores..... Apron Security 1,800,000 Lighting. Lajes Field, Azores..... Transient Dormitory 9,000,000 Defense-Wide: Lajes Field, Azores DESC Replace Hydrant 13,000,000 Fuel System. ------------------ Subtotal, Portugal.... ................... 23,800,000 ================== Spain: Defense-Wide: Moron DESC.............. Replace Hydrant 15,200,000 Fuel System. ------------------ Subtotal, Spain....... ................... 15,200,000 ================== Turkey: Air Force: Incirlik Air Base....... Consolidated 2,100,000 Communications Facility. Incirlik Air Base....... Force Protection: 3,000,000 Perimeter Improvements. Incirlik Air Base....... Indoor Firing Range 2,200,000 ------------------ Subtotal, Turkey...... ................... 7,300,000 ================== United Kingdom: Air Force: RAF Fairford............ CNS Contingency 13,000,000 Dorm (576 PNs). RAF Feltwell............ Add/Alter CATM 3,100,000 Facility. RAF Lakenheath.......... Add/Alter Main Fire 5,000,000 Station/CNS Crash Station. RAF Lakenheath.......... Communications 5,200,000 Facility. RAF Lakenheath.......... Consolidated 12,400,000 Support Complex. RAF Lakenheath.......... Mobility Processing 1,500,000 and Cargo Facility. RAF Lakenheath.......... Squad Operations/ 18,633,000 AMU, 492 & 494 Flight Squadron. RAF Lakenheath.......... Supply Material 4,900,000 Control. RAF Mildenhall.......... Communications 4,000,000 Facility. RAF Mildenhall.......... CNS Avionics/ 12,200,000 Maintenance Complex, Phase II. RAF Mildenhall.......... Corrosion Control 10,200,000 and Maintenance Complex. RAF Mildenhall.......... Control Tower/Base 9,500,000 Ops Complex/Crash Rescue. RAF Mildenhall.......... Hazardous Material 1,000,000 Storage Facility. RAF Mildenhall.......... Mobility Processing 4,500,000 Center. RAF Mildenhall.......... Operations Facility 4,100,000 Defense-Wide: RAF Mildenhall.......... Replace Hydrant 5,300,000 Fuel System. ------------------ Subtotal, United ................... 114,533,000 Kingdom. ================== Worldwide Unspecified: Army: Unspecified Worldwide Planning & Design.. 25,000,000 Locations. Unspecified Worldwide Unspecified Minor 10,000,000 Locations. Construction. Navy: Unspecified Worldwide Planning & Design.. 3,800,000 Locations. Air Force: Unspecified Worldwide Planning & Design.. 29,647,000 Locations. Unspecified Worldwide Unspecified Minor 5,000,000 Locations. Construction. Defense-Wide: Unspecified Worldwide Planning & Design.. 2,000,000 Locations. ------------------ Subtotal, Worldwide ................... 75,447,000 Unspecified. ================== Grand total......... ................... 831,000,000 ------------------------------------------------------------------------ Compliance With Clause 3 of Rule XIII (Ramseyer Rule) In compliance with clause 3 of rule XIII of the Rules of the House of Representatives, changes in existing law made by the bill, as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, existing law in which no change is proposed is shown in roman): The accompanying bill would amend the Department of Defense Appropriations Act, 1999, Public Law 105-262, as follows: DEPARTMENT OF DEFENSE * * * * * * * TITLE VIII GENERAL PROVISIONS * * * * * * * (Transfer of Funds) Sec. 8005. Upon determination by the Secretary of Defense that such action is necessary in the national interest, he may, with the approval of the Office of Management and Budget, transfer not to exceed [$1,650,000,000] $2,450,000,000 of working capital funds of the Department of Defense or funds made available in this Act to the Department of Defense for military functions (except military construction) between such appropriations or funds or any subdivision thereof, to be merged with and to be available for the same purposes, and for the same time period, as the appropriation or fund to which transferred: Provided, That such authority to transfer may not be used unless for higher priority items, based on unforeseen military requirements, than those for which originally appropriated and in no case where the item for which funds are requested has been denied by Congress: Provided further, That the Secretary of Defense shall notify the Congress promptly of all transfers made pursuant to this authority or any other authority in this Act: Provided further, That no part of the funds in this Act shall be available to prepare or present a request to the Committees on Appropriations for reprogramming of funds, unless for higher priority items, based on unforeseen military requirements, than those for which originally appropriated and in no case where the item for which reprogramming is requested has been denied by the Congress. Changes in the Application of Existing Law Pursuant to clause 3(f) of rule XIII of the Rules of the House of Representatives, the following statements are submitted describing the effect of provisions in the accompanying bill which directly or indirectly change the application of existing law. Language is included in various locations throughout the bill that declares appropriations as emergency requirements pursuant to the Congressional Budget Act. Language is included under the Department of State, Security and Maintenance of U.S. Missions, which makes portions of the appropriations subject to enactment upon receipt of an official budget request by the President to the Congress. Language has been included under chapter 2, Department of Defense--Military, to include a number of provisions which makes portions of the appropriations subject to enactment upon receipt of an official budget request by the President of the Congress. Language has been included (Section 201) under chapter 2, Department of Defense--Military, which increases the Secretary of Defense's transfer authority for funds provided in the Department of Defense Appropriations Act, 1999. Language has been included (Section 202) under chapter 2, Department of Defense--Military, which increases the funds available for contribution to the common funded budgets of NATO. Language has been included (Section 203) under chapter 2, Department of Defense--Military, concerning funds for intelligence-related programs. Language has been included (Section 204) under chapter 2, Department of Defense--Military, which extends the pilot program authority for the Joint Direct Attack Munition program. Language has been included (Section 205) under chapter 2, Department of Defense--Military, which addresses burdensharing for operations in Kosovo. Language has been included (Section 206) under chapter 2, Department of Defense--Military, which establishes reporting requirements regarding operations in Kosovo and their costs. Language has been included (Section 207) under chapter 2, Department of Defense--Military, which provides additional funding for spare parts for military equipment. Language has been included (Section 208) under chapter 2, Department of Defense--Military, which provides additional funding for depot maintenance of military equipment. Language has been included (Section 209) under chapter 2, Department of Defense--Military, which provides additional funding for military personnel recruiting initiatives. Language has been included (Section 210) under chapter 2, Department of Defense--Military, which provides additional funding for military readiness training and operations tempo. Language has been included (Section 211) under chapter 2, Department of Defense--Military, which provides additional funding for military base operations. Language has been included (Section 212) under chapter 2, Department of Defense--Military, which provides funding for adjustments to military pay and retirement programs. Under ``International Disaster Assistance'', funds are appropriated to remain available until expended, and are only available to the extent an official budget request for a specific dollar amount, that includes designation of the entire amount of the request as an emergency requirement, is transmitted by the President to the Congress. Under ``Economic Support Fund'', funds are appropriated to remain available until September 30, 2000, for assistance for Albania, Macedonia, Bulgaria, Bosnia-Herzegovina, Montenegro, and Romania; are made available notwithstanding any other provision of law except section 533 of the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1999; and are available pursuant to the regular notification procedures of the Committees on Appropriations (except that the requirement for a 15 day notification is reduced to 5 days). Under ``Assistance for Eastern Europe and the Baltic States'', funds are appropriated to remain available until September 30, 2000, and up to $1,000,000 of such funds may be used for administrative costs. Under ``Migration and Refugee Assistance'', funds are appropriated to remain available until September 30, 2000, and not more than $500,000 are for administrative costs; and are only available to the extent an official budget request for a specific dollar amount, that includes designation of the entire amount of the request as an emergency requirement, is transmitted by the President to the Congress. Under ``United States Emergency Refugee and Migration Assistance Fund'', funds are appropriated subject to the terms and conditions that apply to the funds appropriated under the same head in the Foreign Operations, Export Financing, and Related Programs Appropriations Act, 1999. A general provision is included that exempts the value of commodities and services authorized by the President through March 31, 1999, to be drawn down under the authority of section 552(c)(2) of the Foreign Assistance Act to support international relief efforts relating to the Kosovo conflict from the ceiling limitation of that section, and provides that such assistance may be made available notwithstanding any other provision of law. Language has been included (Section 401) under chapter 4, which provides funds for Military Construction, Army; Military Construction, Navy; Military Construction, Air Force; and Military Construction, Defense-Wide. Launguage is included in title V that addresses the availability of funds in the Act. Language is included in title V that states the Sense of Congress regarding pay parity between civilian and military employees. Appropriations Not Authorized by Law Pursuant to clause 3(f) of rule XIII of the Rules of the House of Representatives, the following table lists the appropriations in the accompanying bill which are not authorized by law: Department of State Diplomatic and Consular Programs Security and Maintenance of U.S. Missions Emergencies in the Diplomatic and Consular Service Department of Defense Military Personnel, Army Military Personnel, Navy Military Personnel, Marine Corps Military Personnel, Air Force Overseas Contingency Operations Transfer Fund Weapons Procurement, Navy Aircraft Procurement, Air Force Missile Procurement, Air Force Procurement of Ammunition, Air Force Operational Rapid Response Transfer Fund Appropriations made in Chapter 2, Sections 207 through 212 International Disaster Assistance Economic Support Fund Assistance for Eastern Europe and the Baltic States Migration and Refugee Assistance United States Emergency Refugee and Migration Assistance Fund Department of Defense Military Construction, Army Military Construction, Navy Military Construction, Air Force Military Construction, Defense-wide North Atlantic Treaty Organization Security Investment Program Transfers Pursuant to clause 1(b) of rule X of the Rules of the House of Representatives, the following table is submitted describing the transfers of unexpended balances in the accompanying bill: Transfers recommended in the bill Language is included in chapter 2 that increases the limitation of funds included in the Department of Defense Appropriations Act, 1999, that can be transferred among accounts. Constitutional Authority Clause 3(d)(1) of rule XIII of the Rules of the House of Representatives states that: Each report of a committee on a bill or joint resolution of a public character, shall include a statement citing the specific powers granted to the Congress in the Constitution to enact the law proposed by the bill or joint resolution. The Committee on Appropriations bases its authority to report this legislation from Clause 7 of Section 9 of Article I of the Constitution of the United States of America which states: No money shall be drawn from the Treasury but in consequence of Appropriations made by law * * * Appropriations contained in this Act are made pursuant to this specific power granted by the Constitution. Comparison With the Budget Resolution Section 308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, requires that the report accompanying a bill providing new budget authority contain a statement detailing how that authority compares with the reports submitted under section 302 of the Act for the most recently agreed to concurrent resolution on the budget for the fiscal year. All budget authority provided in the accompanying bill is designated emergency funding requirements under the procedures set forth in section 251(b)(2)(A) of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended. The Committee will receive an increased allocation to accommodate this budget authority and resulting outlays after reporting this bill. Five-Year Outlay Projections In compliance with section 308(a)(1)(B) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, the following table contains five-year projections associated with the budget authority provided in the accompanying bill: Millions Budget Authority.............................................. $12,947 Outlays: 1999...................................................... 2,954 2000...................................................... 7,072 2001...................................................... 1,779 2002...................................................... 648 2003 and beyond........................................... 253 Assistance to State and Local Governments In accordance with section 308(a)(1)(C) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, the financial assistance to State and local governments is as follows: Millions Budget Authority.............................................. 0 Fiscal year 1999 outlays resulting therefrom.................. 0 Full Committee Votes Pursuant to the provisions of clause 3(a)(1)(b) of rule XIII of the House of Representatives, the results of each rollcall vote on an amendment or on the motion to report, together with the names of those voting for and those voting against, are printed below: ROLLCALL NUMBER: 1 Date: April 29, 1999. Measure: Kosovo and Southwest Asia Emergency Supplemental Appropriations Bill, FY 1999. Motion by: Mr. Obey. Description of motion: To reduce amounts in the bill for spare parts, depot maintenance, recruiting, training, base operations, and military construction; and to insert authorization for military pay and retirement reform, funding for agricultural emergencies, funding for Hurricanes Mitch and Georges recovery, funding for several non-emergency matters, several rescissions and offsets, technical corrections to P.L. 105-277, and funding for emergency food assistance. Results: Rejected, 20 Yeas to 35 Nays. Members Voting Yea Members Voting Nay Mr. Boyd Mr. Bonilla Mr. Cramer Mr. Callahan Ms. DeLauro Mr. Cunningham Mr. Dixon Mr. DeLay Mr. Edwards Mr. Dickey Mr. Hinchey Mr. Dicks Mr. Hoyer Mrs. Emerson Mr. Jackson Mr. Forbes Ms. Kaptur Mr. Frelinghuysen Ms. Kilpatrick Ms. Granger Mrs. Meek Mr. Hobson Mr. Obey Mr. Istook Mr. Olver Mr. Kingston Mr. Pastor Mr. Knollenberg Ms. Pelosi Mr. Kolbe Mr. Price Mr. Latham Ms. Roybal-Allard Mr. Lewis Mr. Sabo Mr. Miller Mr. Serrano Mr. Mollohan Mr. Visclosky Mr. Moran Mr. Murtha Mr. Nethercutt Mr. Packard Mr. Peterson Mr. Porter Mr. Regula Mr. Rogers Mr. Skeen Mr. Sununu Mr. Tiahrt Mr. Walsh Mr. Wamp Mr. Wicker Mr. Wolf Mr. YoungDissenting Views There are several sets of issues raised by the President's request for emergency spending to deal with the current crisis in Kosovo. One set deals with current U.S. policies toward Kosovo and the adequacy of the funds requested to implement those policies. The other deals with the integrity of the congressional budget process and the use of the ``emergency spending'' designation to exempt certain spending items from the ceilings established within that process. This Committee, at the firm direction of the House Leadership, appears to have placed itself on both sides of both sets of issues. While many members of the Committee voted against resolutions supporting current military efforts in Yugoslavia, most of those same members are insisting on an enormous increase in the President's request for funding those efforts. At the same time, those members appear to have reversed themselves on the use of the emergency spending powers within the Budget Act. Only a month ago they were arguing (at the insistence of their leadership) that emergency spending authority should be used so sparingly that the Congress could not address the current farm crisis or the hurricane disaster which struck Central America without rewriting the budget for the current fiscal year. As a result, no action on either of those crises has yet been taken. Now the Committee Majority is arguing that the emergency designation procedure should be used to add billions to the President's request for Kosovo--even though most of that spending is unrelated to Kosovo and falls entirely outside the Budget Act requirements for emergency spending. The President's request It is difficult to understand the magnitude of the inconsistency displayed by the Committee on either of these issues without first reviewing the President's request for Kosovo. That request--particularly with respect to military operations--is in a word, robust. It contains the funds needed to meet all costs and replace all items used thus far in the Kosovo conflict. It contains sufficient funds to fill Yugoslavian airspace with allied aircraft to virtual capacity between now and the end of the current fiscal year on September 30th and to drop all of the munitions that those aircraft are capable of carrying for each of the remaining 148 days during that period. That includes funds for all of the 500 planes which have been in use since the beginning of the air conflict, the 82 additional planes that were requested last month, and the 300 new planes now being sent into the region. It contains sufficient funds to build and arm an Apache helicopter base near the Albanian border. There are funds to provide for as many as 50 Apache helicopters along with the tanks, infantry forces and ATACMS missiles to protect the base and support operations. It fully funds the callup of 33,000 reservists. On top of every identified need, there is also an $850 million reserve fund to pay for additional parts, munitions or other possible contingencies if needed. In short, the air war against Yugoslavia will not be constrained by lack of funding under the President's $6 billion request. Additional funding will not intensify the air war. General Wesley Clark, the Supreme Allied Commander of NATO, may be prevented from conducting the most aggressive possible air campaign because of uncooperative weather, lack of political consensus among the allies or simply the lack of airspace over the targets, but he will not lack financial resources. In addition to these military items, the President has requested $591 million for Department of State refugee relief, economic support, and embassy security needs. The Committee response The role of the Appropriations Committee has traditionally been to protect the public from the potentially excessive demands for spending by the Executive Branch. In most years, the Committee has not only cast a skeptical eye on administration spending proposals but has recommended spending levels well below the amounts requested. That tradition stands in sharp contrast to the contents of the legislation accompanying this report. For defense, the Committee has added $6.9 billion to the $5.5 billion that was requested for the Department of Defense for a total of $12.4 billion--a 125% increase above requested levels. It has provided $460 million for additional munitions, $400 million for unanticipated and unidentifiedprocurements, $1 billion for a wide variety of military construction projects around the world, $1.3 billion for additional spare parts, $900 million for additional maintenance and about $800 million for several smaller items. It has also included $1.84 billion for the President's proposed increase in military pay and retirement benefits scheduled to take place next year; but it neglected to include the authorizing language which would actually deliver those benefits to the troops. The Majority members of the Committee insist that these funds are necessary because of critical worldwide shortages in U.S. military munitions, spare parts and maintenance funds. If such shortages do exist it is appropriate to ask why. And it is also appropriate to ask who is responsible. JDAM cutback Recently, discussion of military shortages has focused on the potential shortage of Joint Direct Attack Munitions (JDAM). There is a possibility that the Pentagon may exhaust existing stocks of these all weather, satellite guided precision bombs before new shipments arrive later this month. If we have poor weather in the Balkans in the coming weeks, that shortage could impede the air war. The reason for the shortage however, is not a lack of defense spending but a lack of spending on the right items within the defense budget. While the Congress succeeded in spending well above the President's request for defense last year, they actually cut his request for JDAM procurement by 13%--from $53.2 million to $46.2 million. Those funds were redirected to other large-scale procurement items that the Pentagon had not requested but which were produced in the states and districts of powerful Senators and Representatives. Over the last four fiscal years (FY1996 through 1999), Congress has added about $27 billion, or 2.5%, to military spending above the levels requested by the President. While many of the advocates talk about the desperate shortages in readiness when they argue for these sums, the nature of the emergency seems to change radically when it comes time to spend the money. According to CBO data only about $3.6 billion or 14% of these add-ons went for spare parts, training, equipment maintenance and other areas of defense readiness. Senator John McCain pointed out in Defense Daily last year: * * * pork barrel spending is at an all time high * * * The lack of appreciation of the problems the men and women in the military face--and now the belief that somehow the defense budget is the way to fund home-town pork projects and pump up the National Guard at the expense of the regular forces--I think is really very serious. Military construction add-ons Also contained in this package is more than $1 billion for additional military construction spending. Only a tiny fraction of these funds have any arguable relevance to the current military activity in Yugoslavia. The 77 projects which are funded are scattered in locations ranging from Southwest Asia to Northern Europe. Few of the projects can be completed within a 12- or even 24-month timeframe and it is highly questionable whether they represent the most pressing military construction needs. Nearly half, or 37, of these projects representing $335 million in total spending are not even contained on the Pentagon 5-year plan for upgrading physical infrastructure. These projects at U.S. bases in Germany are being pushed ahead of construction needs that the Pentagon's own methodical internal review process says are more important. This Committee does not have the expertise to make such judgments. They require massive amounts of information and planning. If the Committee believes that Pentagon prioritization of infrastructure needs is badly out of whack, it should demand that the Pentagon fix it. If it does not, it should largely abide by those judgments in allocating scarce resources. Responsible use of emergency spending authority In 1990, the Congress adopted various reforms to the Budget Act. In order to permit the inclusion of rigid caps on discretionary spending, the Bush administration proposed that the flexibility necessary to respond to unforeseen emergencies be preserved by providing emergency spending authority. According to the President's OMB Director at the time, Richard Darman, that authority should be used only when the need for funds is ``urgent'', ``unanticipated'', and ``essential.'' The current majority caucus in the House has had a great deal of difficulty over the years in coming to terms with this provision of the Budget Act. In1993, when vast areas of the Mississippi and Missouri River Valleys were under water and billions in crops, livestock, businesses and homes had been lost, a majority of House Republicans opposed the use of the emergency spending authority to provide relief to the flood victims. In the end they backed away from the insistence of some of their members that the aid be provided with a 16% across the board cut rather than through the use of the emergency clause. In 1996 they delayed action for months on a second flood that had struck communities in the Upper Midwest because of disagreements over this same provision allowing for emergency appropriations. They relented only after the public became outraged at congressional inaction. But in the fall of 1998, House Republicans reversed field entirely. In response to an administration request for a little more than $7 billion in emergency funding to deal with the bombing of U.S. embassies in Africa, cope with the year 2000 computer bug, sustain U.S. military operations in Bosnia and relief for the victims of East Coast hurricane damage, Congressional Republicans demanded their own list of ``emergency spending'' items. By the time the process was over a billion dollars had been added for anti-missile defense, a billion and a half dollars for various intelligence programs and $0.7 billion for anti-drug activities. The entire package came to $21.3 billion and none of it was offset. The field was reversed again this spring when the administration asked for $963 million to deal with problems created by Hurricanes Mitch and Georges and the devastation that they brought to Central America and the Caribbean. The original intention of the committee to proceed without offsets to this spending was reversed by a last minute leadership directive that they must be included. The offsets that were identified were unacceptable to not only House Democrats and the Administration but to Senate Republicans as well. Although the legislation passed the House by a very narrow margin, a conference committee to consider the differences between House and Senate versions has not met in the six weeks since it cleared both chambers. Now the House Republican Leadership has reversed course again. Rather than insisting on spending cuts to finance military operations in Yugoslavia they are insisting on doubling the amount of the surplus that will be used for that purpose. Furthermore, they are insisting that items that in no way qualify under the budget act definition of ``emergency'' be included. Of the $3 billion in additional Operations and Maintenance spending included in their package, $1.8 billion of that will not even be spent in the current year and is advance funding those activities for fiscal 2000. In the military construction category, of the more than $1 billion contained in the measure probably no more than $20 million is for projects that are related to Kosovo and could be built in a time frame that would conceivably make them useful to the current effort. While one might argue that nearly all of this $6.9 billion add on is nonemergency, there is clearly $2.9 billion that falls completely outside the definition. Whatever arguments one might make for appropriating a portion of next year's regular operations and maintenance funds in this fiscal year, that action cannot be justified as an ``unanticipated'' expense. The issue is even greater with respect to military construction projects that will take years to complete. Furthermore, if the committee really feels that there is an ``urgent'' need for more military construction they should at least pick projects that are on the Pentagon five-year plan and for which architectural and site development plans are available. The majority's alternating refusal to use emergency authority to address real emergencies when they occur and insistence on appropriating large sums under the emergency authority for items that clearly fail to meet the established criteria for emergency spending undercuts the credibility of the Congress on budget matters. It is also eating up significant portions of the surplus for questionable spending items. But most importantly, it is hamstringing our ability to act to protect the national interest in a consistent and timely manner--a failing that could be even more expensive in the long run. David Obey.