[House Report 106-756] [From the U.S. Government Publishing Office] 106th Congress Report HOUSE OF REPRESENTATIVES 2d Session 106-756 ====================================================================== TREASURY, POSTAL SERVICE, AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 2001 _______ July 18, 2000.--Committed to the Committee of the Whole House on the State of the Union and ordered to be printed _______ Mr. Kolbe, from the Committee on Appropriations, submitted the following R E P O R T together with ADDITIONAL VIEWS [To accompany H.R. 4871] The Committee on Appropriations submits the following report in explanation of the accompanying bill making appropriations for the Treasury Department, the Postal Service, the Executive Office of the President, and certain Independent Agencies for the fiscal year ending September 30, 2001, and for other purposes. INDEX TO BILL AND REPORT _______________________________________________________________________ Page number Bill Report Summary of the Bill........................................ 2 Title I--Department of the Treasury: Bureau of Alcohol, Tobacco and Firearms.................... 8 21 Bureau of Engraving and Printing........................... 33 Bureau of the Public Debt.................................. 15 34 Counterterrorism Fund...................................... 15 Departmental Offices....................................... 2 6 Department-Wide Systems and Capital Investments Programs... 3 8 Expanded Access to Financial Services...................... 4 14 Federal Law Enforcement Training Center.................... 5 17 Financial Crimes Enforcement Network....................... 4 13 Financial Management Service............................... 8 20 General Provisions--Treasury Department.................... 20 42 Inspector General for Tax Administration................... 4 10 Interagency Crime and Drug Enforcement..................... 8 19 Internal Revenue Service................................... 15 35 Money Laundering Strategy.................................. 11 Office of Inspector General................................ 3 10 Treasury Building and Annex Repair and Restoration......... 4 11 Treasury Forfeiture Fund................................... 15 United States Customs Service.............................. 11 24 United States Mint......................................... 34 United States Secret Service............................... 18 40 Violent Crime Reduction Programs........................... 16 Title II--Postal Service: Payment to the Postal Service Fund......................... 25 44 Title III--Executive Office of the President and Funds Appropriated to the President: Compensation of the President and the White House Office... 27 47 Council of Economic Advisers............................... 31 51 Executive Residence at the White House..................... 28 48 Federal Drug Control Programs.............................. 35 57 National Security Council.................................. 32 52 Office of Administration................................... 32 52 Office of Management and Budget............................ 32 53 Office of National Drug Control Policy..................... 33 55 Office of Policy Development............................... 32 51 Special Assistance to the President and Official Residence of the Vice President.................................. 31 50 Unanticipated Needs........................................ 61 Title IV--Independent Agencies: Committee for Purchase from People who are Blind or Severely Disabled...................................... 36 61 Federal Election Commission................................ 37 62 Federal Labor Relations Authority.......................... 37 63 General Services Administration............................ 38 63 Merit Systems Protection Board............................. 46 74 Morris K. Udall scholarship and foundation................. 47 74 National Archives and Records Administration............... 47 75 Office of Government Ethics................................ 48 77 Office of Personnel Management............................. 49 78 Office of Special Counsel.................................. 52 81 United States Tax Court.................................... 52 82 Title V--General Provisions: This Act................................................... 53 82 Title VI--Governmentwide General Provisions: Departments, Agencies, and Corporations.................... 62 84 Compliance with House Rules................................ 88 Tables..................................................... Summary of the Total Bill.................................. The accompanying bill contains recommendations for new budget (obligational) authority for fiscal year 2001 for the Department of the Treasury, the Postal Service, various offices in the Executive Office of the President, and certain Independent Agencies. The following table summarizes these recommendations and reflects comparisons with the budget, as amended, and with amounts appropriated to date for fiscal year 2000: [In thousands of dollars] ---------------------------------------------------------------------------------------------------------------- Budget Bill compared with New budget estimates of ---------------------------- (obligational) new Agency authority (obligational) Recommended New budget Budget fiscal year authority, in the bill authority estimate, 2000 enacted fiscal year fiscal year fiscal year to date 2001 2000 2001 ---------------------------------------------------------------------------------------------------------------- Treasury.............................. 12,352,437 14,520,692 13,225,949 +873,512 -1,294,743 Postal Service........................ 93,056 96,093 96,093 +3,037 .............. Executive Office of the President..... 654,422 702,245 656,499 +2,077 -45,746 Independent agencies.................. 14,969,147 16,437,796 15,123,722 +154,575 -1,314,074 Grand total..................... 28,069,062 31,756,826 29,102,263 +1,033,201 -2,654,563 ---------------------------------------------------------------------------------------------------------------- RECOMMENDATION The Committee recommends a total of $14,401,999,000 in discretionary resources for agencies under its jurisdiction; this includes $145 million for the Earned Income Tax Credit Compliance Initiative. After scorekeeping adjustments, the Committee's recommendation is $677,947,000 above the level appropriated in fiscal year 2000 and below the President's request by $2,126,830,000 in budget authority. GENERAL STATEMENT For fiscal year 2001, the Committee's recommendation reflects difficult choices made under tight budgetary constraints. Including technical and other scorekeeping adjustments, the allocation received by the Treasury, Postal Service and General Government Subcommittee provides an increase of $677,947,000 over fiscal year 2000 enacted levels. This allocation is nearly 5 percent above the current year. However, it does not fully accommodate basic requirements, including maintaining adequate personnel and support for the upcoming Presidential campaign and providing an estimated 3.7 percent pay raise to the approximately 150,000 federal employees supported through this appropriations measure. Moreover, this allocation does not fully support workloads associated with prior Congressional action, such as: training law enforcement personnel, reforming the Federal Election Commission, bringing Customs' drug interdiction air support on line, fully funding the Drug Free Communities Act, reducing unacceptably high levels of overtime within the Secret Service, and providing additional resources for the Internal Revenue Service (IRS) to implement reforms mandated by the Restructuring and Reform Act of 1998. With these basic requirements in mind, the allocation is short by approximately $175,000,000. In addition to these basic requirements, the Committee has other critical responsibilities, including: maintaining an adequate federal infrastructure through the General Services Administration (GSA); ensuring a smooth Presidential transition; providing resources to archive the Presidential and federal records of the Clinton Administration; supporting ongoing information technology reform within the IRS and the Executive Office of the President; maintaining a viable commercial automation system for the Customs Service; and ensuring the successful completion of major repair and restoration work underway at the National Archives, including work to preserve and protect the Charters of Freedom. Finally, the Committee notes that it was asked to consider a number of initiatives including: additional resources to more aggressively enforce our nation's gun laws; funds to begin replacing the Customs' antiquated import processing system; and resources to enhance investigations of money laundering, child labor violations and drug interdiction. With these additional responsibilities in mind, the allocation is short by approximately $1.3 billion. In making its recommendations, the Committee's first priority was maintaining current services for all federal law enforcement as well as most other agencies. The Committee notes, however, that the recommendation is below the request of $347,596,000 for the IRS to maintain current service levels by $52,591,000. With the exception of some enhancements to ongoing agency work and upgrades to critical information technology infrastructure, the Committee was unable to support any new initiatives for fiscal year 2001. Recognizing growing workloads of the Bureau of Alcohol, Tobacco and Firearms (ATF), the Committee has provided sufficient funds to assist ATF in its efforts to enforce our current gun laws. Additionally, the Committee believes it is critical for Customs to have the tools it needs to enforce our trade laws. The Committee is extremely concerned with the escalating costs and disruptions in service to Customs' current commercial automation system (ACS). Nevertheless, the Committee is compelled to provide resources to sustain ACS until it can be replaced. In total, the Committee provides $233,400,000 for Customs Automation and, given the priority of replacing ACS, includes not less than $105,000,000 to begin in earnest work on the new system, the Automated Commercial Environment (ACE) program, half of the amount requested by the President. The Committee expresses its disappointment in the President's proposed new tax to support ACE, a tax that may ultimately be found to violate international trade agreements. The Committee also notes the apparent inconsistency in the President's policy in regards to trade: on one hand promoting free trade and on the other failing to propose a direct appropriation to provide Customs with the tools it needs to ensure the expeditious and legitimate processing of cargo. The Committee regrets that it is unable to fund any new construction and significantly less building repair work than was requested. This includes not only courthouse and border station projects proposed through GSA, but other important projects such as renovation and restoration of the National Archives building, a new headquarters for the ATF, Federal Law Enforcement Training Center (FLETC) master plan projects, the next phase of the Food and Drug Administration consolidation, and the critical telecommunications requirements of the White House. The Committee is extremely concerned by the potential long-term costs and consequences that these construction delays may have on critical federal infrastructure. Nonetheless, the Committee could not support new construction at the expense of maintaining basic agency operations, particularly those related to federal law enforcement. The Committee notes that, if it were required to freeze appropriations at the fiscal year 2000 level, the net loss of personnel would be -2,031 FTE from Customs, -1,389 FTE from Secret Service, -388 FTE from ATF, and -8,528 FTE from IRS. The Committee recognizes that many of the proposed funding levels will require agencies to modify their anticipated financial and business practices during fiscal year 2001. This is especially true for the IRS and agencies with any construction requirements. The Committee acknowledges that IRS, GSA, and the National Archives have borne the brunt of the restraint on spending found in this bill, requiring denial of requested increases for the upcoming fiscal year. REPROGRAMMING AND TRANSFER OF FUNDS GUIDELINES The following reprogramming guidelines shall be complied with by all agencies funded by the Treasury and General Government Appropriations Act, 2001: 1. Except under extraordinary and emergency situations, the Committees on Appropriations will not consider requests for a reprogramming or a transfer of funds, or use of unobligated balances, which are submitted after the close of the third quarter of the fiscal year, June 30; 2. Clearly stated and detailed documentation presenting justification for the reprogramming, transfer, or use of unobligated balances shall accompany each request; 3. For agencies, departments, or offices receiving appropriations in excess of $20,000,000, a reprogramming shall be submitted if the amount to be shifted to or from any object class, budget activity, program line item, or program activity involved is in excess of $500,000 or 10 percent, whichever is greater, of the object class, budget activity, program line item, or program activity; 4. For agencies, departments, or offices receiving appropriations less than $20,000,000, a reprogramming shall be submitted if the amount to be shifted to or from any object class, budget activity, program line item, or program activity involved is in excess of $50,000, or 10 percent, whichever is greater, of the object class, budget activity, program line item, or program activity; 5. For any action where the cumulative effect of below threshold reprogramming actions, or past reprogramming and/or transfer actions added to the request, would exceed the dollar threshold mentioned above, a reprogramming shall be submitted; 6. For any action which would result in a major change to the program or item which is different than that presented to and approved by either of the Committees, or the Congress, a reprogramming shall be submitted; 7. For any action where funds earmarked by either of the Committees for a specific activity are proposed to be used for a different activity, a reprogramming shall be submitted; and 8. For any action where funds earmarked by either of the Committees for a specific activity are in excess of the project or activity requirement, and are proposed to be used for a different activity, a reprogramming shall be submitted. Additionally, each request shall include a declaration that, as of the date of the request, none of the funds included in the request have been obligated, and none will be obligated, until the Committees on Appropriations have approved the request. TITLE I--DEPARTMENT OF THE TREASURY Departmental Offices SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $158,934,000 Budget estimate, fiscal year 2001..................... 161,006,000 Recommended in the bill............................... 149,437,000 Bill compared with: Appropriation, fiscal year 2000................... -9,497,000 Budget Estimate, fiscal year 2001................. -11,569,000 MISSION The Departmental Offices' function in the Treasury Department is to provide basic support to the Secretary of the Treasury, who is the chief operating executive of the Department. The Secretary of the Treasury also has a primary role in formulating and managing the domestic and international tax and financial policies of the Federal Government. The Secretary's responsibilities funded by the salaries and expenses appropriation include: recommending and implementing United States domestic and international economic and tax policy; fiscal policy; governing the fiscal operations of the Government; maintaining foreign assets control; managing the public debt; overseeing the law enforcement functions carried out by the Treasury Department; managing development of financial policy; representing the United States on international monetary, trade and investment issues; overseeing Treasury Department overseas operations; directing the administrative operations of the Treasury Department; and providing executive oversight of the bureaus within the Treasury Department. This account also includes funding for the Office of Professional Responsibility. RECOMMENDATION The Committee recommends an appropriation of $149,437,000 for Departmental Offices, Salaries and Expenses, a decrease of $9,497,000 below the amount appropriated in fiscal year 2000 and a decrease of $11,569,000 below the budget estimate. The amount provided includes increases above the fiscal year 2000 enacted level of $7,332,000 for fixed costs to maintain current levels ($3,701,000 for pay, $474,000 for other labor-related benefits, $3,526,000 for non-labor items, and -$369,000 for one less compensable work day), $3,813,000 for productivity enhancements to Departmental Office information systems as a transfer from the Department-Wide Systems and Capital Investments Programs account, $854,000 to annualize the filling of 6 positions within the Office of International Affairs during fiscal year 2000, $504,000 and no more than 3 positions for increased management and coordination by the Office of Enforcement of the Department's involvement in the National Money Laundering Strategy, and $2,900,000 for grants to state and local law enforcement agencies to help combat money laundering--the same level as provided for fiscal year 2000 for this purpose within the Department-Wide Systems and Capital Investments Programs account. The Committee also assumes savings of $24,900,000 associated with one-time costs of the fiscal year 2000 emergency supplemental appropriation. The Committee has not provided funds for the Counterterrorism Initiative. Bill language has been added to allow the funds transferred into the account for productivity enhancements to remain available for two years. The Committee notes that the amount provided includes sufficient funding for the Department of the Treasury to provide up to $500,000 in contract awards to the National Law Center for Inter-American Free Trade, the same level as included for fiscal year 2000. Additional Committee guidance concerning the Department's actions with respect to the National Money Laundering Strategy is contained in this report under the heading, ``Money Laundering Strategy.'' From within amounts appropriated, the Committee has included $502,000 to reimburse Morris County, New Jersey, for law enforcement agencies overtime pay associated with the World Bank protests on March 31, 2000 to April 2, 2000; $150,000 for Arlington County, Virginia, law enforcement agencies overtime pay associated with the World Bank and IMF protests of April 2000; and not to exceed $300,000 to reimburse the State Police, the police departments of the towns of New Castle, North Castle, Mount Kisco, Bedford, and the Department of Public Safety of Westchester County of the State of New York. Budget Restructuring The Committee does not approve the budget restructuring as proposed in the budget justification for Departmental Offices, Salaries and Expenses. In particular, the Committee does not approve the dissolution of the budget activity for executive direction; providing executive direction to the bureaus within the department is a major responsibility of the Secretary of the Treasury. The Committee does not object to the recasting of the budgets for the Office of Domestic Finance, Office of Tax Policy, Office of Economic Policy, and Office of International Affairs into two budget activities (a budget activity for Economic Policies and Programs and one for Financial Policies and Programs) as proposed by the Department as long as future budget justifications display the separate office budgets in a manner similar to that which is currently provided for the Office of Enforcement and the Office of Foreign Assets Control. Should the Department desire to recast the budgets for these Offices, then the Committee directs that the Department provide a report to the Committee within 60 days of the enactment of this act describing the new budget structure and providing crosswalk tables from the old budget structure to the new structure for the current and budget years. Office of Enforcement The Committee continues to believe that Treasury law enforcement requires leadership, coordination, and advocacy within the Department. To help assess the operation and performance of the Office of Enforcement and its components, such as the Office of Professional Responsibility, the conferees for the fiscal year 2000 appropriation directed the General Accounting Office (GAO) to undertake a management review. That study will soon commence, and the Committee expects to receive the GAO report in time for consideration with the fiscal year 2002 appropriation request. reception and representation allowances The Committee is concerned to learn that the Under Secretary of Enforcement has required the various Treasury law enforcement bureaus to transfer a portion of their reception and representation funds to the Office of the Under Secretary. Although there may be certain functions appropriate to the involvement of all the Treasury law enforcement bureaus, the Committee reminds the Under Secretary that expenses for these events are accommodated within the amounts authorized for Departmental Offices reception and representation allowances. In the event that the Under Secretary believes that Departmental Offices representation allowances are insufficient to meet current needs, the Under Secretary should submit a justification for increases to this allowance to the Committee for its consideration. The Committee also directs the Under Secretary to submit for advance approval any requirement to use reception and representation allowance funds from any appropriation account other than Departmental Offices, Salaries and Expenses. treasury law enforcement funding and personnel issues In its report accompanying the fiscal year 2000 appropriation bill, the Committee expressed its concern with a lack of Administration attention to providing the proper resources, staffing and management needed for Treasury law enforcement. The Committee directed the Secretary of the Treasury to conduct a study on the overall requirements for Treasury law enforcement and to develop recommendations on how to ensure full funding and staffing for the bureaus. These recommendations were to include, but not be limited to, funding requirements, hiring authority, personnel compensation, overtime practices, training, and other areas critical to meeting the investigative and protective missions of Treasury law enforcement. The report should address the need for, and reasons for the delay in implementing, Schedule B hiring authority for certain law enforcement positions, particularly for the Customs Service and ATF. It should also address the appropriate allocation of Senior Executive Service positions for Treasury law enforcement bureaus. The Committee underscores that it expects that the Secretary will submit a final report to the Committee by November 1, 2000. Department-Wide Systems and Capital Investments Programs Appropriation, fiscal year 2000 to date............... $43,448,000 Budget estimate, fiscal year 2001..................... 99,279,000 Recommended in the bill............................... 41,787,000 Bill compared with: Appropriation, fiscal year 2000................... -1,661,000 Budget Estimate, fiscal year 2001................. -57,492,000 mission This appropriation succeeds the Automation Enhancement appropriation established by the Treasury, Postal Service and General Government Appropriations Act, 1997, and funds the modernization of Treasury business processes and increases in Department-wide systems efficiency through technology investments for systems that involve more than one Treasury bureau or Treasury's interface with other governmental agencies. recommendation The Committee recommends an appropriation of $41,787,000 for Department-Wide Systems and Capital Investments Programs, a decrease of $1,661,000 below the amount appropriated in fiscal year 2000 and a decrease of $57,492,000 below the budget estimate. The amount provided includes an increase above the fiscal year 2000 enacted level of $14,779,000 for communications infrastructure (including radios and related equipment) associated with Departmental law enforcement responsibilities for the Salt Lake City Winter Olympics scheduled for the year 2002. Decreases from the fiscal year 2000 enacted level include reductions of $4,327,000 for non- recurring costs associated with Y2K; $3,813,000 for transferring productivity enhancements for Departmental Office information systems to the Departmental Offices, Salaries and Expenses account; $2,900,000 for transferring grants to state and local law enforcement to help combat money laundering to the Departmental Offices, Salaries and Expenses account; and $5,400,000 for transferring the International Trade Data System to the Customs Service. The Committee reminds the Administration that this account is intended for department-wide capital investments and systems modernization efforts. No positions are paid for by this account; the management of projects funded through this account is conducted by Treasury employees organizationally located throughout the Departmental Offices and Treasury bureaus whose salaries are paid from other appropriations either directly or indirectly. Integrated Treasury (Wireless) Network The Committee notes that the Administration proposes to transfer receipts from the Federal Communications Commission's analog spectrum lease fee to cover the entire amount proposed as an increase for the Integrated Treasury Network for wireless communications ($55,000,000). This action, similar to that proposed last year, has yet to be authorized. However, the Committee is aware of the National Telecommunications and Information Administration requirement for Treasury bureaus to switch their communications equipment from wide-band channels to narrow-band channels by 2005. This requirement has serious implications for the law enforcement bureaus of the Department of the Treasury, as only about one-third of the radios owned by Treasury bureaus currently have narrow-band capabilities. In funding the Department of the Treasury's law enforcement communication commitments for the 2002 Salt Lake City Winter Olympics in this account, the Committee has provided for the most pressing communication need of the Department. The Committee denies without prejudice the funds requested for the Public Safety Wireless Network/Federal Law Enforcement Wireless Users Group. The Committee notes that this effort is operational in nature and would be more appropriately funded in a different account. Office of Inspector General salaries and expenses Appropriation, fiscal year 2000 to date............... $30,599,000 Budget estimate, fiscal year 2001..................... 33,608,000 Recommended in the bill............................... 31,940,000 Bill compared with: Appropriation, fiscal year 2000................... +1,341,000 Budget Estimate, fiscal year 2001................. -1,668,000 mission This appropriation provides agency-wide audit and investigative functions to identify and correct operational and administrative deficiencies, which create conditions for existing or potential instances of fraud, waste, and mismanagement. The audit function provides program, contract, and financial statement audit services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters relative to negotiation, award, administration, repricing, and settlement of contracts. Program audits review and evaluate all facets of agency operations. Financial statement audits assess whether financial statements fairly present the agency's financial condition and results of operations, the adequacy of accounting controls, and compliance with laws and regulations. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations. The Office of Inspector General also provides for internal investigations made by the Office of Internal Affairs and Inspection in the Bureau of Alcohol, Tobacco and Firearms, the Customs Service, and the Secret Service. recommendation The Committee recommends an appropriation of $31,940,000 for the Office of Inspector General, an increase of $1,341,000 above the amount appropriated for fiscal year 2000 and a decrease of $1,668,000 below the budget estimate. The increase provided above the fiscal year 2000 enacted level is to cover increases in fixed costs so that the Office of Inspector General can maintain current levels of service. The Committee denies without prejudice the additional amounts requested. Inspector General for Tax Administration salaries and expenses Appropriation, fiscal year 2000 to date............... $111,781,000 Budget estimate, fiscal year 2001..................... 118,427,000 Recommended in the bill............................... 116,427,000 Bill compared with: Appropriation, fiscal year 2000................... +4,646,000 Budget Estimate, fiscal year 2001................. -2,000,000 mission The Internal Revenue Service (IRS) Restructuring and Reform Act of 1998 established the Office of Treasury Inspector General for Tax Administration and abolished the IRS Office of the Chief Inspector. The Office was established in January of 1999 as required by that legislation. The Treasury Inspector General for Tax Administration conducts audits, investigations, and evaluations to assess the operations and programs of the IRS and its related entities, the IRS Oversight Board and the Office of Chief Counsel. The purpose of those audits and investigations is to: (1) promote the economic, efficient, and effective administration of the nation's tax laws and to detect and deter fraud and abuse in IRS programs and operations; and (2) recommend actions to resolve fraud and other serious problems, abuses, and deficiencies in these programs and operations. recommendation The Committee recommends an appropriation of $116,427,000 for the Inspector General for Tax Administration, an increase of $4,646,000 above the amount appropriated for fiscal year 2000 and a decrease of $2,000,000 from the budget estimate. The increase above the fiscal year 2000 enacted level is to partially cover increases in fixed costs so that the Treasury Inspector General for Tax Administration can maintain current levels of service. The Committee has included a new general provision (Section 115) modified from the one proposed by the Administration, that allows an increase of up to two percent of the budget of Treasury Inspector General for Tax Administration, derived from transfers of funds from the appropriations of the Internal Revenue Service, upon advance approval of the Committees on Appropriations. Treasury Building and Annex Repair and Restoration Appropriation, fiscal year 2000 to date............... $22,700,000 Budget estimate, fiscal year 2001..................... 31,000,000 Recommended in the bill............................... 31,000,000 Bill compared with: Appropriation, fiscal year 2000................... +8,300,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation funds the repairs, selected improvements, and construction necessary to renovate and maintain the Main Treasury, the Treasury Annex, and other Treasury buildings. recommendation The Committee recommends an appropriation of $31,000,000 for Treasury Building and Annex Repair and Restoration, an increase of $8,300,000 above the amount enacted for fiscal year 2000 and the same as the budget estimate. These funds will permit the Department to continue the program for renovation and modernization of the historic Main Treasury Building in Washington, D.C. Money Laundering Strategy Appropriation, fiscal year 2000 to date............... ................ Budget estimate, fiscal year 2001..................... $15,000,000 Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... ................ Budget Estimate, fiscal year 2001................. -15,000,000 mission This proposed new appropriation would provide additional funds beyond those currently included in the budgets of Treasury bureaus for money laundering. The appropriation also would fund increased coordination within the Department of the Treasury to work with various law enforcement entities involved in addressing money laundering crimes. recommendation The Committee does not recommend creating a new appropriation for the Money Laundering Strategy. The Committee has provided $504,000 in the Departmental Offices, Salaries and Expenses appropriation for enhancing Treasury management of its efforts to combat money laundering and for improving the coordination of efforts within the federal government and with state and local as well as international entities to fight money laundering. The Committee also provides the same level of support ($2,900,000) as was provided for fiscal year 2000 for state and local law enforcement grants to help combat money laundering; these funds are also located in the Departmental Offices, Salaries and Expenses appropriation. The Committee denies without prejudice the balance of the funds requested for inclusion in this proposed new appropriation. Although the Committee is concerned about the extent and scope of money laundering, it has not been given data that identify and quantify the types and levels of resources that the Department has already committed to this issue within its base budget, and how a program centralized in the Department would relate to and improve upon existing programs and cooperative efforts within the federal government and with state, local, and foreign governments. One of the key items of the National Money Laundering Strategy for 2000 is a thorough review of the resources devoted to anti-money laundering efforts. The Committee directs the Department of the Treasury to submit a report 60 days after the enactment of this act that identifies and quantifies the resources in the various accounts of the Department for the budget year (fiscal year 2001), the current year (fiscal year 2000), and the previous three fiscal years for combating money laundering and how these resources are currently being coordinated. The Committee raises the following concerns about the local geographic emphasis and approach adopted by the National Money Laundering Strategy for 2000: (1) money laundering is an international problem and a focus on local geographic areas does not intuitively address the heart of the issue, which is the fluidity by which criminal organizations launder their proceeds; (2) a crackdown on money laundering within specific geographic areas may only result in moving the criminal activity to a different area rather than eliminating the criminal activity; (3) the electronic aspect of fund transfers inherently broadens the scope of the issue beyond a local geographic area; and (4) such local geographic foci have a way of becoming viewed as permanent features unless strict and firm management is put in place, including the development of base line data for judging the extent of the local problem, quantifiable performance measures for monitoring program progress at a local level, and a clear concept of achievable goals for determining how and when a local effort should be terminated. Financial Crimes Enforcement Network salaries and expenses Appropriation, fiscal year 2000 to date.............. $27,818,000 Budget estimate, fiscal year 2001.................... 34,694,000 Recommended in the bill.............................. 34,694,000 Bill compared with: Appropriation, fiscal year 2000.................. +6,876,000 Budget Estimate, fiscal year 2001................ ................. mission The Financial Crimes Enforcement Network (FinCEN) is responsible for implementing Treasury's anti-money laundering regulations through administration of the Bank Secrecy Act, 31 U.S.C. section 5311, et seq (BSA). It also serves as a United States Government source for the systematic collection and analysis of information to assist in the investigation of money laundering and other financial crimes. FinCEN assists all law enforcement entities, including Federal, State, local and international, through information collection, sophisticated data analysis, and intelligence sharing through dissemination of its analytical products, technological assistance, and implementation of Treasury authorities. It prevents money laundering through its regulatory and outreach programs, including setting policy for and overseeing BSA compliance by financial institutions, and by providing BSA training for law enforcement, bankers, and bank regulators. FinCEN supports U.S. Government initiatives on money laundering and financial crime through multilateral organizations, such as the Financial Action Task Force (FATF) of the Group of Eight, and the UN. It is a catalyst for the development of Financial Intelligence Units (FIUs) in other countries, and the transfer of information on money laundering and financial services worldwide. As part of its regulatory mission, FinCEN plans to provide regulatory and enforcement support to ensure compliance by money service businesses (MSBs) with the requirements of the BSA, and it is requesting additional funding to carry out this expanded responsibility. recommendation The Committee recommends an appropriation of $34,694,000 for the Financial Crimes Enforcement Network, as requested by the President, and $6,876,000 above the amount appropriated in fiscal year 2000. Of the amounts provided, $2,851,000 reflects the cost to maintain current level spending, $1,750,000 covers activities previously funded in the Violent Crime Reduction Trust Fund, and $2,275,000 is to fund additional oversight responsibility for the Money Service Business regulatory program. magnitude of money laundering and data mining As part of its responsibilities to provide useful analysis of the intelligence it gathers on money laundering and financial crime, FinCEN requests that funding previously provided through the Violent Crime Reduction Trust Fund be continued in fiscal year 2001. In testimony, the Committee was informed that $500,000 of this would be used to continue work to establish a system to estimate the magnitude, flow and characteristics of money laundering and related financial crimes. FinCEN will work with the Financial Advisory Task Force (FATF) on an agreed methodology and scope, and plans to award a research contract this summer. The Committee strongly supports this initiative, in conjunction with related efforts by the Office of National Drug Control Policy to develop models of drug trafficking flows. The Committee directs FinCEN to provide a report with the fiscal year 2002 budget request detailing progress made towards the development of a robust measure of use to law enforcement, intelligence analysts, and policymakers. The Committee also includes funding for development of data mining software and a BSA data warehouse to improve the ability of FinCEN and law enforcement to enhance the quality of investigative information that can be derived from the vast and varied raw data collected by FinCEN. The Committee encourages FinCEN to ensure that the fruits of this effort are made available as soon as possible to Federal and other law enforcement through the Gateway and Secure Outreach programs. The Committee also continues to support efforts to improve and expand access to FinCEN programs through the Gateway Program, which permits state and local agencies to access FinCEN information through a secure system, and the Secure Outreach program, which will permit real-time access to data in FinCEN's Money Laundering Coordination Center and the Internal Revenue Service's Detroit Computing Center. Expanded Access to Financial Services Appropriation, fiscal year 2000 to date............... ................ Budget estimate, fiscal year 2001..................... $30,000,000 Recommended in the bill............................... -2,000,000 Bill compared with: Appropriation, fiscal year 2000................... +2,000,000 Budget Estimate, fiscal year 2001................. -28,000,000 mission This proposed new appropriation would fund a new effort to expand the access of low-income families to normal financial services. The appropriation proposes to accomplish its mission by performing research, by conducting outreach efforts to low- income families, and by working with the private sector to encourage financial institutions to expand access to electronic accounts and automatic teller machines. recommendation The Committee is aware of the potential benefits to be gained by individuals and families as a result of their making use of standard financial services. The Committee recommends an appropriation of $2,000,000 for the Secretary of the Treasury to develop and implement a pilot program to expand access to financial services to low-income individuals who do not currently utilize bank accounts or other financial service opportunities. Counterterrorism Fund Appropriation, fiscal year 2000 to date............... ................ Budget estimate, fiscal year 2001..................... $55,000,000 Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... ................ Budget Estimate, fiscal year 2001................. -55,000,000 mission This proposed appropriation would provide funding as a contingency for unanticipated costs associated with providing support to counter, investigate, or prosecute domestic or international terrorism, including payment of rewards, and to re-establish the operational capability an office, facility, or other property damaged or destroyed as a consequence of any domestic or international terrorist act. These funds would only be available to the extent that the President transmits an official budget request as an emergency requirement as defined in section 251(b)(2)(A) of the Balanced Budget and Emergency Deficit Control Act of 1985. Congress previously appropriated $15,000,000 for such a fund in the fiscal year 1997 Omnibus Consolidated Appropriations Act. recommendation The Committee is unable to recommend funding for this request, although the Committee acknowledges the inherently unpredictable nature of the terrorist threat this country faces. The Committee will consider any Departmental requests for reprogramming or transfer of funds for counter-terrorism purposes. Treasury Forfeiture Fund mission Public Law 102-393 (31 USC 9703) authorized the establishment of the Treasury Forfeiture Fund (TFF) with permanent, indefinite authority, to replace the Customs Forfeiture Fund, and provided that the TFF should receive all proceeds from assets seized by Treasury enforcement organizations. The TFF makes these funds available to pay or reimburse certain costs and expenses related to providing stable resources to cover the costs of effective asset seizure and forfeiture programs that occur pursuant to Treasury Department law enforcement activities. The Coast Guard also participates in the TFF. recommendation The Committee has provided no appropriation for the Treasury Forfeiture Fund, as the Administration requested none. The Committee assumes the availability of $42,500,000 in Super Surplus balances, as proposed by the Administration. SUPER SURPLUS AND THE SECRETARY'S ENFORCEMENT FUND Funding available in the Super Surplus to the Treasury Forfeiture Fund has fluctuated in recent years as a result of specific forfeiture events. The large balance available in fiscal year 2000 resulted in significant levels of such funding being used to support agency base operations. The Committee notes that the Administration's proposed use of the expected Super Surplus for fiscal year 2001 is for discrete, time- limited projects--with the exception of funding for Customs vehicles. The Committee believes this reflects the appropriate use of this fund, rather than as a substitute for continuing activities properly funded through base appropriations. The Committee generally supports the Department's proposal for use of the Surplus. However, because it cannot fund the requests for construction from regular appropriations, the Committee believes that the same convention should apply to new construction proposed to be funded through the Super Surplus, without any prejudice to the merit of those projects. The Committee therefore directs that the $7,290,000 in over- prospectus costs for the Bureau of Alcohol, Tobacco and Firearms (ATF) headquarters project not be funded in FY 2001, in keeping with the inability of the Committee to fund the main construction costs for the headquarters. Similarly, the Committee also directs that no Super Surplus funding go to either of the proposed Federal Law Enforcement Training Center (FLETC) projects: $7,590,000 for a dormitory at Glynco and $4,177,000 for a firing range at Artesia. Instead, the Committee directs that a total of $22,057,000 be provided for the National Integrated Ballistic Identification Network (NIBIN) program. $19,057,000 of this would be in lieu of funding for NIBIN requested in the ATF Salaries and Expenses account. This does not reflect any diminution of this Committee's support for a FLETC construction schedule that will permit full transition of U.S. Border Patrol basic training to FLETC in FY 2004. The Committee thus directs FLETC to continue to work towards completing the transition to conducting all basic training for the U.S. Border Patrol at FLETC facilities by the end of fiscal year 2004. The Committee will consider favorably funding in the FY 2002 appropriation to ensure that this schedule can be met. The Committee recommends specific funding levels as follows: US Customs Service: Vehicle Replacement................................. $11,000,000 Bureau of Alcohol, Tobacco and Firearms: IBIS/NIBIN.......................................... 22,057,000 Laboratory/FIRE Facility............................ 3,023,000 US Secret Service: Vice President's Residence Security................. 3,920,000 Federal Law Enforcement Training Center: Major Renovations................................... 2,500,000 -------------------------------------------------------- ____________________________________________________ Total............................................. 42,500,000 Violent Crime Reduction Programs Appropriation, fiscal year 2000 to date............... $130,081,000 Budget estimate, fiscal year 2001..................... ................ Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... -130,081,000 Budget Estimate, fiscal year 2001................. ................ MISSION Amounts for the Department of the Treasury's portion of Crime Control Programs were derived from transfers from the Violent Crime Reduction Trust Fund (VCRTF) as authorized by the Crime Control and Law Enforcement Act of 1994. RECOMMENDATION No funding is provided for the Violent Crime Reduction Trust Fund, as its authorization expires this year and there is no Administration request to re-authorize it. Some activities previously funded in this account are included in agency base appropriations. Federal Law Enforcement Training Center SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $84,027,000 Budget estimate, fiscal year 2001..................... 93,483,000 Recommended in the bill............................... 93,483,000 Bill compared with: Appropriation, fiscal year 2000................... +9,456,000 Budget Estimate, fiscal year 2001................. ................ MISSION The Federal Law Enforcement Training Center (FLETC) provides the necessary facilities, equipment, and support services to conduct advanced, specialized, and refresher training for Federal law enforcement personnel. This appropriation is for operating expenses of the Center, for research in law enforcement training methods, and curriculum content. In addition, the Center has a reimbursable program to accommodate the training requirements of various Federal agencies. As funds are available, law enforcement training is provided to certain State and local law enforcement, and in some cases, foreign government and private sector security personnel, on a space-available basis. RECOMMENDATION The Committee recommends an appropriation of $93,483,000 for FLETC Salaries and Expenses, as requested by the President, and $9,456,000 above the amount appropriated in fiscal year 2000. These funds will permit FLETC to carry out all its requested activities, including mandatory workload increases required to meet basic training needs for federal law enforcement agencies, such as the U.S. Border Patrol, and to meet increased basic training needs for Treasury law enforcement bureaus. WORKLOAD MANAGEMENT The Committee understands that costs per student-week of training exceeded expected levels in fiscal year 1999 in large part because of a shortfall in the numbers of new students for FLETC core basic training, chiefly for U.S. Border Patrol. At the same time, FLETC has testified that it can accommodate Customs in-service training at FLETC, and noted that many agencies may not ask for such training, given their assumptions of FLETC limitations. The Committee strongly urges FLETC, working with Treasury and other federal law enforcement agencies, to seek ways to use FLETC facilities and services for more advanced training when possible, whether at Glynco and Artesia, or through distant learning technology. The Committee recognizes that FLETC must adjust when agencies fail to deliver the predicted number of new students for basic training. However, every effort should be made to have alternative arrangements for other training to be provided in order to most effectively and economically utilize FLETC space and resources. As FLETC works with Treasury and Justice to move all Border Patrol basic training to FLETC by fiscal year 2004, the Committee expects FLETC to take into account resource requirements needed to provide advanced training where it would be in the best interest of law enforcement and the federal government. CAPITAL METROPOLITAN AREA LAW ENFORCEMENT TRAINING FACILITY FLETC and the Treasury Department have testified that a review is underway of options for establishing a Washington metropolitan area facility for training in perishable skills, chiefly firearms qualification and vehicle operation. The Committee understands that this review is being conducted in concert with Treasury, the U.S. Park Police, the Capitol Police, the Washington Metropolitan Police and other federal and local law enforcement agencies. FLETC is directed to report to the Committee by August 31, 2000, on the status of planning for such a facility, including any business plans or similar planning analyses. ADVANCED AND IN-SERVICE TRAINING The Committee is aware that the Customs Service, and possibly other agencies, are planning to establish new facilities to provide in-service training. One reason advanced for this is that FLETC lacks the capacity to accommodate the numbers of students, types of training, or schedule desired by Customs and other institutions. FLETC has stated that it could accommodate Customs at existing facilities, and has denied almost no requests to run advanced or specialized training at FLETC. However, agencies may not make requests for such training since they are aware that they may not get all their training needs met through FLETC. The Committee understands that FLETC cannot, and probably should not, be expected to provide all advanced training for agencies. In many cases agencies must exercise more control over in-service training and must integrate it into operations than could FLETC, as a non-operational entity. Before any new facility is established, the Committee expects that a detailed plan would be prepared that would first explore the use of existing FLETC facilities. FLETC must have a leadership role in such planning, given its expertise in training and its neutrality in terms of having no operational jurisdiction. The Committee understands that FLETC is working on using distance training technology to meet some of the requirements by remote classroom training. The Committee therefore directs FLETC to report to the Committee by August 31, 2000, on what initiatives are underway to meet in-service advanced training requirements. Acquisition, Construction, Improvements, and Related Expenses Appropriation, fiscal year 2000 to date............... $21,175,000 Budget estimate, fiscal year 2001..................... 17,331,000 Recommended in the bill............................... 17,331,000 Bill compared with: Appropriation, fiscal year 2000................... -3,844,000 Budget Estimate, fiscal year 2001................. ................ ........... MISSION This account provides for the acquisition, construction, improvements, equipment, furnishings and related costs for expansion and maintenance of facilities of the Federal Law Enforcement Training Center. RECOMMENDATION The Committee recommends an appropriation of $17,331,000 for the FLETC Acquisition, Construction, Improvements, and Related Expenses account, as requested by the President, and $3,844,000 below the fiscal year 2000 appropriation. MEETING THE MANDATE TO PROVIDE BASIC TRAINING The Committee remains fully committed to the principle of consolidated federal law enforcement training, and supports construction necessary to ensure that FLETC can provide all basic training required by federal law enforcement. The Committee is disappointed that it is unable to support new construction for FLETC in this bill, but is committed to support future requests to ensure FLETC can keep its schedule of meeting all basic training demands by fiscal year 2004. Interagency Law Enforcement INTERAGENCY CRIME AND DRUG ENFORCEMENT Appropriation, fiscal year 2000 to date............... $ 60,502,000 Budget estimate, fiscal year 2001..................... 103,476,000 Recommended in the bill............................... 103,476,000 Bill compared with: Appropriation, fiscal year 2000................... +42,974,000 Budget Estimate, fiscal year 2001................. ................ ........... MISSION This program consists of nine regional task forces that consolidate resources and expertise of 11 member federal agencies, in cooperation with state and local investigators and prosecutors, to target and destroy major narcotic trafficking and money laundering organizations. The funding for Treasury Department participation was included in the Department of Justice appropriation prior to fiscal year 1998. Since then, Treasury has administered its portion of the program through its Departmental Offices to reimburse the three Treasury bureaus--the Customs Service, the Bureau of Alcohol and Tobacco, and the Internal Revenue Service--for the costs of their employees detailed to the task forces, as well as for operating expenses during investigative phases of cases. RECOMMENDATION The Committee recommends an appropriation of $103,476,000, as requested by the President, and $42,974,000 above the amount appropriated in fiscal year 2000. Of this amount, $14,761,000 was previously funded in the VCRTF. The Committee includes $25,000,000 to fund participation by the Internal Revenue Service (IRS) in the task forces that IRS had previously funded through its Tax Law Enforcement appropriation. Financial Management Service SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $200,555,000 Budget estimate, fiscal year 2001..................... 202,851,000 Recommended in the bill............................... 198,736,000 Bill compared with: Appropriation, fiscal year 2000................... -1,819,000 Budget Estimate, fiscal year 2001................. -4,115,000 MISSION The Financial Management Service (FMS) is responsible for the management of Federal finances and the collection of Federal debt. As the Government's central financial agent, FMS receives and disburses public monies, maintains Government accounts, and reports on the status of the Government's finances. FMS is also accountable for developing and implementing the most reliable and efficient financial methods and systems to manage and improve the Government's cash management, credit management, and debt collection programs. Pursuant to the Debt Collection Improvement Act of 1996, FMS became the primary agency for the collecting of Federal non-tax debt which is due and owed to the government. Through FMS, there is a coordinated effort to collect debt from those who have defaulted on agreements with the Federal government. RECOMMENDATION The Committee recommends an appropriation of $198,736,000 for Salaries and Expenses for the Financial Management Service, a decrease of $1,819,000 below the amount appropriated for fiscal year 2000 and a decrease of $4,115,000 below the budget estimate. Within the level provided are the following increases: $5,190,000 to cover increases in fixed costs so that the FMS can maintain current levels of service; $2,200,000 for replacing the electronic verification system with the secure payment system; $1,650,000 for the government-wide accounting and reporting modernization project; $1,500,000 to replace the check payment and reconciliation system; $500,000 to modernize the payment application system; and $1,665,000 for the computer security/disaster recovery project. The Committee denies without prejudice the funding requested for the other system modernization increases. The approved increases are offset by decreases as proposed in the budget justification: -$5,635,000 associated with the closing of the Chicago regional finance center, -$7,989,000 from productivity savings in debt management, and -$900,000 in other non-recurring costs. DEBT COLLECTION During the current legislative session, the House Committee on Government Reform held a hearing on, and the General Accounting Office is reviewing aspects of, the debt collection activities of the FMS, including the use of private collection agencies to assist in the collection of debt. The Committee on Appropriations believes that, used appropriately, the privatization of debt collection through performance-based contracts can result in increased debt collections. The Committee on Appropriations encourages FMS to ensure its appropriate use of private debt collection agencies by placing suitable delinquent accounts with private debt collection agencies in an equitable and competitive manner. In developing and placing new performance-based contracts in the future, FMS should consider all factors that may affect the efficient collection of debt and that may impact the goal of maximizing debt collection, such as the size or average balance of such debt and the age of individual debts referred for collection. Bureau of Alcohol, Tobacco and Firearms SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $564,773,000 Budget estimate, fiscal year 2001..................... 760,051,000 Recommended in the bill............................... 731,325,000 Bill compared with: Appropriation, fiscal year 2000................... +166,552,000 Budget Estimate, fiscal year 2001................. -28,726,000 MISSION The Bureau of Alcohol, Tobacco and Firearms (ATF) is responsible for the enforcement of laws designed to eliminate certain illicit activities and to regulate lawful activities relating to distilled spirits, beer, wine and nonbeverage alcohol products, tobacco, firearms, explosives, and arson. Its responsibilities are focused on reducing the future number and cost of violent crimes; collecting revenue, reducing taxpayer burden and improving service while preventing diversion; and protecting the public and preventing consumer deception in ATF's regulated commodities. RECOMMENDATION The Committee recommends an appropriation of $731,325,000 for Salaries and Expenses for the Bureau of Alcohol, Tobacco and Firearms, $166,552,000 above the amounts appropriated in fiscal year 2000, and $28,726,000 below the amount requested by the President. Of the amounts provided $47,467,000 covers activities previously funded in either the VCRTF or the Treasury Forfeiture Fund. The Committee's recommendation will fully fund all gun law enforcement initiatives requested by the President. The Committee has directed that $19,057,000 requested for the National Integrated Ballistic Identification Network be funded through the Super Surplus. The Committee regrets that it is unable to fund the $5,521,000 requested to expand the effort related to tobacco tax compliance and diversion investigations. The Committee has not provided funds for the Counterterrorism Initiative. INSPECTOR SHORTFALL The Committee recognizes that limited budgetary resources make it difficult to increase the number of inspectors to meet the optimal annual targets for inspecting licensees that have been stated by ATF: 33 percent annually for federal firearms licensees (FFLs), and 100 percent annually for explosives licensees. In fact, ATF testified before the Committee that the current rate of FFL inspection is only about 10 percent, and that it has inspected fewer than 67 percent of explosives licensees in the past three years. The Committee recognizes that, even with the significant increase in inspectors being provided for gun law enforcement in fiscal year 2001, there will continue to be shortfalls in meeting these targets; the Committee is also aware that the focused inspection strategy that ATF is implementing may compensate somewhat for this lower rate. Furthermore, ATF has indicated that it might find it difficult to absorb any increases larger than those proposed. However, the Committee is concerned that it has not yet received the report mandated by the fiscal year 2000 Conference Report on what must be done to achieve the rate of inspections needed, at least for explosives licensees. The Committee strongly urges the ATF and the Treasury Department to submit this report to the Committees on Appropriations as soon as possible. alcohol labeling The Committee is concerned that the heavy volume of applications for label review by the Office of Alcohol and Tobacco (OAT)--more than 60,000 last year--has led to both increased turnaround times for label reviews as well as an increased number of complaints lodged due to the issuance of improper labels. The Committee directs the agency to take whatever steps it can, within existing resources, to ensure that alcohol products are properly labeled. The Committee also direct Treasury to include an assessment of the needs of the OAT in its law enforcement personnel review, including whether additional personnel or technical resources are required to manage projected workload. GUN VIOLENCE INITIATIVES As requested by the President, the Committee recommends $19,078,000 to expand the Youth Crime Gun Interdiction Initiative (YCGII) from 38 to 50 cities, bringing total funding to $76,400,000, and $41,322,000 to expand the Integrated Violence Reduction Strategy (IVRS), bringing total funding to $62,200,000, as requested by the President. This will expand the IVRS for specially-designed programs to assist State and local governments to combat violent crime by prosecuting persons (1) illegally transferring firearms or ammunition to individuals, particularly those who have not attained 18 years of age, or in violation of the Youth Handgun Safety Act; and (2) illegally possessing firearms or ammunition, particularly in violation of section 922(g) (1) and (2) of title 18, United States Code, in connection with a serious drug offense or violent felony, as those terms are used in that section. The Committee also recommends $4,304,000 to expand the National Integrated Ballistic Identification Network. Together with $22,057,000 provided through the Super Surplus, these funds will be used to implement the Memorandum of Understanding between the Treasury and Justice Departments to carry out a combined effort to image, document and trace ballistic information about crime guns. In addition, the Committee recommends $9,990,000 to expand ATF's gun tracing effort, in particular through the National Tracing Center bringing total funding to approximately $25,000,000. ATF has indicated that such funding should make it possible to reduce the current mean trace time for crime weapons from 11.2 to 5.6 days by 2002. The Committee encourages aggressive enforcement of the nation's firearms laws, and understands that this funding requires no additional statutory authority. Although ATF did not detail how much of the IVRS funding would be applied to different elements of that strategy, it did indicate that approximately one third would be used to prevent unlicensed dealing and investigations of those who supply guns to prohibited individuals. The Committee directs that, beginning with the fiscal year 2002 budget request, and on a quarterly basis thereafter, ATF should provide the Committee a detailed correlation between the substantial increase in funding for this initiative over the past two years and the impact such funding has had on the number and effectiveness of investigations and interdiction efforts, including the disposition of cases, prosecutions accepted and declined, and other case resolution at the state and federal level. This report should also describe specific activities, and the level of obligations and FTE devoted to each major IVRS component. youth crime gun interdiction initiative The Committee is concerned about the performance and accountability of this program, and has withheld its request for a Government Accounting Office review pending completion of a current study by the Treasury Inspector General. The Committee will review this study and adjust its recommendation for the program accordingly. GREAT PROGRAM The Committee recommends $13,000,000 to continue the Gang Resistance Education and Training (GREAT) program, equal to the President's request and to the amount available in fiscal year 2000 through the Violent Crime Reduction Trust Fund. This includes $10,000,000 for grants to local law enforcement organizations and $3,000,000 for ATF administrative support. The Committee expects to receive the longitudinal impact study of the GREAT program that is to be completed this summer. FIREARMS DATABASE ACCURACY The Treasury Inspector General, referring to its report OIG-99-018, recommended to Congress in a December 13, 1999, letter that ATF should (1) complete action to eliminate discrepancies in the National Firearms Registration and Transfer Record (NFRTR) database, (2) perform regular reviews to ensure accuracy and completeness, and (3) determine the extent to which it can legally obtain data to ensure that the registry correctly reflects all persons currently in possession of National Firearms Act (NFA) weapons. The Committee understands that some progress is being made in imaging and indexing NFA documents for the over 1.1 million weapons in the NFRTR. The Committee is aware that the Inspector General noted that it could not confirm that permits had been inadvertently destroyed, inappropriately added, or did not reflect that the person holding a registration was deceased. Such uncertainty could reduce confidence in ATF's ability to determine the validity of NFA registration; therefore the Committee strongly urges ATF to take whatever steps necessary to ensure that its records are accurate and complete, and requests that ATF report by September 30, 2000, on actions it has taken on the recommendations made by the Inspector General. face-to-face exchange of firearms The Committee understands that there does not appear to be a specific statutory prohibition against direct, ``face-to- face'' exchanges of firearms between licensed importers, manufacturers, dealers or collectors that reside in different states. The Gun Control Act of 1968 (GCA), 18 USC Sections 922(a)(2) and (3), allows licensed dealers to ship or transport firearms in interstate commerce only to such licensees. However, ATF has a long-standing interpretation that the GCA prohibits federal firearms licensees from personally transferring firearms away from their licensed premises, with the result that licensees have been obliged to use common carriers for such exchanges. While lawful, such transport does not seem the best or safest way to lawfully exchange firearms between dealers. The Committee directs ATF to report by September 30, 2000, on the legal basis for this interpretation, and whether it would permit the face-to-face exchange of rifles and shotguns. United States Customs Service SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $1,698,227,000 Budget estimate, fiscal year 2001..................... 1,887,866,000 Recommended in the bill............................... 1,821,415,000 Bill compared with: Appropriation, fiscal year 2000................... +123,188,000 Budget Estimate, fiscal year 2001................. -66,451,000 MISSION The United States Customs Service is the nation's principal border agency with responsibility to enforce the law, safeguard revenue, and support lawful international trade and travel. Its mission is to ensure that all goods that enter and exit the United States do so in accordance with all United States laws and regulations. This includes enforcing U.S. laws intended to stop trafficking in drugs and other contraband; protecting the American public and environment from the introduction of prohibited hazardous and noxious products; assessing and collecting revenue in the form of duties, taxes, and fees on imported merchandise; regulating the movement of persons, carriers, merchandise, and commodities between the United States and other nations, while facilitating the movement of all legitimate cargo, carriers, travelers, and mail; interdicting narcotics and other contraband; and enforcing certain provisions of the export control laws of the United States. RECOMMENDATION The Committee recommends an appropriation of $1,821,415,000, $123,188,000 above the amount appropriated in fiscal year 2000, and $66,451,000 below the level requested by the President. Of the amount provided, $92,741,000 covers activities previously funded either in the VCRTF or the Treasury Forfeiture Fund. The Committee recommendation will fund the Administration's request, with the following exceptions. The Committee regrets that it is unable to fund the initiatives for the narcotics illicit proceeds strategy, or to support Presidential Decision Directive 62. In addition, the Committee is disappointed that the Customs facility at the Louisville International Airport, for which the Committee provided $212,000 in fiscal year 2000, is not yet operational. Within existing funds, the Committee directs the Customs Service to use up to $388,000, if necessary, to complete the renovations to the airport necessary to permit Customs Service operations to begin. The recommendation includes $9,500,000 to attack drug smuggling organizations, instead of the requested $25,000,000, as well as an additional $2,000,000 for the forced child labor initiative, instead of the requested $5,000,000. The Committee regrets also that it is unable to fund $7,500,000 for vehicle replacement, but notes that $11,000,000 of the Super Surplus in the Treasury Forfeiture Fund may be used for this purpose. The Committee has not provided funds for the Counterterrorism Initiative. TECHNOLOGY INVESTMENTS The fiscal year 1999 appropriation included $134,000,000 for inspection technology under the Customs Service technology plan to improve its ability to screen cargo and passengers along the southern tier of the United States. However, although the plan calls for an additional $77,000,000 to complete the program, no additional funding had been requested until the Administration budget amendment of May 18, 2000, which proposed $20,000,000 for northern border ports. No funding has been proposed for other ports, nor is there further funding for upgrading existing systems as may be required. Given the great potential of such technology to multiply Customs' inspection capability, the Committee strongly supports investments in technology such as mobile x-ray, gamma ray, and container x-ray systems, as well as pursuit of promising technologies such as neutron interrogation and pulsed fast neutron analysis. Although the Committee is unable to provide more resources at this time, it urges Customs to include additional funding for investment in inspection technology as it develops its fiscal year 2002 budget, and would be receptive to requests for reprogramming or the use of Super Surplus funds for this purpose in fiscal year 2001. The Committee is also aware of the potential impact that new technical developments may have for improving the ability of the Customs Service to provide physical security at ports of entry, or to assist in its investigative mission such as new technology that permits improved surveillance of suspect vehicles and other targets of investigations. The Committee encourages the Customs Service to continue to explore and test such technologies that may enhance their efforts, and to factor them into budget planning where appropriate. CUSTOMS INSPECTION SERVICES FOR INTERNATIONAL AIR CARGO The Committee remains concerned about the availability of Customs Service personnel to provide inspection services for airports that are experiencing increases in traffic or project such increases as a result of regional development patterns. In many locations, Customs has been asked to initiate or expand the level and availability of such services. The Committee recognizes that decisions to allocate inspectors and related personnel must be based on staff availability, funding considerations, levels of current or expected traffic, as well as the need to enforce trade laws and counter smuggling threats. It also recognizes that some airports such as Dulles, Louisville, or Miami International Airports are experiencing growth and may have good grounds to initiate or expand cargo traffic, which depends on the availability of specific Customs inspection services. In addition, the Committee is aware that trade growth is causing commercial traffic to spill over into airports that lack Customs services necessary to process that traffic. The Committee has received numerous requests for increases in staffing and facilities from Members of Congress, the trade community, and the general public. In some cases, airports and communities experiencing this growth are exploring novel ways to secure and finance these services. Given the enormous increase in commercial trade being experienced in this country, and in light of strong bipartisan support for measures to accommodate that increase, the Committee urges the Customs Service to identify and request the necessary personnel to meet this growing need. The Customs Service must avoid becoming itself a barrier to the growth of international trade. The Committee continues to await completion of a Customs staffing resource allocation model that can be used to guide staffing decisions, and direct staffing resources to where the need for Customs services are greatest. The Committee directs the Customs Service to work closely with airport authorities and the trade community to ensure that it will meet the requirements to provide new and expanded service. RESOURCE ALLOCATION MODEL The Committee was told over a year ago that the Customs staffing resource allocation model was near completion, but it remains under review and not yet operational, nor has this Committee received any information about the characteristics of the model. Given the numerous requests to establish, expand, or preserve Customs presence at various ports, it is essential that Customs have such a model in place to permit a more transparent and consistent basis for making such decisions. The Committee therefore directs Customs and the Treasury Department to expedite completion of the model and to report to the Committee not later than September 1, 2000, on the status of implementation. SEAPORT SECURITY The President's Commission on Seaport Security completed its work early this year, but the report has not been released. The urgency of making the Commission's report public should not be underestimated. America's seaports represent a major artery for critical trade and passenger traffic, and are vulnerable to threats both in terms of physical security and criminal activity such as narcotics trafficking and alien smuggling. The Committee expects this report to address problems related to the size and openness of seaport facilities, the potential pressure for rapid movement of cargo to come at the expense of enforcing border security, and the apparent lack of meaningful controls on access to such sites or requiring credentials to be displayed by employees and others, as is the rule at airports. In addition, the Committee expects some recommendations from the study relating to improving Customs Service physical proximity to the port areas for its cargo inspection operations, and enhancing the timeliness of manifest information or export documentation. The Committee strongly urges that the Commission report and its recommendations be released as soon as possible for consideration by the public and Congress. Northern Border Security This Committee has frequently decried the inadequacy of the federal response to smuggling and other threats facing the southern border and ports of entry to the U.S. The security threat to the northern border of the U.S. was made plain last winter following the arrests of suspected terrorists attempting to enter the United States from Canada into Washington State and Vermont. The need for increased vigilance along our long, undefended border with Canada is beyond dispute. At the same time, commerce with Canada, our major bilateral trading partner, grows apace. Yet aging infrastructure and staffing shortages have created significant bottlenecks as well as increased the vulnerability to potential security threats at a number of ports of entry. The Committee is concerned about a lack of planning for and commitment to provide the necessary personnel, facilities and related infrastructure needed to keep our border crossings safe and yet facilitate the smooth movement of commerce and passengers. The Committee directs the Customs Service, working with the General Services Administration, the Immigration and Naturalization Service, and other agencies with concerns for border inspection and facilities, to evaluate the inadequacies that presently exist and submit to the Congress a plan to address them with the submission of the fiscal year 2002 budget. rural border crossing stations The Customs Service plays a critical role in protecting the nation's security interests and ensuring the efficient flow of international commerce and travel. The Remote Video Inspection System (RVIS) has operated at several northern crossings, such as Pittsburg, New Hampshire, in lieu of on-location inspectors to clear travelers, and has met with success in processing travelers at many of these small ports of entry. However, recent incidents at such small ports, including crossings by individuals with possible links to suspected terrorist organizations overseas, highlight the risk in using remote inspections at these rural sites. The Committee encourages the U.S. Customs Service to examine the hours of operation of all rural border crossings and the effectiveness of the RVIS in sparsely populated locations. The RVIS should be used primarily in locations with adequate populations and commercial activity proximate to the border sufficient to provide an appropriate level fo registrations and pre-screenings of frequent border travelers. Stations that do not fit this profile should be evaluated for operation on a 24 hours per day basis. A study of a station's hours of operation should also include an evaluation of any alternate crossing locations. Proximity to stations that are open 24 hours per day and the level of hardship caused by such routing should be considered as important fctors. The Committee also encourages the Customs Service to undertake more timely and thorough efforts to warn potentially affected populations and frequent users before changing the alert status or hours of operation of any station. Such efforts should include notification of this Committee and those Members representing affected districts. Racial Profiling The Committee commends the Customs Service for its prompt response in appointing an advisory panel to investigate allegations that African-Americans were being targeted for Customs inspections, detention, and personal searches, at numerous ports of entry, based simply on their skin color. The Committee strongly condemns the practice of racial profiling and demands an unswerving commitment from all levels of law enforcement, including the Customs Service, to ensure equal treatment in their inspection and enforcement practices. Therefore, the Committee directs the Customs Service to provide the Committee with the findings and recommendations submitted by the advisory panel no later than July 31, 2000. In addition, Customs shall report on its proposed response to the panel's recommendations, a timetable for implementation of the recommendations that Customs accepts and justification for any recommendations not accepted. inspection of inbound and outbound mail and parcels The Committee is concerned about the number of packages and parcels that enter and exit the country without the deliberate and necessary scrutiny by the Customs Service. Therefore, the Committee directs the Customs Service and the U.S. Postal Service to draft a joint report outlining the problems and possible solutions affecting Customs' ability to properly and effectively screen, inspect, and review all parcels and packages entering and exiting the United States. These two agencies should work cooperatively to ensure the safety of our nation's borders from illegal drugs, money laundering, and other types of high-technological fraud. Further, the issue of electronic manifests, timely collection of fees, and other issues of parity in the treatment of the Postal Service and private carriers by the Customs Service should be addressed. This report should be transmitted to the appropriate authorizing and appropriation committees upon its completion, which should be no later than one hundred eighty (180) days after enactment of this legislation. wait times on southwest border The Committee has received reports that wait times at ports of entry along the southwest border, particularly in Arizona and New Mexico, have become longer in recent years, coinciding with both growing traffic volume and strengthened border enforcement. The consequence for passenger and commercial traffic, particularly that entering the U.S., has been significantly longer delays for routine commuter and commercial processing. The Committee believes that Customs must maintain its alert posture to possible smuggling and trafficking along the border, but should also seek improvements in facilitating travel and commerce clearance. For example, in passenger processing Customs should consider expanding pre-enrollment programs, or providing additional passenger service representatives to help expedite routine border crossing. Since modernization of automated import processing and similar systems may be delayed, the Committee also urges Customs to evaluate ways to expedite clearance and physical processing of commercial traffic. foundry coke import data Prior to January 2000, there was no distinction in the Harmonized Tariff Schedule (HTS) between foundry coke and furnace coke. This has created a significant impediment in the ability of the Customs Service to properly track the amount of foundry coke entering the United States. Starting January 1, 2000, the Customs Service implemented a new category in the Harmonized Tariff Schedule for foundry coke, subheading 2704.00.0010. Unfortunately, there have been difficulties in accurately accounting for the foundry coke entering the United States even after the creation of the separate category for foundry coke. These difficulties may arise from importers not being aware of the new category or from the Customs Service having difficulty in recognizing the difference between foundry coke and furnace coke. It is essential that the U.S. Customs Service accurately track the actual amount of foundry coke entering U.S. ports. Therefore, the U.S. Customs Service is directed to make any and all necessary changes to ensure the accurate collection of customs data for foundry coke imports posted since January 1, 2000, and for all future foundry coke imports. Customs will coordinate with the Bureau of the Census to insure transmission to and public reporting by Census of import data under this foundry coke enumeration. Terminal Island Facility The Committee is concerned about the environmental conditions at the Customhouse at Terminal Island, California,where materials that circulate through the ventilation system may include asbestos, coal and petroleum coke particles. While many Customs employees have been moved from the Customhouse to healthier work environments, the Committee is concerned about the health and safety of the remaining employees. The Committee understands that employees in the office of the Special Agent In Charge will be moved by December, but is concerned that under current plans permanent relocation for all affected employees may not occur before May 2001. The Committee directs GSA and Customs to expedite the lease procurement process on permanent space, and to develop a plan for temporary re-location if permanent re-location is not likely to be accomplished by November 30, 2000. customs integrity report The Committee is concerned about the Department's responsiveness to issues raised by the Committee in the House Report 106-231 concerning the Treasury report entitled ``An Assessment of Vulnerabilities to Corruption and Effectiveness of the Office of Internal Affairs, U.S. Customs Service.'' The report related the opinion of ``senior Customs officials'' that inspectors hired locally along the Southwest border and assigned to local ports of entry, ``could be at greater risk of being compromised by family members and friends who may exploit the relationships to facilitate criminal activities.'' Customs offered but failed to provide the Committee evidence supporting these views, and statistics provided by Customs did not support the allegation described in the report. In addition, written responses from ATF, DEA, FBI and the Secret Service indicated that these agencies did not agree with the concern that such local hiring posed a greater risk of individuals being compromised. Although Treasury and Customs now agree that the passage from the report did not reflect accurately their beliefs or practices, the Committee is concerned that Treasury has been slow in taking steps to communicate this to senior managers and others involved with Customs integrity issues. The Committee continues to take strong exception to any implication that individuals of Hispanic background are particularly susceptible to corruption and directs Treasury and Customs to contest any such unsubstantiated bias by senior Customs officials as Customs implements its anti-corruption strategy. Harbor Maintenance Fee Collection Appropriation, fiscal year 2000 to date............... $3,000,000 Budget estimate, fiscal year 2001..................... 3,000,000 Recommended in the bill............................... 3,000,000 Bill compared with: Appropriation, fiscal year 2000................... ................ Budget Estimate, fiscal year 2001................. ................ mission The Harbor Maintenance Fee is established to provide resources to the Army Corps of Engineers for the improvement of American channels and harbors. It is assessed on the value of commercial imports and exports delivered to or from certain specified ports. The fee is collected by the U.S. Customs Service and deposited into the Harbor Maintenance Trust Fund. recommendation Although the President has submitted a proposal to establish a Harbor Services Fund, no legislative action has occurred as of the time this bill was drafted. Therefore, in fiscal year 2001, the Committee recommends that $3,000,000 be transferred from the Harbor Maintenance Trust Fund to the Customs Service Salaries and Expenses appropriation to offset costs incurred by Customs in collecting Harbor Maintenance Fees. Operation, Maintenance and Procurement, Air and Marine Interdiction Programs Appropriation, fiscal year 2000 to date............... $108,688,000 Budget estimate, fiscal year 2001..................... 156,875,000 Recommended in the bill............................... 125,778,000 Bill compared with: Appropriation, fiscal year 2000................... +17,090,000 Budget Estimate, fiscal year 2001................. -31,097,000 mission The Customs Air and Marine Interdiction Programs combat the illegal entry of narcotics and other items into the United States. This appropriation provides all operations, maintenance and procurement for the Customs air and marine program and support for the interdiction of narcotics by other Federal, state, and local agencies. Included in this mission is the requirement to support the Bureau of Alcohol, Tobacco and Firearms and the U.S. Secret Service. recommendation The Committee recommends an appropriation of $125,778,000 for the Customs Service Air and Marine Interdiction Programs, $17,090,000 above the amount appropriated in fiscal year 2000 and $31,097,000 below the budget request. The Committee includes $2,174,000 million to maintain current levels, $9,916,000 million for base infrastructure for new P-3 aircraft being delivered, and $5 million for P-3 and Citation tracker source zone deployment. The Committee is unable to fund $19,814,000 million for enforcement infrastructure, and $11,283,000 million for Presidential Decision Directive 62 national security special events. air and marine interdiction modernization For the past two years the Committee has directed Customs to provide its modernization plan for the Air and Marine Interdiction Programs. The report on that plan has not yet been released, as it remains under review within the Customs Service, the Treasury Department and the Office of Management and Budget. Until the plan has been completed and released, the Committee cannot consider approval of new initiatives for expanding or modernizing the programs. The Committee has been extremely supportive of Customs interdiction programs, and this lack of new funding should not be interpreted as reflecting any change in the view of the Committee that the air program requires continued and significant support, that operations must be properly budgeted and funded, that training must be adequate, and that the marine program requires a significant infusion of resources. However, the Committee cannot consider increasing funding until it has seen the plan underpinning such requests. It is unfortunate that, as a result of delays in releasing this plan, new funding will neither be available to address what appear to be important infrastructure improvements for operating Customs' tracking and navigational systems, such as for the Domestic Air and Marine Interdiction Coordination Center in Riverside, California, nor can additional resources be made available to offset Customs' costs related to supporting the Secret Service in its mission to coordinate security for national security special events under Presidential Decision Directive 62. tethered aerostat radar system The Tethered Aerostat Radar System (TARS) has been in operation along the southern border and coast of the United States since 1978. While at one time operated by both Customs and the Air Force, the Air Force was given responsibility for the entire system in 1991, which at the time included TARS in the Bahamas as well. Since that time there has been a reduction in the number of operational aerostats and in actual operating time. Recently aerostats along the Gulf of Mexico have been shut down either because they require repairs or replacement. The Committee understands that the Customs Service is in discussions with the Air Force and Department of Defense over management of TARS, and that consideration is being given to a transfer of TARS responsibility to the Customs Service. The Committee, while believing that TARS represents a significant asset in deterring air trafficking and in assisting interdiction in the arrival zone, must underscore that any consideration of new or changing costs or configuration for Customs interdiction operations must be based on the modernization plan that has yet to be presented to Congress. passive detection technology The Committee is impressed by new developments in passive detection technology that could significantly improve the surveillance capabilities of the Customs Service, and improve the targeting of limited Customs Service Air and Marine Interdiction Division air and marine assets. The Committee also understands that such capability is a high priority for Customs, although it was unable to request funding this year. The Committee encourages Customs to continue to explore ways to fund such capability improvements as part of its strategic planning for its interdiction program. Automation Modernization Appropriation, fiscal year 2000 to date............... ................ Budget estimate, fiscal year 2001..................... $338,400,000 Recommended in the bill............................... 233,400,000 Bill compared with: Appropriation, fiscal year 2000................... +233,400,000 Budget Estimate, fiscal year 2001................. -105,000,000 mission The President has proposed a new account to include funding for major information technology projects for the Customs Service. The projects included in this request are the proposed Automated Commercial Environment (ACE), the existing Automated Commercial System (ACS), and the International Trade Data System (ITDS). Both ACE and ITDS had previously been funded through the Department's central account for automated systems, and ACS was funded in Customs' Salaries and Expenses account. recommendation The Committee recommends an appropriation for Automation Modernization of $233,400,000, an increase of $233,400,000 over the fiscal year 2000 appropriation and $105,000,000 below the amount requested by the President. This includes funding for ACS and $5,400,000 for ITDS, as well as not less than $105,000,000 to apply to the contract to begin work on ACE. In the absence of the user fee proposed in the budget request, the Committee is unable to fully fund the requests for this account. However, the Customs Service may choose to fund ACE at a higher level than the minimum provided in the bill. The Committee is persuaded that Customs has overcome questions about whether it has completed its systems architecture or whether it has in place the competencies or systems to manage a major software and hardware acquisition project. The Committee believes that Customs is greatly in need of resources to support an immediate investment in ACE, a system designed to take the place of its sixteen-year-old ACS, the principal system Customs uses for import processing. The Administration's request of $210,000,000 for ACE was to begin this project and permit the award of a contract to vendors who would actually manage the project for Customs. At the same time, the budget included $123,000,000 to continue to maintain ACS, and $5,400,000 for ITDS. As Customs and the Department field test the ITDS system, the Committee strongly encourages that such field testing be done at ports along both the northern and southern borders that represent the types of commercial and passenger traffic encountered there. The request also assumed that a user fee would be enacted, and thus provide a revenue offset for the $210,000,000 proposed for the ACE program. This does not appear likely to be enacted this year. However, the Committee does not believe that additional delays are acceptable in beginning to implement a replacement system to ensure the smooth handling of the growing volume of imports into this country. It is essential to begin replacing the aging, brownout- and blackout-prone ACS. In keeping with the Committee's long-standing insistence that major investments in information technology be made in accordance with statutory requirements and best government and industry practices, the release of funding for each phase of ACE development and procurement will occur only after the Customs Service submits and Congress approves a spending plan that meets investment control requirements of OMB, complies with the Customs Service enterprise information systems architecture, complies with federal acquisition rules, is approved by Customs' Investment Review Board, the Treasury Department, OMB, and is reviewed by the General Accounting Office. Bureau of Engraving and Printing ---------------------------------------------------------------------------------------------------------------- 2000 2001 1999 (actual) (estimate) (estimate) ---------------------------------------------------------------------------------------------------------------- Total revenue................................................ $567,395,000 $530,650,000 $580,000,000 Revenue from currency.................................... 501,075,000 472,000,000 518,700,000 Revenue from stamps...................................... 58,649,000 51,250,000 53,000,000 Other revenue............................................ 7,671,000 7,400,000 8,300,000 Cost of operations........................................... 529,414,000 501,650,000 550,000,000 Net revenue (to Treasury).................................... 37,981,000 29,000,000 30,000,000 ---------------------------------------------------------------------------------------------------------------- mission The Bureau of Engraving and Printing (BEP) designs, manufactures, and supplies Federal Reserve notes, various public debt instruments, as well as most evidences of a financial character issued by the United States, such as postage and internal revenue stamps. The BEP executes certain printings for various territories administered by the United States, particularly postage and revenue stamps. The operations of the BEP are financed by means of a revolving fund established in accordance with the provisions of Public Law 81-656, August 4, 1950 (31 U.S.C. 5142), which requires the BEP to be reimbursed by customer agencies for all costs of manufacturing products and services performed. The BEP is also authorized to assess amounts to acquire capital equipment and provide for working capital needs. The anticipated work volume is based on estimates of requirements submitted by agencies served. United States Mint ---------------------------------------------------------------------------------------------------------------- Circulating coins Numismatic coins Protection ---------------------------------------------------------------------------------------------------------------- 1999 (actual): Number of coins.................. 17.5 billion........... 2.9 billion............ ....................... Cost of operations............... $309 million........... $1,034 million......... $23 million Revenue.......................... $732 million........... $1,685 million......... ....................... Net revenue (to Treasury)........ $423 million........... $651 million........... ($22 million) 2000 (estimate): Number of coins.................. 21.2 billion........... 7.3 billion............ ....................... Cost of operations............... $377 million........... $1,083 million......... $25 million Revenue.......................... $863 million........... $2,580 million......... ....................... Net revenue (to Treasury)........ $486 million........... $1,497 million......... ($25 million) 2001 (estimate): Number of coins.................. 18.8 billion........... 7.6 billion............ ....................... Cost of operations............... $289 million........... $886 million........... $26 million Revenue.......................... $810 million........... $2,433 million......... ....................... Net revenue (to Treasury)........ $521 million........... $1,547 million......... ($25 million) ---------------------------------------------------------------------------------------------------------------- mission The United States Mint manufactures coins, receives deposits of gold and silver bullion, and safeguards the Government's holdings of monetary metals. In fiscal year 1997, Congress established the United States Mint Public Enterprise Fund which authorizes the U.S. Mint to use proceeds from the sale of coins to finance the cost of its operations. This has eliminated the need for appropriations to support the mission of the U.S. Mint. new golden dollar coin The Committee is pleased to note the wide release and successful launch of the new ``Golden Dollar'' coin and commends the U.S. Mint on its promotional efforts. The true measure of success of the new coin, however, is the degree to which the new coin is used in commerce. Therefore, as part of the Golden Dollar Marketing Report required under Public Law 105-124, which is due to the Congress on March 31, 2001, the Committee directs the U.S. Mint to provide information assessing the nature and extent to which the Golden Dollar is being used in commerce, along with any recommendations and plans the U.S. Mint may have to encourage and facilitate the use of the new coin in commerce. Bureau of the Public Debt administering the public debt Appropriation, fiscal year 2000 to date............... $177,143,000 Budget estimate, fiscal year 2001..................... 182,901,000 Recommended in the bill............................... 182,901,000 Bill compared with: Appropriation, fiscal year 2000................... +5,758,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation provides funds for the conduct of all public debt operations and the promotion of the sale of U.S. savings-type securities. recommendation The Committee recommends an appropriation of $182,901,000 for administering the public debt, an increase of $5,758,000 above the fiscal year 2000 enacted level and the same as the budget estimate. The increase above the enacted level is for fixed costs to allow the Bureau of the Public Debt to maintain current service levels. The Committee has not included the new bill language proposed by the Administration concerning the management of certain trust funds for Native American Tribes in South Dakota. The Committee understands that the Department of the Treasury is discussing with other parts of the Administration possible legislative proposals for modifying the statutory authorities for managing these trust funds. debt buyback The Bureau of the Public Debt is responsible for the Department of the Treasury's debt buyback regulations and operations. The Committee is pleased to note that four buyback operations have been completed recently, resulting in the retiring of a total of $7 billion in par amount of outstanding debt, and that the Department of the Treasury expects to buy back up to $30 billion in debt this year. This is the first series of debt buybacks conducted by the Treasury since 1928- 1930. Internal Revenue Service In general, the Committee recommends a budget for the Internal Revenue Service (IRS) that allows it to maintain most of its current services, providing a total net increase above the fiscal year 2000 enacted level for the IRS of $261,509,000 as opposed to the increase of $727,185,000 proposed in the President's budget. Within the recommended funding level for the bureau is a total increase of $313,138,000. This consists of a net increase of $211,439,000 to cover anticipated adjustments to pay for the three primary operating accounts, an increase of $83,565,000 to cover other labor benefits and non- labor items for the three primary operating accounts, an increase of $1,000,000 for the Earned Income Credit Compliance Initiative, and an increase of $17,134,000 for the organization modernization effort. These increases are partially offset by decreases of $51,629,000 proposed by the Administration that result from a transfer of $732,000 to the Treasury Inspector General for Tax Administration and from a reduction of $50,897,000 in non-recurring one-time costs associated with Y2K. The IRS buy-out authority extends through January 2003. The IRS has received early-out authority from the Office of Personnel Management for fiscal year 2000, and negotiations are underway to extend the early-out authority for the IRS through 2001. The Committee urges these discussions to proceed with all due diligence and believes the continuing major modernization effort of the IRS warrants its access to early-out authority for fiscal year 2001. The Committee has not provided any funding for additional staff or for the other initiatives proposed by the Administration. The Committee notes that major pieces of the restructuring of the IRS will be complete before the beginning of calendar year 2001, and that funds currently being used for significant aspects of the organization modernization can be redirected to higher-priority needs. The Committee directs the IRS to review and modify, as warranted, its financial and business practices, such as its management of obligations, with a view toward identifying and capturing savings that can be applied toward priority needs. budget restructuring The Committee understands that, as part of its current major modernization effort, the IRS is developing a proposal for restructuring its budget. The Committee applauds this effort and encourages the IRS to submit a budget restructuring proposal that is effective, informative, and improves accountability. The Committee looks forward to receiving a budget restructuring proposal for the IRS that captures the concepts of customer service and compliance, is compatible with the new organizational units, and is useful to management. The Committee believes a viable budget structure is critical to making informed and credible budget decisions and to providing enhanced financial management. The Committee encourages the IRS to move forward in finalizing its budget restructuring proposal for the Committee's review and approval. Processing, Assistance, and Management Appropriation, fiscal year 2000 to date............... $3,280,250,000 Budget estimate, fiscal year 2001..................... 3,699,499,000 Recommended in the bill............................... 3,512,232,000 Bill compared with: Appropriation, fiscal year 2000................... +231,982,000 Budget Estimate, fiscal year 2001................. -187,267,000 mission This appropriation provides for processing tax returns and related documents; processing data for compiling statistics of income; assisting taxpayers in correct filing of their returns and in paying taxes that are due; overall planning and direction of the Internal Revenue Service; and management of financial resources and procurement. recommendation The Committee recommends an appropriation of $3,512,232,000 for Processing, Assistance, and Management, an increase of $231,982,000 above the fiscal year 2000 enacted level and a decrease of $187,267,000 below the budget estimate. The increase above the fiscal year 2000 enacted level includes inter-appropriation transfers of $98,000,000 ($60,000,000 during fiscal year 2000 and $38,000,000 during fiscal year 2001), an increase of $80,083,000 to cover anticipated increases in pay, an increase of $36,765,000 for other labor benefits and non-labor items, and an increase of $17,134,000 for the organizational modernization effort. The Committee has not provided any increases in funding for the Staffing Tax Administration for Balance and Equity (STABLE) initiative, an electronic tax administration marketing effort, or increased operational support contracts. The Committee notes that $54,874,000 was appropriated to this account for fiscal year 2000 to implement the new organizational structure and that these funds remain in the budget for fiscal year 2001. Electronic Tax Administration In its June 30, 2000, annual report to Congress, the private-sector Electronic Tax Administration Advisory Committee (ETAAC) emphasizes its position that IRS should stress partnerships, not competition, with the private sector and state and local governments in achieving its electronic tax administration objectives. In this regard, ETAAC believes it is inappropriate for IRS to offer no-cost electronic filing over the Internet, either by developing its own software or aligning itself with a limited number of ``authorized e-file providers.'' IRS is directed to provide the House Committee on Appropriations a report commenting on this ETAAC position as well as making any recommendations to address the concerns raised by ETAAC within 60 days of the enactment of this Act. The Committee shares some of these concerns and further recommends that IRS delay implementing no-cost Internet tax filing services until such report has been submitted to the Committee for its review. Tax Law Enforcement Appropriation, fiscal year 2000 to date............... $3,336,838,000 Budget estimate, fiscal year 2001..................... 3,443,859,000 Recommended in the bill............................... 3,332,676,000 Bill compared with: Appropriation, fiscal year 2000................... -4,162,000 Budget Estimate, fiscal year 2001................. -111,183,000 MISSION This appropriation provides for the examination of tax returns, both domestic and international; the administrative and judicial settlement of taxpayer appeals of examination findings; technical rulings; monitoring employee pension plans; determining qualifications of organizations seeking tax-exempt status; examining tax returns of exempt organizations; enforcing statutes relating to detection and investigation of criminal violations of the internal revenue laws; collecting unpaid accounts; compiling statistics of income and compliance research; and, securing unfiled tax returns and payments. RECOMMENDATION The Committee recommends an appropriation of $3,332,676,000 for Tax Law Enforcement, a decrease of $4,162,000 below the fiscal year 2000 enacted level and a decrease of $111,183,000 below the budget estimate. Within the level provided is an increase above the fiscal year 2000 enacted level of $110,967,000 to cover anticipated increases in pay and an increase of $26,537,000 to cover other labor benefits and non- labor items. Decreases to the enacted level include inter- appropriation transfers of $141,000,000 ($100,000,000 during fiscal year 2000 and $41,000,000 during fiscal year 2001) and a transfer of $666,000 to the Treasury Inspector General for Tax Administration. The Committee has not provided funds for the Counterterrorism Initiative. The Committee has not provided any increases for the Staffing Tax Administration for Balance and Equity (STABLE) initiative or for operational support contracts. The level of funding provided includes $6,000,000 for low income taxpayer clinics, the same level of funding that was provided in fiscal year 2000 and that is included in the budget estimate. The Committee notes that $63,404,000 was appropriated to this account for fiscal year 2000 to implement the new organizational structure and that these funds remain in the budget for fiscal year 2001. The Committee also notes that the IRS Criminal Investigations Division will be funded at an increased level (+$25,000,000) through the Interagency Crime and Drug Enforcement appropriation. Previously, much of the IRS Criminal Investigations Division participation in Organized Crime Drug Enforcement Task Force (OCDETF) cases was subsidized by the IRS Tax Law Enforcement appropriation. The increased funding in the Interagency Crime and Drug Enforcement appropriation for IRS Criminal Investigations Division participation in OCDETF cases will, in effect, result in additional IRS resources being devoted to tax law enforcement. Earned Income Tax Credit Compliance Initiative Appropriation, fiscal year 2000 to date............... $144,000,000 Budget estimate, fiscal year 2001..................... 145,000,000 Recommended in the bill............................... 145,000,000 Bill compared with: Appropriation, fiscal year 2000................... +1,000,000 Budget Estimate, fiscal year 2001................. ................ MISSION The Earned Income Tax Credit Compliance Initiative provides for expanded customer service and public outreach programs, strengthened enforcement programs, and enhanced research efforts to reduce overclaims and erroneous filings associated with the Earned Income Tax Credit. RECOMMENDATION The Committee recommends an appropriation of $145,000,000 for the Earned Income Tax Credit Compliance Initiative, an increase of $1,000,000 above the fiscal year 2000 enacted level and the same as the budget estimate. The increase is requested and provided as an adjustment to maintain current levels of service. The Committee directs that all of the funds necessary to conduct and support this initiative be contained in this appropriation. The Committee is concerned about the effectiveness of this program and directs that the Internal Revenue Service provide to the Committees on Appropriations, the House Ways and Means Committee, and the Senate Finance Committee within 60 days of enactment of this act a report on the results, effectiveness, and success of the program. Information Systems Appropriation, fiscal year 2000 to date............... $1,455,401,000 Budget estimate, fiscal year 2001..................... 1,583,565,000 Recommended in the bill............................... 1,488,090,000 Bill compared with: Appropriation, fiscal year 2000................... +32,689,000 Budget Estimate, fiscal year 2001................. -95,475,000 MISSION This appropriation provides for Service-wide data processing support, including the evaluation, development, and implementation of computer systems (including software and hardware) requirements. RECOMMENDATION The Committee recommends an appropriation of $1,488,090,000 for Information Systems, an increase of $32,689,000 above the fiscal year 2000 enacted level and a decrease of $95,475,000 below the budget estimate. Within the funding provided are increases above the enacted level of $43,000,000 from inter- appropriation transfers ($40,000,000 during fiscal year 2000 and $3,000,000 during fiscal year 2001); $20,389,000 to cover anticipated increases in pay; and $20,263,000 for other labor benefits and non-labor items. Decreases from the fiscal year 2000 enacted level include a transfer of $66,000 to the Treasury Inspector General for Tax Administration; a reduction of $15,015,000 from the operations and maintenance budget activity; and a reduction of $35,882,000 from the Y2K budget activity, with the balance of this budget activity transferred to the operations and maintenance budget activity. The Committee has not provided any increases for the Staffing Tax Administration for Balance and Equity (STABLE) initiative or for business line investments. The Committee notes that the first quarter report for fiscal year 2000 by the IRS on the mainframe consolidation project estimates operational and maintenance savings of $698,300,000 over the next ten years. These savings will be realized from staff reductions, reduced hardware and software maintenance costs, reduced utility and space costs, and other miscellaneous items. The Committee also notes that $21,722,000 was appropriated in this account for fiscal year 2000 to implement organizational modernization by funding employee relocations, voluntary separation incentives, outplacement services, and significant retraining costs. These funds are retained in the budget estimate and in the level of funding approved by the Committee. Information Technology Investments Appropriation, fiscal year 2000 to date............... ................ Budget estimate, fiscal year 2001..................... $71,751,000 Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... ................ Budget Estimate, fiscal year 2001................. -71,751,000 MISSION This appropriation provides for funding of the PRIME Systems Integration Services Contractor to moderize the mainframe information technology systems of the IRS. RECOMMENDATION The Committee recommends no appropriation for Information Technology Investments for fiscal year 2001, the same as the fiscal year 2000 enacted level and a decrease of $71,751,000 below the budget estimate. The Committee has not provided the $422,249,000 requested by the Administration as an advanced appropriation. To date, a total of $505,670,000 has been appropriated into this account, and a total of $216,421,000 has been released by the Congress. The Committee notes that the rate of spending for this account is slower than originally planned and that a total of $289,249,000 remains available. The Committee encourages the IRS to move forward with the business systems modernization effort with all due diligence and prudence to mitigate against risks and avoid unnecessary risks. BUSINESS SYSTEMS MODERNIZATION MANAGEMENT The Committee believes that the IRS is starting to take the right steps to review, redirect, and restructure its systems modernization decisions and decision processes. However, the Committee also has concerns about lingering IRS management weaknesses: its ability to adhere to an approved spending plan, the delay in providing full staffing for and staff turnover in the business systems modernization office, the continuing need for mature software acquisition capabilities, the validating or renegotiating of contractor-provided cost estimates, the creation of performance-based contractor task orders, the full implementation of the enterprise life cycle methodology, and the completion and use of the Blueprint 2000 enterprise architecture. The Committee looks forward to continuing to work closely with the IRS on its business systems modernization effort. Administrative Provisions--Internal Revenue Service Section 101. The Committee continues the provision that allows the transfer of 5 percent of any appropriation, made available to the IRS to any other IRS appropriation, subject to prior Congressional approval. Section 102. The Committee continues the provision that requires the IRS to maintain a training program in taxpayer's rights, dealing courteously with taxpayers, and cross cultural relations. Section 103. The Committee continues the provision that requires the IRS to institute policies and procedures, which will safeguard the confidentiality of taxpayer information. United States Secret Service SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $687,312,000 Budget estimate, fiscal year 2001..................... 824,500,000 Recommended in the bill............................... 823,800,000 Bill compared with: Appropriation, fiscal year 2000................... +136,488,000 Budget Estimate, fiscal year 2001................. -700,000 MISSION The Secret Service is responsible for the security of the President, the Vice President and other dignitaries and designated individuals; for enforcement of laws relating to obligations and securities of the United States and financial crimes such as financial institution fraud and other fraud; and for protection of the White House and other buildings within Washington, DC. It also has responsibility to provide security for national security special events, as designated by the President. RECOMMENDATION The Committee recommends an appropriation of $823,800,000 for the U.S. Secret Service Salaries and Expenses, $136,488,000 above the amount appropriated in fiscal year 2000 and $700,000 below the budget request. Of this amount $36,266,000 covers activities previously funded in the VCRTF or the Treasury Forfeiture Fund. Included in the Committee's recommendation is $1,767,000 not requested by the Administration for support of the National Threat Assessment Center (NTAC). These funds will allow the Secret Service to extend its mission in threat assessment and protective intelligence by providing training for federal, state and local law enforcement officials; consulting with such officials on complex threat assessment cases; conducting research on threat assessment and violence prevention; and facilitating information sharing between agencies with protective responsibilities. The Committee commends the Secret Service for its work to prevent school violence through its NTAC initiative. The Committee also includes $3,633,000 for support of the National Center for Missing and Exploited Children, an increase of $437,000 above the President's request. Finally, the recommendation includes $3,500,000 to permit the Secret Service to increase staffing to meet its requirements to provide security for national security special events. The Committee recommendation fully funds the request with the exception of the Counterterrorism Initiative, for which no funds are provided. AGENT RECRUITMENT AND RETENTION The Secret Service has been facing an increasing attrition rate of young agents in the face of rapidly increasing protective duty workloads and overtime. To correct this, Congress last year provided assistance to increase staffing to meet this expanded workload, and to allow the Secret Service to continue its essential investigative mission without unduly sacrificing it to the protective mission. Most importantly, it permitted the Service to begin a national recruitment campaign that now appears to be very successful in bringing in strong candidates for careers with the Service, and essential to retaining a pool of skilled and experienced agents for the critical missions performed by the Secret Service. The Committee has included funding to permit a second increase in new agents as part of a three-year plan to reduce overtime for agents from as much as 79 hours per month to a more manageable 60 hours per month, as was true in 1994. However, the Committee is aware that meeting this target and ensuring that the Secret Service can adjust its workforce to optimize scheduling and balance workload for its agents is not assured when critical activities are not fully taken into account in budget planning. For example, costs associated with increased space requirements, and therefore moves or renovations, have not been budgeted. Unfunded administrative costs have been deferred, and the funding provided by Congress in fiscal year 2000 for that purpose are not included in the base budget for fiscal year 2001. In addition, no funding was requested for the costs of planning for and carrying out the event-specific responsibilities of the Secret Service under PDD 62. The Committee is extremely concerned that the Administration failed to request funding for security for the 2002 Salt Lake City Winter Olympics, although the Secret Service has primary responsibility for such planning. However, the Committee is aware that budget requests were made for the Federal Bureau of Investigation and the Federal Emergency Management Agency, which are responsible for crisis and consequence management, not overall planning and security. Lack of a balanced, comprehensive approach to costs produces budget shortfalls and reactive policies. The Committee urges that the Secret Service, with the Treasury Department and the Office of Management & Budget, ensure that future budget submissions not only reconcile staffing with workload and fixed cost administrative requirements, but also address such major mission requirements. Acquisition, Construction, Improvements, and Related Expenses Appropriation, fiscal year 2000 to date............... $4,185,000 Budget estimate, fiscal year 2001..................... 5,021,000 Recommended in the bill............................... 5,021,000 Bill compared with: Appropriation, fiscal year 2000................... +836,000 Budget Estimate, fiscal year 2001................. ................ MISSION This account supports the acquisition, construction, improvement, equipment, furnishing and related costs for maintenance and support of Secret Service facilities, including the Secret Service Headquarters Building and the Rowley Training Center. RECOMMENDATION The Committee recommends an appropriation of $5,021,000 for U.S. Secret Service Acquisition, Construction, Improvements, and Related Expenses, $836,000 above the amount appropriated in fiscal year 2000 and equal to the budget request. In addition, the Committee approves the request to use $3,920,000 in Super Surplus funding for security improvements to the Vice President's residence. General Provisions--Department of the Treasury Section 110. The Committee continues the provision that requires the Secretary of the Treasury to comply with certain reprogramming guidelines when obligating or expending funds for law enforcement activities. Section 111. The Committee continues the provision that allows the Department of the Treasury to purchase uniforms, insurance, and motor vehicles without regard to the general purchase price limitation, and enter into contracts with the State Department for health and medical services for Treasury employees in overseas locations. Section 112. The Committee continues the provision that requires expenditures of funds so as not to diminish efforts under the Federal Alcohol Administration Act. Section 113. The Committee continues the provision that authorizes transfers, up to 2 percent, between law enforcement appropriations under certain circumstances. Section 114. The Committee continues the provision that authorizes transfers, up to 2 percent, between Departmental Offices, Office of the Inspector General, Financial Management Service, and the Bureau of the Public Debt appropriations under certain circumstances. Section 115. The Committee includes a new provision that authorizes transfer, up to 2 percent, between the Internal Revenue Service and the Treasury Inspector General for Tax Administration under certain circumstances. Section 116. The Committee continues the provision that provides that no funds may be obligated for the purchase of law enforcement vehicles until the Secretary of the Treasury certifies that the purchase is consistent with Departmental vehicle management principles. Section 117. The Committee continues the provision that prohibits the Department of the Treasury from undertaking a redesign of the $1 Federal Reserve note. Section 118. The Committee continues and makes permanent the provision which amends Title 5 USC 5547 and authorizes Federal Law Enforcement agencies to pay their employees premium pay in excess of the pay period limitation for protective services authorized by Section 3056 (a) of title 18, United States Code. Section 119. The Committee includes a new provision that provides for transfers from and reimbursements to the Salaries and Expenses appropriation of the Financial Management Service for the purposes of debt collection. Section 120. The Committee includes a new provision that requires that no reorganization of the US Customs Service shall result in a reduction in service to the area served by the Port of Racine, Wisconsin, below the level of service provided in fiscal year 2000. Section 121. The Committee includes a new provision authorizing and directing the Bureau of Alcohol, Tobacco and Firearms to reimburse the subcontractor that provided services in 1993 and 1994 pursuant to Bureau of Alcohol, Tobacco and Firearms contract number TATF 93-3 out of fiscal year 2001 appropriations or prior year unobligated balances. Section 122. The Committee includes a new provision prohibiting the use of funds by the Department of the Treasury for the purpose of establishing and operating a new Federal law enforcement training facility, until an assessment of the need for, and cost effectiveness of such a facility, is completed by the General Accounting Office, and the establishment of said facility has been approved by the House and Senate Committees on Appropriations. TITLE II--POSTAL SERVICE Payment to the Postal Service Fund Appropriation, fiscal year 2000 to date............... $93,056,000 Budget estimate, fiscal year 2001..................... 96,093,000 Recommended in the bill............................... 96,093,000 Bill compared with: Appropriation, fiscal year 2000................... +3,037,000 Budget Estimate, fiscal year 2001................. ................ MISSION Funds provided to the Postal Service in the Payment to the Postal Service Fund include the costs of revenue forgone on free and reduce-rate mail for the blind and overseas voters; reconciliation adjustments for amounts appropriated for free and reduced rate mail and the actual amounts required; and partial reimbursement for losses which the Postal Service incurred as a result of insufficient appropriations in fiscal years 1991 through 1993 and the additional revenues it would have received between 1993 and 1998 in the absence of certain rate phasing provisions of the Revenue Forgone Act of 1993. RECOMMENDATION The Committee recommends an appropriation of $96,093,000 for Payment to the Postal Service Fund, the same as the amount requested by the President and $3,037,000 above the amounts appropriated in fiscal year 2000. Of this amount, $66,473,000 is provided for free mail for the blind and overseas voters and $620,000 is assumed as a reconciliation adjustment for differences between estimated free mail volumes and final audited volumes for fiscal year 1998. The total appropriation of $67,093,000 for free mail for the blind and overseas voters is made available on October 1, 2001. The Committee also includes $29,000,000 as reimbursements to the Postal Service for prior year reimbursement shortfalls due to insufficient appropriations and rate phasing provisions of the Revenue Forgone Act of 1993. RELOCATION BENEFITS FOR POSTAL SERVICE OFFICERS The Committee is extremely disappointed by the recent misuse of relocation benefits by the United States Postal Service (USPS), paying two executives $248,000 for local moves that did not involve a transfer in duty station. Based on the USPS Office of Inspector General Report issued on May 2, 2000, it is clear that, not only were internal controls inadequate at the time that these benefits were approved but also that established controls were not carefully followed. The Committee is pleased with the action taken by the Postal Board of Governors to strengthen USPS policy on the approval and administration of relocation benefits. Furthermore, the Committee strongly endorses ongoing work by the Office of the Inspector General to review the relocation program as well as officer benefits in general. us postal service weather emergency policies and practices The Committee is concerned that during Hurricanes Irene and Floyd, the US Postal Service may have put the health and safety of South Florida postal employees at risk by continuing business as usual for an unreasonable period and failing to curtail postal operations in a timely manner. The Committee believes that the health and safety of postal employees must never be at risk in order to deliver the mail. The US Postal Service is urged to report to the Committee, by October 1, 2000, on its weather emergency policies and practices. The Committee urges the US Postal Service to adopt a policy and practice of following the recommendations and directives of federal, state and local emergency management and weather authorities in all locations served by the US Postal Service when weather emergencies arise. In its October 1, 2000 report, the US Postal Service shall describe any variation between US Postal Service weather emergency policies and practices and those used by federal, state, and local authorities, including the justification for each variation and shall indicate whether it will agree to follow the recommendations and directives of federal, state and local emergency management and weather authorities in all locations served by the US Postal Service when weather emergencies arise. USPS/CONSUMER PRODUCT SAFETY COMMISSION HAZARDOUS CHILDREN'S PRODUCTS RECALL INFORMATION CAMPAIGN In FY 2000 the U.S. Postal Service partnered with the U.S. Consumer Product Safety Commission (CPSC) to post recall information on hazardous children's products in post offices nationwide. As part of CPSC's annual recall round-up, the Postal Service agreed to put up CPSC posters with information on ``most wanted'' recalled products in 33,000 post offices. The Committee applauds this public-spirited campaign to prevent injuries and save lives and encourages all post offices to continue providing this important information to the American public. ROXBORO, NORTH CAROLINA The Committee is concerned about the postal needs of the citizens of Roxboro, North Carolina. In addition to having inadequate parking, the current facility is crowded and understaffed. The Committee recommends that the US Postal Service evaluate the existing facility, determine the need for additional parking, additional staff, and a new Post Office in Roxboro and reports its findings to the Committee. CHAPEL HILL, NORTH CAROLINA The Committee is concerned about the postal needs of the citizens of Chapel Hill, North Carolina. The Committee supports the US Postal Service's effort to construct a new carrier/ retail facility that would relieve overcrowding at existing post offices and recommends that the US Postal Service report to the Committee on the status of this effort. The Committee also recommends that the US Postal Service evaluate the need for a contract facility in the Southern Village development and report its findings to the Committee. SKIDAWAY ISLAND, GEORGIA The Committee is concerned about the postal needs of Skidaway Island, Georgia, located in Chatham County. The Committee, recognizing the community's rapid growth and the existing one-window contract site in a food market, recommends that the US Postal Service reevaluate the need for a Post Office facility on Skidaway Island, Georgia, working with local community leaders and officials. The Committee further recommends that the US Postal Service report its findings to the Committee. stilson, georgia The Committee is concerned about the postal needs of Stilson, Georgia, located in Bulloch County. The Committee recommends that the US Postal Service evaluate the need for improved Post Office facilities in Stilson, Georgia, working with local community leaders and officials. The Committee further recommends that the US Postal Service report its findings to the Committee. SOUTHSIDE, ALABAMA The Committee is concerned about the postal needs of Southside, Alabama, located in Etowah County. The Committee recommends that the US Postal Service evaluate the need for a classified post office in Southside, Alabama, working with local officials and community leaders. The Committee further recommends that the US Postal Service report its findings to the Committee. SPRING GARDEN, ALABAMA The Committee is concerned about the postal needs of Spring Garden, Alabama, located in Cherokee County. Residents of Spring Garden on rural route one (36275) receive their mail via rural route one out of the Piedmont Post Office (36272) located in Calhoun County, Alabama. The Committee recommends that the US Postal Service, working with local officials and community leaders, evaluate the need for relocating Piedmont rural route one (36272) to Spring Garden rural route one (36275), as well as the need for constructing a new Post Office in Spring Garden. The Committee further recommends that the US Postal Service report is findings to the Committee. SIGNAL HILL, CALIFORNIA The Committee is concerned about the postal needs of Signal Hill, California, particularly that the zip codes do not correspond to the City's jurisdictional boundaries. This situation has led to incorrectly delivered mail, insurance rate problems, and other zip code related problems. The Committee is also aware that the USPS could consolidate local mail routes in order to create a unique zip code for Signal Hill. The Committee urges the US Postal Service to evaluate the proposal for a single Signal Hill zip code and to report its findings to the Committee no later than August 1, 2000. TITLE III--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO THE PRESIDENT Compensation of The President and the White House Office COMPENSATION OF THE PRESIDENT Appropriation, fiscal year 2000 to date............... $250,000 Budget estimate, fiscal year 2001..................... 390,000 Recommended in the bill............................... 390,000 Bill compared with: Appropriation, fiscal year 2000................... +140,000 Budget Estimate, fiscal year 2001................. ................ MISSION These funds provide for the compensation of the President as well as official expenses, as authorized by Title 3. RECOMMENDATION The Committee recommends an appropriation of $390,000 for Compensation of the President, $140,000 above the amounts appropriated in fiscal year 2000 and the same as the amount requested by the President. In accordance with Section 644 of Public Law 106-58, the Treasury and General Government Appropriations Act, 2000, this increase will cover the additional costs of increasing compensation for the President to $400,000 per year, effective at noon on January 20, 2001. Salaries and Expenses Appropriation, fiscal year 2000 to date............... $52,243,000 Budget estimate, fiscal year 2001..................... 53,288,000 Recommended in the bill............................... 52,135,000 Bill compared with: Appropriation, fiscal year 2000................... -108,000 Budget Estimate, fiscal year 2001................. -1,153,000 MISSION The Salaries and Expenses account of the White House Office supports staff and administrative services necessary for the direct support of the President. This account also includes reimbursements to the White House Communications Agency. RECOMMENDATION The Committee recommends an appropriation of $52,135,000 for White House Office Salaries and Expenses, $108,000 below the amounts appropriated in fiscal year 2000 and a reduction of $1,153,000 from the President's request. The Committee denies the requests of $201,000 to restore the fiscal year 2000 rescission, $450,000 for anticipated severance payments, $500,000 for costs associated with replacing equipment during the transition and $2,000 in unspecified increases to the object class ``Other Services''. The Committee recommends that all White House Office transition related costs not included in the fiscal year 2001 appropriation be submitted as a supplemental request by the incoming Administration. Finally, the Committee assumes a transfer of $500,000 to the Office of Administration for costs associated with upgrading the Executive Office of the President's (EOP) web page, as requested by the President. FIRST LADY TRAVEL The Committee continues to have significant concerns regarding the use of the government aircraft for political travel associated with the Senatorial campaign of the First Lady. Since June 9, 1999, the White House has reported that the First Lady has taken 77 political trips associated with her campaign on government aircraft. There were approximately 250 flight hours at a cost of $3,705 per hour, the cost of operating a C-20, for a total cost of $925,076. To date, the First Lady's campaign has reimbursed the taxpayer $145,611, consistent with all current laws and regulations governing First Family travel. The Committee believes that full disclosure of these costs is justified. The Committee has been extremely displeased with the lack of cooperation by the White House in this regard and, in particular, that it took the White House six months to respond to requests for information on this matter. The Committee is also extremely displeased that the information has been provided on a piecemeal basis and continues to believe that it has not received all of the information requested. At best, the White House has been both uncooperative and intentionally ambiguous in its responses to questions related to First Lady travel. On May 3, 2000, the Committee directed the White House to provide monthly reports on First Lady political travel. These reports, due the 15th of each month, are to include the following for each political trip: date, destination, type of aircraft used, total flight hours, passenger manifest (excluding Secret Service personnel), invoice generated by Airlift Operations, amount and date of reimbursement received by Airlift Operations, and operating cost per hour for each type of aircraft utilized, as determined by the Department of Defense. The Committee has received three reports but remains concerned that the White House continues to resist submitting these reports in a timely and complete manner. The Committee reminds the White House that it will be difficult to provide federal appropriations in support of political travel of the First Lady in the event that future reports do not include complete, timely, and accurate documentation. Executive Residence at the White House OPERATING EXPENSES Appropriation, fiscal year 2000 to date............... $9,225,000 Budget estimate, fiscal year 2001..................... 10,900,000 Recommended in the bill............................... 10,286,470 Bill compared with: Appropriation, fiscal year 2000................... +1,061,470 Budget Estimate, fiscal year 2001................. -613,530 MISSION These funds provide for the care, maintenance, and operation of the Executive Residence. RECOMMENDATION The Committee recommends an appropriation of $10,286,470 for the operating expenses of the Executive Residence, an increase of $1,061,470 from the amounts appropriated in fiscal year 2000 and a reduction of $613,530 from the amounts requested by the President. The Committee denies the President's request of $278,500 for supplies and materials recognizing that there is approximately $450,000 in the base appropriation for these requirements; the Committee also denies the request of $300,050 for an additional 4 FTE and $35,000 to restore the FY 2000 rescission. White House Repair and Restoration Appropriation, fiscal year 2000 to date............... $808,000 Budget estimate, fiscal year 2001..................... 5,510,000 Recommended in the bill............................... 658,000 Bill compared with: Appropriation, fiscal year 2000................... -150,000 Budget Estimate, fiscal year 2001................. -4,852,000 MISSION To provide for the repair, alteration, and improvement of the Executive Residence at the White House, a separate account was established in fiscal year 1996 to program and track expenditures for capital improvement projects at the Executive Residence at the White House. RECOMMENDATION The Committee recommends an appropriation of $658,000 for necessary repair and restoration work within the Executive Residence, a reduction of $150,000 from the amounts appropriated in fiscal year 2000 and a reduction of $4,852,000 from the amounts requested by the President. The Committee denies the following requests: $4,542,000 for renovation and replacement of the concrete raceway containing communication lines, $100,000 for costs associated with the upcoming transition, $150,000 for linen replacement, $60,000 for computer modernization, and $2,000 to restore the fiscal year 2000 rescission. The Committee recommends that Executive Residence transition related costs not funded in the fiscal year 2001 appropriation be submitted as a supplemental request by the incoming Administration. COMMUNICATION SYSTEMS REPAIRS The Committee provides $458,000 for the design of the renovation and replacement of the existing concrete raceway containing voice and communication lines serving the East Wing and the Executive Residence, as requested by the President. Nonetheless, the Committee is extremely concerned by the total estimated costs of this project. The Committee understands that project design will be complete within nine months and that the fiscal year 2001 request assumes construction would begin in August of 2001. Although the lack of construction funding may cause a project delay of approximately two months, the Committee believes that, absent a final design, the construction costs are difficult to estimate. The Committee directs the Executive Residence to submit the completed design to the Committee for review, including an estimate of total construction costs. Special Assistance to the President and the Official Residence of the Vice President SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $3,609,000 Budget estimate, fiscal year 2001..................... 3,673,000 Recommended in the bill............................... 3,664,000 Bill compared with: Appropriation, fiscal year 2000................... +55,000 Budget Estimate, fiscal year 2001................. -9,000 MISSION These funds support the official duties and functions of the Office of the Vice President. RECOMMENDATION The Committee recommends an appropriation of $3,664,000 for the Office of the Vice President, an increase of $55,000 from amounts appropriated in fiscal year 2000 and a reduction of $9,000 from amounts requested by the President. The Committee denies the request of $9,000 for the costs associated with replacing equipment during the upcoming transition. The Committee recommends that transition related costs within the Office of the Vice President not funded in the fiscal year 2001 appropriation be submitted as a supplemental request by the incoming Administration. Operating Expenses Appropriation, fiscal year 2000 to date............... $330,000 Budget estimate, fiscal year 2001..................... 354,000 Recommended in the bill............................... 354,000 Bill compared with: Appropriation, fiscal year 2000................... +24,000 Budget Estimate, fiscal year 2001................. ................ MISSION These funds support the care and operation of the Vice President's residence and specifically support equipment, furnishings, dining facilities, and services required to perform and discharge the Vice President's official duties, functions and obligations. RECOMMENDATION The Committee recommends an appropriation of $354,000 for the Operating Expenses of the Vice President's residence, an increase of $24,000 above fiscal year 2000 enacted levels and the same as the amount requested by the President. Council of Economic Advisers SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $3,825,000 Budget estimate, fiscal year 2001..................... 4,110,000 Recommended in the bill............................... 3,997,000 Bill compared with: Appropriation, fiscal year 2000................... +172,000 Budget Estimate, fiscal year 2001................. -113,000 MISSION The Council of Economic Advisers analyzes the national economy and its various segments, advises the President on economic developments, recommends policies for economic growth and stability, appraises economic programs and policies of the Federal Government, and assists in preparation of the annual Economic Report of the President to Congress. RECOMMENDATION The Committee recommends an appropriation of $3,997,000, an increase of $172,000 above the amounts appropriated in fiscal year 2000, and a decrease of $113,000 from amounts requested by the President. The Committee denies the request of $106,000 for two additional FTE and $7,000 for increased travel expenses. Office of Policy Development SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $4,017,000 Budget estimate, fiscal year 2001..................... 4,032,000 Recommended in the bill............................... 4,030,000 Bill compared with: Appropriation, fiscal year 2000................... +13,000 Budget Estimate, fiscal year 2001................. -2,000 MISSION The Office of Policy Development supports the National Economic Council and the Domestic Policy Council in carrying out their responsibilities to advise and assist the President in the formulation, coordination, and implementation of economic and domestic policy. The Office of Policy Development also provides support for other domestic policy development and implementation activities, as directed by the President. RECOMMENDATION The Committee recommends an appropriation of $4,030,000 for the Office of Policy Development, an increase of $13,000 from amounts appropriated in fiscal year 2000 and a reduction of $2,000 from amounts requested by the President. The Committee denies the request of $2,000 for increased travel expenses. National Security Council SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $6,970,000 Budget estimate, fiscal year 2001..................... 7,165,000 Recommended in the bill............................... 7,148,000 Bill compared with: Appropriation, fiscal year 2000................... +178,000 Budget Estimate, fiscal year 2001................. -17,000 MISSION The National Security Council advises the President on the integration of domestic, foreign, and military policies relating to national security. RECOMMENDATION The Committee recommends an appropriation of $7,148,000 for the National Security Council, an increase of $178,000 from amounts appropriated in fiscal year 2000 and a reduction of $17,000 from amounts requested by the President. The Committee denies the request of $17,000 to partially restore the fiscal year 2000 rescission. Office of Administration SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $39,050,000 Budget estimate, fiscal year 2001..................... 43,737,000 Recommended in the bill............................... 41,185,000 Bill compared with: Appropriation, fiscal year 2000................... +2,135,000 Budget Estimate, fiscal year 2001................. -2,552,000 MISSION The Office of Administration is responsible for providing cost-effective, administrative services to the Executive Office of the President (EOP). These services, defined by Executive Order 12028 of 1977, include financial, personnel, library and records services, information management systems support, and general office services. RECOMMENDATION The Committee recommends an appropriation of $41,185,000 for the Office of Administration, an increase of $2,135,000 from amounts appropriated in fiscal year 2000 and a reduction of $2,552,000 from amounts requested by the President. Of this amount, the Committee provides $8,893,000 for the Capital Investment Plan, an increase of $121,000 from amounts appropriated in fiscal year 2000 and a reduction of $1,012,000 from amounts requested by the President. For Salaries and Expenses, the Committee denies the requests of $406,000 and 5 FTE for additional information technology staff, $360,000 in new money for the next generation of the EOP web page, $660,000 and 5 FTE for implementation of the Chief Financial Officers (CFO) Act and $114,000 to restore the fiscal year 2000 rescission. The Committee includes a new general provision (Section 637) delaying the effective date of the CFO Act until May 1, 2001, giving the President until October 1, 2001 to appoint a Chief Financial Officer for the EOP. For the Capital Investment Plan, the Committee denies the following requests: +$100,000 for video-teleconferencing; +$288,000 for telecommuting access; $85,000 for internet service improvements; $250,000 for travel laptops replacement; $175,000 for web page growth; $80,000 for contractor overhead; and $34,000 for restoration of the fiscal year 2000 rescission. CAPITAL INVESTMENT PLAN The Committee remains concerned that the current Information Technology Architecture lacks a defined target architectural environment and that investments are being made that will ultimately not support the institutional business requirements of the EOP. In February 2000, the General Accounting Office (GAO) reviewed the EOP's 1999 Annual Update to the Information Technology Architecture (ITA) and concluded that, although the EOP's target architecture defines principles and goals governing how the EOP wants to operate in both business and technical terms, it does not define specific future business requirements and relationships. The Committee believes it is critical for the EOP to have both its current and future core business requirements defined. The Committee directs the EOP to include, as part of the 2000 Annual Update to the ITA: a definition of future core business processes for each of the component organizations within the EOP; an identification of systems applications to support business requirements; and a defined implementation plan for transitioning to the target environment. Information Technology Appropriation, fiscal year 2000 to date............... $8,400,000 Budget estimate, fiscal year 2001..................... ................ Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... -8,400,000 Budget Estimate, fiscal year 2001................. ................ MISSION This account was established as part of the fiscal year 2000 emergency supplemental appropriations bill (P.L. 106-246) for costs associated with the restoration and reconstruction of certain electronic mail messages and for the inclusion of such messages in the Automated Records Management System. RECOMMENDATION No funds were requested for this account in fiscal year 2001 and none have been provided. Office of Management and Budget SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $63,256,000 Budget estimate, fiscal year 2001..................... 68,786,000 Recommended in the bill............................... 67,143,000 Bill compared with: Appropriation, fiscal year 2000................... +3,887,000 Budget Estimate, fiscal year 2001................. -1,643,000 MISSION The Office of Management and Budget assists the President in the discharge of budgetary, economic, management, and other executive responsibilities. RECOMMENDATION The Committee recommends an appropriation of $67,143,000 for the Office of Management and Budget, an increase of $3,887,000 above fiscal year 2000 appropriated levels and a reduction of $1,643,000 from amounts requested by the President. The Committee denies without prejudice the request of $613,000 for an additional 9 FTE as well as the request of $1,030,000 for information technology enhancements. LAW ENFORCEMENT JOURNEYMAN LEVELS The Committee is concerned that the President's fiscal year 2001 budget request proposed upgrading the journeyman level pay grade of Officers of the Immigration and Naturalization Service (INS) but omitted the men and women who work side by side with INS at our nation's ports of entry--US Customs Inspectors. The Committee is concerned that this inequity will seriously detract from Custom's effort to attract and retain quality personnel. Therefore, the Committee directs the Office of Management and Budget to submit, as part of its fiscal year 2002 budget request for the U.S. Customs Service, a proposal to upgrade the journeyman levels of Customs employees to bring them into parity with their INS counterparts. COMMODITY CREDIT CORPORATION The Committee urges the OMB to follow historical precedence and law in releasing Commodity Credit Corporation funds upon the request and emergency designation of the Secretary of Agriculture in a timely fashion, as discussed in House Report 106-619 of HR 4461. southwest border coordination study Section 629 of P.L. 105-277 required the Director of ONDCP, the Secretary of the Treasury and the Attorney General to conduct a study on Southwest Border counterdrug coordination, in consultation with other federal agencies, to include an assessment and action plan, including mechanisms and recommendations for planning, organization, staffing, funding, infrastructure and technology. That study was to be submitted in July 1999. The Committee understands that the Customs Service forwarded its contribution to the study to the Treasury Department in April 1999, and ONDCP forwarded the completed study to OMB on April 14, 2000, for interagency coordination. The Committee directs OMB to expedite this review and submit the study, which is now a year late, as soon as possible. data quality The Committee has included statutory language (Section 515) which requires the Office of Management and Budget to develop, with public and federal agency involvement, guidelines providing policy and procedural guidance to Federal agencies for ensuring and maximizing the quality, objectivity, utility, and integrity of information disseminated by Federal agencies, and information disseminated by non-Federal entities with financial support from the Federal government, in fulfillment of the purposes and provisions of the Paperwork Reduction Act of 1995 (P.L. 104-13). Committee reconfirms its instructions with language directing OMB to issue such guidelines no later than the end of the fiscal year 2001, with a copy forwarded to the Committee on Appropriations. Apportionment for International Food Assistance Programs The Committee is concerned that the Office of Management and Budget is inappropriately involved in the detailed review of applications filed with the Department of Agriculture for international food assistance, particularly as a member of the Food Assistance Policy Council. While OMB does have a responsibility to be certain that funds are expended for the purposes for which they are appropriated, OMB's role is not to interfere with the policy determinations made by USDA, including the policy decision to allow for the monetization of commodities. The allocation and review process that has been in place has resulted in delays in the provision of food assistance that has hampered efforts to provide food assistance around the world in a timely fashion. It has also hindered USDA's ability to acquire commodities in a fashion designed to have a positive effect on the prices received by producers. The Committee directs OMB to apportion not less than 75% of funds for all of the food assistance programs operated by USDA no later than December 31, 2000, and to restrict its involvement with the Food Assistance Policy Council to administrative monitoring. Office of National Drug Control Policy SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $22,823,000 Budget estimate, fiscal year 2001..................... 25,400,000 Recommended in the bill............................... 24,759,000 Bill compared with: Appropriation, fiscal year 2000................... +1,936,000 Budget Estimate, fiscal year 2001................. -641,000 MISSION The Office of National Drug Control Policy, established by the Anti-Drug Abuse Act of 1988, is charged with developing policies, objectives and priorities for the National Drug Control Program as defined by the Act and Executive Order 12880, and by the Office of National Drug Control Policy Reauthorization Act of 1998. RECOMMENDATION The Committee recommends an appropriation of $24,759,000 for the Office of National Drug Control Policy, Salaries and Expenses, $1,936,000 above the fiscal year 2000 appropriation and $641,000 below the President's request. This includes funding for 125 full time equivalent (FTE) positions, including a new FTE to staff the Counterdrug Intelligence Secretariat (CDX). Funding is also included to restore base levels of personnel, operating costs, and equipment replacement, and $1,000,000 is provided to continue funding for model state drug law conferences. The Committee is unable to fund $641,000 of the amounts requested for communications ($172,000), other services ($313,000) and equipment ($156,000). COUNTERDRUG ENFORCEMENT IN U.S. NATIONAL FORESTS The Customs Service testified that they seized 1.5 million pounds of narcotics at U.S. ports of entry in fiscal year 1999. During that same period, the U.S. Forest Service destroyed the equivalent of 1 million pounds of marijuana growing in our national forests. The Committee directs the Office of National Drug Control Policy (ONDCP), in consultation with the U.S. Forest Service, the Bureau of Land Management, and other relevant agencies, to review the issue of marijuana and the cultivation and production of controlled substances in our national forests. The Committee further directs ONDCP to submit a plan to address this problem, including legislative and funding recommendations, to the Committee by February 1, 2001. Counterdrug Technology Assessment Center Appropriation, fiscal year 2000 to date............... $32,052,000 Budget estimate, fiscal year 2001..................... 20,400,000 Recommended in the bill............................... 29,750,000 Bill compared with: Appropriation, fiscal year 2000................... -2,302,000 Budget Estimate, fiscal year 2001................. +9,350,000 MISSION Pursuant to the Office of National Drug Control Policy Reauthorization Act of 1998 (title VII of Division C of Public Law 105-277), the Counterdrug Technology Assessment Center serves as the central counterdrug research and development organization for the United States Government. RECOMMENDATION The Committee recommends an appropriation of $29,750,000 for the Counterdrug Technology Assessment Center (CTAC), $2,302,000 below the fiscal year 2000 appropriation and $9,350,000 above the President's request. This includes $13,050,000 to maintain the current level of funding for the counterdrug technology transfer program, $16,000,000 to support CTAC's core research programs, and $700,000 to continue support for the U.S. Olympic Committee's anti-doping program. CTAC RESEARCH AND DEVELOPMENT The Committee recommends $16,000,000 for the basic research and development program. These funds will support four main programs: (1) the non-intrusive inspection technology program, which will examine jointly with the U.S. Customs Service long range technology alternatives for border and seaport inspection systems; (2) tactical technology for law enforcement organizations; (3) demand reduction, in particular providing support for brain imaging technology to bring about major advances in understanding how drug dependency affects the brain; and (4) testing of prototype counterdrug systems. TECHNOLOGY TRANSFER PROGRAM The Committee remains strongly supportive of the technology transfer program, which allows CTAC to provide technologies developed with federal funding directly to state and local law enforcement agencies that might otherwise be unable to benefit from the developments due to limited budgets or technological expertise. Priority is given to candidates in High Intensity Drug Trafficking Areas, and on the ability and willingness of candidates to share in costs, either through in-kind or direct contributions. The basic technology for transfer includes information technology, analytical tools, communications, tracking and surveillance, and drug detection devices. The program has gained significant support from state and local law enforcement agencies, and the Committee understands that the funding provided in this bill addresses less than a quarter of the unmet demand. As of March 2000, the program has delivered over 1,570 pieces of equipment to 1,159 state and local law enforcement agencies. The program has demonstrated a very low administrative cost, with equipment purchases making up 84 percent of costs. The program, which has received very high evaluation ratings from its users, is also heavily represented in local police and sheriff's organizations and in communities with populations under 500,000 (80 percent). Given the substantial unmet need for this relatively low-cost and high- payoff program, the Committee strongly encourages ONDCP and the Administration to increase the funding level for this program as it develops its fiscal year 2002 budget. Federal Drug Control Programs HIGH INTENSITY DRUG TRAFFICKING AREAS PROGRAM Appropriation, fiscal year 2000 to date............... $191,271,000 Budget estimate, fiscal year 2001..................... 192,000,000 Recommended in the bill............................... 192,000,000 Bill compared with: Appropriation, fiscal year 2000................... +729,000 Budget Estimate, fiscal year 2001................. ................ MISSION The High Intensity Drug Trafficking Areas (HIDTA) Program was established by the Director, ONDCP pursuant to section 1005 of the Anti-Drug Abuse Act of 1988, and now as reauthorized by section 707 of the Office of National Drug Control Policy Act of 1998 to provide assistance to Federal and state and local law enforcement entities operating in those areas most adversely affected by drug trafficking. RECOMMENDATION The Committee recommends an appropriation of $192,000,000 for the High Intensity Drug Trafficking Areas Program, $729,000 above the fiscal year 2000 appropriation and the same as the President's request. MEASURES OF HIDTA PERFORMANCE The Committee recognizes the high demand to add new HIDTAs and to expand existing ones, particularly recently established HIDTAs that have not received the base annual funding level funding of $2.5 million. There is also strong pressure to prevent any reduction in funding for existing HIDTAs. In almost any budget scenario, the HIDTA Program must function within realistic constraints--and so some tradeoff between growth and stasis must be found. The Committee supports a vigorous HIDTA Program, and last year provided two more FTE for the program office. The Committee underscores the need for performance-based management of the HIDTA Program, ensuring that HIDTAs that demonstrate performance and need are provided adequate resources. At the same time, the Committee believes that it is essential to identify HIDTAs where a change in the threat may have altered the requirements or where performance or management require additional attention. The Committee regrets that it is unable to provide funding above the President's request, and does not earmark the HIDTA program in order to give HIDTA management the flexibility and responsibility to allocate resources to where the greatest need lies. However, the Committee directs the Administration, as it develops its FY 2001 allocation plan and its FY 2002 budget, to budget adequately for support of existing HIDTAs, including funding additional program or expansion costs, and to allow for adding new HIDTAs as needed. The Committee is aware of areas facing increased drug trafficking that may be appropriate candidates for designation as a HIDTA, inclusion in an existing HIDTA, or increased funding, such as expanding the Northwest HIDTA to counties in Southwest Washington; increasing the Gulf, West Texas, and Central Florida HIDTAs; and fully funding new HIDTA base costs. While the Committee does not establish ceilings or floors on funding for specific programs or HIDTAs, it directs ONDCP to make its designation and funding decisions based on its performance measures of effectiveness, and to report to the House and Senate Committees on Appropriations prior to any decision to reduce such funding. Special Forfeiture Fund Appropriation, fiscal year 2000 to date............... $215,297,000 Budget estimate, fiscal year 2001..................... 259,000,000 Recommended in the bill............................... 219,000,000 Bill compared with: Appropriation, fiscal year 2000................... +3,703,000 Budget Estimate, fiscal year 2001................. -40,000,000 MISSION The Special Forfeiture Fund was established by the Anti- Drug Abuse Act of 1988, as amended, to be administered by the Director of the Office of National Drug Control Policy. While the fund was originally authorized to receive deposits from the Department of Justice Assets Forfeiture Fund and the Treasury Forfeiture Fund, its current source of funding is direct appropriations. RECOMMENDATION The Committee recommends an appropriation of $219,000,000 for the Special Forfeiture Fund, $3,703,000 above the fiscal year 2000 appropriation and $40,000,000 below the President's request. This includes $185,000,000 for the National Youth Anti-Drug Media Campaign; $1,000,000 for the National Drug Court Institute; $30,000,000 to carry out the Drug Free Communities Act (DFCA); and $3,000,000 for the costs of space and operations of the counter drug intelligence executive secretariat (CDX) established as part of the General Counterdrug Intelligence Plan (GCIP). The Committee denies without prejudice $10,000,000 for increased funding for the Youth Media Campaign, $5,000,000 for the DFCA, and $25,000,000 for additional funding for a national criminal justice treatment demonstration project. NATIONAL YOUTH ANTI-DRUG MEDIA CAMPAIGN The Committee recommendation would bring total funding for the youth media campaign to $750,000,000 over fiscal years 1998-2001. The Committee has held annual budget hearings on the progress of the campaign as it has developed and grown, as well as several hearings on particular issues of interest to the Committee such as the evaluation methodology and the involvement of the campaign with the entertainment industry in placing campaign messages in entertainment programming. The first of regular semi-annual evaluation reports on the performance of the campaign will be submitted in July 2000, by the National Institute on Drug Abuse (NIDA). In addition, the Committee is awaiting a report by GAO on the performance by ONDCP and its contractors in initiating the campaign and meeting statutory and other guidance provided by Congress, as well as in setting up a meaningful assessment mechanism. Given ONDCP testimony that the campaign can be expected to last longer than the original five-year period for which it was planned, the Committee intends to use such findings to assess the impact this significant campaign has had and can be expected to have on reducing the use of drugs and dangerous substances by youth and teens. There is no doubt that the campaign has become very visible, gaining both admirers and detractors. The proof of the utility of this particular project will lie in its impact on behavior, however, and not just in whether it has been noticed or gained a special niche in advertising or popular culture. The Committee notes that future funding for this program will depend on concrete, verifiable and scientifically valid evidence of such impact. media campaign target audiences and minorities The Committee is aware of concerns regarding whether the content and media outlets utilized by the National Anti-Drug Youth Media Campaign will adequately convey the anti-drug message to African-American and other minority youth. The Committee therefore directs ONDCP, in its oversight of the media campaign, to ensure that the diversity of the target audiences is fully addressed, and to report to the Committee specifically on this issue by September 1, 2000. drug free communities act The Drug Free Communities Act of 1998 (DFCA) established the basis for a partnership between community coalitions and the federal government, sharing costs and experience towards creating strong local organizations to advance local solutions to reducing drug use. A key element of DFCA was the requirement that participating coalitions demonstrate some degree of financial viability apart from the grants provided them. As the program has developed, the expectation is that participants will gradually increase their share of costs and ``graduate'' from the program after approximately five years. In the meantime, there has been no end to the number of interested organizations that can meet these criteria. The Committee regrets that it cannot fully fund the authorized $40,000,000 program level, and recognizes that the need for administration and evaluation costs will further reduce available grant funding. The Committee encourages ONDCP to explore ways to fully fund the DFCA at its authorized level as it prepares its fiscal year 2002 budget. counterdrug intelligence executive secretariat The General Counterdrug Intelligence Plan (GCIP) was initiated in February 2000 after several years of effort by departments, the intelligence community, and ONDCP to create a counterdrug intelligence architecture that would permit and coordinate the sharing of intelligence gathered and analyzed by the various agencies engaged in counterdrug intelligence gathering. In part, this was a response to the mandate included in the 1998 Treasury, Postal Service and General Government Appropriation Act. In the past, it has been extremely difficult to cross the barrier between national, foreign intelligence gathering agencies and law enforcement intelligence agencies. As a result, much useful information relating to drug organizations and trafficking has not been accessible by the very law enforcement and policy officials who most need it. The GCIP establishes a formal mechanism for sharing such information. This organization, based on a cabinet-level council, senior working group, and a counterdrug intelligence executive secretariat (CDX), will promote the active sharing and coordination of such information. As a result, more useful, timely, and actionable information should reach law enforcement agencies and the quality of information policy makers need for strategic analysis and decisions should improve. The Committee includes $3,000,000 for the first full year of operation for the CDX, and encourages the cabinet, the intelligence community, and other executive agencies involved to inform the Committee of progress in achieving better coordination within the federal government, as well as with state, local and foreign law enforcement organizations. Funds Appropriated to the President unanticipated needs Appropriation, fiscal year 2000 to date............... $996,000 Budget estimate, fiscal year 2001..................... 3,500,000 Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... -996,000 Budget Estimate, fiscal year 2001................. -3,500,000 mission These funds enable the President to meet unanticipated exigencies in support of the national interest, security or defense. recommendation The Committee recommends no appropriation for Unanticipated Needs of the President, a reduction of $966,000 from amounts appropriated in fiscal year 2000 and a reduction of $3,500,000 from amounts requested by the President. elections commission of the commonwealth of puerto rico The Committee is aware of the long-standing question of Puerto Rico's political status. Congress and Puerto Rico have a shared interest and responsibility in addressing this matter and have been considering the island's future political status since 1917 when Congress granted Puerto Ricans United States citizenship. The Committee understands the need for the people of Puerto Rico to fully participate in any decision on their future. This matter can only be resolved through a cooperative effort by the Congress, the President, and the people of Puerto Rico. However, the Committee also is aware of the December 13, 1998, political status plebiscite in Puerto Rico, which yielded inconclusive results, and urges the people of Puerto Rico to continue working to develop a consensus on what the island's future political status should be. TITLE IV--INDEPENDENT AGENCIES Committee for Purchase From People Who Are Blind or Severely Disabled salaries and expenses Appropriation, fiscal year 2000 to date............... $2,664,000 Budget estimate, fiscal year 2001..................... 4,158,000 Recommended in the bill............................... 4,158,000 Bill compared with: Appropriation, fiscal year 2000................... +1,494,000 Budget Estimate, fiscal year 2001................. ................ mission The Committee for Purchase From People Who Are Blind or Severely Disabled administers the Javits-Wagner-O'Day Act of 1971, as amended. Its primary objective is to increase the employment opportunities for people who are blind or have other severe disabilities and, whenever possible, to prepare them to engage in competitive employment. recommendation The Committee recommends an appropriation of $4,158,000 for the Committee for Purchase From People Who Are Blind or Severely Disabled, an increase of $1,494,000 from amounts appropriated in fiscal year 2000 and the same as the amount requested by the President. Federal Election Commission salaries and expenses Appropriation, fiscal year 2000 to date............... $38,008,000 Budget estimate, fiscal year 2001..................... 40,500,000 Recommended in the bill............................... 40,240,000 Bill compared with: Appropriation, fiscal year 2000................... +2,232,000 Budget Estimate, fiscal year 2001................. -260,000 mission The Commission administers the disclosure of campaign finance information, enforces limitations on contributions and expenditures, supervises the public funding of Presidential elections, and performs other tasks related to Federal elections. recommendation The Committee recommends an appropriation of $40,240,000 for the Federal Election Commission (FEC), an increase of $2,232,000 from amounts appropriated in fiscal year 2000 and a reduction of $260,000 from amounts requested by the President. The recommended appropriation is also a reduction of $720,000 from amounts requested by the FEC through its bypass authority. The Committee denies the requests of $100,000 for legal document imaging, $100,000 for the completion of Voting Systems Standards, and $60,000 for a national conference on Voting Systems Standards. Finally, the Committee denies the FEC's request of $460,000 for an additional 4 FTE within the Commissioner's offices. The Committee has included additional language (Section 637) regarding certain reforms within the FEC, including: a clarification of election cycle reporting of certain expenditures, a clarification of permissible use of facsimile machines and electronic mail to file reports, a clarification of the treatment of lines of credit obtained by candidates as commercially reasonable loans, and a change in the deadline for reporting of major campaign contributions received within the last 20 days of an election from 48 hours to 24 hours. These reforms are applicable with respect to elections occurring after January 2001. enforcement initiatives The Committee is pleased with FEC's progress in implementing two reforms targeted to enhancing enforcement procedures: establishing an administrative fine system for straightforward reporting violations and exploring options to establish an Alternative Dispute Resolution pilot program. The Committee directs FEC to provide periodic status reports to the House Committee on Appropriations on both initiatives including their impact on workloads within the Office of General Counsel and the numbers of cases dismissed. Federal Labor Relations Authority salaries and expenses Appropriation, fiscal year 2000 to date............... $23,737,000 Budget estimate, fiscal year 2001..................... 25,058,000 Recommended in the bill............................... 25,058,000 Bill compared with: Appropriation, fiscal year 2000................... +1,321,000 Budget Estimate, fiscal year 2001................. ................ mission The Federal Labor Relations Authority (FLRA), established by the Civil Service Reform Act of 1978, serves as a neutral party in the settlement of disputes that arise between unions, employees, and agencies on matters outlined in the Federal Service Labor Management Relations statute, decides major policy issues, prescribes regulations, and disseminates information appropriate to the needs of agencies, labor organizations, and the public. Establishment of the FLRA gives full recognition to the role of the Federal Government as an employer. Pursuant to the Foreign Service Act of 1980, FLRA also supports the Foreign Service Impasse Disputes Panel and the Foreign Service Labor Relations Board. recommendation The Committee recommends an appropriation of $25,058,000 for the Federal Labor Relations Authority, the same as the amount requested by the President and $1,321,000 above the fiscal year 2000 appropriated level. General Services Administration federal buildings fund Appropriation: Appropriation, fiscal year 2000 to date........... -$20,022,000 Budget estimate, fiscal year 2001................. 681,871,000 Recommended in the bill........................... ................ Bill compared with: Appropriation, fiscal year 2000................... +20,022,000 Budget Estimate, fiscal year 2001................. -681,871,000 Limitations on Availability of Revenue (not an appropriation): Limitation on availability, fiscal year 2000 to $5,321,634,000 date............................................. Limitation on availability, budget estimate, 6,326,621,000 fiscal year 2001................................. Recommended in the bill........................... 5,272,370,000 Bill compared with: Availability limitation, fiscal year 2000 to date. -49,264,000 Availability limitation, fiscal year 2001 estimate -1,054,251,000 mission The Federal Buildings Fund (FBF) finances the activities of the Public Buildings Service, which provides space and services for Federal agencies in a relationship similar to that of landlord and tenant. The FBF, established in 1975, replaces direct appropriations by using income derived from rent assessments, which approximate commercial rates for comparable space and services. The Committee on Appropriations makes funds available through a process of placing limitations on obligations from the FBF as a way of allocating funds for various FBF activities. The Committee may also appropriate funds into the FBF as a way of covering the difference between the total revenues coming into the FBF and the total limitation on the expenditure from the FBF. recommendation The Committee recommends that no funds be appropriated to the Federal Buildings Fund for fiscal year 2001. The Committee also has not provided the $477,484,000 requested by the Administration as advanced appropriations. The Committee acknowledges major unmet infrastructure construction needs, particularly for law enforcement and related facilities, but is fiscally constrained from providing for any of these needs by direct appropriations. The Committee, in not recommending any direct appropriations for the Federal Buildings Fund, has specifically not provided any appropriations for reimbursing the fund for the costs incurred by the General Services Administration (GSA) of moving the Federal Communications Commission to the Portals II building in Washington. These moving and relocation costs are the responsibility of the agency being moved. african burial ground The Committee recognizes the efforts of GSA to memorialize the 17th and 18th century African Americans whose remains were discovered during the excavation for a new federal building at Foley Square in lower Manhattan. Since 1992, significant work has been conducted on the memorialization but additional work is required prior to and including the reinterment of the remains. The Committee expects GSA to complete the project using funds made available from the Federal Buildings Fund or from the borrowing authority remaining for the building project at Foley Square. Construction and Acquisition Limitations on Availability of Revenue (not an appropriation): Limitation on availability, fiscal year 2000 to $54,197,000 date................................................. Limitation on availability, budget estimate, 779,788,000 fiscal year 2001..................................... Recommended in the bill: ................ Bill compared with: Availability limitation, fiscal year 2000 to date. -54,197,000 Availability limitation, fiscal year 2001 estimate -779,788,000 recommendation The Committee recommends no new obligational authority for construction and acquisition, a decrease of $54,197,000 below the amount provided in fiscal year 2000 and a decrease of $779,788,000 below the amount requested in the budget estimate. In setting overall spending priorities for the Federal Buildings Fund, the Committee believes that, given the limited funds available, it is essential to maintain to the greatest extent possible the inventory of existing Federal facilities. COURTHOUSE CONSTRUCTION The Committee is strongly aware of the need for new courthouse construction and is disappointed that it is not able to provide any funds for this effort. The Committee notes that the fiscal year 2001 budget request was the first in three years (since fiscal year 1998) to include funds for the construction of new courthouses. However, the Committee is concerned about several aspects of the budget submission for courthouse construction. The request submitted by the Administration differs from the request of the Judicial Conference of the United States in both project priorities and in funding amounts for specific projects. This Committee is not accustomed or anxious to arbitrate between the executive branch and the judicial branch in this matter. This bill carries a provision, similar to a provision carried in past bills and enacted into law, aimed at ensuring that the judicial branch and the executive branch reach an agreement regarding courthouse construction prior to the GSA budget request being submitted to Congress. It is the intent of this Committee in funding new courthouse construction to strictly follow the project priorities of the Judicial Conference of the United States. This Committee has worked with the courts and encouraged them to develop a system for ranking new courthouse construction projects in priority order. The budget estimate submitted by the Administration for new courthouse construction did not follow the exact priorities of the courts. The Committee is not persuaded as to the reasons or rationales behind all of the deviations from the priorities of the courts by the Administration. With respect to courtroom sharing, the Committee notes that the Judicial Conference has contracted with Ernst and Young to conduct a study of courtroom utilization issues. The Committee directs GAO to provide a review of the Ernst and Young study as it relates to utilization and courtroom sharing to the House Committee on Appropriations and the House Committee on Transportation and Infrastructure 180 days after the Ernst and Young study is made publicly available. This review is to focus on the methodologies and procedures used by the Ernst and Young study and is to comment on the objectivity and general utility of the results of the study. In explaining the Administration's decision to impose a ``two courtrooms for every three judges'' policy at a hearing before the Committee, the Director of the Office of Management and Budget cited a 1997 GAO report on courthouse construction. The Committee, while conscious of the continuing need for sound fiscal management, questions the unilateral application made by the Administration of the GAO findings in formulating its courtroom sharing policy and notes that the GAO itself concludes in the same report that the results of its 1997 analysis on courtroom usage cannot be projected across all federal district courts and that more study is needed. The blanket application of a ``two courtrooms for every three judges'' courtroom sharing policy precludes consideration of significant differences among the various courthouse projects in court caseloads and court operations. Also of significant concern to the Committee is the added construction costs that would be incurred, according to GSA and the courts, were the OMB policy applied to projects that are designed and ready for construction, such as the new courthouse projects in the District of Columbia and in Miami, Florida. The Committee is also very concerned about other changes proposed by OMB to projects previously agreed upon by GSA and the Judicial Conference, such as changing the Los Angeles, California, courthouse project from a free-standing courthouse to an annex facility. MIAMI, FLORIDA, COURTHOUSE The Committee directs the General Services Administration to make every effort to include minority contractors, vendors, and employees in every phase of the design, construction, and operation of the new courthouse to be constructed in Miami, Florida. The Committee further directs the General Services Administration to provide a report by February 1, 2001, on its plans for achieving this essential objective and its progress to date. past courthouse projects The Committee is aware that project cost estimates by GSA for a number of courthouses over the past several years had been below the amounts necessary to award construction of the project as designed. Several of these projects have been able to move forward using additional funds provided through reprogramming or internal transfers. The Committee acknowledges that delays in funding for courthouses may have an impact on accuracy of cost estimating but recommends that GSA review its methodology and process for making project cost estimates and quickly move forward to address any remaining issues that might stem from the low estimates for courthouse projects. Repairs and Alterations Limitations on Availability of Revenue (not an appropriation): Limitation on availability, fiscal year 2000 to $598,674,000 date................................................. Limitation on availability, budget estimate, 721,193,000 fiscal year 2001..................................... Recommended in the bill........................... 490,592,000 Bill compared with: Availability limitation, fiscal year 2000 to date. -108,082,000 Availability limitation, fiscal year 2001 estimate -230,601,000 recommendation The Committee recommends a limitation of $490,592,000 for repairs and alterations, a decrease of $108,082,000 below the enacted limitation level for fiscal year 2000 and a decrease of $230,601,000 below the budget estimate. Within the amount provided are $290,000,000 for non-prospectus repair projects, $174,639,000 for prospectus repair projects, $10,953,000 for project design, and $5,000,000 each for the energy program, glass fragment retention program, and the chloroflurocarbon program. The Committee urges GSA to move forward as expeditiously as possible with the glass fragment retention program for addressing the physical threats and public safety issues associated with shattering glass windows and further directs GSA to conduct a study of the benefits that would result from and the costs that would be incurred by extending the glass fragment retention program to all federal buildings within GSA's inventory of owned space, including any recommendations for future action that might be appropriate, and provide this study to the Committee on Appropriations and Committee on Transportation and Infrastructure within 120 days of the enactment of this Act. The Committee has not identified in the bill which specific prospectus repair projects or design projects are to be conducted with the funds provided; it is the expectation of the Committee that the General Services Administration will make the most efficient use of the funds and move forward on those prospectus projects that are the highest priority. FEDERAL BUILDING AT 300 NORTH LOS ANGELES ST., LOS ANGELES, CALIFORNIA Repairs and improvements to the federal building located at 300 North Los Angeles Street in Los Angeles, California, is a priority of the Committee. While the Committee understands the funding constraints within GSA's repair and alterations program, this federal building has been slated for renovation for several years and design funding for this project was provided in fiscal year 1994. Therefore, the Committee expects funding for this important project to be included in GSA's fiscal year 2002 budget estimate. terre haute, indiana The Committee is aware of a memorandum of understanding between the Postal Service and the General Services Administration concerning a building in Terre Haute, Indiana, that is owned by the Postal Service but is no longer needed by the Postal Service. The Committee also is cognizant of pending legislation that would transfer the control and responsibility for the building from the Postal Service to the General Services Administration. The Committee encourages the Postal Service and the General Services Administration to continue working towards developing an appropriate and economically justifiable use as well as a management plan for the building. Installment Acquisition Payments Limitations on Availability of Revenue (not an appropriation) Limitation on availability, fiscal year 2000 to $205,668,000 date................................................. Limitation on availability, budget estimate, 185,369,000 fiscal year 2001..................................... Recommended in the bill........................... 185,369,000 Bill compared with: Availability limitation, fiscal year 2000 to date. -20,299,000 Availability limitation, fiscal year 2001 estimate ................ recommendation The Committee recommends a limitation of $185,369,000 for installation acquisition payments, a decrease of $20,299,000 below the enacted limitation level for fiscal year 2000 and the same as the budget estimate. Rental of Space Limitations on Availability of Revenue (not an appropriation) Limitation on availability, fiscal year 2000 to $2,782,186,000 date................................................. Limitation on availability, budget estimate, 2,944,905,000 fiscal year 2001..................................... Recommended in the bill........................... 2,944,905,000 Bill compared with: Availability limitation, fiscal year 2000 to date. +162,719,000 Availability limitation, fiscal year 2001 estimate ................ recommendation The Committee recommends a limitation of $2,944,905,000 for rental of space, an increase of $162,719,000 above the enacted limitation level for fiscal year 2000 and the same as the budget estimate. lease scoring GSA's rental of space program has steadily grown over the years, not only in dollar value but also as a percentage of obligations for the Federal Buildings Fund. The fiscal year 2001 estimate of $2.945 billion for Rental of Space represents 54 percent of the Federal Buildings Fund receipts. Eight years ago, the leasing costs were $1.889 billion and represented about 44 percent of the Federal Buildings Fund receipts. One of the principal reasons for this growth is GSA's reliance on shorter-term leases in order to meet scoring rules as set forth in the Budget Enforcement Act of 1990 and the Deficit Reduction Act of 1997. These rules make it financially impossible for GSA to sign longer-term leases. A lease that violates any of these scoring rules is treated as a capital lease for budget scoring purposes, resulting in the entire cost of the lease being scored as budget authority in the first year of the lease. Leases not violating these rules are treated as operating leases and are scored annually as payments become due. Because of the budget scoring restrictions, GSA relies on 10-year leases that cost 33 percent more on a comparable per- square-foot basis than do 20-year leases. This budget scoring restriction effects GSA's ability to fund other important programs, such as repairs for maintaining the integrity of the federal building inventory and critically needed new construction. Continued reliance by GSA on short- term leases will only lead to greater demands on the Federal Buildings Fund to cover rental costs. This vicious cycle can and must be broken by establishing a policy that does not restrict the use of long-term leases and that allows, where cost effective, for the prudent development and maintenance of federally owned buildings. Such a policy is not possible without relief from the current budget rules that govern lease transaction scoring. To that end, the General Accounting Office is directed to submit a comprehensive report on the effects that current scoring rules have had on GSA's leasing program. The report also is to contain recommendations on ways to address this problem. This report shall be submitted within 180 days of enactment of this Act to the House Committee on Appropriations and to the House Committee on Transportation and Infrastructure. Building Operations Limitations on Availability of Revenue (not an appropriation)....................................... Limitation on availability, fiscal year 2000 to $1,580,909,000 date................................................. Limitation on availability, budget estimate, 1,624,771,000 fiscal year 2001..................................... Recommended in the bill........................... 1,580,909,000 Bill compared with: Availability limitation, fiscal year 2000 to date. ................ Availability limitation, fiscal year 2001 estimate -43,862,000 recommendation The Committee recommends a limitation of $1,580,909,000 for building operations for fiscal year 2001, the same limitation level as provided for fiscal year 2000 and a decrease of $43,862,000 below the budget estimate. Within this limitation level, the Committee has included $500,000 to conduct a site selection analysis for a replacement facility for the National Center for Environmental Prediction of the National Oceanic and Atmospheric Administration, currently located in Camp Springs, Maryland. The delineated area shall be in the Washington, D.C. Metropolitan area and include the consideration of appropriate educational institutions qualified to be project partners. A report on the findings of the study shall be provided to the Committee within 120 days of the enactment of this Act. Within the limitation level provided are funds to maintain GSA's support for telecommuting work centers in the Washington, DC, metropolitan area. The Committee looks forward to receiving the evaluation study required by last year's report (House Report 106-231), which GSA projects will be completed before the end of fiscal year 2000. The Committee encourages GSA to consider using, if warranted, a portion of the funds available for supporting telecommuting centers or other funds to identify and develop a plan to resolve technology barrier issues that impede the creation of home workstations for federal employees. The Committee recommends that GSA study the need for additional secure parking for the U.S. Courts and related federal agencies in the Solomon Building in Chattanooga, Tennessee, determine whether land is currently available, and estimate the cost of leasing or acquiring land for such purposes. The Committee further directs the GSA to analyze plans for the continued occupancy of the old U.S. Post Office building now occupied by the U.S. Bankruptcy Court and to report its findings to the Committee within 90 days of the enactment of this Act. The Committee encourages GSA to work with the city of Ardmore, Oklahoma, and appropriately support its Streetscape Project for renovating sidewalks and parks. The Committee understands that GSA plans to conduct a Physical Security Review of the Terry Sanford Federal Building, located at 310 New Bern Avenue in Raleigh, North Carolina, in fiscal year 2001. The Committee is aware that the Building Security Committee has recommended some security enhancements to bring this building in line with the minimum standards for Level 4 facilities, and that GSA anticipates the Physical Security Review will confirm these recommendations. The Committee expects GSA to complete the Physical Security Review by January 1, 2001, and to implement any needed security enhancements expeditiously. access to telecommunications services The Committee is aware that significant cost savings to the government are being achieved by the FTS 2001 and the Metropolitan Area Acquisition programs administered by GSA as a result of increased competition among communications services. The Committee notes that legislation has been introduced in Congress intended to help stimulate competition and promote fair and reasonable access to telecommunications services for federal agencies. The Committee encourages the Executive branch to continue working towards the goals of stimulating marketplace completition and ensuring fair and reasonable access to telecommunications services for federal agencies. Policy and Operations Appropriation, fiscal year 2000 to date............... $119,523,000 Budget estimate, fiscal year 2001..................... 136,980,000 Recommended in the bill............................... 115,434,000 Bill compared with: Appropriation, fiscal year 2000................. -4,089,000 Budget Estimate, fiscal year 2001............... -21,546,000 mission This appropriations account provides for Government-wide policy, planning, and oversight associated with real and personal property asset management, supplies, information technology, electronic commerce, transportation and travel management, acquisition, and Federal advisory committees management. In addition, this activity provides for the internal policy, management, oversight, and coordination of all GSA programs. recommendation The Committee recommends an appropriation of $115,434,000 for Policy and Operations, a decrease of $4,089,000 below the level provided for fiscal year 2000 and a decrease of $21,546,000 below the budget estimate. Increases to the fiscal year 2000 enacted level include $3,285,000 to cover increases in fixed costs so that the current levels of service can be maintained and $3,300,000 for protection and maintenance of the Lorton complex, bringing the total fiscal year 2001 GSA funding for the Lorton complex to $6,058,000. Decreases from the fiscal year 2000 enacted level include $2,000,000 for the digital learning centers, $275,000 for the virtual archive storage facility feasibility study, $1,399,000 as a result of reduced requirements at Governors Island, $3,300,000 associated with one-time costs of the fiscal year 2000 emergency supplemental appropriation, and $3,700,000 for the Federal Information Center, the funding responsibility for which has been transferred to the VA-HUD-Independent Agencies appropriations bill. GSA has in the past provided administrative and logistical support to the Olympics, Pan-American Games, and other international events. GSA performs these functions under authorities of the Department of the Army on a reimbursable basis. No direct appropriations have been requested or provided to GSA for these functions. The Committee encourages GSA assist the Salt Lake City Organizing Committee for the winter and Paralympic Games in 2002 as well as the 2001 World Police and Fire Games in Indiana. public service recognition week The Committee recognizes that Public Service Recognition Week, a program of the Public Employees Roundtable, has educated America about the value of the career workforce, which carries out the daily operations of government. This program, which has existed for over 10 years, plays an important role in educating our nation's youth by providing them with timely information about their government. The Committee urges the General Services Administration to support the mission of the Public Employees Roundtable and provide $100,000 in administrative and logistical assistance to Public Service Recognition Week activities, the same level as was provided for fiscal year 2000. electronic commerce The Committee encourages the use of Internet technology for electronic commerce as a cost effective and efficient method for federal agencies to purchase needed products and services from many qualified vendors. The Committee requests GSA to provide a report to the Committee by December 31, 2000, assessing GSA's progress in using Internet technology for electronic commerce as a purchasing tool for the federal government. The report should compare the general costs, accessibility, and timeliness among the major options available to federal agencies for making purchases (including Internet access to electronic commerce and more traditional purchase venues), and the report should discuss cost and other factors related to the use of government versus commercial Internet websites for electronic commerce. badger army ammunition plant The Committee is aware that GSA is overseeing the disposal of the Badger Army Ammunition Plant near Baraboo, Wisconsin. The Committee recognizes that the GSA has delayed the development of a reuse plan since May 1999 to allow the community to develop a consensus for the reuse of the property at the Badger Army Ammunition Plant. The Committee also acknowledges the recent appointment of the Sauk County Badger Army Ammunition Plant Reuse Committee made up of various government and non-government stakeholders whose purpose is to develop such a consensus plan for the reuse of the property. The Committee urges GSA to work with the Sauk County Badger Army Ammunition Plant Reuse Committee in the development of a mutually acceptable reuse plan for this property. Office of Inspector General Appropriation, fiscal year 2000 to date............... $33,317,000 Budget estimate, fiscal year 2001..................... 34,520,000 Recommended in the bill............................... 34,520,000 Bill compared with: Appropriation, fiscal year 2000................... +1,203,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation provides agencywide audit and investigative functions to identify and correct management and administrative deficiencies within GSA which create conditions for existing or potential instances of fraud, waste, and mismanagement. The audit function provides internal audit and contract audit services. Contract audits provide professional advice to GSA contracting officials on accounting and financial matters relative to the negotiation, award, administration, repricing, and settlement of contracts. Internal audits review and evaluate all facets of GSA operations and programs, test internal control systems, and develop information to improve operating efficiencies and enhance customer services. The investigative function provides for the detection and investigation of improper and illegal activities involving GSA programs, personnel, and operations. recommendation The Committee recommends an appropriation of $34,520,000 for the Office of Inspector General, an increase of $1,203,000 above the fiscal year 2000 enacted level and the same as the budget estimate. The increase provided is to cover increases in fixed costs so that the Office of Inspector General can maintain current levels of service. Allowances and Office Staff for Former Presidents Appropriation, fiscal year 2000 to date............... $2,241,000 Budget estimate, fiscal year 2001..................... 2,517,000 Recommended in the bill............................... 2,517,000 Bill compared with: Appropriation, fiscal year 2000................... +276,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation provides support consisting of pensions, office staffs, and related expenses for former Presidents Gerald R. Ford, Jimmy Carter, Ronald Reagan, George Bush and Bill Clinton (after he leaves office) and for pension and postal franking privileges for the widow of former President Lyndon B. Johnson. Also, this appropriation is authorized to provide funding for security and travel related expenses for each former President and the spouse of a former President pursuant to Section 531 of Public Law 103-329. recommendation The Committee recommends an appropriation of $2,517,000 for Allowances and Office Staff for Former Presidents, an increase of $276,000 above the fiscal year 2000 enacted level and the same as the budget estimate. The increase is to cover authorized expenses to be incurred by President Clinton after he leaves office ($256,000) and for a pension increase for former Presidents ($20,000). The following table displays a breakdown for this account for fiscal year 2001. FY 2001 BUDGET ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS [In thousands of dollars] ---------------------------------------------------------------------------------------------------------------- Ford Carter Reagan Bush Clinton Widow Total ---------------------------------------------------------------------------------------------------------------- Personal Compensation............................ 96 96 96 96 30 0 414 Personal Benefits................................ 24 5 24 35 11 0 99 Benefits for Former Personnel: Pensions..................................... 157 157 157 157 111 20 759 Travel....................................... 50 2 16 57 11 0 136 Rental Payments to GSA........................... 99 93 285 147 57 0 681 Communications, Utilities and Miscellaneous charges: Telephone.................................... 17 28 15 17 6 0 83 Postage...................................... 2 22 10 11 4 2 51 Printing......................................... 3 8 14 11 3 0 39 Other Services................................... 14 79 44 12 16 0 165 Supplies & Materials............................. 9 10 20 11 4 0 54 Equipment........................................ 5 9 3 16 3 0 36 -------------------------------------------------------------- Total Obligations.......................... 476 509 684 570 256 22 2,517 ---------------------------------------------------------------------------------------------------------------- Expenses, Presidential Transition Appropriation, fiscal year 2000 to date............... ................ Budget estimate, fiscal year 2001..................... $7,100,000 Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... ................ Budget Estimate, fiscal year 2001................. -7,100,000 mission The Presidential Transition Act of 1963, Public Law 88-277 (3 U.S.C. 102 note), as amended, was enacted to provide for the orderly transfer of executive power in connection with the expiration of the term of office of a President and the inauguration of a new President. Funds provided by this appropriation are for Presidential transition activities associated with the incoming Administration and the outgoing Administration, pursuant to statute. recommendation The Committee recommends no funding for this appropriation, the same level as was provided in fiscal year 2000 and a decrease of $7,100,000 below the budget estimate. The Committee recommends the incoming Administration submit, if determined to be needed, a supplemental appropriation following the inauguration. The Committee encourages the General Services Administration and the other executive agencies to support the outgoing and incoming Administrations during the transition using available funds. General Provisions--General Services Administration Section 401. The Committee continues the provision that provides that costs included in rent received from government corporations for operation, protection, maintenance, upkeep, repair and improvement shall be credited to the Federal Buildings Fund. Section 402. The Committee continues the provision providing authority for the use of funds for the hire of motor vehicles. Section 403. The Committee continues the provision providing that funds made available for activities of the Federal Buildings Fund may be transferred between appropriations with advance approval of the Congress. Section 404. The Committee continues the provision prohibiting the use of funds for developing courthouse construction requests that do not meet GSA standards and priorities of the Judicial Conference. Section 405. The Committee continues the provision providing that no funds may be used to increase the amount of occupiable square feet, provide cleaning services, security enhancements, or any other service usually provided, to any agency which does not pay the requested rent. Section 406. The Committee continues the provision providing for Information Technology Fund repayment from sponsored projects that realize program savings. Section 407. The Committee continues the provision that permits GSA to pay small claims (up to $250,000) made against the government. Section 408. The Committee modifies a provision of the fiscal year 2000 appropriations act to provide a one-year extension to the period for which voluntary separation incentive payments may be offered by the Administrator of the General Services Administration to qualified employees. Merit Systems Protection Board salaries and expenses Appropriation, fiscal year 2000 to date............... $27,481,000 Budget estimate, fiscal year 2001..................... 29,437,000 Recommended in the bill............................... 28,857,000 Bill compared with: Appropriation, fiscal year 2000................... +1,376,000 Budget Estimate, fiscal year 2001................. -580,000 mission The Merit Systems Protection Board performs the adjudicatory functions necessary to maintain the civil service merit system. These include hearing appeals on adverse actions, reduction-in-force actions, and retirement. The Board reports to the President on whether merit systems are sufficiently free from prohibited personnel practices to protect the public interest. recommendation The Committee recommends an appropriation of $28,857,000 for the Merit Systems Protection Board, $1,376,000 above the fiscal year 2000 appropriated level and $580,000 below the amount requested by the President. The Committee is unable to fully fund the request, as modified by the President's June 5, 2000, budget amendment. Federal Payment to the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation salaries and expenses Appropriation, fiscal year 2000 to date............... $1,992,000 Budget estimate, fiscal year 2001..................... 3,000,000 Recommended in the bill............................... 2,000,000 Bill compared with: Appropriation, fiscal year 2000................... +8,000 Budget Estimate, fiscal year 2001................. -1,000,000 mission Public Law 102-259 established the Morris K. Udall Scholarship and Excellence in National Environmental Policy Trust Fund. General Fund payments to that fund are invested in Treasury securities. Interest earnings from the investments are used to carry out the activities of the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation. The Foundation awards scholarships, fellowships, and grants and funds activities of the Udall Center for Studies in Public Policy. recommendation The Committee recommends an appropriation of $2,000,000 for Federal Payment to the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation, an increase of $8,000 above the amount appropriated for fiscal year 2000 and a decrease of $1,000,000 below the budget estimate. The Committee is aware and supportive of pending legislation to establish the Native Nations Institute and encourages the Administration, should this legislation become enacted, to submit a reprogramming proposal for funding the Native Nations Institute for fiscal year 2001. Environmental Dispute Resolution Fund Appropriation, fiscal year 2000 to date............... $1,245,000 Budget estimate, fiscal year 2001..................... 1,250,000 Recommended in the bill............................... 1,250,000 Bill compared with: Appropriation, fiscal year 2000................... +5,000 Budget Estimate, fiscal year 2001................. ................ mission Public Law 105-156 established the United States Institute for Environmental Conflict Resolution as part of the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation. It also established in the Treasury an Environmental Dispute Resolution Fund to be available to establish and operate the Institute. The purpose of the Institute is to conduct environmental conflict resolution and training. recommendation The Committee recommends an appropriation of $1,250,000 for the Environmental Dispute Resolution Fund, an increase of $5,000 above the level appropriated for fiscal year 2000 and the same as the budget estimate. National Archives and Records Administration operating expenses Appropriation, fiscal year 2000 to date............... $179,674,000 Budget estimate, fiscal year 2001..................... 209,393,000 Recommended in the bill............................... 195,119,000 Bill compared with: Appropriation, fiscal year 2000................... +15,445,000 Budget Estimate, fiscal year 2001................. -14,274,000 MISSION The National Archives and Records Administration provides for basic operations dealing with management of the Government's archives and records, operation of Presidential libraries, and for the review for declassification of classified security information. RECOMMENDATION The Committee recommends an appropriation of $195,119,000 for the National Archives and Records Administration (NARA) Operating Expenses, an increase of $15,445,000 above the level appropriated for fiscal year 2000 and a decrease of $14,274,000 below the budget estimate. The increase above the enacted level includes $6,782,000 to cover increases in fixed costs, $5,923,000 to cover NARA expenses associated with the Presidential transition ($950,000 to begin processing records of the Clinton Administration and $4,973,000 for the costs of moving and storing records of the Clinton Administration), and $2,740,000 for improving veteran records management ($1,685,000 to expand access to veteran records and $1,055,000 for enhancing storage and preservation of veteran records). The Committee denies without prejudice the other requested program increases. Repairs and Restoration Appropriation, fiscal year 2000 to date............... $22,296,000 Budget estimate, fiscal year 2001..................... 99,560,000 Recommended in the bill............................... 5,650,000 Bill compared with: Appropriation, fiscal year 2000................... -16,646,000 Budget Estimate, fiscal year 2001................. -93,910,000 MISSION This appropriation provides for the repair, alteration, and improvement of Archives facilities and Presidential libraries nationwide. It enables the National Archives to maintain its facilities in proper condition for visitors, researchers, and employees, and also maintain the structural integrity of the buildings. RECOMMENDATION The Committee recommends an appropriation of $5,650,000 for NARA Repairs and Restoration, a decrease of $16,646,000 below the level appropriated for fiscal year 2000 and a decrease of $93,910,000 below the budget estimate. The funds include $700,000 for the design of a 10,000-square-foot extension to the Gerald R. Ford Museum, part of the Gerald R. Ford Library and Museum, and $4,950,000 to maintain the base-level budget for NARA repairs and restorations. The Committee has been strongly supportive of the major renovation effort that is underway to repair and restore the main National Archives building and to better preserve and safeguard the Charters of Freedom. The Committee is very disappointed that it was not able to provide the funds necessary to continue progress on this important effort during fiscal year 2001. The Committee approves of the planning and management of this effort by the National Archives and Records Administration and denies without prejudice the requested funding solely on the basis of fiscal constraints. Records Center Revolving Fund Appropriation, fiscal year 2000 to date............... $22,000,000 Budget estimate, fiscal year 2001..................... ................ Recommended in the bill............................... ................ Bill compared with: Appropriation, fiscal year 2000................... -22,000,000 Budget Estimate, fiscal year 2001................. ................ MISSION The National Archives and Records Administration (NARA) Records Center Revolving Fund provides the mechanism for the operation of NARA's records centers on a reimbursable basis without direct appropriations. The Fund is available for expenses and equipment necessary to provide for storage and related services for all temporary and pre-archival Federal records which are stored at Federal National and Regional Records Centers. Resources in the Fund are derived from user charges received from Federal agencies as payment for storage of records. RECOMMENDATION The Committee recommends no appropriation for the Records Center Revolving Fund, a decrease of $22,000,000 below the level enacted for fiscal year 2000 and the same as the budget estimate. National Historical Publications and Records Commission Grants Program Appropriation, fiscal year 2000 to date............... $4,250,000 Budget estimate, fiscal year 2001..................... 6,000,000 Recommended in the bill............................... 6,000,000 Bill compared with: Appropriation, fiscal year 2000................... +1,750,000 Budget Estimate, fiscal year 2001................. ................ MISSION This program provides for grants funding that the Commission makes, nationwide, to preserve and publish records that document American history. Administered within the National Archives and Records Administration, which preserves Federal records, the NHPRC helps state, local, and private institutions preserve non-Federal records, helps publish the papers of major figures in American history, and helps archivists and records managers improve their techniques, training, and ability to serve a range of information users. RECOMMENDATION The Committee recommends an appropriation of $6,000,000 for the National Historical Publications and Records Commission-- Grants Program, an increase of $1,750,000 above the net level appropriated for fiscal year 2000 and the same as the budget estimate. Office of Government Ethics SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $9,080,000 Budget estimate, fiscal year 2001..................... 9,684,000 Recommended in the bill............................... 9,684,000 Bill compared with: Appropriation, fiscal year 2000................... +604,000 Budget Estimate, fiscal year 2001................. ................ MISSION The Office of Government Ethics (OGE), established by the Ethics in Government Act of 1978, provides overall direction of executive branch policies designed to prevent conflicts of interest and insure high ethical standards. The OGE discharges its responsibilities to preserve and promote public confidence in the integrity of executive branch officials by developing rules and regulations pertaining to conflicts of interest, post employment restrictions, standards of conduct, and public and confidential financial disclosure in the executive branch. It monitors compliance with public and confidential financial disclosure requirements of the Ethics in Government Act of 1978 and the Ethics Reform Act of 1989, to determine possible violations of applicable laws or regulations and recommending appropriate corrective action. OGE also consults with and assists various officials in evaluating the effectiveness of applicable laws and the resolution of individual problems, and prepares formal advisory opinions, informal letter opinions, policy memoranda, and Federal Register entries on how to interpret and comply with the requirements on conflicts of interest, post employment, standards of conduct, and financial disclosure. Finally, OGE issues and amends regulations implementing the procurement integrity provisions relating to negotiating for employment, post employment, and gratuities in the Office of Federal Procurement Policy Act Amendments of 1988, P.L. 100-679. RECOMMENDATION The Committee recommends an appropriation of $9,684,000 for the Office of Government Ethics, the same amount requested by the President and $604,000 above the fiscal year 2000 appropriated level. Office of Personnel Management SALARIES AND EXPENSES Appropriation, fiscal year 2000 to date............... $90,240,000 Budget estimate, fiscal year 2001..................... 100,558,000 Recommended in the bill............................... 93,471,000 Bill compared with: Appropriation, fiscal year 2000................... +3,231,000 Budget Estimate, fiscal year 2001................. -7,087,000 MISSION The Office of Personnel Management (OPM) is the Government agency responsible for management of Federal human resource policy and oversight of the merit civil service system. Although individual agencies are increasingly responsible for personnel operations, OPM provides a Governmentwide policy framework for personnel matters, advises and assists agencies (often on a reimbursable basis), and ensures that agency operations are consistent with requirements of law, with emphasis on such issues as veterans preference. OPM oversees examining of applicants for employment, issues regulations and policies on hiring, classification and pay, training, investigations, and many other aspects of personnel management, and operates a reimbursable training program for the Government's managers and executives. OPM is also responsible for administering the retirement, health benefits and life insurance programs affecting most Federal employees, retired Federal employees, and their survivors. RECOMMENDATION The Committee recommends an appropriation of $93,471,000 for the Office of Personnel Management, Salaries and Expenses, $7,087,000 below the amount requested by the President and an increase of $3,231,000 above fiscal year 2000 appropriated levels. The recommended increase includes $237,000 for expanded oversight of ``non-Title 5'' agency merit systems, half of the requested level. The increase also includes $400,000 for new qualification standards to simplify hiring and assessment; $313,000 to maintain current levels; $800,000 for on-going information technology support; $700,000 for agency wide information technology architecture; $181,000 for NARA costs; and $1,900,000 for administrative financial systems support to ensure an unqualified audit opinion. The Committee denies without prejudice the President's request of $6,150,000 for the Federal Cyber-Service program; $300,000 to develop a workforce planning model; $300,000 for improvements in setting compensation rates; and $100,000 to research best practices in compensation systems. locality pay The Committee is concerned that, due to a dispute among the President's Pay Agent, the Federal Salary Council, and the Bureau of Labor Statistics (BLS) over the methodology used to compile the National Compensation Survey (NCS), the President's Pay Agent has not surveyed any potential new locality pay areas since 1996. Although the Pay Agent has reached an agreement with the BLS to study areas of concern and make possible modifications to the National Compensation Survey (NCS) program, this review, revision, and implementation period will last an estimated 8-10 years. The Committee is aware that the Federal Employees Pay Comparability Act (FEPCA) requires the Council and the Pay Agent to utilize BLS data in making locality pay designations and respects the concerns that this data be accurate. However, the Committee finds it unacceptable that locality pay designations, which have already been suspended for several years, may be postponed for another decade. This is certainly not in keeping with the intent of FEPCA. The Committee therefore has included bill language (Section 639) that will permit the President's Pay Agent to utilize appropriate data from sources other than BLS in making new locality pay designations. The bill language also directs the President's Pay Agent to report on the status of efforts to resolve the methodological concerns with the NCS program and on the efficacy of utilizing non-BLS data in making comparability payment recommendations. elder care The Committee is aware that the Office of Personnel Management (OPM) is reviewing a variety of issues relating to elder care. The changing demographics of the federal workforce make it clear that employers need to recognize the demands on federal employees, which often make it difficult to balance conflicting work and family demands. However, when employers provide family friendly programs, they increase employee morale, productivity, and retention. Therefore, the Committee directs OPM to provide a report on options for addressing federal employees' elder care needs, including any legislative recommendations that may be appropriate, to the Committee no later than March 1, 2001. Office of Inspector General Appropriation, fiscal year 2000 to date............... $956,000 Budget estimate, fiscal year 2001..................... 1,360,000 Recommended in the bill............................... 1,360,000 Bill compared with: Appropriation, fiscal year 2000................... +404,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation provides agencywide audit, investigative, evaluation, and inspection functions to identify management and administrative deficiencies, which may create conditions for fraud, waste and mismanagement. The audits function provides internal agency audit, insurance audit, and contract audit services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters regarding the negotiation, award, administration, repricing, and settlement of contracts. Internal audits review and evaluate all facets of agency operations, including financial statements. Evaluation and inspection services provide detailed technical evaluations of agency operations. Insurance audits review the operations of health and life insurance carriers, health care providers, and insurance subscribers. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations. recommendation The Committee recommends an appropriation of $1,360,000 for the Office of Inspector General, the same amount requested by the President and $404,000 above the fiscal year 2000 appropriated level. Government Payment for Annuitants, Employees Health Benefits Appropriation, fiscal year 2000 to date............... $5,105,395,000 Budget estimate, fiscal year 2001..................... 5,427,166,000 Recommended in the bill............................... 5,427,166,000 Bill compared with: Appropriation, fiscal year 2000................... +321,771,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation covers: (1) the Government's share of the cost of health insurance for 1,851,000 annuitants as defined in sections 8901 and 8906 of title 5, United States Code; (2) the Government's share of the cost of health insurance for about 12,000 annuitants (who were retired when the Federal employees health benefits law became effective), as defined in the Retired Federal Employees Health Benefits Act of 1960; and (3) the government's contribution for payment of administrative expenses incurred by the Office of Personnel Management in administration of the act. Government Payment for Annuitants, Employees Life Insurance Appropriation, fiscal year 2000 to date............... $36,200,000 Budget estimate, fiscal year 2001..................... 35,000,000 Recommended in the bill............................... 35,000,000 Bill compared with: Appropriation, fiscal year 2000................... -1,200,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation finances the Government's share of premiums, which is one-third the cost, for basic life insurance for annuitants retiring after December 31, 1989, and who are less than 65 years old. Payment to Civil Service Retirement and Disability Fund Appropriation, fiscal year 2000 to date............... $9,120,558,000 Budget estimate, fiscal year 2001..................... 8,940,051,000 Recommended in the bill............................... 8,940,051,000 Bill compared with: Appropriation, fiscal year 2000................... -180,507,000 Budget Estimate, fiscal year 2001................. ................ mission This appropriation provides for payment of annuities, including the payment of annuities under special acts for persons employed on the construction of the Panama Canal or their widows and widows of employees of the Lighthouse Service; payment of the government share of retirement costs of the unfunded liability resulting from any statute authorizing new or liberalized benefits, extension of retirement coverage, or pay increases; transfers for interest on unfunded liability and payment of military service annuities covering interest on the unfunded liability and annuity disbursements for military service; payments for spouse equity providing survivor annuities to eligible former spouses of annuitants who died between September 1978 and May 1986 and did not elect survivor coverage; and transfers for payment of FERS supplemental liability covering annual amortization payments financing supplemental liabilities for FERS. Office of Special Counsel salaries and expenses Appropriation, fiscal year 2000 to date............... $9,703,000 Budget estimate, fiscal year 2001..................... 11,147,000 Recommended in the bill............................... 10,319,000 Bill compared with: Appropriation, fiscal year 2000................... +616,000 Budget Estimate, fiscal year 2001................. -828,000 mission The Office of Special Counsel: (1) investigates Federal employee allegations of prohibited personnel practices (including reprisal for whistleblowing) and, when appropriate, prosecutes before the Merit Systems Protection Board; (2) provides a channel for whistleblowing by Federal employees; and (3) enforces the Hatch Act. The Office may transmit whistleblower allegations to the agency head concerned and require an agency investigation and a report to the Congress and the President when appropriate. recommendation The Committee recommends an appropriation of $10,319,000 for the Office of Special Counsel, $828,000 below the amount requested by the President and an increase of $616,000 above the fiscal year 2000 appropriated level. The Committee denies without prejudice the President's request of $772,000 for additional personnel to reduce case backlog, and $56,000 for related equipment, travel and training. United States Tax Court salaries and expenses Appropriation, fiscal year 2000 to date............... $35,045,000 Budget estimate, fiscal year 2001..................... 37,439,000 Recommended in the bill............................... 37,305,000 Bill compared with: Appropriation, fiscal year 2000................... +2,260,000 Budget Estimate, fiscal year 2001................. -134,000 mission The bulk of the Court's work is the trial and adjudication of controversies involving deficiencies in income, estate, and gift taxes. The Court also has jurisdiction to redetermine deficiencies in certain excise taxes; to issue declaratory judgments in the areas of qualification of retirement plans, exemption of charitable organizations and the status of certain governmental obligations; and to decide certain cases involving disclosure of tax information by the Commissioner of Internal Revenue. recommendation The Committee recommends an appropriation of $37,305,000 for the U.S. Tax Court, an increase of $2,260,000 above the level enacted for fiscal year 2000 and a decrease of $134,000 below the budget estimate. The increase is provided to cover increases in fixed costs so that the U.S. Tax Court can maintain the current level of service. TITLE V--GENERAL PROVISIONS This Act Section 501. The Committee continues the provision limiting the expenditure of funds to the current year unless expressly provided in this Act. Section 502. The Committee continues the provision limiting the expenditure of funds for consulting services under certain conditions. Section 503. The Committee continues the provision prohibiting the use of funds to engage in activities which would prohibit the enforcement of section 307 of the 1930 Tariff Act. Section 504. The Committee continues the provision prohibiting the transfer of control over the Federal Law Enforcement Training Center out of the Department of the Treasury. Section 505. The Committee continues the provision concerning employment rights of Federal employees who return to their civilian jobs after assignment with the Armed Forces. Section 506. The Committee continues the provision concerning compliance with the Buy American Act. Section 507. The Committee continues the provision concerning prohibition of contracts which use certain goods not made in America. Section 508. The Committee continues the provision prohibiting contract eligibility where fraudulent intent has been proven in affixing ``Made in America'' labels. Section 509. The Committee continues the provision prohibiting the expenditure of funds for abortions under the FEHBP. Section 510. The Committee continues the provision which would authorize the expenditure of funds for abortions under the FEHBP if the life of the mother is in danger or the pregnancy is a result of an act of rape or incest. Section 511. The Committee continues the provision providing that fifty percent of unobligated balances may remain available for certain purposes. Section 512. The Committee continues the provision restricting the use of funds for the White House to request official background reports without the written consent of the individual who is the subject of the report. Section 513. The Committee continues the provision that cost accounting standards under the Federal Procurement Policy Act shall not apply to the FEHBP. Section 514. The Committee includes a new provision that transfers a parcel of land from the Gerald R. Ford Library and Museum to the Gerald R. Ford Foundation as trustee, with reversionary interest. Section 515. The Committee includes a new provision requiring OMB to develop guidelines for ensuring and maximizing the quality, objectivity, utility, and integrity of information disseminated by federal agencies. Section 516. The Committee includes a new provision prohibiting the use of funds to give preference for the acquisition of a firearm or ammunition based on whether the manufacturer or vendor of the firearm or ammunition is party to an agreement with a department, agency, or instrumentality of the United States regarding codes of conduct, operating practices, or product design. Section 517. The Committee includes a new provision prohibiting the use of funds to allow placement in interstate or foreign commerce of diamonds that have been mined in Burkina Faso, the Democratic Republic of the Congo, or the Republics of Sierra Leone, Liberia, Cote d'Ivoire, or Angola, except for diamonds certified as originating in the Republic of Sierra Leone. Section 518. The Committee includes a new provision prohibiting the use of funds for the purpose of implementation, or in preparation for implementation, or the Kyoto Protocol. This provision shall not be read to restrict the President's constitutional authority to negotiate international agreements and shall not apply to any activities authorized under existing United States law. The Committee notes that the ratified United Nations Framework Convention on Climate Change (UNFCCC) is not self-executing. The Committee also notes that mechanisms found solely in the Kyoto Protocol have never been authorized. The Byrd-Hagel Resolution (S. Res. 105-98), which passed with a vote of 95-0 in July 1997, remains the clearest statement of the will of the Senate with regard to the Kyoto Protocol. Through the prohibition contained herein, the Committee is committed to ensuring that the Administration not implement the Kyoto Protocol without prior Congressional consent, including approval of any implementing legislation, regulation, programs, or initiatives. To the extent that technical assistance and training, research and policy analysis, dissemination of findings of research and policy analysis, and the sponsoring of conferences are approved by Congress and funded by the American taxpayer, these activities must be balanced. Balance does not mean merely that there is an acknowledgment of viewpoints different from those of the Administration, but that qualified viewpoints are included in numbers equal to those representing the Administration's positions. The Committee encourages the commercial export of United States technology that have positive effects on energy use and the environment. The Committee notes with disapproval that nearly three years after the Kyoto Protocol was adopted on December 11, 1997, it still has not been submitted to the Senator for advise and consent as to ratification The Committee also notes that the Kyoto Protocol has not yet entered into force pursuant to Article 25 of the Protocol. Section 519. The Committee includes a new provision regarding the use of alternative fuels by the Department of the Treasury and the General Services Administration. Section 520. The Committee includes a new provision regarding apportionment for International Food Assistance Programs. TITLE VI--GOVERNMENTWIDE GENERAL PROVISIONS Departments, Agencies, and Corporations Section 601. The Committee continues the provision authorizing agencies to pay costs of travel to the United States for the immediate families of Federal employees assigned to foreign duty in the event of a death or a life threatening illness of the employee. Section 602. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all of its workplaces are free from the illegal use of controlled substances. Section 603. The Committee continues the provision regarding price limitations on vehicles to be purchased by the Federal Government. Section 604. The Committee continues the provision allowing funds made available to agencies for travel, to also be used for quarters allowances and cost-of-living allowances. Section 605. The Committee continues the provision prohibiting the government, with certain specified exceptions, from employing non-U.S. citizens whose posts of duty would be in the continental U.S. Section 606. The Committee continues the provision ensuring that agencies will have authority to pay GSA bills for space renovation and other services. Section 607. The Committee continues the provision allowing agencies to finance the costs of recycling and waste prevention programs with proceeds from the sale of materials recovered through such programs. Section 608. The Committee continues the provision providing that funds may be used by certain groups to pay rent and other service costs in the District of Columbia. Section 609. The Committee continues the provision providing that no funds may be used to pay any person filling a nominated position who has been rejected by the Senate. Section 610. The Committee continues the provision precluding the financing of groups by more than one Federal agency absent prior and specific statutory approval. Section 611. The Committee continues the provision authorizing the Postal Service to employ guards and give them the same special police powers as GSA guards. Section 612. The Committee continues the provision prohibiting the use of funds for enforcing regulations disapproved in accordance with the applicable law of the U.S. Section 613. The Committee continues the provision limiting the pay increases of certain prevailing rate employees. Section 614. The Committee continues the provision limiting the amount of funds that can be used for redecoration of offices under certain circumstances. Section 615. The Committee continues the provision prohibiting the expenditure of funds for the acquisition of additional law enforcement training facilities. Section 616. The Committee continues the provision to allow for interagency funding of national security and emergency telecommunications initiatives. Section 617. The Committee continues the provision requiring agencies to certify that a Schedule C appointment was not created solely or primarily to detail the employee to the White House. Section 618. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all workplaces are free from discrimination and sexual harassment. Section 619. The Committee continues the provision prohibiting the importation of any goods manufactured by forced or indentured child labor. Section 620. The Committee continues the provision prohibiting the payment of any employee who prohibits, threatens or prevents another employee from communicating with Congress. Section 621. The Committee continues the provision prohibiting Federal training not directly related to the performance of official duties. Section 622. The Committee continues the provision prohibiting the expenditure of funds for implementation of agreements in nondisclosure policies unless certain provisions are included. Section 623. The Committee continues the provision prohibiting propaganda, publicity and lobbying by executive agency personnel in support or defeat of legislative initiatives. Section 624. The Committee continues the provision directing OMB to provide an accounting statement and report on the cumulative costs and benefits of Federal regulatory programs. Section 625. The Committee continues the provision prohibiting any Federal agency from disclosing an employee's home address to any labor organization, absent employee authorization or court order. Section 626. The Committee continues and makes permanent the provision authorizing the Secretary of the Treasury to establish scientific canine explosive detection standards. Section 627. The Committee continues the provision prohibiting funds to be used to provide non-public information such as mailing or telephone lists to any person or organization outside the government without the approval of the Committees on Appropriations. Section 628. The Committee continues the provision prohibiting the use of funds for propaganda and publicity purposes not authorized by Congress. Section 629. The Committee continues the provision directing agency employees to use official time in an honest effort to perform official duties. Section 630. The Committee includes a new provision which delays enactment of Section 638 of Public Law 106-58, establishing a Chief Financial Officer within the Executive Office of the President, until May 1, 2001. Section 631. The Committee continues and includes technical modifications to the provision addressing contraceptive coverage in health plans participating in the FEHBP, making it identical to current law as enacted by Section 625 of the Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act of 2000 and deleting the names of two plans that no longer participate in the program. Section 632. The Committee continues the provision authorizing the use of funds to finance an appropriate share of the Joint Financial Management Improvement Program. Section 633. The Committee continues and modifies the provision authorizing agencies to transfer funds to the Policy and Operations account of GSA to finance a variety of efforts, with specific limitations. Section 634. The Committee continues a provision, with technical modifications, authorizing an Executive agency to use certain funds to improve the affordability of child care for lower income Federal employees. The Provision was initially included in the Treasury and General Government Appropriations Act, 2000, to provide a one-year demonstration program that could be evaluated for its effectiveness. However, the Office of Personnel Management did not finalize regulations until March 14, 2000, almost half way through the fiscal year. In addition, many Federal employees plan their child care needs annually in relation to the school year, preventing full participation in this program for fiscal year 2000. Based on these and other factors, the Committee believes that a proper evaluation of this program requires that this demonstration project be available to Federal agencies for one complete fiscal year. Section 635. The Committee continues the provision that permits breast feeding in a Federal building or on Federal property if the woman and child are authorized to be there. Section 636. The Committee includes a new provision which permits interagency funding of the National Science and Technology Council and provides for a report on the budget and resources of the National Science and Technology Council. Section 637. The Committee includes a new provision regarding certain reforms within the FEC, including: a clarification of election cycle reporting of certain expenditures, a clarification of permissible use of facsimile machines and electronic mail to file reports, a clarification of the treatment of lines of credit obtained by candidates as commercially reasonably loans, and a change in the deadline for reporting of major campaign contributions received within the last 20 days of an election from 48 hours to 24 hours. These reforms are applicable with respect to elections occurring after January 2001. Section 638. The Committee includes a new provision concerning retirement provisions relating to certain members of the police force of the Metropolitan Washington Airports Authority. Section 639. The Committee has included a new provision authorizing the President's Pay Agent to use appropriate data from sources other than the Bureau of Labor Statistics in making new locality pay designations. Section 640. The Committee includes a new provision to restore the federal employee retirement contribution share to pre-1999 levels. Section 641. The Committee includes a new provision that amends the Federal Election Campaign Act of 1971 to strengthen the reporting requirements related to the use of federal aircraft for campaign purposes. Specifically, the language would require a candidate who uses federal aircraft to travel to a campaign event to report the type of aircraft used, the number of people related to the campaign event, and the amount of reimbursement along with the method used in determining that amount. This provision does not in any way alter the current reimbursement provisions as outlined in section 106.3 of Chapter 11 of the Code of Federal Regulations, ``Allocation of expenses between campaign and non-campaign related travel,'' but does strengthen the reporting requirements of that use. Section 642. The Committee includes a new provision making a modification to the calculation of disability pay for federal firefighters. Section 643. The Committee includes a technical provision modifying the basis for using inactive duty military leave. Appropriations Can Be Used Only for the Purposes for Which Made Title 31 of the United States Code makes clear that appropriations can be used only for the purposes for which they were appropriated as follows: Section 1301. Application. (a) Appropriations shall be applied only to the objects for which the appropriations were made except as otherwise provided by law. Compliance With House Rules TRANSFER OF FUNDS Pursuant to clause 3(f)(2), rule XIII of the Rules of the House of Representatives, the following is submitted describing the transfer of funds provided in the accompanying bill. The table shows, by title, department and agency, the appropriations affected by such transfers: APPROPRIATION TRANSFERS RECOMMENDED IN THE BILL ---------------------------------------------------------------------------------------------------------------- Account from which transfer is to Account to which transfer is to be made Amount be made Amount ---------------------------------------------------------------------------------------------------------------- Customs, Salaries and Expenses................. $3,000,000 Harbor Maintenance Fee Collection.. $3,000,000 Federal Departments............................ 1,100,000 Office of National Drug Control 1,100,000 Policy. State and local entities....................... 97,920,000 Federal Drug Programs--HIDTA....... 97,920,000 Federal Departments............................ 94,080,000 Federal Drug Programs--HIDTA....... 94,080,000 State and local entities....................... 13,050,000 Counterdrug Technology Assessment 13,050,000 Center. Federal Departments............................ 16,000,000 Counterdrug Technology Assessment 16,000,000 Center. Federal Departments............................ 219,000,000 Special Forfeiture Fund............ 219,000,000 Personnel Management........................... 101,986,000 Trust Funds of the Office of 101,986,000 Personnel Management. Inspector General, OPM......................... 9,745,000 Trust Funds of the Office of 9,745,000 Personnel Management. Merit System Protection Board.................. 2,430,000 Civil Service Retirement and 2,430,000 Disability Trust Fund. Treasury Department offices, bureaus and other 41,787,000 Department-Wide Systems and Capital 41,787,000 organizations. Investments programs. Treasury Department offices, bureaus and other 759,000 General Services Administration, 759,000 organizations. Allowances and Office Staff for Former Presidents. Treasury Department offices, bureaus, and other 2,000,000 Expanded Access to Financial 2,000,000 organizations. Services. ---------------------------------------------------------------------------------------------------------------- RESCISSION OF FUNDS In compliance with clause 3(f)(2) of rule XIII of the Rules of the House of Representatives, the Committee reports that it recommends no rescissions in the bill. 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 that 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. COMPLIANCE WITH RULE XIII, CL. 3 (RAMSEYER RULE) In compliance with clause 3(e) 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): TITLE 5, UNITED STATES CODE * * * * * * * PART III--EMPLOYEES * * * * * * * Subpart D--Pay and Allowances * * * * * * * CHAPTER 55--PAY ADMINISTRATION * * * * * * * SUBCHAPTER V--PREMIUM PAY * * * * * * * Sec. 5545b. Pay for firefighters (a) * * * * * * * * * * (d)(1) * * * * * * * * * * (4) Notwithstanding section 8114(e)(1), overtime pay for a firefighter subject to this section for hours in a regular tour of duty shall be included in any computation pay under section 8114. * * * * * * * Sec. 5547. Limitation on premium pay (a) * * * * * * * * * * (c)(1) * * * * * * * * * * (3) Notwithstanding the provisions of paragraph (2), premium pay for protective services authorized by section 3056(a) of title 18, United States Code, may be paid without regard to the biweekly limitation on premium pay except that such premium pay shall not be payable to an employee to the extent that the aggregate of the employee's basic and premium pay for the year would otherwise exceed the annual equivalent of that limitation. The term premium pay refers to pay authorized by sections 5542, 5545 (a), (b), and (c), and 5546 (a) and (b) of this title. Pay authorized by section 5545a of this title will be treated as basic pay for the purpose of this paragraph to the extent that it does not cause an employee's biweekly pay to exceed the limitation in paragraph (2). Payment of additional premium pay payable under this section may be made in a lump sum on the last payday of the calendar year. * * * * * * * CHAPTER 63--LEAVE * * * * * * * SUBCHAPTER II--OTHER PAID LEAVE * * * * * * * Sec. 6323. Military leave; Reserves and National Guardsmen (a)(1) * * * * * * * * * * (3) The minimum charge for leave under this subsection is one hour, and additional charges are in multiples thereof. Subpart G--Insurance and Annuities * * * * * * * CHAPTER 83--RETIREMENT * * * * * * * SUBCHAPTER III--CIVIL SERVICE RETIREMENT * * * * * * * Sec. 8334. Deductions, contributions, and deposits (a) * * * * * * * * * * (c) Each employee or Member credited with civilian service after July 31, 1920, for which retirement deductions or deposits have not been made, may deposit with interest an amount equal to the following percentages of his basic pay received for that service: Percentage of basic pay Service period Employee............................... 2\1/2\................... August 1, 1920, to June 30, 1926. * * * * * * * [7.5..................... January 1, 2001, to December 31, 2002. [7....................... After December 31, 2002.] 7........................ After December 31, 2000. Member or employee for Congressional 2\1/2\................... August 1, 1920, to June 30, 1926. employee service. * * * * * * * [8....................... January 1, 2001, to December 31, 2002. [7.5..................... After December 31, 2002.] 7.5...................... After December 31, 2000. * * * * * * * Law enforcement officer for law 2\1/2\................... August 1, 1920, to June 30, 1926. enforcement service and firefighter 3\1/2\................... July 1, 1926, to June 30, 1942. for firefighter service. * * * * * * * [8....................... January 1, 2001, to December 31, 2002. [7.5..................... After December 31, 2002.] 7.5...................... After December 31, 2000. Bankruptcy judge....................... 2\1/2\................... August 1, 1920, to June 30, 1926. * * * * * * * [8.5..................... January 1, 2001, to December 31, 2002. [8....................... After December 31, 2002.] 8........................ After December 31, 2000. Judge of the United States Court of 6........................ May 5, 1950, to October 31, 1956. Appeals for the Armed Forces for 6\1/2\................... November 1, 1956, to December 31, 1969. service as a judge of that court. * * * * * * * [8.5..................... January 1, 2001, to December 31, 2002. [8....................... After December 31, 2002.] 8........................ After December 31, 2000. United States magistrate............... 2\1/2\................... August 1, 1920, to June 30, 1926. * * * * * * * [8.5..................... January 1, 2001, to December 31, 2002. [8....................... After December 31, 2002.] 8........................ After December 31, 2000. Court of Federal Claims Judge.......... 2\1/2\................... August 1, 1920, to June 30, 1926. * * * * * * * [8.5..................... January 1, 2001, to December 31, 2002. [8....................... After December 31, 2002.] 8........................ After December 31, 2000. Member of the Capitol Police........... 2.5...................... August 1, 1920, to June 30, 1926. * * * * * * * [8....................... January 1, 2001, to December 31, 2002. [7.5..................... After December 31, 2002.] 7.5...................... After December 31, 2000. Nuclear materials courier.............. 7........................ October 1, 1977 to October 16, 1998. * * * * * * * [8....................... January 1, 2001 to December 31, 2002. [7.5..................... After December 31, 2002.] 7.5...................... After December 31, 2000. * * * * * * * CHAPTER 84--FEDERAL EMPLOYEES' RETIREMENT SYSTEM * * * * * * * SUBCHAPTER II--BASIC ANNUITY * * * * * * * Sec. 8422. Deductions from pay; contributions for military service (a)(1) * * * * * * * * * * [(3) The applicable percentage under this paragraph for civilian service shall be as follows: [Employee............................... 7...................... January 1, 1987, to December 31, 1998. 7.25................... January 1, 1999, to December 31, 1999. 7.4.................... January 1, 2000, to December 31, 2000. 7.5.................... January 1, 2001, to December 31, 2002. 7...................... After December 31, 2002. Congressional employee.................. 7.5.................... January 1, 1987, to December 31, 1998. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 8...................... January 1, 2001, to December 31, 2002. 7.5.................... After December 31, 2002. Member.................................. 7.5.................... January 1, 1987, to December 31, 1998. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 8...................... January 1, 2001, to December 31, 2002. 7.5.................... After December 31, 2002. Law enforcement officer, firefighter, 7.5.................... January 1, 1987, to December 31, 1998. member of the Capitol Police, or air traffic controller. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 8...................... January 1, 2001, to December 31, 2002. 7.5.................... After December 31, 2002.] (3) The applicable percentage under this paragraph for civilian service shall be as follows: Employee................................ 7...................... January 1, 1987, to December 31, 1998. 7.25................... January 1, 1999, to December 31, 1999. 7.4.................... January 1, 2000, to December 31, 2000. 7...................... After December 31, 2000. Congressional employee.................. 7.5.................... January 1, 1987, to December 31, 1998. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 7.5.................... After December 31, 2000. Member.................................. 7.5.................... January 1, 1987, to December 31, 1998. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 8...................... January 1 2001, to December 31, 2002. 7.5.................... After December 31, 2002. Law enforcement officer, firefighter, 7.5.................... January 1, 1987, to December 31, 1998. member of the Capitol Police, or air traffic controller. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 7.5.................... After December 31, 2000. Nuclear materials courier............... 7...................... January 1, 1987, to October 16, 1998. 7.5.................... October 17, 1998, to December 31, 1998. 7.75................... January 1, 1999, to December 31, 1999. 7.9.................... January 1, 2000, to December 31, 2000. 7.5.................... After December 31, 2000. (e)(1) * * * * * * * * * * (6) The percentage of basic pay under section 204 of title 37 payable under paragraph (1), with respect to any period of military service performed during-- (A) January 1, 1999, through December 31, 1999, shall be 3.25 percent; and (B) January 1, 2000, through December 31, 2000, shall be 3.4 percent[; and]. [(C) January 1, 2001, through December 31, 2002, shall be 3.5 percent.] (f)(1) * * * * * * * * * * (4) The percentage of the readjustment allowance or stipend (as the case may be) payable under paragraph (1), with respect to any period of volunteer service performed during-- (A) January 1, 1999, through December 31, 1999, shall be 3.25 percent; and (B) January 1, 2000, through December 31, 2000, shall be 3.4 percent[; and]. [(C) January 1, 2001, through December 31, 2002, shall be 3.5 percent.] * * * * * * * ---------- TREASURY AND GENERAL GOVERNMENT APPROPRIATIONS ACT, 2000 PUBLIC LAW 106-58 * * * * * * * TITLE IV--INDEPENDENT AGENCIES * * * * * * * Sec. 411. Voluntary Separation Incentive Payment for Employees of the General Services Administration. (a) Authority.--During the period October 1, 1999, through [April 30, 2001] April 30, 2002, the Administrator of General Services is authorized to offer a voluntary separation incentive in order to provide the necessary flexibility to carry out the closing of the Federal Supply Service distribution centers, forward supply points, and associated programs in a manner which the Administrator shall deem most efficient, equitable to all employees, and cost effective for the Government. * * * * * * * (e) Eligibility for Payments.--Payments under this section may be made to any qualifying employee who voluntarily separates, whether by retirement or resignation, between October 1, 1999 through [April 30, 2001] April 30, 2002. * * * * * * * TITLE VI--GENERAL PROVISIONS * * * * * * * Sec. 638. (a) * * * * * * * * * * (h) Effective Date.--This section shall take effect [at noon on January 20, 2001] on May 1, 2001. * * * * * * * ---------- FEDERAL ELECTION CAMPAIGN ACT OF 1971 * * * * * * * TITLE III--DISCLOSURE OF FEDERAL CAMPAIGN FUNDS definitions Sec. 301. When used in this Act: (1) * * * * * * * * * * (8)(A) * * * * * * * * * * (B) The term ``contribution'' does not include-- (i) * * * * * * * * * * (xiii) payments made by a candidate or the authorized committee of a candidate as a condition of ballot access and payments received by any political party committee as a condition of ballot access; [and] (xiv) any honorarium (within the meaning of section 323 of this Act)[.]; and (xv) any loan of money derived from an advance on a candidate's brokerage account, credit card, home equity line of credit, or other line of credit available to the candidate, if such loan is made in accordance with applicable law and under commercially reasonable terms and if the person making such loan makes loans in the normal course of the person's business. * * * * * * * reports Sec. 304. (a)(1) * * * * * * * * * * (5) If a designation, report, or statement filed pursuant to this Act (other than under paragraph (2)(A)(i) [or (4)(A)(ii)] or (4)(A)(ii), or the second sentence of subsection (c)(2) is sent by registered or certified mail, the United States postmark shall be considered the date of filing of the designation, report, or statement. (6)(A) The principal campaign committee of a candidate shall notify the Secretary or the Commission, and the Secretary of State, as appropriate, in writing, of any contribution of $1,000 or more received by any authorized committee of such candidate [after the 20th day, but more than 48 hours before any election] during the period which begins after the 20th day before an election and ends at the time the polls close for such election. This notification shall be made [within 48 hours after the receipt of such contribution] not later than 24 hours after the receipt of such contribution or midnight of the day on which the contribution is deposited (whichever is earlier), and shall include the name of the candidate and the office sought by the candidate, the indentification of the contributor, and the date of receipt and amount of the contribution. * * * * * * * (b) Each report under this section shall disclose-- (1) * * * * * * * * * * (5) the name and address of each-- (A) person to whom an expenditure in an aggregate amount or value in excess of $200 within the calendar year (or election cycle, in the case of an authorized committee of a candidate for Federal office) is made by the reporting committee to meet a candidate or committee operating expense, together with the date, amount, and purpose of such operating expenditure; * * * * * * * (6)(A) for an authorized committee, the name and address of each person who has received any disbursement not disclosed under paragraph (5) in an aggregate amount or value in excess of $200 within the [calendar year (or election cycle, in the case of an authorized committee of a candidate for Federal office)] election cycle, together with the date and amount of any such disbursement; (B) for any other political committee, the name and address of each-- (i) * * * * * * * * * * (iii) person who receives any disbursement during the reporting period in an aggregate amount or value in excess of $200 within the calendar year [(or election cycle, in the case of an authorized committee of a candidate for Federal office)] in connection with an independent expenditure by the reporting committee, together with the date, amount, and purpose of any such independent expenditure and a statement which indicates whether such independent expenditure is in support of, or in opposition to, a candidate, as well as the name and office sought by such candidate, and a certification, under penalty of perjury, whether such independent expenditure is made in cooperation, consultation, or concert, with, or at the request or suggestion of, any candidate or any authorized committee or agent of such committee; * * * * * * * (v) person who has received any disbursement not otherwise disclosed in this paragraph or paragraph (5) in an aggregate amount or value in excess of $200 within the calendar year [(or election cycle, in the case of an authorized committee of a candidate for Federal office)] from the reporting committee within the reporting period, together with the date, amount, and purpose of any such disbursement; * * * * * * * (c)(1) * * * (2) Statements required to be filed by this subsection shall be filed in accordance with subsection (a)(2), and shall include-- * * * * * * * Any independent expenditure (including those described in subsection (b)(6)(B)(iii) aggregating $1,000 or more made after the 20th day, but more than 24 hours, before any election [shall be reported] shall be filed within 24 hours after such independent expenditure is made. Such statement shall be filed with the Secretary or the Commission and the Secretary of State and shall contain the information required by subsection (b)(6)(B)(iii) indicating whether the independent expenditure is in support of, or in opposition to, the candidate involved. Notwithstanding subsection (a)(5), the time at which the statement under this subsection is received by the Secretary, the Commission, or any other recipient to whom the notification is required to be sent shall be considered the time of filing of the statement with the recipient. * * * * * * * (d)(1) Any person who is required to file a report, designation, or statement under this Act, except those required to file electronically pursuant to subsection (a)(11)(A)(i), with respect to a contribution or expenditure not later than 24 hours after the contribution or expenditure is made or received may file the report, designation, or statement by facsimile device or electronic mail, in accordance with such regulations as the Commission may promulgate. (2) The Commission shall make a document which is filed electronically with the Commission pursuant to this paragraph accessible to the public on the Internet not later than 24 hours after the document is received by the Commission. (3) In promulgating a regulation under this paragraph, the Commission shall provide methods (other than requiring a signature on the document being filed) for verifying the documents covered by the regulation. Any document verified under any of the methods shall be treated for all purposes (including penalties for perjury) in the same manner as a document verified by signature. (e)(1) In addition to any other information required to be reported under this section, the principal campaign committee of a candidate for the House of Representatives or for the Senate who uses any aircraft of the Federal government for any purpose which includes (in whole or in part) carrying out the candidate's campaign for election for Federal office (including using an aircraft of the Federal government for transportation to or from a campaign event), shall file with the Commission a statement containing the following information: (A) A description of the aircraft used, including the type or model. (B) The number of individuals who used the aircraft, including the candidate and those whose use of the aircraft was paid for (in whole or in part) by the committee. (C) The amount the candidate paid to reimburse the Federal government for the use of the aircraft, together with the methodology used to determine such amount, in accordance with section 106.3 of title 11, Code of Federal Regulations. (2) The statements required under this subsection shall be included with the reports filed by the principal campaign committee under subsection (a)(2), except that any statement with respect to the use of any aircraft after the 20th day, but more than 48 hours before the election shall be filed in accordance with subsection (a)(6). * * * * * * * ---------- SECTION 7001 OF THE BALANCED BUDGET ACT OF 1997 SEC. 7001. INCREASED CONTRIBUTIONS TO FEDERAL CIVILIAN RETIREMENT SYSTEMS. (a) * * * * * * * * * * (c) Central Intelligence Agency Retirement and Disability System.-- (1) * * * (2) Individual deductions, withholdings, and deposits.--Notwithstanding section 211(a)(1) of the Central Intelligence Agency Retirement Act (50 U.S.C. 2021(a)(1)) beginning on January 1, 1999, through [December 31, 2002] December 31, 2000, the percentage deducted and withheld from the basic pay of an employee participating in the Central Intelligence Agency Retirement and Disability System shall be as follows: 7.25............ January 1, 1999, to December 31, 1999. 7.4............. January 1, 2000, to December 31, 2000. [7.5............ January 1, 2001, to December 31, 2002.] * * * * * * * (d) Foreign Service Retirement and Disability System.-- (1) * * * (2) Individual deductions, withholdings, and deposits.-- (A) In general.--Notwithstanding section 805(a)(1) of the Foreign Service Act of 1980 (22 U.S.C. 4045(a)(1)), beginning on January 1, 1999, through [December 31, 2002] December 31, 2000, the amount withheld and deducted from the basic pay of a participant in the Foreign Service Retirement and Disability System shall be as follows: 7.25............ January 1, 1999, to December 31, 1999. 7.4............. January 1, 2000, to December 31, 2000. [7.5............ January 1, 2001, to December 31, 2002.] (B) Foreign service criminal investigators/ inspectors of the office of the inspector general, agency for international development.--Notwithstanding section 805(a)(2) of the Foreign Service Act of 1980 (22 U.S.C. 4045(a)(2)), beginning on January 1, 1999, through [December 31, 2002] December 31, 2000, the amount withheld and deducted from the basic pay of an eligible Foreign Service criminal investigator/inspector of the Office of the Inspector General, Agency for International Development participating in the Foreign Service Retirement and Disability System shall be as follows: 7.75............ January 1, 1999, to December 31, 1999. 7.9............. January 1, 2000, to December 31, 2000. [8.............. January 1, 2001, to December 31, 2002.] * * * * * * * ---------- SECTION 252 OF THE CENTRAL INTELLIGENCE AGENCY RETIREMENT ACT SEC. 252. PRIOR SERVICE CREDIT. (a) * * * * * * * * * * (h)(1)(A) Each participant who has performed military service before the date of separation on which entitlement to an annuity under this title is based may pay to the Agency an amount equal to 7 percent of the amount of basic pay paid under section 204 of title 37, United States Code, to the participant for each period of military service after December 1956; except, the amount to be paid for military service performed beginning on January 1, 1999, through [December 31, 2002] December 31, 2000, shall be as follows: 7.25 percent of basic January 1, 1999, to December 31, 1999. pay. 7.4 percent of basic January 1, 2000, to December 31, 2000. pay. [7.5 percent of basic January 1, 2001, to December 31, 2002.] pay. * * * * * * * ---------- FOREIGN SERVICE ACT OF 1980 Chapter 8--Foreign Service Retirement and Disability subchapter i--foreign service retirement and disability system * * * * * * * Sec. 805. Contributions to the Fund.--(a) * * * * * * * * * * (d)(1) Any participant credited with civilian service after July 1, 1924-- (A) for which no retirement contributions, deductions, or deposits have been made, or (B) for which a refund of such contributions, deductions, or deposits has been made which has not been redeposited, may make a special contribution to the Fund. Special contributions for purposes of subparagraph (A) shall equal the following percentages of basic salary received for such service: Percent of basic salary Time of service: July 1, 1924, through October 15, 1960, inclusive............. 5 * * * * * * * [January 1, 2001, through December 31, 2002, inclusive........ 7.5 [After December 31, 2002...................................... 7] After December 31, 2000....................................... 7 Special contributions for refunds under subparagraph (B) shall equal the amount of the refund received by the participant. * * * * * * * subchapter ii--foreign service pension system * * * * * * * Sec. 854. Creditable Service.--(a) * * * * * * * * * * (c)(1) Credit shall be given under this System to a participant for a period of prior satisfactory service as-- (A) * * * * * * * * * * if the participant makes a payment to the Fund equal to 3 percent of pay received for the volunteer service; except, the amount to be paid for volunteer service beginning on January 1, 1999, through [December 31, 2002] December 31, 2000, shall be as follows: 3.25............. January 1, 1999, to December 31, 1999. 3.4.............. January 1, 2000, to December 31, 2000. [3.5............. January 1, 2001, to December 31, 2002.] * * * * * * * Sec. 856. Deductions and Withholdings From Pay.--(a)(1) * * * (2) The applicable percentage under this subsection shall be as follows: 7.5.............. Before January 1, 1999. * * * * * * * [8............... January 1, 2001, to December 31, 2002. [7.5............. After December 31, 2002.] 7.5.............. After December 31, 2000. * * * * * * * FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS In accordance with section 308(a)(1)(C) of the Congressional Budget Act of 1974 (Public Law 93-344), as amended, the financial assistance to State and local governments is as follows: Millions FY 2001 new budget authority.................................. 192 2001 outlays resulting therefrom............................. 158 COMPARISON WITH BUDGET RESOLUTION Clause 3(c)(2) of rule XIII of the House of Representatives requires an explanation of compliance with section 308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, detailing how the authority compares with the reports submitted under section 302(b) of the Act for the most recently agreed to concurrent resolution on the budget for the fiscal year. This information follows: [In millions of dollars] ---------------------------------------------------------------------------------------------------------------- 302(b) allocation This bill-- --------------------------------------------------- Budget Budget authority Outlays authority Outlays ---------------------------------------------------------------------------------------------------------------- Discretionary............................................... 14,257 14,713 14,402 14,726 Mandatory................................................... 14,708 14,628 14,679 14,713 ---------------------------------------------------------------------------------------------------------------- Note.--Pursuant to section 314 of the Congresssional Budget Act of 1974, as amended, increases to the Committee's section 302(a) allocation are authorized for funding in the reported bill for the Earned Income Tax Credit Compliance Initiative. After the bill is reported to the House, the Chairman of the Committee on the Budget will provide an increased section 302(a) allocation consistent with the funding provided in the bill. FIVE-YEAR OUTLAY PROJECTIONS In compliance with section 308(a)(1)(B) of the Congressional Budget 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.............................................. $29,082 Outlays: Fiscal year 2001.......................................... 25,955 Fiscal year 2002.......................................... 2,027 Fiscal year 2003.......................................... 358 Fiscal year 2004.......................................... 131 Fiscal year 2005 and future years......................... 61 Note.--The above table includes mandatory appropriations and discretionary approporiations. --------------------------------------------------------------------------- COMPLIANCE WITH RULE XIII, CLAUSE 3(f)(1) Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of Representatives, the Committee has inserted at the appropriate place in the report a description of the effects of provisions proposed in the accompanying bill which may be considered, under certain circumstances, to change the application of existing law, either directly or indirectly. The bill provides, in some instances, for funding of agencies and activities where legislation has not yet been finalized. In addition, the bill carries language, in some instances, permitting activities not authorized by law, or exempting agencies from certain provisions of law, but which has been carried in appropriations acts for many years. Additionally, the Committee includes a number of new general provisions. In title IV of the bill, in connection with the General Services Administration, certain limitations on availability of revenue in the Federal Buildings Fund and certain legislative provisions have been carried forward from last year. The bill continues a number of general provisions applying to agencies covered by the bill as well as certain provisions applying Government-wide. These provisions have been carried in the prior year appropriations bill, and a number of them have been carried for many years. Additionally, the Committee includes a number of new general provisions. TITLE I--DEPARTMENT OF THE TREASURY Departmental Offices The Committee has continued language which provides funds for operation and maintenance of the Treasury Building and Annex, hire of passenger motor vehicles; maintenance, repairs, and improvements of, and purchase of commercial insurance policies for real properties leased or owned overseas; official travel expenses, official reception and representation expenses; and unforeseen emergencies of a confidential nature. The Committee includes new language providing funds for grants to state and local law enforcement groups to help fight money laundering. DEPARTMENT-WIDE SYSTEMS AND CAPITAL INVESTMENTS PROGRAM The Committee has continued language that provides funds for the development and acquisition of automated data processing equipment, software, and services, providing transfer authority, and prohibiting expenditures for IRS's Information Technology Systems. OFFICE OF INSPECTOR GENERAL The Committee has continued language that provides funds to carry out the provisions of the Inspector General Act of 1978, the hire of vehicles, official travel expenses, and unforeseen emergencies. INSPECTOR GENERAL FOR TAX ADMINISTRATION The Committee has continued language that provides for the purchase and hire of motor vehicles, services by 5 U.S.C. 3109, travel expenses, and unforeseen emergencies. TREASURY BUILDINGS AND ANNEX REPAIR AND RESTORATION The Committee has continued language that provides funds for the repair, alteration, and improvement of the Treasury Building and Annex. FINANCIAL CRIMES ENFORCEMENT NETWORK The Committee has continued language that provides funds for hire of vehicles and official reception and representation expenses; the travel of non-federal personnel attending conferences or meetings involving financial law enforcement, intelligence, and regulation; the purchase of personal services contracts; and allowing FinCEN to provide assistance to federal law enforcement agencies with or without reimbursement. EXPANDED ACCESS TO FINANCIAL SERVICES The Committee recommends an appropriation of $2,000,000 for the Secretary of the Treasury to develop and implement a pilot program to expand access to financial services to low-income individuals who do not currently utilize bank accounts or other financial service opportunities. FEDERAL LAW ENFORCEMENT TRAINING CENTER The Committee has continued language that provides funds for: material and support costs of basic training; the purchase and hire of vehicles; student athletic and related activities; uniform purchases; for the conduct of and participation in firearms matches, and presentation of awards; room and board for interns; training U.S. Postal Service, State and local law enforcement personnel; training of foreign law enforcement personnel on a space available, reimbursable basis with discretion by the Secretary to waive reimbursement; training of private sector security officials on a reimbursable space available basis; travel expenses of non-federal personnel to attend course development meetings and training sponsored by the Center; training for the GREAT program; and the provision of short term medical services for students undergoing training at the center. It has also continued language authorizing acceptance of gifts, including funding of a gift for certain honor graduate students, and to authorize obligation of funds in anticipation of reimbursements from agencies receiving training at the Center, provided that total obligations do not exceed total budgetary resources at the end of the fiscal year. ACQUISITION, CONSTRUCTION, IMPROVEMENTS, AND RELATED EXPENSES The Committee has continued language for acquisition of necessary additional real property and facilities, and for ongoing maintenance, facility improvements, and related expenses, to remain available until expended. INTERAGENCY CRIME AND DRUG ENFORCEMENT The Committee has continued language funding Treasury participation in and contribution to regional crime and drug enforcement task forces. FINANCIAL MANAGEMENT SERVICE The Committee has continued language that provides funds for the necessary expenses of the Financial Management Service and provides that funds for systems modernization will remain available for three years. Bureau of Alcohol, Tobacco and Firearms The Committee has continued language which provides funds for the purchase of vehicles, the hire of aircraft, the services of expert witnesses, official reception and representation expenses, training of State and local law enforcement agencies, the provision of laboratory assistance to State and local agencies, the payment of attorney's fees, the equipping of certain vessels, vehicles, equipment or aircraft. The Committee has continued language that provides that no funds shall be used to consolidate or centralize the records pertaining to firearms licenses; and prohibits the payment of administrative expenses in changing the definition of curios or relics; prohibiting the transfer of ATF's functions to another federal agency; prohibiting electronic retrieval of information gathered pursuant to 18 U.S.C. 923(g)(4) by name or personal identification; and prohibiting ATF from acting upon applications for relief from Federal firearms disabilities. The Committee modifies language relating to payment of per diem and/or subsistence allowances to cover situations where a major investigative assignment requires an employee to work 16 hours or more per day or to remain overnight at his or her post of duty; and includes new language providing not to exceed $50,000 for cooperative research and development programs for Laboratory Services and Fire Research Center activities. United States Customs Service SALARIES AND EXPENSES The Committee has continued language that provides funds for the purchase and hire of vehicles, official reception and representation expenses, personal services contracts abroad, compensation to informers, rental space for pre-clearance operations, special operations, procurement of automation infrastructure items, research, uniforms, repairs to Customs facilities, the child pornography tipline and Project Alert. The Committee continues the provision establishing the aggregate overtime limitation. HARBOR MAINTENANCE FEE COLLECTION The Committee has continued language relating to the appropriations of funds to be transferred to and merged with the Customs Salaries and Expenses account to be used for the collection of the Harbor Maintenance Fee pursuant to Public Law 103-182. OPERATION, MAINTENANCE, AND PROCUREMENT, AIR AND MARINE INTERDICTION PROGRAMS The Committee has continued language providing funds for the operation and maintenance of marine vessels, aircraft and other equipment; operational training and mission-related travel; rental payments; operations for interdiction of narcotics and other goods; provision of support to Customs and other federal, state, or local agencies in enforcement or administration of laws enforced by Customs; and for other law enforcement and emergency humanitarian efforts; and prohibiting transfer of certain aircraft without prior Committee approval. AUTOMATION MODERNIZATION The Committee has included new language funding major information technology projects for the U.S. Customs Service, providing that funds are available until expended and prohibiting the obligation of funds for the Automated Commercial Environment program until certain conditions are met. Bureau of the Public Debt The Committee has continued language which provides funds may be used for reception and representation expenses and language which provides that a portion of the funds will remain available until expended. The Committee has also continued language which provides that appropriations from the General Fund will be reduced as fees are collected and language which provides that funds are to be derived from the Oil Spill Liability Trust Fund for administration of the Fund. Internal Revenue Service PROCESSING, ASSISTANCE, AND MANAGEMENT The Committee has continued language providing funds for the management services, rent and utilities, services authorized by 5 USC 3109, and official reception and representation expenses. The Committee has also continued language providing funds for the Tax Counseling for the Elderly program, and has included new language providing an independent taxpayer advocate within the Service. TAX LAW ENFORCEMENT The Committee has continued language that provides funds for the purchase and hire of vehicles, and services authorized by 5 USC 3109. The Committee continues language providing that funds provided for research shall be available for two fiscal years. The Committee includes new language referencing tax exempt customers. EARNED INCOME TAX CREDIT COMPLIANCE INITIATIVE The Committee has continued language providing that funds may be used to reimburse the Social Security Administration. INFORMATION SYSTEMS The Committee has continued language that provides funds for information systems and telecommunications support and funds for the hire of motor vehicles. ADMINISTRATIVE PROVISIONS--INTERNAL REVENUE SERVICE Section 101. The Committee continues the provision that allows the transfer of 5 percent of any appropriation, made available to the IRS to any other IRS appropriation, subject to prior Congressional approval. Section 102. The Committee continues the provision that requires the IRS to maintain a training program in taxpayer's rights, dealing courteously with taxpayers, and cross cultural relations. Section 103. The Committee continues the provision that requires the IRS to institute policies and procedures, which will safeguard the confidentiality of taxpayer information. United States Secret Service The Committee has continued language that provides funds for the purchase and hire of motor vehicles, the hire of aircraft, training and assistance requested by State and local governments, services of expert witnesses, rental of certain buildings, improvements to buildings as may be necessary for protective functions, per diem and subsistence allowance, the conduct of firearms matches, presentation of awards, travel of employees on protective missions, for repairs, alterations, and minor construction, making grants to conduct behavioral research, uniforms, research reimbursement for protection as authorized by law, reception and representation expenses, assistance to foreign law enforcement for counterfeit investigations. The Committee continues language permitting some funding for protective travel to remain available for two years. The Committee includes new language making funds available as a grant for activities related to the investigations of exploited children. ACQUISITION, CONSTRUCTION, IMPROVEMENT, AND RELATED EXPENSES The Committee has continued language providing funds for the acquisition, construction, improvement, and related expenses of Secret Service facilities. GENERAL PROVISIONS--DEPARTMENT OF THE TREASURY Section 110. The Committee continues the provision that requires the Secretary of the Treasury to comply with certain reprogramming guidelines when obligating or expending funds for law enforcement activities. Section 111. The Committee continues the provision that allows the Department of the Treasury to purchase uniforms, insurance, and motor vehicles without regard to the general purchase price limitation, and enter in to contracts with the State Department for health and medical services for Treasury employees in overseas locations. Section 112. The Committee continues the provision that requires expenditures of funds so as not to diminish efforts under the Federal Alcohol Administration Act. Section 113. The Committee continues the provision that authorizes transfers, up to 2 percent, between law enforcement appropriations under certain circumstances. Section 114. The Committee continues the provision that authorizes transfers, up to 2 percent, between Departmental Offices, Office of the Inspector General, Financial Management Service, and the Bureau of the Public Debt appropriations under certain circumstances. Section 115. The Committee includes a new provision that authorizes transfer, up to 2 percent, between the Internal Revenue Service and the Treasury Inspector General for Tax Administration under certain circumstances. Section 116. The Committee continues the provision that provides that no funds may be obligated for the purchase of law enforcement vehicles until the Secretary of the Treasury certifies that the purchase is consistent with Departmental vehicle management principles. Section 117. The Committee continues the provision that prohibits the Department of the Treasury from undertaking a redesign of the $1 Federal Reserve note. Section 118. The Committee continues and makes permanent the provision which amends Title 5 USC 5547 and authorizes Federal Law Enforcement agencies to pay their employees premium pay in excess of the pay period limitation for protective services authorized by Section 3056 (a) of title 18, United States Code. Section 119. The Committee includes a new provision that provides for transfers from and reimbursements to the Salaries and Expenses appropriation of the Financial Management Service for the purposes of debt collection. Section 120. The Committee includes a new provision that requires that no reorganization of the US Customs Service shall result in a reduction in service to the area served by the Port of Racine, Wisconsin, below the level of service provided in fiscal year 2000. Section 121. The Committee includes a new provision authorizing and directing the Bureau of Alcohol, Tobacco and Firearms to reimburse the subcontractor that provided services in 1993 and 1994 pursuant to Bureau of Alcohol, Tobacco and Firearms contract number TAFF 93-3 out of fiscal year 2001 appropriations or prior year unobligated balances. Section 122. The Committee has included a new provision making obligation or expenditure of funds by the Treasury Department for new law enforcement training facilities contingent on approval by House and Senate Appropriations Committees, after submission to the Committee of a General Accounting Office assessment of the need for, and cost effectiveness of, such a facility. TITLE II--POSTAL SERVICE Payment to the Postal Service Fund The Committee has continued language that prohibits funds made available to the Postal Service from being used to close or consolidate certain post offices, from charging employees of local and child support agencies a fee for information, provides funds for free mail for the blind, and for six day mail delivery and rural delivery of mail at existing levels. The Committee has continued language making certain funds available on October 1, 2001. TITLE III--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO THE PRESIDENT Compensation of the President and the White House Office The Committee has continued language that mandates that unused amounts of the President's expense allowance will revert to the Treasury and not be taxable to the President and which provides funds for service authorized by 5 USC 3109, subsistence expenses, hire of vehicles, newspapers, periodicals, teletype news service, travel, and official entertainment expenses. The Committee has continued language making funds available for reimbursement to the White House Communications Agency. Executive Residence at the White House The Committee has continued language that provides funds for operation and maintenance of the White House for official entertainment expenses; language specifying the authorized use of funds; language specifying that reimbursable expenses are the exclusive authority of the Executive Residence to incur obligations and receive offsetting collections; language requiring the sponsors of political events to make advance payments; language requiring the national committee of the political party of the President to maintain $25,000 on deposit; language requiring the Executive Residence to ensure that amounts owed are billed within 60 days of a reimbursable event and collected within 30 days of the bill notice; language authorizing the Executive Residence to charge and assess interest and penalties on late payments; language authorizing all reimbursements to be deposited into the Treasury as a miscellaneous receipt; language requiring a report to the Committee on the reimbursable expenses within 90 days of the end of the fiscal year; language requiring the Executive Residence to maintain a system for tracking and classifying reimbursable events; and language specifying that the Executive Residence is not exempt from the requirements of subchapter I or II of chapter 37 of title 31, United States Code. White House Repairs and Restoration The Committee has continued language that provides funds for the repair, alteration, and improvement of the Executive Residence at the White House and includes new language which allows the funds to be used for Presidential transition and telecommunications infrastructure repair. Special Assistance to the President and Official Residence of the Vice President The Committee has continued language that provides funds for operation and maintenance of the official residence of the Vice President, the hire of vehicles, official entertainment expenses and provides for the transfer of funds as necessary. The Committee has continued language that enables the Vice President to provide assistance to the President, services authorized by 5 USC 3109, subsistence, and the hire for vehicles. Council of Economic Advisers The Committee has continued language that provides funds for the expenses of the Council of Economic Advisers. Office of Policy Development The Committee has continued language that provides funds for expenses of the Office of Policy Development. National Security Council The Committee has continued language that provides funds for expenses of the National Security Council. Office of Administration The Committee has continued language that provides funds for expenses of the Office and the hire of vehicles and funds for a capital investment plan which provides for the continued modernization of the information technology infrastructure. Office of Management and Budget The Committee has continued language that provides funds for expenses, the hire of vehicles, carrying out provisions of chapter 35 of 44 USC, directs that funds shall be applied only to items for which appropriations were made, prohibits the review of agricultural marketing orders and the alteration of certain testimony. Office of National Drug Control Policy The Committee has continued language that provides funds for expenses, research, official reception and representation expenses, participation in joint projects, and allows for the acceptance of gifts. The Committee has continued language providing funds for model state drug law conferences and policy research and evaluation and include new language making these funds available until expended. Counterdrug Technology Assessment Center The Committee has continued language that provides funds for counternarcotics research and development and the technology transfer program. The Committee includes new language that provides funds for a grant to the U.S. Olympic Committee for its anti-doping program. Federal Drug Control Programs--High Intensity Drug Trafficking Areas Program The Committee has continued language that provides a certain level of funding for drug control activities for state, local and federal drug control efforts, and requires obligation of funds within a specified period of time. The Committee includes new language allowing federal funds to remain available until September 30, 2002. Federal Drug Control Programs--Special Forfeiture Fund The Committee has continued language that provides a certain level of funding for national youth anti-drug media campaign, for the Drug-Free Communities Act, and to provide a grant to the National Drug Court Institute. The Committee includes new funding available for transfer or reimbursement for the costs of operating the Counterdrug Intelligence Executive Secretariat. TITLE IV--INDEPENDENT AGENCIES Commission for Purchase From People Who are Blind or Severely Disabled The Committee has continued language that provides funds for expenses of the Committee. Federal Election Commission The Committee has continued language that provides funds for expenses of the Commission and specifying a level of funding for internal automated data processing systems and reception and representation expenses. Federal Labor Relations Authority The Committee has continued language that provides funds for the expenses of the authority, including authorized services, hire of experts and consultants, hire of passenger motor vehicles, and rental of conference rooms in the District of Columbia. The Committee has also continued a provision that public members of the Federal Service Impasse Panel may be paid travel expenses and that fees charged to non-Federal participants at labor-management relations conferences shall be credited and merged with this account. General Services Administration federal buildings fund The Committee has continued language dealing with the conditions under which funds made available to the Federal Buildings Fund can be used. Many technical provisions have been included regarding use of funds in the Federal Buildings Fund which are not specifically authorized by law. The Committee has included language to limit funds available for building projects not authorized by law. A more detailed analysis of the Federal Buildings Funds can be found in the General Services Administration chapter of this report. policy and operations The Committee continues language which provides funds for government-wide policy and oversight activities, the Board of Contract Appeals, accounting records management and other services incident to adjudication of Indian Tribal Claims, services authorized by 5 USC 3109, and official reception and representation expenses. The Committee continues language which provides that a portion of the funds appropriated will remain available until expended. office of inspector general The Committee has continued language that provides funds for services authorized by 5 USC 3109 expenses for the Office, payment for information and detection of fraud, and awards. allowances and office staff for former presidents The Committee has continued language that provides funds for compliance with Public Law 95-138. general provisions--general services administration Section 401. The Committee continues the provision that provides that costs included in rent received from government corporations for operation, protection, maintenance, upkeep, repair and improvement shall be credited to the Federal Buildings Fund. Section 402. The Committee continues the provision providing authority for the use of funds for the hire of motor vehicles. Section 403. The Committee continues the provision providing that funds made available for activities of the Federal Buildings Fund may be transferred between appropriations with advance approval of the Congress. Section 404. The Committee continues the provision prohibiting the use of funds for developing courthouse construction requests that do not meet GSA standards and priorities of the Judicial Conference. Section 405. The Committee continues the provision providing that no funds may be used to increase the amount of occupiable square feet, provide cleaning services, security enhancements, or any other service usually provided, to any agency which does not pay the requested rent. Section 406. The Committee continues the provision providing for Information Technology Fund repayment from sponsored projects that realize program savings. Section 407. The Committee continues the provision that permits GSA to pay small claims (up to $250,000) made against the government. Section 408. The Committee modifies a provision of the fiscal year 2000 appropriations act to provide a one-year extension to the period for which voluntary separation incentive payments may be offered by the Administrator of the General Services Administration to qualified employees. Merit Systems Protection Board The Committee has continued language that provides funds for the Board. National Archives and Records Administration operating expenses The Committee has continued language that provides funds for the review and declassification of documents, the hire of passenger vehicles, and language that authorizes the Archivist to use excess funds available from the amount borrowed for construction of the National Archives facility for expenses necessary to provide storage for holdings. repairs and restoration The Committee has included language that provides funds for the repair, alteration, and improvement of archives facilities and presidential libraries. Office of Government Ethics The Committee has continued language that provides funds for the Office. Office of Personnel Management The Committee has continued language that provides for expenses of the Office, services authorized by 5 U.S.C. 3109, medical examinations under certain conditions, rental of conference rooms, hire of vehicles, official reception, and representation expenses, advances for reimbursement per diem and/or subsistence allowances for employees affected by Voting Rights Act activities, transfers to appropriate trust funds, prohibition of funds for the Legal Examining Unit, authority to accept donations for the White House Fellows program, and making funds available until expended for automating retirement record keeping. Office of Inspector General The Committee has continued language that provides funds for expenses of the Office, audit of the retirement and insurance programs, and the rental of conference rooms. government payment for annuitants, employee health benefits The Committee has continued language that provides funds for the payment of government contributions. government payment for annuitants, employee life insurance The Committee has continued language that provides funds for the payment of government contributions. PAYMENT TO CIVIL SERVICE RETIREMENT AND DISABILITY FUND The Committee has continued language that provides funds for the payment of government contributions. Office of Special Counsel The Committee has continued language that provides funds for the Office. United States Tax Court The Committee has continued language that provides funds for services authorized by 5 USC 3109 and language which provides that travel expenses of the judges shall be paid upon written certification of the judge. TITLE V--GENERAL PROVISIONS This Act Section 501. The Committee continues the provision limiting the expenditure of funds to the current year unless expressly provided in this Act. Section 502. The Committee continues the provision limiting the expenditure of funds for consulting services under certain conditions. Section 503. The Committee continues the provision prohibiting the use of funds to engage in activities which would prohibit the enforcement of section 307 of the 1930 Tariff Act. Section 504. The Committee continues the provision prohibiting the transfer of control over the Federal Law Enforcement Training Center out of the Department of the Treasury. Section 505. The Committee continues the provision concerning employment rights of Federal employees who return to their civilian jobs after assignment with the Armed Forces. Section 506. The Committee continues the provision concerning compliance with the Buy American Act. Section 507. The Committee continues the provision concerning prohibition of contracts which use certain goods not made in America. Section 508. The Committee continues the provision prohibiting contract eligibility where fraudulent intent has been proven in affixing ``Made in America'' labels. Section 509. The Committee continues the provision prohibiting the expenditure of funds for abortions under the FEHBP. Section 510. The Committee continues the provision which would authorize the expenditure of funds for abortions under the FEHBP if the life of the mother is in danger or the pregnancy is a result of an act of rape or incest. Section 511. The Committee continues the provision providing that fifty percent of unobligated balances may remain available for certain purposes. Section 512. The Committee continues the provision restricting the use of funds for the White House to request official background reports without the written consent of the individual who is the subject of the report. Section 513. The Committee continues the provision that cost accounting standards under the Federal Procurement Policy Act shall not apply to the FEHBP. Section 514. The Committee includes a new provision that transfers a parcel of land from the Gerald R. Ford Library and Museum to the Gerald R. Ford Foundation as trustee, with reversionary interest. Section 515. The Committee includes a new provision requiring OMB to develop guidelines for ensuring and maximizing the quality, objectivity, utility, and integrity of information disseminated by federal agencies. Section 516. The Committee includes a new provision prohibiting the use of funds to give preference for the acquisition of a firearm or ammunition based on whether the manufacturer or vendor of the firearm or ammunition is party to an agreement with a department, agency, or instrumentality of the United States regarding codes of conduct, operating practices, or product design. Section 517. The Committee includes a new provision prohibiting the use of funds to allow placement in interstate or foreign commerce of diamonds that have been mined in Burkina Faso, the Democratic Republic of the Congo, or the Republics of Sierra Leone, Liberia, Cote d'Ivoire, or Angola, except for diamonds certified as originating in the Republic of Sierra Leone. Section 518. The Committee includes a new provision prohibiting the use of funds for the purpose of implementation, or in preparation for implementation, of the Kyoto Protocol. Section 519. The Committee includes a new provision regarding the use of alternative fuels by the Department of the Treasury and the General Services Administration. Section 520. The Committee includes a new provision regarding apportionment for International Food Assistance Programs. TITLE VI--GOVERNMENT WIDE GENERAL PROVISIONS Departments, Agencies, and Corporations Section 601. The Committee continues the provision authorizing agencies to pay costs of travel to the United States for the immediate families of Federal employees assigned to foreign duty in the event of a death or a life threatening illness of the employee. Section 602. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all of its workplaces are free from the illegal use of controlled substances. Section 603. The Committee continues the provision regarding price limitations on vehicles to be purchased by the Federal Government. Section 604. The Committee continues the provision allowing funds made available to agencies for travel, to also be used for quarters allowances and cost-of-living allowances. Section 605. The Committee continues the provision prohibiting the government, with certain specified exceptions, from employing non-U.S. citizens whose posts of duty would be in the continental U.S. Section 606. The Committee continues the provision ensuring that agencies will have authority to pay GSA bills for space renovation and other services. Section 607. The Committee continues the provision allowing agencies to finance the costs of recycling and waste prevention programs with proceeds from the sale of materials recovered through such programs. Section 608. The Committee continues the provision providing that funds may be used by certain groups to pay rent and other service costs in the District of Columbia. Section 609. The Committee continues the provision providing that no funds may be used to pay any person filling a nominated position who has been rejected by the Senate. Section 610. The Committee continues the provision precluding the financing of groups by more than one Federal agency absent prior and specific statutory approval. Section 611. The Committee continues the provision authorizing the Postal Service to employ guards and give them the same special police powers as GSA guards. Section 612. The Committee continues the provision prohibiting the use of funds for enforcing regulations disapproved in accordance with the applicable law of the U.S. Section 613. The Committee continues the provision limiting the pay increases of certain prevailing rate employees. Section 614. The Committee continues the provision limiting the amount of funds that can be used for redecoration of offices under certain circumstances. Section 615. The Committee continues the provision prohibiting the expenditure of funds for the acquisition of additional law enforcement training facilities. Section 616. The Committee continues the provision to allow for interagency funding of national security and emergency telecommunications initiatives. Section 617. The Committee continues the provision requiring agencies to certify that a Schedule C appointment was not created solely or primarily to detail the employee to the White House. Section 618. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all workplaces are free from discrimination and sexual harassment. Section 619. The Committee continues the provision prohibiting the importation of any goods manufactured by forced or indentured child labor. Section 620. The Committee continues the provision prohibiting the payment of any employee who prohibits, threatens or prevents another employee from communicating with Congress. Section 621. The Committee continues the provision prohibiting Federal training not directly related to the performance of official duties. Section 622. The Committee continues the provision prohibiting the expenditure of funds for implementation of agreements in nondisclosure policies unless certain provisions are included. Section 623. The Committee continues the provision prohibiting propaganda, publicity and lobbying by executive agency personnel in support or defeat of legislative initiatives. Section 624. The Committee continues the provision directing OMB to provide an accounting statement and report on the cumulative costs and benefits of Federal regulatory programs. Section 625. The Committee continues the provision prohibiting any Federal agency from disclosing an employee's home address to any labor organization, absent employee authorization or court order. Section 626. The Committee continues and makes permanent the provision authorizing the Secretary of the Treasury to establish scientific canine explosive detection standards. Section 627. The Committee continues the provision prohibiting funds to be used to provide non-public information such as mailing or telephone lists to any person or organization outside the government without the approval of the Committees on Appropriations. Section 628. The Committee continues the provision prohibiting the use of funds for propaganda and publicity purposes not authorized by Congress. Section 629. The Committee continues the provision directing agency employees to use official time in an honest effort to perform official duties. Section 630. The Committee includes a new provision which delays enactment of Section 638 of Public Law 106-58, establishing a Chief Financial Officer within the Executive Office of the President, until May 1, 2001. Section 631. The Committee continues and includes technical modifications to the provision addressing contraceptive coverage in health plans participating in the FEHBP, making it identical to current law as enacted by Section 625 of the Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act of 2000 and deleting the names of two plans that no longer participate in the program. Section 632. The Committee continues the provision authorizing the use of funds to finance an appropriate share of the Joint Financial Management Improvement Program. Section 633. The Committee continues and modifies the provision authorizing agencies to transfer funds to the Policy and Operations account of GSA to finance a variety of efforts with specific limitations. Section 634. The Committee continues a provision, with technical modifications, authorizing an Executive agency to use certain funds to improve the affordability of child care for lower income Federal employees. The Provision was initially included in the Treasury and General Government Appropriations Act, 2000, to provide a one-year demonstration program that could be evaluated for its effectiveness. However, the Office of Personnel Management did not finalize regulations until March 14, 2000, almost half way through the fiscal year. In addition, many Federal employees plan their child care needs annually in relation to the school year, preventing full participation in this program for fiscal year 2000. Based on these and other factors, the Committee believes that a proper evaluation of this program requires that this demonstration project be available to Federal agencies for one complete fiscal year. Section 635. The Committee continues the provision that permits breast feeding in a Federal building or on Federal property if the woman and child are authorized to be there. Section 636. The Committee includes a new provision which permits interagency funding of the National Science and Technology Council and provides for a report on the budget and resources of the National Science and Technology Council. Section 637. The Committee includes a new provision regarding certain reforms within the FEC, including: a clarification of election cycle reporting of certain expenditures, a clarification of permissible use of facsimile machines and electronic mail to file reports, a clarification of the treatment of lines of credit obtained by candidates as commercially reasonable loans, and a change in the deadline for reporting of major campaign contributions received within the last 20 days of an election from 48 hours to 24 hours. These reforms are applicable with respect to elections occurring after January 2001. Section 638. The Committee includes a new provision concerning retirement provisions relating to certain members of the police force of the Metropolitan Washington Airports Authority. Section 639. The Committee has included a new provision authorizing the President's Pay Agent to use appropriate data from sources other than the Bureau of Labor Statistics in making new locality pay designations. Section 640. The Committee includes a new provision to restore the federal employee retirement contribution share to pre-1999 levels. Section 641. The Committee includes a new provision that amends the Federal Election Campaign Act of 1971 to strengthen the reporting requirements related to the use of federal aircraft for campaign purposes. Specifically, the language would require a candidate who uses federal aircraft to travel to a campaign event to report the type of aircraft used, the number of people related to the campaign event, and the amount of reimbursement along with the method used in determining that amount. This provision does not in any way alter the current reimbursement provisions as outlined in section 106.3 of Chapter 11 of the Code of Federal Regulations, ``Allocation of expenses between campaign and non-campaign related travel,'' but does strengthen the reporting requirements of that use. Section 642. The Committee includes a new provision making a modification to the calculation of disability pay for federal firefighters. Section 643. The Committee includes a technical provision modifying the basis for using inactive duty military leave. detailed explanations in report It should be emphasized again that a more detailed statement detailed statement describing the effect of the above provisions inserted or continued this year by the Committee which directly or indirectly change the application of existing law may be found at the appropriate place in this report. appropriations not authorized by law Pursuant to clause 3(f)(1) of rule XIII of the House of Representatives, the following table lists the appropriations in the accompanying bill that are not authorized by law: Treasury Department Financial Crimes Enforcement Network Expanded Access to Financial Services Federal Law Enforcement Training Center Salaries And Expenses Acquisition, Construction, Improvements & Related Expenses Bureau of Alcohol, Tobacco and Firearms, except those activities related to the enforcement of tobacco smuggling and regulation of explosives U.S. Customs Service Salaries & Expenses Operation, Maintenance, and Procurement, Air & Marine Interdiction Programs Automation Modernization U.S. Secret Service--except the Uniformed Division Office of Management and Budget, Office of Information and Regulatory Affairs Federal Election Commission General Services Administration, Policy and Operations Full Committee Votes Pursuant to the provisions of clause 3(b) of rule XIII of the House of Representatives, the results of each roll call vote on an amendment or on the motion to report, together with the names of those voting for and those voting against. There were no recorded votes.ADDITIONAL VIEWS OF HON. STENY H. HOYER, HON. CARRIE P. MEEK, HON. LUCILLE ROYBAL-ALLARD, AND HON. DAVID R. OBEY We cannot support this bill not because of what is included in the bill, but because of what is left out: $2.1 billion in critically needed activities and projects throughout the Untied States that are the Federal Government's responsibility. The 302(b) spending allocation for fiscal year 2001 for this bill is $2.1 billion below the requested level. Chairman Kolbe was faced with very difficult choices in order to mark up a bill within this level of funding, and we wish to express our appreciation to Chairman Kolbe and the subcommittee staff for the constructive way in which the subcommittee has operated this year. Chairman Kolbe has decided to fund law enforcement functions at the expense of the other general government responsibilities this subcommittee has. For example, Treasury's law enforcement bureaus are funded at or near the Administration's request, including funding for additional ATF agents to enforce our gun laws, funding to begin development of the U.S. Customs Service automated commercial system while maintaining their current system, and funding to continue the Secret Service workload balancing initiative. We applaud the robust funding for Treasury's important law enforcement bureaus. The problem is money: the allocation for this bill is not adequate to fund Federal Government responsibilities that are critical to the American people. The Chairman acknowledges this funding problem with these statements in this Report on pages 4 and 5, ``With these * * * responsibilities in mind, the allocation is short by approximately $1.3 billion.'' and ``The Committee acknowledges that IRS, GSA, and the National Archives have borne the brunt of the restraint on spending found in the bill, requiring denial of requested increases for the upcoming year.'' The Administration acknowledges the funding crisis in this bill with a veto threat. This is not the only bill which is ``short;'' several other appropriation bills are already facing veto threats from the President because of spending amounts that are inadequate to serve the American people. The Republicans are using this strategy in order to push their tax cut agenda--one that will cost $175 billion over five years, and a $1 trillion over ten years. Are our national priorities so out of whack that we're willing to sacrifice our responsibility to fund core government functions on the altar of irresponsible tax cuts? The majority party apparently thinks so. Last year, they pushed their huge tax cut through Congress, even though it could have put at risk the healthiest economy in our lifetimes. This year, they're back with equally irresponsible tax cuts. That's what this funding cut of $2.1 billion in core government functions is all about--funding tax cuts that would benefit the wealthiest among us. All of these vital programs face the budget ax because the Republican Party would rather pass tax-cuts than invest in our nation's future. We must bring our national priorities back into focus. In this bill we must have adequate funding not only for important law enforcement functions but also for the Federal Government's responsibilities to construct Federal Courthouses and other Government buildings, to collect taxes from the American people efficiently and effectively, and to provide for the functioning of the Government, ensuring that records are not lost in a National Archives building that has become a firetrap. This bill underfunds the Internal Revenue Service by $466 million, the General Services Administration including courthouse and other government construction and repair projects by over $1 billion, and the National Archives by $108 million. These cuts are devastating and fiscally irresponsible. Two years ago the House voted overwhelmingly for the IRS Reform and Restructuring Act. That act followed recommendations of the Commission that studied the IRS, which stated concerning budgets that ``theIRS should receive stable funding for the next three years so that the leaders can undertake the proper planning to rebuild its foundation'' and ``furthermore, a stable budget will allow the IRS leadership to plan and implement operations which will improve taxpayer service and compliance.'' And now the Republican Majority is cutting funding for the IRS even below current services level. We can't have it both ways. This cut of $466 million will jeopardize IRS's ability to reorganize, protect taxpayer rights and improve taxpayer service. This level would not even cover mandatory inflation resulting in a loss of almost 5000 FTE's; successful completion of the 2001 filing season would be at risk; customer service would be reduced; audit coverage would decline to all time record low levels (reducing revenue to the government by up to $2 billion); and the modernization of the IRS, its computer systems and business practices would be threatened. In a recent letter, IRS Commissioner Charles Rossotti stated the following concerning the impact of this funding reduction: ``It would stop the IRS modernization effort, as mandated by the Restructuring and Reform Act of 1998 (RRA 98), would also lead to a further decline in the already low levels of compliance activity, and would lock the IRS into its 30 year old technology.'' The General Services Administration funding for its government-wide construction and building repair activities has been reduced by over $1 billion in order to fit this bill within the low allocation. And delaying for one year the requested construction projects will cost the taxpayer almost $100 million in additional inflationary construction costs and extended lease costs. This hardly seems like the fiscally responsible course of funding. No funding is provided for courthouse or other construction projects requested by the Administration. We have a serious crisis going on across the country in terms of our federal courthouses. We have spent billions of dollars over the last 10-15 years on the war against drugs and crime resulting in a hefty increase in the Judiciary's caseload. The number of judges and court employees has grown substantially; however, our court facilities have not even come close to keeping pace with this growth. This lack of space has created delays, inefficiencies, and large backlogs of cases. Moreover, security is insufficient to protect those who work in and utilize the court facilities. Current facilities have critical security concerns, including life-threatening security deficiencies documented by the U.S. Marshals Service in some cases. These conditions are simply unacceptable to U.S. taxpayers; nevertheless, this bill funds no courthouse construction projects, effectively ignoring the critical workload and security concerns of the U.S. Courts. In addition, we object to the assumption on courtroom sharing in the President's request for funding for courthouse construction, based on OMB's unilateral, ``one size fits all'' plan that only two courtrooms should be built for every three judges. We could not determine the basis for OMB's proposed courtroom sharing plan and are concerned about the impact that the reductions in courtrooms would have on the administration of justice, particularly in Miami and Los Angeles. No one with significant federal court case management experience was involved in OMB's decision to limit courtrooms in new courthouse projects to two courtrooms for every three judges. The sheer number of cases, the number of large multi-party defendant cases, and the complexity of various cases must be considered when determining whether courtroom sharing is feasible in a particular location. All other construction projects are zeroed out in this bill, including among others the continuation of the Food and Drug Administration Consolidation project, the new Alcohol, Tobacco, and Firearms Headquarters in a secure location, and the renovation of our National Archives. We have been made aware that the threat of fire in the National Archives building is high. Delaying this project will put the lives of visitors and staff at risk and endanger irreplaceable archival records, including the Charters of Freedom as long as they remain on display in the unrenovated building. Delaying this project will cost the taxpayers millions of dollars in added costs. Some members might agree that this rises to the level of a funding emergency. We have many other concerns about unfunded programs in this bill, including the irresponsible lack of funding for Presidential transition expenses, a 32% cut in critically needed funding for Repairs of Federal buildings, no funding for the ongoing information technology enhancement programs (including computer security staffing) in the Executive Office of the President and the IRS, lack of funding for the Unanticipated Needs of the President and for $2.5 million for clarification of the options for a Puerto Rican referendum. In addition, the bill eliminates $77 million in requested funding for counterterrorism and funding for the President's critical infrastructure protection initiative that would ensure the Federal Government is protected from acts of cyber-terrorism. These and other unfunded programs are Federal responsibilities on which the American taxpayer depends. We with to correct misleading statements from the Committee markup concerning reports on the First Lady's travel. The White House is required by this Committee to submit monthly reports on the 15th of each month following the preceding month on the First Lady's travel. Normally reports involving general ledger accounting in the Executive Branch require 32 to 41 days to produce after the reporting period is complete. In its June 26, 2000 report to Congress, the White House report reflects that the First Lady travel bills, on average, were paid within 32 days of the date of the trip. The July 15, 2000 report indicates that bills, on average, were paid within 31 days of the trip. Finally, it was incorrectly stated that the First Lady uses the 747 aircraft for travel. The First Lady only boards the 747 as a passenger accompanying the President of the United States. For these and other reasons, we cannot support this FY 2001 Treasury-Postal Service-General Government Appropriation bill. We continue to hope that additional funding will be restored to this bill to enable responsible funding of core government functions. Lucille Roybal-Allard. Steny H. Hoyer. Dave Obey. Carrie P. Meek.