FY 2007 COUNTER NARCOTICS AND ANTICRIME ASSISTANCE BUDGET - (REVISED COPY - SEE USAID SECTION - PROMOTE SOCIAL AND ECONOMIC PROGRESS)

UNCLAS SECTION 01 OF 21 BOGOTA 004342



SIPDIS



FOR INL, ALSO FOR WHA

DEPT FOR ADM AID



E.O. 12958: N/A

TAGS: ABUD, PREL, MASS, SNAR, CO

SUBJECT: FY 2007 COUNTER NARCOTICS AND ANTICRIME ASSISTANCE

BUDGET - (REVISED COPY - SEE USAID SECTION - Promote Social

and Economic Progress)



1. Summary. Our counter-narcotics (CN) programs in Colombia

face a significant challenge in FY 2007: the expanded

authorities and the recognition that the battles against

narcotics and terrorism are related puts additional stress

on our resources. This cable explains in detail the

resources needed in FY-2007 to accomplish our CN mission and

to employ effectively the new authorities Congress has given

us. Our air assets and the Colombian special forces we are

training are increasingly called on to defend vital

infrastructure resources from terrorist attack, taking a

more offensive approach against narco-terrorist assets and

personnel, and rescuing victims of kidnappings and assaults

carried out by guerrilla groups. Our interdiction and

eradication programs have, nonetheless, been successful

recently. We should expect our aircraft to be struck by

hostile fire, necessitating increased expenditures on repair

and spare parts. All of these programs are the core of what

we must do to assist President Uribe to succeed in

eliminating narcotics trade in Colombia and stopping the

terrorists that threaten the democratic system of one of our

key Latin American allies, as well as the stability of the

entire Andean region. Colombia is the source of 80 percent

of the world's cocaine, an increasingly important supplier

of opium, and home to three foreign terrorist organizations.

We simply cannot afford not to support the GOC's counter-

narcotics programs.



2. The projects essential to continued success of our

Colombia policy include the aerial eradication program with

the Colombian National Police (CNP),the CNP Air Service

(ARAVI),the Colombian Army (COLAR) Helicopter Battalion and

Counter-Drug (CD) Brigade, enhancement of the COLAR special

operations capability (creation of commando battalions and

tactical reconnaissance assets),Colombian Navy (COLNAV)

maritime and riverine interdiction programs, and CNP

interdiction programs, including the Airmobile Companies

(Junglas) and road interdiction units. Of equal importance

in the medium term are our programs to support democracy,

alternative development, assist vulnerable groups, and

promote the rule of law and public security throughout

Colombia.



3. To carry out these programs, post proposes INL funding

of a minimum of $462.253 million for FY-2007. Counter-

narcotics programs require $180.665 million and $160.190

million is devoted to social, economic, and rule of law

programs. The detailed budget breakdown will be e-mailed to

INL/LP.



4. In addition, we recommend $121.398 million in Foreign

Military Financing (FMF) in FY2007 to support: training and

equipping of additional COLAR units; enhanced naval and

riverine operations; cargo airlift; and intelligence

aircraft provided to the GOC. End summary.



Support to the Colombian National Police (CNP) Anti-

narcotics Directorate (DIRAN) - $180.665 million

-------------- --------------



CNP Aviation (ARAVI) support -$80.075 million



Project summary



CNP Aviation (ARAVI) support - $80.075 million: DIRAN

aviation supports eradication and interdiction. Helicopters

serve as transport and eradication escorts; fixed-wing

aircraft move cargo and troops and also conduct intelligence

operations. Our focus for DIRAN aviation in FY2007 is

maintaining an aircraft availability rate of 75 percent

within a flying hour program agreed upon by NAS and the CNP.

As our eradication operations continue to be successful we

are forced to move to more remote areas where the coca crops

have migrated. We will be required to forward deploy more

aircraft for longer periods and further from permanent

bases. This will increase transport costs and other

expenses related to operating from temporary locations.



A. Project title. CNP aviation (ARAVI)



B. Project description. NAS assistance to ARAVI helps to:

advise and train ARAVI to manage its aviation program with

the ultimate goal of nationalization; provide quality

support to elements of the U.S. Mission in Colombia

requesting assistance from ARAVI; sustain NAS/ARAVI

advisers' ability to provide professional assistance to the

CNP; ensure ARAVI personnel maintain basic technical and

tactical skills; provide a safe environment in conducting

all missions. ARAVI maintains five aviation bases and, in

FY07, we expect to support 28 fixed-wing and 62 rotary-wing

aircraft. ARAVI participates in eradication and

interdiction operations and supports the war on terrorism

where this does not conflict with the primary counter-

narcotics mission.



C. Resources requested. In FY07 NAS/ARAVI requires $1.2

million for personnel; $3.85 million for both in-country and

CONUS training (we have identified training as a priority

for investment in view of a 2004 accident which destroyed a

$5.5 million DC-3 aircraft and hard landings by C-26

aircraft that have resulted in increased repair costs and

reduced aircraft availability); $56.325 million for

operations and maintenance (we have broken down approximate

costs for operations and maintenance by aircraft model;

costs are higher than in previous fiscal years because we

are supporting additional aircraft, we anticipate continued

price increases, and as aircraft age they invariably require

additional parts and maintenance; $13.1 million for fuel, an

approximate 30 percent increase over FY04 fuel expenditures.

We are requesting $1.5 million for ammunition and armament

(ARAVI provides gunships to the eradication program); $0.6

million for communications; $0.8 million for shipping; and

$2.7 million for construction, renovation and improvement

projects.



D. Resource justification. The resources requested are

required to support a fleet of 83 aircraft at an operational

availability rate of 75 percent. We are using current

(FY04) costs per aircraft model for operations and

maintenance and adjusting for anticipated inflation. As

aircraft age, they generally require additional maintenance

and spare parts-for example, there is structural stress and

damage to one-third of the Huey II fleet which requires

depot-level repair. We will continue to press DIRAN to

share more of the costs of ARAVI. We have seen progress,

with DIRAN assuming an increased share of the costs related

to the transfer of PNC personnel to the newly established

police posts in rural areas. ARAVI has also recently

purchased approximately $400,000 in fuel service equipment.

We are reviewing other areas, such as sharing construction

and aircraft fuel costs, as further ways to foster

nationalization and increase ARAVI's share of program costs.

When our OJT/Nationalization adviser is hired we will task

him/her with working with ARAVI to identify contractor

positions that ARAVI personnel can assume once fully

trained. This will reduce contractor overhead costs built

into operations costs.



E. Performance measures. The performance measures for

NAS/ARAVI are the operational readiness rates of the various

aircraft models, as indicated above, and the adherence to a

flight hour program and "banked hours" to ensure that

aircraft are available throughout the year for missions,

including support to eradication. As part of the latter,

NAS/ARAVI records interruptions in aerial eradication due to

the lack of required ARAVI aircraft and/or equipment. We

will also identify percentages of personnel working on the

program with the goal of increasing the percentage of ARAVI

personnel while simultaneously decreasing the percentage of

contractor personnel.



F. Sustainability. As outlined above, we believe the

resources requested will help ensure ARAVI's ability to

support counter-narcotics operations in Colombia. As noted,

we are currently studying an on-the-job training program to

increase the skills of ARAVI personnel and thereby reduce

our reliance upon contractor personnel. With additional

aircraft that are being procured in FY04, FY05 and beyond,

however, we anticipate the requirement for continued,

substantial contractor support, irrespective of the

possibility of additional ARAVI resources.



G. Evaluation plan. NAS/ARAVI meets with INL, contractor

and subcontractor personnel at least three times a year to

evaluate the NAS/ARAVI program and to identify specific

action items for continued improvement in our program. We

examine operational readiness rates and the flying hour

program (recently agreed to by NAS and ARAVI),adherence to

this program, and "banked hours" (as explained above) as

indicators of program efficiency and effectiveness. Upon

the creation and implementation of an OJT program we will

also examine how to increase the percentage of ARAVI

personnel relative to contractor personnel on the program.

From a safety standpoint, we will also examine the number of

total flight hours per aircraft model relative to the number

of accidents as an indication of the efficacy of our

maintenance and training components.





CNP Eradication - $82.520 million



Project Summary



CNP support for aerial eradication of illicit crops and

environmental monitoring - $82.520 million. These funds

will be used to: purchase herbicide to spray coca and poppy;

support contract costs; conduct environmental monitoring;

cover operational expenses associated with the detection and

aerial eradication of illicit crops, as well as the

verification of spray operations efficacy.



A. Project title: CNP Aerial Eradication and

Environmental Management Programs



B. Project Description: In FY07 the aerial eradication

program will remain the primary focus of counter-narcotics

(CN) efforts in Colombia. Record successes were achieved

yet again in CY04 (136,551 hectares of coca and 3,061

hectares of opium poppy sprayed) and preliminary indications

are that CY05 results will be similar to last year. Though

we anticipate a reduction in total illicit crop cultivation,

this will be possible only if our rate of spray exceeds

narco-terrorists' replant rate. The challenge will be to

spray and re-spray in widely separated geographic areas.

This will require us to operate from more remote forward

operating locations for extended periods to reach

cultivations that are being relocated to non-traditional

growing areas. Traditional growing areas, such as the

department of Putumayo that once accounted for a large

percentage of coca cultivation, remain repressed with

nominal replant rates. The Crime and Narcotics Center (CNC)

recently released a report on coca and poppy cultivation in

the Andes that indicates no net decline in coca cultivation

in Colombia for CY04. There is some question as to the

accuracy of this report and those of previous years, but

post is reevaluating MPP objectives for 2007 and now assumes

the need to spray at current levels at least until there is

clear evidence of a significant reduction in net coca

cultivation. Our planning is now based on a target of

eradicating 130,000 hectares of coca in 2007.



The NAS coordinates activities between the GOC and NAS to

provide operational guidance, based on Colombian

environmental laws, to CNP spray bases throughout the

country. Activities are conducted in accordance with the

GOC's Environmental Management Plan, to include: spray base

operations, industrial safety programs, solid and liquid

waste management, environmental monitoring, public education

and social management, public health monitoring, and

contingency plan operations. We conduct inspections and

analyze samples of the soil, water, and from human

inhabitants in spray areas.



During 2004, the CNP established a satellite imagery

laboratory to conduct imagery analysis for illicit crop

detection, deforestation studies, pre- and post operations

characterizations of spray areas, and analysis of national

parks and indigenous reservations. Thus far in 2005,

agreements have been reached with the National Soil

Institute to establish a laboratory to analyze soil for

possible environmental damage from aerial eradication

operations. Another proposed project is the establishment

of a human health specimen laboratory to aid in monitoring

human health.



C. Resources requested: CN funds requested for the

project are: $82.520 million. Specific costs include:

U.S. and host nation personnel and administrative support:

$2.791 million; contract logistical, maintenance and

operations support: $53.404 million. This will support 10

OV-10, 9 AT-802, 6 T-65, 11 UH-1N, and 2 C-208 aircraft.

Chemical for spray: $15.484 million; fuel: $2.950 million;

transportation costs: $950.0 thousand; vehicle maintenance

and replacement: $250.0 thousand; petroleum-oil-lubricants,

refueling and chemical equipment: $75.0 thousand; hangar and

warehouse rental and logistics support: $2.218 million.



D. Resource justification: Targeted illicit crops will

remain difficult to reach, so the number of flight sorties

is expected to increase. More spray aircraft will be added

to the fleet through INL/A's Critical Flight Safety Program

(CFSP). Though the required INCLE funding has not been

appropriated, post must move forward with the request for

funding to cover operations and maintenance (O&M)

requirements for the planned additional airframes. Funds

requested will provide for operation and maintenance of

spray aircraft and helicopters, imagery gathering and

gyrocam aircraft, and heavy transport aircraft; operation

and maintenance of two additional AT-802s, two additional OV-

10s, and two additional T-65s. Fuel and herbicide will be

purchased and transported to support a spray campaign with

targets of 130,000 hectares of coca and 3,000 hectares of

poppy. With dispersed operations, ground vehicles will

become more critical and must be operated, maintained and

replaced at the main operating base and forward operating

locations. Requested funds will pay for the rental,

maintenance, and construction of maintenance and living

facilities at forward operating locations and the main

operating base in Bogota. We will continue to upgrade

communications and data processing equipment as older items

reach the end of their normal service life. Resources will

be used to contract spray pilots, helicopter crews,

maintenance, operations, logistics and safety personnel,

train host country pilots, contract host country national

and American Citizen Personal Services Contractors (PSCs),

technical staff to provide accounting, end-use monitoring,

oversight of the eradication program, and progress toward

identified program nationalization objectives. Additional

funding will be dedicated to new crop detection methods that

are being evaluated to increase eradication proficiency and

some O&M funding will be dedicated to enhanced imagery which

will provide us near real-time data, thereby increasing

overall efficiency. We are increasing verification

iterations and the new gyrocam programmed for FY05 will

allow us to verify crop detections, spray efficacy, and

replant rates more frequently and at less risk.



In 2003 NAS began supporting Colombia's implementation of

its Environmental Management Plan. Additional assets and

training will be required to enable the GOC to assume full

responsibility for supporting DIRAN operations and training,

including improving spray base environmental specific

infrastructure and replacing spray base equipment as needed.

This support will include equipment and infrastructure for

water treatment, chemical mixing, handling, storage, and

transport, calibration and maintenance of CNP chemical

equipment and personnel training. NAS will continue

cooperation with the National Institute of Health, National

Farm Bureau, and other GOC entities responsible for human

health and environmental monitoring.



E. Performance measures: We will continue on the spray

successes of previous years but must look beyond hectares

sprayed as a performance measure. Yearly crop estimates

provided by CNC do not permit adequate feedback on spray

efficacy. New cultivations appear to reach production well

before we are aware of them, so new detection methods must

be developed. More of the 2007 funding will be dedicated to

detection and verification.



Verifiable crop reduction, along with reduced potential crop

productivity, are true indicators of success. With newly

developed technologies we will be able to verify crop

reduction and spray efficacy on a quarterly basis. More

current information will enable us to return to previously

sprayed areas to combat replanting.



Following thorough investigation, most complaints of damage

to licit crops and human health have been shown to be

invalid or spurious. Our objective is to reduce the number

of valid complaints through careful planning and execution.

The development of an in-country capability to analyze soil,

water, and human tissue samples will enable us to resolve

complaints more quickly and equitably. We will dispose of

accumulated chemical or petroleum waste at the forward

operating locations. We will increase the number of public

forums used to present the message that eradication is not

the cause of deforestation or chemical damage to human

health.



F. Sustainability: Resources requested will support an

aggressive spray campaign to ensure performance measures are

met. We are entering a new stage of nationalization that

requires the Colombian National Police to take on more

responsibility, thus decreasing dependence on U.S.

contractor support. In June 2005, a joint working group

(JWG) composed of CNP ARAVI, CNP eradication, CNP

environmental, NAS contractor and NAS personnel will re-

convene to study areas where responsibility can be

transferred to the CNP. We recognize that the CNP cannot be

expected to take on full responsibility until cultivation is

reduced at least to a constant maintenance level that can be

sustained with resources that are realistically available to

the GOC. Our job is to enable the GOC to reach that

combination of increased capability and reduced cultivation

levels.



G. Evaluation: NAS Eradication measures progress on a

daily basis. Each FOL reports hectares sprayed, missions

flown, aircraft employed, status of aircraft, etc. NAS

contract oversight advisers meet with INL/A contract

management and CNP DIRAN leadership weekly to discuss and

evaluate progress throughout the areas of operations. We

plan to move spray verification from semi-annually to a

quarterly basis by employing a gyroscopic camera mounted on

a C-208 aircraft. This will provide immediate feedback on

spray efficacy, crop replant and pruning rates, and

additional detection data to supplement geo-spatial

information. On the environmental front we will continue

ground proofing of water and soil samples and evaluate and

consider complaints against erroneous spray. We will

continue to support medical treatment missions to spray

areas to provide health care and monitor possible spray

effects.



CNP Interdiction Project - $16.68 million



Project Summary



A. Project title. DIRAN Interdiction Project - $16.68

million



B. Project description. This project assists the CNP

DIRAN in its efforts to interdict the processing,

transportation, and export phases of Colombia's illegal drug

trade. Colombia is fighting a war against three

narcoterrorist armed groups that total approximately 40,000

combatants and support militia. The project provides

resources to DIRAN's three airmobile interdiction companies

(Jungla) and the DIRAN ground interdiction groups for

training, equipment, and logistics support. Intelligence

and investigations are an essential element for focused

interdiction operations. Funds will support DIRAN

intelligence and investigations groups, with special

emphasis on the intelligence, surveillance, and

reconnaissance (ISR) aircraft. The project will also focus

on integration of DIRAN's intelligence and communications

architecture with those of the CNP and the Colombian

military. Support is also provided to DIRAN's air- and

seaport group formed to interdict drugs transiting through

Colombia's commercial air and sea ports. Funds are used to

help secure and improve DIRAN's base infrastructure.

Training in the United States, Colombia, and third countries

is also funded, as is the new CNP training center near

Espinal.



C. Resources requested. $16.68 million



D. Resource justification. As the aerial eradication

project reduces cultivation levels, interdiction will become

even more important to dismantling Colombia's illegal

narcotics processing and trafficking. DIRAN's

organizational structure will have to focus additional

efforts on antinarcotics intelligence (both human and

technical intelligence capabilities) and investigations,

while maintaining and strengthening the rapid strike

capability of the Jungla companies. Support also must focus

on improving DIRAN's ground transportation capability, both

to take advantage of generally improved highway security and

to reduce requirements for air transportation.



E. Performance measurements. HCl cocaine/coca base and

heroin seized in Colombia and off-shore. Numbers of

narcotraffickers arrested and trafficking organizations

dismantled. HCl and heroin processing laboratories

destroyed. Numbers of DIRAN officers and men trained in job-

related skills, both in the United States and, increasingly,

in Colombia.



F. Sustainability. The letter of agreement for the DIRAN

support program stresses a phased "nationalization" plan in

which the GOC assumes increased responsibility for

sustainment. When the CNP national field training center is

completed, DIRAN will be able to conduct most of its field

training in Colombia.



G. Evaluation plan. Daily coordination with DIRAN, both

at the headquarters level and with frequent field visits to

plan and review operations.





CNP DIRAN Operational Support - $1.39 million.



Project Summary



CNP DIRAN Operational Support - $1.39 million. This money

will be apportioned among various CNP projects described

above and used to support CNP overhead cost that cannot be

identified with a particular program sub-category.



A. Project title. CNP DIRAN Operational Support - $1.39

million.



B. Project description. This project provides support to

counter-narcotics field operations and DIRAN base

operations. Among various CNP projects described above it

will fund operational expenses for rations, vehicle

maintenance, vehicle fuel, minor purchases, transportation,

lodging, meals and miscellaneous expenses of CNP overhead

costs.



C. Resources requested. $1.39 million ACI funding



D. Resources justification. Funds will be used to support

NAS-sponsored counter-narcotics field operations with

logistics, lodging, rations, and miscellaneous expenditures

and pay DIRAN base expenditures for maintenance, fuel for

NAS-procured vehicles, and other indirect costs. Taking

into account recent fuel and other price increases and the

18 percent appreciation of the local currency in 2004,

straight-line funding for this and other program accounts

actually represents a significant assumption of program

costs on the part of the CNP.



E. Performance measurements. Performance will be measured

by the availability of units under the supported projects to

perform operations as well as the success of the projects to

meet their performance measures.



F. Sustainability. As outlined above, we believe the

resources requested will help ensure another successful year

in operational support for counter-narcotics operations in

Colombia. We are currently studying ways to reduce the

response time to requests for service and goods for CNP

operations.



G. Evaluation plan. NAS administrative management

performs recurring reviews of delivered operational support

and evaluates action items for continued improvement in our

support. We will also examine ways to increase the

efficiency of operational support to the CNP with the same

or reduced level of funding.



Support to the Colombian Military -$ 121.4 million

-------------- --------------



Army Counter-drug Brigade - $3.5 million



Project Summary



The Narcotics Affairs Section provides support to Colombian

military forces, in particular the Army's Counter-drug

Brigade (CD Brigade) with logistics, training and equipment.

Support to the unit includes rations, fuel, force protection

material, ammunition, communications and weapons repair and

maintenance training, transportation, medical and counter-



mine equipment. The CD Brigade directly supports the CNP

Aerial Eradication Program in Colombia. The project goal is

the eventual capture or elimination of narcoterrorists

(FARC, ELN, AUC) associated with the production and

trafficking of illegal drugs. Other vetted Colombian

military units are provided minimal support for their manual

eradication of illicit crops and interdiction of drugs and

processing facilities.



A. Project title. Support to the Counter-drug (CD)

Brigade and Colombian Military - $3.5 million.



B. Project description. The CD Brigade's primary mission

is to provide ground security for CNP spray aircraft

operating throughout the country. It conducts operations

against high-value narco-terrorists targets in the areas to

be sprayed, including attacking known FARC, AUC, and ELN

concentrations. The CD Brigade conducts drug interdiction

operations, such as neutralizing narco-terrorist leadership

and destroying cocaine processing labs, storage facilities,

and precursor chemicals. The CD Brigade also targets coca

seedbeds. In 2004, CD Brigade operations contributed to a

significant reduction in ground fire impacts incurred by

spray program aircraft. In February, 2004, the CD Brigade

captured alias "Sonia," the FARC's southern bloc chief of

finances, who was subsequently extradited to the United

States on drug charges.



C. Resources requested. $3.5 million in ACI funding.



D. Resource justification. In 2002, the CD Brigade was

made a national asset, supporting aerial spray eradication

and conducting interdiction operations throughout the

country. Due to limited COLAF airlift capabilities, CD

Brigade elements are normally transported to spray areas by

chartered aircraft. Ground transportation in many instances

is also achieved via commercial sources. Funding will be

used to support advanced training by U.S. Army Special

Forces and maintenance of the CD Brigade, including

replacing military equipment, ammunition, rations, and fuel.

In addition, NAS will support other vetted COLMIL units that

support spray and interdiction operations in areas of

significant coca cultivation and production of cocaine.

This support will include Plan Colombia helicopter

transport, drug-sniffing dogs, fuel, mine detectors, and

force protection equipment. Maintenance of COLMIL

professionalization initiatives will be focused on

activities such as night air assault operations, mine

recognition and deactivation training, chemical handling and

destruction training to minimize the environmental impact of

destroying narcotics processing labs. These initiatives

will ensure that the CD Brigade has the optimal training for

conducting ground operations in support of aerial

eradication, conducting heli-borne assaults on high value

targets, and recognizing and respecting human rights.



NAS will also continue support for existing COLAR manual

eradication efforts in areas of high opium poppy

concentration that are difficult or dangerous for spray

aircraft to access. This support includes gasoline powered

brush cutters, GPS systems for marking poppy fields for

spray aircraft, photographic equipment to document

destruction, and fuel and protective equipment.



During FY04, basic logistical support of the CD Brigade

included $764,000 in air transport, $364,000 in rations and

$140,000 in fuel and ground transport. Those same expenses

in FY05 are estimated at $1,733,000 because of anticipated

exchange rate fluctuation and cost increases. These are the

minimum amounts necessary to sustain and transport the CD

Brigade to the area of spray operations.



E. Performance measurements. Decrease in the number of

hits against eradication aircraft; quantity of drugs seized

and destroyed in the processing and transit phases; number

of cocaine HCl processing facilities destroyed; number of

coca plant seedbeds and number of hectares of opium manually

eradicated.



F. Sustainability. Multi-year Plan Colombia funding will

be exhausted in FY05. The CD Brigade evolved from its

original concept as a static unit in the southern Putumayo

area to become a national asset deployed nationwide in

support of the aerial eradication program. This Colombia-

wide deployment was neither envisioned nor budgeted for

under the original Plan Colombia. The Colombian Army

(COLAR) does not have the funds to provide the logistical

support required by the CD Brigade to deploy in support of

aerial eradication. The CD Brigade will require USG support

until such time as it is determined that they are no longer

needed to support the aerial eradication mission or the GOC

budgets funds for their support.



G. Evaluation plan. The newly hired COLMIL program adviser

will be on site to evaluate the effectiveness of the CD

Brigade's use of USG-provided assistance. He will conduct

end use monitoring of USG-provided equipment, as well as

ensuring the proper maintenance and safeguarding of said

equipment. Indicators such as small arms hits against

eradication aircraft, number of HCl and base labs destroyed,

precursors and other chemicals captured or destroyed, and

number of enemy killed or captured will be used to evaluate

the effectiveness of the CD Brigade. Other COLMIL units

will be evaluated based on hectares of illicit crops

manually eradicated or interdiction of processed drugs.



Colombian Army (COLAR) Aviation Brigade - $112.803 million



Program Summary



The Colombian Army's Aviation Brigade provides the Colombian

Army and other public forces with the air mobility needed to

operate at extended ranges in isolated areas. Within the

Aviation Brigade, 79 Plan Colombia helicopters provide

dedicated support to counter-narcotics operations conducted

by the CD Brigade and host nation pilot and non-pilot

training for the helicopter battalion (BAHEL).



A. Project title. Colombian Army (COLAR) Aviation Brigade

- $112.803 million



B. Project description. The current inventory of 79

rotary-wing (r/w) aircraft is projected to remain at this

level through 2007. The successes of the CD Brigade and

aerial eradication programs in CY02 through CY04 and through

the first quarter of 2005 are attributable to the direct

support provided by COLAR Aviation. USG expanded

authorities have significantly increased the operational

tempo; additionally the dispersal of cultivation and

narcoterrorism nationwide has led to more remote and

extended operations. The Infrastructure Security Support

(ISS) program in Arauca Department requires additional

resources to support a permanent presence at the heliport in

Saravena. This capability is critical to the protection of

vital economic infrastructure.



C. Resources requested. $112.803 million in ACI funding.

Specific costs are: U.S. and host nation personnel and

administrative support and training $3.028 million; forward

operating and base operations and maintenance (O&M) support

and construction $4.390 million; aviation contract support

and maintenance for 15 UH-60, 27 UH-1N, 32 Huey II, 5 KMAX

aircraft - $85.259 million; vehicle maintenance and

replacement $226.0 thousand; petroleum, oil, lubricants and

refueling equipment $9.750 million; information technology

upgrades $350.0 thousand; project operations support, to

include ammunition and armaments, $6.293 million;

transportation costs $1.800 million.



D. Resource justification. Increased contract and

logistical support expenses are due to the conversion from a

cost-plus contract to fixed-price contract. Aging aircraft

continue to drive increased maintenance requirements and

necessitate continuation of the INL/A Critical Flight Safety

Program to ensure continued safe operation of the aircraft.

Continued dispersal of operations nationwide requires

additional infrastructure and support for mobile operations

over extended periods. Additionally, as the capabilities of

the Aviation Brigade continue to increase, so will the

demand to operate further and further from its main base in

Tolemaida. There will be a corresponding increase in

aircraft flight hours and fuel usage across the fleet.

Ground vehicles will be acquired, operated, maintained and

replaced as necessary at operating locations across the

country. Requested funds will pay for rental, maintenance

and construction to improve Colombian Army Aviation

institutions; the main bases in Tolemaida and Melgar and

forward operating locations in Caqueta, Nario, Guaviare,

Meta, and Arauca departments, as well as new bases as the

requirements arise. In CY07 we will have met our

nationalization goal with the UH-60 program and moved into a

minimized contractor/USG oversight role. Thereafter, pilot

and non-pilot resources will be shifted to the Huey II and

UH-1N programs. Training will continue to focus on

maintaining high levels of pilot proficiency standards and

maintenance procedures in accordance with INL/A policies and

directives utilizing minimum contractor oversight.

Communications and data processing equipment upgrades and

expansion are needed to meet increasing operational tempo

and distances requirements. Funding will be used to

contract host country national and U.S. PSC technical staff

to provide accounting, end use monitoring, and oversight of

the Plan Colombia Helicopter Program.



E. Performance measures. By FY07, the COLAR should have

an effective Aviation Brigade capable of carrying out the

full range of aviation activities supporting not only CN,

but also counter-terrorist operations. Qualitative

indicators of performance will be successes in eradication

and interdiction programs with decreasing dependence on U.S.

assistance.



F. Sustainability. As outlined above, the resources

requested will ensure another successful year in COLAR

aviation support for counter-narcotics operations in

Colombia. We anticipate that the UH-60 program will be in

the sustainment phase consisting of minimal contractor

oversight and a continued commitment by the COLAR to provide

required staffing to sustain an 80 percent operational

readiness rate. Additionally, the UH-1N program will be

close to the sustainment phase and the Huey II program more

than 50 percent completed.



G. Evaluation plan. The contract in CY07 will be a

performance-based contract with specific performance

measures and a reporting and monitoring process. The NAS

conducts annual program reviews with INL/A and conducts

annual joint working group conferences with all partner

agencies involved in the nationalization plan. These

partners include the Department of Defense, U.S. Southern

Command, Security and Assistance Agency and the Training and

Assistance Team, the U.S. Military Group, INL/A, and the

Colombian Army.



Air Interdiction and Surveillance (ABD) - $5.495 million



A. Project title: Air Interdiction and Surveillance -

$5.495 million.



B. Project description. The Air Interdiction and

Surveillance (Air Bridge Denial - ABD) program is a

presidential-directed and authorized program to intercept

and interdict aircraft suspected of trafficking in illicit

drugs and other contraband. It employs five tracker

aircraft maintained by the United Sates Government and

operated by the Colombian Air Force to intercept drug

carrying aircraft.



C. Resources requested. $5.495 million in ACI funding.



D. Resource justification. The Air Interdiction and

Surveillance program supports in-country USG/INL contractor

and in-country costs to cover the operations costs of five

Colombian Air Force (COLAF) C-560 tracker aircraft used for

interception of suspected drug trafficking aircraft, to

include the required logistics support to upgrade and

maintain the locations where USG contractor personnel are

based. Costs of replacement and refresher training of COLAF

pilots are also included in in-country estimates. Another

$25 million is being requested by INL to cover the program's

U.S. contractor costs.



E. Performance measurements. Increase in the percentage of

suspect tracks intercepted and forced to land for

inspection; increase in law enforcement end games;

reduction in the number of unidentified, assumed suspect

aircraft; overall reduction in the use of aircraft to carry

drugs and drug-related money, arms, and personnel.



F. Sustainability. As outlined above, we believe the

resources requested will help ensure another successful year

in support of counter-narcotics air interdiction and

surveillance in Colombia. We are phasing in nationalization

of the program's training to decrease reliance upon U.S.

contractors for training.



G. Evaluation plan. Project is evaluated at monthly in-

progress reviews, a semiannual review, and an annual

certification. During the monthly reviews, NAS personnel

meet with GOC, DOS, DOD, and Homeland Security personnel to

review the program's progress and identify specific action

items to improve the program. During the semiannual

reviews, DOS senior leadership reviews the program's

achievements for the period and makes recommendations as

necessary. During the yearly certification, an interagency

team travels to Colombia, reviews the different aspects of

the program, and makes recommendations to the Secretary of

State with respect to continuation of the program.



Navy maritime interdiction - $1.6 million



Project Summary



A. Project title. Navy Maritime Interdiction - $1.6

million



B. Project description. GREAS (Grupo de Reconocimiento y

Asalto [reconnaissance and assault group]) is a special

Colombian Navy Unit developed to conduct clandestine coastal

interdiction operations against narcotraffickers and

narcoterrorists that are shipping cocaine HCl from

Colombia's seacoasts, primarily in "go fast boats." GREAS

is a trilateral project (Colombia, UK, and USG) in which the

Colombian Navy provides highly motivated personnel, as well

as operational and logistical support; the UK provides

specialized training, logistical support and liaison; and

the USG provides funding for specialized equipment and

logistical support. This is an existing project in the

eradication/interdiction-funding category. Much of the

success of the GREAS project is due to lack of pubic

awareness of the group's capabilities and methods of

operation.



C. Resources requested. $1.6 million in ACI funding.



D. Resource justification. Additional resources are

required to expand the reach of this successful program.



E. Performance measurements. Metric tons of cocaine HCl

seized in maritime or coastal interdiction units; numbers of

narcoterrrorists arrested/killed; and major trafficking

organizations disrupted or dismantled.



F. Sustainability. The Colombian Navy is committed to

providing sufficient numbers of highly trained and motivated

personnel to the GREAS project. The Colombian Navy also

provides significant operational support with aircraft,

ships, etc. After the GREAS infrastructure (headquarters,

barracks, boat ramps, etc) and equipment is provided, the

Colombian Navy will be able to sustain the unit.



G. Evaluation plan. NAS provides a project officer (part-

time) who manages the project in close coordination with the

DEA and a full-time UK liaison officer. The GREAS unit is

evaluated based on its operational tactics, techniques and

procedures and operational results (HCl and go fast boats

seized, narcotraffickers arrested, etc.)



Promote the rule of law - $28.033 million

--------------



Ministry of Defense & Institutional Reform - $0



Project summary



A. Project title. Ministry of defense & Institutional

Reform project - $0.0



B. Project description. The Ministry of National Defense

(MOD) Institutional Reform project is designed to expand

reforms within the MOD related to institution building, to

include the development of a national security strategic

planning system, strengthening the civilian management and

direction of the ministry so that the MOD will be able to

develop a more comprehensive narcotics and terrorism control

program. The project also aims to enhance the Colombian

people's understanding and support of national security.

The project is conducted in coordination with the Center for

Civil Military Relations (CCMR) of the U.S. Navy's Post-

Graduate School. This is an on-going project under the rule

of law budget category.



The project assists the MOD in five critical areas of MOD

responsibility:



Strategic planning

Program planning

Intelligence and telecommunications integration

Systems and equipment acquisition

Budget, financial control and auditing



C. Resources requested. $0.0



D. Resource justification. No FY07 funds are required to

continue the first two elements of the project; the third

element will be completed in 2005. The MOD has completed

its first phase of reform and requires no additional

assistance in establishing the processes and procedures in

the five critical areas noted above. The USG will provide

occasional technical assistance/consultation, but this can

be accomplished using already available resources.



E. Performance measurements



Completion of MOD directives, planning procedures, etc.



F. Sustainability



G. Evaluation plan. Overall goal: expand reforms within

the MOD related to institution building, to include the 1)

development of a national security strategy, 2)

strengthening the civilian management and direction of the

ministry, so that the MOD will be able to develop a more

comprehensive narcotics control program, and 3) enhancing

the Colombian people's understanding and support of national

security.





Illegal Armed Groups/Reinsertion into society - $.5 million



Project summary



This project supports the MOD's demobilization program that

motivates narco-terrorists to desert/demobilize; collects

intelligence/information and disseminates to operational

intelligence channels of the military and police; and

processes/validates them prior to entering the GOC

Reinsertion Into Civil Society Program.



A. Project title. "Programa Atencin Humanitaria al

Desmovilizado" (Humanitarian Treatment to the Demobilized.)

- $0.5 million



B. Project description. This project supports the MOD

demobilization program, chartered by the President under the

national security strategy, that motivates members of

illegal armed groups to desert. Once in the program, the

MOD certifies them as legitimate voluntary deserters of the

FARC, ELN, or AUC. A GOC interagency board then approves

their entry into the GOC reinsertion into civil society

program. During the board deliberations, the institutions

and agencies participating determine if the individual

enters the reintegration phase or imprisons them for crimes

of lesser humanity, gross human right abuses, or narcotics

trafficking crimes. The project adviser provides expert

advice in information operations (psychological operations)

and program development designed to encourage desertions

from the narco-terrorist organizations through mass media

communication strategies. The support also entails

specialized training and equipment to support the GOC

demobilized processing system, which includes in-depth

interviews with each demobilized for intelligence purposes.

Information from the program has prevented numerous

terrorist attacks.



A. Resources requested: $0.50 million in ACI funding.



B. Resource justification. The program continues to

reduce the rank in file of the narco-terrorist

organizations. The intelligence gained through the program

contributes to 70 percent of military and counter-narcotics

operations across the country. The program's credibility

has increased throughout the country so that narco-

terrorists no longer fear surrender to the public force (79

percent surrender to public force). With the opening of

five additional demobilized reception centers (peace

centers/homes) throughout Colombia, U.S. support will focus

on networking the entire program as well as ensuring

standardization of the interview process and sharing of

operational intelligence. Intelligence is shared with DEA,

ORA, DAO, Milgp, and other U.S. Embassy agencies, as

appropriate.



C. Performance measurements. Number of individuals

demobilized resulting in overall reductions in the size of

the illegal narco-terrorist groups. Number of weapons,

explosives and other narco-terrorist resources turned in.

Number of terrorist attacks prevented because of

intelligence provided by demobilized. Number of public

force operations supported.



D. Sustainability. The GOC provides approximately USD 8

million to support this project. United States Government

support is closely coordinated with the GOC to ensure that

we fill the essential gaps in GOC funding.



E. Evaluation plan. Daily coordination between the NAS

adviser and GOC officials; frequent field visits to various

police and military units receiving the demobilized; weekly

statistical information analysis on deserters; capturing of

narco-terrorist logistical support mechanisms (weapons,

explosives, cocaine labs, processed cocaine, prosecutions of

leadership of the terrorists, etc.); evaluation of the

information campaign's effectiveness through polling and

interviews.



DOJ - Justice Sector Reform Projects - $6.0 million



Project Summary. The GOC, with USG assistance, is

undergoing a dramatic transition to an accusatory criminal

justice system. This is critical to Colombia's

effectiveness in combating criminal organizations and to

sustain its democracy. The Embassy, through the Department

of Justice, has provided essential training and technical

assistance for this transition. Continued USG support is

critical to ensuring an effective transition and

implementation. In addition, DOJ is providing essential

training and technical assistance to critical investigation

units: Human Rights, Anti-Kidnapping, Anti-Terrorism, Asset

Forfeiture and Money laundering, and Anti-Corruption

programs.



A. Project title. DOJ Justice Sector Reform Projects -

$6.0 million



B. Project description. These programs are administered by

the U.S. Department of Justice and involve support for the

transition to an accusatory system, implementation of an

effective criminal justice system and specialized

investigative units: Human Rights, Anti-Terrorism, Anti-

Kidnapping, Anti-Narcotics, Anti-Corruption, Asset

Forfeiture and Money Laundering.



C. Resources requested. $6.0 million in ACI funding



D. Resource justification. The GOC is implementing a new

criminal justice system. This dramatic and historical

transition to an accusatory system will improve Colombia's

ability to investigate and prosecute criminal organizations

involved in narcotics trafficking, terrorism, kidnapping and

other serious crimes plaguing Colombia. An effective

criminal justice system is key to Colombia's stability and

ability to combat criminal and terrorist organizations. DOJ

has provided critical assistance to the GOC in this

transition, providing essential training and technical

assistance to Colombian judges, prosecutors and police

investigators. This assistance includes technical training,

organizational support, security (witness protection, court

security and judicial protection),forensic support,

institutional development, information and case tracking.

This transition involves a gradual implementation throughout

the country, beginning in 2005 and continuing through 2008.



In addition, the GOC has specialized investigative units to

investigate and prosecute major criminal organizations and

crimes in Colombia. These include a national human rights

unit and 15 regional units tasked with investigating crimes

against human rights perpetrated by guerrilla groups,

militias, and, to a lesser extent, government officials.

These investigations involve mass gravesites, bombings,

extortion, and murder. Other units include a national Anti-

Kidnapping unit and 37 regional units; Asset Forfeiture and

Money Laundering; Anti-Narcotics; Anti-Corruption; and Anti-

Terrorism. This assistance will provide the needed

augmentation of equipment, training, and operational funds

necessary to develop more effective complex case

investigation and prosecution.



Performance measurements: effective implementation of an

accusatory system with improved investigations, prosecutions

and resolution of cases; increase in the number of

prosecutions and convictions in complex cases involving

human rights violations; anti-corruption, money laundering,

anti-kidnapping, and anti-terrorism.



F. Sustainability. Part of the DOJ assistance is the

development of permanent Colombian training capability; GOC

investigative and prosecution capability, including complex

cases; effective criminal case adjudication by Colombian

courts; and administration of effective rule of law.



G. Evaluation plan. DOJ will conduct routine periodic

reviews at least annually in the form of end-use monitoring

visits, meetings with host government officials, and reports

to DOJ and INL/NAS on program status with appropriate GOC

and USG updates.





Prison security- $0.5 million



Project summary. Support penitentiary system (INPEC)

reforms begun in FY00. Institutionalize proper selection,

training, and equipping of prison guards; upgrade/construct

secure prisons/wings; and establish proper policies and

regulations to control inmates, including extraditables.



A. Project title. Anti-corruption/Prison Reform - $0.5

million.



B. Project description. Improve, expand, equip and train

all anti-corruption entities which involve judicial police,

intelligence and disciplinary control units to conform with

code reform nationwide.



C. Resource requested: $500,000 in ACI funding.



D. Resource justification. This will assist in decreasing

corruption among prison staff, will provide staff with the

training and equipment to investigate and prosecute crimes





committed within the prison system and which will assist in

crimes investigated by outside law enforcement agencies. In

addition, the program will assist the GOC in prison design,

construction and management.



E. Performance measurements. Progress will be measured by

quarterly reports submitted by prison officials and follow-

up audits conducted by personnel within the BOP office, to

include advisory personnel from the United States.



F. Sustainability. Sustainability will depend on INPEC's

administrative staff, which will also receive training in

this area to ensure investigations, follow-ups, etc.



G. Evaluation plan. Evaluation will be monitored by

indicators requested on a monthly and quarterly basis and

with follow-up audits by the BOP.



Drug awareness, Demand Reduction, and Culture of Lawfulness

-- $715,000



Project Summary. Colombia faces two issues that threaten

the long term USG interest of a stable government and

society based on the rule of law. While the national

government has had great success in establishing presence

and authority throughout Colombia in recent years, there is

a traditional lack of confidence in governmental

institutions and a lack of faith in the rule of law. The

second threat is the level of drug abuse among Colombians,

especially young people. The Demand Reduction, Drug

Awareness, and Culture of Lawfulness program addresses these

issues. The Culture of Lawfulness portion provides

thousands of children instruction and opportunities to

discuss what it means to be a citizen in a democratic, law

based, society. It provides similar instruction to members

of the Colombian National Police (CNP). Our Drug

Awareness/Demand Reduction efforts provide equipment,

training, and support to numerous NGOs to support proven and

effective programs or to initiate new ones to teach

Colombians the dangers of drug use.



A. Project Title: Demand Reduction/Drug Awareness and

Culture of Lawfulness - $715,000.



B. Project Description. Supports NGOs that support civil

society and drug prevention programs in Colombia. Designs

and publishes material and education campaigns furthering

these goals. Sponsors conferences, travel, and visits.

Funds grants to NGOs to conduct comprehensive Culture of

Lawfulness training targeting parents, teachers, and local

leaders. This is a comprehensive program, administered by

the National Strategy Information Center (NSIC) that works

in coordination with the Presidential Anti-Corruption Office

and local education secretariats throughout Colombia. NSIC

is also developing a curriculum of instruction to present

Culture of Lawfulness training to members of the Colombian

National Police. Program funds support Colombian national

and local government's projects in drug prevention and

Culture of Lawfulness aimed at the regular populace as well

as the police.



C. Resources Requested - $715,000 in ACI funding.



D. Resource Justification. To provide grants to support

education projects for the police, children, parents,

teachers, and local leaders in Culture of Lawfulness

activities.



Commodities: Design and publication of materials for

prevention and Culture of Lawfulness training. Audiovisual

equipment, computers, and other equipment used for outreach,

training, and program support. Drug prevention and Culture

of Lawfulness strategies and techniques are constantly

evolving therefore sponsoring conferences, seminars, and

trainings as well as travel expenses to such events are

necessary.



E. Performance Measurement. The number of students

provided instruction in Culture of Lawfulness and drug

prevention. Number of trainers trained and how many people

they can instruct. The number of participating schools and

programs and their geographic coverage of Colombia.

Internal and/or independent evaluations of programs and

activities to measure changes in attitude and behavior

towards lawfulness and drug use.



F. Sustainability. In most cases, assistance takes the

form of one time assistance such as equipment purchases that

will enable an organization to sustain its programs with no

further USG commitment. In the case of grants, a

requirement of the grants is that they be designed to be

sustainable by Colombian sources.



G. Evaluation. Evaluation will depend on the type of

assistance provided and the type of program supported. For

one-time training, seminars, or conferences, exit interviews

and evaluations of its usefulness will be conducted. For

grants, a comprehensive evaluation of change in awareness

and attitudes of those participating in the program's

activities is conducted by the grantee.



CNP Reestablishment of Public Security in Conflicted Zones -

$18.603 million.



Project summary. Colombia is fighting a war against three

narco-terrorist armed groups that total approximately 40,000

combatants and support militia. Thousands of innocent

civilians, as well as hundreds of police and military are

killed annually. The FARC, the largest narco-terrorist

group, earns a minimum of US$1 billion per year from the

illegal narcotics trade. The GOC cannot provide the social

and economic benefits of democracy for all Colombians

without restoring and strengthening the rule of law and

government presence throughout the country. The first step

in restoring government presence is providing public

security, the role of the CNP, supported by the Colombian

military. This multi-year program assists the CNP in

reestablishing public security in the rural, conflictive

zones by organizing, training, and equipping approximately

20,000 police and constructing/reconstructing hardened

police stations. Terrorist attacks and crime rates have

dropped significantly since this program was started.



A. Project title: CNP Reestablish Public Security in

Conflicted Zones - $18.603 million.



B. Project description. The highest priority strategic

objective of Colombia's national security strategy (la

Politica de Defensa y Seguridad Democratica - Democratic

Security and Defense Policy) is to "gradually restore the

presence of public forces in all the municipalities" of

Colombia (the public force is composed of the CNP and

Colombian military.) In August, 2002, some 157 of

Colombia's 1,158 municipalities (equivalent to U.S.

counties) had no police presence. In most of these

municipalities, small police detachments were forced to

abandon their posts due to repeated terrorist attacks.

Hundreds of other municipalities, and thousands of

kilometers of Colombia, do not have sufficient numbers of

police to provide adequate public security. Failure to

maintain public forces throughout Colombia creates

"ungoverned spaces." The GOC cannot provide the social and

economic benefits of democracy for all Colombians without

restoring and strengthening the rule of law and government

presence throughout the country. The first step in

restoring government presence is providing public security--

the role of the CNP--supported by the Colombian military.



This project supports the CNP in fulfilling the top three

elements required by Colombia's national security strategy:



Organize, train and equip at least 157 police units (minimum

of 46-men each) assigned in the municipalities with no

police presence. This element was completed in February

2004; NAS is now assisting the CNP in stationing police in

the "second-tier" towns.



Organize, train, and equip sixty-two 150-man mobile

Carabineros, or rural police squadrons. These units will be

capable of establishing public security in the high threat

areas in Colombia's vast rural zones. All 62 squadrons will

be trained by 2006; the focus thereafter will be on

providing replacement personnel and equipment.



Construct, or reconstruct, scores of fortified police

stations in the larger municipalities. Based on

availability of funds, approximately 80 stations will be

hardened. Some 20 stations will have been constructed or

hardened by 2006 and this project element is now a major

focus of the USG effort.



C. Resources requested. $18.603 million in ACI funding.



D. Resource justification. We are seeking to eliminate

ungoverned spaces. By 2006, the CNP is projected to have

reached its goal of fielding 62 Carabineros mobile

squadrons, a total of 9,300 policemen. With an average 20

percent personnel replacement rate (for deaths,

reassignments, etc.),the CNP must organize, train and equip

more than 1,800 Carabineros per year. Additional funds will

be needed to complete basic infrastructure development and

construction at the CNP national field training center, near

Espinal, as well as provide continued support to that

training center which is essential to sustainability of the

program. That center houses both the Carabineros training

course and other antinarcotics police training courses,

including the Jungla course and landmine recognition

training. Funds will also be used to construct/renovate CNP

stations in rural Colombia and provide limited training and

essential equipment to the municipality police.



The results of this project have been significant. Rural

Colombia is much more secure than as recently as 2002. The

movement and supply corridors of the FARC and other illegal

armed groups have been cut; entire terrorist units have been

dismantled. Internally displaced families are returning to

their towns and farms.





E. Performance measurements. Numbers of Carabineros

trained, equipped and deployed. Reduction in overall crime

rates, terrorist attacks, homicides, kidnapping, etc.

Return of internally displaced persons to their home towns;

improvements to the rural economy. Improved security for

rural economic and social development projects.



F. Sustainability. The USG-GOC letter of agreement

specifically assigned sustainment costs for USG-provided

equipment to the CNP. When the CNP national field training

center is completed, the Carabineros and municipality units

will be able to conduct most of their field training there.

The GOC provides approximately $100 million annually to

support this project.



G. Evaluation plan. The NAS Carabineros project advisor,

supported by the DIRAN Ground Interdiction Team, makes

frequent field visits.



Promote Social and Economic Progress - $ 143.257 million

-------------- --------------



The programs under this heading are carried out by USAID.

USAID's overarching goal will be to achieve a sustainable

reduction in the production of illicit drugs and the

promotion of peace in Colombia. This will be achieved

through three inter-related programs that aim to enhance

democratic governance, expand economic and social

alternatives to illicit crop production, and provide medium

and long-term support to internally displaced persons and

other vulnerable groups.



A. Project title. Support for democracy - $19 million.



B. Project description. USAID's democracy program provides

technical assistance and training to modernize the criminal

justice system; protect and promote human rights; improve

transparency and efficiency in the use of public resources

(this includes work to strengthen political parties,

legislative strengthening activities, and policy support);

and to mitigate conflict. Activities will promote a strong

democratic government presence to counter the negative

effects that illicit activities have on transparency,

accountability and the ability of local officials to

practice good governance.



C. Resources requested. $19 million in ACI funding.



D. Resource justification. The democracy programs and

objectives represent essential components in the overall USG

effort to help eliminate the threats of illegal drugs and

narcoterrorists. These programs enhance democratic

governance at the national and local levels (in targeted

growth corridors) to extend the presence of an accountable,

legitimate and just state, particularly to address the needs

of traditionally underserved regions and populations. This

will be accomplished through the continuation and

consolidation of five comprehensive and inter-related

programs that, combined, will address the most critical

challenges to strengthening the rule of law in Colombia.

The justice program will work to broaden access to legal

services for millions of Colombians while also helping to

implement the national level reforms necessary to make the

Colombian judiciary more transparent, democratic, and

effective. The human rights program will continue to

prevent egregious human rights violations through various

prevention and protection mechanisms such as the early

warning system and will promote respect and awareness of

human rights, particularly among vulnerable populations.

The transparency and accountability program will reduce

corruption by working to improve the efficiency and

transparency in the use of public resources and by helping

to strengthen internal controls. Finally, the peace

initiative program will help mitigate conflict in the

country by strengthening the capacity of the office of the

High Commissioner for Peace (HCP) to promote the peaceful

resolution of Colombia's decades-old internal conflict.



E. Performance measurements: As USAID/Colombia begins

implementing its revised strategy for the period 2006-2008,

new indicators that track progress on information will be

developed and targets on current indicators may be revised

as of 2006. Current performance indicators include 1)

number of recipients benefited by USAID-funded Ministry of

Interior protection program for trade unionists, human

rights workers, witnesses in human rights cases and other

groups; 2) number of GOC agencies with standardized internal

control procedures; and 3) number of casas de justicia

established.



F. Sustainability: The revised strategy consists of a

strategic set of interrelated and mutually reinforcing

programs and activities that will help remedy, on a

sustainable basis, many of the root causes of Colombia's

ills that gave rise to the dual threat of illegal narcotics

and terrorism. Strengthening the Colombian state,

reinvigorating the economy, and building social capital will

considerably enhance overall prospects for achieving greater

stability in the country and region. In order to promote

sustainability of these initiatives, USAID will

significantly expand and broaden economic alternatives,

largely through trade capacity building given the still

untapped opportunities provided under the Andean Trade

Preferences and Drug Enforcement Act (ATPDEA) and the

expanded growth opportunities which would be provided by

prospective bilateral and hemispheric free trade agreements.

The program and strategy will also seek increased private

sector investment in targeted growth corridors for the

purpose of generating jobs, especially for youth. National

level policy dialogue will serve as the foundation for these

interventions in recognition of its importance to improving

Colombia's global competitiveness, especially with regard to

market development, transparency, fiscal stability, trade

and investment policy, institutional reforms, and judicial

and commercial law reform.



G. Evaluation plan: USAID's democracy programs are

evaluated on a continuous basis. Quarterly reports are

issued and all programs are thoroughly reviewed under

USAID's annual report process and portfolio reviews, which

are conducted each year. Through this process actual

results are compared against performance indicator targets.

In addition, program results are reported in the embassy's

Mission Performance Plan (MPP).



Alternative development - $83.3 million; includes $4.3

million in operating expenses



It should be noted that USAID's request for the alternative

development program has been adjusted downward to $83.3

million due to overall federal budget constraints. However,

the activities described below assume an overall budget of

$88.5 million. This amount represents USAID's original

request. With this reduction, activities under this

critical and high-profile priority program will subsequently

be scaled back.



A. Project title. Alternative Development - $83.3 million;

includes $4.3m in operating expenses



B. Project description. USAID's alternative development

(AD) program provides income and employment opportunities to

rural residents and small farmers who have eradicated and

agree not to grow illicit crops and supports small and

medium private enterprises that generate licit income and

employment opportunities. Assistance is also provided for

social and productive infrastructure as a means for

improving access to markets and services. The strengthening

of licit economic opportunities will contribute to permanent

abandonment of illicit crop production. The AD program will

strengthen national and local institutions that carry out

alternative development planning and trade capacity

building. The AD program will also support the

strengthening of democratic and local governance and

decentralization efforts. Technical assistance will also be

provided to improve the management and conservation of

natural resources in buffer zones around national parks and

to support indigenous communities by improving their

livelihoods through the implementation of sustainable

productive activities.



C. Resources requested. $83.3 million in ACI funding.



D. Resource justification. These programs and objectives

represent essential components in the overall USG effort to

help eliminate the threats of illegal drugs and

narcoterrorists. Through the alternative development

programs, USAID works with the private sector to achieve a

sustainable expansion of economic opportunities in a manner

that provides viable alternatives to illicit crop

production; works with municipal governments to help make

local institutions more responsive and effective in

responding to the needs of citizens; improves access to and

the efficient operation of land markets; and facilitates

sustainable, broad-based income and employment growth in

strategically targeted areas of the country. This will be

accomplished through market-driven, private sector-led

alternative development in regions/sub-regions of the

country under the influence of illicit agriculture that can

effectively support economically viable and sustainable

agricultural and other alternatives to illicit crop

cultivation.



E. Performance measurements. As USAID/Colombia begins

implementing its revised strategy for the period 2006-2008,

new indicators that track progress on information, such as

jobs created, will be developed and targets on current

indicators may be revised as of 2006. Current performance

indicators include 1) number of licit crops in hectares

established through alternative development programs in coca

and poppy growing regions; 2) number of families benefited

by alternative development programs; and 3) number of

infrastructure projects completed in municipalities and

departments through AD and local governance programs.



F. Sustainability. The revised strategy consists of a

strategic set of interrelated and mutually reinforcing

programs and activities that will help remedy, on a

sustainable basis, many of the root causes of Colombia's

ills that gave rise to the dual threat of illegal narcotics

and terrorism. Strengthening the Colombian state,

reinvigorating the economy, and building social capital will

considerably enhance overall prospects for achieving greater

stability in the country and region. To promote

sustainability of these initiatives, USAID will

significantly expand and broaden economic alternatives,

largely through trade capacity building given the still

untapped opportunities provided under the Andean Trade

Preferences and Drug Enforcement Act (ATPDEA) and the

expanded growth opportunities which would be provided by

prospective bilateral and hemispheric free trade agreements.

The program and strategy will also seek increased private

sector investment in targeted growth corridors for the

purpose of generating jobs, especially for youth. National

level policy dialogue will serve as the foundation for these

interventions in recognition of its importance to improving

Colombia's global competitiveness, especially with regard to

market development, transparency, fiscal stability, trade

and investment policy, institutional reforms, and judicial

and commercial law reform.



G. Evaluation plan. USAID's Alternative Development

programs are evaluated on a continuous basis. Quarterly

reports are issued and all programs are thoroughly reviewed

under USAID's annual report process and portfolio reviews,

which are conducted each year. Through this process actual

results are compared against performance indicator targets.

In addition, program results are reported in the embassy's

Mission Performance Plan (MPP).



Support to Vulnerable Groups and Internally Displaced

Persons -- $26.5 million; includes $4 million transferred

to USAID from Population, Refugees and Migration (PRM).



A. Project title. Support to Vulnerable Groups and IDPs -

$26.5 million.



B. Project description. USAID's internally displaced

persons (IDP) humanitarian assistance program provides

economic and social assistance to vulnerable groups,

including child ex-combatants, youth at risk of recruitment

by illegal armed groups, host communities, and persons

displaced by civil strife and violence. USAID-funded

activities will focus on short, medium and longer-term

solutions leading to the sustainable re-integration of IDPs

and former child combatants into mainstream Colombian

society through programs at the national and local levels.

Pending a USG policy decision, adult ex-combatants may also

be assisted. The IDP program helps to improve community

infrastructure and provide economic alternatives to deter

people from participating in illegal narcotics activities.

Note: This request incorporates an additional $4 million

that would be transferred from PRM to USAID to implement the

short-term IDP programs previously managed by PRM.

Combining PRM's short-term activities with USAID's mid- and

long-term programs will facilitate smooth transitions for

beneficiaries within the IDP chain of assistance and

streamline overall program management.



C. Resources requested. $26.5 million in ACI funding.



D. Resource justification. These programs and objectives

represent essential components in the overall USG effort to

help eliminate the threats of illegal drugs and

narcoterrorists. The IDP programs will continue to focus on

humanitarian assistance for persons displaced by the

conflict, including former child-combatants. USAID support

will continue to focus on healthcare, shelter, income

generation activities, education, and psychosocial

assistance. Logistical and planning assistance, including

the development of a reliable monitoring and evaluation

system to track progress for the reintegration of adult ex-

combatants into civil society in support of the GOC's

demobilization and reinsertion program, will continue to be

provided.



E. Performance measurements. As USAID/Colombia begins

implementing its revised strategy for the period 2006-2008,

new indicators that track progress on information will be

developed and targets on current indicators may be revised

as of 2006. Current performance indicators include 1)

number of IDPs assisted; and 2) number of former child

combatants assisted.



F. Sustainability. The revised strategy consists of a

strategic set of interrelated and mutually reinforcing

programs and activities that will help remedy, on a

sustainable basis, many of the root causes of Colombia's

ills that gave rise to the dual threat of illegal narcotics

and terrorism. Strengthening the Colombian state,

reinvigorating the economy, and building social capital will

considerably enhance overall prospects for achieving greater

stability in the country and region. Under its revised

strategy, USAID/Colombia will significantly expand and

broaden economic alternatives, largely through trade

capacity building given the still untapped opportunities

provided under the ATPDEA and the expanded growth

opportunities which would be provided by prospective

bilateral and hemispheric free trade agreements. The

program and strategy will also seek increased private sector

investment in targeted growth corridors for the purpose of

generating jobs, especially for youth. National level

policy dialogue will serve as the foundation for these

interventions in recognition of its importance to improving

Colombia's global competitiveness, especially with regard to

market development, transparency, fiscal stability, trade

and investment policy, institutional reforms, and judicial

and commercial law reform.



G. Evaluation plan. USAID's vulnerable groups and IDP

programs are evaluated on a continuous basis. Quarterly

reports are issued and all programs are thoroughly reviewed

under USAID's annual report process and portfolio reviews,

which are conducted each year. Through this process actual

results are compared against performance indicator targets.

In addition, program results are reported in the embassy's

Mission Performance Plan (MPP).



A. Project title. Reincorporation to Civilian Life - $14.5

million.



B. Project description. With approved funding, USAID's

reincorporation support program will be able to expand

assistance to the GOC efforts to demobilize, disarm and

reincorporate back into civilian life thousands of illegal

armed group (IAG) members. Each of these IAGs has been

designated as a Foreign Terrorist Organization (FTO) under

the U.S. Patriot Act. The GOC reincorporation program

provides incentives such as job training and psycho-social

assistance for ex-combatants in exchange for verifiable

renunciation of membership in Colombian FTOs such as the

AUC(Autodefensas Unidas de Colombia/United Self-Defense

Forces of Colombia). The GOC has pledged over $85 million

resources for DR during 2004-2007, but additional resources,

along with USAID know-how that come with them, are needed to

assure the success of the program. Note: The specifics of



this program have not yet been fully designed, although

USAID has been supporting institutional/structural aspects

of the GOC's reincorporation efforts. The program funding

requested here involves direct material support to former

FTO members. This assistance is crucial to the success of

the reincorporation effort, but will only proceed if the USG

reaches a favorable policy decision in consultation with

Congress.



C. Resources requested. $14.5 million in ACI funding.



D. Resource justification. Colombia is now at a crucial

crossroads in its efforts to greatly diminish the negative

affects of narco-terrorism and establish itself as a

peaceful nation whose citizens may benefit from lasting

sustainable social and economic development. Recent events

and progress in the AUC demobilization and reincorporation

process represent a unique and remarkable opportunity for

both the GOC and the USG. With USG support, the GOC has the

chance to create a lasting peace in Colombia and stability

within the region through the dismantling of a FTO that has

been responsible for thousands of deaths and a sizable

proportion of the illicit drugs being exported to the U.S.

from Colombia. The Colombians want us to be a partner in

this endeavor. In Cartagena, President Bush gave President

Uribe his commitment to continue supporting GOC

efforts. Success in this endeavor will also tangibly

contribute to the Global War on Terrorism, arguably the

USG's overriding foreign policy priority.



In 2003, the Colombian High Commissioner for Peace (HCP) and

the AUC signed an accord that called for complete

demobilization of the AUC by December 31, 2005. To date,

4,820 individuals have been collectively demobilized and are

participating in the 18-24 month long reincorporation

process.



Congress provided Expanded Authorities that recognize in

Colombia that narcotrafficking and terrorism are

intertwined. The AUC has been deeply involved in both. In

one such demobilization, of then-AUC Commander Salvatore

Mancuso's Catatumbo Bloc, producing coca fields were

returned to State control, facilitating eradication. The HCP

is currently finalizing negotiations with the central

command of the AUC for the demobilization of an additional

15,000 terrorists by the end of 2005. The impact of this on

USG counter-narcotic and anti-terrorism objectives in

Colombia could be very significant.



The benefits from supporting a successful AUC

reincorporation process greatly out-weigh the risk or

consequences of a faulty or failed one. If the demobilized

return to a life of crime, violence and terrorism, then the

sharp drop in murders, massacres, and kidnapping during the

Uribe administration will stall, if not reverse. A reversal

in such security trends would seriously undermine President

Uribe and his Democratic Security Policy. In turn, such a

failure would damage Uribe's ability to continue to pursue

his aggressive fight against drugs and terror in Colombia.

Our strongest ally in Latin America would have suffered a

serious setback, directly affecting the prospects for

continued success in meeting critical USG foreign policy

interests in an increasingly unstable region.



If successful, the DR process with the AUC will also serve

as a confidence builder for future peace negotiations with

all IAGs and contribute to a further reduction in the human

rights violations and in the internal displacement of

populations resulting from the ongoing Colombian armed

conflict as well as drug production and trafficking. While

there are currently no official peace negotiations between

the GOC and the FARC guerrilla group, there are talks

underway between the HCP and another IAG, the ELN, and

Colombian officials are planning for the demobilization of

an additional 3,000 FTO combatants within the coming year.



E. Performance measurements: Current USAID support to the

reincorporation process includes an "Accompaniment,

Monitoring and Evaluation" system (SAME) which assesses the

degree of reinsertion into civilian life of each individual

in the program. This system will be used to measure program

performance.



F. Sustainability: The sustainability of the proposed

program will be measured by recidivism rates. SAME tracks

this on an individual basis. When an individual is

experiencing difficulty in the reincorporation process,

special attention will be given to correct the problem and

ensure sustainability of the investment in an individual's

return to civilian life. If on the other hand, an individual

returns to the ranks of a FTO, SAME will signal the need to

immediately halt any USG assistance to that person.



G. Evaluation plan: All of USAID's programs are evaluated

on a periodic basis. In this case the SAME mechanism will

be used. On-going USAID support to the reincorporation

process in the City of Medellin has recently been evaluated.



A. Project title. Program development and support - $7.4

million.



B. Project description. Provides administrative

management and logistical support for NAS counter-narcotics

and law enforcement projects. Funds provide salaries,

benefits and allowances of permanently assigned U.S. and

foreign national employees, TDY assistance, general

administrative and indirect operating expenses that cannot

be identified with a specific project. The NAS has

experienced significant growth with the creation of Plan

Colombia and the follow-on Andean Counter-drug Initiative.

Logistical and administrative support requirements have

increased consistent with program growth and expansion

around the country. The management unit operates as a de

facto ICASS service provider to support other agencies' law

enforcement program activity.



C. Resources requested. $7.4 million ACI funding



D. Resources justification. An aged fleet and high vehicle

maintenance costs support the need for additional vehicles

and a full complement of new computers to enhance

productivity of support staff. Increased travel is required

to support rapidly changing requirements for procurement and

logistical support to eradication and interdiction

activities. Increased ICASS service costs result from

workload counts associated with "provider services" to law

enforcement agencies. FSN salary increase and 5% "unique

conditions of work" allowance contribute significantly to

increased costs.



E. Performance measurements. The measure of performance is

the efficient administrative, financial and logistical

support provided to NAS field operations; more effective and

streamlined administrative procedures; maintenance of

appropriate funding levels and implementing effective

internal control procedures.



F. Sustainability. A review and analysis of

administrative operating procedures to standardize

administrative and logistical support processes; staff

development and training for a stable administrative

management staff; receipt of timely appropriate funding

levels needed to maintain buying power in a dynamic global

economic market.



G. Evaluation plan: Creation of documented standard

operating procedures (SOPs) for logistical and

administrative support procedures; improved understanding

and execution of job duties by staff; recognized improved

customer service by program staff; receipt of appropriate

funding levels.



WOOD