FY 2008 SUPPLEMENTAL AND FY 2009 BRIDGE SUPPLEMENTAL

UNCLAS STATE 072081 FROM HENRIETTA FORE, DIRECTOR OF U.S. FOREIGN ASSISTANCE E.O. 12958: N/A TAGS: ABUD EAID PREL KSPR SUBJECT: FY 2008 SUPPLEMENTAL AND FY 2009 BRIDGE SUPPLEMENTAL SIGNED INTO LAW AND PATRICK KENNEDY, UNDERSECRETARY OF MANAGEMENT TO ALL COMS, USAI MISSION DIRECTORS, AND AGENCY HEADS ¶1. On June 30, the President signed the Supplemental Appropriations Act, 2008 (Public Law 110-252). This legislation contains funding critical to USAID and Department of State operations and foreign assistance programming. The bill represents strong support for Administration priorities such as the Merida Initiative, funding for the food crisis, humanitaria assistance, as well as for key bilateral assistance programs around the world. ¶2. FY 2008 funding is available immediately, subject to congressional notification. FY 2009 bridge funding was provide in anticipation of entering the new fiscal year under a continuing resolution (CR). FY 2009 bridge funding becomes available October 1, 2008 but a spending plan is required prior to the initial obligation of funds. ¶3. For Foreign Operations and P.L. 480, in FY 2008 the Act provides $4.158 billion, $989.5 million above the request. For FY 2009, the Act provides $3.040 billion, $161 million above the request. ¶4. Some specific highlights of the Foreign Operations legislation are: * Although below the request, critical funding for foreign assistance programs in Iraq, Afghanistan, Pakistan, West Bank Gaza and Lebanon was provided. $15 million was provided for additional expenses related to North Korea Phase II commitments. * Additional funds were provided for Jordan and Israel above the President's request. Congress also provided bilateral assistance funding for Nepal, the Philippines, Sri Lanka, Thailand, Vietnam, Bangladesh, and Burma. Funding for Avian Influenza and the Comprehensive Test Ban Treaty International Monitoring System was also provided. * Foreign assistance programs in Africa received strong support in the bill. Funding is provided over FY 2008 and FY 2009 for Sudan, Somalia, Kenya, the Democratic Republic of Congo, Zimbabwe, Chad, the Central African Republic, and Uganda. * Assistance for Merida was provided at $417 million for FY 2008 and $48 million for FY 2009 (Mexico received a total of $400 million and Central America received $65 million). * Assistance for addressing the food crisis was provided at $1.445 billion over FY 2008 and FY 2009, $1.245 million in Pp 480 and $200 million in Development Assistance. In addition $420 million is provided in International Disaster Assistance in FY 2008 and FY 2009, some of which should be used for countries severely affected by the international food crisis. * Assistance for refugees was provided at $696 million. * USAID's Operating Expenses received $243.5 million some of which is to be used for the Development Leadership Initiativ( and for the Civilian Stabilization Initiative. ¶5. For State Operations, in FY 2008, the Act provides $1.992 billion, $420 million below the request. In FY 2009, the act provides $1.029 billion, $92.6 million below the request. The reductions were primarily against the Department's request for diplomatic operations in Iraq. ¶6. Some specific highlights of the State Operations legislation are: * Congress provided limited relief from exchange rate losses ($26 million) for FY 2008 with authority to transfer additional funds in future fiscal years - this revised authority has been a high priority with the Department for several years. * In acknowledgement of the Department's request for additional positions in FY 2009, Congress provided $55.0 million in FY 2008 supplemental funding for the civilian workforce initiative; ($30.0 million for civilian post-conflict stabilization capacity and $25.0 million for diplomatic capacity). An additional $40.0 million was provided for diplomatic capacity in the FY 2009 bridge funding. * The bill contains a total of $210.4 million for world wide security protection (WSP) in FY 2008 and $78.4 million in FY 2009. The funding for FY 2008 is $48.0 million above the request and is designated in the report to restore 100 diplomatic security (DS) positions that were redirected to Iraq from elsewhere in the world. * A combined total of $118.0 million in supplemental funding was provided for construction projects in Kabul Afghanistan to address housing and office space requirements. * Additionally, Congress increased funding for Contributions to International Organizations and Contributions for International Peacekeeping Activities by a combined total of $203.6 million over the requested level. ¶7. The full text of the bill and report can be found at: http://thomas.loc.gov/cgi-bin/query/C?cllO:./ temp/-cllOTEHOJ9 ¶8. Minimize considered. RICE