**[Congressional Submission]{.underline}**

**FOREIGN CLAIMS SETTLEMENT COMMISSION**

**U.S. Department of Justice**

**FY 2008 PERFORMANCE BUDGET**

# Table of Contents

Page No.

**I. Overview** 1

**II. Summary of Program Changes** NA

III\. Appropriations Language and Analysis of Appropriations Language 3

IV\. Decision Unit Justification

A. Foreign Claims

1\. Program Description 4

2\. Performance Tables 6

3\. Performance, Resources, and Strategies 8

V.
Exhibits....................................................................................
9

A.  Organizational Chart

B.  Summary of Requirements

C.  Program Increases by Decision Unit NA

> D. Resources by DOJ Strategic Goal/Objective

E.  Justification for Base Adjustments

F.  Crosswalk of 2006 Availability

G.  Crosswalk of 2007 Availability NA

H.  Summary of Reimbursable Resources NA

I.  Detail of Permanent Positions by Category

J.  Financial Analysis of Program Increases/Offsets NA

K.  Summary of Requirements by Grade

L.  Summary of Requirements by Object Class

> M. Status of Congressionally Requested Studies, Reports, and
> Evaluations NA

**I. Overview for the Foreign Claims Settlement Commission**

The principal mission of the Foreign Claims Settlement Commission is to
adjudicate claims of U.S. nationals against foreign governments,
exercising jurisdiction conferred by the International Claims Settlement
Act of 1949, as amended, and other authorizing legislation. The
Commission is requesting a total of 11 permanent positions, 11 FTE, and
\$1,709,000 for FY 2008.

Beginning in FY 2007, electronic copies of the Department of Justice's
congressional budget justifications and Capital Asset Plan and Business
Case exhibits can be viewed or downloaded from the Internet using the
Internet address: <http://www.usdoj.gov/jmd/2008justification/>.

This request represents an increase of \$292,000 above the FY 2007
estimated level of \$1,417,000. This will enable the Commission to
continue evaluating American claims against foreign governments under
current claims programs as well as maintaining the records of past
claims programs, and continue building and modernizing both current and
past claims programs by creating and updating databases.

To date, the Commission has compiled and administered 45 international
and war-related claims programs involving claims against 18 countries:
Yugoslavia, Panama, Bulgaria, Hungary, Romania, Italy, the former Soviet
Union, the former Czechoslovakia, Poland, Cuba, China, the former German
Democratic Republic, Vietnam, Ethiopia, Egypt, Iran, Albania, and the
Federal Republic of Germany.

The Commission consists of a Chairman and two part‑time Commissioners,
who are appointed by the President with the advice and consent of the
Senate. The part‑time Commissioners receive compensation at the
Executive Level V rate of pay for performance of official business of
the Commission at the direction of the Chairman.

The operating expenses of the Commission ultimately are borne only
partially, if at all, by the taxpayer. In virtually all instances, the
legislation authorizing the adjudication of claims has provided for
deduction of a percentage of the funds obtained from foreign governments
for payment of the Commission\'s awards to the credit of miscellaneous
receipts in the United States Treasury to defray the administrative
expenses of conducting the claims programs.

The Commission has not been selected for review under the Program
Assessment Rating Tool (PART) process.

2\. Issues, Outcomes, and Strategies

In 2008, the Commission will continue to have authority under the
International Claims Settlement Act of 1949, as amended, and the 1995
U.S.-Albanian claims settlement agreement, to make awards in any
additional claims against Albania that are filed. In addition, the
Commission will continue to reopen and reconsider claims it had
previously denied, taking into account the modification of the claims
agreement effected in 2006.

The Commission will also research and respond to requests for
information concerning properties expropriated by the Castro regime in
Cuba, in support of the Department of State's continuing implementation
of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996
(the \"Helms‑Burton Act\"). In this regard, the Commission is continuing
to maintain and update a computerized database of some 18,000 records
containing the specifics on all of the claims adjudicated in its Cuban
Claims Program. This now enables the Commission to respond much more
quickly and accurately to the State Department's information requests.

The Commission will continue to engage in preliminary planning for a
possible future program involving claims against Iraq. The Commission
also will provide, upon request, technical assistance to the Department
of State in conducting government‑to‑government claims settlement
negotiations. Under the War Claims Act of 1948, as amended, the
Commission will continue to have authority to award compensation to any
previously uncompensated American servicemen held as prisoners of war in
Southeast Asia during the Vietnam conflict, or their survivors, for
inadequate rations and inhumane treatment while in captivity.

In addition, the Commission will continue to furnish information
contained in the records pertaining to the 45 completed international
and war‑related claims programs it has conducted, as requested by
claimants, their heirs, attorneys, researchers, and other members of the
public. Upon request, it will also provide other U.S. agencies advice on
policy determinations, preliminary planning, evaluation of pending
claims legislation, and liaison with Congressional committees
considering legislation intended to provide for adjudication of
additional types or classes of claims.

3\. Challenges

External Challenges

The Commission's external challenges include a workload that is dictated
mostly by current and future claims programs enacted by Congress or
requested by the Department of State and by the number of claims filed.
Its challenges are to assist U.S. nationals in filing and documenting
their claims, and understanding the Commission's claims process, and to
respond efficiently to all inquiries by the public, Congress, and other
federal agencies about current and past programs.

Internal Challenges

The internal challenges the Commission faces include focusing the
skills, expertise, and experience of its staff to assist U.S. nationals
with claims against foreign governments as well as to provide technical
assistance in this area to the Department of State and other federal
entities upon request, while at the same time continuing its
modernization effort by improving and updating the information of its
databases and its Web page.

4\. Performance Challenges

The Commission is an independent agency, yet its budget is fully
integrated with its own priorities and corresponds best to the
Department's Strategic Goal 2: Enforce Federal Laws and Represent the
Rights and Interests of the American People.

**5. Performance of Commercial Activities**

The Commission has not completed and does not have an A-76 commercial
activities study underway.

**III. Appropriation Language and Analysis of Appropriation Language**

**Appropriation Language**

The 2008 budget estimates include proposed changes in the appropriation
language listed below. New language is italicized and underlined, and
language proposed for deletion is bracketed.

SALARIES AND EXPENSES, FOREIGN CLAIMS SETTLEMENT COMMISSION

*[For expenses necessary to carry out the activities of the Foreign
Claims Settlement Commission, including services as authorized by 5
U.S.C. 3109, \$1,709,000]{.underline}*.[^1]

**Analysis of Appropriation Language**

No substantive changes are proposed.

**IV. Decision Unit Justification**

**A. Foreign Claims**

  ---------------------------------- ---------- ---------- ---------------
  Foreign Claims TOTAL               Perm. Pos. FTE        Amount

  2006 Enacted with Rescissions      11         11         \$1,303

  2007 Estimate                      11         11         1,417

  Adjustments to Base and Technical                        292
  Adjustments                                              

  2008 Current Services              11         11         1,709

  2008 Program Increases                                   \-

  2008 Offsets                                             \-

  2008 Request                       11         11         1,709

  Total Change 2007-2008             \-         \-         292
  ---------------------------------- ---------- ---------- ---------------

1\. Program Description

The Commission has a single Decision Unit, and its mission is Number
range CHAPTERto protect the property rights of U.S. citizens abroad and
promote the international rule of law through adjudication of claims by
United States citizens against foreign governments.

The Commission pursues the following organizational goals:

-   To adjudicate claims and award compensation to any previously
    uncompensated U.S. claimants for property losses in Albania, to
    conduct outreach to inform American citizens who were unaware of its
    Albanian claims program, and to research and interpret Albanian
    property and inheritance law.

-   Number range CHAPTERTo research and respond to requests for
    information concerning decisions in the Commission's first Cuban
    Claims Program (conducted from 1965-72), in aid of the Department of
    State's continuing implementation of the Cuban Liberty and
    Democratic Solidarity (LIBERTAD) Act of 1996 (the "Helms-Burton
    Act").

-   To prepare to adjudicate the outstanding claims of U.S. nationals
    against the Government of Iraq, upon enactment of authorizing
    legislation or referral to the Commission by the Secretary of State.

-   Upon request, to assist the Department of State in negotiations for
    the settlement of claims against foreign governments, including, in
    particular, U.S. claims against Russia and the other original
    constituent republics of the former Soviet Union, which were
    adjudicated under Public Law 285, 84th Congress.

-   To award compensation to any previously uncompensated American POWs
    held in Southeast Asia during the Vietnam conflict, or their
    survivors, for inadequate rations and inhumane treatment while in
    captivity, and to conduct outreach to make known the existence of
    the POW compensation program to persons previously unaware of it.

-   To advise other agencies and Congress concerning potential future
    claims programs and to analyze and comment on pending legislation.

-   To advise other agencies on policy determinations relating to the
    settlement of international claims.

-   To assist the Department of the Treasury in making distributions on
    past awards certified by the Commission.

-   To provide executive departments and private attorneys with legal
    precedents issued by the Commission.

-   To provide general information concerning past programs and to
    respond to requests about specific decisions the Commission has made
    on past claims.

-   To maintain and continuously update a comprehensive database of
    pending and active claims programs to ensure it is accurate and
    useful to the public and other U.S. agencies.

-   To maintain a Commission Web site that explains claims programs,
    with downloadable claims program instructions and claim forms as
    well as statistical information on past programs, general
    information on the Commission and how to contact the staff with
    questions.

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**3. Performance, Resources, and Strategies**

The Commission is an independent agency, yet its budget is fully
integrated with its own priorities and corresponds best to the
Department's Strategic Goal 2: Enforce Federal Laws and Represent the
Rights and Interests of the American People.

**a. Performance Plan and Report for Outcomes**

The Commission's activities are not presented in the Department's
performance plans or reports. However, Number range CHAPTERin addition
to its principal function of adjudicating United States nationals\'
claims against foreign governments, the Commission provides continuing
informational services to claimants (and, where applicable, their legal
successors) with regard to the 45 completed international and war claims
programs it has conducted. It also provides advice to other Federal
agencies on policy determinations, preliminary planning, and evaluation
of proposed legislation intended to authorize adjudication of claims of
new categories of claimants, and liaison with congressional committees
considering such legislation.

**b. Strategies to Accomplish Outcomes**

In 2008, under the International Claims Settlement Act of 1949, as
amended, and the 1995 U.S.-Albanian claims settlement agreement, the
Commission will continue to have authority to make awards in any
additional claims against Albania that may be filed.

The Commission will also research and respond to requests for
information concerning properties expropriated by the Castro regime in
Cuba, in support of the Department of State's continuing implementation
of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996
(the "Helms-Burton Act"). In addition, the Commission will continue to
engage in preliminary planning for a program involving claims against
Iraq. The Commission also will provide, upon request, technical
assistance to the Department of State in conducting
government-to-government claims settlement negotiations.

Under the War Claims Act of 1948, as amended, the Commission will
continue to have authority to award compensation to any previously
uncompensated American servicemen held as prisoners of war in Southeast
Asia during the Vietnam conflict, or their survivors, for inadequate
rations and inhumane treatment while in captivity.

**c. Results of Program Assessment Rating Tool (PART) Reviews**

The Commission has not been selected for review under the Program
Assessment Rating Tool (PART) process.

**V. EXHIBITS**

[^1]: The FY 2008 President's Budget uses the FY 2007 President's Budget
    language as a base so all language is presented as new.