U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 

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99–012 2002

107th Congress, 2d Session – – – – – – – – – – – – House Document 107–262

REQUESTS FOR FY 2003 BUDGET AMENDMENTS

COMMUNICATION

FROM

THE PRESIDENT OF THE UNITED STATES

TRANSMITTING

HIS REQUESTS FOR FY 2003 BUDGET AMENDMENTS FOR THE DEPARTMENTS OF AGRICULTURE, ENERGY, INTERIOR, AND TRANSPORTATION; INTERNATIONAL ASSISTANCE PROGRAMS; AND THE 

NATIONAL CAPITAL PLANNING COMMISSION

SEPTEMBER 17, 2002.—Referred to the Committee on Appropriations and 

ordered to be printed 


E:\Seals\Congress.#13
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THE WHITE HOUSE, 

Washington, September 13, 2002. 

Hon. J. DENNIS HASTERT, 

Speaker of the House of Representatives, 

Washington, DC. 

DEAR MR. SPEAKER: I ask the Congress to consider the enclosed 

requests for FY 2003 budget amendments for the Departments of 

Agriculture, Energy, Interior, and Transportation; International 

Assistance Programs; and the National Capital Planning Commission. 

In total, these amendments would not affect the budgetary resources proposed in my FY 2003 Budget. 

The details of these requests are set forth in the enclosed letter 

from the Director of the Office of Management and Budget. I concur with his comments and observations. 

Sincerely, 

GEORGE W. BUSH. 

Enclosure. 

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[Estimate No. 24, 107th Cong., 2d Sess.] 

EXECUTIVE OFFICE OF THE PRESIDENT, 

OFFICE OF MANAGEMENT AND BUDGET, 

Washington, DC, September 12, 2002. 

The PRESIDENT, The White House. 

Submitted for your consideration are requests for FY 2003 budget amendments for the Departments of Agriculture, Energy, Interior (DOI), and Transportation; International Assistance Programs; 

and the National Capital Planning Commission. The proposals contained in this transmittal would not affect the budgetary resources 

contained in your FY 2003 Budget. 

As described below and in more detail in the enclosures, the requests include the following: 

Department of Agriculture 

• $60 million is proposed for salary and expense costs of the 

Farm Service Agency for administering and implementing programs established under P.L. 107–171, the Farm Security and 

Rural Investment Act of 2002. This increase is fully offset by a $45 

million reduction to the Small Watershed Rehabilitation Program 

and a $15 million reduction to the Rural Strategic Investment Program. This proposal is necessary to reflect the increased costs of 

administering and implementing the programs in P.L. 107–171 not 

anticipated in the FY 2003 Budget. 

Department of Energy 

• $10 million is proposed in the Energy Conservation account, 

fully offset by a corresponding reduction in the Fossil Energy Research and Development account. This proposal would establish a 

competitive solicitation program in support of your National Climate Change Technology Initiative (NCCTI). In total, the proposal 

would provide $20 million for the NCCTI program funded by $10 

million from the Fossil Energy Research and Development account, 

and an additional $10 million redirected from the Industry Sector 

program within the Energy Conservation account. 

Department of Transportation 

• Language is proposed to provide $5 million for the Federal 

Highway Administration from the Transportation Infrastructure 

Finance and Innovation program to conduct a study, including necessary planning and environmental reviews and engineering designs, to examine the impact of the Pennsylvania Avenue and E 

Street closures to traffic in the vicinity of the White House and to 

develop transportation alternatives to alleviate congestion in that 

area. 

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• Language is proposed to allow the Secretary of Transportation 

flexibility to fund the appropriate mix of transportation projects for 

the Borough of Manhattan in response to the September 11, 2001, 

terrorist attacks. 

International Assistance Programs 

• Language is proposed to allow the Administration to complete 

modification of loans and guarantees for Pakistan and Jordan. • Language is also proposed to provide authorization to implement a new, no subsidy-cost Foreign Military Financing 15-year 

loan to the government of Poland for the purchase of 48 F–16 aircraft, weapons, and related logistics support. As a member of 

NATO, Poland is an essential component in our effort to strengthen 

the Trans-Atlantic Alliance and promote a robust round of enlargement at the NATO summit in Prague. 

The National Capital Planning Commission/DOI 

• $6.1 million is proposed for the National Capital Planning 

Commission for expenses related to the planning, design and initial 

construction activities of the project at Pennsylvania Avenue in 

front of the White House. The proposed amendment would provide 

$2.8 million to the Commission to complete the design of Pennsylvania Avenue in front of the White House, as proposed in the Commission’s Urban Design and Security Plan. The amendment would also provide $0.8 million for structural testing of streetscape components and $2.5 million for initial surveying and utility relocation. 

These last two activities would not be conducted by the National 

Capital Planning Commission, but the funds would be transferred 

to the Federal Highway Administration, which will be the construction manager for the project. • To offset the $6.1 million described above, reductions are proposed in three accounts within the DOI that are projected to have 

amounts of unobligated funds carried into FY 2003. These reductions would not affect program goals or objectives in these agencies. 

I have carefully reviewed these proposals and am satisfied that 

they are necessary at this time. Therefore, I join the heads of the 

affected Departments and agencies in recommending that you 

transmit the amendments to the Congress. 

Sincerely, 

MITCHELL E. DANIELS, Jr., 

Director. 

Enclosures.

DEPARTMENT OF AGRICULTURE 

FARM SERVICE AGENCY

SALARIES AND EXPENSES

FY 2003 Budget Appendix Page: 102

FY 2003 Pending Request: $1,062,712,000

Proposed Amendment: $60,000,000

Revised Request: $1,122,712,000

This request would provide an additional $60 million in funds for 

salary and expense costs of the Farm Service Agency for adminVerDate Sep 04 2002 19:52 Sep 20, 2002 Jkt 099010 PO 00000 Frm 00006 Fmt 6601 Sfmt 6602 E:\HR\OC\HD262.XXX HD262
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istering and implementing programs established under the Farm 

Security and Rural Investment Act of 2002 (the ‘‘Farm Bill’’). This 

increase is fully offset by reductions to the Small Watershed Rehabilitation Program and the Rural Strategic Investment Program, as 

proposed in an accompanying budget amendment. 

This proposal is necessary to reflect the increased costs of administering and implementing the Farm Bill programs not anticipated 

in the FY 2003 Budget. This additional funding would ensure that 

programs are delivered to customers in a timely and efficient fashion. 

This proposal would increase FY 2003 outlays by $54 million. 

DEPARTMENT OF AGRICULTURE 

TITLE VII—GENERAL PROVISIONS 

FY 2003 Budget Appendix Page: 195–201

FY 2003 Pending Request: —

Proposed Amendment: Language 

Revised Request: —

(In the appropriations language under the above heading, insert 

after Sec. 722 the following new provisions:)

SEC. 723. Funds provided under subsection (h)(1)(A) of section 14 

of the Watershed Protection and Flood Protection Act (16 U.S.C. 

1012), as amended, are hereby cancelled. 

SEC. 724. Section 385E of the Consolidated Farm and Rural Development Act (7 U.S.C. et seq.), as amended, is further amended—

(1) in subsection (a), by striking ‘‘$100,000,000’’ and inserting 

‘‘$85,000,000’’; and 

(2) in subsection (b)(2), by striking ‘‘$87,000,000’’ and inserting ‘‘$72,000,000’’. 

SEC. 723 would cancel $45 million in FY 2003 mandatory funding 

for the Natural Resources Conservation Service for the Small Watershed Rehabilitation Program. In an accompanying proposal, the 

$45 million would be reallocated to the Farm Service Agency. 

SEC. 724 would reduce funding made available by the Farm Security and Rural Investment Act of 2002 for the Rural Strategic Investment Program by $15 million. In an accompanying proposal, 

the $15 million would also be reallocated to the Farm Service 

Agency. 

Taken together, these amendments would decrease FY 2003 outlays by $32 million. 

DEPARTMENT OF ENERGY 

ENERGY PROGRAMS

FOSSIL ENERGY RESEARCH AND DEVELOPMENT

FY 2003 Budget Appendix Page: 400

FY 2003 Pending Request: $534,155,000

Proposed Amendment: ¥$10,000,000

Revised Request: $524,155,000

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This proposal would reduce the pending request for the Fossil 

Energy Research and Development account for the Sequestration 

(R&D) program by $10 million. In an accompanying proposal, the 

$10 million would be provided to the Energy Conservation account, 

to support the Administration’s National Climate Change Technology Initiative competitive solicitation program. This program 

would fund R&D projects to explore novel technologies or technical 

approaches that could contribute in significant ways to future reductions or avoidances of so-called ‘‘greenhouse gas’’ emissions, 

and/or their capture and sequestration (permanent storage). 

This proposal would not impact the current Sequestration R&D program. Even with the $10 million reduction, the growth in the 

program’s budget request would be 37 percent over the FY 2002 

level. 

This amendment would decrease outlays in this account by $4 

million. 

DEPARTMENT OF ENERGY 

ENERGY PROGRAMS

ENERGY CONSERVATION

FY 2003 Budget Appendix Page: 402

FY 2003 Pending Request: $904,304,000

Proposed Amendment: $10,000,000

Revised Request: $914,304,000

(In the appropriations language under the above heading, delete ‘‘$904,304,000’’ and substitute $914,304,000; and insert the following before the colon after ‘‘until expended’’, of which $20,000,000 shall be used to support research and development contracts on technological approaches to reduce, avoid, or capture 

greenhouse gas emissions, to be awarded pursuant to competitive solicitations.) 

This proposal would provide $10 million to the Energy Conservation account to establish a competitive solicitation program in support of the President’s National Climate Change Technology Initiative (NCCTI). The proposal would also redirect $10 million in this 

account from Industry Sector activities ($8 million from the Industries of the Future (Specific) subprogram and $2 million from the 

Cooperative Programs with States subprogram) to provide a total 

of $20 million for the NCCTI competitive solicitation program. 

The competitive solicitation is intended to complement and enrich the existing research and development portfolio and help ensure that all possible technology options are explored. Projects 

funded by the NCCTI competitive solicitation program would be 

consistent with projects typically supported by the Department’s 

Energy Conservation account (e.g., a new approach to increasing 

the energy efficiency of a common industrial process), Energy Supply account (e.g., a renewable energy or nuclear energy project), or 

the Fossil Energy account (e.g., a new approach to sequestering 

carbon emissions from power plants). The NCCTI competitive 

solicition program would require these diverse types of projects to 

compete for funding based on their potential to reduce, avoid, or 

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capture greenhouse gas emissions, which would foster novel concepts to address climate change that may not comport with established research and development program plans. 

The competitive solicitation program would be administered by 

the Office of Energy Efficiency and Renewable Energy. The Department would make competitive awards based on the recommendations of the NCCTI Interagency Working Group, who would seek 

external peer evaluation of proposals for advice on project selection. 

The increase of $10 million in budget authority would be offset 

by a corresponding decrease in the Fossil Energy Research and Development account, as proposed in an accompanying budget amendment. 

This amendment would increase FY 2003 outlays in this account 

by $3 million. 

DEPARTMENT OF THE INTERIOR 

FISH AND WILDLIFE SERVICE

COOPERATIVE ENDANGERED SPECIES CONSERVATION FUND

FY 2003 Budget Appendix Page: 563

FY 2003 Pending Request: $91,000,000

Proposed Amendment: ¥$2,100,000

Revised Request: $88,900,000

This proposal would reduce the pending request for the Fish and 

Wildlife Service’s Cooperative Endangered Species Conservation 

Fund by $2.1 million. The account is projecting over $100 million 

in unobligated balances to be carried over from FY 2002 to FY 

2003. The proposed reduction would not affect program goals or objectives. 

This amendment would not affect FY 2003 outlays. 

DEPARTMENT OF THE INTERIOR 

NATIONAL PARK SERVICE

CONSTRUCTION AND MAJOR MAINTENANCE

FY 2003 Budget Appendix Page: 572

FY 2003 Pending Request: $323,901,000

Proposed Amendment: ¥$2,000,000

Revised Request: $321,901,000

This proposal would reduce the pending request for the National 

Park Service’s Construction and Major Maintenance account by 

$2.0 million. This amount would be derived from the $12.5 million 

requested for the employee housing replacement program, which is 

expected to carry over $20 million in unobligated balances from FY 

2002 into FY 2003. The reduction would not affect program goals 

or objectives. 

This amendment would not affect FY 2003 outlays. 

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DEPARTMENT OF THE INTERIOR 

BUREAU OF INDIAN AFFAIRS

OPERATION OF INDIAN PROGRAMS

FY 2003 Budget Appendix Page: 579

FY 2003 Pending Request: $1,858,986,000

Proposed Amendment: ¥$2,000,000

Revised Request: $1,856,986,000

This proposal would reduce the pending request for the Bureau 

of Indian Affair’s (BIA’s) Operations of Indian Programs (OIP) account by $2.0 million. OIP funds most of BIA’s non-construction activities, including education, social welfare, and natural resource 

management. The account received $1.8 billion in FY 2002, of 

which $436 million is forward funding for the school year beginning 

in September 2002. The Department of the Interior estimates that 

this account will carry over significant non-education unobligated 

balances from FY 2002 into FY 2003. This reduction would not affect program goals or objectives. 

This amendment would not affect FY 2003 outlays. 

DEPARTMENT OF TRANSPORTATION 

FEDERAL HIGHWAY ADMINISTRATION

FEDERAL-AID HIGHWAYS

FY 2003 Budget Appendix Page: 744–745

FY 2003 Pending Request: —

Proposed Amendment: $5,000,000

Revised Request: —

(In the appropriations language under the above heading, insert 

the following before the period at the end:)

: Provided further, That from the funds available pursuant to section 188 of title 23, U.S.C., $5,000,000 shall be available until expended to conduct transportation planning studies environmental 

studies, and engineering design to alleviate congestion resulting 

from street closures in the District of Columbia in the vicinity of the 

White House. 

This proposal would provide $5 million for the Federal Highway 

Administration from the Transportation Infrastructure Finance 

and Innovation program to conduct a study, including necessary 

planning and environmental reviews and engineering designs, to 

examine the impact of the Pennsylvania Avenue and E Street closures to traffic in the vicinity of the White House and to develop 

transportation alternatives to alleviate congestion in that area. The 

study would examine the alternatives of constructing a tunnel 

under E Street and/or Pennsylvania Avenue; transit options, including a mass transit ‘‘connector’’; and traffic management options 

related to the street closures due to increased security concerns. 

This amendment would not affect FY 2003 outlays. 

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DEPARTMENT OF TRANSPORTATION 

TITLE III—GENERAL PROVISIONS 

FY 2003 Budget Appendix Page: 787–794

FY 2003 Pending Request: —

Proposed Amendment: Language 

Revised Request: —

(In the appropriations language under the above heading, insert 

after Sec. 225 the following new section:)

SEC. 336. From funds made available under the heading, ‘‘Capital Investment Grants,’’ Federal Transit Administration, in Public 

Law 107–206, the Secretary of Transportation is authorized to 

transfer such sums as may be necessary to ‘‘Federal-aid Highways,’’

Federal Highway Administration, for surface transportation projects 

serving the Borough of Manhattan, eligible under section 133(b) of 

title 23, United States Code: Provided, That the Federal share for 

any such project shall be 100 percent: Provided further, That these 

projects must be developed and selected in accordance with the comprehensive transit and public transportation plan adopted by the locally designated planning and decision-making body.

This proposal would allow the Secretary of Transportation flexibility to fund the approximate mix of transportation projects for the 

Borough of Manhattan in response to the September 11, 2001, terrorist attacks. The transportation system, including transit and 

roads, were badly damaged by the attacks. As local planning agencies and transportation providers continue to refine the rebuilding 

plan for lower Manhattan, several transportation projects may require different funding levels. This amendment would allow the 

Secretary to alter the funding mix among eligible highway and 

transit projects. 

This amendment would not affect FY 2003 outlays. 

INTERNATIONAL ASSISTANCE PROGRAMS 

INTERNATIONAL SECURITY ASSISTANCE

ECONOMIC SUPPORT FUND

FY 2003 Budget Appendix Page: 963

FY 2003 Pending Request: $2,490,000,000

Proposed Amendment: Language 

Revised Request: $2,490,000,000

(In the appropriations language under the above heading, after 

the phrase, ‘‘: Provided, That’’, insert the following:)

not to exceed $200,000,000 of the funds appropriated under this 

heading in this Act for foreign operations, export financing, and related programs, may be made available for the cost, as defined in 

section 502 of the Congressional Budget Act of 1974, of modifying 

direct loans and guarantees for Pakistan: Provided further, That 

not to exceed $15,000,000 of the funds appropriated under this 

heading in P.L. 107–206, the Supplemental Appropriations Act for 

Further Recovery From and Response To Terrorist Attacks on the 

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United States, FY 2002, may be made available for the cost, as defined in section 502 of the Congressional Budget Act of 1974, of 

modifying direct loans and guarantees for Jordan: Provided further, 

That.

This proposal would allow the Administration to complete modification of loans and guarantees for Pakistan and Jordan, consistent with the President’s commitment to provide assistance to 

these countries. 

This amendment would not affect FY 2003 outlays. 

INTERNATIONAL ASSISTANCE PROGRAMS 

INTERNATIONAL SECURITY ASSISTANCE

FOREIGN MILITARY FINANCING PROGRAM

FY 2003 Budget Appendix Page: 964–965

FY 2003 Pending Request: $4,107,200,000

Proposed Amendment: Language 

Revised Request: $4,107,200,000

(In the appropriations language under the above heading, insert 

the following new paragraph after the first paragraph:)

During fiscal year 2003, direct loans under section 23 of the Arms 

Export Control Act may be made available for Poland, gross obligations for the principal amounts of which shall not exceed 

$3,800,000,000: Provided, That such loan shall be repaid in not 

more than fifteen years, including a grace period of up to eight 

years on repayment of principal: Provided further, That no funds 

are available for the subsidy costs of these loans: Provided further, 

That the Government of Poland shall pay the full cost, as defined 

in section 502 of the Federal Credit Reform Act of 1990, as amended, associated with the loans, including the cost of any defaults: 

Provided further, That any fees associated with these loans shall be 

paid by the Government of Poland prior to any disbursement of loan 

proceeds: Provided further, That no funds made available to Poland 

under this or any other Act may be used for payment of any fees 

associated with these loans. 

This proposal would provide appropriate legislative authorization to implement a new, no subsidy-cost $3.8 billion Foreign Military 

Financing (FMF) 15-year loan to the government of Poland for the 

purchase of 48 F–16 aircraft, weapons, and related logistics support. The FMF loan financing is essential to ensure that Poland is 

able to purchase the combat-proven F–16 aircraft, rather than European competitors. Poland’s acquisition of the F–16 would greatly 

improve the interoperability of its air force with NATO and the 

U.S., an important objective of the United States for Central Europe. The F–16 acquisition would also promote stronger strategic 

ties between our militaries and our aircraft industries. As a valued 

partner in NATO, Poland is essential to our efforts to strengthen 

the Trans-Atlantic Alliance and promote a robust round of enlargement at the NATO summit in Prague. 

Under the proposal, the government of Poland would assume all 

the costs or fees associated with the loan, including any associated 

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with non-payment exposure risks. Thus, there will be no U.S. subsidy costs, and this request entails no new appropriations. 

This amendment would not affect FY 2003 outlays. 

NATIONAL CAPITAL PLANNING COMMISSION 

PENNSYLVANIA AVENUE RESTORATION FUND

FY 2003 Budget Appendix Page: 1148

FY 2003 Pending Request: —

Proposed Amendment: $6,100,000

Revised Request: $6,000,000

(Insert the above heading and the appropriations language that 

follows immediately after the material under the heading ‘‘Salaries 

and Expenses’’:)

For planning and design activities and initiation of construction 

of the project at Pennsylvania Avenue in front of the White House, 

as proposed in the National Capital Planning Commission’s Urban 

Design and Security Plan, $6,100,000, to remain available until 

September 30, 2005, of which $2,800,000 is for planning and design 

of the project: Provided, That $3,300,000 shall be transferred to 

‘‘Federal-aid Highways,’’ Federal Highway Administration, to conduct structural testing of streetscape components and initial surveying and utility relocation for the project. 

This proposal would provide $6.1 million for the National Capital 

Planning Commission for expenses related to the planning, design 

and initial construction activities of the project at Pennsylvania Avenue in front of the White House. The proposed amendment would 

provide $2.8 million to the Commission to complete the design of 

Pennsylvania Avenue in front of the White House as proposed in 

the Commission’s Urban Design and Security Plan. The proposal 

would also provide $800,000 for structural testing of streetscape 

components and $2.5 million for initial surveying and utility relocation. These last two activities would not be conducted by the National Capital Planning Commission, but would be transferred to 

the Federal Highway Administration, which will be the construction manager for the project. 

The proposed increase in budget authority would be offset by corresponding decreases in the Bureau of Indian Affairs’ Operations 

of Indian Programs account, the Fish and Wildlife Service’s Cooperative Endangered Species Fund account, and the National Park 

Service’s Construction account, as proposed in accompanying budget amendments. 

This amendment would increase FY 2003 outlays by $3.7 million.

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