```

[House Document 108-44]
[From the U.S. Government Publishing Office]

                                     

108th Congress, 1st Session - - - - - - - - - - - - - House Document 108-44

 
    REQUEST FOR THE CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

                               __________

                             COMMUNICATION

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              TRANSMITTING

    A REQUEST FOR THE CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

March 5, 2003.--Referred to the Committee on Appropriations and ordered 
                             to be printed
                                           The White House,
                                         Washington, March 4, 2003.
Hon. J. Dennis Hastert,
Speaker of the House of Representatives, Washington, DC.
    Dear Mr. Speaker: I ask the Congress to consider the 
enclosed request for the Corporation for National and Community 
Service (CNCS). The request is needed to liquidate legitimate 
prior-year obligations for eligible participants in the 
AmeriCorps program, to complete the implementation of a 
comprehensive corrective action plan developed by CNCS to 
strengthen financial management, and to provide flexibility to 
support more than 50,000 AmeriCorps members in FY 2003. This 
request will not increase my FY 2004 request.
    The details of this request 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.
                [Estimate No. 3, 108th Cong., 1st Sess.]

                 Executive Office of the President,
                           Office of Management and Budget,
                                     Washington, DC, March 4, 2003.
The President,
The White House.
    Submitted for your consideration is a request for the 
Corporation for National and Community Service (CNCS). In 
total, this proposal would not affect FY 2003 budget authority 
or your FY 2004 request.
    This request for CNCS would provide an additional $64 
million to liquidate obligations incurred in previous years; 
authority for the Chief Executive Officer (CEO) of CNCS to 
transfer up to $50 million to the National Service Trust; and 
the flexibility to support more than 50,000 new members in FY 
2003. The $64 million requested is necessary to liquidate 
legitimate prior-year obligations for eligible participants in 
the AmeriCorps program and to address this longstanding 
problem.
    I have carefully reviewed this proposal and am satisfied 
that it is necessary at this time. Therefore, I join the CEO of 
CNCS in recommending that you transmit the proposal to the 
Congress.
            Sincerely,
                                  Mitchell E. Daniels, Jr.,
                                                          Director.
    Enclosure.

             Corporation for National and Community Service

       NATIONAL AND COMMUNITY SERVICE PROGRAMS OPERATING EXPENSES

    To liquidate obligations previously incurred, $64,000,000 
is provided to the National Service Trust: Provided, That in 
addition to amounts otherwise transferred to the National 
Service Trust under this heading, the Chief Executive Officer 
may transfer up to $50,000,000, to remain available until 
expended, to the Trust from funds provided under this heading, 
upon his determination that such a transfer is necessary to 
support the current or prior year activities of national 
service participants and after notice is transmitted to 
Congress: Provided further, That the first proviso under this 
heading in Public Law 108-7 is repealed.
    This request would provide $64 million to liquidate 
obligations incurred in previous years. In addition, the 
request would provide the Corporation for National and 
Community Service (CNCS) the authority to transfer to the 
National Service Trust Fund up to $50 million, upon a 
determination by the Chief Executive Officer (CEO), that such 
funds are necessary to support the activities of national 
service participants. The proposed transfer authority includes 
a requirement that the CEO transmit notification to the 
Congress prior to executing any such transfer.
    This request would ensure that adequate resources are 
available for education awards in the CNCS National Service 
Trust Fund to liquidate legitimate prior-year obligations for 
eligible participants in the AmeriCorps program, and the 
flexibility to support more than 50,000 new members in FY 2003. 
The request is necessary to complete the implementation of a 
comprehensive corrective action plan developed by CNCS to 
strengthen financial management of the Trust, change reporting 
procedures, and restore Fund balances. Resources to cover these 
obligations were depleted as a consequence of rescissions 
enacted in FYs 2000 and 2001, totaling $111 million. These 
rescissions were adopted based on reports resulting from 
inaccurate procedures for determining Federal obligations. 
These procedures are now being rectified.

                                

```