Appropriations for FY2003: Commerce, Justice, and State, the Judiciary, and Related Agencies
Released: 2003-04-29T00:00:00

Key Policy Staff

Division abbreviations: ALD = American Law Division; G&F = Government and Finance Division; RSI = Resources, Science, and Industry Division, DSP =Domestic Social Policy Division; FDT = Foreign Affairs, Defense, and Trade Division.

Most Recent Developments

Congress passed the conference report ( H.Rept. 108-10 ) for H.J.Res. 2 , the omnibus funding bill, onFebruary 12, 2003. The President signed it intolaw February 20, 2003 -- 5 months into the budget year. The consolidated funding package included a 0.65%across-the-board rescission. The Senate had passedits omnibus appropriation on January 23rd. Although the House never passed a CJS appropriation forFY2003, on January 8th Congressman Frank Wolf, Chairmanof the House Appropriations Subcommittee on Commerce, Justice, State, introduced H.R. 247 as a point ofreference for CJS accounts during theconference on the omnibus appropriation package.

Overview

The Administration's Commerce, Justice, State and Related Agencies (CJS) request for FY2003 totaled $44,019million. The 107th Congress did not completeCJS FY2003 appropriations, but passed numerous continuing resolutions authorizing short-term funding into the108th congressional term.

The 108th Congress passed the consolidated appropriation package ( H.J.Res. 2 ; H.Rept. 108-10 ), which included 11 out of the 13 appropriations. Signed into law ( P.L. 108-7 ) on February 20, 2003, it contains $44,773.7 million for Commerce, Justice, State,Judiciary and Related Agencies. This number andothers in this report do not reflect the 0.65% across-the-board rescission which was also in the consolidated funding.

The Senate passed an omnibus spending package which included the CJS appropriations. The total CJS Senate level amounted to $44,939.6 million. The Housebill ( H.R. 247 ) set total CJS appropriations at $44,352.9 million. Neither House nor Senate numbers includedrescissions.

For FY2002 and after the September 11th terrorist attacks, Congress reconsidered funding allocations in the conference of H.R. 2500 to bolstercounter-terrorism activities within each agency's title in the bill. Congress enacted its FY2002 CJS appropriation( P.L. 107-77 ) totaling $41,706.6 million forFY2002 ($44,601.9 million including supplementals -- P.L. 107-38 , P.L. 107-117 ).

FY2002 Supplemental

In addition to the President's regular FY2003 budget request, the Administration submitted an FY2002 supplemental funding request on March 21, 2002. Out ofthe total $28.4 billion supplemental request, $427.7 million was for agencies within the CJS appropriation bill. TheHouse passed $753.6 million; the Senatepassed $1,280.2 million for the CJS supplemental funds. The final supplemental for CJS-related agencies, whichwas signed on August 2, 2002 ( P.L. 107-206 ),totaled about $900 million, some of which was designated as contingent emergency funds. (For more detail, seeCRS report RL31406, SupplementalAppropriations for FY2002: Combating Terrorism and Other Issues, by [author name scrubbed] and [author name scrubbed].)

Recent-Year Funding Trends

On November 14, 2001, Congress approved total FY2002 CJS funding of $41.6 billion. The President signed this measure into law on November 28th. Althoughthe CJS funding legislation was at the conference stage on September 11th, Congress scrutinizedsecurity and anti-terrorism funding at the conference level andreallocated funding because of the terrorist attacks. In addition, the FY2002 budget levels for the Departments ofCommerce, Justice, State and the Judiciaryinclude the emergency supplemental funding passed by Congress September 18, 2001.

The table below shows funding trends for the major agencies included in CJS appropriations over the period FY1998-FY2002, including supplementalappropriations. As seen in the table below, funding increased, in current dollars, for the Department of Justice by$2,658 million (12.6%); for the Department ofCommerce by $651 million (12.6%); for the Judiciary by $465 million (10.9%); and for the Department of Stateby $1,049 million (15.9%). Every agency exceptthe Department of Commerce has seen a continual increase in funds between FY1998 and FY2002. The Departmentof Commerce budget generally increasedover these years, with a greater than $3.5 billion increase in FY2000, largely due to funding the cost of the 2000decennial census. Its FY2001 level is comparableto its pre-census level. The Department of State had a significant increase in its funding level every year fromFY1999 to FY2002, reflecting the increase in costsassociated with the FY1999 reorganization and terrorism. Of the four primary agencies within the CJSappropriations, the Department of Justice received thegreatest nominal increase of $5,943 million from FY1998 to FY2002. The Department of State funding changesince FY1998 shows the greatest percent increaseof 89.5%; the Justice budget grew by 33.4%, Commerce by 36.5%, and the Judiciary by 36.3%. Much of the StateDepartment increase has been attributable toincreases in embassy security funding and improvements in technology and staffing, along with the consolidationof the U.S. Information Agency (USIA) and theArms Control and Disarmament Agency (ACDA) into the Department of State in 1999.

Table 1. Funding Trends for Departments of Commerce, Justice, and State, and the Judiciary (inmillions of current dollars)

Sources: Funding totals provided by Budget Offices of CJS and Judiciary agencies, and U.S.House of Representatives, Committee on Appropriations.

FY2003 Appropriation

President Bush's FY2003 budget request for new budget authority totaled $44,019 million for Commerce, Justice, State, Judiciary, and Related Agency mandatoryand discretionary spending, slightly above the FY2002 enacted level including the enacted supplementals. Table 2 presents appropriations for the four majoragencies within the CJS appropriation bill.

Table 2. Departments of Commerce, Justice, and State, and the Judiciary Appropriations (in millions ofdollars)

Note: Figures for FY2002 enacted include supplemental appropriations. This table does not include funds for related agencies in the CJS legislation.

Sources : House Appropriations Committee and the Congressional Record on February 14, 2003 (H572-H587).

Brief Survey of Key Issues

In addition to heightened interest in counter-terrorism and security-related activities since the September 11th attacks, some other contentious issues and proposalsthat surfaced in the FY2003 CJS appropriations debate include:

Restructuring the Federal Bureau of Investigation to improve counter terrorism, intelligence collection and analysis, and internal agencysecurity.

Restructuring the Immigration and Naturalization Service, by separating the agency's services and enforcement functions, to improveapplication processing and increase border security.

Reassessing the Department of Justice's role in providing domestic preparedness training and assistance to state and local first responders,and shifting related programs to the new Department of Homeland Security.

Streamlining community policing and crime prevention programs administered by the Department of Justice's Office of JusticePrograms.

Other issues or concerns receiving attention included the following:

Department of Justice:

Reducing firearms-related violence through enforcement of existing laws.

Reducing the supply and use of illicit drugs.

Improving juvenile justice, reducing violence against women, and providing legal assistance to victims of crime.

Addressing civil rights violations, including racial profiling and infringement of voter rights.

Establishing new efforts and capacities to fight cybercrime.

More efficiently managing contract detention space.

Establishing an entry/exit control system to track non-citizens admitted temporarily to the United States.

Department of Commerce:

The Administration's proposal to eliminate National Telecommunications and Information Administration's (NTIA's) TechnologyOpportunities Program (TOP), as well as significantly reduce funding for NTIA's program to support constructionof public broadcast facilities.

The extent to which federal funds should be used to support industrial technology development programs at the National Institute ofStandards and Technology (NIST), particularly the Advanced Technology Program (ATP) and the ManufacturingExtension Partnership(MEP).

The Administration's proposal to transfer the National Sea Grant Program from the National Oceanic and Atmospheric Administration(NOAA) to the National Science Foundation, amid opposition from state Sea Grant partners andinstitutions.

Funding for full implementation of the Census Bureau's American Community Survey, with which the Bureau plans to replace the decennialcensus long form, and for improved quality and timeliness of economic statistics collected by the Bureau.

Increasing funding for the Bureau of Export Administration (to be renamed the Bureau of Industry and Security) to better enforce U.S. exportregulations, specifically with regard to strategically-sensitive information.

Department of State:

Visa issuance policies and the Homeland Security proposals.

Expanded public diplomacy activities focusing on Muslim/Arab populations.

Increased hiring of foreign, civil service, and security experts.

Improved information/communication technology.

The Judiciary:

Whether to increase the hourly rate of pay to court-appointed "panel attorneys" representing indigent defendants in federal criminalcases.

Whether, as the Judiciary contended, federal judges and justices should receive a cost-of-living salary increase.

What extent to provide emergency supplemental funding for court security.

Other Agencies:

Adequacy of funding for the Securities and Exchange Commission (SEC) to investigate corporate fraud.

Whether to end federal funding for the State Justice Institute.

Adequacy of funding for the Equal Employment Opportunity Commission.

Adequacy of funding for programs of the Small Business Administration (SBA).

Government Performance Results Act (GPRA) Requirements

As part of the budget process, the Government Performance and Results Act (GPRA) enacted by Congress in 1993 ( P.L.103-62 ; 107 Stat 285) requires thatagencies develop strategic plans that contain goals, objectives, and performance measures for all major programs.The GPRA requirements apply to nearly allexecutive branch agencies, including independent regulatory commissions, but not the judicial branch. Briefdescriptions of the latest versions of the strategicplans of the major agencies covered by CJS appropriations are contained in the discussions of the individualagencies within this report.

Legislative Status

On February 4, 2002, President Bush submitted the FY2003 budget request for appropriations for the Departments of Commerce, Justice, and State, the Judiciaryand related agencies. The House and Senate CJS Appropriations Subcommittees held hearings throughout March,April, and May. The Senate AppropriationsCommittee reported out S. 2778 on July 24, 2002. No other congressional action occurred on the CJSappropriation during the 107th Congress. In the108th Congress, the Senate passed an omnibus budget package ( H.J.Res. 2 ) which includes theCJS appropriations. The House funding levels for CJSwere contained in H.R. 247 ,which received no congressional action. The table below shows the keylegislative steps that have occurred for theenactment of FY2003 CJS appropriations thus far.

Table 3. Status of CJS Appropriations, FY2003

Department of Justice

Background

Title I of the CJS bill typically covers appropriations for the Department of Justice (DOJ). Established by an Act of 1870 (28 U.S.C. 501) with the AttorneyGeneral at its head, DOJ provides counsel for citizens and protects them through effective law enforcement. Itrepresents the federal government in allproceedings, civil and criminal, before the Supreme Court. And in legal matters generally, the Department provideslegal advice and opinions, upon request, tothe President and executive branch department heads. Notwithstanding the transfer of the Immigration andNaturalization Service to the Department of HomelandSecurity and the transfer of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATFE) (1) to DOJ, the agencies and major functions funded inthe FY2003DOJ appropriation are as follows:

United States Attorneys prosecute criminal offenses against the United States, represent the federal government in civil actions, and initiateproceedings for the collection of fines, penalties, and forfeitures owed to the United States.

United States Marshals Service provides security for the federal judiciary, protects witnesses, executes warrants and court orders, managesseized assets, and detains and transports unsentenced prisoners.

Federal Bureau of Investigation (FBI) investigates violations of federal criminal law; protects the United States from terrorism and hostileintelligence efforts; provides assistance to other federal, state and local law enforcement agencies; and sharesjurisdiction with Drug Enforcement Administration(DEA) over federal drug violations.

Drug Enforcement Administration (DEA) investigates federal drug law violations; coordinates its efforts with state, local, and other federallaw enforcement agencies; develops and maintains drug intelligence systems; regulates legitimate controlledsubstances activities, and conducts jointintelligence-gathering activities with foreign governments.

Immigration and Naturalization Service (INS) administers and enforces immigration law by admitting or excluding aliens at the border,investigating immigration law violations, apprehending and processing for removal aliens illegally residing in theUnited States, and processing immigration- andnaturalization-related applications.

Federal Prison System provides for the custody and care of the federal prison population, the maintenance of prison-related facilities, and theboarding of sentenced federal prisoners incarcerated in state and local institutions.

Office of Justice Programs (OJP) manages and coordinates the activities of the Bureau of Justice Assistance, Bureau of Justice Statistics,National Institute of Justice, Office of Juvenile Justice and Delinquency Prevention, Community Oriented PolicingServices (COPS), and the Office of Victims ofCrime.

FY2003 Funding

Defending the Nation against future terrorist attacks is currently the principal focus of the Department of Justice. To this end, the Department is increasing itsefforts to disrupt and dismantle terrorist organizations, and bring to justice those persons who carry out terroristattacks against American interests at home andabroad. With the encouragement of the Attorney General, the Federal Bureau of Investigation is reorganizing,realigning and centralizing FBI assets to moreeffectively counter terrorism and foreign intelligence services, and provide greater internal security.

The Immigration and Naturalization Service (INS), meanwhile, has been transferred to the Department of Homeland Security (DHS). Prior to the homelandsecurity debate, the Administration had sought to reorganize INS and separate the agency's service and enforcementfunctions as separate bureaus with DOJ. Such a separation was proposed to improve the processing of immigration-related applications and provide enhancedborder security and prevent terrorists fromentering the United States. Along these lines, the Homeland Security Act of 2002 ( P.L. 107-296 ) dismantled INS,splitting the service and enforcement functions,and transferring former INS activities and programs to DHS. Other DOJ programs were also transferred to DHS. Most notably, they included the Office ofDomestic Preparedness (ODP), formerly under the Office of Justice Programs, and the National InfrastructureProtection Center (NIPC), formerly part of theFederal Bureau of Investigation. Nonetheless, these activities and programs, although transferred to the DHS, arefunded for FY2003 in the Commerce, Justice,State (CJS) appropriations act under DOJ.

Crime control has traditionally been viewed as a state and local responsibility. Beginning with the passage of the Crime Control Act of 1968 (P.L. 90-351), thefederal role in the administration of criminal justice has increased incrementally. Since 1984, Congress has enactedfive major omnibus crime control bills,establishing new crimes, penalties, and additional law enforcement assistance programs for state and localgovernments. Crime control is one of the few areas ofthe federal budget where discretionary spending has increased over the past two decades.

FY2003 Budget Request and Authorization. For the Department of Justice (DOJ), Congress appropriatednearly $24 billion, a 1% increase over the department's FY2002 enacted budget of $23.7 billion, and a 5% increaseover the Administration's request of $22.8billion. The last year appropriations for DOJ were authorized was FY1980 ( P.L. 96-132 ). Congress passed the21st Century Department of Justice AppropriationsAuthorization Act ( P.L. 107-273 ), authorizing the appropriation of specific amounts for DOJ agencies, activities,and programs for FY2002 and FY2003. ThisAct includes many other provisions that, among other things, establish a Violence Against Women Office, addressdrug treatment and prevention, increasepenalties for witness tampering, authorize forensic sciences improvement and other justice-related grants, maketechnical immigration amendments to the investorvisa program, and reauthorize and amend juvenile justice programs.

Department of Justice Accounts. The DOJ budget account structure roughly mirrors the departmentalorganizational structure. Congress appropriates funding for each account. The activity, agency, and programaccount structure, however, is not uniform. Someaccounts represent a single agency, e.g., the Drug Enforcement Administration account. The Legal Activitiesaccount, by comparison, includes multiple activity,agency, and program accounts. The Office of Justice Programs account includes a series of law enforcementassistance grant programs, in addition todepartmental office and bureau accounts. The table below displays the DOJ account structure. Amounts in thistable and in the text are taken from a table printedin the February 13, Congressional Record on 2003 (H572-H576). Where possible comparisons aremade to the Administration's amended FY2003 request. Inregard to the Administration's request, some major requested budget increases over the activity or agency basebudgets are also given. (2) Finally, last year's(FY2002) enacted funding level or appropriation is also given in the table.

Title I. Department of Justice Budget Accounts (millions of dollars)

Source: Congressional Record , February 14, 2003, H572-H576.

a The increase in funding for General Administration from $432.9 million in FY2002 to $1,824million in FY2003 reflects the consolidation of contract detentionspace acquisition in the Detention Trustee's Office. Such a consolidation is also reflected in the lack of moneyappropriated for prisoner detention under the LegalActivities account, since such funding is now consolidated in the Detention Trustee's Office.

b FY2003 conference agreement amounts do not reflect an across-the-board rescission of 0.65%,nor do they reflect other rescissions included in the conferenceagreement ($78 million from the DOJ Working Capital Fund, $51 million from the Legal Activities account, and$580 thousand from the Immigration EmergencyFund).

For General Administration , Congress appropriated $1.824 billion, as compared to the Administration's FY2003 amended request of nearly $1.934 billion. As inthe Administration's request, the bulk of this funding goes to the Detention Trustee account to better managedepartmental acquisition of contracted detentionspace. Besides the Detention Trustee, the General Administration account funds the Attorney General's office,senior departmental management, a counterterrorism fund, and the Inspector General's office. Conference report language designates increased funding to: 1)continue development of the Joint AutomatedBooking System (JABS), 2) integrate the FBI and INS biometric fingerprint identifications systems (IAFIS andIDENT), and 3) increase narrowbandcommunications, among other things.

For the Federal Detention Trustee's Office , Congress appropriated $1.367 billion for FY2003, nearly the same amount as requested by the Administration. TheDetention Trustee's Office was established in FY2001, with a $1 million appropriation, to manage contractualdetention funding for the Department. For FY2003,the contractual detention resources of the Immigration and Naturalization Service ($593 million) and the U.S.Marshals Service ($774 million) are consolidatedunder this office. Although these agencies would remain responsible for daily detention operations, the DetentionTrustee's Office would manage thedisbursement of funds, which were previously carried under separate accounts. Conference report language directsthe Trustee to report to the Appropriationscommittees as to the appropriateness of transferring certain personnel responsible for procuring detention space fromthe Marshals Service and the former INS tothe Trustee's office.

For the counter terrorism fund , Congress appropriated $1 million to "cover extraordinary costs associated with a terrorist threat or incident." Conference reportlanguage noted that this amount, along with unobligated balances and recoveries, provides $50 million for FY2003. The Administration's amended requestincluded no dollars for this fund.

The Office of the Inspector General (OIG) is responsible for investigating departmental misconduct. In FY2001, the Attorney General ordered the OIG toinvestigate allegations of misconduct at the Federal Bureau of Investigation and the Drug Enforcement Agency. Previously such responsibility resided with therespective agency offices of professional responsibility. (3) The Senate Committee on the Judiciary reported a measure, the Federal Bureau of InvestigationReformAct of 2002 ( S. 1974 ), that included a provision to make such oversight statutory. To assume these newresponsibilities, the FY2003 amendedrequest included $59 million for the OIG; Congress appropriated $58 million.

The U.S. Parole Commission adjudicates parole requests by federal and D.C. Code prisoners who are serving felony sentences. For the commission, the FY2003request was $11 million. The authorization for the parole commission was due to expire in November 2002, butthe 21st Century Department of JusticeAppropriations Authorization Act ( P.L. 107-273 ) authorized to be appropriated $10 and $11 million for the commission for FY2002 and FY2003, respectively. For FY2003, Congress appropriated nearly $11 million for the parole commission.

The Legal Activities account includes several accounts: (1) general legal activities, (2) U.S. Attorneys, (3) the U.S. Marshals Service, (4) prisoner detention, and(5) other legal activities. Among other things, the general legal activities account funds the SolicitorGeneral's supervision of the department's conduct inproceedings before the Supreme Court. It also funds several departmental divisions (tax, criminal, civil,environment and natural resources, legal counsel, civilrights, and antitrust). For FY2003, Congress appropriated $3.039 billion for the legal activities account, ascompared to the Administration's request of $3.068billion. Also, the FY2003 appropriation reflects in part a $774 million transfer from the Marshals Service's prisonerdetention account to the Detention Trustee'sOffice (discussed above).

The general legal activities account funds the Solicitor General's supervision of the department's conduct in proceedings before the Supreme Court. It also fundsseveral departmental divisions (tax, criminal, civil, environment and natural resources, legal counsel, civil rights,and antitrust). For FY2003, Congressappropriated $611 million, as compared to the Administration's request of $645 million.

The U.S. Attorneys and the U.S. Marshals Service are present in all of the 94 federal judicial districts. The U.S. Attorneys prosecute criminal cases and representthe federal government in civil actions. For the U.S. Attorneys, Congress appropriated $1.504 billion, as comparedto the Administration's request of $1.506billion. For the U.S. Attorneys, conference report language designates increases to more aggressively prosecutecorporate fraud ($13 million), coordinate anintermodal transportation security pilot project ($5 million), provide additional legal training from the NationalAdvocacy Center ($25 million), increase violentcrime task force activities ($1.5 million), and prosecute federal copyright and counterfeit software crimes ($10million). The U.S. Marshals are responsible for theprotection of the Federal Judiciary, protection of witnesses, execution of warrants and court orders, and custody andtransportation of unsentenced federalprisoners. For FY2003, Congress appropriated $696 million for the Marshals Service, as compared to theAdministration's amended request of $707 million. Conference report language designated funding increases to improve the warrant information network (nearly $3million), increase security for the judicial process(nearly $16 million), acquire additional courthouse security equipment ($12 million), continue funding two existingfugitive task forces and related efforts ($8million), and provide for new construction ($15 million), among other things.

For other legal activities . e.g., the Community Relations Service, the Independent Counsel, the U.S. Trustee Fund, and the Asset Forfeiture program, the FY2003amended request included $210 million. Congress appropriated $228 million for these purposes.

The Radiation Exposure Compensation (RECA) account funds a program to compensate individuals exposed to radiation during atmospheric nuclear tests oruranium production. To administer programs under this account, the FY2003 request included $2 million, the sameamount as appropriated for FY2002, for theCivil Division in the Legal Activities account rather than the RECA account.

The Interagency Law Enforcement account reimburses departmental agencies for their participation in the Organized Crime Drug Enforcement Task Force(OCDETF) program. Organized into 9 regional task forces, this program combines the expertise of federalagencies (4) with the efforts of state and local lawenforcement to disrupt and dismantle major narcotics trafficking and money laundering organizations. The FY2003request included $362 million for OCDETF;Congress appropriated $372 million. Conference report language designated funding increases to step up DEAparticipation in task force operations ($15 million),enhance wiretap investigations ($6 million), establish a U.S. Attorneys electronic surveillance tactical group ($724thousand), and further investigate linksbetween drug traffickers and terrorists ($3 million).

The Federal Bureau of Investigation (FBI), as the lead federal investigative agency, recently reorganized to focus on counter terrorism. For FY2003, Congressappropriated nearly $4.298 billion for the FBI, as compared to the Administration's amended FY2003 request of$4.253 billion. The FY2003 appropriationincluded $491 million in programmatic increases; this amount included increases to step up counterterrorism andcounterintelligence investigations ($181million), improve technology as part of the Trilogy program ($127 million), enhance internal agency securitythrough an enterprise security operations center ($30million), increase aviation support ($19 million), bolster agency capabilities to handle hazardous materials anddevices ($13 million), provide for better qualitylanguage translations ($5 million), among other amounts. In addition, Congress appropriated an additional $62million -- the full amount requested -- toimprove the operations of the Foreign Terrorist Tracking Task Force.

It is also significant to note that the Homeland Security Act of 2002 ( P.L. 107-296 ) transferred the National Infrastructure Protection Center (NIPC), the NationalDomestic Preparedness Office (NDPO), and the Domestic Emergency Support Teams (DEST) from the FBI to theDHS. NIPC was formed to detect, deter,assess, and warn computer users about cyber threats and to investigate and prosecute unlawful computer intrusions. For a time, NDPO served as a single point ofcontact for state and local authorities seeking interagency assistance in the areas of planning, training, equipment,and exercises to prepare for domestic terroristincidents, but NDPO activities were largely absorbed by the OJP's Office of Domestic Preparedness. DEST wasan interagency team of experts that could bequickly assembled by the FBI to provide an on-scene commander (Special Agent in Charge) with advice andguidance in situations involving weapons of masseffect (WME). According the DOJ FY2004 Budget Summary, NIPC's transfer to DHS's Information Analysis andInfrastructure Protection Directorate includedabout $51 million and 307 positions. Meanwhile, the NDPO and DEST transfers to DHS's Emergency Preparednessand Response Directorate included neitherdollars nor positions.

The Drug Enforcement Administration (DEA) is the lead federal agency tasked with reducing the illicit supply and abuse of dangerous narcotics and drugs. ForFY2003, Congress appropriated $1.561 billion for the DEA, as compared to the Administration's amended requestof $1.546 billion. In addition to appropriatedfunding, conference report language noted that an additional $89 million was anticipated to be available to DEAfor FY2003 from the Drug Diversion Control FeeAccount, (5) bringing FY2003 anticipated new budgetauthority for the DEA to $1.650 billion. Conference report language included designated increases to hire anadditional 133 agents to partially offset the shift of 567 FBI agents away from organized crime and related narcoticstrafficking investigations to counterterrorism($15 million), improve physical security ($18 million), bolster the agency's data security infrastructure ($6.7million), and better monitor the financial holdingsand transactions of drug trafficking organizations.

For the former Immigration and Naturalization Service (INS) , Congress directly appropriated $3.848 billion for FY2003, as compared to the Administration'samended request of $4.027 billion. Direct appropriations included $2.881 billion for immigration enforcement andborder affairs, $709 million for immigrationsservices, and nearly $259 million for new border patrol construction (stations, check points, and barriers). Inaddition, Congress appropriated an additional $2.311billion in anticipated offsetting receipts, bringing net obligational budget authority for bureaus of the former INS(currently located in the DHS) to nearly $6.160billion, as compared to the Administration's amended FY2003 request of $6.339.

For immigration enforcement and border affairs, conference report language designated funding increases to establish an efficient entry/exit control mechanism torecord noncitizens traveling to and from the United States ($362 million), hire an additional 570 border patrol agents($57 million) and 460 land border inspectors($25 million), advance the journey level for immigration enforcement officers from GS-9 to GS-11 ($58.5 million),conduct interior enforcement ($10 million),increase INS participation on joint terrorism task forces ($6 million), bolster human trafficking investigations ($3.7million), explore alternatives to immigrationdetention ($3 million), and provide legal orientation to immigration detainees ($1 million). By comparison, theAdministration's FY2003 request included thesame amount for entry exit control, but greater amounts for hiring the same number of additional border patrolagents ($75 million) and inspectors ($34 million).

Concerning offsetting receipts, conference report language noted that additional user fees would provide funding to hire an additional 615 airport inspectors and85 seaport inspectors. As requested by the Administration, report language designated an additional $50 millionin exam fee receipts to reduce the averageprocessing time for all immigration-related applications to 6 months. Furthermore, section 108 of the DOJ generalprovisions of the FY2003 CJS appropriationsact amended the Immigration and Nationality Act to authorize a $3 cruise line inspection fee. Report language issilent as to the Administration's requested $83million for electronic information management upgrades.

The Homeland Security Act of 2002 ( P.L. 107-296 ) dismantled INS, splitting the agency's service and enforcement functions, transferring them to theDepartment of Homeland Security (DHS) as separate bureaus. Immigration service programs were reconstitutedas a Bureau of Citizenship and ImmigrationServices under the DHS Office of the Deputy Secretary. (6) Immigration enforcement programs were transferred to DHS's Directorate of Border andTransportation Security. Under this directorate, the Administration established the Bureau of Customs and BorderProtection by merging immigration inspectionsand the Border Patrol with U.S. Customs Service commercial operations and inspections, along with agriculturalquarantine and inspections. Under the samedirectorate, the Administration established a Bureau of Immigration and Customs Enforcement by consolidatingCustoms and immigration investigations, theCustoms air and marine drug interdiction program, the immigration detention and removal program, and the FederalProtective Service. (7)

The Federal Prison System maintains 106 penal institutions nationwide, and contracts with state, local, and private concerns for additional detention space. TheAdministration projected that this system will house an average daily population of 143,197 sentenced offendersin federal institutions, and another 28,043 incontract facilities, in FY2003. For FY2003, the Administration requested $4.480 billion; Congress appropriated$4.474 billion. Conference report language notedthat the FY2003 appropriation included over $101 million to activate a new medium security facility in Glenville,West Virginia, and new high security facilitiesin Big Sandy and McCreary Kentucky, and Victorville, California, which will provide an additional 4,400 beds. In addition, another $10 million is provided toexpand the Marion, Illinois and Stafford, Arizona facilities, which will provide an additional 764 new beds.

The Office of Justice Programs (OJP) manages and coordinates the National Institute of Justice, Bureau of Justice Statistics, Office of Juvenile Justice andDelinquency Prevention, Office of Victims of Crimes, Bureau of Justice Assistance, and several grant programs. For the Office of Justice programs and relatedoffices, bureaus, and programs, Congress appropriated $4.562 billion, as compared to the Administration's $3.117billion request. The Administration's requestincluded a proposal to zero out Byrne and Local Law Enforcement Block grant programs, replacing them with aconsolidated justice assistance grants program. Inaddition, the request included another proposal to transfer $1.2 billion in funding from OJP to the FederalEmergency Management Agency (FEMA) to fund andconsolidate domestic preparedness programs by eliminating about $1.8 billion in state and local assistance grantprograms. Congress rejected the first proposaland the second proposal was overtaken by events, as the Office of Domestic Preparedness (ODP) was transferredto the DHS Directorate of Border andTransportation Security. Notwithstanding this transfer, Congress appropriated for ODP $1.0 billion for FY2003in the CJS appropriation act. Congress fundedthe Byrne grant programs at $651 million and Local Law Enforcement Block grants at $400 million, but cut theState Criminal Alien Assistance Program by $315million, funding that program at $250 million.

The Justice Assistance account funds the operations of OJP bureaus and offices. Besides funding OJP management and administration, this account fundsresearch, evaluation, and demonstration programs; technology centers; criminal justice statistical programs; andother cooperative efforts that address missingchildren, regional drug intelligence, and white collar crime. For this account, Congress appropriated $1.201 billion,as compared to the Administration's requestof $214 million. The FY2003 appropriation included $1.0 billion for ODP. (8)

The Office of Justice Programs administers a number of grant programs to assist state and local governments with law enforcement and other justice-relatedissues. As part of the FY2003 request, these programs include (1) State and Local Law Enforcement Assistance,(2) Weed and Seed crime prevention efforts, (3)Community Oriented Policing Services (COPS), (4) Juvenile Justice Formula Grants, (5) a proposed ElectionProcess Improvement Program, and (6) PublicSafety Officers Benefits.

Under State and Local Law Enforcement Assistance , Congress appropriated $2.044 billion for FY2003, as compared to the Administration's request of $752million. Although the Administration's FY2003 request included no funding for the Byrne Grants and Local LawEnforcement Block Grants, Congressappropriated $500 million for the Byrne formula grants and $151 million for Byrne discretionary grants, as well as$400 million for Local Law Enforcement BlockGrants. As requested by the Administration, however, Congress reduced funding for Indian Country Tribal PrisonConstruction and State Criminal AliensAssistance Program, appropriating $5 million for the former -- a reduction of $30 million, and $250 million for thelatter -- a reduction of $315 million. Inaddition, Congress appropriated $390 million for the Violence Against Women Program, $65 million for the StatePrison Drug Treatment, $45 million for DrugCourts, and lesser amounts for victims of trafficking, prescription drug monitoring, prison rape prevention, andterrorism prevention and response training.

The Weed and Seed program was designed to "weed out" crime in selected neighborhoods, and "seed" them with coordinated crime prevention and human serviceprograms. For FY2003, Congress appropriated $59 million for Weed and Seed, the same amount as requested bythe Administration.

To enhance public safety, the Community Oriented Policing Services (COPS) provides grants to state, local, and Indian Tribal governments to expand communitypolicing and cooperation between law enforcement agencies and members of the community. The authority for theCOPS grant programs lapsed at the end ofFY2000. Congress, however, has continued to appropriate funding for these programs. (9) For FY2003, Congress appropriated nearly $929 million, as compared tothe Administration's request of $1.381 billion. The reduction in funding for the Public Safety and CommunityPolicing Grants program accounted for the largestdifference between the appropriation and request -- $143 million. In addition, the community prosecutors programappropriated $85 million -- a nearly $15million reduction. Congress, however, appropriated $401 million for crime fighting technologies, an increase of$49 million. The Administration had proposedthat a COPS justice assistance grant program be established to replace the Byrne and Local Law Enforcement Blockgrants, but Congress rejected this proposal(see discussion above).

Under the Juvenile Justice Formula Grants program , OJP provides funding to improve juvenile justice and corrections. Under this program, the Administration'sFY2003 budget proposed funding Project ChildSafe ($75 million), to advance the goal of ensuring that child safetylocks are available for every handgun in theUnited States; Congress appropriated $25 million. The overall FY2003 request for juvenile justice grants included$258 million. For FY2003, Congressappropriated $275 million for the Juvenile Justice Formula Grants Program. The authorization to makeappropriations for this program had lapsed six years ago atthe end of FY1996. The 21st Century Department of Justice Appropriations Reauthorization Act ( P.L.107-273 ), however, authorized the appropriation of "suchsums as may be appropriate" for these programs for fiscal years 2003 through 2007. (10)

The FY2003 request included $400 million to establish a new Election Process Improvement Grant program . Based on recommendations made by the NationalCommission on Federal Electoral Reform, this program provided state and local governments with annual grantsto fund improvements in voting administration,machines, registration, education, and poll worker training. Although the Senate-approved CJS appropriations actwould have provided $31 million for thisprogram, the enacted appropriation provides no funding for this program. In addition, the FY2003 request included$53 million for Public Safety Officer Benefits(PSOB) -- the same amount as appropriated by Congress. The PSOB program provides death benefits tosurvivors of public safety officers who die in the line ofduty, and disability benefits to those officers injured and disabled in the line of duty. Benefits provided by thisprogram were increased by the USA Patriot Act of2001 ( P.L. 107-56 ).

The Government Performance and Results Act (GPRA) required the Department of Justice, along with other federal agencies, to prepare a 5-year strategic plan,including a mission statement, long-range goals, and program assessment measures. In September 2000, theDepartment submitted its Strategic Plan for2000-2005 to Congress. Building upon the strategic plan, the Department's FY2003 performance plan includedeight goals:

protect the United States from the threat of terrorism;

enforce federal criminal laws;

prevent and reduce crime and violence by assisting state, tribal, local, and community-basedprograms;

defend and protect the rights and interests of the American people by providing legal representationand enforcement of federallaws;

administer immigration and naturalization laws fairly and effectively;

protect American society by providing for the safe, secure, and humane confinement of persons infederal custody;

protect the federal judiciary and support the federal justice system; and

ensure professionalism, excellence, accountability, and integrity in the management and conduct ofthe Department ofJustice. (11)

Detailed performance plans for individual activities, agency, and program accounts were included in the departmental budget submission to Congress as well.

Related Legislation

P.L. 107-273 ( H.R. 2215 ; S. 1319 )

21st Century Department of Justice Appropriations Authorization Act. Authorizes appropriationsfor the Department of Justice, among other things. Amendedand ordered reported by the Committee on the Judiciary on June 20, 2001. Passed the House on July 23, 2001. Amended in the Senate with the text of S. 1319 and passed on December 20, 2001. Conference agreement reported on September 25, 2002. Housepassed the conference agreement onSeptember 25, and the Senate on October 3, 2001. Signed into law ( P.L. 107-273 ) on November 2, 2002.

P.L. 107-296 ( H.R. 5005 )

Homeland Security Act of 2002. Establishes a cabinet level Department of Homeland Security. H.R. 5005 was amended and reported ( H.Rept. 107-609 ) by the Select Committee on Homeland Security on July 19, 2002, which was amended and passed by the Houseon July 26, 2002. A similar measure( H.R. 5710 ) on November 12, 2002. Amended and passed in Senate on November 19, 2002. Signed intolaw ( P.L. 107-296 ) on November 25, 2002.

S. 924 (Biden)

Protection Act of 2002. Reauthorizes the Community Oriented Policing Services (COPS) programs, amongother things. Amended and reported without awritten report by the Committee on the Judiciary on April 11, 2002. No further action was taken.

S. 1974 (Leahy)

Federal Bureau of Investigation Reform Act of 2002. Includes provisions to reform and improve oversight ofthe FBI. Ordered reported by the Committee on theJudiciary on April 25, 2002. Report filed on May 10, 2002 ( S.Rept. 107-148 ). No further action was taken.

Additional Reading

CRS Report 97-196. Community Oriented Policing Services (COPS) Program: An Overview , by [author name scrubbed].

CRS Issue Brief IB10095. Crime Control: The Federal Response , by [author name scrubbed].

CRS Report RL31549 . Department of Homeland Security: Consolidation of Border and Transportation Security Agencies , coordinated by [author name scrubbed].

CRS Report RS21400. FY2003 Appropriations for First Responders: Fact Sheet , by Ben Canada and [author name scrubbed].

CRS Report RS20576, Juvenile Justice: Legislative Activity and Funding Trends for Selected Programs , by [author name scrubbed], [author name scrubbed], and DavidTeasley.

CRS Report RS20539. Federal Crime Control Assistance to State and Local Governments , by [author name scrubbed].

CRS Report RS20944. Statutory Inspector General for the FBI: Overview and Issues , by [author name scrubbed] and [author name scrubbed].

Department of Commerce

Background

Title II typically includes the appropriations for the Department of Commerce and related agencies. The origins of the Department date back to 1903 with theestablishment of the Department of Commerce and Labor (32 Stat. 825). The separate Department of Commercewas established on March 4, 1913 (37 Stat.7365; 15 U.S.C. 1501).

The Department's responsibilities are numerous and quite varied, but its activities center around five basic missions: 1) promoting the development of Americanbusiness and increasing foreign trade; 2) improving the nation's technological competitiveness; 3) encouragingeconomic development; 4) fostering environmentalstewardship and assessment; and 5) compiling, analyzing and disseminating statistical information on the U.S.economy and population.

The following agencies within the Commerce Department carry out these missions:

Economic Development Administration (EDA) provides grants for economic development projects in economically distressed communitiesand regions.

Minority Business Development Agency (MBDA) seeks to promote private and public sector investment in minority businesses.

Bureau of the Census collects, compiles, and publishes a broad range of economic, demographic, and social data.

Economic and Statistical Analysis Programs provide 1) timely information on the state of the economy through preparation, development,and interpretation of economic data; and 2) analytical support to department officials in meeting their policyresponsibilities. Much of the analysis is conducted bythe Bureau of Economic Analysis (BEA).

International Trade Administration (ITA) seeks to develop the export potential of U.S. firms and to improve the trade performance of U.S.industry.

Bureau of Export Administration (BXA) enforces U.S. export control laws consistent with national security, foreign policy, and short-supplyobjectives (to be renamed the Bureau of Industry and Security).

National Oceanic and Atmospheric Administration (NOAA) provides scientific, technical, and management expertise to 1) promote safe andefficient marine and air navigation; 2) assess the health of coastal and marine resources; 3) monitor and predict thecoastal, ocean, and global environments(including weather forecasting); and 4) protect and manage the nation's coastal resources.

Patent and Trademark Office (PTO) examines and approves applications for patents for claimed inventions and registration oftrademarks.

Technology Administration , through the Office of Technology Policy, advocates integrated policies that seek to maximize the impact oftechnology on economic growth, conducts technology development and deployment programs, and disseminatestechnological information.

National Institute of Standards and Technology (NIST) assists industry in developing technology to improve product quality, modernizemanufacturing processes, ensure product reliability, and facilitate rapid commercialization of products based on newscientific discoveries.

National Telecommunications and Information Administration (NTIA) advises the President on domestic and international communicationspolicy, manages the federal government's use of the radio frequency spectrum, and performs research intelecommunications sciences.

The total appropriation for the Department of Commerce in FY2002 was $5.43 billion (not including supplementals), which was about $341 million above thePresident's request. The enacted amount was also about $322 million above the House-passed bill and about $166million below the Senate-passed bill. (Formore information on funding of individual agencies, see the Appendix.)

FY2003 Funding Issues

In his FY2003 budget request to Congress, the President requested $5.64 billion in total funding for Title II, which includes the Department of Commerce andrelated agencies. This amount was approximately $160 million (2.8%) less than the $5.80 billion (after addingsupplementals) that Congress appropriated inFY2002. The 107th Senate Appropriations Committee recommended $5.92 billion, roughly $320 million abovethe Administration request. The FY2003omnibus appropriations bill provided $5.78 billion for Title II, which is roughly $280 million above theAdministration amended request.

For the Department of Commerce alone, the President requested $5.55 billion, which was about $170 million below the FY2002 appropriation of $5.72 billion. The 107th Senate Appropriations Committee recommended $5.83, roughly $280 million above the Administrationrequest. For FY2003, the omnibus billprovided $5.69 billion, which is roughly $140 million above the Administration request.

The President's budget request called for $70.9 million for Departmental Management . This amount would have been $8.3 million (14.3%) more than the $62.6million appropriated for FY2002. The 107th Senate Appropriations Committee recommended $62.1for departmental management, roughly $8.8 million below thePresident's request. The Senate bill allocated $41.5 million to salaries and expenses, and $20.6 million to theInspector General's office. The omnibusappropriations bill provided a total of $65.6 million, which was $5.3 million below the President's request, but $3million more than the FY2002 amount. Of thisamount, roughly $45 million was for salaries and expenses and $20.6 million for the Inspector General's office.

The Department's Economic and Statistical Analysis programs are conducted by the Bureau of Economic Analysis (BEA) and the Bureau of the Census. ThePresident requested $73.2 million for these programs, which was about $10.7 million (17.1%) above the $62.5million appropriated in FY2002. TheAdministration believed that the BEA's timely and accurate statistical reports were essential for providing reliabledata to policymakers, industry leaders, andconsumers. The 107th Senate Appropriations Committee recommended $63.8 million, roughly $10million below the Administration request. The omnibus billprovided $72.2 million, which was one million below the Administration request, but roughly $9.7 million abovethe FY2002 amount.

For the Bureau of the Census , the President requested an FY2003 total of $705.3 million, $225.8 million higher than the $479.5 million appropriated for FY2002. (The $479.5 million took into account an $11.3 million rescission.) The Conference Committee approved $554.5million, $150.8 million less than the FY2003request but $75 million more than the FY2002 appropriation.

The conferees included $1 million to have the Bureau study the response rates in a test of voluntary versus mandatory answers to the American CommunitySurvey, the intended replacement for the decennial census long-form questionnaire, and directed the Secretary ofCommerce to report the study results to theAppropriations Committees as soon as they are available. Filling out the census long form has been mandatory, andthe Bureau maintained that the ACS responserates will drop if answering the survey becomes optional. Some in Congress believe, however, that the mandatoryapproach is too burdensome and intrusive forrespondents.

The President's request for the International Trade Administration was $377.2 million, a $31.7 million increase over the FY2002 levels ($345.5 million,including the FY2002 supplemental). The Senate provided $350.2 million and the Conference agreed on $362.2million, a $16.7 million increase over theFY2002 level. ITA is divided into four policy units and an Executive and Administrative Directorate, which theConference appropriated $25.1 million.

The Administration requested $58.3 million for the Trade Development Unit . In FY2002, Congress appropriated $67.7 million, includingseveral textile related initiatives not incorporated into the President's FY2002 request of $52.3 million. Althoughthese initiatives are not funded in the President'sFY2003 request, the Senate Appropriations Committee restored approximately $13 million for the National TextileCenter and the Textile/Clothing TechnologyCorporation. The Senate's provision for Trade Development was $68.1 million. The Conference trimmed thisamount to $67.7 million.

The Administration requested $37.2 million for the Market Access and Compliance Unit (MAC) . This request included approximately $5million for increased compliance monitoring and enforcement, and support for World Trade Organization and FreeTrade of the Americas negotiations. TheSenate appropriated $28.2 million. The Senate Appropriations Committee recommended that $23.5 million of thesefunds be used for compliance efforts and $1.5million for field officers to monitors compliance in China, Japan, the European Union and other markets. TheConference appropriated $31.2 million: $3.5million more than MAC's $27.7 million appropriation in FY2002.

In the President's FY2003 budget, the Import Administration (IA) unit received a $7.6 million increase to $53.6 million in FY2003 -- upfrom $46 million in FY2002, including an additional $5.9 million request for anti-dumping and countervailing dutyenforcement. The Senate appropriated $44million. The Senate Appropriations Committee specified $1.5 million of this amount for overseas anti-dumpingand countervailing subsidy monitoring andcompliance efforts; $3.5 for the agency to monitor import surges in key sectors and to take expedited action torespond to such surges; and $2.5 to review andevaluate the compliance of China and Japan with regard to their existing World Trade Organization (WTO)commitments on anti-dumping and countervailingsubsidies. The Conference appropriated $44.2 million, a $1.8 million cut from FY2002.

The Administration requested $201.8 million for the U.S. and Foreign Commercial Service (USFCS) , an increase of $6 million from the$195.8 million appropriated in FY2002. In part, this increase was designed to fund trade compliance-related trainingfor U.S. Export Assistance Center employeesand seminars for U.S. exporters. The Senate provided $199.6 million for USFCS. The Conference appropriated$202 million, a $6.2 million increase fromFY2002. The agency had reviewed its fee based programs with an intent to recoup more of its costs through fees.ITA's FY2003 budget justification cautionedthat increased funding for several programs were dependent on receiving at least $10 million in additional feecollections.

The President's FY2003 request for the Bureau of Industry and Security(BIS) (formerly the Bureau of Export Administration ) was$103.3 million, a $34.4million increase from the level Congress enacted in 2002 ( $68.9 million). This figure represents a $14.4 millionincrease for BXA's principal activities includingadministering and enforcing the Export Administration Regulations, ensuring U.S. compliance with multilateralproliferation control regimes, and managing theCritical Infrastructure Assurance Office (CIAO). An additional $20 million was requested to fund the HomelandSecurity Information and Technology EvaluationProgram within CIAO to coordinate information technology policy with the Office of Homeland Security and OMBand better utilize federal information systemsfor homeland security purposes. The CIAO was transferred to the Information Analysis and Infrastructure ProtectionUnit of the Department of HomelandSecurity.

The Senate recommended $100.2 million, a $3.1 million reduction from the President's FY2003 request. The Senate language directed that industry developmentprograms of BIS be transferred to the International Trade Administration. These programs are located with theBureau's Office of Strategic Industry andEconomic Security. The Conference approved $74.7 million, a $5.8 million increase from FY2002, and directedthat $7.3 million of that figure be used to fundChemical Weapons Convention compliance activity.

The Economic Development Administration (EDA) has experienced an unsettled appropriations history over the past several Congresses. (12) Last year wastypical. For FY2002, the Administration requested a substantial reduction ($76 million, or 17%) in EDA's overallfunding. The House set funding for FY2002 atthe Administration's requested level, i.e., $30.6 million for Salaries and Expenses (S&E) and $335 million forEconomic Development Assistance Programs(EDAP), for a total EDA appropriation of $365.6 million. The Senate Appropriations Committee recommendedslightly more -- $371.6 million. The conferenceagreement provided $30.6 million for S&E and $335 million for EDAP, for a total FY2002 appropriation of$365.6 million.

For FY2003, the Administration requested a total appropriation of $348 million for EDA. The conference agreement provides a total EDA appropriation of$320.8 million -- $290 million for EDAP and $30.8 million for S&E. More specifically, $205 million is forPublic Works and Economic Development, $40.9million is for Economic Adjustment Assistance, $24 million is for planning, $9.1 million is for technical assistance(including university centers), $10.5 million isfor trade adjustment assistance, and $500,000 is for research.

For the Minority Business Development Agency (MBDA), the Bush Administration request was $28.9 million for FY2003, about $.5 million (1.7%) above the$28.4 million appropriated in FY2002. The 107th Senate Appropriations Committee recommended$28.6 million, roughly $200,000 above the FY2002appropriation. The FY2003 enacted funding was $28.9 million, which matched the Administration request.

The U.S. Patent and Trademark Office (USPTO) is funded by user fees collected from customers. After a series of Continuing Resolutions that funded theOffice at FY2002 levels, the Omnibus Budget Act ( P.L. 108-7 ) provided the USPTO with the budget authority tospend $1,182.6 million for FY2003. Of thisamount, $1,015.2 million is to be derived from offsetting collections and $166.8 million is from fees collected inprevious years. The budget authority is 5% morethan the previous fiscal year, but is less than the $1,527 million expected to be collected in patent and trademarkfees in FY2003.

The Administration's FY2004 budget would provide the USPTO with the authority to spend $1,203 million from fees collected in that fiscal year. In addition, theAdministration is proposing legislation to change the statutory fee structure to raise an additional $201 million tobe spent by the Office. The expected $1,404million in budget authority is $100 million less than the anticipated $1,504 million fee collection for FY2004.

Since 1990, appropriation measures have limited the Patent and Trademark Office's use of the full amount of fees collected in each fiscal year. This is an area ofcontroversy. Opponents argue that since agency operations are supported by payments for services, the total amountof these collections should be available toprovide for those services in the year the expenses are incurred. Proponents of the current approach maintain thatthe fees are necessary to balance the budget andthat the level of fees appropriated back to the USPTO are sufficient to cover operating expenses. (13)

For FY2003, President Bush requested a total of $3.21 billion in appropriations for the National Oceanic and Atmospheric Administration (NOAA) . Of thisamount, $2.28 billion was requested for NOAA's Operations, Research and Facilities (ORF) account; $811.4 millionfor the Procurement, Acquisitions, andConstruction (PAC) account; and $114.1 million for NOAA's Other Accounts. Additional budget authority of $75million would be transferred from the Promoteand Develop Fishery Products and Research Pertaining to American Fisheries (PDAF) account, and $3 million incollected fees would be transferred to ORF fromthe Coastal Zone Management Fund (CZMF). Total Budget Authority requested for NOAA for FY2003 would be$3.33 billion. NOAA's Office of FinancialAdministration (OFA) reported that $574.8 million was requested for research and development (R&D)spending for FY2003.

The FY2003 request was 5.65% greater than the President's FY2002 request, and 1.35% less than FY2002 appropriations of $3.38 billion. Of the total ORFfunding requested, $385.3 million was for the National Ocean Service (NOS); $603.5 million for the NationalMarine Fisheries Service (NMFS); $296.9 millionfor Oceanic and Atmospheric Research (OAR); $725.3 million for the National Weather Service (NWS); $151.9million for the National Environmental SatelliteData and Information Service (NESDIS); and $213.2 million for Program Support. Program Support wassubsequently divided as follows: $79.8 million forCorporate Services (NOAA Administration), $108 million for the Office of Marine and Aviation Operation(OMAO), and $24.6 million for NOAA Facilities(FAC). NOAA's Other Accounts include Pacific Coastal Salmon Funding (PCSF) for which $110 million wasrequested; $3 million from the CZMF, which istransferred to NOS; and $1.1 million for other fishery-related funds.

Highlights of the FY2003 President's request included significant changes to base funding for all NOAA programs for Civil Service Retirement System expenses(CSRS). These new obligations totaled $92.2 million in discretionary funding, expenses which were originallyfunded by the federal Office of PersonnelManagement (OPM). The OMAO request included $815,000 for new hires for NOAA's uniformed CORPS, and$36.7 million for the CORPS Officer'sretirement fund (mandatory). Another significant change to base funding for OAR was a reduction of $62.4 millionfor the Ocean and Great Lakes ResearchPrograms, which was premised on the President's proposal to transfer the National Sea Grant College Program tothe National Science Foundation (NSF). Thistransfer was supported by the NOAA Administrator, who is also Undersecretary of Commerce for Oceans andAtmosphere. In addition, the President requested atotal of $348.5 million for coastal conservation spending for FY2003, authorized under the Coastal and EstuarineLands Conservation Program (CELCP) in TitleVIII of Department of Interior Appropriations for FY2001 ( P.L. 106-552 ). That funding was proposed to be dividedas follows: NOS, $184.5 million; NMFS,$52.8 million; OAR and NESDIS, $1.2 million; and PCSF, $110.0 million.

In the Defense Appropriations Act for FY2002 ( P.L. 107-117 ), NOAA received additional funding of $2.75 million for NESDIS for satellite control operationssecurity, and $0.75 million for oversight and enforcement of the licencing program for satellite data and imagery. Funding was also restored under that same Actfor DOD/USAF, a partner of NOAA in NPOESS, a program to consolidate all federal polar orbiting environmentalobservation satellites systems under oneprogram. This funding raised total appropriations for NPOESS to levels requested for FY2002; similar levels wererequested for FY2003. The President'srequest for Homeland Security activities at NOAA for FY2003 was $24.6 million. New for FY2003, $8.7 millionwas requested for an "Energy Initiative" underOAR which would both manage the agency's research facilities energy use and assist the entire nation with weatheradvice to help conserve energy nation-wide. The President also proposed legislation to establish a Business Management Fund to manage NOAA's operatingcosts. For information on NOAA funding forFY2002, see CRS Report RL31117(pdf) , National Oceanic and Atmospheric Administration: a Review of theFY2002 Budget Request and Appropriations .

The FY2003 CJS appropriations bill, reported by the Senate Committee on Appropriations ( S. 2778 , S.Rept. 107-218 ) on July 24, 2002, wouldprovide total appropriations of $3.350 billion for NOAA, which is $216.7 million, or about 4.4%, more than thePresident's request of $3.210 billion for FY2002,and almost 7.0% more than the FY2002 funding level of $3.133 billion. FY2003 ORF funding levels approved bythe Committee would be $2.337 billion,including $78.2 million in transfers from Other Accounts, and ORF funding would be divided as follows: $403.5million for NOS; $587.9 million for NMFS;$395.7 million for OAR; $682.0 million for NWS; $133.8 million for NESDIS; and $202.9 million for ProgramSupport, including $89.5 million for CorporateServices, $95.9 million for the Office of Marine Aviation Operations, and $17.5 million for FAC. Total PACappropriations approved for FY2003 would be$903.4 million, and include $102.4 million for NOS, $24.0 million for NMFS, $17.1 million for OAR, $66.8million for NWS, $608.6 million for NESDIS, and$84.5 million total for Program Support. Further, the Committee approved $110.1 million for NOAA's OtherAccounts including, $95 million for the PacificCoastal Salmon Recovery Fund, an increase of $5.0 million above the President's FY2003 request; $20 million forPacific Salmon Treaty obligations; $1.4million for various fishery accounts. Further, $3.0 million would be transferred to ORF from CZMF; and therewould be a $3.0 million reduction from fisheriesfinancing.

S. 2778 requires the National Sea Grant College Program to remain in NOAA, where it would be funded at $63.4 million for FY2003. In addition,the bill would provide $20.0 million for exploration of the world's oceans, $6.0 million more than FY2002 levels;create a new initiative, "Ocean Health," whichit would fund at $10 million; provide $1 million to establish a NEPA office in NMFS and to encourage NOAA toimprove its fisheries management capabilities;provide $4.0 million for NOAA responsibilities under the National Invasive Species Act; and encourage NOAAto develop plans for a national system of oceanobservation platforms, including a relocatable underwater laboratory/habitat. The Committee further approved $2.0million for Arctic Research; would provide$14 million for minority colleges and universities to train future scientists; would provide $3.5 million for fisheriesand shellfish restoration in the ChesapeakeBay; and would establish a Business Management Fund in NOAA. Conservation spending approved for FY2003is $480 million, with $264.5 million of thatintended for ORF; $100.5 million for PAC, and $115 million for PCSF.

The Committee did not approve $18 million requested for NOAA's part in the President's Climate Change Research Initiative (CCRI), but instead it noted itssupport for climate research activities being conducted under the U.S. Global Change Research Program. The reportdid not address the proposed NOAA "EnergyInitiative," but would provide a $23.2 million increase for homeland security programs, and would include fundingfor a NWS weather and climatesupercomputing backup, and backup for other programs in NESDIS recommended under the President's CriticalInfrastructure Protection Initiative. Further, thereport addresses the President's proposal to transfer financial responsibilities for CSRS and retiree health benefitsfor all civilian employees to federal agencies. The Senate Appropriations Committee noted that because the Senate Government Affairs Committee -- which hasauthorizing jurisdiction over such matters --had not considered the proposal, funding tables in S.Rept. 107-218 exclude amounts proposed for funding thosebenefits. S. 2778 is underconsideration by the Senate.

On July 19, 2002, Conferees reported out H.R. 4775 , the Homeland Security Emergency Supplemental Appropriations Act for FY2002 ( H.Rept.107-593 ). Appropriations for NOAA under this Act would total $33.5 million, including $4.8 million in ORFfunding for homeland security expenses incurred bythe agency in FY2002. Of this amount, $2.0 million is for NOS to address critical mapping and charting backlogrequirements, and $2.8 million is for NESDIS todevelop backup capability for NOAA's critical satellite products and services. $2.5 million is provided for a coralreef mapping program and some $25.1 millionwould be slated for various fishery programs. In addition, $7.2 million is for a NWS supercomputer backup, whichwould be funded under NOAA's PAC account.Under the original Senate bill ( S. 2551 ), an $8.1 million rescission was proposed from funding provided forNPOESS in FY2002; however, H.R. 4775 (amended) rescinds $8.1 million from funding provided by Section 817 of P.L. 106-78 (NortonSound Fisheries agriculture transfer),instead. The President signed H.R. 4775 into law as P.L. 107-206 on August 2, 2002.

On January 8, 2003, Rep. Wolf introduced H.R. 247 , which recommended House funding for CJS Appropriations for FY2003. It was subsequentlyreferred to the House Appropriations Committee. H.R. 247 proposed a total of $2.97 billion for NOAA, andreduced funding for most of NOAA'sline offices below the President's request, except for NWS. Of total appropriations proposed, $2.14 billion was forORF. Some $701.3 million was for PAC, and$133.3 million was for NOAA's Other Accounts. Additional budget authority of $92 million would be providedfrom transfers and deobligations. H.R. 247 also provided additional funding of $40 million for a final payment for U.S. requirements underthe 1999 Pacific Salmon Treaty. A total of$305 million was for NOAA conservation programs. In addition, $7 million was rescinded from unobligated"Coastal Impact Assistance" funds. H.R. 247 also authorized "such sums as necessary," for new mandatory funding for NOAA retirees' pay andother expenses. Costs were estimated tobe around $52 million.

On January 13, the Senate Appropriations Committee reported H.J.Res. 2 (amended), its version of FY2003 CJS Appropriations. S.Amdt. 1 was a new bill in the nature of a substitute, which recommended a total of $3.35 billion for NOAA. Of that sum, $2.35 billion would befor ORF; $903.4 million would be for PAC; and $93.8 million for NOAA's Other Accounts. Overall funding levelswere slightly greater than those proposed in S. 2778 , because of proposed increases for NOS and NMFS; however, there would be a decrease for NOAA'sOther Accounts. The amendmentauthorized $52.3 million in mandatory spending for NOAA retirees' pay and health benefits. In most cases, fundingrecommendations were greater than thoserequested by the President for NOAA for FY2003, except for NWS, NESDIS, and Program Support. Funding levelswere greater than those proposed in H.R. 247 , except for NWS, NESDIS and Other Accounts. Further, as in S. 2778 , the Sea Grantprogram was funded within NOAA(OAR) at $63 million, rather than in NSF. The Senate passed H.J.Res. 2 (amended) by unanimous consenton January 13, 2003. Overall spendinglevels for NOAA did not change from Committee-recommended levels, except funding for Other Accountsincreased by $0.7 million. Senate floor amendments to H.J.Res. 2 , which affected NMFS funding, called for the transfer of $20 million from the PDAF account tocreate an "Alaska Fisheries MarketingBoard," and $3 million for Louisiana oyster industry disaster assistance.

On January 13, conferees on H.J.Res. 2 approved the FY2003 Consolidated Appropriations Resolution, Section K of which funded NOAA. OnFebruary 15, 2003, conferees reported the resolution ( H.Rept.108-10 ). Appropriations for NOAA were $3,194.6million, with $2,316.5 million of that for ORF,$759 million for PAC, and $59 million for Other Accounts. Additional spending authority of $75 million wouldbe derived from transfers and deobligations. NOS, NWS, and NESDIS received funding levels greater than any approved previously; however, NMFS, OARand Program Support received decreases. Funding for PAC was reduced, but funding for Other Accounts increased, owing to an additional $40 millionauthorized as a final payment for the 1999 PacificCoastal Salmon Treaty. The conferees also approved a transfer of $10 million for Alaskan seafood marketingprogram from the PDAF account (Section 209), and$3 million for Louisiana oyster industry relief from NMFS funding. Further, $7 million was rescinded fromunobligated balances under "Coastal ImpactAssessment." Conferees appropriated $50.9 million for fisheries replacement vessel (FRV) #2 under ProgramSupport. NOAA's Administrative expenses forFY2003 were capped at $243 million. Notable funding for FY2003 also included $574 million for the weathersatellites system (NESDIS), and $760 million forthe National Weather Service "to ensure better weather forecasting."

The National Institute of Standards and Technology (NIST) received $712.1 million in appropriations for FY2003, an increase of almost 5% above FY2002.Included in this figure is $359.4 million for intramural R&D performed under the Scientific and TechnicalResearch and Services (STRS) account, $180 millionfor the Advanced Technology Program (ATP), $106.6 million for the Manufacturing Extension Partnership (MEP),and $66.1 million for construction. Fundingfor activities under the STRS account is 12% above the previous fiscal year while support for ATP and MEP remainfairly constant.

The Bush Administration's FY2004 budget request includes $496.8 million for NIST, 30% less than the FY2003 appropriation. The major portion of thisdecreased funding is due to significant cuts in support for the Advanced Technology Program and the ManufacturingExtension Partnership, two extramuralprograms operated by NIST. The $27 million requested for ATP is to cover on-going commitments; no new projectswould be funded. The $12.6 million forMEP is to finance the operation of centers that have not reached 6 years of federal support. (14) Internal agency R&D under the STRSaccount would receive$387.6 million, an increase of 8% over the previous fiscal year. The construction budget would be $69.6 million. (15)

Continued support for the Advanced Technology Program has been a major funding issue. (16) ATP provides "seed financing," matched byprivate sectorinvestment, to businesses or consortia (including universities and government laboratories) for development ofgeneric technologies that have broad applicationsacross industries. Opponents of the program cite it as a prime example of "corporate welfare," whereby the federalgovernment invests in applied researchactivities that, they maintain, should be conducted by the private sector. The Clinton Administration defended ATP,arguing it assisted businesses (and smallmanufacturers) develop technologies that, while crucial to industrial competitiveness, would not or could not bedeveloped by the private sector alone. SinceFY2000, the initial appropriation bills passed by the House have contained no further funding for ATP, althoughthe program has continued to receive funding inthe final versions of the appropriations bills. The Bush Administration's FY2004 budget proposal once again wouldeliminate the program.

The Office of the Undersecretary for Technology and the Office of Technology Policy (OTP) was funded at $9.9 million in FY2003, a 21% increase over theprevious fiscal year. The Bush Administration's FY2004 budget calls for funding OTP at $8 million.

For FY2003, the National Telecommunications and Information Administration (NTIA) received $73.7 million, including $15.5 million for the TechnologyOpportunities Program (TOP) grants (the Administration had requested the elimination of the TOP grants inFY2003), $43.6 million for the PublicTelecommunications Facilities, Planning and Construction (PTFPC) program, and $14.7 million for salaries andexpenses. For FY2004, the Bush Administrationhas proposed that NTIA receive $21.4 million, down from $73.7 million appropriated for FY2003. Much of thischange would come from the BushAdministration's intent to eliminate funding in FY2004 for TOP, and to suspend the PTFPC program by giving it$3 million to finish ongoing projects. Whilecritics of the TOP grants contend that the program has achieved its objectives of funding pilot programs in areasthat do not have easy or direct access to theInternet or high-speed telecommunications, supporters maintain that the program is very important to closing the"digital divide." For PTFPC, the BushAdministration would like the Corporation for Public Broadcasting to pick up responsibility of this program, whichin recent years has supported conversion ofpublic broadcast transmission to digital. Finally, the Bush Administration has proposed that salaries and expensesfor NTIA, the third part of the administration'sbudget, be $18.8 million for FY2004.

The Government Performance and Results Act (GPRA) enacted by Congress in 1993 ( P.L. 103-62 ; 107 Stat 285) required that agencies develop strategic plansthat contain goals, objectives, and performance measures for all major programs. The latest Strategic Plan issuedby the Department of Commerce for yearsFY2000- FY2005 listed three strategic goals:

Strategic Goal l. Provide the information and the framework to enable the economy to operate efficiently andequitably.

Strategic Goal 2. Provide infrastructure for innovation to enhance American competitiveness.

Strategic Goal 3. Observe and manage the Earth's environment to promote sustainable growth.

As mandated by GPRA, the Department's FY2001 Annual Program Performance Report and FY2003 Annual Performance Plan were released with the FY2002budget proposal. Both the program plan and report are available at: http://www.doc.gov/bmi/budget/ .

Title II. Department of Commerce and Related Agencies (millions of dollars)

a The Patent and Trademark Office (PTO) is fully funded by user fees. The fees collected, but not obligated during the current year, are available for obligation inthe following fiscal year. The prior-year carryover funds count against the FY2003 total appropriationfor the Dept. of Commerce. For example, in the enactedFY2002 amount, $282.3 million in prior-year carry over funds (plus $1.5 in emergency supplemental funds) countedtoward the Commerce Department total, butcurrent year fee funding does not.

Related Legislation

S. 149 (Enzi et al.); H.R. 2581 (Gilman)

Export Administration Act of 2001. A bill to provide authority for national security and foreign policy exportcontrols. S. 149 introduced January 23,2001; reported from the Senate Banking Committee with amendments, March 22, 2001; passed the Senate onSeptember 6, 2001; H.R. 2581 introduced, July 20, 2001; reported by the House International Relations Committee with amendments, August 1,2001; reported by the House Armed ServicesCommittee with amendments, March 6, 2002.

H.R. 4687 (Boehlert)

National Construction Safety Team Act. Bill provided for the establishment of investigative teams to assessbuilding performance and emergency response andevacuation procedures in the wake of any building failure that has resulted in substantial loss of life or that posedsignificant potential loss of life.

S. 2862 (McCain)

Firefighting Research and Coordination Act. Bill provided for the development of standards for firefighterequipment and improve intergovernmentalcoordination of first responder training programs. The bill was reported by the Senate Committee on Commerce,Science, and Transportation on November 18,2002.

Additional Reading

CRS Report 95-36 . The Advanced Technology Program , by [author name scrubbed].

CRS Report RL31680, Homeland Security: Standards for State and Local Preparedness , by Ben Canada.

CRS Report 97-104 . Manufacturing Extension Partnership: An Overview , by [author name scrubbed].

CRS Report 95-30 . The National Institute of Standards and Technology: An Overview , by [author name scrubbed].

CRS Report RL31117(pdf) . National Oceanic and Atmospheric Administration (NOAA): Review of FY2002 Budget Request and Appropriations , by Wayne A.Morrissey.

CRS Report RL30169. Reauthorization of the Export Administration Act , coordinated by [author name scrubbed].

CRS Report RS20906(pdf) . U.S. Patent and Trademark Office Appropriations Process: A Brief Explanation , by [author name scrubbed].

The Judiciary

Background

Typically, Title III of the CJS appropriation covers funding for the Judiciary. By statute (31 U.S.C. 1105 (b)) the judicial branch's budget is accorded protectionfrom presidential alteration. Thus, when the President transmits a proposed federal budget to Congress, he mustforward the judicial branch's proposed budget toCongress unchanged. That process has been in operation since 1939. The total appropriation for the Judiciary inFY2002 was $4.71 billion.

The Judiciary budget consists of more than 10 separate accounts. Two of these accounts fund the Supreme Court of the United States -- one covering the Court'ssalary and operational expenses and the other covering expenditures for the care of its building and grounds. Traditionally, in a practice dating back to the 1920s,one or more of the Court's Justices appear before either a House or Senate appropriations subcommittee to addressthe budget requirements of the Supreme Courtfor the upcoming fiscal year, focusing primarily on the Court's salary and operational expenses. Subsequent to theirtestimony, the Architect of the Capitolsubmits a request for the Court's building and grounds account. (17) Although it is at the apex of the federal judicial system, the Supreme Court represents only avery small share of the Judiciary's overall funding. For FY2002, the total appropriations enacted for the SupremeCourt's two accounts, $107.5 million, were lessthan 2.3% of the Judiciary's overall appropriation of $4.71 billion.

The rest of the Judiciary's budget provides funding for the "lower" federal courts and for related judicial services. Among the lower court accounts, one dwarfs allothers -- the Salaries and Expenses account for the U.S. Courts of Appeals and District Courts. The account,however, covers not only the salaries of circuit anddistrict judges (including judges of the territorial courts of the United States), but also those of retired justices andjudges, U.S. Court of Federal Claims,bankruptcy and magistrate judges, and all other officers and employees of the federal Judiciary not specificallyprovided for by other accounts.

Other accounts for the lower courts include Defender Services (for compensation and reimbursement of expenses of attorneys appointed to represent criminaldefendants), Fees of Jurors, the U.S. Court of International Trade, the Administrative Office of the U.S. Courts, theFederal Judicial Center (charged withfurthering the development of improved judicial administration), and the U.S. Sentencing Commission (anindependent commission in the judicial branch, whichestablishes sentencing policies and practices for the courts).

The annual Judiciary budget request for the courts is presented to the House and Senate appropriations subcommittees after being reviewed and cleared by theJudicial Conference, the federal court system's governing body. These presentations, typically made by the chairmanof the Conference's budget committee, areseparate from subcommittee appearances a Justice makes on behalf of the Supreme Court's budget request.

The Judiciary budget does not appropriate funds for three "special courts" in the U.S. court system: the U.S. Court of Appeals for the Armed Forces (funded inthe Department of Defense appropriations bill), the U.S. Tax Court (funded in the Treasury, Postal Serviceappropriations bill), and the U.S. Court of Appeals forVeterans Claims (funded in the Department of Veteran Affairs and Housing and Urban Development appropriationsbill). Construction of federal courthousesalso is not funded within the Judiciary's budget. The usual legislative vehicle for funding federal courthouseconstruction is the Treasury, Postal Serviceappropriations bill. (For more details on individual appropriations for Judiciary functions, see the appendix.)

FY2003 Funding Issues

Overview of the Judiciary's Budget Request for FY2003. The FY2003 appropriations bill ( H.Rept. 108-10 )provided $4.92 billion for the Judiciary -- roughly $324 million below the requested level, but $197 million abovethe FY2002 amount. Earlier in the 108thCongress, the Senate had set total funding for the Judiciary at $4.95 billion, compared with $4.97 billion in aHouse-introduced bill. For more detail on 108thHouse and Senate funding levels, see table at the end of this section and in the appendix.

For FY2003, the Judiciary had requested $5.24 billion in total funding. More than three quarters of this amount, $4 billion, was to be in the Judiciary's largestaccount, Salaries and Expenses for the Courts of Appeals, District Courts and Other Judicial Services. The FY2003omnibus appropriations bill provided $3.8billion for this account, a 5.6% increase over FY2002 funding of $3.6 billion.

In keeping with the Judiciary's request, the omnibus FY2003 appropriations bill provided increases for all of the other Judiciary accounts, except for two -- theSupreme Court's Building and Grounds account and Judicial Retirement Funds. (18) In a separate bill, Congress also agreed to the Judiciary's request for acost-of-living salary adjustment for federal judges and justices. That request, as well as those for the SupremeCourt, and for two of the Judiciary's other largeraccounts, Court Security and Defender Services, are discussed in the following paragraphs. (19)

Supreme Court. The budget request of the Supreme Court for FY2003, as customary, was in two parts. For its firstaccount, Salaries and Expenses, the Court had requested $46.3 million -- 15.8% over FY2002 budget authority. (20) The enacted FY2003 appropriations billprovided $45.7 million, roughly $600,000 below the requested level, but $5.7 million above the FY2002 amount.

For the Court's second account, Care of the Building and Grounds, the FY2003 omnibus bill provided $41.6 million, roughly $12 million below the requestedlevel (21) and $26 million below the FY2002 amount. However, House and Senate conferees (p. 734 of H.Rept. 108-10 ) said that they understood that "theseadditional obligations [of $12 million] will occur in subsequent fiscal years and therefore may be budgeted in thosefiscal years."

Court Security. The enacted FY2003 omnibus appropriation bill provided $268.4 million for this account, which isroughly $29.8 million below the requested level and $47.7 million above the FY2002 level. Conferees for theFY2003 bill (p. 736 of H.Rept. 108-10 ) noted thatCourt Security "is a unique account appropriated to the Judiciary but primarily managed by the Department ofJustice." The conferees said they expected theDirector of the U.S. Marshals Service "to provide the same level of budgetary and program oversight to this programas programs appropriated directly to the U.S.Marshals Service."

The Judiciary had requested $298.2 million, a 7.2% increase, which, it explained, included $45.6 million for the annualized, recurring costs associated withincreased court security officer hours, additional deputy U.S. marshals, and enhanced screening (all of which wereimplemented subsequent to the September 11,2001 terrorist attacks in New York City and Washington, D.C.) The largest requested program increase, of $5.4million, would fund perimeter securityimprovements at federal court courthouses.

Besides seeking funding for Court Security in its regular annual appropriation, the Judiciary, since September 11, 2001, had obtained emergency supplementalfunding. Of $278.2 million appropriated for Court Security in FY2002, $77.2 million came from emergencysupplemental funding to enhance security at federalcourt facilities nationwide. Of the $77.2 million, $19.7 million was provided by the President through an emergencyallocation on October 17, 2001, and $57.5million came from the supplemental signed by the President on January 10, 2002, P.L. 107-117 .

Subsequently, on July 19, 2002, another emergency supplemental bill, H.R. 4775 , was approved by House-Senate conferees, which includedadditional funding for court security measures, though not in the Judiciary's Court Security account. (Followingits approval in conference, H.R. 4775 was passed by the House and Senate on July 23 and 24, 2002, respectively, and signed into law ( P.L. 107-206 )on August 2, 2002.) As noted above, H.R. 4775 included $10.0 million to address the Supreme Court building's perimeter security needs. Inaddition, the supplemental bill included $7.1million for increased costs associated with terrorist-related trials in Alexandria, VA; Boston; and New York City. (The $7.1 million appropriation was to go to theJudiciary's Courts of Appeals, District Courts, and Other Judicial Services -- Salaries and Expenses account.) Ofthe $7.1 million, $5.2 million was for perimetersecurity enhancements such as protective window film for courts with terrorist trials, and $1.9 million for costsassociated with the closed circuit transmission ofthe criminal trial of Zacarias Moussaoui to victims of the September 11, 2001 attacks. (22)

Defender Services. This account funds the operations of the federal public defender and community defenderorganizations, and the compensation, reimbursement and expenses of private practice "panel attorneys" appointedby the courts to serve as defense counsel toindigent individuals accused of federal crimes. The FY2003 omnibus bill provided $538.5 million, which is roughly$50.2 million below the request, but $37.8million above the FY2002 amount.

Earlier, the Judiciary had sought $588.8 million, a 17.6% increase. Nearly all of the requested increase, $87.5 million, according to the Judiciary, consisted of adjustments to base to maintain current services. Specifically, of that overall amount, $30.1 million would"annualize" in FY2003 the hourly increase in the payrate of panel attorneys approved by Congress in the FY2002 CJS-Judiciary bill. (23) Another $17.1 million in requested funding would increase the hourly panelattorney rate from $90 to $113 effective April 1, 2003. In its FY2003 budget submission to Congress, the Judiciarytermed the requested $17.1 million increase asan adjustment to base "rate adjustment" rather than a program increase. The Judiciary explained that under theCriminal Justice Act, as revised in 1986, theJudicial Conference is authorized to make annual adjustments to the panel attorney hourly pay rate. Accordingly,funding to increase the hourly rate to $113, theJudiciary said, would ensure that it would not be "further eroded by inflation."

Conferees for the FY2003 omnibus bill explained (in H.Rept. 108-10 , p. 735) that their agreement included an increase, as requested by the Judiciary, of $30.1million to annualize the panel attorney rate increase provided in FY2002. They noted, however, that their agreementdid not include the requested additionalfunding for an increase in the pay rate for panel attorneys to $113 an hour. (24)

Cost-of-Living Increase in Judges' and Justices' Salaries. The Ethics Reform Act of 1989 ( P.L. 101-194 , Sec. 704)created a statutory mechanism under which judges and other federal officials are to receive an annual salaryadjustment, based on the Employment Cost Index(ECI), effective January 1. However, under the provisions of P.L. 97-92 , Sec. 140, such annual adjustments for thejudiciary must be specifically approved byCongress. Because the 107th Congress adjourned without enacting the permissive language, theJanuary 2003 salary adjustment of 3.1%, which went into effectfor Members of Congress and other legislative and executive branch officials, did not go into effect for the Judiciary. Subsequently, however, P.L. 108-6 ( H.R. 16 , 108th Congress) was enacted, providing that the judges would receive the payincrease, retroactive to January 1, 2003. (25)

Earlier, in July 2002, the Senate Appropriations Committee had recommended, and provided $8 million in funding for, a 4.1% cost-of-living increase in thesalaries of lower federal court judges and Supreme Court justices ( S. 2778 , Sec. 304). Prior to the Senatecommittee action, the Judiciary, in itsFY2003 budget submission, had requested $7.0 million to fund a 2.6% cost-of-living increase for judges andjustices, consistent with the expected 2003 salaryadjustment for federal employees. (26)

The FY2003 pay adjustment follows similar upward adjustments in judges' and justices' salaries which Congress approved in fiscal years 2002, 2001, 2000,1998, and 1993. Congress, however, declined to authorize such adjustments for FY1999 or for fiscal years 1994through 1997.

As part of the budget process, the Government Performance and Results Act (GPRA) enacted by Congress in 1993 ( P.L. 103-62 ; 107 Stat. 285) requires thatagencies develop strategic plans that contain goals, objectives, and performance measures for all major programs. However, as noted earlier, the judicial branch isnot subject to the requirements of this Act.

Title III. Judiciary (millions of dollars)

Related Legislation

P.L. 107-273 ( H.R. 2215 )

21st Century Department of Justice Appropriations Authorization Act. Includes provision foreight new permanent district judgeships, seven new temporarydistrict judgeships, and conversion of four temporary district judgeships to permanent judgeships. Introduced inHouse, June 19, 2001; reported by JudiciaryCommittee ( H.Rept. 107-125 ), July 10, 2001; passed House on voice vote, July 23, 2001. Reported by SenateJudiciary Committee with an amendment in natureof a substitute (without written report), October 30, 2001; passed Senate with amendments by Unanimous Consent,December 20, 2001. Conference report( H.Rept. 107-685 ) filed, September 25, 2002; report agreed to in House, September 25, 2002, by 400-4 vote; reportagreed to in Senate by Unanimous Consent,October 3, 2002. Bill signed into law by President ( P.L. 107-273 ).

H.R. 272 (Gonzalez)

Companion bill to S. 147 . Introduced and referred to Judiciary Committee, January 30, 2001; referredto Subcommittee on Courts, the Internet, andIntellectual Property, February 12, 2001.

H.R. 570 (Biggert)

Federal Judicial Fairness Act of 2001. Repeals Federal statute limiting salary increases for Federal judges orSupreme Court Justices to those specificallyauthorized by Act of Congress, increases judicial pay immediately by 9.6%, and provides for automatic annualcost-of-living increases in judicial salaries. Introduced, and referred to Judiciary Committee, February 13, 2001; referred to Subcommittee on Courts, theInternet and Intellectual Property, February 23,2001.

H.R. 2522 (Coble)

Federal Courts Improvement Act of 2001. Sets forth or modifies various provisions regarding judicial process(including bankruptcy administrator authority toappoint trustees) and judicial personnel administration, benefits, and protections, (including provisions concerningdisability retirement and cost-of-livingadjustments of annuities for territorial judges, compensation for Federal Judicial Center employees; annual leavelimit for judicial branch executives; andsupplemental benefits for judicial branch employees). Introduced, and jointly referred to Judiciary Committee andCommittee on Education and the Workforce,July 17, 2001. Referred to Judiciary Subcommittee on Courts, the Internet, and Intellectual Property, July 20, 2001;subcommittee hearings held, July 26, 2001. Jointly referred to Education and Workforce Subcommittee on Employer-Employee Relations and Subcommitteeon 21st Century Competitiveness, October 9,2001.

H.R. 4125 (Coble)

Federal Courts Improvement Act of 2002. Makes various administrative changes to federal judiciary proceduresand allows for the establishment of asupplemental benefits program for officers and employees of the judicial branch. Introduced and referred toJudiciary Committee, April 10, 2002; referred toJudiciary Subcommittee on Courts, the Internet, and Intellectual Property, April 26, 2002; approved and reportedto full Judiciary Committee, May 1, 2002;reported as amended by full Judiciary Committee ( H.Rept. 107-700 ), September 30, 2002; passed House by 370-21vote, October 1, 2002. Received in Senate,Oct. 2, 2002.

S. 147 (Feinstein)

Southwest Border Judgeship Act of 20001. Creates, in federal judicial districts in four southwest border States,nine permanent district judgeships and ninetemporary district judgeships. Introduced, and referred to Judiciary Committee, January 23, 2001.

S. 1162 (Feinstein)

Companion bill to H.R. 570 (below). Introduced, and referred to Judiciary Committee, July 11, 2001.

Additional Reading

CRS Report 98-527 . Federal Courthouse Construction, by [author name scrubbed].

CRS Report RS20278. Judicial Salary-Setting Policy , by [author name scrubbed].

U.S. Administrative Office of the United States Courts. "[Chief Justice's] 2002 Year-End Report on the Federal Judiciary," The Third Branch , vol. 34, January2002, pp. 1-8, available at http://www.uscourts.gov/ttb/jan03ttb/jan03.html , visited March 17, 2003.

Department of State and International Broadcasting

Background

The State Department, established July 27, 1789 (1 Stat.28; 22 U.S.C. 2651), has a mission to advance and protect the worldwide interests of the United Statesand its citizens. Currently, the State Department supports the activities of more than 50 U.S. agencies andorganizations operating at 257 posts in 180 countries. As covered in Title IV, the State Department funding categories include administration of foreignaffairs , international operations , international commissions ,and related appropriations . The enacted FY2002 State Departmentappropriation was $7.9 billion. Typically, more than half of State's budget (about 71%allocated for FY2002) is for Administration of Foreign Affairs, which consists of salaries and expenses, diplomaticsecurity, diplomatic and consular programs,technology, and security/maintenance of overseas buildings.

The Foreign Relations Authorization for FY1998-1999 ( P.L. 105-277 ) provided for the consolidation of the foreign policy agencies. As of the end of FY1999, theArms Control and Disarmament Agency (ACDA) and the United States Information Agency (USIA) were abolished,and their budgets and functions were mergedinto the Department of State.

Security issues have remained a top priority since the August 7, 1998 terrorist attacks on two U.S. embassies in Africa. An immediate response was a $1.56billion supplemental enacted by the end of that year. In November 1999, the Overseas Presence Advisory Panelreported its findings on embassy security needsand recommendations. Also in November 1999, Congress authorized ( P.L. 106-113 ) $900 million annually forFY2000 through FY2004 for embassy securityspending within the embassy security, construction and maintenance (ESCM) account, in addition to worldwide security funds in the diplomatic and consularprograms (D&CP) account.

After the September 11, 2001 terrorist attack, Congress passed emergency supplemental funds ( P.L. 107-38 and P.L. 107-117 ) which included a total of $254.9million for counter-terrorist and emergency response activities within the Department of State and $47.9 millionfor international broadcasting. In addition,Congress passed an FY2002 supplemental ( H.R. 4775 ; H.Rept. 107-593 ) which provided $303 million forthe Department of State and $15.1 millionfor international broadcasting. (For an account-by-account presentation, see CRS Report RL31370 , StateDepartment and Related Agencies: FY2003Appropriations .)

The United States contributes in two ways to the United Nations and other international organizations: (1) voluntary payments funded in the Foreign OperationsAppropriations bill and (2) assessed contributions included in the Commerce, Justice, and State Appropriationsmeasure. Assessed contributions are provided intwo accounts, international peacekeeping (CIPA) and contributions to international organizations (CIO) . Following a periodof dramatic growth in the numberand costs of U.N. peacekeeping missions during the early 1990s, a trend that peaked in FY1994 with a $1.1 billionappropriation, funding requirements havedeclined in recent years. The FY2000 enacted appropriation for CIO was $885 million, $500 million forinternational peacekeeping, and $351 million for U.S.arrearage payments to the U.N. if certain reform criteria were met. Only $100 million of the appropriated arrearagepayments had been released because thereforms had not been implemented. After the United States lost its seat on the U.N. Human Rights Commissionin 2001, the Foreign Relations Authorization billadded a provision (Sec. 601, H.R. 1646 ) that would have restricted payment of $244 million of U.S. arrearagepayments to the U.N. until the UnitedStates regained its seat. After the September 11th attacks, however, Congress passed S. 248 ( P.L.107-46 ) which authorized arrearage payments to theU.N. (For more detail, see CRS Issue Brief IB86116, U.N. System Funding: Congressional Issues , by[author name scrubbed]).

International broadcasting , which had been a primary function of the USIA prior to 1999, is now carried out by an independent agency referred to as theBroadcasting Board of Governors (BBG). The BBG includes the Voice of America (VOA), Radio FreeEurope/Radio Liberty (RFE/RL), Cuba Broadcasting,Radio Free Asia (RFA), Radio Free Iraq, Radio Free Iran and the newly-authorized Radio Free Afghanistan. TheBBG's FY2002 appropriation was $498.2million including funds for over 3,400 staff positions. In FY2002 the BBG began a pilot project to create a newMiddle East Radio Network (MERN) byreallocating base funds. The emergency supplementals passed in 2001 and 2002 included funding for expandedbroadcasting by VOA and RFE/RL to Muslimaudiences in and around Afghanistan and the creation of Radio Free Afghanistan.

FY2003 Funding Issues

The Administration's FY2003 budget request for the Department of State and international broadcasting totaled $8.1 billion, 3.5% above the FY2002 enactedlevel of $7.9 billion ($8.16 billion including supplementals). The request was comparable to the FY1999 enactedlevel which also included the $1.56 billionemergency supplemental appropriation for overseas security and Y2K computer compliance. Secretary of StateColin Powell testified before House and Senatecommittees in February, March, and April, 2002, that the Administration's State Department budget request forFY2003 continued to have the same three toppriorities as the previous year: 1) embassy construction and security; 2) information technology; and 3) hiringadditional Foreign and Civil Service staff.

The House FY2003 funding for State Department and broadcasting ( H.R. 247 ) totaled $7.9 billion while the Senate level was set at $7.7 billion by H.J.Res. 2 . The enacted total was $7.9 billion.

In early summer 2002, Congress debated whether to keep the authority of overseas visa issuance within the Department of State or move it into a new Departmentof Homeland Security. The Homeland Security Act ( P.L. 107-296 ), signed November 25, 2002, provided for theSecretary of Homeland Security to haveauthority over visa issuance policies and regulations, while the activities and funding of visa issuance will continueto be through the Department of State. (Formore detail the State Department budget, see CRS Report RL31370 , State Department and Related Agencies:FY2003 Appropriations and FY2004 Request , by[author name scrubbed].)

The Administration sent a supplemental request to Congress on March 21, 2002, seeking an additional $51.05 million for D&CP, $2.5 million for CIF, $10million for educational and cultural exchanges, $200.516 million for ESCM and $8 million for emergencies indiplomatic and consular service. Congress passed H.R. 4775 ( H.Rept. 107-593 ) which provided FY2002 supplemental funding of $47.5 million for diplomaticand consular programs; $15 million foreducational and cultural exchanges; $210.5 million for ESCM security; $7 million for U.S. contributions tointernational organizations; $23 million for U.S.contributions to international peacekeeping; and $15.1 million to international broadcasting accounts.

The President's FY2003 request of $5,886.9 million for State's administration of foreign affairs was slightly above the FY2002 enacted level, includingsupplemental funds. The administration of foreign affairs requestincluded: $3,937 million for D&CP , $177 million for the capitalinvestment fund (CIF) ; $245million for educational and cultural exchanges account; $1,305 million for ESCM ; and $15 million for emergencies in the diplomaticand consular services account.

In the 108th Congress, the House recommended $5,719.7 million for the administration of foreign affairs : $3,822.3 million for D&CP ; $177 million for CIF ;$250.3 million for educational and cultural exchanges ; $1,255 millionfor ESCM ; and $10.5 million for emergencies in the diplomatic andconsular services .

The Senate set $5,534.5 million for administration of foreign affairs ,$3,621.2 for D&CP ; $210 million for CIF , $237.7 million for educational and culturalexchanges ; $1,255.7 million for ESCM ; and $6.5 million for emergencies in the diplomatic and consular services. The final enacted amounts were$3,822.3million for D&CP; $183 million for CIF; $245.3 million for exchanges; $1,263.5 million for ESCM; and $6.5million for emergencies in diplomatic and consularservices.

Continuing an emphasis on overseas security particularly after the September 11th attacks, the Administration requested a total of $1,308 million for worldwidesecurity upgrades, similar to last year's funding. Of this total, $553 million was within D&CP , primarily for ongoing expenses of past actions such assalaries formore guards, maintenance of security technology, and hiring of 134 additional security professionals. In addition,the Administration requested $755 millionwithin ESCM , largely for upgrading overseas facilities, improving perimeter security,and meeting the needs of the most urgent embassy security projects. TheHouse level was the same as the Administration for both worldwide security upgrades accounts, while the Senateset $579 million for worldwide security upgradesunder the D&CP account and $732.7 million for worldwide securityupgrades under ESCM . The enacted levels were those of the House andthe Administration. (For more detail, see CRS Report RL30662 , Embassy Security: Background, Funding, and the Budget, by [author name scrubbed].)

The nonsecurity-related funding request of $3,383.8 million within D&CP was primarily for salaries and expenses of personnel, as wellas support for U.S.diplomatic activities around the world. Secretary Powell testified that, while the Department did get congressionalapproval and funding last year to increasehiring by 360 general staff, 186 security professionals, and technical experts in 2002, staffing gaps continue to exist. The FY2003 State Department requestincluded funding for 631 new positions. That would amount to an increase in new hires of more than 1,100 withintwo years. The House level for nonsecurityDC&P funding equaled $3,269.3 million and the Senate level was $3,042.1 million. Congress passed theHouse level in the omnibus budget bill.

The capital investment fund (CIF) , which was established in 1994, provides for purchasing information technology and capital equipment to ensure efficientmanagement, coordination, operation, and utilization of State's resources. For many years, State Departmentofficials have testified that the Department'stechnology problems -- ranging from archaic telephones and copy machines to lack of computers and Internet access-- have received inadequate funding. Thispoint was evident after the September 11th terrorist attacks when the embassies did not have the abilityworldwide to communicate with each other or with StateDepartment headquarters in Washington, D.C. The FY2003 request equaled $177 million. The House set the samelevel as the Administration request, while theSenate recommended a higher level of $210 million. Congress enacted $183 million for CIF in the final bill.

Educational and cultural exchange programs include programs such as the Fulbright, Muskie, and Humphrey academic exchanges, as well as the internationalvisitor exchanges and some Freedom Support Act programs. Secretary of State Powell testified on Capitol Hill thathe believes exchange programs are critical topromoting American ideals and democracy abroad. The Administration requested $245.3 million for the FY2003exchange account, an increase of about $8million (3.3%) over the FY2002 level. This amount would be the highest level for exchanges since the mid-1990swhen the Freedom Support and the Support forEast European Democracy (SEED) programs were first funded. The supplemental ( P.L. 107-206 ) provided anadditional $15 million to increase exchanges withMuslim populations. The House set its funding level for exchanges at $250.3 million; the Senate recommended$237.7 million, lower because of thesupplemental funding. The final funding level amounted to $245.3 million, as the Administration had requested.

The Bush Administration requested $891.4 million for contributions to international organizations (CIO) . The request provided full funding of U.S. assessedcontributions to 43 international organizations including the World Health Organization, the North Atlantic TreatyOrganization, the International Atomic EnergyAgency, and the Organization for Economic Cooperation and Development. In addition, the Administrationrequested (and received) $7 million within thesupplemental request to meet U.S. assessed obligations of costs of the U.N. Special Representative's operation inAfghanistan. The House bill set funding at $858million while the Senate bill put it at $866 million. The Senate level was enacted by Congress.

The Administration requested $726 million for international peacekeeping ($118.2 million less than the FY2002 level) which would provide fundingfor ongoingpeacekeeping activities in Kosovo, East Timor, Africa, and the Middle East. Funds would also support War CrimesTribunals for Yugoslavia and Rwanda. Thelower request reflected a lower peacekeeping assessment rate, and project terminations or reduction of operationsin specified areas. The Administration requestedthat 15% of CIPA funds be provided as two-year funding because of the unpredictability of requirements for thisaccount from year-to-year. Within thesupplemental request, the Administration sought an additional $43 million for CIPA to meet the U.S. share ofprojected increases in U.N. peacekeepingoperations. Congress provided $23 million for the supplemental request for this account. The House funding levelwas identical to the Administration's request. The Senate recommended $673.7 million, which was the amount enacted.

The Administration's FY2003 request for international broadcasting totaled $507 million or about 2% above the FY2002 level including the emergencysupplemental. The request included $25.4 million for Cuba Broadcasting and $13.7 million for capitalimprovements. The request sought funding for surgebroadcasting to South/Central Asia and the Middle East, AM transmitting facilities in Egypt and Djibouti, andbroadcasting in Arabic and other languages amongMuslim populations. The capital improvements funding request of $13.7 millionwould provide continued financial support for technical improvements andmaintenance of existing facilities, as well as medium wave transmission capability in the Middle East. In addition,the Administration requested supplementalfunding of $7.4 million for expanding broadcasting services in the Dari and Pashto languages; Congress provided15.1 million for expanding those services andfor infrastructure-related needs in the supplemental. The House set total internationalbroadcasting funds at $509.5 million, with $13.7 million for capitalimprovements and nothing designated for CubaBroadcasting . The Senate passed $470.2 million for the total broadcasting package, including $13.7million for capital improvements and $25 million for CubaBroadcasting. Congress finally enacted a total of $506.6 million for international broadcasting which included$12.7 million for capital improvements and $25 million for CubaBroadcasting.

The Government Performance and Results Act (GPRA) enacted by Congress in 1993 ( P.L. 103-62 ; 107Stat 285) required that agencies develop strategic plansthat contain goals, objectives, and performance measures for all major programs. State's most recent GPRA report: U.S. Department of State Performance Plan,Fiscal Years 2001 - 2002 , September 2001, established the following 8 categories of performance goals: 1)National Security, including weapons of massdestruction and regional stability; 2) Economic prosperity, such as open markets, U.S. exports, global economicgrowth, and economic development; 3) Americancitizens and U.S. borders with subcategories -- American citizens, and travel and migration; 4) Law enforcementwith emphasis on international crime, illegaldrugs, and countering terrorism; 5) Democracy; 6) Humanitarian response; 7) Global issues including environment,population, and health; 8) Diplomaticreadiness -- mutual understanding, human resources, information resources, and infrastructure and operations.

Title IV. Department of State and International Broadcasting (millions of dollars)

a Figures do not include across-the-board rescissions.

b In addition to appropriations, State has authority to spend certain collected fees from machinereadable visas, expedited export fees, etc. The amount for suchfees for FY2002 is $516.9 million; for FY2003 the estimate is $739.6 million.

Related Legislation

P.L. 107-228 ( H.R. 1646 , S. 1401 , S. 1803 )

The Foreign Relations Authorization Act, Fiscal Years 2002 and 2003. Would authorize State Departmentspending of appropriations and other foreign relationsactivities. Introduced April 27, 2001. Committee reported bill to House ( H.Rept. 107-57 ). Passed by the House(352-73) May 16, 2001. Referred to SenateForeign Relations Committee May 17, 2001. Senate Foreign Relations Committee markup held July 26. Committeereported bill to the Senate ( S.Rept. 107-60 )on September 4. Senate added S. 1803 as an amendment to H.R. 1646 and passed it May 1, 2002. Conference was held September 18;the House passed the conference report by voice vote on September 25; the Senate passed it by unanimous consenton September 26. It was signed into law ( P.L.107-228 ) on September 30, 2002.

H.R. 3969 (Hyde)

The Freedom Promotion Act of 2002. Would promote U.S. public diplomacy activities, exchange programswith predominately Muslim countries, and reorganizeinternational broadcasting. Introduced March14, 2002. Committee markup and ordered reported April 25, 2002.Passed in the House by voice vote on July 22,2002.

Additional Reading

CRS Report RL30662 . Embassy Security: Background, Funding, and the Budget , by [author name scrubbed].

CRS Report RL31046 . Foreign Relations Authorization, FY2002/2003: An Overview , by [author name scrubbed].

CRS Report RL31370 . State Department and Related Agencies FY2003 Appropriations , by [author name scrubbed].

CRS Issue Brief IB86116. U.N. System Funding: Congressional Issues , by [author name scrubbed].

Other Related Agencies

Background and Current Issues

This section includes all other related agencies covered by Title V of the CJS appropriations bill whose FY2003 appropriations exceeded $1.8 million. (27) The CJSappropriations also cover funding for several relatively small governmental functions, including several specialgovernment commissions. (See table below and inthe appendix for 108th House and Senate funding levels.) (For additional information on the fundingof other related agencies covered by this legislation, see Budget of the United States Government, Fiscal Year 2003 -- Appendix, 107th Cong.)

Maritime Administration (MARAD). MARAD administers programs that aid in the development, promotion,and operation of the nation's merchant marine (including programs that benefit vessel owners, shipyards, and shipcrews). The Administration requested $207million for MARAD for FY2003, $17.6 million less than Congress appropriated in FY2002. The President's budgetrequest included $93 million for operationsand training and $98.7 million for the Maritime Security Program (MSP). MSP is a fleet of 47 privately-owned U.S.flag commercial vessels engaged ininternational trade that are available to support the Department of Defense in a contingency. The Administrationrequested $11 million for the disposal of fourobsolete ships in the National Defense Reserve Fleet. Congress appropriated no funds for ship disposal in FY2002. Title XI, the Maritime Guaranteed LoanProgram, provides guaranteed loans for purchasing ships from U.S. shipyards and for the modernization of U.S.shipyards. The President requested no additionalfunds for loan guarantees for FY2003. In FY2002, Congress appropriated $33 million for Title XI loan guarantees.

P.L. 108-7 provided $206.7 million, nearly the same level of funding for the Maritime Administration as the Administration's budget request. This includes noadditional funds for loan guarantees in the Title XI ship financing program.

The Small Business Administration (SBA). The SBA is an independent federal agency created by the SmallBusiness Act of 1953. While the agency administers a number of programs intended to assist small firms, arguablyits three most important functions are toguarantee -- principally through the agency's 7(a) general business loan program -- business loans made by banksand other financial institutions; to makelong-term, low-interest loans to victims of hurricanes, earthquakes, other physical disasters, and acts of terrorism;and to serve as an advocate for small businesswithin the federal government. (28)

For FY2003, the President requested a total appropriation of $783 million for SBA, including $352 million for S&E. The conference agreement provides SBAwith a total appropriation of $736.5 million, including $314 million for S&E.

Legal Services Corporation (LSC). LSC is a private, non-profit, federally-funded corporation that providesgrants to local offices that, in turn, provide legal assistance to low-income people in civil (non-criminal) cases. TheLSC has been controversial since its inceptionin the early 1970s, and has been operating without authorizing legislation since 1980. There have been ongoingdebates over the adequacy of funding for theagency, and the extent to which certain types of activities are appropriate for federally funded legal aid attorneysto undertake. In annual appropriations laws,Congress traditionally has included legislative provisions restricting the activities of LSC-funded grantees, such asprohibiting representation in certain types ofcases or conducting any lobbying activities.

Congress appropriated $329.3 million for LSC for FY2002. This was identical to the FY2001 appropriation for LSC (after the rescission) and the BushAdministration's FY2002 budget request for LSC. The LSC appropriation for FY2002 included $310 million forbasic field programs, $12.4 million formanagement and administration, $4.4 million for client self-help and information technology, and $2.5 million forthe inspector general. P.L. 107-77 alsoincluded existing provisions restricting the activities of LSC grantees. ( For more detail, see CRS Report 95-178. Legal Services Corporation: Basic Facts andCurrent Status , by [author name scrubbed].)

For FY2003, the Bush Administration requested $329.3 million for the LSC, which included $310 million for basic field programs, $13.3 million formanagement and administration, $3.4 million for client self-help and information technology, and $2.6 million forthe inspector general. The budget request alsocontinued all restrictions on LSC-funded activities currently in effect. The Administration's FY2003 request forLSC ($329.3 million) was the same as theamount currently obligated for the program for FY2002. Historically, the Corporation's highest level of fundingwas $400 million in FY1994 and FY1995.

For FY2003, the 107th Senate Appropriations Committee recommended a total of $329.4 million for the LSC for FY2003 ( S. 2778 ; S.Rept. 107-218 ). This is $97,000 above the FY2002 appropriation for LSC and the Bush Administration's FY2003 budget requestfor the LSC (it included funds for a 4.1% payadjustment). The FY2003 Senate Committee budget request included $310 million for basic field programs, $13.3million for management and administration,$3.4 million for client self-help and information technology, and $2.6 million for the inspector general. The SenateAppropriations Committee's FY2003 budgetrequest also would have continued all restrictions on LSC-funded activities currently in effect. The conferenceagreement increases LSC funding by $9.5 millionto $338.8 million for FY2003 to offset decennial Census funding reallocations. This final appropriation level wasa compromise between the 108th House andSenate levels.

Equal Employment Opportunity Commission (EEOC). The Commission enforces laws banning employmentdiscrimination based on race, color, national origin, sex, age or disability. The EEOC's workload has increaseddramatically since the agency was created underTitle VII of the Civil Rights Act of 1964. Passage of the Americans with Disabilities Act of 1990 and the CivilRights Act of 1991, as well as employees'growing awareness of their rights, have made it difficult for the agency's budget and staffing resources to keep pacewith its heightened caseload.

Congress approved $279 million for the agency's FY1999 budget, an increase of $37 million. The following year the appropriation rose minimally to $282million, but the Commission received a $21 million increase for FY2001 ($303 million). Despite this fundingpattern, the EEOC was able to reduce by about 70%the backlog of private sector charges from a high of 111,000 in mid-1995 and to reduce the average processing timefor private sector charges to 216 days. (Thelatter was largely due to the Commission's expanded use of alternative dispute resolution, ADR, procedures, e.g.mediation).

The Congress complied with President Bush's request for $310.4 million for FY2002 -- an increase of $7.2 million -- to allow the agency to further enhance itsrecord in its private sector program and to make improvements in its federal sector program, among other things. The Commission was directed to continuereducing the backlog of private sector discrimination charges (32,481 in FY2001); it expressed concern about thestill high level of these charges and expected theagency to exceed the small (6%) backlog reduction assumed in the Administration's budget request.

The Bush Administration's budget request of $323.5 million for the EEOC for FY2003 included $14.7 millionto fund the agency's full share of federal employeeretirement costs as part of the Administration's government-wide proposal; without this cost, the FY2003 budgetrequest was $308.8 million. The Commissionhad anticipated achieving a 12.1% reduction in the backlog of private sector charges and had expected to deal withthe $1.6 million decrease from its FY2002appropriation through efficiencies realized from workforce restructuring.

The 108th Congress approved a $308.8 million budget for the EEOC for FY2003, or $1.6 million less than for FY2002. The conferees expressed concern about abudget shortfall for the year, unless the Commission is able to realize savings in salaries, expenses, and otheroperational costs. Toward that end, the EEOC mustsubmit to the Appropriations Committees, within 60 days of the bill's enactment, a financial plan that includes stepsthe Commission will take to stay within itsFY2003 appropriation level. As a continuing reflection of the importance Congress places on the work of state andlocal fair employment practice agencies(FEPAs), $33.0 million of the Commission's appropriation is to go toward their funding and permit a contract rateof $500 per charge. The conferees encouragedthe EEOC to use the FEPA experience with mediation as the Commission expands its ADR programs.

Commission on Civil Rights. The Commission collects and studies information on discrimination or denials ofequal protection of the laws. It received an appropriation of $8.9 million in FY2000 and FY2001. The FY2002enacted level is $9.1 million. The President'srequest for FY2003 was to continue funding at $9.1 million.

Federal Communications Commission (FCC). The FCC is an independent agency charged with regulation ofinterstate and foreign communication by means of radio, television, wire, cable and satellite. The FY2003 omnibusfunding bill has provided total budgetauthority of $271 million for the FCC, with $269 million to be derived from offsetting collections, resulting in adirect appropriation of $2 million. TheCommission had requested $268.3 million, consisting of a direct appropriation of $20.1 million and $248.2 millionin offsetting regulatory fees (compared with adirect appropriation of $26.3 million and $218.8 million in regulatory fees for FY2002).

In H.Rept. 108-10 , conferees for the FY2003 bill expressed their concern about "the declining standards of broadcast television and the impact this decline ishaving on America's children." The conferees directed the Commission to "continue to report to Congress on theissues associated with resurrecting a broadcastindustry code of conduct" for television program content.

In keeping with the requirements of the Government Performance and Results Act, the FCC, as part of its FY2003 budget request, set forth its overall mission andgeneral and specific goals. (29)

Federal Maritime Commission (FMC). The FMC regulates the international waterborne commerce of theUnited States and has responsibility for licensing and bonding ocean transportation intermediaries. TheAdministration requested $17.4 million for the FMC forFY2003, about $1 million more than Congress appropriated in FY2002. The Consolidated AppropriationsResolution 2003, H.J.Res. 2 , provided$16.7 million for the FMC.

The Federal Trade Commission (FTC). The FTC, an independent agency, is responsible for enforcing anumber of federal antitrust and consumer protection laws. In recent years the FTC has used pre-merger filing feescollected under the Hart-Scott-Rodino Act toentirely fund its operations; Zero ($0) direct appropriations have been required.

For FY2002 the Administration requested a program level of $156.3 million for the FTC, an increase of $9.1 million over the previous appropriation. All of thefunding came from offsetting collections derived from fees collected for pre-merger filings during FY2002, so asto result in a final direct appropriation of zero($0). The conference agreement provided the FTC with $156 million for FY2002. This action resulted in a finaldirect appropriation of zero ($0).

For FY2003, the President's requested $171.6 million for the FTC, an increase of approximately $15.6 million over the agency's current appropriation. Theconference agreement provides the FTC with an FY2003 program level of $176.6 million; with offsetting feecollections, the agency received a final directappropriation of $8.5 million.

Securities and Exchange Commission (SEC). The SEC administers and enforces federal securities laws inorder to protect investors and to maintain fair and orderly stock and bond markets. The SEC collects fees on varioussecurities market transactions. During thestock market boom of the 1990s, these collections exceeded the agency's budget by a wide margin. Legislationpassed by the 107th Congress ( H.R. 1088 , P.L. 107-123 ) reduced these fees.

In 2001, Congress approved a total FY2002 operating level of $437.9 million for the SEC, an increase of $15.1 million over FY2001. Of the total, $109.5 millionwas to come from fees collected in FY2002 and the remaining $324.4 million from prior-year fees. As was the casein FY2001, no direct appropriations wereneeded -- the SEC was funded entirely by current and prior year fee collections. Under P.L. 107-206 , the SECreceived a supplemental appropriation of $40.2million for FY2002.

For FY2003, the Administration requested $466.9 million for the SEC, an increase of 6.6% over FY2002. In the wake of Enron and other corporate accountingscandals, there was broad support in Congress for a much larger increase in the SEC's budget. The Sarbanes-Oxleyaccounting reform legislation ( P.L. 107-204 )authorized FY2003 appropriations of $776.0 million. The 107th Congress Senate AppropriationsCommittee approved $750.5 million, 60% more than requested. The conference report approved $716.35 million.

The State Justice Institute (SJI). The Institute is a private, non-profit corporation that makes grants to statecourts and conducts other activities to further the development of judicial administration in state courts throughoutthe United States. The FY2003 omnibusfunding bill has provided $3 million for SJI, the same as the FY2002 funding level. Although the Institute hadrequested an appropriation of $13.55 million forFY2003, the President had proposed nothing for SJI in his FY2003 budget, in accord with congressional language,in a FY2002 conference committee report,stating an intent that federal funding for the Institute not go beyond FY2002. (Under the terms of its enablinglegislation, SJI is authorized to present its requestdirectly to Congress, apart from the President's budget.)

In the previous annual appropriations cycle, Congress scaled back the Institute's funding significantly, approving $3.0 million for FY2002, instead of $6.835million and $6.2 million approved earlier by the House and Senate respectively. The action to reduce SJI fundingoccurred at the FY2002 conference committeestage. In their report, the FY2002 conferees stated that the $3.0 million appropriated for the SJI was "available forfiscal year 2002 only" and that the confereesdid not recommend continued federal support for the Institute beyond FY2002. "The termination of funding for thisprogram," the report explained, "does notnecessarily mean the dissolution of the Institute." The conferees encouraged the Institute to solicit private donationsand resources from State and localagencies. (30)

Conferees for the FY2003 omnibus funding bill, however, noted (in H.Rept. 108-10 , p. 703) that "SJI has not been successful in its efforts to obtain non-Federalfunds" and had therefore included $3 million "to keep SJI operating." At the same time, the conferees encouragedSJI to continue to solicit donations from State,local, and national bar associations.

Office of the U.S. Trade Representative (USTR). USTR is the chief trade negotiator for the United States andis located in the Executive Office of the President (EOP). It is responsible for developing and coordinating U.S.international trade and direct investment policies. The President's FY2003 request was $32.3 million, $2.2 million above the amount ($30.1 million) approved byCongress in FY2002. The Senate bill provides $33million to USTR and the Conference appropriated $35 million, a $4.9 million increase over FY2002.

U.S. International Trade Commission (ITC). ITC is an independent, quasi-judicial agency that advises thePresident and Congress on the impact of U.S. foreign economic policies on U.S. industries and is charged withimplementing various U.S. trade remedy laws. Itssix commissioners are appointed by the President for 9-year terms. As a matter of policy, its budget request issubmitted to Congress by the President withoutrevision. For FY2003, ITC requested $54 million (excluding full funding of Federal retiree costs), an approximately$2.6 million increase over the FY2002request ($51.4 million). The Senate appropriated $54.6 million, but the Conference scaled the request back to $54million, a $2.6 million increase over 2002. Theincrease will be used to fund a mandatory 4.6% pay increase, to fund several information technology projects toincrease public access to information, to improveelectronic transaction capability, and to develop more accurate trade information for affected constituents.

U.S. Commission on International Religious Freedom. The Commission, established in P.L. 105-292 , is anindependent agency charged with the annual and ongoing review and reporting of the facts and circumstances ofviolations of religious freedom. No additionalfunds were appropriated for FY2000 or FY2001. Congress passed the requested amount of $3 million for FY2002. No additional funds were appropriated forFY2000 or FY2001. Congress passed the requested amount of $3 million for FY2002. For FY2003, however,although the Administration requested, and theHouse and the Senate recommended, $3 million, the final enacted level was $2.9 million.

Title V. Other Related Agencies (millions of dollars)

a For FY2002, Congress enacted $245.1 million in overall funding resources, consisting of a direct appropriation of $26.3 million and $218.8 million in offsettingcollections. For FY2003, the President requested $268.3 million in overall funding resources, consisting of a directappropriation of $20.1 million and $248.2million in offsetting fee collections. The Senate omnibus bill set the overall funding level at $275.4 million andoffsetting fee collections at the same level, thusrequiring no direct appropriation. The House bill set overall funding at $256.4 million with offsetting fee collectionsat $248.2 million, requiring a directappropriation of $8.2 million. The enacted FY2003 omnibus funding bill provided $271 million in overall fundingresources, consisting of a direct appropriationof $2 million and $269 million in offsetting fee collections.

b The FTC is fully funded by the collection of pre-merger filing fees.

c The SEC is fully funded by transaction fees and securities registration fees.

d Under the terms of its enabling legislation, the State Justice Institute is authorized to present its budget request directly to Congress. For FY2003, the Instituterequested $13.6 million -- as distinguished from the President, who has requested no funding for SJI.

e Other includes agencies receiving appropriations of less than $2.0 million in FY2003. These agencies include Commission for the Preservation of AmericanHeritage Abroad; Commission on Security and Cooperation in Europe; Commission on Electronic Commerce; theMarine Mammal Commission, the Commissionon Ocean Policy, and the Congressional/Executive Commission on China, the National Veterans BusinessDevelopment Corp, the Pacific Charter Commission,and the U.S. Canada Alaska Rail Commission.

Related Legislation

H.R. 2048 (Coble)

Requires the Attorney General to submit by October 2, 2002 to House and Senate Judiciary Committees a report regarding the effectiveness of the State JusticeInstitute. Introduced June 5, 2001; referred to the House Judiciary Committee. Reported by Judiciary Committee,August 2, 2001. Agreed to by voice vote ofHouse, under suspension of the rules, Sept. 5, 2001. Received in the Senate, Sept. 6, 2001; referred to the JudiciaryCommittee. Reported by the JudiciaryCommittee, without amendment, September 13, 2001. Passed Senate without amendment by unanimous consent,May 7, 2002. Presented to President, May 8,2002. P.L. 107-179 , May 20, 2002.

H.R. 518 (Regula et al.)

Amends the Trade Act of 1974 to revise the injury threshold the International Trade Commission must considerto determine the risk of increased imports to adomestic industry producing like or directly competitive articles in escape clause (Sec.201) actions. IntroducedFebruary 7, 2001; referred to House Ways andMeans Committee.

H.R. 1988 (English et al.); S. 979 (Durbin et al.)

Amends the Trade Act of 1974 to revise the injury threshold the International Trade Commission must considerto determine the risk of increased imports to adomestic industry producing like or directly competitive articles in escape clause (Sec.201) actions. Amends theTariff Act of 1930 to revise various factors thatthe Commission must consider in making material injury determinations in countervailing duty and antidumpingduty proceedings. H.R. 1988 introduced May 24, 2001; referred to House Ways and Means Committee. S. 979 introduced May 26, 2001;referred to Senate Finance Committee.

S. 422 (Wellstone); H.R. 837 (Oberstar et al.)

Directs the International Trade Commission to consider U.S. produced taconite pellets to be like or directlycompetitive with semifinished steel slab for purposesof: (1) Section 201 injury determinations, and (2) antidumping or countervailing duty determinations. S. 422 introduced March 1, 2001; referred toSenate Finance Committee. H.R. 837 introduced March 7, 2001; referred to House Ways and MeansCommittee.

S. 187 (Snowe et al.); H.R. 1782 (Manzullo et al.)

Small Business Export Enhancement Act of 2001 - Amends the Trade Act of 1974 to establish in the Office ofthe United States Trade Representative (USTR) theposition of Assistant USTR for Small Business to promote the trade interests of small businesses, remove foreigntrade barriers that impede small businessexporters, and enforce existing trade agreements beneficial to small businesses. S. 187 introduced January25, 2001; referred to the Senate Budgetand Senate Governmental Affairs Committee. H.R. 1782 introduced May 9, 2001; referred to HouseCommittee on Ways and Means.

S. 714 (Snowe et al.)

Expresses the sense of Congress that the U.S. Trade Representative should pursue the establishment of a smallbusiness advocate at the World Trade Organization(WTO) to safeguard the interests of small firms and represent those interests in trade negotiations involving theWTO. Introduced April 5, 2001; referred to theSenate Finance Committee.

S. 19 (Daschle et al.)

Protecting Civil Rights for All Americans Act. Would authorize $400 million for the Legal ServicesCorporation for FY2002. Introduced January 22, 2001;referred to S. Judiciary Committee.

Appendix. Appropriations Funding for Departments of Commerce, Justice, State, the Judiciary, and Related Agencies -- FY2001, FY2002, and the FY2003 Request

Title I. Department of Justice

Title II. Department of Commerce and Related Agencies

Title III. Judiciary

Title IV. Department of State and International Broadcasting

Title V. Other Related Agencies

Title VI. General Provisions

Title VII. Rescissions

Title IX.

Total Appropriation Funding, Titles I-IX, FY2001-FY2003 Request

Source: U.S. House of Representatives. Committee on Appropriation.

Note: Figures do not include the 0.65% across-the-board rescission included in the enacted FY2003 legislation. H.R. 247 was introduced only andreceived no other congressional action. Details may not add to totals due to rounding. Figures are for direct appropriations only; in some cases, agenciessupplement these amount with offsetting fee collections, including collections carried over from previous years. These agencies include: Immigration andNaturalization Service, Patent and Trademark Office, Small Business Administration, Federal CommunicationsCommission, Federal Trade Commission, and theSecurities and Exchange Commission. Information on such fees are contained in the background and issues sectionsof this report. Data for FY2002 includeEmergency Response Funds from the supplemental appropriation ( P.L. 107-117 ).

a The Patent and Trademark Office (PTO) is fully funded by user fees. The fees collected, but not obligated during the current year, are available for obligation inthe following fiscal year. The prior-year carryover funds count against the FY2003 total appropriationfor the Dept. of Commerce. For example, in the enactedFY2002 amount, $282.3 million in prior-year carry over funds (plus $1.5 in emergency supplemental funds) countedtoward the Commerce Department total, butcurrent year fee funding does not.

b As of October 1, 1999 both USIA and ACDA were consolidated into the Department of State. International Broadcasting remains an independent agency.

c In addition to appropriations, State has authority to spend certain collected fees from machine readable visas, expedited export fees, etc. The amount for suchfees for FY2002 is $516.9 million; for FY2003 the estimate is $739.6 million.

d For FY2001, Congress approved $229.5 million in overall funding resources for the FCC, consisting of a direct appropriation of $29.3 million and $200.1million in offsetting regulatory fee collections. For FY2002, Congress enacted $245.1 million in overall fundingresources, consisting of a direct appropriation of$26.3 million and $218.8 million in offsetting collections. For FY2003, the President requested $268.3 million inoverall funding resources, consisting of a directappropriation of $20.1 million and $248.2 million in offsetting fee collections. The Senate omnibus bill set theoverall funding level at $275.4 million andoffsetting fee collections at the same level, thus requiring no direct appropriation. The House bill set overall fundingat $256.4 million with offsetting feecollections at $248.2 million, requiring a direct appropriation of $8.2 million. The enacted FY2003 omnibusfunding bill provided $271 million in overall fundingresources, consisting of a direct appropriation of $2 million and $269 million in offsetting fee collections.

e The FTC is fully funded by the collection of pre-merger filing fees.

f The SEC is fully funded by transaction fees and securities registration fees.

g Under the terms of its enabling legislation, the State Justice Institute is authorized to present its budget request directly to Congress. For FY2003, the Instituterequested $13.6 million -- as distinguished from the President, who has requested no funding for SJI.

h Other includes agencies receiving appropriations of less than $2.0 million in FY2002. These agencies include Commission for the Preservation of AmericanHeritage Abroad; Commission on Security and Cooperation in Europe; Commission on Electronic Commerce; theMarine Mammal Commission, the Commissionon Ocean Policy, and the Congressional/Executive Commission on China, the National Veterans BusinessDevelopment Corp, the Pacific Charter Commission,and the U.S. Canada Alaska Rail Commission.

i The grand total does not include an across-the-board cuts or rescissions that have yet to be determined.