Budgets for the Department of State and the Broadcasting Board of Governors (BBG), aswell as U.S. contributions to United Nations (U.N.) International Organizations and Peacekeepingare all within the Commerce, Justice, State and Related Agency (CJS) appropriations. Intertwinedwith the annual appropriations process is the biannual Foreign Relations Authorization that, by law,Congress must pass prior to the State Department's expenditure of its appropriations. On April 1, 1999, largely for budgetary savings and streamlining U.S. foreign policy,consolidation of the foreign policy agencies began with the merger of the functions of the ArmsControl and Disarmament Agency (ACDA) into the State Department; as of October 1, 1999, thefunctions of the U.S. Information Agency (USIA), excluding international broadcasting, also camedirectly under the State Department. Although not part of the CJS appropriations, the U.S. Agencyfor International Development (USAID) was required to reorganize and come directly under theauthority of the Secretary of State by April 1, 1999. (1) (For more details on USAID, see CRS Report RL30511 , Appropriations for FY2001: Foreign Operations, Export Financing, and Related Programs, by[author name scrubbed].) The Administration's FY2001 State Department and International Broadcasting budgetrequest totaled $6.96 billion, 10.5% above the FY2000 enacted funding level. Overseas securityfunding continued to be a key issue in the FY2001 CJS appropriations debate. (For more details, seeCRS Report 98-771, Embassy Security: Background, Funding, and FY2001 Budget .) Noticeablyabsent in the President's request was any indication of budget savings attributable to the completedforeign policy agency consolidation. Secretary of State Albright testified on the FY2001 State Department appropriations requestbefore House and Senate Committees in February and March 2000. On June 26 the House passed H.R. 4690 providing $6.11 billion for the Department of State and $438.1 million forinternational broadcasting. The Senate received H.R. 4690 on June 27, 2000. TheSenate Appropriations Committee reported its version of the bill July 18, 2000, recommending $6.1billion for the Department of State and $441.6 million for international broadcasting. On October27, 2000 Congress passed the CJS conference report ( H.R. 4942 , H.Rept. 106-1005 ). After numerous continuing resolutions, the President signed into law ( P.L. 106-553 ) the CJSappropriations portion of H.R. 4942 as contained in H.R. 5548 . Theenacted FY2001 appropriation provides $6.6 billion for the Department of State and $451.5 millionfor international broadcasting for a total of $7.1 billion--nearly $100 million more than the ClintonAdministration had requested. The State Department's mission is to advance and protect the worldwide interests of theUnited States and its citizens through the staffing of overseas missions, the conduct of U.S. foreignpolicy, the issuance of passports and visas, and other responsibilities. Currently, the StateDepartment coordinates with the activities of 50 U.S. government agencies and organizations inoperating 250 posts in over 180 countries around the world. The Department's staff size hasincreased, largely because of the integration of ACDA and USIA into State. Highlights follow. Diplomatic and Consular Programs (D&CP) -- The D&CP account fundsoverseas operations (e.g., motor vehicles, local guards, telecommunications, medical), activitiesassociated with conducting foreign policy, passport and visa applications, regional bureaus, undersecretaries, and post assignment travel. Beginning in FY2000, the State Department's Diplomaticand Consular Program account included State's salaries and expenses, USIA's technology andinformation functions, and ACDA. The FY2000 level passed by Congress for this account totaled$2.823 billion. The Administration's FY2001 request for this account equaled $3.104 billion,including $410 million for embassy security expenses (most of which would be for recurring costssuch as: salaries of increased security guard services, ongoing personnel security training, andupkeep of added information systems, software, and armored vehicles). The House AppropriationsCommittee recommended $3.089 billion, including $410 million for worldwide security upgrades.The Senate Appropriations Committee recommended $3.148 billion for D&CP, including $272.7million for worldwide security upgrades. The final amount passed by Congress is $3.168 billion with$410 million for worldwide security upgrades. Security and Maintenance of Overseas U.S. Missions -- This account supportsthe maintenance, rehabilitation, and replacement of overseas facilities to provide appropriate, safe,secure and functional facilities for U.S. diplomatic missions abroad. Congress originally had enacted$640 million for this account for FY1999. However, following the embassy bombings in Africa inAugust 1998, Congress agreed to more than $1 billion for the Security and Maintenance account when passing an emergency supplemental with a new subaccount referred to as Worldwide SecurityUpgrades. The FY2000 appropriation for the overall account was $742.2 million -- $428.6 millionfor the Security and Maintenance account and $313.6 million for Worldwide Security Upgrades. The Administration's FY2001 request for these functions was $431.2 million for the Security andMaintenance account and $648 million for Worldwide Security Upgrades . In addition to its annualappropriation request, the Administration sought $3.35 million advance appropriations forFY2002-2005. The House Appropriations Committee recommended $416.98 million for Securityand Maintenance and matched the President's request of $648 million for Worldwide SecurityUpgrades. The House agreed with these amounts, but did not include funding for advanceappropriations for overseas security. The Senate Appropriations Committee recommended $417.1million for Security and Maintenance and $364.9 million for Worldwide Security Upgrades . Theenacted appropriation includes $417 million for Security and Maintenance and $663 million for Worldwide Security Upgrades . In November 1999 the State Department-appointed Overseas PresenceAdvisory Panel (OPAP) released its report, which recommended several securityactions to contribute to the safety of American personnel and facilities abroad. TheHouse Appropriations Committee noted that the Department has begun implementingsome of the recommendations, while others require interagency or legislative actions. (For more detail see CRS report 98-771, Embassy Security, Background, Funding,and the FY2001 Budget, by [author name scrubbed].) Educational and Cultural Exchanges -- This account funds programsauthorized by the Mutual Educational and Cultural Exchange Act of 1961, such as the FulbrightAcademic Exchange Program, as well as leadership programs for foreign leaders and professionals. Government exchange programs have come under close scrutiny in recent years for being excessivein number and duplicative. By a July 1997 executive order, the Office of U.S. GovernmentInternational Exchange and Training Coordination was created. Congress appropriated $205 millionfor FY2000 for Educational and Cultural Exchanges , but did not specify a level for the Fulbrightprogram. The Administration request for FY2001 was $225 million. The House passed $213.8million for exchanges. The Senate recommended providing the Administration with its requested$225 million. Congress passed $231.6 million ($6 million more than requested) for the internationalexchanges account, including $114 million for the Fulbright Program. The Capital Investment Fund (CIF) -- CIF was established by the ForeignRelations Authorization Act of FY1994/95 ( P.L. 103-236 ) to provide for purchasing informationtechnology and capital equipment which would ensure the efficient management, coordination,operation, and utilization of State's resources. In FY1998 Congress approved a 250% increase in thisfund, from $24.6 million in FY1997 to $86 million in FY1998. The Administration sought $118.3million (an increase of 38%) in FY1999 for CIF. Congress exceeded the request, agreeing to $158.6million for this account, which included funds from the emergency supplemental appropriation forY2K compliance. The FY2000 request for CIF would have reduced funding to $90 million, plus anadditional $50 million from expedited passport fees. Congress agreed to $80 million. TheAdministration request for CIF in FY2001 was $97 million, although the House AppropriationsCommittee recommended $79.7 million. The Committee expressed a concern that this funding level,combined with Machine Readable Visa fees available Department-wide, would provide State withan "enormous" investment in information technology of $491.9 million and no quantifiable way tomeasure its success. The House agreed with the Committee, funding CIF at $79.7 million. TheSenate Committee recommended increasing CIF to $104 million in FY2001. Congress appropriated$97 million--the Administration's request--for CIF. Contributions to International Organizations (CIO) -- CIO provides funds forU.S. membership in numerous international organizations and for multilateral foreign policyactivities that transcend bilateral issues, such as human rights. Maintaining a membership ininternational organizations, the Administration argues, benefits the United States by advancing U.S.interests and principles while sharing the costs with other countries. Payments to the United Nations(U.N.) and its affiliated agencies, the Inter-American Organizations, as well as other regional andinternational organizations are included in this account. The FY2000 appropriation set CIO fundingat $885.2 million. Congress also appropriated $351 million for U.S. arrearage payments to the U.N. So far, $100 million has been paid. The remainder is being withheld until U.N. reforms arecompleted. The Administration's FY2001 request for U.S. Contributions to InternationalOrganizations equaled $946 million. The House full Committee recommended $880.5 million towhich the House agreed. The Senate Appropriations Committee reported $943.9 million for CIO and$102 million for arrearage payments. Congress appropriated $870.8 million. (For more detail, seeCRS Issue Brief IB86116, U.N. System Funding: Congressional Issues, by VitaBite.) Contributions to International Peacekeeping Activities (CIPA) -- The UnitedStates supports multilateral peacekeeping efforts around the world through payment of its share ofthe U.N. assessed peacekeeping budget. Multilateral peacekeeping often provides an alternativebetween doing nothing and unilateral U.S. action in overseas situations of importance to the UnitedStates. Congress approved $500 million for this account for FY2000. The Administration's FY2001request for CIPA (which does not include NATO peacekeeping costs) totaled $738.7 million andsought it as "two-year funds," noting the unpredictability of peacekeeping from one year to the next. The House Committee recommended $498.1 million for this account in FY2001 and rejected therequest for two-year funding. Furthermore, the House Committee listed specific peacekeepingmissions that were not to get funding under this account, including MINURSO in Western Sahara,UNAMSIL in Sierra Leone, UNMOT in Tajikistan, as well as a request for a new mission inEthiopia and Eritrea. The House-passed legislation included the same level of funding--$498.1million, but did not include language specifying missions that would not get funding. The Senatefull Committee recommended $500 million for peacekeeping. The final funding level, greater thanthe Administration request, totals $846 million. (For more detail, see CRS Issue Brief IB90103, United Nations Peacekeeping: Issues for Congress, by Marjorie AnnBrowne.) The International Commissions account includes the U.S.-Mexico Boundary and WaterCommission, the International Fisheries Commissions, the International Boundary Commission, theInternational Joint Commission, and the Border Environment Cooperation Commission. TheFY2000 enacted level for International Commissions totaled $46.8 million. The FY2001 requestequaled $62.2 million. The 32.9% increase resulted from an $8.5 million increase in theInternational Boundary and Water Commission (largely for construction) and nearly $4 millionincrease in the International Fisheries Commission, a large portion of which was for the Great LakesFishery Commission. The House Appropriations Committee recommended a continuation of theFY2000 funding level for FY2001. A House floor amendment transferring $500,000 from DC&Pto the International Boundary and Water Commission was agreed to, setting the InternationalCommissions total at $47.1 million. The Senate Committee recommendation totaled $60 millionfor international commissions. Congress compromised with an enacted level of $56.2 million. The Asia Foundation -- The Asia Foundation is a private, nonprofitorganization that supports efforts to strengthen democratic processes and institutions in Asia, openmarkets, and improve U.S.-Asian cooperation. The Foundation receives both government andprivate sector contributions. Government funds for the Asia Foundation are appropriated to, andpass through, the State Department. Congress funded The Asia Foundation at $8.2 million forFY2000. The Administration's FY2001 request for the Foundation of $10 million reflects a 22%increase over the current level, mainly to develop stronger and more open market economies,particularly in China. The House Appropriations Committee recommended continuing The AsiaFoundation at its FY2000 level and the House agreed. The Senate did not include any funds for TheAsia Foundation for FY2001. The final CJS appropriation contained $9.3 million for The AsiaFoundation in FY2001. National Endowment for Democracy (NED) -- The National Endowment forDemocracy, a private nonprofit organization established during the Reagan Administration, supportsprograms to strengthen democratic institutions in more than 90 countries around the world. NEDproponents assert that many of its accomplishments are possible because it is not a governmentagency. NED's critics claim that it duplicates U.S. government democracy programs and either couldbe eliminated or could operate entirely with private funding. NED's FY2000 enacted appropriationwas a continuation of the previous year's level of $31 million. The Administration requested a slightincrease -- to $32 million -- for FY2001. The House Appropriations Committee and the Houseconcurred on funding NED at $30.9 million for FY2001. The Senate Appropriations Committeerecommended setting NED funding at $31 million for FY2001. The Congressionally-passed levelis $31 million. East-West and North-South Centers -- The Center for Cultural and TechnicalInterchange between East and West (East-West Center), located in Honolulu, Hawaii, wasestablished in 1960 by Congress to promote understanding and cooperation among the governmentsand peoples of the Asia/Pacific region and the United States. The Center for Cultural and Technicalinterchange between North and South (North-South Center) is a national educational institution inMiami, FL, closely affiliated with the University of Miami. It promotes better relations, commerce,and understanding among the nations of North America, South America and the Caribbean. TheNorth-South Center began receiving a direct subsidy from the federal government in1991. The Administration's FY1999 budget had recommended phasing outgovernment funding of both the East-West and North-South Centers. The House hadset zero funding for both Centers in FY1999, while the Senate had agreed to doubleNorth-South Center funding to $3 million, and continue the East-West Center at itsFY1998 level of $12 million. P.L. 105-277 , however, contained $12.5 million forthe East-West Center and $1.75 million for the North-South Center. The FY2000budget continued these levels for both the North-South and East-West Centers. TheFY2001 request continued these levels, while the House again voted to zero outgovernment funding for both Centers in FY2001. The Senate Committeerecommended $13.5 million for the East-West Center, but did not include theNorth-South Center in its version of the appropriation bill. Congress provided $13.5million for the East-West Center, but no funds for the North-South Center forFY2001. The United States International Broadcasting Act of 1994 (2) reorganized within USIA allU.S. government international broadcasting, including Voice of America (VOA), Broadcasting toCuba, Radio Free Europe/Radio Liberty (RFE/RL), Radio Free Asia (RFA), and the newly-approvedRadio Free Iraq and Radio Free Iran. The Act established the Broadcasting Board of Governors(BBG) to oversee all U.S. government broadcasting; abolished the Board for InternationalBroadcasting (BIB), the administering body of RFE/RL; and recommended that RFE/RL beprivatized by December 31, 1999. During reorganization debate, the 105th Congress agreed that credibility of U.S. internationalbroadcasting was crucial to its effectiveness as a public diplomacy tool. Therefore, Congress agreednot to merge broadcasting functions into the State Department, but to maintain the BroadcastingBoard of Governors (BBG) as an independent agency as of October 1, 1999. Congress appropriated an FY2000 total of $421.8 million for international broadcasting,including $22.1 million for Broadcasting to Cuba and $21.9 million for Radio Free Asia. TheFY2001 budget request for international broadcasting was $448.4 million, a 6.3% increase. Therequest includes $23.5 million for Cuba Broadcasting. The House Appropriations Committee votedto provide $438.1 million to the BBG, including $22.8 million for Cuba Broadcasting. The Housepassed these amounts. The Senate Appropriations Committee recommended a total of $441.6million for international broadcasting -- $388.4 million for broadcasting operations and $22.1 millionfor Cuba Broadcasting. Congress enacted a total of $451.5 million for international broadcasting,including $22.1 million for Cuba Broadcasting. The BBG's total funds also include funding for a Broadcasting Capital Improvementsaccount (formerly USIA's Radio Construction account) which funds the building or renovating ofradio stations, upgrading and refurbishing station capabilities, updating technology, and replacingold transmitters. The FY2000 appropriation for this account was $11.3 million. The President'sFY2001 request was $19.8 million, a 75% increase over FY2000, most of which would pay forrelocation of the Poro medium wave transmitting facility in the Philippines. The House Committeerecommended and the House agreed to $18.3 million for the Broadcasting Capital Improvementsaccount. The Senate Committee reported in its version of H.R. 4690 $31.1 million forBroadcasting Capital Improvements in FY2001. The FY2001 enacted level is $20.4 million forCapital Improvements. State Department, USIA, and Related Agencies Appropriations (millions of dollars) *Does not include the Government-wide rescission of 0.22 percent for FY2001.

Summary: On February 7, 2000, the President submitted his FY2001 budget request which includednearly $7 billion for the Department of State and the Broadcasting Board of Governors. Thisrepresented an increase of $661.5 million (or 10.5%) from the FY2000 enacted level which Congresshad passed in an omnibus bill on November 19, 1999; the President had signed it into law ( P.L.106-113 ) on November 29, 1999. Earlier, the Foreign Affairs Reform and Restructuring Act of 1999 ( P.L. 105-277 , section1001) had required the foreign policy agencies to be reorganized before FY2000. Subsequently, theArms Control and Disarmament Agency (ACDA) merged its functions into the Department of State,and the U.S. Agency for International Development (USAID) reorganized and came directly underthe authority of the Secretary of State as of April 1, 1999. The U.S. Information Agency (USIA)consolidated its information and exchange functions into the Department of State, while as ofOctober 1, 1999 the broadcasting functions became an independent agency referred to as theBroadcasting Board of Governors (BBG). The Administration's FY2001 request would have: 1) provided more than $1 billion forworldwide security upgrades at U.S. facilities, 2) continued increasing the capital investment fund,and 3) increased U.S. Contributions to the U.N.'s International Organizations (CIO) and its U.N.Contributions to International Peacekeeping (CIPA) funds. In addition, the internationalbroadcasting budget request of $6.96 billion represented a 6.3% increase over the FY2000 level. The House Commerce, Justice, State (CJS) Appropriations Subcommittee reported out itsversion of the CJS FY2001funding legislation on June 6, 2000. The full House AppropriationsCommittee reported out its version on June 15th. The bill ( H.R. 4690 ) was formallyintroduced on June 19, 2000. House floor action occurred on June 22nd and 23rd; the House passedthe bill (214-195-1) on June 26, 2000 after agreeing to transfer $10 million out of State and into theLegal Services Corp. The House funding level for the State Department and internationalbroadcasting totaled $6.55 billion. The Senate Appropriations Committee reported their version of H.R. 4690 onJuly 18, 2000. The Senate Committee recommended no significant increase in worldwide securityupgrade funding, but a 30% increase in the Capital Investment Fund and 10% increase in exchangeprograms. The Senate Committee recommended a total FY2001 funding level of $6.56 billion forState and international broadcasting. On October 27, 2000, Congress approved the CJS conference report ( H.R. 4942 ; H.Rept. 106-1005 ). The President signed the measure into law on December 21, 2000( H.R. 5548 as contained in the conference report on H.R. 4942 ; P.L.106-553 ). This is the final update of this report.