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President's Budget
Management
Information &
Regulatory Affairs
Legislative Information
Agency Information
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THE WHITE HOUSE
WASHINGTON
October 17, 2001
Dear Mr. Speaker:
In accordance with provisions of P.L. 107-38, the Emergency Supplemental
Appropriations Act for Recovery from and Response to Terrorist Attacks on the
United States, FY 2001, I ask the Congress to consider expeditiously the
enclosed proposals, totaling $20 billion, to enable the Government to continue
to provide assistance to the victims of the September 11th attacks and to
deal with the consequences of the attacks.
P.L. 107-38 -- legislation crafted and enacted with strong bipartisan
cooperation -- provided a total of $40.0 billion in emergency funding to the
Emergency Response Fund. The $40 billion in emergency expenses enacted in
P.L. 107-38 was provided to assist victims of the attacks and to deal with
other consequences of the attacks, including the costs of: (1) providing
Federal, State, and local preparedness for mitigating and responding to the
attacks; (2) providing support to counter, investigate, or prosecute domestic
or international terrorism; (3) providing increased transportation security;
(4) repairing public facilities and transportation systems damaged by the
attacks; and (5) supporting national security.
As required by P.L. 107-38, on September 18th, I designated the entire
$40.0 billion as an emergency funding requirement. Today, I hereby request
and designate these individual proposals as emergency funding requirements
pursuant to section 251(b)(2)(A) of the Balanced Budget and Emergency Deficit
Control Act of 1985, as amended. In addition, I hereby designate the funds
in or credited to the Defense Cooperation Account during FY 2002 as emergency
requirements pursuant to section 251(b)(2)(A) of such Act.
I am proud that we have continued to work together with such bipartisan
spirit in the weeks following the despicable attacks on our Nation. Since
final estimates of the total resources needed to address the consequences of
this tragedy will not be known for months to come, I urge the Congress to
enact -- without delay -- these specific requests that address immediate,
near-term needs and that represent currently defined and certain requirements.
My Administration does not intend to seek additional supplemental funding for either domestic or
defense needs for the remainder of this session of Congress. If further
requirements become clear, we will work with the Congress to address
additional needs in the Second Session of the 107th Congress. In addition,
we will assess the manner in which our FY 2003 Budget will address further n
eeds as they relate to the September 11th terrorist attacks.
The details of these actions are set forth in the enclosed letter from
the Director of the Office of Management and Budget. I concur with his
comments and observations.
Sincerely,
/s/
George W. Bush
The Honorable J. Dennis Hastert
Speaker of the House of Representatives
Washington, D.C. 20515
Enclosure
Estimate No. ___19______
107th Congress, 1st Session
The President
The White House
Submitted for your consideration are emergency funding requests,
totaling $20.0 billion, for various Federal Departments and agencies, as
well as the Legislative and Judicial Branches. Also included are several
language proposals, including legislation for the Department of Defense, the
U.S. Agency for International Development, and the Small Business Administration.
P.L. 107-38, the Emergency Supplemental Appropriations Act for Recovery
from and Response to Terrorist Attacks on the United States, FY 2001, provided
$40.0 billion to the Emergency Response Fund in the Executive Office of the
President. The Act provides that $10 billion would be available without any
further congressional action. Of that amount, you have made available to
date a total of $7.2 billion. In addition, P.L. 107-38 included $10.0 billion
that would be available 15 days after OMB has submitted proposed allocations
to the House and Senate Committees on Appropriations. The $20.0 billion
proposed for your consideration today would not be available for obligation
until enactment in a subsequent emergency appropriations bill.
The $40 billion in emergency expenses enacted in P.L. 107-38 was
provided to assist victims of the attacks and to deal with other consequences
of the attacks, including the costs of: (1) providing Federal, State, and
local preparedness for mitigating and responding to the attacks; (2) providing
support to counter, investigate, or prosecute domestic or international
terrorism; (3) providing increased transportation security; (4) repairing
public facilities and transportation systems damaged by the attacks; and (5) supporting
national security. Further, pursuant to the Act, not less than one half of
the $40 billion is to be for "disaster recovery activities and assistance
related to the terrorist attacks in New York, Virginia, and Pennsylvania."
The requests in this transmittal follow an extensive review of individual
agency proposals to identify those requirements that are immediate and near-term.
The current proposals support identified requirements and represent the crucial
initial steps toward recovery. We will not seek additional supplemental funding
for either domestic or defense needs for the remainder of this session of
Congress. If further requirements become clear, we will work with the Congress
on additional needs that may arise during the Second Session of the 107th
Congress.
As described below and in more detail in the enclosures, the requests
include the following:
Department of Agriculture (USDA)
The funding proposed for USDA would support: enhanced security for
USDA facilities ($17.2 million); design and construction of a facility in
Ames, Iowa to store and conduct research on biohazardous material ($14.1 million);
technical assistance to State, local, Federal, and private sector entities to
improve the identification and response to a bioterrorist attack ($5.0 million);
and training to improve response to food supply threats, implement countermeasures,
improve data collection and dissemination, and other bioterrorism protection
activities ($8.9 million).
Department of Commerce (DOC)
The $26.9 million in funding proposed for DOC would largely be used
for emergency grants to assist public broadcasters in restoring facilities
and capabilities that were destroyed in the collapse of the World Trade
Center towers and to support departmental security enhancements, both at
home and abroad.
Department of Defense (DOD)
A total of $7.4 billion is now requested to support DOD's crisis and
recovery operations and national security responsibilities. These resources
include: $2,938.0 million for increased worldwide posture; $1,735.0 million
for increased situational awareness; $925.0 million for repair and upgrade of
the Pentagon; $881.0 million for enhanced force protection; $545.0 million
for offensive counterterrorism; $219.0 million for improved command and control;
and $106.0 million for initial crisis response.
Department of Education
This proposal would provide $10.0 million to enable the Department of
Education to provide crisis recovery services in New York and other jurisdictions
for students, educators, and their families under the Safe and Drug-Free
Schools and Communities National Programs Project SERV (School Emergency
Response to Violence).
Department of Energy (DOE)
Of the $117.7 million requested for DOE, $106.0 million would be used
to improve the security of the Nation’s nuclear stockpile and infrastructure,
including $91.0 million for additional on-site security measures and plant
reconfiguration at defense-related national laboratories and production plants
and $15.0 million for additional transportation safeguards and security to
protect and prevent sabotage of stockpile components and material while in
transit.
Department of Health and Human Services (HHS)
An additional $1.6 billion is proposed for HHS' Public Health and
Social Services Emergency Fund. These emergency resources include expenses
necessary to support activities related to countering potential biological,
disease, and chemical threats to civilian populations.
Among the funds now requested, $643.6 million would be used to acquire
medicines, supplies, and equipment for the National Pharmaceutical Stockpile
to treat an additional 10 million persons exposed to anthrax and other bacterial
infections, as well as providing an enhanced ability to treat victims of chemical
attacks; $509.0 million would be used to accelerate production of the smallpox
vaccine; and $61.0 million to enhance the frequency and quality of imported
food inspections, and modernize the import data system.
Department of the Interior (DOI)
A total of $85.5 million is proposed for DOI largely to increase
security and enhance preparedness for attacks against: key national park
sites ($53.0 million); Bureau of Reclamation dams, power plants, and other
critical facilities ($30.3 million); and DOI headquarters buildings ($2.2 million).
Department of Justice (DOJ)
A total of $1.1 billion is now requested to support DOJ's responsibilities
arising from the September 11th terrorist attacks. The funds include: $538.5 million
for extraordinary expenses incurred by the Federal Bureau of Investigation; $399.4 million
for operations of the Immigration and Naturalization Service; $101.7 million
for U.S Attorneys, U.S. Marshals, and other legal activities, including the
Office of the Special Master; $68.1 million for the Office for Victims of
Crime; and $4.4 million for a grant to the Utah Olympic Public Safety Command
for the 2002 Winter Olympics.
Department of Labor (DOL)
The funding proposed for DOL would provide $2.0 billion for National
Emergency Grants, authorized under section 173 of the Workforce Investment
Act, to States to assist workers who were dislocated by the attacks of September 11,
2001. The Administration will request an additional $1.0 billion for the
National Emergency Grants with the FY 2003 Budget submission. Grants may
provide employment and training assistance, including assistance in paying to
continue health coverage to dislocated workers, as authorized under the Consolidated
Omnibus Budget Reconciliation Act (COBRA), if the Governor certifies in the
grant application to the Secretary of Labor that the attacks of September 11th
contributed importantly to closures or layoffs. An additional $12.6 million
would support needs of various DOL bureaus in recovering from damage incurred
in the attacks in New York, as well as other security measures.
Department of Transportation (DOT)
Of the $733.5 million now requested for DOT, $408.5 million is proposed
for the Federal Aviation Administration to fund upgrades to airplane cockpit
security and permit the accelerated purchase of planned security equipment
for airport baggage and passenger screening; $203.0 million is proposed for
the Coast Guard to fund reservists activated to support national defense and
homeland security functions, and increased port security; $85.0 million is
proposed for the Federal Highway Administration, including funding that would
fund repairs and reconstruction of Federal-aid highways, which were damaged
or destroyed by the collapse of the World Trade Center buildings; $23.5 million
is proposed for the Federal Transit Administration, including funds to replace
buses and transit kiosks that were destroyed by the collapse of the World Trade
Center; and $13.5 million for rail and other security-related measures.
Department of the Treasury
The $315.2 million in funding proposed for the Treasury Department
would provide: $114.2 million for the Customs Service to improve and expand
airport and aviation security as well as increase efforts of inspectors at
high-risk seaports and land borders; $104.8 million for the Secret Service
to fund necessary, additional expenses incurred due to the attacks, and $96.2
million for other Treasury Department emergency expenses, including $37.2 million
for the Internal Revenue Service to replace damaged equipment in their New
York offices.
Corps of Engineers
An additional $139.0 million is requested to support increased security
at over 300 critical Army Corps of Engineers owned and operated infrastructure
facilities (e.g., dams and navigation facilities), including enhanced physical
security and facility vulnerability assessments to determine further facility
security needs.
Environmental Protection Agency (EPA)
A total of $76.0 million is proposed for EPA and would support activities
such as drinking water assessments, replacement of equipment destroyed in New
York, and various security enhancements.
Executive Office of the President
This proposal would provide $50.0 million to enable the Executive
Office of the President to meet additional requirements in response to the
September 11th terrorist attacks and to ensure the continuity of support and
services to the President and Vice President of the United States.
Federal Emergency Management Agency (FEMA)
Of the $5.5 billion now requested for FEMA, $4.9 billion would support
additional disaster relief efforts in New Jersey, New York, and Virginia, and
would be used to help individual victims, remove debris from the World Trade
Center site, and assist in the rebuilding of critical public infrastructure.
An additional $0.6 billion would enable FEMA to provide equipment and training
grants to States and localities to improve terrorism and chemical-biological
response capabilities, as well as support the Office of National Preparedness
in its efforts to improve terrorism preparedness coordination and liaison between
Federal, State, and local governments.
General Services Administration
A total of $200.5 million is requested for the Federal Buildings Fund
to increase security services nationwide at Federal buildings, for replacement
space costs in New York City, for additional security equipment nationwide,
and other security costs.
National Aeronautics and Space Administration (NASA)
An additional $93.1 million is proposed for NASA in order to maintain
a heightened state of security at 10 field centers and at NASA headquarters
in FY 2002. These funds will provide resources for the costs of: additional
security personnel and overtime compensation; modifications to security perimeters;
construction of additional checkpoints; additional security monitoring and
communications equipment; relocation of critical functions and personnel; and
increased air and sea patrols at the Kennedy Space Center in Florida.
Small Business Administration (SBA)
This proposal would provide $150.0 million for SBA's disaster loan
program to support $600.0 million in low interest loans to businesses impacted
by the terrorist attacks. In an accompanying request in this transmittal,
the Administration proposes to raise the $1.5 million aggregate cap on loans
to a single borrower to $10.0 million for businesses directly impacted by the
disasters in New York, Virginia, and Pennsylvania. In addition, the Administration
would allow non-profit organizations and non-depository financial companies
to receive economic injury loans from SBA.
Other Agencies
For costs associated with reconstruction of offices destroyed during the attacks, increased security measures, and certain investigative activities, the following amounts are requested:
$1.0 million for the Department of Housing and Urban Development; $2.0 million for the Department of Veterans Affairs; $0.3 million for the National Science Foundation; $7.5 million for the Social Security Administration; $6.5 million for the Commodity Futures Trading Commission; $25.0 million for the District of Columbia; $1.3 million for the Equal Employment Opportunity Commission; $7.0 million for the National Archives and Records Administration; $0.8 million for the National Capital Planning Commission; $0.2 million for the National Labor Relations Board; $0.8 million for the National Transportation Safety Board; $20.7 million for the Securities and Exchange Commission; and $28.2 million for the Smithsonian Institution, including the John F. Kennedy Center for the Performing Arts and the National Gallery of Art.
Legislative Branch
This proposal would provide $256.1 million to the Legislative Branch
to enhance the security posture of the Capitol Hill complex, the Government
Printing Office, and the General Accounting Office, and to perform actions
that can be taken to reduce the risk and potential damage to life and property
caused by future terrorist events.
Judicial Branch
Of the $31.5 million proposed for the Judicial Branch, $17.5 million
would cover the costs of additional court security officer hours; $10.0 million
would be used to enhance the security posture of the Supreme Court building; and
$4.0 million would support a Supervisory Deputy Marshal responsible for coordinating
security in each judicial district and circuit.
I have carefully reviewed these proposals and am satisfied that they
are necessary at this time. Therefore, I join the heads of the affected Departments
and agencies in recommending that you transmit the proposals to the Congress.
In addition, I recommend that you designate the funds in the individual proposals
enclosed as emergency funding requirements pursuant to section 251(b)(2)(A)
of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended.
In addition, I recommend that you designate the funds in or credited to the
Defense Cooperation Account during FY 2002 as emergency requirements pursuant
to section 251(b)(2)(A) of such Act.
Sincerely,
/s/
Mitchell E. Daniels, Jr.
Director
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